Madam Speaker, earlier this month, I asked whether the federal government was offering to share the cost of restoring needed bus service in Saskatchewan. I did not get a very specific answer that day, but the next day, news broke that the federal government had offered cost sharing to Saskatchewan but unfortunately our provincial government had turned down the money. I would like to use this adjournment debate to examine what the federal government offered and what it should potentially offer, going forward.
As reported in the media, the federal government's offer was an amount of $10 million to all four western Canadian provinces to replace the service lost when Greyhound withdrew from western Canada. Saskatchewan would have received about $2 million.
A large part of the reason that amount is so low is that the federal government was only proposing to replace the service lost from Greyhound. Greyhound only provided interprovincial routes from Saskatchewan. Routes inside the province were operated by a provincial crown corporation, the Saskatchewan Transportation Company. Therefore, the federal government was not proposing anything to replace the service lost when our Saskatchewan Party government shut down and sold off that enterprise in 2017. The Sask Party said that it would have cost $85 million over five years to continue operating the STC routes, which of course is an order of magnitude greater than what the federal government had offered to replace just the lost Greyhound service.
To put these numbers in context, budget 2017 unveiled a $20-billion transit fund. It allocated this money between the provinces, mostly according to existing transit ridership. That funding formula skewed very much in favour of large metropolitan centres that already had well-developed transit systems and a large number of people already using those systems. This focus on existing transit ridership disadvantaged smaller provinces such as Saskatchewan.
To provide some numbers, the federal government's formula gave Saskatchewan 1.6% of the transit funding, whereas our province comprises 3.2% of Canada's population. In other words, the federal government is providing transit funding of $320 million to Saskatchewan, whereas our equal per capita share of the money would be more like $640 million.
Of course, as members know, most federal transfer programs are allocated on a strictly per capita basis to the provinces. Therefore, the case that I would make is that by simply providing a fair per capita share of transit funding to Saskatchewan and making it clear that this money can be used not only for urban transit but also for interprovincial and rural bus service, there would be more than enough funding to restore needed bus service in Saskatchewan to replace not only the routes abandoned by Greyhound but also the routes that used to be provided by our provincial crown corporation, the Saskatchewan Transportation Company. I hope the government will agree to this approach, going forward.