Regional News
December 03, 2008 03:45 PM
By David Fleischer
After years of funding Toronto's social programs at the expense of our own, the situation is improving.
But does that mean our increasing needs will be met?
By the time it is fully phased-out in 2013, York Region will have sent more than $1 billion in taxes, unaccounted for, outside our borders.
Last year, the payback came to $13.2 million, which helped regional council offset a 2-per- cent tax increase.
For 2009, that number doubles to more than $26 million - each year will see $13.2 million added until we have back all of the $79 million we were paying in 2004.
Redirect money
Each year, council will redirect the money as it sees fit but, with social programs calling out for more, can they expect to reap any of the rewards?
"The big complaint before was that we were signing the cheque and sending it to the province and Toronto, but that tax money was going to something our own residents saw nothing from," finance commissioner Lloyd Russell said.
Having that money back makes it easy to keep taxes low and fund the region's priorities, but it is not earmarked for something specific, like social programs, finance commissioner Lloyd Russell said.
In the last few years, infrastructure programs have been among the recipients but where the money goes this year is part of the ongoing 2009 budget process.
However, with an economic downturn and pressing infrastructure needs, community services and housing committee chairperson Brenda Hogg wants to make sure that people are not forgotten.
"The pooling funds, in my view, need to reduce our infrastructure debt and that would include building a sustainable, affordable housing supply and not just roads, transit, water, and sewer pipes," Ms Hogg said.
With more than 5,000 on the region's waiting list for subsidized housing, she said she has pressed regional chairperson Bill Fisch on getting more units built.
The region's capital budget goes to council at the end of this month, at which time they also review a draft of the operating budget.
Introduced in 1998 by the Mike Harris government, the pooling of social program costs was designed to help Toronto with the disproportionate burden placed upon it when social services were downloaded to municipalities.
Many said as unfair as it was for Toronto to bear that burden, it was just as unfair for GTA municipalities to send their tax dollars south while local programs went wanting.
Former Richmond Hill mayor Bill Bell even staged a brief tax revolt, threatening to hold back his town's share.
Ultimately, the region capped how much it contributed until the Liberal government nixed the program in 2007.