Region could lose millions in revenue if Laurier students opt out of GRT's U-Pass program - Action News
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Kitchener-Waterloo

Region could lose millions in revenue if Laurier students opt out of GRT's U-Pass program

Student unions at Wilfrid Laurier University are set to vote on whether they want to continue to be part of Grand River Transit's U-Pass program. If students vote to opt out, the region could miss out on over $2 million in revenue in 2024.

Student union will hold referendum next week, where students will decide whether they want the program or not

People getting of a public transit bus.
Transit passengers get off a Grand River Transit bus at a stop at the Cambridge Centre. (Kate Bueckert/CBC)

Students at Wilfrid Laurier University in Waterloo, Ont., will vote next week on whether or not they want to keep the universal transit passthrough Grand River Transit.

If they vote to opt out,it means the region couldlose out on millionsin revenue.

Laurier'sstudent unions, Wilfrid Laurier University Student Union (WLUSU) and graduate students' association (GSA)will hold a referendum between Jan. 24 to 26.

The U-Pass program is a service offered by Grand River Transit (GRT) that gives studentsa universal transit pass forthe school year. Students would pay $113per term for the service through their tuition.

The region says its among the lowest prices in the provincecompared to what other programs charge, which is on average $140.

But WLUSU president Shane Symingtonsaid there have been concerns over the costs students would need topay for the service,which is why a vote is being held. A vote was originally set for2020, but the pandemic postponed that decision.

"Students are being asked to approve a considerably higher rate for the U-Pass, a compulsory fee that has been levied since 2005," he said in an email to CBC News.

"The Students' union encourages all students to make an informed decision when considering increases to their fee burden."

The U-Pass program was also put on hold for Laurier and the University of Waterloo during the peak pandemic, but was brought back forthe2021 academic year.

Revenue lost if students opt out

WLUSU represents 92 per cent of U-Pass users at Laurier.

According to a report that went before a planning and works committee Jan. 10,Laurier's U-Pass programs would generate $1.8 million of transit revenue for the Fall 2023 Term, representing annual revenue of $3.8 million for 2024.

If students chose to continue with the U-Pass, the program would be in place until August 2025. If students vote to remove theservice, theprogram will end before the fall, the report said.

The regionestimates with students paying out of pocket, transit habits may change andrevenues for the fall 2023 term would fall to $700,000and to $1.6 million in 2024.

"There is therefore an estimated revenue risk of approximately $1 million for 2023 and over $2 million for 2024," the report said.

"Part of this revenue risk would likely be compensated through service adjustments to balance the lower ridership that is expected without Laurier's U-Pass program, while continuing to support student travel demand from UW's U-Pass program and the Conestoga College Term Pass program."

A young woman stands in a yard in the fall.
Sana Banu is president and CEO of Conestoga Students Inc. The organization advocates supports and advocates for students at Conestoga College. (Submitted by Sana Banu)

Conestoga could become part of U-Pass program

Matthieu Goetzke, commissioner of transportation services with the region told regional councillorslast weekthey'reworking closely with Conestoga College to potentially incorporate the school in the U-Pass program in 2024.

"We are working with them on preparing the shape of the proposal and getting that ready," he said.

"I think today, the target date is still fall of 2024, but they're still assessing what the need is, but the objective is to integrate them in the U-Pass program."

Sana Banu, president of Conestoga Student Inc., said there was strong support from students for the U-Pass program.

She said results of a year-end survey in 2021 showed 55 per centof students saidpublic transportation is their main mode of transportation, and 75 per cent of studentsexpressed positive support for a U-Pass.

Now that the province's Student Initiative Choice that would have allowed students to opt out of ancillary fees like the U-Passwas struck down, Banu said they first have to hold a referendumbefore they can roll out the program.

"If we need to incorporate new fees, we need to go to students and ask them to vote if they want to have this U-Pass implemented," she told CBC News.

"We now have to get some clarification from the ministry to see how we can implement it."