Saint John Transit faces cuts as budget pressures mount

Saint John Transit users will almost certainly see cuts to bus routes next year as councillors look to cut municipal services to avoid property tax hikes.

Saint John councillors have been warned they need to find $2.3 million in savings or raise property taxes in its upcoming budget.

The financial picture isn't pretty for the city. Saint John's tax base increased by just 0.5 per cent, revenue from building permit fees is expected to drop by $80,000 and parking and ticket revenue is also expected to fall by $300,000.

Meanwhile, costs to maintain transit, police and fire services at current levels are going up.

Saint John Transit’s budget caused a significant amount of discussion at a council meeting on Wednesday night.

Frank McCarey, the general manager of Saint John Transit, said freezing the transit budget means a drastic cut to the city's bus service.

"We're looking at, we'll need about a 20 per cent cut in service hours,” he said.

Coun. Shirley McAlary said she doesn’t want to have to explain to bus users in the city that council cut the transit service by that much.

"Whether one route's cut or 10 routes are cut, the whole city's going to be upset about it,” she said.

Coun. Bill Faren said he understands the value of a good transit system, but he's also concerned about future budget pressures.

"Not only do you have people that are very dependant on a good transit system but you got employers that are also dependant on getting their employees there," he said.

"But where does it end? I mean $800,000 this year, we're not too sure what's going to happen in 2016."

But a sharp funding increase for the transit commission, even to maintain current service levels, is not an option for Saint John Mayor Mel Norton.

"If we add $850,000 to the transit budget, what other areas could get compromised in that process,” Norton asked.

Saint John Transit’s budget has been in the city’s crosshairs in recent weeks. It was the subject of a special meeting on Nov. 14, where Norton said he had lost confidence in the transit commission after it revealed a deficit that was larger than expected.

The transit commission’s deficit could hit $800,000.

McCarey said in November the transit commission has cut as much as it can and the only avenue left to reduce the deficit is to cut services.

Councillors will return to the difficult transit file with a special meeting on Saturday. The budgets for police and fire departments will also be discussed at that meeting.