Tory Introduces “City Building Fund”, Will Bring in $13 Million Annually

Toronto Mayor John Tory has proposed a property tax increase to help fund much-needed improvements to transit and social housing infrastructure in the city.

When added to the Scarborough subway levy (at 1.6 per cent), homeowners would pay a total of $104 per year in addition to their normal property taxes. “We are beginning that process today”.

Although the mayor campaigned on keeping the annual property tax increase at or below the rate of inflation, Tory’s spokesman says he would consider the City Building Fund increase would be separate from the property tax increase. “That means building transit, which is the single most effective way to cut congestion, and adding more affordable housing, while repairing our existing stock”, Tory said in the release.

“This initiative will allow us to pay for transit and housing projects across Toronto, just as we are all working together to help improve transit in Scarborough”, Tory said.

The levy would cost the average home about $13 a year and be used for the building of transit and housing across the city.

But the $13 million the fund would generate annually is a far cry from the City’s most pressing needs.

Tory’s move comes one day after city manager Peter Wallace sounded the alarm about $23 billion in capital projects that council wants to make happen, but for which there is no identified source of funding. “This is vital to our economic foundation and long-term prosperity and must continue to be a priority”.