Transit users will fork out more money come the new year because bus fares are increasing to keep pace with inflation and repair costs and to remain competitive with other municipal transit services.
Effective Feb. 1, 2023, city hall plans to increase regular transit fares to $3.25 per trip from $2.25 per trip.
It also plans to increase paratransit fares to $2.50 per trip from $1.50 per trip effective Feb. 1, 2023, and then hike it again to $3.25 per trip from $2.50 per trip effective Jan. 1, 2024.
This increase in 2023 is expected to generate an additional $80,000 in revenue, while an extra $10,000 will likely be generated in 2024 after the second paratransit increase.
Bus pass costs will remain unchanged, with student rates at $65 per month, adult rates at $80 per month, seniors’ rate at $44 per month and the discounted rate at $25 per month.
During its Dec. 7 budget meeting, council voted 6-1 to implement these changes, with Coun. Crystal Froese opposed.
Council discussion
Many residents who use the bus tend to be low-income people who use cash, so spending $80 per month on a pass could be a stretch for them, said Froese.
“I know people are feeling things financially in all kinds of places. We are upping the water rates (and) we’re upping the sewer rates,” she added. “People who ride the bus don’t normally have other modes of transportation.”
Many people have asked for Saturday transit service — especially in the winter — but council is already heavily subsidizing the week-day service, said Mayor Clive Tolley. Since a bus pass is more economical than cash, he thought it could attract more riders.
“And in this weather, it should be used a lot. It’s something that is underused in the community,” he continued. “… when so few people are riding it at certain times, it alarms citizens to see three people on the bus.”
The lack of use is concerning and more people should use it, agreed Coun. Heather Eby. She thought it was “crazy” how much the municipality is subsidizing this program, while if council didn’t increase transit costs, it would have to pass them onto everyday taxpayers via a tax increase.
“Maybe we’re between a rock and a hard place, but it’s the cost of doing business,” Eby added. “And transit is an expensive business and we’re committed to it. So, I feel it’s the right thing to do.”
Reasons for increases
Fares are below 2017 levels and an increase would address higher costs for fuel, maintenance and fleet replacement, explained Darrin Stephanson, director of public works. Equipment replacement costs have also risen between 25 per cent and 33 per cent during the last three years.
City hall estimates that it will subsidize bus service this year by 73 per cent and 64 per cent next year, he added.
A budget report highlighted that of six municipalities, Yorkton charges $4 for fares, while Moose Jaw is the lowest at $2.25.
A viable bus service would help promote Moose Jaw when attracting labour, said city manager Jim Puffalt. Several large businesses want to expand, so there could be opportunities for higher cost recovery with more users.
City hall believes the price hike’s effect on paratransit customers will be minimal because most riders purchase passes, said Stephanson. Meanwhile, administration expects to see an increase in pass sales because of these changes.
“There is a chance this may reduce our ridership numbers, but that’s really anyone’s best guess about what that impact might be. But by a wide margin, we are the least expensive option for transportation,” he continued.
City administration will bring more data about 2023’s revenues and ridership to the 2024 budget meetings next December, Stephanson added. With the city heavily subsidizing the service, he also recommended that an annual fare review occur.
