No clear decision-maker, no data, no consultation: Ombudsman finds flaws in how the TTC decided not to refund discontinued fares

Toronto Ombudsman Kwame Addo found that the Toronto Transit Commission (TTC) did not follow a clear, fair and transparent approach when it decided not to offer refunds or exchanges for discontinued tickets and tokens. His investigation also found no evidence that the TTC gathered data, conducted consultations or an equity analysis to understand the effect on riders who had large quantities of fares saved. Additionally, the TTC did not consistently communicate this decision to the public.

Addo’s report, No refunds for discontinued TTC tickets and tokens: An investigation behind how the decision was made, reveals broad, systemic issues in how the TTC makes these kinds of fare decisions.

“Early on, we found signs of systemic problems, including lack of clarity on decision-making responsibilities, lack of documentation and lack of public input,” said Addo. “So we decided to focus our investigation on where we could make the greatest impact: the root problems behind this refund decision.”

Some TTC staff told Ombudsman Toronto during interviews that the issues extended beyond those at the heart of the investigation. One TTC executive said, “Swap this issue out [for] ten others and you’d be asking me the exact same questions today.” The report highlights some of the real-world consequences of the TTC’s decision. Ombudsman Toronto heard from riders who lost hundreds of dollars in fares they had saved, including a father on a disability pension who had set aside approximately $800 worth of tokens for his daughter to use when she started university. Many riders believed tokens would never expire.

The report also found that:

• The TTC does not have clear criteria and processes for determining whether fare decisions like this refund decision should be made by either the TTC Board of Commissioners or staff.
• There was no consensus on who made the decision, nor was there any record of it. Witnesses were at odds about who should have made it in the first place.
• The TTC did not collect data nor seek public input on the impact of the decision on riders. Some TTC staff showed a lack of empathy for the financial hardship the decision could cause riders.
• The TTC did not use its own equity impact analysis tool to better understand and mitigate any impact of the decision on equity-deserving groups, including low-income riders.
• In spring 2019, the board directed staff to report on the impacts of not offering refunds, but staff never completed the report. Later that year, the TTC issued communications that briefly mentioned that it would discontinue tickets and tokens and refunds would not be offered. The TTC then said nothing further on the issue of refunds until late 2024, leaving only a few months for riders to use their remaining fares.
• When riders requested refunds because of exceptional circumstances, the TTC denied their requests. Some TTC staff justified those denials by referring riders to a fare policy that does not exist.

The TTC board and staff have accepted all eight recommendations. Chair Jamaal Myers said, “The TTC welcomes the report’s recommendations as an opportunity to continue strengthening governance practices, documentation standards, transparency measures and public accountability processes across the organization.”