GST solution? (01/31/06)
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 I’m not looking forward to several more years of chronic transit funding problems. 60 TTC routes are at or near overcrowding levels during peak periods. Riders in Toronto and Mississauga risk being left at stops as full vehicles pass by, whether on the surface or in the subway. We’re used to overcrowding, and it may not be a true crisis -- but with no significant expansion planned, we can address this challenge now or wait for money to somehow appear.

 GTA municipalities have to fund not only a backlog of maintenance and vehicle replacement, but we need many more buses, streetcars and trains if there is to be hope of staying ahead of gridlock. During the recent election, the Conservatives promised to honour all the previous government’s transport funding programs.

 The Tories vowed to reform the way provinces and Ottawa divide revenues, which might give cities a bigger piece of the pie. Since the Ontario government is itself short of funds, I’m not sure a new arrangement will ever provide the hundreds more buses we need now.

 Since Canada’s biggest cities did not elect many Conservatives to Parliament, will York Region, Mississauga or Toronto see new bus or light rail lanes in the foreseeable future?

 The Conservatives also pledged to drop the GST from 7% to 6% right away, and eventually to 5%. Although hampered by minority status, the incoming government may go ahead with the rollback.

 Perhaps it’s too simple to actually work, but why not give cities the difference in revenue? Residents of Toronto and nearby ridings preferred not to vote Tory for various reasons, and the GST pledge may not have been a persuasive issue.

 Is it possible we in the GTA can tolerate paying one penny per dollar of goods and services transactions if it goes to transport infrastructure? Why not ask local voters in a referendum whether the GST rollback should be applied to our transit and road network?

 The next municipal election is in November. I’m neither a politician, civil servant nor accountant -- and yet it seems feasible to put it to voters this year. If a majority of voters in a city or region approve, then one percentage point from the sales tax could be dedicated to transport costs within that municipality.

 The idea is not new -- nor would it be without flaws or opponents -- but now might be the best time to achieve a breakthrough in the TTC’s perennial “cash crunch”. Opinion polls have indicated Torontonians will support paying more for our aging transportation system -- although many are against road tolls. Since we are used to the current amount of sales tax, citizens in greater Toronto may be willing to forgo the rollback from 7% GST.

 Local voters in the US regularly approve portions of sales tax for transit projects. Things work differently here, but it’s worth noting that many light rail and rapid bus lines are being expanded south of the border. Why not here too?

© Ed Drass 2008