October 12, 2006
Oral Questions
MUNICIPAL-PROVINCIAL REVIEW

Mr. Ernie Hardeman (Oxford): My question is for the Minister of Municipal Affairs. It's been almost 10 years since the last provincial-municipal services review. Since then, the costs of municipal services have increased dramatically, as I'm sure you are aware. Two months ago at AMO, the Premier announced a provincial-municipal review to be completed in 18 months, following the next provincial election, but there has been no progress in two months, not even the appointment of the committee. It looks like another McGuinty broken promise to the taxpayers of Ontario. Minister, can you tell me why you think the municipalities of Ontario should wait for assistance just so you can avoid a difficult election issue?

Hon. John Gerretsen (Minister of Municipal Affairs and Housing): It's hard to know where to start on a question like this. Number one, it was your government that caused all of the downloading to take place in the first place, which literally came close to severely damaging the financial situation in some of the municipalities. When you look at what we have actually done as a government when you look at the provincial gas tax money that's flowing, and will flow again later on this month, when you look at the federal gas tax money that we've included to flow straight through to municipalities, when you look at the fact that ambulance costs are going to be based on a true 50-50 basis that's going to provide municipalities with an additional $300 million, when you look at some of the housing programs that we've started over the last number of years, and when you look at the rent bank we've started, thereby helping municipalities, we have started undoing some of the damage that that government has done. And yes, it's going to take some time to get a good handle on everything. We're working on it --

The Speaker (Hon. Michael A. Brown): Thank you, Minister.

Mr. Hardeman: Minister, it was your government, your Premier, that announced that this review was going to take place. The question is really, why does it have to take 18 months? While we're waiting for the review, municipalities are being forced to reduce services or increase taxes. I know you told us in estimates that you have no idea what the average property tax increase is, so let me tell you: They are increasing dramatically and seniors are being forced to sell their homes because they can't afford the property taxes.

Two weeks ago, the Liberals voted against my resolution to complete the review expediently, so I guess they are admitting that they are dragging out the review for political gain. Despite Liberal opposition, the Legislature made it clear that we want that study completed expediently. Why is the Liberal government against completing the project expediently? Why do you have to set an arbitrary 18 months on it when you can do it as quickly as possible and help municipalities?

Hon. Mr. Gerretsen: First of all, let me just point out that I'm very pleased our Premier made that announcement at the AMO conference in August, because for the first time, a committee will be set up that will include municipal representatives, representatives from the city of Toronto, representatives from the Ministry of Finance and my own ministry, to finally try to make some sense of all the various programs that are out there, to make sure that certain programs are paid for by the municipalities, where the municipalities are the best service providers, and others are paid for by the province. It's going to take time. We've put it into place. Work is already happening on it right now. A number of tables are in the process of being set up. As we know, there are municipal elections coming up on November 13 and I'm sure the politicians in this province who will be elected after that date will become truly engaged in this process with us so we can finally come to a conclusion and solve the problems that that government over there created over the last 10 years when they were in power.