City Council — January 2013

"Turning the corner" is kind of a weird slogan for an administration that inherited a $300 million surplus and a very high credit rating.

Ford: "This budget, folks, did not come without the usual fear mongering from the usual suspects."

Ford rattles off hiring stats and capital purchase numbers for fire and EMS.

Ford: "Over the past decade, city council has not properly funded transportation maintenance." They're invested in roads, bike lanes, etc.

Ford is big on listing capital purchases, though very few of these decisions were made by his admin.

Ford, fired up, says prop taxes have increased only 1.5% per year since election. "That's fantastic," he says. Yeah, screw you, inflation.

In closing, we get "turned the corner" again, encourages councillors to support budget as-is, says thanks, no questions, fin.

Ford up to talk budget at council. He thinks it's an excellent document. Thanks Del Grande. He's good at this speech.

Ford: "Two years ago, we were elected to reduce the size and cost of government. Over 80% of the taxpayers voted for change."

I guess that 80% would include everyone who didn't vote for Joe Pantalone? Kind of a weird stat.

Ford again talking about cuts to Fire Services. I'm thinking he's nervous about what council might do.

Mayor who said we had a $774 million deficit that would destroy our city warns against "fear mongering."

Now declarations of conflicts of interest. As we all know, these are irrelevant and never lead to anything important.

Gord Perks asks questions re: property taxes. Turns out this year's average increase is about 0.8% below inflation.

Residential tax increase *should* be 3.1% to keep up with inflation, say staff. Oh, property taxes. You're so infuriatingly confusing.

Fiscal plan! 1) Reduce property taxes to ~15% of total city revenue. 2) Replace revenues with set of taxes that are less terrible. 3) Party.

Gord Perks moves a motion that would set property tax rates to keep pace with inflation. 3.1% residential, 1.03% for other classes.

Imagine if income or sales tax revenues stayed flat each year unless legislature voted for "rate changes." Country would be screwed.

Now Janet Davis moves a 2.25% increase for residential. Points out that it's hard to talk rates before council has debated service levels.

Davis points out that an increase of 2.25% will raise about $6m in revenue and work out to only "pennies" on the average tax bill.

Del Grande's up now to tell us we're wrong. Makes a references to the TV show "Fear Factor" which is not on the same network as "Cops."

Del Grande says he wishes he could provide 0% commercial tax rate increase. Actually worth considering. (Offset with higher res rate.)

Cesar Palacio stands up to denounce "tax grabs." He is the councillor from Ward 17 - Davenport and won in 2010 by 1,327 votes.

John Parker says just because inflation is increasing doesn't mean city costs have to go up. Which is kind of a decent point?

But the challenge is that decisions about tax rates are made without really looking at where service levels need to be. Process is backwards

Holyday says TO's property taxes aren't technically lower than other GTA munis because of Land Transfer Tax and Vehicle Registration Tax.

Hahahah. Giorgio Mammoliti moves a tax freeze for 2013.

Mammoliti thinks councillors should wait a few more years to spend on "pet projects." Budget must be "revitalized" first.

How does artificially constraining ongoing revenue improve the city's financial position, you might ask. Well, let me tell you. Flag poles.

Mammoliti keeps saying "pet projects" by which I guess he means things like transit service and housing. I don't even know.

Hahahaha. Now Mammoliti says he'll put a casino on the waterfront to make up lost revenue from his tax freeze.

Mammoliti says a casino will raise $500 million in revenue for Toronto. Which is like five times higher than the most recent estimate.

Nope. It's an elaborate prank of some kind.

Mammoliti says if the waterfront casino doesn't work we can just "float it away." I can't even.

Councillor Moeser asks where the casino boat will come from. Nunziata objects to his question.

I'm on a casino boat and it's going fast and I've got a Bellagio-themed Pashmina afghan.

Mammoliti says B.C. has a casino boat for sale. Moeser: "So they're just going to ship it out then?"

Mammoliti says he has a formula that he thinks will work for the city. The formula reads "CASINO BOAT = $$$$$"

Dramatic music.

Per @thekeenanwire's request, quick graph of revenue forecasts for Mammoliti's CASINO BOAT proposal. http://t.co/FlIA1Slj

Interesting: Councillor Augimeri moves a motion that would cancel property tax increase for households making less than $38K/year.

The City's property tax relief and cancellation programs are interesting. Wonder how often they're used. https://www.toronto.ca/services-payments/property-taxes-utilities/property-tax/property-tax-water-solid-waste-relief-and-rebate-programs/?WT_rd_id=%2Ftaxes%2Fproperty_tax%2Ftax_relief.htm

It's on graph paper! Seems legit.

Leaked document from council (cc @GraphicMatt @thekeenanwire). http://twitpic.com/bvhpft

I'm not sure there was every much hope from the left to win a tax increase. Maybe use of surplus? We'll see.

Perks' 3% tax increase motion fails 8-35. Janet Davis' 2.25% motion fails 15-29. (Notable 'Yes' vote? Parker.)

Mammoliti's casino boat motion fails 4-40. THE MAYOR SUPPORTS IT.

The Mayor of Toronto just voted for an irresponsible tax freeze for some reason. Geez.

Augimeri's motion to increase tax cancellation level to $38K passes 28-16. Nice surprise.

As expected, item as amended carries 36-8. Never was much of a hope of moving the tax rate.

Of that flurry of votes, Davis' motion to increase res rate to 2.25% is most interesting. Did @johnparker26 misvote? http://t.co/uTV0ZXHa

And here's the vote for Augimeri's motion re: tax exemptions. Interesting mix. http://t.co/YbFRL4Fs

Back watching #tocouncil just in time to see Denzil Minnan-Wong gesture like he's an airplane while discussing Gardiner repairs.

Nunziata makes a "too many chiefs, not enough indians" joke, prompting "ooohs" from the gallery.

Nunziata apologies "in case members of the public take it out of context." Oh, yes, context.

Too bad they can't tweet this.

Here's the piece of paper Cllr Doug Ford was holding up #TOpoli http://t.co/lSxh6c6P

FYI: Net op budgets under Miller - 2003: $2.9B; 2004: $3.0B; 2005: $3.1B Net op budgets under Ford - 2011: $3.6B; 2012: $3.7B; 2013: $3.7B

Correction! That should be 2004, 2005 and 2006 under Miller. Regret the error! Numbers are accurate, though.

Mike Del Grande rises to ask City Manager if we should reduce capital-from-current payments. Penachetti says he wouldn't do that.

Can someone ask if the city's long-term fiscal plan is first to achieve zero debt and then buy things with cash. Because I am worried.

Household budget analogies are terrible, but this is like telling your kid that he can go to college after the mortgage is paid off.

Vaughan gets fire chief to admit there's nothing in this fire budget to address growing number of highrises, where response times are worse.

Thompson asks chief if fire services has a diversity hiring program. Chief says yes. "How's that working for you?" "Not well."

It's a bit topical, so let's bring back this 2007 chart showing city staffing growth since amalgamation. https://fordfortoronto.mattelliott.ca/wp-content/uploads/2011/11/2008_operating_intro_bc_jan28_pres-dragged.jpg

Doug Ford now asking city managers questions about fiscal sustainability and state of good repair. No fireworks.

"Fiscal sustainability" is a weird concept for a municipal budget, as you'll always need property tax increases to match inflationary costs.

Doug Ford now asking questions about the city's credit rating. He says it's great. It is. it's the same as it was under David Miller.

Councillor Mihevc starts with motions re: sign by-law, student nutrition and setting the TTC farebox recovery ratio at 68% for 2014.

Mihevc also has a motion to make the budget process "more transparent for Councillors and the public." I'd vote for that.

Mayor is back, hanging out with Nunziata at the front of the room, chewing some gum. Room is relaxed.

Councillor Moeser asks if Ford is supporting Mihevc's plan to increase funding for student nutrition. Mayor says he isn't.

Mike Del Grande asks Mihevc how non-program revenue (ie. investment interest) for student nutrition can be made sustainable.

Mihevc, basically, says it may not be entirely sustainable, but money is there for 2013. Says other solutions can be found later.

Mihevc: "You know, as well as I, that civilizations have been built on prayers and good wishes. We can do this."

Matlow up now. Motions: Add $300K to eliminate drop-in fees for kids at indoor pools. Also asking for review of all user fees for rec.

Matlow says we can pay for elimination of drop-in fees by taking $300K from Capital from Current.

Matlow also moves to add $75K back to Tenant Defence Fund. Again paid from Capital from Current account.

Basically, Matlow's motions look at funding services by slightly reducing amount of capital purchases the city will make this year with cash

Matlow makes a very good point re: councillors who oppose road tolls but are totally cool with user fees for all kinds of rec programs.

Now Fletcher moves the firefighter motion. Add 63 more frontline firefighters, retain vehicles, stations. Fund via capital from current.

Funding things via capital from current envelope seems to be the strategy. Sensible.

Lots of scrambling in response to these motions.

"I'm just trying to get some silence," sighs Nunziata. Then, later, "Helllooo?"

James Pasternak has a budget motion prepped too. This is the fun part.

Fragedakis up now. Motion to delay second exit at Donlands Station until completion of EA for Downtown Relief Line. TTC staff support it.

Just bought a CANX button from @accozzaglia. Never forget.

Goings-on at this budget meeting seem to be moving against Ford. Mayor looks angry.

Kristyn Wong-Tam has three motions. First, she wants to take $60K from capital from current for the Toronto Botanical Gardens.

Also from Wong-Tam: $800K from Capital from Current for CPIP, and $104K to restore funding for Global AIDS initiative.

Wong-Tam points out that the City of Toronto actually *created* the Global AIDS Initiative as a legacy program, which I didn't know.

Wong-Tam also says it'd be kind of ridiculous to cut Global AIDS Initiative now when the city will be hosting World Pride in 2014.

Now Janet Davis. She has *six* motions. Open season.

Hm.

Norm Kelly: "Control your indebtedness now to free up dollars later." What a strategy.

McConnell, to those who may not support her motion re: housing reserve: "I say pox on your house!"

John Parker now clarifies he meant to vote AGAINST Janet Davis' 2.25% property tax increase motion. So noted.

Ainslie moves the compromise amendment to Fletcher's fire fighters motion. Fund those positions until July instead of through all of 2013.

Conspiracies abound!

My theory is that the mayor voted against his own budget to mess with all of @graphicmatt's charts.

Ah, Ainslie's motion also asks that the firefighters be funded via investment earnings and not capital from current.

Del Grande, as budget chief, seems pretty skeptical about this compromise amendment moved by Ainslie. Interesting dynamics.

Pasternak moves a motion removing Executive Committee recommendation to means test for Student Nutrition Program.

Pasternak also moves for report on need for additional youth drop-in program. Beside me, @TOYouthCabinet members seem pretty happy.

Councillor Crawford up now to talk about increased arts funding via the billboard tax. It's a legit good news story.

Milczyn says not enough are acknowledging achievement that is flat-lined police budget. Probably because there are unallocated reductions.

Filion moves to add five staff at Toronto Building, offset with increase to building permit fees.

Now Gord Perks moves to add $5m for TTC through capital from current. Says this is not a good budget.

Perks: “This is the first administration since amalgamation that has said to transit riders, ‘you will get worse service and pay more.'”

Then more use of the word-of-the-day: “waiting.” I hear it’s the hardest part.

Councillor Palacio gives a speech supporting this budget in which he says the 2013 budget spends less than the 2012 budget. Well.

Here we are. Giorgio Mammoliti to speak. "I understand the budget process," he says.

Mammoliti says he will only support amendments on the firefighters and student nutrition. Nothing else.

Mammoliti uses the word "sabotage", laments lack of public-private partnerships, says "we haven't learned anything here."

Mammoliti: "While I see that many of you are not listening to me, perhaps it's time for me to sit down." He's become self-aware.

Minnan-Wong up now. Two more speakers on the list. (Thompson & Vaughan.)

"The big win in this budget is infrastructure," says Minnan-Wong. 17 cents on every dollar of transportation spending goes toward Gardiner.

Minnan-Wong is saddened that "this council has been muscled by the firefighters' union." That draws a laugh.

Doug Ford is up to speak. Hold on to your hat. Nunziata is yelling at her computer.

Doug Ford says the firefighters weren't muscling anyone. Says it's "the art of compromise." Some tension between Ford and Minnan-Wong.

Doug Ford now listing TTC capital purchases, I guess to prove that the TTC doesn't need increased operational spending. It's confusing.

Doug Ford says this administration has done more for kids, the arts, infrastructure, and so on than any other.

"To all my friends in the bicycle world," Ford starts, and I missed the rest because I was laughing.

Doug Ford: "This is a great budget. I think we've all compromised for the first time in two years."

Speakers' List has grown again: Augimeri, Crisanti, Holyday.

In his speech, Vaughan points out the broken fountain on University Ave. I don't believe I've ever seen it operational.

Mammoliti wonders if Vaughan's study on fire response times to highrise buildings will look at the impact of LRT. It devolves from there.

Mammoliti: "Councillor Mihevc, TELL ME ABOUT THE DISASTER YOU CREATED."

Motion to extend to complete the agenda fails by one vote, 29-15. Mayor wants to go home. http://t.co/tCrMYXWw

Now Colle moves to extend to 9 p.m. Everyone is pleading with Anthony Perruzza to vote to extend.

Oh geez. Councillor Crisanti says the left is wrong to talk about wait times because they don't support Rob Ford's subways subways subways.

Now Doug Holyday up, railing against various add-backs to the budget. Says they'll mean big tax increases next year.

Holyday says he won't support any of the budget amendments. Results of the vote re: fire services will be fascinating.

Holyday: "Who's running the City of Toronto, I guess is the bigger question." We'll find out in a couple of weeks!

"We oughta call this the IKEA Monkey budget!" concludes Holyday. Okay.

That reference is cute but kind of non-sensical. Also I think the deputy mayor referred to transit as a "special interest."

Councillor Lindsay Luby says going toward a "pay as you go" model for capital purchases makes sense.

Ana Bailão: "I think what Toronto wants is a more efficient government." Says she'll support some of the motions on the floor.

Last speaker up now. It's Councillor Del Grande. Let's watch and see if he threatens to quit being budget chief.

Del Grande said part of his job was to "right-size" inequities in city service levels across the city.

Del Grande says he sees a Mihevc motion to look at "more transparent" budgeting as a knock against him and the job he's done.

"I did what I needed to do," says Del Grande. "You now do what you need to do." And that's that.

Mihevc's motion re: student nutrition is up first. Part 1, to fund the program with investment earnings, passes 37-8. Mayor votes against.

Parts 2 & 3 of Mihevc's motion, which deal with looking for private sector partners and accountability, pass 44-1. Moeser against.

Matlow's motion to eliminate drop-in fees for youth at city pools - costing $300K - fails 18-27.

Second part of Matlow's motion, which calls for a review of such fees, passes, 36-9. Ford against.

Matlow motion to restore $75K to the Tenant Defence Fund fails 19-26.

Ainslie's compromise amendment to fund 63 firefighters with $3.1M in investment income passes 40-5.

And the firefighter motion as amended passes 35-10. Verrry interesting result. http://t.co/pHPQfkpD

Wong-Tam motion to add $60K for the Toronto Botanical Gardens fails 20-25.

Now a Wong-Tam motion to fund some $900K in CPIP programs passes 23-22. Surprise!

Now Wong-Tam motion to restore funding for the Global AIDS Initiative. It fails 16-29. We'll be great World Pride hosts.

Wong-Tam motion to spend $104K on AIDS & Drug Prevention Program also fails 21-24.

Janet Davis motion to increase number of subsidized childcare spaces passes 35-10. Mayor and his bro vote against.

Davis motion for City Manager to consider restoring $6.8M to Social Housing Stabilization Reserve passes 24-21.

McConnell motion to trade a half-time position at the Auditor General to the Ombudsman's Office passes 24-21. Starting to see a pattern.

Another McConnell motion to direct $25 million in capital reserves to TCHC State of Good Repair Fund fails 16-29.

Pasternak motion to eliminate means testing for Student Nutrition Program passes 37-8. Good ol' Pasternak.

Doucette motion to reinstate the timeline for tree canopy program as part of 2014 budget process passes 28-17.

Doucette motion to approve a one-time grant to the Toronto Parks & Trees Foundation passes 35-10.

Filion motion to increase number of positions at Toronto Building carries 29-16. All funded via increased permit fees.

Second Filion motion, to fund four new positions at Public Health with investment income, fails 22-23. Squeaker.

Gord Perks motion to direct another $5m to TTC service via Capital from Current funding, fails 14-31. Stintz against, so I guess that's that

Weird.

Re-vote on Fletcher motion re: the firefighters. Passes 38-7. Now Augimeri says she voted the wrong way on the re-vote.

Mihevc motion to look at making budget process more transparent passes 25-20. Mayor is overheard wondering why the motion is in order.

After approving some motions for reports and things, council now must vote on the budget itself. They'll do it in sections.

Budget just for Fire Services passes 41-4. Del Grande, Di Giorgio, Minnan-Wong, Kelly vote against.

Fire budget re-vote passes 39-6. Robinson, Holyday join to vote against.

And, with that, Mayor Rob Ford's third and maybe final budget is approved, with some modifications.

Ford: "This is truly a historical day at City Hall. Our 2013 budget does some things that we have never - ever - done before."

Ford says 2013 budget includes improved service, lower debt, affordable taxes and sustainable spending. No prior-year surplus - "amazing."

Ford: "Even the HARDCORE left-wing tax-and-spend councillors have learned NOT to spend the surplus."

Ford thanks Mike Del Grande, rolling that 'r' a bit. Then returns to his "we were elected to reduce the size and cost of government" stump.

"People said we couldn't get the costs under control while providing excellent services. They said it was impossible. We've done it."

Ford: "Every member of council can be happy with the small compromises made in it. Even with those compromises, we've turned the corner."

Ford *will* take questions. Also inviting allied councillors to share their experiences with the budget.

First Q is about firefighter hires - did mayor fall victim to fear mongering? Ford said it's just a compromise.

Ford says the left-wing councillors are like piranha, and that they would have added $50m to budget if he hadn't fended them off.

Ford says Del Grande has done a fantastic job, even with the council reversals. "It could have been a lot worse!" says Ford.

(Ford 2014: It Could Have Been A Lot Worse.)