Infrastructure Ontario’s April 2021 Update

Infrastructure Ontario issues quarterly updates about the projects it is managing for P3 procurement, and I have been tracking the transportation items on this site. Their April 2021 Market Update came out on April 8, but I have been waiting for clarification of some issues before posting here.

Here is a spreadsheet tracking changes in project status since these updates began.

Items highlighted in yellow have changed since the last update.

Note that this report only covers the procurement portions of Metrolinx projects that are undertaken through Infrastructure Ontario. Contracts that are in construction, or are directly tendered and managed through Metrolinx outside of the P3 model, do not appear here.

Ontario Line, Line 1 North Extension (Richmond Hill Subway), Line 4 Sheppard East Subway

There are no changes to these projects in this update.

Line 2 East Extension (Scarborough Subway)

As previously announced, the tunneling contract gets underway this spring. The contract for the remainder of the project (stations etc.) enters the Request for Qualifications (RFQ) stage this spring/summer, but contract execution is not expected until spring 2023.

Note that vehicles for the extension will be procured as part of a TTC order for fleet expansion and renewal that does not show up in the IO updates.

Line 5 Eglinton West Extension

As previously announced, the tunneling contract gets underway this spring. There is no date yet for the remainder of the project to enter the RFQ stage.

GO Expansion Projects

Metrolinx came up with a new term for procurement, the “alliance” model where more responsibility for the project is shifted back onto Metrolinx as owner rather than expecting bidders to take on a substantial project risk. This showed up in the Union Station platform expansion project early in 2020.

In this round of updates, things appear to have gone a step further. Three projects (Lake Shore East and West Corridors, and the Milton Corridor) are reduced in dollar value. I asked Infrastructure Ontario about this, and they replied:

Since the previous Market Update (Dec 2020), there have been some changes in scope of work for these projects. Items which have been descoped may be carried out by Metrolinx in the future under separate, traditionally-procured contracts. The intent is to better manage risks and costs with respect to the GO Expansion program.

As these projects remain in procurement, we will provide further updates this spring/summer.

Email from Ian McConachie, IO Media Relations, April 9, 2021

Specific changes by corridor:

CorridorChange (per Infrastructure Ontario)Previous CostUpdated Cost
Lakeshore WestDescoping of Exhibition Station in-corridor enhancement works and track improvements, Clarkson Station and Bronte Station in-corridor enhancement works.$500M-$1B$200-500M
Lakeshore East-Central Descoping of Scarboro Golf Club Works and 2.5km of grading (previously part of LSE-E) and deferral of Highland Creek Expansion $200-499M$100-200M
Milton Descoping of Station Operations West Facility and replacing the pedestrian tunnel with a pedestrian bridge. $100-199M< $100M

The project formerly called “Milton Corridor” is now called “Milton Station”.

A separate project line, Lakeshore East-West Corridor, dropped off of the IO Update in mid-2020. The project was transferred to Metrolinx for delivery as a non-P3 contract.

The comment about “better manage risks and costs” is telling here, and it implies that the P3 model has not worked out as favourably as hoped for all of Metrolinx’ work. In some cases it is simpler and cheaper to just go out and buy/build something yourself than to set up elaborate machinery for others to do this for you.

Notably the $10B GO “ON-Corr” project which entails a complete restructuring of GO including future operation, maintenance and electrification has not changed status in a year. With GO’s ridership uncertain in the near term, projecting just what Metrolinx might ask a P3 to undertake, let alone contracting for it, is like peering into a very cloudy crystal ball.

TTC Transit Expansion Update

At its February 10, 2021 meeting, the TTC Board receive a long report entitled Transit Network Expansion.

The raison-d’être for the report is to obtain the authorization to increase staffing by 34 positions that would be funded by Metrolinx, but would be part of the TTC’s stucture. Many aspects of projects underway by Metrolinx depend on TTC input and acceptance because they affect lines the TTC will operate and, at least partly, maintain. A new Transit Expansion Assurance Department within Engineering & Construction. The authorization include provision for temporary expansion beyond 34 should this be required.

This move is intriguing because it implies Metrolinx has accepted that it cannot build new lines completely on their own without TTC input, especially when they will operate as part of the TTC network.

The report also requests authorization for:

[…] the Chief Executive Officer, in consultation with the City Manager, City of Toronto where applicable, to negotiate a Master Agreement and/or other applicable Agreements with the Province and/or any other relevant provincial agency for the purposes of the planning, procurement, construction, operations, and maintenance of the Subway Program, in accordance with Board and City Council direction, and to report back to the Board on the results of such negotiations. [pp. 2-3]

There is a great deal more involved in building and operating transit projects than holding a press conference with little more than a nice map. Now comes the hard part of actually doing the work. Whether Metrolinx will negotiate in good faith remains to be seen, but the TTC and Toronto appear to be less willing to hide Metrolinx’ faults in light of the Presto screwups.

Another recommendation has a hint that all is not well with consultations, as that should be any surprise to those who deal regularly with Metrolinx.

Request Metrolinx to conduct meaningful engagement with the TTC’s Advisory Committee on Accessible Transit (ACAT) as part of the Project Specific Output Specification (PSOS) review and design review for all projects within the provincial programs. [p. 3]

The operative word here is “meaningful”. ACAT has already complained of difficulties with Metrolinx including such basics as poorly designed elevators on the Eglinton Crosstown line that cannot be “fixed” because they have already been ordered.

Right from the outset, the TTC claims to have a significant role, a very different situation from the days when Metrolinx claimed it would be easy for them to take over the subway system.

The TTC continues to play a key role in the planning, technical review, and implementation of all major transit expansion projects in Toronto and the region. These include the Toronto Light Rail Transit Program and the provincial priority subway projects, referred to collectively as the “Subways Program”: the Ontario Line; the Scarborough Subway Extension; the Yonge North Subway Extension; and the Eglinton Crosstown West Extension. [p. 1]

In support of the staffing request, the report goes into great detail on many projects:

Two projects are not listed among the group above, but there is a description buried in the section on Bloor-Yonge expansion.

  • Overall subway system capacity and service expansion
  • Any discussion of the Line 2 renewal project

There is no discussion at all about renewal and expansion of surface service. This is just as important as new lines, but it is not seen as “expansion” with the political interest and funding that brings. Yes, this is a “rapid transit” report, but the core network of subway lines dies without the surface feeder routes, and many trips do not lie conveniently along rapid transit corridors.

The map below shows the location of most of the projects, but there are some odd inclusions and omissions.

  • The RapidTO bus corridors are not included.
  • City-funded GO stations at St. Clair/Old Weston, Lansdowne, King/Liberty, East Harbour and Finch/Kennedy are shown.
  • GO funded stations at Woodbine Racetrack, Mount Dennis, Caledonia and Park Lawn are shown.
  • The planned improvement at between TTC’s Dundas West and GO’s Bloor station is not shown, nor is any potential link between Main and Danforth stations.
  • SmartTrack stations are shown, but there is no discussion of how GO or ST service would fit into the overall network.

The following two maps have attracted a lot of attention, although they do not tell the full story. Much as I am a streetcar/LRT advocate, the presence of the entire streetcar network here is misleading, especially in the absence of the RapidTO proposals. Some of the streetcar lines run in reserved lanes, although thanks to overly generous scheduling some of them are no faster than the mixed-traffic operations they replaced (notably St. Clair). However, most of these routes rank equivalently to the bus network in terms of transit priority. If we are going to show the streetcar lines, why not the 10-minute network of key bus route?

The map is also distorted by having different and uneven scales in both directions. The size of downtown is exaggerated while other areas are compressed.

For example, the distance from Queen to Bloor is, in reality, half that of Bloor to Eglinton and one quarter of Eglinton to Finch. It is also one quarter of the distance from Yonge west to Jane or east to Victoria Park. For comparison, the TTC System Map is to scale, and it shows the city in its actual rectangular form.

This map gives an impression of coverage, but masks the size of the gaps between routes as one moves away from the core. Bus riders know all about those gaps.

By 2031, the network is hoped to look something like this. No BRT proposals are shown, but we do see the waterfront extensions west to Dufferin, and east to Broadview (East Harbour). Also missing are the GO corridors which, by 2031, should have frequent service and (maybe) attractive fares. They are (or should be) as much a part of “Future Rapid Transit” as the TTC routes.

This map is trying to do too much and too little at the same time. It also reveals a quite selective view of “regional” transit.

I am not trying to argue for a map that shows every detail, but it should exist (a) in scale and (b) in formats with overlays showing major parts of the network and how they relate to the overall plan. When people concentrate on the pretty coloured lines, they tend to forget the other equally important parts of the network.

Continue reading

Eglinton Crosstown Delayed Again (Updated)

This article was updated at 2:00 pm on October 2, 2020 to include remarks from Metrolinx CEO Phil Verster. Scroll down the end of the article to see the update.

In the Toronto Star, Ben Spurr reports that the opening date for the Crosstown line has been delayed five months to 2022, and even then it will open in stages.

New report says the Eglinton Crosstown LRT could open five months late — and without its Eglinton stop

Metrolinx, the provincial transit agency overseeing the project, conceded earlier this year that the $5.3-billion, 19-kilometre LRT across midtown won’t be finished by the previously announced deadline of September 2021. Metrolinx says it now expects the line to open sometime in 2022, but a firm date hasn’t been set.

But according to a new report, Crosslinx Transit Solutions, the private group contracted by the province to build the line, has floated a plan for a phased opening. It would see most of the LRT in service by Feb. 28, 2022, with the exception of Eglinton station, which wouldn’t be fully complete until September 2022.

Source: Toronto Star

Construction watchers might see this as a confirmation of what they see looking at slow progress at key sites, but there are more important issues at work here.

The news came not from Metrolinx itself, but from a notice from Moody’s Canada that it was downgrading its rating outlook for Crosslink Transit Solutions “to negative from stable owing to the likely delay in the completion of the Eglinton LRT Project”. The rating of CTS debt is not changed, only the outlook for potential updates.

At issue is the question of how much of this delay’s cost will fall to the P3 partner CTS and how much to Metrolinx and the Government of Ontario. To the degree that CTS must absorb this, their financial situation would be weakened.

An intriguing point in this announcement is that the value of affected debt is cited as $731.9-million (Canadian), a relatively small part of the total project cost. The entire P3 concept was sold on the basis that financial risk would be transferred from the Province to its partners.

According to the Star, CTS has claimed extra costs for a variety of delays such as unexpected conditions at Eglinton Station and labour constraints due to the pandemic. Metrolinx denies these claims, but if they eventually do pay out, it would not be the first time.

Various dates are cited by the Star for the line’s opening:

  • February 28, 2022: The date for opening most of the line, except Eglinton Station, according to Moody’s report
  • May 2022: Completion of most of Eglinton Station
  • Fall 2022: Direct connection to the existing subway station opens

What is not clear is whether the February date includes provision for testing and acceptance of the nearly-completed line by Metrolinx.

Between May 2022 and opening of the subway link, passengers would have to transfer by walking on Eglinton between the existing subway entrance and a new entrance building to the LRT station.

For some time, the Metrolinx page for the Crosstown project cited an expected completion of 2021, but in March 2020 this was changed to 2022. This problem has been brewing for some time. Spurr reported the delay in February 2020 (see Eglinton Crosstown faces another setback, delayed until 2022).

The original target for substantial completion of the contract was September 2021, but there is an 18-month window to the “long stop date” when the agreement could be terminated. Now, only six months remain in that window. What exactly Metrolinx would face if they pulled the plug is unknown, but this would leave a nearly complete line tangled in legal problems.

The TTC and City of Toronto face ongoing costs for the service implications of the construction project, but this would be offset by a delay in the point where Metrolinx would begin billing the City for the line’s operation and maintenance (the TTC will only be directly responsible for part of this work).

“Metrolinx is focused on ensuring that (Crosslinx) fully meets its obligations to deliver a system as soon as possible — a system that is complete, fully tested and ready to provide high quality, safe and reliable service to our customers,” said Metrolinx CEO Phil Verster in a stern statement.

He said Crosslinx “has not achieved necessary production rates to achieve the original project schedule” and Metrolinx “will continue to hold (the consortium) accountable for these delays.”

Source: Toronto Star

Metrolinx may take a hard line attitude to non-performance by CTS, but more than bluster will be needed to achieve project completion. The expected June 2022 provincial election will bring considerable pressure to provide a ribbon cutting for Premier Ford at whatever cost is necessary.

Updated October 2, 2020 at 2:00 pm

Metrolinx has issued a statement from CEO Phil Verster through the Metrolinx Blog.

This includes the following comments:

Transit projects are delivered on-time when the contractor achieves the production rates they committed to and only through the proper management of their own logistics and operations. In the case of Eglinton Crosstown, our building partner, Crosslinx Transit Solutions (CTS), has not achieved necessary production rates to maintain the original project schedule that they committed to in their bid.

Any suggestion, like the one made in the Moody’s Credit Opinion, that the line could be considered ready to open without the ability for passengers to get on or off at the flagship station at Yonge and Eglinton, where tens of thousands of passengers will transfer on a daily basis between the Eglinton Crosstown and the TTC Line 1 Subway, is completely a distraction and is not in line with the obligations CTS took on when it signed the contract.

It is imperative that CTS now focuses on getting the project completed, including Eglinton Station, to the highest quality standards.

Source: Metrolinx Blog

It is clear from this statement that Metrolinx is taking a hard-line attitude to the current state of the project. Whether this will provoke improved performance by the CTS consortium, or create a logjam in negotiations remains to be seen.

This is among Metrolinx’ largest projects, and if the P3 is unable to deliver as promised, this will undermine the credibility of this method of project delivery. However, what could also happen is that industry’s appetite for such undertakings and especially for assumption of risk may be reduced threatening the bidding process for other projects including rapid transit lines and GO expansion.

Drifting Timelines on Metrolinx Projects (Updated)

Updated June 23, 2020 at 1:50 pm: The table of projects has been updated to include anticipated events, notably “financial close” dates, that were included in various project announcements by Infrastructure Ontario. Also Union Station Platform Expansion was described in the original version of this article as closing sooner than originally projected. This has been corrected to show a delay of roughly nine months.

Infrastructure Ontario recently released its Spring 2020 Update for P3 projects under its control including several Metrolinx projects. To date there have been three of these updates:

These updates include information on the project status, the type of procurement model, and the expected progress of each project through the procurement process. This provides “one stop shopping” compared to Metrolinx’ own site. As a convenience to readers, I have consolidated the three updates as they relate to transit projects to allow easy comparison between versions.

Some projects have evolved since the first version, and in particular the delivery dates for a few projects have moved further into the future. The “financial close” dates for some projects, in effect the point at which a contract is signed and real work can begin, has moved beyond the date of the next Provincial election. Whatever government is in power after summer 2022 will have a final say on whether these projects go ahead.

Subway Projects

Ontario Line

The Ontario Line was previously reported as a single project with a price tag of over $10 billion. In the Fall 2019 update, the intent was to have the financial close in Winter/Spring 2022 ahead of the election. In the Winter 2020 update, this changed to Spring 2022.

In the Spring 2020 update, the project has been split into separate parts to reflect industry feedback about the original scope.

  1. GO Corridor from Don River to Gerrard
  2. South Tunnels, Civil Works and Stations CNE to Don River
  3. Rolling Stock, System Operations & Maintenance
  4. North Tunnels, Civil Works and Stations

The GO corridor work will be done as a conventional procurement by Metrolinx and will be bundled with upgrades to GO Transit trackage.

The financial close for items 2 and 3 above is now Fall 2022, and for item 4 it is Fall 2023.

This means that an actual sign-on-the-dotted-line commitment to the project will not be within the current government’s mandate. Even the so-called “early works” comprising the southern portion of the route from Exhibition to the Don River is not scheduled to close until Fall 2022. The northern portion, from Gerrard to Eglinton will close in Fall 2023. This contract is being held back pending results for the south contract to determine the industry’s appetite for the work.

The southern portion, with a long tunnel through downtown and stations in congested street locations would start first. However, the line cannot actually open without the northern portion because this provides the link to the maintenance facility which is included as part of item 3 above although the actual access connection would be built as part of item 4.

An issue linking all of these projects is the choice of technology which, in turn drives decisions such as tunnel and station sizes, power supply, signalling and maintenance facility design. When the Ontario Line was a single project, Metrolinx could say that this choice was up to the bidders, but now there must be some co-ordination to ensure that what is built can actually be used to operate the selected technology. It is hardly a secret that Metrolinx is promoting a SkyTrain like technology, although which propulsion scheme (LIM vs rotary motors) is not clear. There are well-known problems with LIMs and the power pickup technology used on the SRT, and this would also be a consideration for the outdoor portions of the Ontario Line.

Scarborough Subway Extension

Like the Ontario Line, the Scarborough Extension has been split into two pieces. The first will be the tunnel contract from Kennedy Station to McCowan. This is now in the  procurement phase, and financial close is projected for Spring 2021.

The remainder of the project previously had a projected closing date of “Winter/Spring 2023”, but this is now just “2023”. With the tunnel hived off into a separate contract, it is reasonable that the remainder would have a later start date because the tunnel is a key component that must be in place first.

Metrolinx recently published a Preliminary Business Case for this extension. It includes the following text:

Kennedy Station Pocket Track/Transition Section

The Kennedy transition section extends roughly 550 metres from the east side of the GO Transit Stouffville rail corridor to Commonwealth Avenue and will include special track work and a pocket track to enable every second subway train to short turn to suit ridership demand and minimize fleet requirements, as well as lower operating costs. [p 24]

This turnback has been an on-again, off-again part of the project but it is now clearly included as a cost saving measure. With only every second train running to Sheppard/McCowan, the fleet required (as well as storage) would be within the system’s current capacity. This ties in with the timing of the T1 fleet replacement on Line 2 as there are enough T1s to run alternate, but not full service to Sheppard. This would be similar to the arrangement now used on the TYSSE where only half of the AM peak service runs north of Glencairn Station to Vaughan.

Richmond Hill Subway Extension

The Ontario government recently signed an agreement with York Region for the extension of the Yonge line from Finch to Richmond Hill. The status of this project is unchanged with an RFQ to be issued in Fall 2021, an RFP in Spring 2022 and financial close in Fall 2023.

Sheppard East Subway Extension

This project remains in the planning phase.

Continue reading

Eglinton West: An LRT Subway for Etobicoke?

On February 28, 2020, Metrolinx release a Preliminary Business Case for the Scarborough Subway Extension, and an Initial Business Case for the western extension of the Eglinton Crosstown LRT from Mount Dennis to Pearson Airport.

The Eglinton West Extension IBC is not as blatantly skewed as the Scarborough study in that it acknowledges the LRT plans and uses these as a starting point. The SSE study simply pretends that LRT does not exist and touts “benefits” of the subway versus a bus network.

The idea of a line along Eglinton West has been around for a long time.

  • 1972 ‘GO Urban’ and Rapid Transit Plan on Eglinton: Eglinton corridor was part of Province’s and TTC’s ‘Intermediate Capacity Transit System’ (ICTS) Network Plan (in which the present Scarborough RT was a part of)

  • 1985: ‘Network 2011’ and Eglinton West Plan: TTC Report identified Eglinton West as busway corridor as part of Metro Toronto’s rapid transit network plan (in which the present Sheppard subway was a part of)

  • 2007: ‘Transit City’ and Eglinton Crosstown Plan: Eglinton Crosstown LRT (spanning from Pearson in the west to Kennedy in the east) was part of the City of Toronto’s surface rapid transit expansion proposal

  • 2010: Crosstown LRT Project Approval: City of Toronto sought EA approval for surface LRT alignment from Kennedy to Pearson Airport Area boundary, one year after the City approved the full-length Eglinton Crosstown alignment

  • 2012: Eglinton West Segment Deferment: Metrolinx undertook Crosstown LRT construction, with Mount Dennis-Pearson Airport segment deferred due to funding constraint

  • 2016: Eglinton West LRT IBC: City of Toronto and Metrolinx co-published Eglinton West LRT’s first IBC and recommended surface LRT option, and the City approved funding for preliminary planning and design works

  • 2017: Grade Separation Review: City of Toronto approved arterial and midblock stops along Eglinton West and conducted grade separation study to address community concerns

  • 2019: Surface Option’s Affirmation: City of Toronto in its report maintained its preference for surface LRT based on fine-tuned benefit-cost analysis. [p 9]

As an historical note, a mid-1960s TTC plan to serve the airport with LRT linking southeast to the Bloor Subway and northeast to the Finch corridor was stillborn thanks to the 1972 GO Urban scheme.

We have arrived at a preferred subway option by provincial fiat:

In December 2017, the City of Toronto conducted further studies on additional grade-separated options based on inputs from the local community who are concerned with the at-grade LRT’s traffic impact. The number of options for the Toronto Segment were revised to four (featuring at-grade and below-grade alignments with frequent arterial and midblock stops, and a mostly below-grade alignment with either a single stop or multiple arterial stops) and re-evaluated using traffic model updates and additional metrics recommended by community representatives.

Nonetheless, the City of Toronto in early 2019 released a report re-confirming their preference for an at-grade LRT due to its cost-effectiveness in meeting all of the city’s project and policy objectives.

Subsequently, the Province’s 2019 Budget announcement included the extension of the Eglinton Crosstown LRT to Mississauga as one of the four budgeted rapid transit projects with an underground alignment. [p 27]

This is a second “Initial” study, but it is in the context of Premier Ford’s strong preference for subways. The usual caveats apply about the rough level of cost estimates and comparisons between options.

There is a fundamental conflict in the analysis in this study triggered both by the Premier’s distaste for “streetcars” and by Metrolinx methodology.

The surface option carries the greatest number of weekday riders, but one of the subway options carries the most “new” riders. In other words, the surface option does a better job of serving existing demand while not drawing as much new demand, while the subway option leaves some existing demand quite literally “out in the cold”, but (according to the modelling) shifts more people to transit from autos. The machinery of value assignment rewards the new riders more because they allegedly represent less auto use, and they tend to be longer-distance riders who save more travel time.

At no point does the study explain why carrying fewer total riders at much greater expense constitutes a valid planning outcome.

Continue reading

Eglinton Crosstown LRT Chronology (Updated)

Updated February 21, 2020 at 11:00 am:

This update includes a reply from Metrolinx detailing the nine-month contractor delay he cited in his announcement of the 2022 opening for the Crosstown, as well as additional information on delays to the project.

Metrolinx Metrolinx Media Relations provided additional information on the status of work at this point in an email on February 20, 2020.

Based on CTS’s original schedule, 30% design packages for the majority of stations (the first step in the final design process) were to have been completed and approved by December 2015/January 2016.

With the exception of Keelesdale station, none of that work was completed until March 2016 or later, and in the case of Eglinton station the 30% design was rejected due to design deficiencies.

It’s also important to note, that other key aspects of design, such systems design components, were also delayed significantly.

Despite the known delay at this point, this was not mentioned in public reports in following months.

While the update explains some of the issues CEO Phil Verster referenced in his announcement, it does not explain the reason why the in service date continued to be cited as September 2021 well after Metrolinx knew that this was not likely or possible. The opening date has been cited publicly and is included in TTC’s 2021 budget and bus fleet plan.

Internal Metrolinx status reports from September 2019 show that the problem at Eglinton Station was already a known issue as were problems with ground water at Avenue Station and a conflict with CPR at Mount Dennis, among other construction-related delays. The estimated substantial completion date was already in 2022, and it continued to move later in the year to at least May 2022. It is not clear whether “substantial completion” coincides with opening, or merely with the point where commissioning of the line can begin, a process that is several months long and during which other problems that could delay revenue service might arise.

Moreover, the claim by Minister Mulroney that proposed legislation would have accelerated this project by three years remains completely unsupported by the actual project chronology.

Updated February 21, 2020 at 7:00 pm: Metrolinx has confirmed that “substantial completion” includes commissioning so that revenue service can begin.

Original article:

On February 18, Transportation Minister Caroline Mulroney introduced the Building Transit Faster Act which is intended to speed up progress on the four key Ontario transit projects in the Toronto area: The Ontario Line, the Eglinton West LRT extension, the North Yonge subway extension to Richmond Hill, and the Scarborough Subway extension to Sheppard.

The day before, February 17, the Star’s Ben Spurr reported that the Crosstown line’s opening would be delayed until “well into 2022” according to Metrolinx CEO Phil Verster. This delay had been rumoured for some time, but was denied by Metrolinx until now.

Metrolinx published a statement on their website including photos showing unexpected conditions discovered on the Yonge Subway tunnel structure at Eglinton Station that were responsible for part of the delay.

The statement also includes a claim that the consortium building the project, Crosslinx Transit Solutions started work “nine months later than planned after contract award in July 2015”. This does not align with actual events as shown later in this article. I expect to receive a clarification from Metrolinx on this matter soon.

During her press conference, Minister Mulroney claimed that the Eglinton Crosstown project would have opened three years sooner had the provisions of the Act been in place. This claim is hard to believe considering the nature of the delays we know about, the types of delay addressed by the legislation, and the actual chronology of the project.

Eglinton and other projects have faced numerous hurdles, but these have overwhelmingly been political and financial.

To sort this out, I have assembled a history of the Eglinton Crosstown.

Continue reading

The Ford/Tory Subway Plan: Part II – Technical Appendices

In the first of two articles, A Big Announcement, or a Transit Three Card Monte?, I reviewed the proposed agreement between Ontario and Toronto whereby the Province would build four lines or extensions at no capital cost to the City, and ownership of the existing system would remain in City hands. This has been hailed as something of a “peace in our time” solution to the contentious relationship between Premier Ford and the City, but there are many outstanding issues that will not be resolved before the City signs on to the new deal.

In this article, I turn to three appendices to the City report, specifically:

Citations in this article are in the format [A3, p5] where “A3” is the attachment number and “p5” is the page number.

Reading through these documents, I was struck by how an essential section is buried right at the end of Attachment 4: the City/TTC evaluation of the Metrolinx Initial Business Case for the Ontario Line.

The main report is enthusiastic about the viability of the proposals and the contributions they will make to the City of Toronto. However, the attachments reveal the degree to which the scheme is far from complete or settled. There is a caveat that if the proposals change significantly, then the gushing support for the new plans could become only a trickle. But the political pressure is for the City to commit to the scheme, whatever it may become, in the rush to “get shovels in the ground”.

This is a long article intended to pull key points out of the technical discussion of proposed new lines in an attempt to highlight the major chunks without requiring readers to wade through every page (although the keen ones among you certainly will, I’m sure).

Timing of Market Calls for Procurement / Public Participation

The City/TTC have not received a detailed schedule from Metrolinx, however the Infrastructure Ontario Fall update includes the following timelines:

  • Ontario Line: RFQ Spring 2020, RFP Summer/Fall 2020
  • L2EE: RFQ Winter/Spring 2021, RFP Summer/Fall 2021
  • YSE: RFQ Fall 2021, RFP Spring 2022
  • EWLRT: To be determined [A3, p12]

This is aggressive for the OL and gives very little chance for substantive change before the RFP goes out. “Public participation” will be minimal in the best Metrolinx tradition.

The opportunity for feedback and input throughout a project’s development may differ given the anticipated P3 delivery model. Details regarding the Province’s proposed approach are provided as Attachment 11 to this report. City and TTC will continue to advocate for meaningful public consultation on provincial transit projects. [A3 p11]

There are conflicting priorities in completing work regarding the new design and changes to the Assessment with the desire for an expedited delivery process.

Q22: Has an assessment of construction-related impacts been undertaken as part of the preliminary planning and design? What about impacts on community, businesses, traffic congestion, noise, etc.? If not, when will this occur and be factored into decisions on build methodology, procurement, and a program for business and community supports?

A: The City/TTC expect that this will be undertaken as part of the updated environmental work for the TPAP(s).

Q23 Will the Province adhere to City permits and approvals, per the practice under the LRT Master Agreement?

A: The applicable Master agreement(s) for these projects are to be developed, and it will be the expectation that agreed upon service standards and timelines for applications, permits and approvals will be adhered to. The Province is seeking city commitment to explore opportunities to accelerate and expedite delivery including review of processes, and leveraging powers and authorities. [A3 p13]

Q29: Are you building the [Ontario] line to a budget of $10.9 B or are you building a line with a defined scope of work?

A: The project cost estimate is preliminary based on the current state of development. The scope in so far as length and areas served have been consistently stated. Future adjustments to scope, budget and schedule will be identified as part of subsequent phases of work. [A3 p15]

“Future adjustment” is a term that implies potential change, but how would this be handled with a P3 contract already in place? When do the requirements to deliver on time, on budget, supersede whatever objections or improvements might emerge from a review process?

Transit Oriented Development

One of the Province’s favourite terms now is “Transit Oriented Development” and the supposed ability to pay for transit with development charges and fares from new riders. There is a question, however, of whether the Province will seek higher density around stations to pay for its rapid transit plan even if this requires development at a scale beyond what the City has planned or the neighbourhood is expecting. What other costs will TOD bring for infrastructure, services, schools? The overdevelopment of Yonge & Eglinton, where the Province wants to see even more density, is a prime example.

Q13: With respect to “transit-oriented development” and seeking private sector investment, what assumptions are being made with respect to compliance with the City’s Official Plan policies and guidelines?

A: The Province has committed to work with the City to ensure that transit oriented developments advance a shared understanding for effective growth and high quality development of Toronto. The City and the Province are working through the details of an agreement on how they will work together to advance TOD opportunities. [A3, p10]

That is not the most reassuring of comments given the bull-headed nature of Provincial policy development. Doug Ford (and his brother before him) believes in the magic of the private sector somehow covering the cost of his dreams. This could have severe consequences for both the City and for the transit system if that dream is exploited to remove controls on high density development.

Getting There From Here

There is a problem throughout much rapid transit planning in Toronto that agencies only consider the end state after many projects have been built, new jobs and residences have been created, and magically we are transported to a future date and city where the models run.

Unfortunately, we have to get from 2019 to 2041, the year for all of the modelling cited in these reports, and there is no guarantee that the system can handle either the intermediate stages nor the “end state” if things do not occur as quickly as we hope.

Although GO expansion is part of the next decade’s work, there is nothing published to show how it will affect the TTC network for good or ill. Indeed, a major role for the Ontario Line now appears to be “relief” for congestion at Union Station almost to the point that relief of subway congestion is a secondary matter.

SmartTrack is a mythical “service” whose final configuration is still not known. Metrolinx has been quite evasive on this point, and the best we can hope for is a train every 15 minutes at “SmartTrack” stations along the Weston and Stouffville corridors. Two of the six ST stations may never be built because they physically conflict with, or lose projected ridership to, other services.

It may suit planners and politicians to talk of demand models for 2041, but what will the 2020s and 2030s look like on Toronto’s and the wider region’s transit system as we await the arrival of new services? This is a major shortfall in the City reports because they do not address the “how do we get from here to there” problem complete with associated operational and financial headaches. A scheme for the province to pay the entire cost of four new lines is wonderful, but there is much more to the transit system’s future than Premier Doug Ford’s map.

Continue reading

A Big Announcement, or a Transit Three Card Monte?

On October 16, the governments at Queen’s Park and Toronto City Hall announced a deal to sort out competing transit plans for the city. The current provincial priority projects are the Ontario Line (Don Mills/Eglinton to Exhibition), Scarborough Subway extension from Kennedy Station to Sheppard, Yonge Subway extension from Finch to Richmond Hill, and the Eglinton West LRT extension from Mount Dennis to Renforth.

The main City of Toronto report will be discussed at Executive Committee on October 23, and then at Council on October 29-30.

This article reviews that report with reference to a few parts of its many attachments. I will turn to the technical attachments in a second article. To focus material on each subject for readers, I have grouped related items together or re-sequenced things for emphasis. There are extensive quotations of key material so that readers hear not just my “voice” but that of the report’s authors.

Despite the importance politicians at both levels place on the proposals, the fundamental problem remains that many of the details are cloudy, to be kind. Specifically:

  • The City of Toronto retains ownership of the existing transit system avoiding a complex realignment of responsibilities and governance, but with this comes total responsibility for funding the ongoing state of good repair.
  • A large gap remains between the amount of funding needed to maintain and expand Toronto’s transit system relative to the amounts actually available and committed in budgets at various levels of government.
  • Ontario will build four key projects substantially with its own money, but continued support for transit beyond this is uncertain.
  • Toronto will redirect funding originally earmarked for its share of the key projects to other priorities, notably the TTC’s repair backlog. However, much of that “funding” does not exist as allocations in existing budgets and new money is required from Toronto to pay its share.
  • Cost estimates for the key projects are based on preliminary estimates that could change substantially as the design process unfolds. These estimates are in 2019 dollars and make no provision for inflation. The reports are silent on how the proportion of total spending by each contributor might change over the decade or more of construction.
  • A substantial total of project costs will be born by private sector partners through a “P3” financing mechanism. These arrangement will require future payments for what will be, in effect, a capital lease, but the mechanism for funding this from three levels of government is unclear. The reports are silent on the split between short term borrowing to pay for construction as opposed to long term payments to the P3 financier.
  • Project details as they are known today will change in response to design work and the need to keep costs within the projected level. This will affect alignments and stations, and what we think we are buying could be quite different from what we actually get.

The challenge in all of this is, as always, the question of money. We can watch the hands of politicians and managers at all levels as they shuffle cards on the table. We hope to “find the Queen”, to win in the subway sweeps rather than being taken for suckers who will cheer any plan, but lose every game. It is far from clear whether the proposal is a “good deal” for Toronto, and there are huge future transit costs that are barely addressed.

The whole exercise is a political deal to bring peace, comparatively speaking, to the transit file which was needlessly fouled by Doug Ford’s insistence that he knows more about transit in Toronto than anyone else. Does Toronto take this as its last best chance to preserve some semblance of control over its transit future, or do we keep fighting for a better deal?

There are a lot of holes in this plan and severe implications both for the City’s finances and the future of Toronto’s transit system. Many questions need to be asked and answered, even if the result will be a whole new plan after provincial and municipal elections in 2022.

Continue reading

Ontario’s Transit Plans: Details Emerge in City Report

When Premier Doug Ford announced his new transit plan in April as part of his first budget, there was plenty of hype about provincial transit investment, but few details about what would be built or how far design had progressed beyond doodles on bar napkins. Four projects comprise the Ford plan:

  • The “Ontario Line” from the Science Centre at Don Mills & Eglinton to Ontario Place replacing Toronto plans for the Relief Line
  • The Richmond Hill extension of Line 1 Yonge
  • The Scarborough Line 2 Danforth extension to Sheppard & McCowan with at least three stops rather than the one in the current Toronto plan
  • A modified plan for the Eglinton West LRT extension with underground construction for part of the route east of Martin Grove
  • Extension of the Sheppard subway east to McCowan to meet the northern end of Line 2

Information about these proposals came more from rumours than from specifics, notably from Metrolinx, the agency charged with planning and delivery of the scheme.

Staff from the City of Toronto and the TTC have been meeting with their provincial counterparts, and details begin to emerge in a staff report to Toronto’s Executive Committee.

The Ontario Line concept proposed by the Province is at an early stage of design. [p 5]

This is not a “shovel ready” project, nor is the revised Scarborough subway, in spite of claims that the Ontario line can be open by 2027. That is very much a political date based on the need to have relief capacity in place before new demand is added to the Line 1 Yonge route from the Richmond Hill extension. The government, knowing the votes available in York Region, needs to show progress on that extension, but actually operating it would totally overload the subway system without substantial diversion of ridership to a relief line.

Previous studies by Metrolinx foresaw a drop in ridership at the Bloor/Yonge choke point provided that a new line went at least to Eglinton rather than stopping at Danforth. This is not news, but the political change lies in recognition that a line to Eglinton is not some future, “Phase 2” option, but an essential part of reducing demand on Line 1. Whether the construction timing and possible opening dates for the Ontario and Richmond Hill lines can be achieved is quite another matter. In a political context, the important date is 2022, the next Provincial election. By that time, visible “progress” will be needed to shore up support for the government, but the target dates will be far enough off that the inevitable slippage will not yet be evident.

Public Consultation

In parallel with the technical work on provincial plans, the City of Toronto has launched a public participation campaign about the shift in responsibilities for transit between the municipal and provincial governments. This is all a bit vague at present because the details of what Queen’s Park actually intends remain rather vague. The government has given itself the power to take over projects completely or in part, and to seize Toronto assets with or without compensation. However, the financial details are murky including the problem of expected contribution to capital projects by other governments and the as-yet unaddressed question of cost sharing for day-to-day transit operations which includes a substantial component of running maintenance, not just driving the trains.

The City will bring a wider range of issues than a few new lines before the public for comment. Four public meetings are planned over the coming month:

Thursday, June 13, 6:30 to 8:30 p.m.
Father Serra Catholic School
111 Sun Row Drive, Etobicoke

Thursday, June 20, 6:30 to 8:30 p.m.
North York Memorial Community Hall
5110 Yonge Street, North York

Saturday, June 22, 10:30 a.m. to 12:30 p.m.
Scarborough Civic Centre
150 Borough Drive, Scarborough

Thursday, June 27, 6:30 to 8:30 p.m.
City Hall, Council Chamber
100 Queen Street West, Toronto

Although one might despair that the Ford government cares about or will listen to concerns by Toronto citizens, this consultation will be important if only to gauge overall public feeling. The challenge will be to conduct real consultation without having sessions hijacked by Ford Nation supporters.

Continue reading

Ontario’s 2019 Budget: Transit Effects in Toronto

The Ontario Government introduced its 2019 budget on April 11. The section on transit and transportation begins with the usual statements about the cost of congestion, and the economic benefit of transit and highways. Transit specifics focus on the recent Toronto subway announcement. Metrolinx/GO continues on its expansion path, but with more emphasis on what has been done than what is to come.

The Subway “Upload”

Ontario reiterated its intention to take ownership of the Toronto subway network, but it is now clear that this will be done in two parts. First will come responsibility for system expansion as announced on April 10 with the existing system assets to follow in 2020. This puts the more complex problem off nominally for a year, but that debate is really underway now with negotiations between the City of Toronto, TTC and province.

By separating the upload into two distinctive parts, the Province can begin building subway extensions and new lines immediately while giving proper due diligence to the state of repair of the existing assets and fulfilling its commitments to consultation under the Terms of Reference.

The Province remains steadfastly committed to the full upload of the TTC subway network. [p. 64]

That “due diligence” is the nub of any transfer. Past provincial statements imply that the cost of life cycle maintenance (major repairs and replacement, items found in the TTC’s capital budget) would shift to the province leaving day-to-day costs to the City of Toronto. The problem lies in the inevitable tug-of-war between transit expansion and state of good repair. Provincial Treasurer Vic Fedeli, speaking on CBC’s Metro Morning, claims that the investment in new transit lines more than offsets gas tax revenue promised by the former Liberal government. However, this leaves a major hole in planned funding for system upgrades.

Gas Tax Transfer

Fedeli claimed that the Gas Tax can only be used for specific type of spending, but this is not true. The money today goes partly to subsidize day-to-day operations and partly to capital for state-of-good-repair (SOGR). Across the province, few cities are building rapid transit expansions, and their gas tax allocation goes to operation and maintenance of existing systems. Fedeli, in parliamentary language, is “badly briefed”.

The gas tax transfer from Ontario to Toronto for 2018-2019 will be $185 million, and this was expected to double in stages over the next four years. This increase has been cancelled in the new Ontario budget.

Beginning in 2019, Ontario will gradually increase the municipal share of gas tax funds up to a total of four cents per litre in 2021-22. Based on the averages from the past 10 years, gas tax funding is estimated to be about $642 million in 2021-22. There will not be any increase in the tax that people in Ontario pay on gasoline.

Year                            2018-19 2019-20 2020-21 2021-22

Municipal share (cents/litre)   2.0     2.5     3.0     4.0
Estimated funding (millions)    $321    $401.3  $481.5  $642

Source: Enhanced Gas Tax Program, Ontario Government Backgrounder, January 27, 2017

Note that the dollar funding above is for all of Ontario, not just for Toronto, although it gets the lion’s share due to its size.

The Province will not move forward with the previous government’s proposed changes to the municipal share of gas tax funding. The Province will continue to support municipalities through the existing Gas Tax program and ensure it continues to meet the needs of the people of Ontario in alignment with provincial priorities.

Over the next few months, the government will consult with municipalities to review the program parameters and identify opportunities for improvement. This review will be informed by the goals of responsible planning and a more sustainable government to ensure taxpayer dollars are being spent as effectively as possible. [p. 75]

Toronto allocates almost half, $91.6 million, to the TTC Operating Budget, leaving $93.4 million for capital in 2018-2019.

Planned spending based on federal and provincial gas tax transfers is summarized in the city’s 2019 budget papers. This document details the allocation of federal and provincial transfers planned over 2019-2028 with $1.358 billion broken out by TTC budget line. Note that this is less than the total that would have been expected over ten years because the “out years” of the TTC’c capital plan is constrained by city financing plans. Many projects are “below the line” in the budget, especially in the outer five years, and the rise in gas tax funding could have helped to bring some of these projects to approved, above the line status.

About 70% of planned provincial gas tax spending by Toronto is for assets that are subway related. If Ontario transfers responsibility for all of this to the provincial level, then this would offset the loss of expected gas tax. However, that depends on just what budget lines Ontario chooses to take on. When capital subsidies began under the Davis government, there was something of a shell game between Toronto and Queen’s Park over the classification of expenses because “capital” received at least a 50% subsidy while “operations” only got 16%. This sort of thing will bedevil negotiations between the two governments on funding of the uploaded subway system’s SOGR projects.

The table below summarizes the categories listed in the city’s budget and splits them between subway and surface networks. The breakdown is based on my experience in reviewing TTC budgets. Although some adjustment of percentages might be argued, the overall balance will not change much.

Continue reading