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Funding transit is Manitoba’s future

MEL MARGINET

https://www.winnipegfreepress.com/opinion/analysis/2026/05/27/funding-transi...

WHEN it comes to making decisions about how to spend our tax dollars, Manitobans want governments to spend on programs and services that tackle as many priorities as possible.

Few funding decisions will be as high-impact and multi-purpose as the restoration of 50-50 transit funding with municipalities. Under the 50-50 agreement, the province covers half of the operational spending budget for conventional and accessible transit.

Manitobans are under increasing pressure financially.

To date, the current Manitoba government’s strategy has been to reduce or eliminate taxes on gasoline and groceries. The results of this approach will see those with the highest amount to spend receive the greatest benefit. Those who drive rarely or never, or have the most efficient vehicles, get little to no savings.

The provincial government did introduce a free youth transit pass in the 2026 budget, and that is a positive gesture indeed.

However, the underfunding of transit in Winnipeg and Brandon means youth might have a free pass for a bus which rarely comes, and when it does it might be so full it simply passes them by. Sadly, the youth pass may also lead to even more overcrowding on buses struggling to keep up with demand.

To accompany the youth pass, we need increased investment in operations.

Manitoba municipalities are under stress to keep up with rising infrastructure costs and service demands. The federal government’s latest budget — promising a generational amount of spending for Canadian cities — has served as a sobering reality check.

The $51 billion over a decade will cover between five and 18 per cent of the maintenance Canadian cities need now, just to cover what’s already built. We’re reminded of this in Winnipeg each year when we spend a “record amount” of money on roads, only to find ourselves with rising infrastructure debt.

How does provincial funding for transit help? It supports municipalities, improves service and generates local economic benefits.

The majority of money spent on personal vehicles in Manitoba leaves the local economy. Money spent on transit, however, is incredibly local, since a majority of the cost to run the service is labour.

Manitoba also has an added economic driver: we are home to New Flyer, meaning even the capital costs for new buses are dollars that stay here in Manitoba. Improved transit systems, leading to more riders, reduce the wear-and-tear on our roads and associated costs of maintenance.

Some may point to Winnipeg’s move to a spine-and-feeder system, and the challenges it has faced, as a reason to not restore the 50-50 funding. Yet Edmonton, which also revamped its transit network to a spine-and-feeder system, has seen a resulting 23 per cent rider increase. I’m going to guess that the 52 per cent more per capita that Edmonton spends on transit has something to do with that success.

In April 2026, the Climate Action Team Manitoba published an article, What is 50-50 Transit Funding — and How Much Might It Cost the Province?, in which it ran several scenarios, from keeping spending at the status quo, all the way to increasing operating spending by 50 per cent.

The result? To restore 50-50 transit funding provincewide, the provincial government would need to spend between $5 million and $90 million per year, depending on how much municipalities decide to increase their spending by.

In 2024, the gas tax holiday cost the province $340 million.

On that note, we also need to think about the future of the province we live in.

Instead of spending hundreds of millions of dollars to save the biggest spenders in the province money at the pump (which, again, is money that is leaving our local economy), we could invest in improving the transit systems in our cities for generations to come.

Young people in Canada are driving substantially less than previous generations, and the cities to which we are losing those young people (Edmonton, Calgary, Minneapolis, Montreal, Toronto, Vancouver) are investing heavily in their public transit systems.

Cities that are friendly to those who cannot drive, or want to drive less, are also nicer places for seniors to age.

If you are someone who cares about affordability, air quality and road safety, you will want to see a financial investment in transit. Restoring 50-50 transit funding will make a positive and tangible impact on day-to-day life for the majority of Manitobans.

Mel Marginet is part of the sustainable transportation team at Green Action Centre and the publisher at Great Plains Press, which publishes The City Project.