TTC riders might be slapped with a fare hike next year as the Toronto Transit Commission prepares to grapple with a $39-million shortfall, the commission's former vice-chairman warned on Tuesday.
Coun. Joe Mihevic told CTV Toronto that a fare hike seems unavoidable because the TTC can't look to the cash-strapped city or province for support.
Mihevic was speaking in response to a new report on the TTC's 2012 operating budget.
"We absolutely can't cut service," he said, adding that riders are still reeling from current service cuts to bus and streetcar routes.
"So there's only one choice left, I think we're going to see a Mayor Ford fare increase within the next little while."
TTC Chair Karen Stintz said the commission is launching a "core service review" to find ways to save money without raising fares.
But some city councillors have suggested a slight fare increase could be the perfect antidote to Toronto's own $774-million budget shortfall.
Coun. Gord Perks said he doesn't believe the city is in dire financial straits, but it could use a small fare hike to balance the books.
"I think we're in a financial position where — with a modest tax increase and a TTC fare increase next year — we could make it," he said.
Toronto's multi-million dollar shortfall doesn't include the mayor's promise to remove the land transfer tax.
The TTC could raise between $20 and $25 million with a 10-cent increase next year. It would take at least a 15-cent hike to cover the commission's shortfall.
The report on the commission's 2012 budget goes to the TTC's board of city councillors on Wednesday.
With a report from CTV Toronto's Alicia Markson.
