Minister changes mind, says subsidized bus service to GTH is 'not appropriate'
Geoff Leo | CBC News | Posted: October 25, 2018 8:47 PM | Last Updated: October 25, 2018
Government says it will find a way to 'extricate' itself from bus subsidy for private companies
The Minister responsible for the Global Transportation Hub has had a change of heart about the government's subsidy of a bus service for private companies at the GTH. Don Morgan now says "it's not appropriate," and that the government will try to end the practice.
Earlier this week, CBC revealed that over the past four years the government has provided $500,000 of taxpayer money to pay part of the bill for a bus service for private companies at the GTH.
When the issue was first raised by the NDP in an economy committee meeting last week, Morgan defended the subsidy.
"It's good value when you realize the amount of money we recover from those individuals in property tax. And I would not want to put any of those positions in jeopardy, or somebody thinking that they're not going to be able to get to work," he said at the time.
Sproule expressed outrage that Morgan defended the subsidy to private corporations after his government shut down the publicly owned STC bus service last year.
Morgan changes his tune
When questioned by the NDP in the legislature Thursday, Morgan admitted that he wasn't aware of the subsidy until it was addressed in that committee meeting.
He said on reflection he realized this wasn't right.
"It's not acceptable to have taxpayer dollars go to subsidize something that should be paid for by the private sector," he said. "I can tell members of the public that conversations are underway between the GTH officials, government and the clients of the GTH to try and remove the obligation from the public purse."
The contract with the private company running the service, First Canada, expires May 4, 2019. Morgan indicated the taxpayer will be on the hook until then because pulling out of a contract could result in a lawsuit.
When asked if the government would be willing to play some role in order to ensure a bus service continues to the GTH, Morgan said "Loblaw may want to chose to provide some sort of transportation service and I leave that to them. All I want to say is it's not something that the public sector, the public purse should be paying."