I think this is a natural consequence of a city that has comparatively low property taxes, and whose Council/Mayorship prides themselves on keeping tax increases below the rate of inflation. Add to that massive road projects like the Gardiner that have soaked up almost all the capital budget in the transportation department and you end up with projects being staged and dragged out as long as possible in order to align with funding availability.
Very true. We have one of the lowest tax rates in Ontario, but the city keeps on pumping out studies and objectives but no funding to match. They continually run to the province and federal government for everything. The rebuild of the Gardiner from Cherry to the DVP, and the waterfront streetcar connections are another bunch of those things that sit waiting long after study and approval. I can understand running to the other levels of government for health and welfare items where the citizens need assistance wherever they are, but pure city building items are things the city should have money for. They need to get real and raise taxes rather than taking a 15-20 year lead time to find the funding to accomplish anything. Maybe we should a pause on all city studies until the ones completed are paid for. Councillors and the Mayor have dreams... park it until you pay for the dreams already approved.
GTA property tax rates for 2021:
Source:
https://toronto.ctvnews.ca/five-ont...highest-property-tax-rates-revealed-1.5660362
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So forget jacking our rate up to the highest, which is arguably too high; besides which an increase of 100% plus would see pitch forks down to City Hall, let's just ask....what if we bumped the rate to just shy of the median for the GTA?, say to Brampton's 0.96%? That would equal a property tax hike of .35 or 57%. Lets be somewhat conservative though and assume we would not see the full extent of revenue increase as a result of such a move. Let's allow for 45% more revenue.
What would that equal?
Well, Property tax represents about between 35-40% of City revenue depending on the year. Again, let's take the lower of those numbers.
Applicable revenue 35% of 15B = 5.25B; now lets apply a 45% revenue increase to that number: That's 2.63B per year.
So by raising our property tax rates to slightly below the GTA median we would add about 2.63B per year.
We can play around w/the other revenues in the budget as well; but I think its important to remember a slew of those are user-fees from TTC to recreation which are regressive for low-income earners and would probably penalize desirable behaviors (taking transit, staying fit, etc)
So, setting aside road tolls or sales taxes or the like, for the moment........I would simply add revenues from increasing permit and street parking to fair market value; for purposes of a calculation for Green P spaces, we know their historic mandate has been to under-price the market by 25%; I will therefore, conservatively assume they are capable of generating another 30% in net income, which would be ~23M per year. Permits are harder to calculate as the City is less than transparent w/its data on this point; but I believe at market rates they could generate at least an extra 50M per year.
So 2.7B per year total.
How fast could we burn that off? Different post, different thread............ LOL