No money in federal budget to help fill Toronto's COVID-19 shortfall
There was no money set aside in the federal budget to help Toronto cover a nearly $1 billion COVID-19-related shortfall in its own spending plan.
The city had been hoping that Ottawa would come forward with $235 million in funding to offset 2022 COVID-19 shortfalls, as well as a commitment for hundreds of million more to help it tackle a $933 million shortfall in its 2023 budget due to ongoing COVID-19 costs.
But the budget tabled by Finance Minister Chrystia Freeland on Tuesday afternoon made no such promises.
The provincial budget released last week also failed to include any significant funding for Toronto, other than $48 million to help cover supportive housing costs.
"The 2023 federal budget fails to address the City of Toronto's request for operating budget support,” Deputy Mayor Jennifer McKelvie said in a statement released on Tuesday afternoon. “While I am thankful for past support during the COVID-19 pandemic from the Government of Canada, I'm disappointed the Deputy Prime Minister – a Toronto MP - would ignore a direct commitment the federal Liberals made during the last election to former Mayor John Tory and the City of Toronto.”
The federal government did come forward with funding to help municipalities offset their COVID-19 shortfalls in 2020 and 2021.
McKelvie, however, said that when she spoke with Freeland on Monday she was “very clear” that her government would not be committing to funding ongoing COVID-19 shortfalls.
The deputy mayor did say that Toronto “continues to offer to find an alternative capital ask for housing, transit and climate action equivalent to our 2022 shortfall” but has not yet received any commitments.
“We have been very clear to the Government of Canada what the city's needs are and about the importance of supporting Toronto – the country's economic engine,” McKelvie wrote. “My job right now is to stand up for Toronto and I won't hesitate to fight to make sure our city receives its fair share from the other governments. Our advocacy will continue in the weeks and months ahead.”
Today’s federal budget comes one week after a report from Ernst & Young was released, showing that the city could be facing $46.5 billion in fiscal pressures over the next decade.
That report warned that the city’s financial situation is so dire that its very “fiscal stability and the sustainability of its service levels” will be threatened without action.
CTVNews.ca Top Stories
Police arrest 3 Indian nationals in killing of B.C. Sikh activist Hardeep Singh Nijjar
Three people have been arrested and charged in the killing of B.C. Sikh activist Hardeep Singh Nijjar – as authorities continue investigating potential connections to the Indian government.
Grandparents killed in wrong-way crash on Hwy. 401 identified
A 60-year-old man and a 55-year-old woman killed in a wrong-way crash on Highway 401 earlier this week have been identified by the Consulate General of India in Toronto.
Quebec man who threatened Trudeau, Legault online sentenced to 20 months in jail
A Quebec man who pleaded guilty to threatening Prime Minister Justin Trudeau and Premier François Legault has been sentenced to 20 months in jail.
TD worst-case scenario more likely after drug money laundering allegations: analyst
TD Bank Group could be hit with more severe penalties than previously expected, says a banking analyst after a report that the investigation it faces in the U.S. is tied to laundering illicit fentanyl profits.
Canadian doctor concerned new weight-loss drug Wegovy may be used inappropriately
As Wegovy becomes available to Canadians starting Monday, a medical expert is cautioning patients wanting to use the drug to lose weight that no medication is a ''magic bullet,' and the new medication is meant particularly for people who meet certain criteria related to obesity and weight.
Biscuits with possible plastic pieces, metal found in ground pork: Here are the recalls for this week
Here are the latest recalls Canadians should watch out for, according to Health Canada and the Canadian Food Inspection Agency.
Britney Spears 'home and safe' after paramedics responded to an incident at the Chateau Marmont, source tells CNN
A source close to singer Britney Spears tells CNN that the pop star is 'home and safe' after she had a 'major fight' with her boyfriend on Wednesday night at the Chateau Marmont in West Hollywood.
Local MP, MLA call on federal government to remove sunken vessel in Saint John River
An MP and an MLA are calling for the removal of a sunken vessel in the Saint John River.
Human remains found in rural Sask. possibly a decade old, RCMP say
RCMP say human remains found in a rural area in central Saskatchewan may have been there for a decade or more.