John Tory's 2016 Toronto budget plan to be revealed Monday

Fighting poverty and TCHC repairs will top the mayor’s budget picks this week, with $67 million in unfunded priorities up for consideration.

Thestar.com
Jan. 17, 2016
By David Rider

Mayor John Tory’s administration will say this week that the city needs to spend more money on poverty reduction, arts funding, accelerated repairs to TCHC units, hiring paramedics and more.

But his budget chief and ally, Councillor Gary Crawford, will also earmark tens of millions of dollars in previously identified priorities to argue that Toronto taxpayers simply cannot afford them.

“We need to look at our absolute priorities,” Crawford said in a recent interview, ahead of Monday’s release of a detailed budget proposal that will, he says, still leave a gulf between spending and revenues.

“There is still a gap - it’s a real gap,” he said, adding that departments continue to scour budgets for savings on postage, office supplies and other small items that add up.

He will also confirm that the administration is sticking with a pledge to try to limit the residential property tax hike to 1.3 per cent, the city’s inflation rate, despite calls from some councillors to go higher, given the city’s needs.

Last month, city manager Peter Wallace unveiled a proposed budget that includes $57 million in approved-spending items with no identified way to pay for them, and a further $67 million in items not in the budget but referred to the budget committee for consideration.

Tory told Metro on Thursday he expects to present to council a spending blueprint that includes about 40 per cent of the $67 million in non-budgeted items, meaning roughly $40 million worth of initiatives would be shelved.

Items on the $67-million list expected to get Tory’s nod include: significant spending on poverty reduction, including free meals for more needy students and homemaker and nurse programs for seniors in care; $16.7 million for TTC improvements, including better bus and streetcar reliability; $13.7 million to accelerate repairs to TCHC homes; $3.06 million to hire 57 new paramedics; and millions of dollars in arts funding to get Toronto closer to the council-approved goal of $25 per resident.

Items that could be swept off the table, at least for now, include: $416,000 to start opening warming centres 24 hours a day in January and February; $5 million to “rejuvenate” parks’ horticultural beds; $250,000 to keep 88 community centres open on Family Day; and $1.4 million in new resources for the watchdog accountability officers.

Councillor Gord Perks said Tory is likely to avoid a fight with left-leaning councillors only if his administration commits to meaningful debate on so-called revenue tools - new taxes or fees to facilitate spending in future budgets. Perks wants city staff to update a past report on council’s options, including a Toronto-only sales tax.

“None of the suggestions I have heard, like telling a department they need to just cut a certain amount of money, or relying on reserves, seem to be sustainable sources of revenue,” said Perks. “We will only go along if there is a commitment to quickly deal with the city's long-term funding model.”

After the budget committee votes on the proposals, Tory’s executive committee will debate it. Full city council will have final say in February.