Archive for September, 2009

Wind Concerns Ontario Will Be Responding to Green Energy Act Regulation Announcement

I will be responding to the Green Energy Act regulations cabinet has passed and will announce today, once they are available. I don’t have much to say having not yet seen a final draft of what the Minister is to announce, but will be as soon as they are available.

Members of Wind Concerns Ontario are galvanized, energized and have always been prepared to take on government and industry for irresponsible regulations that hurt human health, deny science, damage the environment, harm our democracy and hurt our community decision making.

While I always hold out hope the government will listen to us, I remain pessimistic as I await a copy of the final regulations. I expect today will be like every other day, and that our members will find themselves continuing to fight hard against this industry and it’s irresponsible projects.

The difference is now that the regulations are in place, there is little left to discuss, especially once offshore regulations are decided, and it is quickly becoming a time for action.

More comments later.

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Transit Fare Hike Bad Way for City to Reward TTC Users

I’m sorry, did I miss something? I thought we were supposed to ride the TTC and that the City liked that 300 000 people give them the hundred and ten bucks a metro pass goes for each month without fail. Now they’re saying that because of the popularity of transferable passes (read more people riding the TTC) they are facing a $17 million shortfall this year and if someone doesn’t step in to cover it (another level of government), they will need to raise transit fares. It would mark the third transit fare increase in four years, and is a short sighted act that goes against the city’s climate change agenda, common sense and long term transit planning.

In my last post I suggested these guys are marching us toward a dangerous financial picture, and while I still agree with that statement, I honestly think the TTC needs to find a more creative solution than penalizing transit riders with yet another transit hike. They know all too well that the TTC only makes sense so long as the price point of a transit fare is reasonable to riders. This isn’t my opinion this is basic economics. The more pressure they put on the affordability of public transit, the more ridership will fall off.

What’s more, I can tell you from running for City Council in an area with many low income transit riders, that metro pass affordability is already an issue as it and rent are generally paid for at the same time of the month. Putting any upward pressure on the cost of a monthly pass would hurt the low income users who rely on them, and may force them to use more expensive fare options such as cash or tokens for the entire month.

The City has an $8.6 billion budget. They surely can find the $17 million and recognize this short fall needs to be filled in a way that matches their overarching transit strategy and doesn’t hurt transit users unfairly. They found $400 million for LRTS in less than 24 hours just two months ago to support enhancing public transit. The TTC is far more than an financial transaction. It is part of our urban planning framework and daily life in Toronto for many residents.

While I wouldn’t be shocked if the City went ahead and raised the fare, I believe it would be a serious mistake, especially right now. Bad economic times are a good opportunity to raise ridership by encouraging folks to take the TTC to work more frequently and leave the car at home. Bad economic times are even worse times to raise the cost of transit fares and hurt ridership.

No one can disagree with that point. Let’s hope the City recognizes how bad of an idea this is before they make it.

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Disclosure of New Sick Pay Liability Demonstrates 'Monopoly Money' Mentality at City Hall

When I read in the Toronto Star yesterday that the City of Toronto’s sick pay liability was actually $450 million, not $250 million as discussed during the 39 day strike this summer, I was a bit stunned. Decisions were made on a much lower number, and while I didn’t believe the City should walk away from existing liability to workers, it would have been nice to know what we were actually talking about when forming those opinions. Reading the amount of confusion the City seems to have in understanding a) how they were off by $200 million, and b) the various explanations for the addition $200 million in liability; it demonstrated a total lack of concern of taxpayers dollars.

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Blaming it on a software error is not only an epically weak excuse, but it fails to recognize the serious repercussions of the error. Consider for a moment that between this, and the LRT deal this Council signed during the strike, they added $600 million dollars in future expenditure (read budget shortfalls for later) in less than 30 days. The LRT financing was something the City developed and voted on in less than 24 hours, adding $400 million dollars in totally unplanned spending to the capital budget. These actions are simply irresponsible and demonstrate a lack of appreciation for what it is they are tasked with doing.

Consider that each additional $30 million of revenue this Council adds to the expenditures, a 1% property tax increase is needed. This Council is already facing a staggering $500 million dollar budget shortfall in 2010. In 2003, the City of Toronto had a $6.4 billion dollar operating budget, by 2009 the annual operating budget is $8.7 billion dollars. This is a 35% increase in annual operating expenses over six years, with little or nothing by way of service improvements to show for it.

I do believe government spending can be positive and targeted in a way to have a demonstrated value for residents.But ,I become very concerned when I look at staggering numbers like this and realize that through the irresponsible spending we’ve watched at the municipal level in Toronto, we now have a chronic budget shortfall, no real service improvements to point to in exchange, and quite likely some service cuts on the way.

City Council needs to get real, and recognize they are putting Toronto on the path to bankruptcy. They need to actually think before the spend, to revisit previous priorities and announcements to determine if funding and projects are meeting their objectives and if not, make some decisions about deployment of resources. If we start the process now, it doesn’t need to be painful, but if Council waits until the situation is entirely out of control, they will be forced to cut deep into both the operating and capital budgets in ways all citizens will feel.

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