On board with transit: Toronto’s executive committee to ponder Bixi and ‘revenue tools’ for tran...

In the midst of a jam-packed agenda at Tuesday’s executive committee meeting — which will have the mayor’s inner circle discussing freedom of information legislation, the Gardiner Expressway and revenue tools — councillors are set to debate Toronto’s Bixi bike problem.

But a list of alternatives that staff compiled — from severing ties with the company, to taking it on as an asset or expanding the network — is being kept confidential. And any discussion on the issue is being held in camera, staff confirm.

Toronto is on the hook for about $4 million if the troubled bike-sharing company defaults on its loan. According to city staff, Bixi isn’t breaking even on day-to-day costs — although apparently close to it — and it is struggling with debt repayment. Unlike other cities with bike-sharing programs, Bixi Toronto received no government subsidy.

Toronto agreed to guarantee up to a $4.8 million loan. Bixi’s business plan assured the city it would be able to cover costs, pay down the debt in 10 years and maybe turn a profit — which would be split down the middle.

Bixi’s interim president, Michel Philibert, said last week that the system, to make money, needs to be bigger than the current 1,000-bike fleet and 80 stations. It costs about $45,000 to build a new station, according to an official with Washington D.C.’s program.

Bixi has made it clear it has no more money to invest in the program.

Mayor Rob Ford is adamantly against subsidizing the program. He appears to be in favour of getting rid of the company all together.

But one Ford ally, Councillor Denzil Minnan-Wong, chair of the public works committee, said the city’s already “in this.”

“We have to try to save Bixi and limit the city’s financial exposure. And there has to be a significant amount of financial rigour before we even think about expansion,” he said.

Progressive councillor Gord Perks said it would be a “crying shame” if the city shut the doors on Bixi.

“We provide sidewalks for pedestrians. Streetcars, buses and subways for transit users. And roads for cars. We can certainly find a way to provide bicycle service for cyclists,” said the Parkdale councillor.

The executive committee will also consider a staff report on ways to fund transit building in the region. Toronto staff have recommended a gas tax, sales tax and parking levy, as well as increased development charges to pay for a first wave of projects. Other fees (highway tolls, high occupany toll lanes, vehicle registration fees) would be used to help fund a second wave of Metrolinx projects.

Fuel tax

5 to 10 cents per litre

Could raise $330 million to $660 million per year

Would cost $3 to $6 per fill-up, based on a 60-litre fuel tank

Sales tax

0.5 per cent to 1 per cent

Could raise $700 million to $1.4 billion per year

Would cost $275 to $550 per household

Commercial parking levy

50 cents to $1 per space per day

Could raise $700 million to $1.4 billion per year

Cost per vehicle would depend on the affected number of spaces

Development charges

7.5 per cent to 15 per cent increase to current fees

Could raise $50 million to $100 million per year

Cost to unit buyer depends on type of build

Second wave

Highway tolls

5 to 10 cents per kilometre travelled

Could raise $700 million to $1.4 billion per year

Cost per motorist depends on usage

HOT (high occupancy toll) lanes

15 to 30 cents per kilometre travelled

Could raise $22.5 million to $45 million per year

Cost per motorist depends on how often you use the lanes as a solo rider

Vehicle registration tax

$50 to $100/registration or licence renewal

Could raise $150 million to $300 million per year

Cost per vehicle $50 to $100 per year