York Region demands power to bring in new taxes

Region is $220 million a year short to pay for needed infrastructure, council says

Yorkregion.com
May 23, 2018
Lisa Queen

With just over two weeks to go before the provincial election, York Region councillors are renewing their demand that Queen’s Park give them new taxing powers.

Saying they need new ways of raising cash as they grapple with providing services for a growing population, councillors want taxing powers similar to Toronto.

The region complains it has $220 million dollars a year in infrastructure needs that it can’t afford to pay for as long as it sticks to its current cap of three per cent in annual property taxes.

The region’s debt hit $2.9 billion last year, although that is expected to begin decreasing as of this year.

If new taxing powers are approved by the provincial government, York councillors could look at slapping a number of new fees permitted in Toronto on taxpayers here including municipal land transfer, vehicle registration tax, alcohol, entertainment and amusement, parking and tobacco taxes.

Other municipalities also have the power to implement hotel and vacant unit taxes and roll tolls, the region pointed out.

Councillors first called on the province last year to let them impose new taxes.

The region’s population is expected to grow by about 700,000 to 1.8 million by 2041.

“York Region is a growing municipality with one of the largest capital budgets in the Greater Toronto Area,” regional chair Wayne Emmerson said in a May 22 statement.

“As we continue to welcome new residents and businesses to our communities, we must ensure infrastructure is in place to accommodate current and future needs. New revenue sources are essential to addressing costs associated with building new, and maintaining current, infrastructure.”

The region has been successful in keep property taxes below three per cent, reducing its debt and saving to maintain its assets such as buildings, roads and sewers, Richmond Hill Mayor Dave Barrow, chair of the region’s finance committee, said.

Last fall, council rejected a proposed road tax being added to the property tax, although the idea is something they could revisit down the road.

The tax would see an additional one per cent added to the property tax bill every year for five years.