David Gunn to consult on TTC budget cuts

[Jonny5]

From the Globe and Mail

Ex-Amtrak president David Gunn to help TTC address budget crunch

David Gunn, the former president of Amtrak and the New York City Transit Authority, is returning to the TTC to help balance the books in 2012.

Mr. Gunn will work as an unpaid temporary consultant to the transit agency he once led beginning at the end of March, TTC spokesman Brad Ross confirmed Thursday.

“We felt that Mr. Gunn would be able to provide some insight and maybe a fresh set of eyes to help us look at those [capital and operating budgets], as well as any efficiencies we may have overlooked,” Mr. Ross said.

Now retired and living in Nova Scotia, Mr. Gunn is an internationally respected transit boss who served as the TTC’s chief general manager from 1995 to 1999.

He is expected to start his new gig either the week of March 21 or March 28, Mr. Ross said, adding they haven’t determined how long Mr. Gunn will stay.

Although he won’t be paid a salary, the TTC will cover Mr. Gunn’s expenses, including his flights, hotels and meals.

Like all parts of Toronto’s municipal government, the TTC is facing a difficult financial year in 2012, when Mayor Rob Ford is demanding austerity to tackle an operating budget shortfall estimated at $774-million.

That figure will be lower if Mr. Ford agrees to a modest property-tax hike and a 10-cent TTC fare increase, as city finance staff are recommending. It will be higher if he keeps his promise to scrap the municipal land-transfer tax, which brings in more than $200-million in revenue per year.

The TTC’s financial troubles are particularly acute.

There’s a looming, significant hole in the 2012 capital budget. Contracts with the TTC’s more than 10,000 workers expire this year, and the fear is they’ll win a generous settlement to make up for losing the right to strike. The province is poised to ban transit strikes in Toronto before the end of March.

Mr. Ford has promised to hire outside consultants to scour Toronto’s books for savings in 2012. City staff have set aside as much as $3-million to pay the outside experts.

Mr. Ross said Mr. Gunn’s work isn’t tied specifically to that contract.

TTC chief general manager Gary Webster, not the mayor’s office, asked Mr. Gunn to review the transit authority's finances.

It’s the first time the TTC has done something like this, Mr. Ross said.

“This is kind of a unique situation. You know the pressures that our capital budget, particularly, have. You know what our operating budget pressures are. Those have been very public.”

 

[fiendishlibrarian]

This is really, *really* good news on so many levels...I would go so far as to say that Ford may arrange the conditions to bring Gunn back in a more formal capacity. Again, really, *really* good news.

 

[CDL.TO]

David Gunn is a respected, financially responsible external consultant. Does this mean we can hope that he will be listened to if he pushes for a more rational approach to rapid transit expansion than simply "everything must go underground"?

 

[Hipster Duck]

Yeah, politics is more about emotion than rationality. David Gunn could release a 1,000 page detailed report that argues against what Rob Ford says, and all Rob Ford has to do is say a meaningless soundbite, get Doug Ford to articulate his opposition in a slightly more comprehensible way and toss that report in the garbage.

 

[fiendishlibrarian]

In any case, the TTC is to undergo a TCHC-type audit very soon, and Gunn knows where the skeletons are as the same clique of sclerotic TTC lifers are still running the place that he had to contend with. Having him even in a consultative capacity can only be a good thing.

 

[nfitz]

This is really, *really* good news on so many levels...I would go so far as to say that Ford may arrange the conditions to bring Gunn back in a more formal capacity.

The guy is in his mid-70s and has been retired for several years; he lives in Nova Scotia. I doubt he has any interest in a permanent position.

And I wonder if he really has the perspective to deal with the current situation any more. Still ... it might shake some stuff up.

 

[smallspy]

Although I have nothing but respect for Mr. Gunn, this is very, very bad news if you were hoping for more improvements to service, or even just maintaining the status quo next year.

He's already criticized the service improvements made in late 2008 as being "political", and has said that the TTC should have been watching the cost recovery ratio.

I suspect that we're going to see a huge rollback in service next year, on the level of the cuts of February 1996.

Dan
Toronto, Ont.

 

[jje1000]

Although I have nothing but respect for Mr. Gunn, this is very, very bad news if you were hoping for more improvements to service, or even just maintaining the status quo next year.

He's already criticized the service improvements made in late 2008 as being "political", and has said that the TTC should have been watching the cost recovery ratio.

I suspect that we're going to see a huge rollback in service next year, on the level of the cuts of February 1996.

Dan
Toronto, Ont.

That was more than two years ago- perhaps with the ridership jumps, he'd reconsider?

 

[TOareaFan]

David Gunn is a respected, financially responsible external consultant. Does this mean we can hope that he will be listened to if he pushes for a more rational approach to rapid transit expansion than simply "everything must go underground"?

Think of it in reverse and your answer might be found. If he comes out and says something along the lines of "the current plan to do only those expansions that involve underground routes is the appropriate way forward".......will transit critics support that?

On both sides of that discussion, people have made up their minds and no one man can change them.

 

[CDL.TO]

Think of it in reverse and your answer might be found. If he comes out and says something along the lines of "the current plan to do only those expansions that involve underground routes is the appropriate way forward".......will transit critics support that?

Some would not. But some would. Particularly if he backs it up with a good rationalization.

If he argued that tunnelling is cheaper over the lifecycle of a line, that would be new information that we would have to account for. If he uses a Rob Ford argument and says that St. Clair project was an inconvenience to car drivers THEREFORE the Eglinton line can't use a bridge to span the Don Valley , then I don't think he's going to change many people's minds.

 

[CapitalSeven]

Why on earth are we discussing David Gunn's views on rethinking The Big Move, Transit City, or Ford's Notion? He's coming in to review the 2012 capital and operating budgets. For a few weeks. For free. Scope creep much?

 

[Agram]

Last time Gunn was here he trimmed the Staff down by 1500 employees, after he was forced out by City Hall those 1500 were re-hired and 1500 more on top of them were hired also. We are too top heavy on the Staff side, Harvey Shop And Duncan Shop have for every 4 workers on the floor a Forperson hovering over the workers. An average Forperson makes over $90K per year. Get rid of 100 Forpersons and Engineers who make over $114K and you see the savings we can have.

That is why Gunn is here....last time he said...unless you hold a screwdriver your job is in jeopardy.

 

[Dan416]

Last time Gunn was here he trimmed the Staff down by 1500 employees, after he was forced out by City Hall those 1500 were re-hired and 1500 more on top of them were hired also. We are too top heavy on the Staff side, Harvey Shop And Duncan Shop have for every 4 workers on the floor a Forperson hovering over the workers. An average Forperson makes over $90K per year. Get rid of 100 Forpersons and Engineers who make over $114K and you see the savings we can have.

That is why Gunn is here....last time he said...unless you hold a screwdriver your job is in jeopardy.

Then this is good news!

 

[junctionist]

He'll probably target non-operational staff and the system will look dirtier than ever. After all, isn't that the direction that things went in after he was originally hired?

 

[jeffreym]

and.... that was quick. It sounds like he's gone before he even came.

http://www.theglobeandmail.com/news...S/Atom&utm_source=Toronto&utm_content=1943780