Toronto Deputy Mayor warns of service cuts due to lack of federal COVID-19 funding

Toronto’s Deputy Mayor, Jennifer McKelvie, has expressed concern over the potential for significant cuts to services and state-of-good repair work due to a lack of federal funding to cover the city’s COVID-19-related shortfall. The Liberal government’s recent budget failed to include the $235 million requested to offset the 2022 COVID-19 shortfall, as well as a commitment to provide hundreds of millions of dollars to help the city tackle its $933 million shortfall in the 2023 budget due to ongoing COVID-19 costs.

McKelvie acknowledged the federal government’s focus on growth but emphasized that Toronto is still in recovery mode and needs help to offset its COVID-19 losses. While the federal government provided funding to cover the city’s COVID-19 losses in 2020 and 2021, it failed to do so last year. This lack of federal support comes at a time when the city is grappling with a surge in violence, homelessness, and mental illness.

The recent fatal stabbing of a 16-year-old at Keele Station is the latest in a string of violent incidents on the TTC, and many believe that homelessness and mental illness are contributing factors to the rise in violence throughout the city. McKelvie has warned that the city may have to cut services if other levels of government do not provide budgetary support, and such cuts could happen as early as 2024. She also suggested that property taxes may have to be increased to address the budget shortfalls.

Ernst & Young recently released a report showing that Toronto could be facing $46.5 billion in fiscal pressures over the next decade, which did not take into account the possible COVID-19 shortfalls. City council will consider the report this week, and McKelvie has called for an important conversation about how to help the city, which is the country’s largest economic engine. She stressed that Toronto’s success is critical to the success of the entire country.

The lack of federal budgetary support for Toronto has put the city’s financial stability in jeopardy. With rising violence, homelessness, and mental illness, the need for support is greater than ever. If other levels of government do not step up to provide budgetary support, the city may be forced to make significant cuts to services and state-of-good repair work. The potential for increased property taxes and decreased services is a concerning prospect for Toronto residents and underscores the need for urgent action.

Prabhnoor Kaur