Motorists in Montreal will see their vehicle registration rise to $150 starting next year.
The Montreal metropolitan community (CMM) said in a press release on Thursday that its members voted in favour of increasing rates from $59 to $150 as of Jan. 1, 2025. That’s almost triple the amount.
The CMM explained that the hike was necessary to complete the 2025 public transit financial framework and maintain current services.
“The CMM elected officials were forced today to adopt a resolution aimed at increasing the share of motorists in the financing of the metropolitan network,” reads the press release.
The new price will be eligible to additional funds from the Quebec government, and the CAQ will offer $200 million in 2024, which is $38 million less compared to 2023.
According to the CMM, they need $561 million from the metropolis to finance public transportation needs in Montreal.
“No shortfall is allowed for the municipalities, which already bear a growing share of the funding, the residual of $361 million will be covered by this tax on vehicle registration,” wrote the CMM.
Also, the CMM said that the motorists’ portion of funding for public transportation will decline to close to five per cent.
“The CMM must therefore look for other solutions to diversify the sources of revenue paid to the Autorité régionale de transport métropolitain (ARTM) to finance the development, operation and maintenance of the public transit network, without increasing municipal contributions or resorting to property taxation.”
The CMM is a planning, coordinating, and financing body for 82 municipalities, and is responsible for land use planning, economic development, social housing, public transport and the environment.
Montreal Mayor Valérie Plante is the CMM president and Longueuil Mayor Catherine Fournier is vice-president.
Ensemble Montréal calls hike ‘drastic’
Official Opposition leader Aref Salem said he agrees with the registration tax but called the amount “drastic.”
Salem explained that the new increase punishes motorists who rely on their car as their sole method of transportation.
“Motorists must of course contribute more to public transport, just as users do through the increase in their fares,” said Salem. “However, we must not forget that residents of outlying boroughs currently have very few alternatives for getting rid of their cars.”
He also said his party is surprised with how quickly the CMM added the new increase, while the mayors of the Greater Montreal region are still negotiating public transit funding with the CAQ government.
“The mayor of Montreal, who chairs the CMM, should have the consideration to wait for the commission’s recommendations before going ahead with this measure,” Salem concluded.