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December 13, 2005
Dear Warden Woolcott: I am writing to you today to express my concern with regard to Bill 206, Ontario Municipal Employees Retirement System Act, 2005. The Ontario PC Party believes that we cannot support the Ontario government intent to transfer its responsibilities for the pensions of municipal employees across Ontario. The McGuinty Liberals have not only initiated the devolution of their responsibility for OMERS, but they have unfairly burdened municipalities with substantial increases in costs. While listening to public presentations and in committee, I heard over and over again that municipalities believe there is still much in the way of cost and financial impacts that are not known. Numerous times at committee I asked the government to provide numbers on how much this would cost municipalities and time and time again they failed to do so. As you are aware, the Association of Municipalities of Ontario have received numerous motions from municipalities across Ontario stating their opposition to the devolution of OMERS and I quote Roger Anderson, President of AMO and Hazel McCallion, Mayor of Mississauga. “As this Bill takes effect, all Ontarians should be adding 3
percent to their current property tax bills and asking the Province
what they will get in return for their tax hike. The answer is ‘nothing’
at a time when communities need more transit and police officers, better
roads and bridges, and meaningful property tax relief,” says AMO
President Roger Anderson. “While the Premier McGuinty and Municipal
Affairs and Housing Minister John Gerretsen both acknowledge the financial
difficulties that Ontario municipalities face, Bill 206 will only make
matters worse.” I heard your comments loud and clear that you felt that there was not enough consultation on this bill, and we have acted. I called for an extension of hearings and have been told by the Liberal government that indeed there will be additional hearings after second reading of the bill. Bill 206, as it is currently written is not in the best interest of municipalities. There is great concern around the start-up costs that will be incurred in the process of preparing for the new governance responsibilities. The government has brought numerous amendments forward to the bill. However, we simply cannot support an action that does not respect municipalities and will simply increase the municipal tax burden with no accountability from the provincial government. I strongly encourage all municipalities to continue to express your concern with the proposed OMERS devolution legislation. Please be assured that you will have my continued support on this issue.
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