Tory promises $1B extra for transit

[Mike in TO]

Tory promises $1B extra for transit
Toronto Star
July 09, 2007

Conservative Leader John Tory says he would spend 100 per cent of the provincial gas tax on roads and transit if he's elected as premier.

Tory says the government collects more than $3.1 billion from gas and fuel taxes but only spends about $2 billion on transit.

He says it would take him about five years to restructure that spending until 100 per cent of the gas tax goes to transit.

Tory says that extra $1 billion a year would fund his strategy to improve transit, including improved infrastructure, expanded GO Transit service and rapid-transit service.

About 14.7 cents from every litre of gas goes to the provincial government.

 

[theman23]

John Tory's "plan for the future" document calls for a new "east-west interregional rapid transit line to relieve pressure on Union Station". I wonder if this is similar to the GO crosstown announced by the Liberals?

 

[Observer Walt]

Sounds promising, on a tentative basis, but I'd want to see more detail, at least with regards to a breakdown of this new funding between highways and transit.

 

[AlvinofDiaspar]

A longer article from the Star:

Fund transit with gas tax, Tory says

Jul 09, 2007 12:51 PM
From Canadian Press

The provincial gas tax that adds almost 15 cents per litre to the price at the pumps would go toward funding roads and transit if the Conservatives are elected, party leader John Tory said Monday.

The government collects about $3.14 billion from gas and fuel taxes for upgrading roads and public transportation, yet a third of that money pays for other projects – which should infuriate motorists, Tory said.

"Their money is going into a black hole – along with some many other taxes – which is being used in many cases not to fund roads, not to fund transit, but instead to fund things like misleading advertising campaigns, logo changes and other kinds of wasteful expenditures," he said.

A Conservative government would spend all 14.7 cents per litre properly – although it would take five years to make that happen, Tory said.

He couldn't answer whether the increased spending would be phased in evenly over the five years, or how it would be split between road and transit upgrades.

His campaign platform calls for $300 million to improve roads in rural and northern Ontario, and some vague promises to expand GO Transit service and rapid-transit service.

Tory wouldn't commit to whether he would scrap the Liberals' $17.5-billion transit strategy as premier or follow through with it.

He said he wants to hear back from the Greater Toronto Transportation Authority on how it would spend the money before making that decision.
_______________________________________________

Somehow, it seems like all soundbite. Interesting that he would be able to commit to spending on rural roads so quickly while dumping GTA transit on the GTTA to "report on".

AoD

 

[Chuck]

Interesting that he would be able to commit to spending on rural roads so quickly while dumping GTA transit on the GTTA to "report on".

Considering that the amount money going into GTA transit is about 580 times higher than the amount of money going into rural roads, it makes sense that spending be well thought out. When the Province decides where transit money goes, we get useless projects like the Vaughan subway.

 

[AlvinofDiaspar]

Chuck:

I can think of quite a few projects in that list that could be considered as beyond "well thought out". Besides, 5 years down the road is just about time for the next election.

AoD

 

[CDL.TO]

John Tory's "plan for the future" document calls for a new "east-west interregional rapid transit line to relieve pressure on Union Station". I wonder if this is similar to the GO crosstown announced by the Liberals?

I strongly suspect that this is simply the Tory Tories' way of saying "we will continue funding the GO BRT project".

 

[ShonTron]

Why does John Tory and the Tories sound like a chessy 1960s/1970s era band like Herman's Hermits, Ringo and the All Star band or Murph and the Magic Tones?

John Tory is proving to be a disappointment. He's too afraid of alienating his base, the rural folk in HurPerBurGreSimPetVicHaliNipHastLenLanRenLeedsland, and his transit pledges are lame. I'd rather take another four years of McGuinty any day.

 

[adma]

Why does John Tory and the Tories sound like a chessy 1960s/1970s era band like Herman's Hermits, Ringo and the All Star band or Murph and the Magic Tones?

Lest we forget

 

[cacruden]

Tory promises $1B extra for transit
Toronto Star
July 09, 2007

Conservative Leader John Tory says he would spend 100 per cent of the provincial gas tax on roads and transit if he's elected as premier.

Tory says the government collects more than $3.1 billion from gas and fuel taxes but only spends about $2 billion on transit.

He says it would take him about five years to restructure that spending until 100 per cent of the gas tax goes to transit.

Tory says that extra $1 billion a year would fund his strategy to improve transit, including improved infrastructure, expanded GO Transit service and rapid-transit service.

About 14.7 cents from every litre of gas goes to the provincial government.

The 1.1 billion extra/year is getting close to the liberal promise of 17 billion (assuming that 2009 - 2021 = 12 * 1.1 billion = $13.1 billion - but of course does not come to complete stop in 2021

 

[rbt]

but of course does not come to complete stop in 2021

How do you figure it doesn't? The ability for successive governments, conservative or otherwise, to modify prior arrangements is pretty vast and regularly used. We have absolutely no idea what promises will be made in 2012 let alone the 2017 or 2022 elections.

The Liberal spending is more of a sure thing simply because if they borrow in advance they can put the funds into trust accounts specifically for those projects. Harder to touch the contents of a trust account tied to a specific project than a vague notion that $1B should be spent on transportation in an unspecified way.

As a concept or ideal, the conservative promise is better. The Liberals implementation plan has a much higher chance of success simply because of the additional details.

 

[cacruden]

How do you figure it doesn't? The ability for successive governments, conservative or otherwise, to modify prior arrangements is pretty vast and regularly used. We have absolutely no idea what promises will be made in 2012 let alone the 2017 or 2022 elections.

The Liberal spending is more of a sure thing simply because if they borrow in advance they can put the funds into trust accounts specifically for those projects. Harder to touch the contents of a trust account tied to a specific project than a vague notion that $1B should be spent on transportation in an unspecified way.

As a concept or ideal, the conservative promise is better. The Liberals implementation plan has a much higher chance of success simply because of the additional details.

Where did you ever get the idea that they are borrowing that money and putting it in a trust? dream? Why do you think they spread out the project over x number of years? If they were borrowing the money, ALL the projects could be completed in 4 to 5 years. Bangkok is currently building 3 new subway lines -- target completion is in around 3 years.

Of course these are ALL just promises from politicians (not much of a difference between being vague or not). How many of these election promises were broken the day after the Liberal government was elected last time? Hmmm, surprise -- politicians promise things they never plan to deliver

Last time I heard, the Liberals were IN GOVERNMENT, which means they can recall (if necessary) and pass the legislation to start the project now.

We really just have to hope and wait.

 

[Hydrogen]

Hmmm,


Vague promises...

...an election must be coming.

 

[brettrobinson]

Why does John Tory and the Tories sound like a chessy 1960s/1970s era band like Herman's Hermits, Ringo and the All Star band or Murph and the Magic Tones?

John Tory is proving to be a disappointment. He's too afraid of alienating his base, the rural folk in HurPerBurGreSimPetVicHaliNipHastLenLanRenLeedsland, and his transit pledges are lame. I'd rather take another four years of McGuinty any day.

Agree!!!

 

[rbt]

Where did you ever get the idea that they are borrowing that money and putting it in a trust? dream?

You haven't been paying attention at all have you? That's okay, most people can't follow politics. They get caught up in the "obvious" components of the day and ignore the background noise, which of course is exactly what the parties want to happen.

Read the Liberal announcement and plans very carefully and you will quickly realize it has very little to do with public transit. That is the secondary goal.

The primary goal is to lock up the union vote.

Hints:
* It's P3 but big business, including banks, are not being invited to the table. The groups that have been invited to the table commented on the plan shortly after it was released.
* Immediate start on most projects. It takes a couple years to gear up.
* Interest rates tend to spike at the beginning of a decade.
* This is a long term (40+ year) investment with regular payments being made.

Lots of other benefits for them as well which will probably keep the lending rates low for the province so it can so P3 deals can work to the benefit of the province.

For homework, you can analyze and report back on the Ontario Conservative plan. I actually prefer it because it would benefit me personally (Conservative plans usually do) but I think the Liberal plan is better for the long term health of the province.