My Alerts The identified expense reduction measures will not affect the service offering.
Montréal, Tuesday, February 21, 2023 – As a responsible corporate manager, the STM is doing its part in the face of the difficult economic climate and announced the implementation of an $18 million plan to reduce one-time expenses as discussions with its leadership continue to finalize the 2023 budget year.
“The STM teams have been working hard to identify ways to reduce expenses for 2023 and to assess options for potential recurring savings in future years,” said Eric Alan Caldwell, Chair of the STM Board of Directors. This process shows the rigour and willingness of the STM to find specific solutions to its shortfall. Despite all the efforts made, I would like to reiterate the urgent need to review the funding of public transit agencies so that they can rely on indexed and recurrent funding sources.”
$18 million expense reduction plan
The STM takes the sound management of its finances very seriously and has always been committed to being transparent with its customers, employees, partners, and funders. The 2023 expense reduction plan is the result of several internal initiatives to review processes and resources that have identified potential savings of approximately $18 million. The plan puts the new STM shortfall at $60 million.
The identified expense reduction measures will not affect the service offering. The STM is focusing all of its strategic efforts on its primary mission: to provide all Montrealers with attractive, reliable, fast, user-friendly, safe, and accessible public transportation.
In 2022, the STM had also managed to identify $18 million in potential one-time savings through a review of its internal operations and maintenance processes.
