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Whenever rates increase – it’s rare – so does online and coffee shop chatter
Published Feb 23, 2026 • Last updated 1 day ago • 5 minute read
Sault Area Hospital, one of whose parking gates is pictured, says Ontario hospitals rely on parking fees as a revenue source to supplement government funding, and parking revenues are used both to offset maintenance costs and to generate revenue, supporting ‘vital’ community patient care programs. JEFFREY OUGLER/THE SAULT STARArticle content
Few are neutral when asked about having to pay for Sault Area Hospital – or any hospital – parking. So, whenever Sault Ste. Marie’s principal health-care facility opts to raise the cost for parking at its Great Northern Road facility – as it did late last year- chatter is bound to abound. Especially in this curious age of social media when many shoot from the hip despite having little grasp of details.
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Naturally, there remain misconceptions as to why hospital patients and visitors must pay for parking in the first place and where, exactly, revenue is directed. Now that the dust has settled somewhat after the most recent increase, here is a brief explanation as to why hospital parking fees exist and where profits are placed.
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How did Sault Area Hospital explain the most recent cost increase, which took effect Dec. 31?
Effective Dec. 31, the per exit fee increased from $6 to $7.50 for patients, visitors and the public. On Jan. 1, parking rates also increased for staff and physicians. SAH anticipates an overall deficit for a second consecutive year, with a “significant” shortfall projected for fiscal 2025/26. Ontario hospitals must publicly post parking revenue. Assuming maintenance costs and parking volumes remain stable, the new rates will increase net annual parking revenue by $480,000. Revenue is split almost evenly between staff and the public.
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Do Ontario hospitals choose to charge for parking – and charge whatever they want?
No. In fact, the Ontario Hospital Parking Directive requires hospitals to apply a standardized calculation to determine the parking rate they are allowed to charge. For SAH, this calculation results in a rate that could be as high as $13 per exit. This amount varies for other hospitals depending on parking options. SAH said it was implementing an increase that reflected cumulative inflation over the past decade, during which no rate adjustments were made. Although the latest increase is 25 per cent, it remains below both the maximum rate permitted by the directive and the cumulative inflation over the past 10-year period.
Does hospital parking revenue go toward subsidizing employee raises?
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No. Sault Area Hospital – and Ontario hospitals – rely on parking fees as a revenue source to supplement government funding, used both to offset maintenance costs and to generate revenue, supporting “vital” community patient care programs. The hospital has said on the record it does not consider parking fees as “some cash cow. We look at it as a way to sustain quality health care in Sault Ste. Marie.”
Do staff and physicians pay the same rate as patients and visitors?
Yes. The staff monthly rate is posted on the hospital’s website, and it is the same as a monthly public pass. The past staff rate is $66.67, and the new rate is $83.33 monthly. The new rate for physicians is $1,000 annually.
When was the last time SAH increased parking rates?
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Ten years ago, in January 2016, and the per-exit rate had since remained at $6 before the latest increase. At that time, Sault Area Hospital branded a funding freeze as the chief factor in its decision. Before that, SAH parking rates had remained unchanged since 2009.
Had SAH considered increasing rates prior to its December announcement?
Yes. The increase was contemplated for several years but was deferred due to the COVID-19 pandemic and inflationary economic pressures. Increases traditionally occur at the start of a new calendar year to maintain alignment between staff and public parking rates.
Does the hospital offer discounts?
Yes. Discounted parking passes providing several parking options will continue to be offered, and updated pricing is available on the hospital’s website. Also, SAH parking lots have an entry-to-exit grace time of 20 minutes and a payment-to-exit grace time of 30 minutes. In June 2021, a new parking system was installed, which was billed to feature more parking pass and credit/debit tap payment options. In fact, a 24-hour pass was introduced, allowing for unlimited exits in a 24-hour period.
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Were parking fees suspended at all during the COVID-19 pandemic?
Yes. All health-care workers, patients and visitors, received relief for a few months in 2020 at the pandemic’s height. The move was geared to ease the “financial burden” placed on many families during the pandemic as well as serve as a “recognition of the incredible commitment and dedication of our staff in keeping the community safe at this time.” The July resumption was in line with ushering in Stage 2 reopening in much of Ontario, including Algoma District.
Was there much negative reaction to the latest parking fee increase?
A Dec. 3 SAH social media post, outlining the rate increase, indicated the hospital “limited who can comment on this post,” perhaps a reaction to unfavourble comments. Ontario Health Coalition, which advocates for publicly funded health care, immediately voiced its opposition. In fact, OHC argues all medical services ought to be provided without user fees, even suggesting SAH, itself, should “speak out more strongly against” having to charge for parking in the first place. Also, a group that assists Sault Area Hospital cancer patients shoulder parking fees called the increase “not a good news story for us at all.” Dennis Dinelle, whose late wife, Tracy, adopted an activist role following her 2012 cancer diagnosis, being instrumental in the launch of Tracy’s Dream, told The Sault Star he was “taken back pretty good” upon learning of the increase. By early December, the charity had received some 800 calls for assistance, marking an ever-increasing demand.
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How do Sault Area Hospital rates rate?
Parking here still appears to be less expensive than that of SAH’s nearest counterpart, at least for flat rates. Parking at Health Sciences North (HSN), in Sudbury, has a daily flat rate of $8 per exit for general lots, with options for one-day ($11.50), five-day ($28) and 10-day ($50) passes. The pay and display lot at the Northeast Cancer Centre has a daily maximum of $10. Parking meters are also available at a rate of $2 per hour, as they are at SAH.
Jeffrey Ougler has covered health care for The Sault Star for the better part of 28 years.
On X: @JeffreyOugler
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