As Toronto Faces Budget Pressures In Billions, Chow And Committee To Talk New Taxes

Toronto Mayor Olivia Chow is set to convene publicly today with some of her closest council allies for a special meeting to review the city’s long-term budget woes, with a new surtax on luxury homes and higher on-street parking fees up for discussion.

The executive committee will meet for the first time under Chow to talk through a major report outlining Toronto’s budgetary outlook, which details a combined $46.5 billion in operating and capital pressures over the next decade.

In a bid to tackle Toronto’s daunting financial forecast, the report from the city manager and interim chief financial officer considers several new revenue measures, including a progressive surtax on the luxury homes and hiking the vacant home tax from one to three per cent.

But Chow, who campaigned on those tax reforms, has said the city needs serious help from other levels of government given the new measures would only cover an estimated 40 per cent of the city’s shortfall.

The report recommends asking the province to permit the city to bring in a new municipal sales tax applied to the purchase of goods and services in Toronto.

The executive committee is made up of Chow’s four deputy mayors, four of her appointed committee chairs and two at-large members of council.