The Simple Truth

For the second time in about five years, the audit/advisory/consultant thingie, KPMG, was asked to answer the burning question: Does Toronto have a spending or revenue problem? tellmewhatiwanttohearFor the second time in five years, KPMG has reported back: All things considered, there’s more of a revenue problem at work than spending. The city’s pretty tightly run. To avoid seriously cutting essential and even mandated services and programs, City Hall should look at accessing increased revenues.

Oddly though, what many of our elected local representatives, including Mayor John Tory have heard and concluded is: Right. Just like I thought. We need to cut spending. Tighten our belts. To the efficiency-mobile, Batman!

Some urban legends die hard, it seems, if at all, when they run contrary to the political ideology of right wing, small government politicians. There is always more fat to be trimmed, gravy to be drained, excess to excise before we can start talking about revenue. We must learn to live within our means. There’s always money in the banana stand.

This sentiment is so strong with enough of our city council that it’s more than a little surprising that KPMG was called upon to deliver a revenue tools report at all.deaf It was and it did, the City of Toronto Revenue Options Study coming out earlier this week. A boatload of suggestions for raising revenue, some immediately in the city’s purview, others it would have to get provincial permission to implement.

I want to focus on one section of the report, 17, pages 165-170. (A PDF I cannot figure out for the life of me how to load up on this page here, so you’ll just have to follow along via this link). Property Tax Analysis.

This is another shibboleth our mayor and his council allies, and the administration before it, and pretty much every small-minded member of council since at least amalgamation, has taken and spouted as gospel truth. We pay too much in property taxes, dammit! Homeowners (as if it’s just those owning their homes pay property taxes) are already stretched to the max. They cannot afford any more hikes in their property taxes. Seniors will be chased out into the streets…

Similarly, the information presented above suggests that residential property tax rates levied by the City of Toronto and the implied burden on households, expressed both in dollar terms and as a percentage of household income, are lower than those in the majority of other GTHA municipalities. This indicates that there may be an opportunity to increase property tax rates and still maintain burdens that are below the average of the municipalities reviewed, while also considering that Toronto is the only city in the sample that also applies MLTT.

What’s that, you say? By almost any measure, Toronto’s property tax rates “are lower than those in the majority of other GTHA municipalities”? That simply can’t be. If it were, our local politicians wouldn’t be pretending otherwise. “This indicates that there may be an opportunity to increase property tax rates and still maintain burdens that are below the average of the municipalities…” youdontsay1So, why all this ‘at or below the rate of inflation’ insistence Mayor Tory’s pursuing?

Now, I get all the property tax caveats. It’s not a tax that accurately reflects or benefits from current economic realities. The city is too dependent on it and needs to diversify its revenue sources more. There are people who are house rich but cash poor, and property tax increases could jeopardize their ability to own. Toronto does have access to another form of property taxation, the Municipal Land Transfer tax, that other municipalities don’t.

All these can be addressed but the point I’m trying to make here is this determined pursuit of at or below the rate of inflation property tax rate increase simply does not measure up to reality. parrotToronto property tax payers are not already overburdened like the mayor claims, just like his predecessor had trumpeted. As Matt Elliott pointed out last month after City Manager Peter Wallace’s Long Term Financial Report came out, “Since 2010, when adjusted for inflation, the city’s overall take from property taxes has gone down by 4.8%. Homeowners have gotten a break.”

Property taxes have contributed less to the city’s budget over the past 6 years, and even keeping rate hikes at the rate of inflation will further reduce them since costs will inevitably rise higher than that. 5%, I believe the city manager told the budget committee yesterday in its initial meeting about the 2017 budget. If so, other sources of revenue will be needed to help balance the operating budget or further cuts to spending which is already down in terms of per capita numbers since 2010, as Elliott also pointed out.

Arrows heading in a different direction than the one Mayor Tory wants us to believe.

There will be new revenue tools introduced, though very likely not in time for the 2017 budget. texaschainsawmassacreThe mayor, however, has made a point of saying for capital spending which explains his spate of transit announcements this week. Softening the public up for new taxes or fees, dedicated to building all this new stuff the city wants and needs while the operating budget will continue to be squeezed.

Or, as Councillor Mike Layton quoted the city manager telling the budget committee, heading toward “direct austerity” and “smaller government”.

As the KPMG revenue options study suggests, that will be a choice Mayor Tory and his council allies will make not one made out of necessity.

factually submitted by Cityslikr

Blind Spot

Here’s how it starts.

On Monday’s edition of the CBC’s The Current, carsofthefuturethe show’s host Anna Maria Tremonti was talking to the president of General Motors Canada about technology, innovation and the future of transportation. It essentially went like this:

Cars, cars, cars, cars, cars, cars, cars, cars, cars, cars, cars, cars, cars, cars, cars, cars, cars. E-bikes (manufactured by GM natch). Cars, cars, cars, cars, cars, cars, cars, cars, cars, cars, cars, cars. Multi-modality. Cars, e-bikes, cars, cars, cars, cars, cars, cars, cars, cars, cars, cars, cars, cars.

With self-driving cars, our future roads will look pretty much like our current roads. Filled with cars. In a 24 minute segment, public transportation wasn’t mentioned once. Unsurprisingly, at least from GM’s standpoint, as it looks to shore up its share of the electric and, ultimately, autonomous vehicle market. The nature of car ownership may change, with more of an emphasis on ‘sharing’ ownership. carsofthefuture1But car ownership there will be and General Motors wants to be a major part of that.

There continues to be very little talk, though, of autonomous vehicles and public transit which, one would think might be a relatively hot topic of conversation. Setting aside a discussion about the loss of yet another sector of well-paying jobs, since labour costs are the prime driver of public transit operating budgets, you’d think municipal governments all over the place would be salivating over the possibility of self-driving buses, streetcars, trolleys, trams. Just like the move toward automated subway systems. Not only cheaper to run but also better in terms of route management and increased frequency, owing to the absence of messy human imperfectness.

Yet, it’s still largely all about the new technology and cars. Cars, cars, cars, cars, cars, cars, cars, cars, cars, cars, cars, cars.

Almost simultaneously with The Current interview on Monday, the city and Mayor Tory announced its road safety plan to… and I’ve been waiting pretty much my entire writing life to use this phrase in a sentence… carsofthefuture2universal opprobrium. “Very unambitious,” the Globe and Mail’s Transportation writer, Oliver Moore called it. Where other cities around the world have adopted the Swedish concept of Vision Zero, essentially a target of no traffic deaths with aggressive time lines and money to pursue it, our mayor championed the idea of reducing traffic fatalities by 20% over the next decade. A target “smaller than many of the normal [traffic fatality] fluctuations from year to year,” Moore pointed out.

“Very unambitious,” is a nice way of putting it.

As for money budgeted to achieve this modest target? Equally modest. $40 million extra over the next 5 years. Cities like New York? “An additional $115 million this year alone.” San Francisco? $70 million in the next 2 years.

Mayor Tory made the appearance of scrambling backward on the road safety plan on Tuesday when he told Metro Morning’s Matt Galloway on Tuesday that it was a ‘mistake’, a ‘communications mistake’ not to make it clear that he and the city had every intention of aiming for the Vision Zero standard of 0 road deaths. “The objective is to get to zero as quickly as possible without trying to put a time frame on this” Not really the “aggressive” approach to traffic safety Vision Zero calls for but very much the Mayor Tory way on policy issues he agrees with in theory. carsofthefuture3Why shoot for the moon when, really, the appearance of doing something is what’s called for?

As he was performing his radio mea culpa, the mayor’s traffic congestion enforcement blitz was underway and, wouldn’t you know it? It was the pedestrians’ fault all along! Not obeying the rules of road and following traffic lights that were set up to keep them in the proper place. Huddled together on the curb, waiting for their brief window of opportunity to scurry across the street and be one their way. Yep. If pedestrians would just follow the laws and traffic lights, cars would be free to do what they were designed and built to do, what cities have designed and built their infrastructure around. The domination by private automobiles of the public space that are our roads and streets. The terrorizing of other road and street users into submission.

The conclusion of this dynamic is perfectly logical.carsofthefuture4

Such pampered entitlement and obvious preferential treatment of car drivers leads to a contempt of anyone else not behind the wheel of a motorized vehicle. A fraternity of the self-righteous and self-important. A confederacy of disregard.

As a matter of fact, I do own the road. We’ve all seen the bumper stickers. Don’t like my driving? Call 1-800-EAT-SHIT.

And if somebody dies, we’ll call it an accident. Of course, it was an accident. No one would mean to jump a curb with their car and kill somebody. It’s more of a faulty assessment of the possible outcomes to bad, split-second decisions made to get just one car length further forward.

Damage done, death inflicted, it usually ends the only way it possibly could. A fine. Demerit points. Probably a bump in insurance rates. But no jail time. No talk of a life time ban for blatant indifference or lethal inattention to anyone else on the road. carsofthefuture5Fatalities merely chalked up to going about your daily business in the big city.

Hopefully, sometime in the near future, if certain carmakers are to be believed, technology will save us from our indifference to the death and killing in our streets. Fingers crossed. Nothing to be sneezed at, for sure. It’s just, by the sound of things, it won’t make a dent in how we prioritize our transportation hierarchy. Cars, first and foremost. Cars, now and forever.

carfully submitted by Cityslikr

The Gold Line

It ain’t easy, building public transit in the automobile age we live in. Demands are greater. Expectations higher. proveitPurse strings much tighter to pry open.

Cars are the status quo. The status quo gets a wider pass when it comes to building, rebuilding and over-building all the infrastructure necessary to maintain its primacy. Look at Toronto lately. Want to speed up repairs on the Gardiner Expressway? Money found. Done. A billion dollars more may also be spent keeping another section of that highway elevated just right. Done, and done.

Here in Los Angeles, the local public transit builder and provider, Metro, seems overly concerned about holding drivers’ hands, assuring them that they’re driving interests are being looked after too. “Metro eases traffic by tackling bottlenecks.” “Metro eases traffic with more options for drivers.” “Metro funds $430 million worth of local improvement projects each year, from signal synchronization to filling potholes and repaving roads.”

Yet every transit decision made – subway or LRT, rail or bus, this alignment or that – seems microscopically scrutinized in comparison. Success of whatever claims are made for public transit must be immediate and absolute. therethereAn empty bus spotted running its route is seen as a failure. An empty freeway or parking lot? Not so much.

My friend Ned and I rode the Gold Line yesterday, from end-to-end, Atlantic station in the central-east, around, up and out to the newest terminus, APU/Citrus College in the more north-east. The line just opened up a new, “6 stations, 5 cities”, 11.5 mile extension into the foothill communities of the San Gabriel Mountains to much anticipation and mixed reviews. Boon or blunder/One has to wonder?, the tormented transit poets asks.

“Politics brought the Gold Line into existence,” rail enthusiast Ethan N. Elkind wrote in the Los Angeles Times this week, not at all favourably.

Better mass transit is necessary across the region. But not every part of the county has the population to support rail. In the case of the Gold Line, we’ve brought expensive train technology to a generally low-density area that could be more economically served by bus rapid transit or commuter buses running in the right-of-way.

In the LA Weekly over the past week or so, Gene Maddaus has been writing extensively about the transit future of Los Angeles, exploring the complicated politics of it. Will More Transit Actually Ease L.A.’s Traffic? he asks in one article. goldline2On the Gold Line yesterday, running alongside the packed 210 freeway for a bit, it’s hard to respond to Mr. Maddaus’s question in the affirmative. We’re building all this and traffic’s still bad? Not to mention that earlier this year, it was reported that transit ridership numbers were down. We’re building all this and people aren’t using it?

All these questions and concerns are legitimate and should be asked and not shrugged off. The 6 new stations on the Gold Line certainly do feel more like a commuter rail service. All stopped right next to parking lots. There was little sign of much street life around any of the stations (albeit, just from my view aboard the train). When we arrived at the last stop, we got out to get a coffee. goldlineINot seeing anything in the immediate vicinity, Ned asked a woman who had just parked her car and was heading to the Metro to get to the Kings game downtown (one less car on the road which is not insignificant) if there was a nearby coffee shop we could get to. “Walking?!” she responded, as incredulously as that. Not easily. Not quickly.

Should this LRT have been a bus lane instead? Maybe. But we all know the politics of that. Buses engender little love or respect. Buses in their own dedicated bus lane can draw the ire of drivers.

That isn’t meant to negate the argument. It’s just that the rigorousness applied to building and paying for public transit is rarely brought to bear when it comes to other forms of transportation, and by other forms of transportation, natch, I mean the private automobile. Conventional wisdom seems to already be that self-driving cars will relieve us all of our congestion woes. trafficcongestionHow do we know that to be a fact any more than we know the Gold Line should’ve been a bus route instead of an LRT?

In discussing the upcoming ballot initiative to raise $120 billion for new transportation projects, former Los Angeles County supervisor, Zev Yaroslavsky said, “Everything’s gotta go perfectly for Metro politically” for the measure to win. Perfectly. On a measure that includes, according to the LA Times Transportation and Mobility writer, Laura J. Nelson, nearly 20% of the proposed money would go to highway construction and enhancements. Where 80% of the 18.4 cents federal gas tax still goes into roads.

Billions of dollars being spent to build, expand and enhance roads and freeways when we know, categorically, that doing that only serves to increase driving numbers, cars on the road, congestion. stubbornBut when it comes to public transit? It’s gotta be perfect.

We need to change the terms of this debate. Driving cannot be the default mobility mode around which everything else must function. It will be an uphill battle. It will not happen overnight. That’s the thing about the status quo. It’s dug in deep. Dislodging it will take a lot more effort than it should.

confoundedly submitted by Cityslikr