TTC riders are one step closer to being allowed to take multiple transit trips on a single fare after the TTC board approved its transfer policy Tuesday.

The policy will go to council next week to be considered for the 2018 budget. If approved, Toronto will join transit agencies across the GTA, all of which permit riders a two-hour window to transfer from one bus (or in Toronto’s case, subway or streetcar) to the next without having to pay more than once, said a staff report.

The TTC’s transfer policy would only be available for Metrolinx’s Presto card users, the report said. Metrolinx has told TTC staff it will take until next August to implement and cost a one-time set-up fee of $5 million, which several board members called into question.

“Honestly, I can’t fathom why in the 21st century it would take as long as Metrolinx claims it does,” said Councillor Mary Fragedakis, a TTC board member.

Board member Rick Byers questioned whether Metrolinx was taking advantage of the situation.

“Is this like a change order on a construction project and the contractor knows they have you?” said Byers. “We’re exposed here; $5 million does seem like a ton of dough to make a tweak on the program.”

It comes down to updating Presto software and rewriting code to allow time-based transfers, said TTC CEO Andy Byford.

“We challenged them on the timeframe and to be fair, they said that’s the time it takes to calibrate various things,” said Byford. “We are pushing to get the cost reduced and I think they can get the cost reduced.”

The TTC will request from Metrolinx a more detailed schedule and cost structure if council approves the policy, Byford said.

Other board members touted the policy as a way to make transit more affordable and flexible, while encouraging riders to make the switch to Presto and drawing in new customers.

“This policy will make our transit system resilient and proactive and more nimble,” said TTC Chair Josh Colle.

The board also improved affordability in its 2018 budget by freezing fares and continuing the kids-ride-free program, subject to council’s approval, Colle said in a statement.

If the two-hour fare transfer policy is fully implemented by 2020, it would cost an estimated $20.9 million a year in lost revenue, according to the staff report. In 2018, it’s projected to cost $11.1 million, which includes the $5 million set-up payment.

“We will lose money because of this (policy),” said Councillor Glenn De Baeremaeker, a TTC board member. “But it provides better customer service and a reward to people who are using our system. It’s a policy that benefits everyone, rich and poor.”

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Councillor John Campbell was the only board member to vote against the policy, saying Presto passes will mainly attract middle- and upper-income earners rather than low-income riders, as the staff report claims. He also called the policy an “open-ended cheque” that will likely cost more than the predicted $22 million.

“This is not a transit system that’s awash in cash that can just give money away,” Campbell said.

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