The STM is trying to assure commuters that the service, fares, and infrastructure upgrades will not be sacrificed as the public commuter agency looks for ways to save in order to pay off a $38 million deficit.

On Tuesday, the city of Montreal announced it was seeking to cut $155 million from its 2009-2010 budget. It told the STM it would have to save $40 million-- meaning, effectively, that the agency would have to foot the bill for its deficit alone this year.

"[There will be] no changes in service improvement," said Marianne Rouette, a spokesperson with the SMT. "We are following our path in that and you know we did have a very good ridership last year. In 2008 it was 3.8 per cent more than it was in 2007."

The mayor has told the public transit agency it cannot raise fares. He indicated off-island suburbs like Longueil and Laval may consider taxes or fees to cover the portion of the cost that the city is planning to ask them to contribute.

Money-saving ideas

No concrete money-saving measures have been announced, but there is a board of directors meeting next week during which members will brainstorm solutions to the money problem.

Some suggestions include slowing down the upgrade to a new, complex computer system. It was slated to happen over the course of five years; now, that could be stretched to nine or ten years.

Past money from city

In past years the city of Montreal has helped the public transit agency to pay its deficit. Last year it paid $22 million towards the STM's deficit.

Two years ago deficit was $38 million, and the city gave them money then towards the deficit.

This year the STM faces a $38 million deficit, for which the city will not chip in.

Money from Quebec?

"The Quebec government has followed up when it was time to recognize the metro as a metropolitan equipment. They invested $11 million," said Mayor Gerald Tremblay at a press conference, Tuesday, to announce the city's intention to cut costs in 2009.

"Now we're looking at what's happening with the commuter trains - there's a major problem there so our requirement is to make sure we have another investment from the Quebec government but not only for the metro--for public transit throughout the agglomeration."

The mayor has been in negotiations with Transport Minister Julie Boulet for the past four months.

He says it's not a matter of "if" but "how much" the province will contribute to Montreal's public transit system.