There's a better way to run the TTC
Andrew Coyne
National Post
Monday, October 16, 2006
Traffic congestion costs Toronto an estimated $1.8-billion a year, and a poll of business leaders last week said that fixing it should be the new city council's first priority. In the second of a four-part series exploring the causes and potential solutions, Andrew Coyne argues in favour of fixing public transit by making it private.
The Toronto Transit Commission advertises itself as "The Better Way." Dutiful urbanists that they are, Torontonians are taught to believe this, or certainly to say it. Indeed, a strange cult surrounds the system: There are Web sites devoted to it, a magazine, clubs. One particularly dedicated transit fancier spent the summer photographing every one of the city's 69 subway stations.
Their actions belie them. Transit worship may be at an all-time high, but transit ridership is still below where it was 15 years ago. What no one is allowed to say, but everyone secretly knows, is that riding the TTC is not a terribly pleasant experience: slow, crowded, slow, inconvenient, and did I mention slow? And so anyone who can avoid using the TTC generally does.
For those who see the TTC as the answer to the gridlock that now holds much of Toronto in its grip, this presents a conundrum.
The traditional solution to the problem of how to get more people out of their cars and on to the buses is more subsidy. But you could give the tickets away -- you could pay people to take them --and a great many commuters still wouldn't choose the TTC. Not so long as the private automobile alternative remains as (relatively) fast (Statistics Canada figures show it takes a transit user an average of 41 minutes longer to get to and from work than a car user), pleasant and cheap as it does. And not so long as the TTC remains so institutionally unconcerned with the needs and desires of the travelling public.
Simple arithmetic would dictate that more passengers per vehicle equals fewer vehicles on the road equals more road space per vehicle. But while mass transit is obviously part of the solution, it's not so obvious that mass transit has to mean the TTC, or at any rate not the TTC as it is currently structured. Put it this way: If we were really serious about transit, if it is as vital as we all say it is, if we wanted to make riding the bus such a delightful experience that passengers would give up their beloved cars for it, is this the model we would choose -- a monolithic, state-owned, vaguely Stalinist monopoly? Or if we did, would we let a bunch of politicians run it?
The TTC has many problems. It is notoriously underserviced: just three subway lines, 52 years after the first opened, for a city of 2.4 million people. Where there are surface routes, service is haphazard and brutish, designed more to make life easy for transit employees than the people who use the system. The commission's continuing love affair with the streetcar, decades after most other North American cities abandoned them for the bus, is a mystery, given their obvious limitations: Not only are they slow and ungainly, even by public transit standards, but by taking up so much of the road they slow everyone else down to their pace. To say nothing of their cost, frequent breakdowns, damage to roads, unsightly wires and so on.
But the bulk of the TTC's drawbacks are less owing to particular mistakes of implementation than to its very position as a state monopoly. Though the TTC is not heavily subsidized relative to most other transit systems, it is still expensive: At $300-million annually, its operating subsidy is the second-most expensive item in the city's budget, after the police. (And that's just the explicit, on-budget subsidy -- never mind the exemption from corporate income taxes, or the effects of the city's underwriting of the cost of capital, among the usual peculiarities of public-sector accounting). Strikes, given the double monopoly position its unionized workforce enjoys, are a recurring event -- though, as it has been observed, in Toronto, as in no other city, the traffic generally moves faster during a transit strike.
And of course, there's the political interference. The model of the independent, professionally run Crown corporation, insulated from meddling politicians, is not one with which Toronto's city council seems familiar. The chairman of the TTC is in fact a member of council: since 1998, it has been that most political of politicians, Howard Moscoe. The result: tired of having their decisions overruled, their positions (in labour negotiations, notoriously) undermined, the TTC's past two general managers have both resigned in disgust. Meanwhile, city council has just awarded a $700-million contract for 234 subway cars to Bombardier, without considering other bids, on the novel grounds that this would create jobs 900 miles away in Thunder Bay. Is that really the responsibility of the TTC?
So perhaps the time is ripe to look at alternatives. At a bare minimum, it is remarkable that Toronto has not considered reform along the lines many cities across North America and around the world have adopted, that is of making the city not the provider of transit services, but the purchaser. Instead of one giant public-sector monopoly, routes are put out to competitive tender, on a mix of price and performance criteria. The commission would remain responsible for the overall transit grid, but the operation of the component parts would harness competition and private-sector flexibility in an attempt to find ways to deliver better service at lower cost.
The savings can be impressive. London Transport, for example, the world's largest urban transit system, reduced costs per vehicle kilometre by 51% from 1985, the year Britain launched its ambitious transit reforms, to 2000. Once freed to think outside the TTC box, private entrepreneurs might decide it makes more sense to use nimble minivans on slightly used routes, rather than bone-shaking, half-empty buses. They might rethink the present uniform fare scheme, charging more for longer distances, less for shorter. Or not: The point is to try different approaches and compare the results.
Still, this remains a limited form of competition: The criteria for assessing performance would remain those that occurred to transit planners, rather than passengers, who would remain in the grips of a local monopoly, albeit one that had been competitively awarded. The more full-throated form of competition, as Britain opted for in cities outside London, would allow competing bus services to ply the same routes. The advantage: Entrepreneurs would have even more incentive to dream up new ways of attracting passengers. Perhaps comfier seats? More flexible routes? On-board ice cream vendors?
The disadvantage: It's not as simple as that. The experience in Britain has been decidedly mixed. While cost savings were achieved, these were not always passed on to passengers. Instead, companies have seemed to compete on frequency of service, swooping in at a given stop just ahead of their rivals, or flooding routes with buses to ward off such predation.
Does that make the whole idea misguided? Not necessarily. American economists Daniel Klein, Adrian Moore and Binyam Reja have proposed auctioning "curb rights," granting companies the exclusive right to pick up passengers at a given stop for a given period of time. A company that had invested in attracting passengers to its stops would no longer have to suffer a competitor reaping the rewards.
Whichever model is adopted, the point remains the same: It is competition, not subsidy, that is the way to revitalizing transit. Subsidy, in fact, has the opposite effect. Entrepreneurs will only lie awake at night thinking of how better to serve passengers when their entire livelihoods depend on it. To the extent that they are instead compensated by the state, that incentive is reduced.
In any event, it's unnecessary. Put tolls on the roads, as proposed later in this series, make drivers pay the full cost of their filthy habit, and taking the bus will suddenly look a lot more attractive.
*****
50 cents goes a long way in the 905
Peter Kuitenbrouwer
National Post
Monday, October 16, 2006
Before Grace Sanchez MacCall accepted her job in communications at the Town of Markham, the Toronto resident spent half a day on the telephone figuring out how to get from her home in the Beaches to Markham Town Hall, on Highway 7 East.
Her odyssey, by telecommunications and by transit, reveals much about what it takes to traverse this vast region without a car.
"If I look at it on the map, it's not really that far," she said. "But nobody knew how I could get there."
For those of us accustomed to grabbing the straps of the Toronto Transit Commission's buses and subways, it is easy to scoff at the inadequacies of transit in the 905 region. Yet there is much that the suburban networks can teach the city about public transit.
For one thing, imagine spending an entire day riding transit -- on three systems that span Peel and Halton -- for just 50 cents.
As a TTC snob, it was with low expectations that I caught the 9:30 a.m. GO Train out of Union Station, heading to Bramalea.
When I arrived at the Bramalea GO station, there was a line of 75 students waiting for a bus to York University, and another bus heading to Bramalea Centre.
"How much?" I asked the driver.
"$2.50," he replied. An inspector on the bus clarified: "If you show your GO Train ticket, you can pay 50 cents."
Thus began my 50 cents odyssey.
The bus driver handed me a Brampton Transit transfer plus a colourful map of the system. The buses -- red, white and blue -- are clean, new, quiet and comfortable. They are also fairly full.
Eric, who is a lift-truck driver, was on his way to the hospital. He pointed out another bonus -- Brampton transfers are valid for travel in any direction, plus getting on and off, for two hours. (TTC fares are good for one-way only.)
"You go up to the Beer Store, pick up a case of beer, go home, so it's pretty convenient that way," he said.
The two-hour transfer and an easier, grid-based route system are among the innovations Brampton Transit introduced last year. Brampton added 35 buses and ordered a dozen more, coming in December.
"We need to attract riders before they go out and buy a second car," said Sue Bass, general manager of Brampton Transit.
Ridership surged 25% last year and is already up 12.5% in the first half of this year.
I changed buses a couple of times and explored Brampton's downtown before jumping on another bus that took me to a transit hub at Shopper's World. There I switched to a Mississauga Transit bus, where the driver exchanged my transfer for another, valid for an additional two hours anywhere in the vast sprawl of Mississauga.
But there are drawbacks. Charles Molnar, 40, lives in Brampton and commutes by bus to his job on the night shift at Bosch Tool in Mississauga. Both transit systems shut down before his shift ends at 2 a.m., leaving him with a four-hour walk home.
I changed buses again and arrived on the north side of Square One mall, another designated transit hub. Twenty people stood in line waiting to buy tickets from a single wicket, and only a few of the 22 bus lines serving the mall actually stop near the terminal; the rest pick up passengers at stops scattered along the sidewalks.
Kelly Ordog, who lives in Mississauga and took transit to a doctor's appointment in Brampton the other day, also takes the bus to her job at Burger King.
"They've put more buses on, so it's better. Having a car these days -- gas is so expensive, and if you're a first-time driver, insurance is crazy. My husband needs a car because he works at the airport. I can just take the bus. I've been doing it since I was little."
The bus rattled along to the border of Oakville, where, at another mall, I changed to Oakville Transit.
The bus driver wore a tie and busied himself with a hole punch. The sign behind his seat said, "Passengers are asked to remain seated while coach is in motion." (They'd never have such a sign on a TTC bus: You can never get a seat.)
At 4 p.m. at the Oakville Go station, I caught a train back to Union Station.
Total bus fare: 50 cents.
The next day I checked out the new VIVA bus network, which plies the main routes of York Region.
At 12:15 p.m., on the corner of Major Mackenzie Drive and Yonge Street in Richmond Hill, a gleaming, deep blue bus smoothed to a stop.
A dozen people boarded. One, a woman who spoke little English, attempted to pay on board, but the bus has no fare box: Riders must purchase tickets from machines at each stop.
The bus driver, dressed like a flight attendant in a smart black suit with a blue cravat, bounded off the bus to show the woman how to use the new machine. They both climbed aboard, and the bus purred away.
VIVA is perhaps the region's splashiest foray into transit improvements. The Region of York hired U.S. consultants, ordered new buses from Belgium, painted them blue and set up a network of bus stops, each equipped with machines that spit out tickets.
The buses are comfortable, with huge windows and padded seats. The driver, freed from collecting fares, can move the bus more quickly, and passengers can board through every door.
The region owns the buses but contracts out the job of driving and fixing them.
Passengers seem quite happy.
"This really does save time," said Mary Bastedo, waiting for a bus in Richmond Hill, on her way to study at the University of Toronto. "I've got a car, but I don't use it. I don't like the parking, and I like to do my bit for the environment."
The number of people riding the system has jumped by 10.8%.
"There are very few transit systems in North America that can boast that kind of growth," said Don Gordon, general manager of York Region Transit, who rides VIVA from his home near Markham Town Hall to the regional headquarters.
The last leg of this 905-journey took me on the buses of Durham, just before the transit strike that now paralyzes that system. The strike results from a decision in January, when Oshawa, Whitby, Ajax and Pickering amalgamated their bus systems to form Durham Regional Transit.
"Our residents commute across municipal boundaries," points out Oshawa Mayor John Gray.
It has been a difficult marriage. The problems stem from bunching together three different transit systems into one -- a point driven home just by looking at the drivers, who don't even wear the same uniform.
The amalgamation is a tough sell for Oshawa taxpayers, who paid $5-million for public transit last year and this year, after amalgamation, pay $8.5-million for service that is unchanged or, in some cases, not as good as before.
Oshawa brought the most modern fleet into the merger, said the Mayor.
"Ajax-Pickering had a deplorable fleet. They were all rusty, they would leak when it rains. They were just rolling disasters," Mr. Gray said. "Now we are paying for all the new buses. It's killing us that way."
Even after the changes, the Mayor said his family still needs two cars: "My wife bears the brunt of taking the kids to karate and soccer and swimming, and you can't do that by transit."
Despite the troubles in Durham, I only wish that more of my fellow TTC-riding snobs had the chance to ride the many-hued transit systems of the 905.
They may yet. Last week, Transportation Minister Donna Cansfield announced a $250-million, 10-year contract to Accenture, a global consulting giant, to develop a smart card that would allow passengers to travel anywhere on the network with a single pass.
However, as my adventures show, changing among the systems is the easy part. The money would be perhaps better spent on a call centre to help people navigate across the region by transit -- and on more buses.