STM to transfer paratransit minibus services to external partners in 2026
The Société de transport de Montréal (STM) is beginning a process to transfer its paratransit minibus services to external partners in 2026.
STM notes taxi industry partners already handle 90 percent of paratransit trips. Transferring the remaining 10 percent of trips—those delivered by minibuses—to external partners will allow the STM to streamline its paratransit services. Paratransit eligibility, reservations, planning, service delivery management and quality management will continue to be handled directly by the STM.
“With over 12,000 daily paratransit customers and over four million paratransit trips per year, the STM has clearly demonstrated the skills and expertise of its employees in the field,” said STM CEO Marie-Claude Léonard. “We’re not questioning the outstanding work of our teams. We’re rethinking our business model for this service. Given our financial situation, and with our current minibus fleet and the Saint-Michel bus garage both nearing the end of their useful lives, we have a responsibility to seize opportunities to innovate, enhance our service offering, and reevaluate our business model.”
STM says the initiative will make more vehicles available for all users, thus directly responding to growing customer needs and allowing the STM to uphold its zero-refusal policy. According to the agency, demand for paratransit services is on the rise due to an aging population and increasingly diverse customer travel needs.
“We understand that this change may be concerning for customers who rely on our paratransit services,” Léonard said. “Our strength has always been providing quality service at every step of the customer journey, from booking to post-trip follow-up. That won’t change. In fact, that’s precisely what this initiative is about—maintaining the same level of quality and, above all, being able to keep upholding our zero-refusal policy in the future.”
STM notes that in the meantime, minibus paratransit services will continue to operate as normal, with no changes. The agency will begin discussions with different potential providers for this type of service over the course of 2025.
Anticipated savings
According to the agency, the initiative could generate recurring savings of C$15 million (US$10.5 million)—an important consideration given the STM’s current financial context. In keeping with the STM’s commitment to maintaining quality services at a lower cost, it will contribute to the transit agency’s goal of reducing expenses by C$100 million (US$70 million) during the next five years. STM says it will also help reduce capital expenditures at the bus garage and cut acquisition costs, as the current minibus fleet is reaching the end of its useful life and will not be replaced.
