The Alberta government has backtracked on funding cuts to the low-income transit pass in the province’s two biggest cities.

According to information provided by the Alberta government, they will backstop the funding commitments they’ve made to both cities. In Calgary, that amount is $6.2 million.

On Tuesday, both of Alberta’s big city mayors spoke out about the funding cut, with Calgary Mayor Jyoti Gondek saying that it was a “cruel” decision by the province. Calgary city council, after discussing the item behind closed doors, unanimously approved a plan to urge the province to reduce its requisition of the education portion of the property tax and ask them to pay the full amount of property tax on provincially owned properties in the city, up to the $6.2 million.

Minister of Seniors, Community and Social Services Jason Nixon spoke with media via Zoom on Wednesday afternoon. He said they’ve always wanted to ensure the low-income transit pass programs continue.

“The province does not want to see the low-income transit program in our two largest cities go anywhere, and we will make sure that we’re there to support if that’s what’s needed to be able to have it continue,” Nixon said.

He said that after conversations with both cities he recognized that cities needed further support to continue the programs.

“As a result, Alberta’s government will continue to extend this funding to the cities and work with them to ensure their low-income transit program continues to be funded in the future.”

Calgary Mayor Jyoti Gondek said that Tuesday was one of “absolute concern” for low-income Calgarians after the province’s initial decision to cut funding.

“I’m incredibly grateful that those folks don’t have to worry,” she said.

The mayor did take issue with how Minister Nixon characterized Calgary’s inability to pay. She acknowledged that transit was a municipal responsibility, but that income supports were a provincial domain. Right now, Calgary’s footing more than 80 per cent of the $38 million annual income support program.

“Although we do run a transit system, the income support is the job of the provincial government,” she said.

“I’m happy to see this funding restored. But we still have a $311 million funding gap on all of the other pieces that we’ve picked up that have been offloaded.”

Nixon said, however, there’s a difference between city-initiated income support programs and those delivered by the province. They take primary funding responsibility for the latter, he said.

Mayor Gondek said that she’d had a conversation with Minister Nixon, and apparently he was unaware this decision was being made by his ministry.

“The fact that he stepped in so swiftly and rectified the situation is good,” she said.

As for the program’s future funding, Mayor Gondek said that after the public outrage about a proposed cut, she hoped the province recognized the need to keep the portion of funding to which they have committed. Calgary does have a mid-cycle budget adjustment coming up later this year that already has a property tax cap to work with.

Nixon said the department’s initial decision was the result of looking for areas where they might be able to meet their fiscal obligations set out in the budget. He wasn’t immediately aware of this decision but added that their department and the City of Calgary have ongoing discussions on these matters. On longer-term funding, Nixon said this is a pilot project that has been renewed for the past several years, and pilot projects are often examined for cost controls.

“Now, directly, the best avenue for us to fund it long term. I mean, this has been taking place for a long time between the province and municipalities, which is good, but it actually still was set up within government structures between both governments as a pilot project,” he said.

“So over the next year, we’re going to have a conversation about what is the best way to bring permanency to this relationship.”

Provincial responsibility say councillors

Ward 10 Coun. Andre Chabot said he wasn’t a fan of Calgary taking on the role of providing a low-income transit pass in the first place. That’s because income support is a provincial responsibility, he said.

“From my perspective, it’s not just about money. It’s about it’s about whose responsibility is it ultimately, and it’s income support, from my perspective and for our most vulnerable population,” he said.

Ward 3 Coun. Jasmine Mian, who put forward Tuesday evening’s motion, said that this was good news for Calgary and its vulnerable citizens, but questioned why they went after low-income citizens. Particularly when Minister Nixon’s brother, Jeremy, expanded the program to seniors.

“I was stunned to hear the province was defunding their portion of the low-income transit program, and I’m relieved they are reversing course,” Mian told LWC.

“It’s the right decision but it does beg the question as to why the most vulnerable among us are always the bargaining chip.”

Mian said there are often a lot of disagreements on Calgary city council, on this one, however, there was unanimity.

“I think we all recognize that this program is for the most vulnerable and so council unanimously supported showing up for those people and really proud of that, and I’m happy that the Province saw that as a strong signal,” she said.

Mayor Gondek said that they will await the funding commitment in writing before they take action based on their decision Tuesday evening. If they get confirmation, they may reverse Tuesday’s decision to seek a portion of the property tax requisition for education.