'Incredibly grateful': Edmonton mayor hopeful province will match federal transit grant

The federal government will offer operational support funding for the Edmonton Transit System, provided the province matches the grant.

In January, Mayor Amarjeet Sohi said that while Edmonton is expecting to recover transit ridership levels back to pre-pandemic normal by the end of 2024, the city requires financial support in the meantime to continue offering the current level of service.

ETS forecasted it would need $53.7 million to cover the gap in decreased revenue from lower ridership levels this year.

The city made the request for funding in conjunction with the Federation of Municipalities Big City Mayors' Caucus. In Toronto, the operating shortfall is expected to be $561 million, while Vancouver predicts a deficit of up to $100 million.

On Thursday, Finance Minister Chrystia Freeland announday that Ottawa would provide the one-time $750-million grant request made by the mayors' caucus to support transit systems in their recoveries from COVID-19.

Freeland said the funding would be granted to municipalities based on two "reasonable requirements," including that provinces match federal funding being provided to transit systems and that provinces "speed up" collaboration with cities to increase housing supply.

"Housing is a shared responsibility and we all have an important role to play," Freeland said.

"This funding will help public transit systems with some of the shortfalls caused by the pandemic," she added, in French. "Public transit plays a large role in improving living conditions in our communities.

"We must ensure that our municipalities are able to face the economic repercussions that are ongoing from the pandemic."

Funding offered to transit systems by Ottawa will be calculated by a formula considering ridership and population.

'INCREDIBLY GRATEFUL'

In a statement to CTV News Edmonton, Sohi said he is "incredibly grateful" that the federal government will help offset some of the transit funding shortfall in Edmonton.

"Our transit ridership numbers have suffered over the last few years due to the pandemic," he added.

"As long as the provincial government cost matches the federal government's commitment, we can offset the funding shortfall and be the first municipality to recover back to pre-pandemic ridership by 2024."

In January, Sohi told reporters that the pandemic transit deficit is an issue the city cannot solve by itself.

Greg Smith, press secretary to Minister of Municipal Affairs Ric McIver, told CTV News in a statement that the province was "not consulted" on the funding announcement from Ottawa.

"We first heard about it this afternoon when it was announced," Smith said. "When the federal government sends us some in-depth and detailed information, we will be able to review it then."

The province will table its budget on Feb. 24.

In 2020, the city received $59.7 million in operating support for public support through a federal and provincial government funding arrangement.

With files from The Canadian Press