A recent report by Ontario Auditor General, Bonnie Lysyk proves that using public-private-partnerships to build infrastructure is too costly and we should go back to using the public sector.
According to Ms. Lysyk, the 74 infrastructure projects built by the Wynne government using Alternate Financing and Procurement (public-private-partnership) will cost us an additional $8B.
TTCriders, is calling on Premier Wynne to cancel the Alternate Financing and Procurement (AFP) model for the Eglinton Crosstown and return to the public sector for building all rapid transit projects in Toronto. The public sector should also operate and maintain these new lines. You can sign the petition here.
When asked to comment about Auditor-General recommendation that we go back to using the public sector to build infrastructure, Mr. Clark, CEO of Infrastructure Ontario, told Globe and Mail reporter Adrian Morrow, it would be a "travesty"; Premier Wynne argued that "her government does not have the capacity."
But this is simply not true for transit projects in Toronto. The real travesty occurred when Metrolinx took control of the Presto Fare Card and the Eglinton Crosstown away from the TTC, in order to use AFP.
The TTC Expansion Department had offices and staff to oversee public sector delivery of the Eglinton Crosstown before Metrolinx took over in 2012. Officials at Metrolinx had every opportunity to negotiate a plan to use this public sector expertise but chose to delay the project in favour of a public-private-partnership model.
Officials at Infrastructure Ontario are now poised to hand over a thirty year contract for the design, construction and maintenance of this line to a multinational consortium. One of the bidders, SNC Lavalin, has been banned from infrastructure projects by the World Bank, for bribery.
The TTC also had a tentative agreement with another company for an open fare system that was much more cost efficient and would have been compatible with the Presto Fare Card, but former Minister of Transportation Bob Chiarelli threatened to withdraw gas-tax funding and money for the purchase of new streetcars and the Eglinton Crosstown, if the TTC didn't adopt Presto on their terms.
Under provincial oversight, costs for the Presto Fare card have ballooned from $250 million to $700 million. According to former Auditor-General Jim McCarter, the Presto Next Generation P3 " is one of the most expensive fare card systems in the world" and it is still not ready for the Pan Am Games.
The Wynne government must stop this reckless give away to private interests. Some of that $8B could have been spent on expanding TTC service, lowering fares and creating good local jobs.Using public-private-partnerships to build transit in Toronto will only add to the already heavy financial burden of all citizens, especially low income residents dependent on public transit.
FOR IMMEDIATE RELEASE
Toronto — Transit riders gathered this morning at Dufferin Subway Station alongside TTCriders, the Toronto Environmental Alliance (TEA), and Environmental Defence Canada (EDC) to call on Toronto City Council to implement long-promised dedicated transit lanes on Dufferin and Bathurst streets.
The TTC is considering opening a physical merchandise store in an attempt to bring in non-fare revenue.
A plan proposed by TTC staff to go ahead with funding a pilot project that would have seen platform-edge safety doors installed at TMU (Dundas) station has been put on hold pending further discussion by board members.
