IMO, there is only one way to rid the city of panhandling all together, and that's through eliminating the need to panhandle. First, increase welfare rates to a level that makes affordable housing and public transit affordable; second, build more rent-geared-to-income, co-operative and other affordable housing for these folks throughout the city, specifically avoiding the downtown area (that area's got its share); third, rebuild the mental-health and addicition services to get mentally ill and addicts off the streets and into housing or institutions (only when necessary); forth, tell the nation that Toronto is looking after its own, but that destitute folks from other provinces or cities can not easily be accomondated (otherwise the nation's poor will flock to these new Toronto services); fifth, build more homeless and transitional shelters throughout the city, so that everyone on the street has somewhere to go (ensuring that any lack of quality is addressed, so that no one is scared to go there); sixth, change OHIP, Welfare, etc. so that you don't need a home address to claim services; seventh, outlaw sleeping on sidewalks or overnight in public parks, and enforce laws prohibiting roadside solicitation; eighth, prohibit panhandling outside businesses, bank machines, theatres.
There is it. The Admiral's cure for panhandling. Deal with the causes, eliminate the need for the behaviour, and now you've got a good position from which to push for a stop of panhandling, since no one would have any excuse for doing it. I'd gladly accept a 5% or more increase in my provincial and municipal taxes to make this happen. See, I've got a heart too, I'm not all evil, crush the poor, etc...