Tax Hikes vs. Transit Reliability: Breaking Down the Chow-Bradford Debate
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As Toronto prepares for its mayoral election, candidates clash over whether property tax increases have actually improved the city's crumbling infrastructure.
Q: What specific property tax increases has Mayor Olivia Chow implemented during her tenure?
A: As CBC Toronto first reported, Mayor Olivia Chow implemented a 9.5 per cent property tax hike in the first full budget following the 2023 mayoral byelection. Subsequent increases were set at 6.9 per cent and 2.2 per cent.
Q: How does Mayor Chow justify these tax increases in relation to the TTC?
A: Speaking on CBC Radio’s Metro Morning, Chow compared Toronto to a home with a leaking roof, noting that the Scarborough RT had recently derailed. She argued that an "enormous amount of funding" was required to fix the TTC's rails to ensure passenger safety. Chow claims that while the TTC is "not perfect," the spending enabled by property tax revenue has made the system more reliable.
Q: What is the counter-argument regarding these expenditures?
A: Mayoral candidate Brad Bradford has argued that the tax increases were unsustainable and that the city has not improved. Bradford questioned where the money went, stating to CBC Toronto that services have not improved by 20 per cent and transit reliability has not seen a corresponding 20 per cent increase.
Q: What was the financial state of the city that Chow says necessitated these raises?
A: Chow told CBC Toronto that she inherited a $1.8-billion budget hole largely caused by the COVID-19 pandemic. Toronto's budget chief reported earlier this year that this shortfall has since been reduced to approximately $1 billion.
Q: There is a dispute over Brad Bradford's "tax freeze" promise. What is the core of that disagreement?
A: Bradford has pledged a one-year property tax freeze. However, Chow told CBC Toronto that this is misleading because it ignores the city building fund, a property tax charge that directs 1.5 per cent of a property's assessed value toward infrastructure and transit. Chow argues that because of this levy, Bradford's plan is actually a 1.5 per cent increase. Bradford maintains his position, telling reporters that while the 1.5 per cent city building fund remains to pay for housing and transit—including projects in Scarborough—the tax rate for residents would be zero per cent.
Q: What are the candidates promising regarding future spending and taxes?
A: Should she be re-elected, Chow has pledged to maintain property tax increases "at or around" inflation levels. During a CBC Toronto mayoral debate, she noted that if inflation were at two per cent, her increase would not exceed that by more than one per cent. Meanwhile, CBC Toronto reports that Brad Bradford is promising to rebuild portions of TTC track, hire 1,000 net new police officers, cut the land transfer tax, and transition Toronto Water into a public utility company.