TTC Financial Update: September 2024

At its September 24 meeting, the TTC board considered several items, among them the quarterly financial update and a preview of the 2025 budget.

2024 Projected Results

The TTC expects to end the year with a lower than budgeted gap between revenue and expenses. Revenues are running ahead of projections because of strong ridership and a higher than expected average fare. For the six months to June, revenues are $15.6-million above budget. In turn, this translates to a better position going into the 2025 budget cycle.

Expenses are running below budget through a combination of unfilled vacancies and savings due to timing changes in some work. The projected year-end position is that the TTC will come in $52.2-million below its net budget (the portion requiring subsidy).

Ridership reached 81% of pre-covid levels in fiscal period 6 (most of the month of June) and is expected to hit 81.5% by the fourth quarter.

Note that ridership and revenue recovery are not the same thing because, allowing for inflation, the value of a fare has dropped while operating costs continued to rise.

Looking ahead to the next two years, there continue to be pressures on the TTC’s operating budget. As things currently stand, service increases will be small with the major changes coming when Lines 5 and 6 open, a date that is still not announced by Metrolinx.

The City’s target is for a 0% change in TTC funding. This is not as straightforward as it seems. Budgets are struck on a budget-to-budget basis, not actual-to-budget, and so the starting point is the budgeted subsidy in 2024. This arrangement has been in place for many years, and it gives an incentive for the TTC to end the year in a “surplus” position. Other aspects are changes, if any, in external subsidies and which aspects of TTC costs these offset. For example, the extra cost of Lines 5 and 6 are substantially covered by a new, albeit temporary, provincial subsidy and the City does not face this cost at least for 2025 and 2026.

The “Reserve Draw Reversal” is an accounting adjustment. Originally, the 2024 budget included a $15-million withdrawal from a reserve, but this was not required and will not be carried forward into 2025. Therefore, on a budget-to-budget basis this item shows up as reduced revenue. Like the “surplus”, this tactic is also fairly common in TTC budget planning.

Challenges the TTC recognizes going into 2025 include:

  • The need for attracting riders through “customer experience and satisfaction”
  • Changing demographics of Toronto
  • The ability to meet the 0% target without affecting service
  • Limited funding for state of good repair (this is the Operating Budget component that covers day-to-day work as opposed to major overhauls and asset replacement)

The Mayor’s Vision

The meeting agenda includes a letter from Mayor Chow regarding the hiring of a new permanent CEO.

We must be a city where people choose transit first because it’s the fastest, safest and most convenient choice to get to work, school or run errands – everywhere.

Imagine a city where a commuter taps their card to enter, paying an affordable fare, and then takes a working escalator or elevator down to the subway platform. The station is clean and well-maintained, the message board is working and tells them their train is on time. People aren’t crowded shoulder to shoulder waiting to get on the train, only to be shoulder to shoulder during their ride. If while they wait they feel unsafe, there’s someone there to help them. And they can rely on high quality public WiFi or cell service to chat with a friend or send that important text to a family member.

Imagine a system with far-reaching, frequent bus service. Where riders aren’t bundled up for 20-30 minutes outdoors, waiting for bunched buses to arrive. Where transfers are easy and reliable. Where there is always room to get on board. Where people can trust their bus to get them to work and home to their families on time.

In short, to make the TTC the better way again it needs to be reliable, safe and remain affordable.

People have to be able to count on their train, streetcar or bus to arrive on time, and to get them where they are going quickly – without surprise route changes, delays or bunching. Vehicles, tracks, stations and stops should be proactively maintained and in a state of good repair. Riders and transit workers should feel safe and respected on the system.

That’s a fine vision for what transit should be, but it does not align with the budget process now underway, nor with the projected level of service additions in the next few years.

Continue reading

TTC Line 2 Modernization Update

The TTC Board will meet on September 24 with several items of interest on the agenda. Among these is:

Also on the agenda is the quarterly financial report. I will review it in more detail in another article, but it includes material relevant to the Line 2 project

The modernization report updates the status of various projects, notably the proposed purchase of replacement trains for the T1 fleet on Line 2. Related projects include installation of Automatic Train Control, upgrades to Greenwood Yard, and various infrastructure changes to support future service increase.

Recent months have seen much hand-wringing over the timing of a subway car purchase and the state of both the aging T1 fleet and the 1960s-era signal system. The newfound urgency at TTC is due, in part, due to deferral of an entire package of Line 2 upgrades in past years.

A comprehensive plan was presented to TTC management’s Executive Committee in March 2017, but it sat on the shelf. [Note: This plan is not available online.] The plan included many components including a new fleet with a delivery window of 2026-2030, and conversion of Line 2 signalling to Automatic Train Control. Trains, signals and other infrastructure continue to age, costs rise, and the first of the replacement trains is not expected until 2030.

With later delivery of new trains, the existing T1s require another five-year overhaul cycle for continued service. This adds an estimated $163 million to overall costs which are already up due to inflation.

Thanks to the delay when the TTC and City were constraining the capital budget, the need for a Line 2 modernization was not “rediscovered” until 2023.

Toronto is now in the difficult position of having a huge appetite for transit capital, but with funding sources inadequate and uncertain beyond the immediate future. Assuming that each level of government will pony up one third of any project is a foolhardy basis for planning, and hard decisions will be needed about which projects can go ahead.

At a time when Toronto claims it wants to shift urban travel from cars to transit, the level of investment we will likely see will at best preserve existing operations and infrastructure.

Continue reading

TTC CEO’s Report September 2024

With the arrival of an Interim CEO, Greg Percy, at the TTC, the CEO’s Report has been somewhat reformatted, although the overall content has not changed much. All of the performance metrics and associated commentary have moved to a separate file on the TTC’s CEO Report page.

The covering report is signed by Josh Colle, recently appointed as Chief – Strategy and Customer Experience Officer and by Percy. Further changes to format and content are in the works “to align with the new 2024-2028 Corporate Plan”.

In his introductory remarks, Greg Percy announces that there will be an open house and guided tour of the Hillcrest complex on Saturday, September 28. Details are available here.

Ridership Update

In the ridership update, the report notes that weekday boardings reached 2.6 million per day during the week ending September 7, a post-pandemic high since March. Note that this count is not the same as “rides” which are linked trips, in planning terms, from one point to another. “Boardings” are unlinked trips which count each transfer separately. Most ridership numbers cited by TTC, certainly from pre-pandemic times refer to daily trips, not boardings. Here is a sample trip:

  • Bus–Subway–Streetcar

That trip counts as one ride but as three boardings. When the fare structure was simpler, rides and fares tended to be the same thing because one fare bought one ride. However, with the arrival of passes and now with the two-hour fare, the distinction is much more vague. It is not clear how the TTC reconciles historical “riding” counts with the new fare structure.

This distinction has been misreported in the press where the terms are used interchangeably:

During the first week of September, the Toronto Transit Commission told CTV News Toronto that 2.66 million riders boarded local transit each day—a post-pandemic high since the last week of March 2024.

[…]

Out of all modes of public transportation, the TTC said weekday boardings were highest across its bus routes, with 1.30 million commuters per day. Comparatively, the streetcar saw 230,000 and the subway had 1.13 million riders.

Source: CP24

This misinformation has been repeated elsewhere.

Pre-pandemic, the TTC typically carried 1.6 million rides per day, with two record days being 2 million (Papal visit) and 2.7 million (Raptors win). The TTC is doing better in 2024 than past covid-era years, but it is most definitely not close to 100% ridership recovery across the board.

Bus, streetcar and subway demand are up 3%, 10% and 9% respectively compared to a year ago. The higher increase for the rail modes implies that the downtown area is starting to see a return of peak riding that had already bounced back in the areas served mainly by buses.

Boardings vary greatly depending on the mode and day of the week. Numbers in the metrics are from July which has typically lower demand due to vacations and the absence of student traffic. However, numbers in the main report are cited from early September. This can lead to confusion when monthly numbers are compared from the two sections.

Ridership and boardings are reported in detail in the metrics. Revenue rides to July 27 are reported as 237.6 million, 0.8 million above budget, 8% above 2023, and 79% of the pre-covid level.

Demand continued to vary across weekdays, with Tuesday to Thursday being the busiest, and Thursdays being 11% busier than Mondays. Compared to pre-pandemic levels, average weekday boardings in July were 84% for bus, 65% for streetcar, and 73% for subway. The busiest weekday, however, was 87% for bus, 68% for streetcar, and 77% for subway.

Weekday peak- and off-peak demand recovered to 67% and 79% of pre-pandemic levels in July, respectively; demand in AM and PM peak periods continue to make up about 52% of all-day weekday demand.

That 52% figure is extremely important. Although there is much focus on commuting travel, this is only slightly more than half of weekday demand. There are more off-peak and weekend hours, and so their demand is less concentrated, but these periods carry a lot of TTC’s riders.

Continue reading

The Mythology of Service Recovery

Every few months, the TTC brings the cheery news that service is pushing ever closer to pre-pandemic levels.

Approved as part of the TTC 2024 Operating Budget, service investment will increase to 97% of pre-pandemic levels this fall, from 95% at the end of 2023. The first 1% increase occurred in the spring of 2024 and additional investment of 1% will be made through the fall.

These changes will be implemented alongside continued adjustments and reallocation of service to match capacity to demand. Overall, the changes will increase frequency, improve reliability, and strengthen connections throughout the city.

[CEO’s Report, September 2024, p. 10]

Riders waiting for their bus, streetcar or subway train might beg to differ.

This is an example of the “good news” mentality that overplays the achievement of the TTC and its recently-departed CEO, and contributes to the gap between publicity and day-to-day rider experience.

The basic problem is that the TTC measures “recovery” based on the weekly hours of scheduled service. This is not the same as the service riders see which is most easily expressed in buses/hour or in the scheduled interval between vehicles. (A 6 minute headway of buses is equal to 10 buses/hour.)

Over the years, service hours have grown because of traffic congestion (more buses are needed to provide the same frequency), recovery time (time for breaks at terminals), padding to avoid the need for short turns, and system expansion. None of these contributes more service to existing routes. These changes can inflate total hours needed to operate the network or, conversely, they can spread existing budgeted hours more thinly across routes.

A meaningful comparison looking route-by-route, time period-by-period, shows that in many cases the level of service, measured by frequency, has declined since January 2020, and in some cases the service is substantially worse. Details are shown later in this article.

A compounding factor to service reductions is the unreliability of service. Bad enough that buses and streetcars come less often, but when their spacing is not regular, gaps add considerably to waiting time and to crowding. In theory a route might have a scheduled number of vehicles per hour, but in practice their spacing causes most riders to jam on the first of the duo or trio that shows up. The average rider experience is a packed bus even if the average load over an hour meets standards. Few riders experience the relatively empty second and third buses in a pack. TTC reports crowding based on hourly averages without showing the variation between vehicles.

In brief, it is time for the TTC to start reporting service quality on a basis that corresponds to what riders see day-to-day in their travels. The current scheme may allow feel-good media events, but the contrast with actual experience undercuts the credibility of announcements.

Continue reading

TTC Service Changes Effective September 1, 2024 (Update 3)

As I write this on August 29, the TTC has still not issued the usual memo detailing service changes for the coming schedule changes on September 1. Although information has been published on their website, this is incomplete, and in some cases possibly inaccurate. In particular, the details of travel times and vehicle allocations are only available in the detailed memo, and these allow better understanding of how fleet and staff resources are being shifted around on the system.

Updated August 30 at 12:30 pm: I have received the detailed memo of service changes from the TTC and will be updating this article in stages. Changes in this update:

  • The memo confirms that the originally proposed removal of 87 Cosburn service to East York Acres is not happening. Schedules on 87 Cosburn and 64 Main are revised to interline the routes during many time periods on a 10-minute headway.
  • Changes in subway gap trains on Lines 1 and 2.
  • Several maps added or updated.
  • Fleet and service summary tables added.
  • Construction project list added.

Updated August 31 at 9:45 am:

  • The full spreadsheet showing details of headway, running time and vehicle allocation changes has been added at the end of the article. Note that some of the information in the original version proved to be incorrect when compared with the TTC’s detailed memo due to discrepancies in the TTC’s service change web page.
  • A list of routes for which the Summer service cut was not restored in the Fall schedules has been added.

Updated September 1 at 4:25 pm:

  • Headway information for the Sheppard corridor revised to match the service implemented, and to reduce complexity of the description.

Updated September 3 at 2:30 pm:

  • A reader has pointed out that the TTC’s streetcar night service map incorrectly shows service on routes 303 and 304 heading straight west through Parkdale via King to Roncesvalles rather than via their Shaw/Queen diversion.

See:

At a recent press conference, Mayor Chow and the TTC announced that many changes were coming in September. Two key points were omitted:

  • When the TTC speaks of service restoration relative to pre-pandemic levels, this is based on vehicle hours operated. However, on many routes so-called reliability adjustments extend the travel times and slow the scheduled speeds of buses. The result is that service arrives less frequently, but there is no change in vehicle hours operated.
  • Many service increases in September are restorations after the Summer lull when service is normally reduced due to lighter demand, notably on routes serving post-secondary schools.
Continue reading

Greenwashing the TTC

The TTC seeks feedback on its Innovation and Sustainability Strategy. As I write this, the announcement has been posted on X/Twitter, but not on the main TTC page. Instead, it is well hidden, like so much on the TTC site, among many items on the “Riding the TTC” page under “Green Initiatives”. There is a link from the survey’s introductory page, but this is only available when launching the survey, not afterward. Within the Green Initiatives page is a link to the TTC’s 2024-2028 Draft Innovation and Sustainability Strategy, a 50-page document that puts the survey in a wider context, but which most readers are unlikely to access, let alone read.

The survey contains three sections addressing various aspects of a TTC strategy:

  • An “innovation pipeline”
  • Prioritizing climate actions
  • A culture of innovation and sustainability

Reading through the Draft Strategy, the overwhelming impression is of the creation of a bureaucracy within the TTC, not to mention a pervasive presence of an Innovation and Sustainability czar. Much of their work would focus on internal changes, only some of which actually address climate effects. This is not to say that innovation per se is a bad thing, but it is not defined. Moreover, it has been bundled with schemes to green the TTC that are really a separate project.

Continue reading

TTC Annual Service Plan 2025

The TTC has released the first draft of their 2025 Annual Service Plan for comment on their site. Readers with suggestions should use the TTC’s survey for input to the plan.

Updated August 9 at 5:20pm: The TTC has supplied new versions of maps for routes 49 and 405, as well as for the Etobicoke Blue Night service change proposals. On their behalf, thanks to readers who have flagged issues on the original versions.

The consultation looks at three areas of TTC service:

  • Proposed 2025 Changes
  • The One Fare Program
  • Community Bus Routes (4xx series)

There will also be pop-up consultations at various locations around the city.

DateTimeLocationRoutes
Aug 74:30 to 6:00 amBus ride-along395, 385 and other affected night routes
Aug 76:00 to 8:00 amKennedy Stn334
Aug 76:30 to 8:00 amRouge Hill GO385
Aug 9Noon to 2:30 pmDufferin Mall402
Aug 129:30 am to NoonNorth Park Plaza400
Aug 134:30 to 6:00 amBus ride-along337
Aug 136:00 to 8:00 amKiping Station45, 49, 337 and other affected night routes
Aug 1412:30 to 2:30 pmBus ride-along13B
Aug 19Noon to 2:00 pmCoxwell Station22, 70 and 404
Aug 19Noon to 2:00 pmMain Station87A

In a recent Stakeholders’ session which I attended, it became clear that some of the 2024 ASP proposals that had not yet shown up in service would be coming in fall 2024. I asked the TTC for details of the outstanding 2024 proposals, and this information is in a table at the end of the article.

A further problem is that the substantial changes already planned for the Line 5 and 6 openings cannot be implemented until Metrolinx actually begins service there.

One key item that is not addressed by this round of consultation is the matter of service frequency. Most of the routes TTC proposes to modify suffer from infrequent service, and the benefit of the route changes will be muted by the absence of buses as opposed to lines on the map.

Continue reading

Streetcar Stop Spacing

A recent X/Twitter thread began with a claim that the streetcar system suffers from slow operation because of closely spaced stops, specifically below 100 metres. I made a short reply showing the average spacing for each route, but have now generated charts showing all routes in detail.

There are only a handful of stops spaced closer to or below 100m, and so the claim that this is a source of much delay is easily disproved. The question then is what the typical spacings are, why, and how much “efficiency” could be obtained by eliminating some of them. I do not attempt to answer that question here, but simply present the actual stop spacing data so that there can be informed debate.

The TTC’s design goals for stops are set out in the Service Standards:

2.4 Surface Stop Spacing
Surface stops should be designed in accordance with the TTC’s Technical Criteria for the Placement of Transit Stops. When the locations of stops are being planned for a route, it is necessary to strike a balance between the competing objectives of passenger convenience, operating efficiency, safety and community impacts. In general, increasing the number of stops on a route results in shorter walking distances for passengers but it also slows down service. To achieve a proper balance, the TTC will place bus stops in accordance with the standard presented in Table 2 [below].

Service ClassificationStop Spacing Range
Streetcar300 – 400 metres
Bus – Local300 – 400 metres
Bus – Express (Tier 1)650 – 1,000 metres
Bus – Express (Tier 2, Limited Stop)650 – 1,000 metres
Bus – Express (Tier 2, Local/Express)650m for express portion;
300 – 400m for local portion
Bus – CommunityFlag stop

It’s important to remember that Toronto streets are not laid out on a repeating grid as in some cities, and one cannot simply stop at “every second street”, or whatever layout works. Existing pedestrian circulation patterns, transfer points, major origins/destinations all play a role in defining a “good” stop location. This is even more of a problem in suburban areas with longer blocks and poor opportunities to access transit stop from “nearby” (as the crow flies) neighbourhoods.

Methodology

The stop distances for each route have been taken from the GTFS versions of the schedules published regularly by the TTC. These are used by trip prediction and planning apps to understand the layout of the system. In a few cases where current operations do not match the historic route layout (e.g. 501 Queen, 504 King, 512 St. Clair), I have used older data sources from a period when routes operated normally.

Continue reading

TTC Board Meeting: July 17, 2024

The July 17 Board meeting was extraordinarily long thanks to three in camera items, plus extended discussions of the CEO’s Report and of use of buses as homeless shelters during the winter.

The confidential session dealt with:

  • A collective bargaining update for two small groups of customer service and operations supervisor employees.
  • An update on advice from External Counsel. On a recorded vote, this was adopted with all Board members except Councillor Saxe in favour. As of the publication of this article (July 28), there have been no leaks about the subject of this report.
  • An update on the fare modernization program including the status of the Presto contract. The report was also discussed briefly in the public session later in the meeting.

The public meeting included:

  • The July 16 storm, flooding and hardening of infrastructure against climate change.
  • New subway trains and federal funding announced earlier the same day (July 17).
  • Prioritization of State of Good Repair projects. This item received scant attention although the report contains much interesting background on capital plans.
  • Safety on the TTC.
  • Use of shelter buses.
  • Transit network expansion update.
  • Fare Compliance Action Plan: See the updated version of my previous article on this report which includes the debate at the Board meeting.

Not discussed was the issue of hydraulic fluid leaks from subway work cars of which one quarter are still out of service. A report is supposed to be coming to the Board soon. It is not clear how much this situation is affecting the TTC’s ability to stay on top of track maintenance issues and the growing list of slow orders for track that cannot be safely operated at full speed.

Continue reading

TTC Service Changes: July 28, 2024

Only a few routes are changing at the end of July, although TTC has hinted that major service additions are coming in the fall. Given the state of the TTC’s budget, we will see in roughly a month just what that entails.

Rapid Transit Changes

2 Bloor-Danforth

Gap trains are removed from the weekday schedule due to a shortage of operators. This eliminates two trains in the AM and PM peaks, and five trains through the early and late evening periods. Four midday gap trains remain.

Night Service Changes

504/304 King

Three mid-evening trips eastbound from Humber Loop are added to provide a better transition between the 504B King and 501 Queen services west of Roncesvalles. There is no change to the 501 Queen nor to the 507 Long Branch schedule.

Schedules for the 304 King Night Car will be adjusted for reliability. Cars will continue on their present 20′ headway, but some driving time has been converted to terminal layover time.

305 Dundas

All-night service will be provided on Dundas over the same route as the daytime 505 with cars on a 30′ headway.

306 Carlton

Because Dundas is now a 24 hour route, the 306 Carlton Night Car will operate to High Park Loop, and will continue on a 20′ headway. (Note that although this is generally advertised as a 20′ headway, it actually widens to 30′ after 3am.)

332 Eglinton West, 334 Eglinton East & 354 Lawrence East

These routes will be changed to enter Eglinton Station via Yonge and Berwick rather than via the western entrance at Duplex. Stops at the south entrance to the station and at Berwick to provide transfer connections between these routes.

363 Ossington

Buses will serve the stop at Strachan and Canniff to provide a transfer connection with 304 King, and to match the daytime service.

Bus Changes

36 Finch West

Additional trips will be added in the AM and PM peaks, and in weekday early evenings to provide more capacity on this route. These are factory trips deleted in error in the June schedule change.

114 Queens Quay East

The 114 Queens Quay East bus has been using Lake Shore Garage as its eastern terminal since early July. This change is now formally in the schedule.

Buses run out of service east of Carlaw, but serve the Logan, Lake Shore, Carlaw loop in both directions.

123 Sherway

A trip from Kipling Station on the 123D East Mall service will shift from 6:11 to 6:12am to even out departures.

203 High Park

The 203 High Park shuttle operated with a Wheel Trans bus will now run east to Keele Station which provides an accessible connection to the subway. Buses will loop through High Park Station enroute. The headway is changed from every 20 to every 30 minutes.

937 Islington Express

Stops added at Dundas and at Rathburn to provide transfers to 40 Junction and 48 Rathburn.

945 Kipling Express

Stops added at Burnhamthorpe and at Rathburn to provide transfers to 46 Martin Grove, 48 Rathburn and 50 Burnhamthorpe.

Continue reading