Mayor Rob Ford's plan to extend the Sheppard subway line into the heart of Scarborough has been dealt another blow.

An expert panel charged with studying public transit options along Sheppard Avenue East will recommend that the city build an above-ground light-rail transit line, beginning at Don Mills Station on the existing Sheppard subway line and terminating at Morningside Avenue.

The panel's recommendations are based on nine listed criteria, including the potential for economic development, cost effectiveness, the timeframe for construction, anticipated ridership, integration with the rest of the transit network, the level of service provided, accessibility, environmental sustainability and community impact.

Overall light-rail transit scored 87.3 out of 100 points while Ford's subway plan tallied 59.3.

To see the report follow this link.

"This is not a political report. It is not aimed at satisfying political arguments on either side; it's about building a better transit network," Eric Miller, Director of the University of Toronto's Cities Centre and a member of the panel, told reporters Friday afternoon. "If you look across all the criteria, each one of which is very important, the LRT in the collective judgment of the panel tends to score better than subways. It was in fact a fairly dominant result."

Mayor Rob Ford has insisted that the city expand the Sheppard subway line into Scarborough Town Centre at a cost of $4.2 billion. He reiterated his opinion during a Subways Are For Everyone rally in Scarborough Thursday evening. He said "money would flow" from the private sector once the city starts construction.

On Friday Miller said he isn't convinced of that.

"In my view -- and I think the panels view -- there simply isn't enough evidence to suggest that (private sector investment) is a legitimate way of funding this," he said. "Private investment where it exists and where it is warranted makes sense, but the Sheppard corridor may not be the best place to find it."

In its decision to support light-rail transit over a subway expansion, the panel said the city would save 60 to 70 per cent on the total cost while still providing service that is "twice as fast as streetcars".

They also said light rail transit would provide better "community access" because stops would be closer together and as a result, would attract more riders.

"If you look at the numbers the argument is that the LRT gives you better bang for your buck," Miller said.

While the panel's findings are expected to be applauded by certain members of council, not everyone is onside.

In an interview with CP24 Political Specialist Stephen LeDrew Friday afternoon, Coun. Norm Kelly accused the panel of not considering the long-term ramifications of building light-rail transit in place of subways.

"They only had a couple weeks to do this and it stands in complete opposition to a 400-page report that took months to compile back in 1992, so if I had to judge between the two reports I would choose the one that was done professionally and in greater depth than this one," he said. "If you accept this report, all you are doing is pushing into the future a final decision on rapid transit in Toronto."

The panel, which will formally table its recommendations during a special council meeting Monday, also recommends that the city manager develop a comprehensive transit plan along with a public consultation process to accompany it.

The plan should compliment Metrolinx's plans for transit improvements in the Greater Toronto Area.

"The city should have a comprehensive plan for transit expansion and a sustainable plan for funding these new lines," the report states.

The seven-person panel was formed in February after council voted in favour of a light-rail transit plan. The plan is to put light-rail transit on Finch Avenue and on Eglinton Avenue. It will be partially above ground.

Members of the panel included Miller, David Crombie, chair of the Toronto Lands Corporation, Gordon Chong, CEO of Toronto Transit Infrastructure Ltd., Mitzie Hunter, CEO of the Greater Toronto CivicAction Alliance, Prabha Khosla, chair of the Toronto Women's City Alliance, Community Planner Israt Ahmed and Ernie McCullough, the executive director of the Sheppard East Village Business Improvement Area.