Priority to Get the Powers and Funding Needed for Toronto to Succeed

Challenges

The provincial and federal governments’ have begun to acknowledge that there is a problem. However they have not yet assumed responsibility for paying their fair share. The annual cost to the city of covering provincial responsibilities is $700 million which includes social services capping and shortfall of $50 million, 50 % of the TTC operating subsidy of $180 million and social housing cost of $218 million. It’s not just that Toronto needs new sources of money to maintain services – it needs revenue sources that grow with the economy. Currently, Toronto doesn’t have access to money generated through sales or income tax. This is significant because, when the economy grows, so do the revenues that come from these kinds of taxes. Toronto has access only to property taxes, which stay pretty much the same regardless of the economic climate.