(Montreal) The Minister of Finance, Eric Girard, is convinced that it will be possible to reduce the costs of public transport networks, but he does not want to see any more negotiations until the last minute like those we witnessed this year.
Barely a few weeks before the presentation of municipal budgets, the Minister of Transport, Geneviève Guilbault, finally agreed last week to absorb 70% of the deficit of transport companies by paying them a sum of 265 million.
In front of several hundred guests gathered at the invitation of the Chamber of Commerce of Metropolitan Montreal on Friday, Mr. Girard was clear: “We must no longer do what we have just done where we negotiate until the end. last minute. »
According to the Minister of Finance, “the Government of Quebec could assume responsibility for the drop in ridership,” but he specifies that by absorbing 70% of the deficits, “we are taking on more than the drop in ridership.”
The emergency is over
In a press scrum following his speech, Mr. Girard argued that the emergency aid paid to transport companies was intended to compensate for the absence of passengers. “This year, it’s as if, for public transport companies, we are still in an emergency. They would have liked to see 100% of the deficit covered. However, the federal government no longer contributes because it considers that the pandemic is over,” he explained.
But Quebec, he says, cannot provide all of the aid alone “and that’s why we stop at 70%,” he says. Transport companies argue that the pandemic may be over, but ridership has not returned to its pre-pandemic levels, in particular due to strong growth in teleworking.
He specifies that his colleague in Transport is working on a five-year financing plan with revenue and expenditure projections and that, “so, this is the last year that we are doing (financing) one year at a time” .
Still fat? ” It’s obvious ”
Then, he does not hesitate to throw a stone in the pond of transport companies by lining up 100% behind the idea of auditing their finances, saying he is certain that there will be expenses to be cut . “I think it’s obvious. Are there any people who are convinced that there are no cost issues in public transport companies? » he said in response to a question to this effect from the president of the Chamber of Commerce, Michel Leblanc.
Pushed further in the press scrum, he responded to the comments of the managers of the Société de transport de Montréal (STM) according to whom 85% of operating expenses are salaries and, therefore, cannot be reduced, affirming that if a high percentage of expenditure is the payroll, “we must contain the growth of the payroll, administrative expenses, executive salaries, and all that”.
Also, he says, transportation companies must learn to deal with drops in ridership. “If there is a drop in ridership, then there are roads that are used less. We must have the courage to redeploy services to roads that are used more. There are fewer users, so we cannot remain stuck with a service offering that is constant with fewer users. »