Denley: Sutcliffe wins big with Ford’s promise to take over LRT costs

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What a huge day for Ottawa and for Mayor Mark Sutcliffe. Ontario PC Leader Doug Ford’s announcement that the province will take over maintenance and capital costs of the city’s troubled light rail system takes a huge burden off the backs of city taxpayer and delivers a stunning victory for Sutcliffe in his long campaign for transit funding fairness.

The term game-changer is used a little too frequently these days, but Ford’s announcement is certainly that. It will benefit transit riders and taxpayers for years to come by putting the city’s transit system on a sound financial footing.

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Ford said his announcement would deliver $4 billion in benefits over 30 years. Significantly, he indicated that Stage 3 of Ottawa’s LRT was part of the plan. That’s big news for commuters in Kanata, Stittsville and Barrhaven. The city’s plan for that final stage of rail expansion had been dead in the water because the municipal government simply couldn’t afford it.

The plan is for the provincial transit agency Metrolinx to take on capital and maintenance costs while OC Transpo continues to operate the system. Details will be worked out over the next year or so.

It’s no secret that Ottawa’s LRT has been inadequate and unreliable. One would be tempted to call it a white elephant, but elephants are faster and more dependable. In addition to its cost and frequent breakdowns, having a rail system designed to take large quantities of workers downtown doesn’t make as much as sense as it used to due to changing work patterns.

Ford said, “The number one anchor around Ottawa’s neck is the cost of the LRT.”

And what an anchor it is. Last summer, the city determined that OC Transpo faced an $8.6-billion gap between revenue and expenses over 30 years. The key factor is higher than expected operating costs of light rail compounded each time the city opens another section of the LRT. The service rationalization, tax and fare increases passed in this year’s city budget will reduce the gap by $1.5 billion over time.

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The provincial money announced Tuesday will diminish the gap significantly.

For taxpayers, the provincial announcement eliminates the city’s number one budget problem: the ever-escalating transit cost that would have made it impossible to keep property tax increases at a reasonable number. It should also go a long way towards maintaining bus service.

Sutcliffe deserves enormous credit. Faced with an overwhelming transit problem, the mayor launched a vigorous campaign to convince the federal and provincial governments to help. It didn’t look promising, but last week the feds came through, if modestly. Now the provincial PCs have made a significant, larger-than-expected commitment.

For Sutcliffe, Ford’s announcement is sweet vindication for those who have mocked his attempt to get transit support. The mayor has worked hard to develop a good relationship with Ford and Tuesday it paid off handsomely.

Ottawa had definitely been short-changed on transit funding. A recent report from the province’s Financial Accountability Office calculated that Toronto and surrounding regions got a $196.49-per-resident transit subsidy in 2024-25. Ottawa received just $31.91.

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The move puts the city on a similar footing to Toronto, where the provincial government built the Eglinton Crosstown LRT and is providing a subsidy for the Toronto Transit Commission to operate it when the line finally opens. Toronto’s new Ontario Line subway expansion will be built and operated with provincial funds.

Ford has turned the city’s transit support into a campaign promise, conditional on his re-election. There doesn’t seem to be much doubt about that. It’s less clear if the announcement will help his local PC candidates. It certainly gives them something to point to, but Ottawa does love its Liberals.

For today, let’s agree that Ford’s announcement is a win for everyone.

Randall Denley is an Ottawa journalist and author. Contact him at randalldenley1@gmail.com

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