This document discusses and compares infrastructure and transit proposals from the Ontario Liberal and PC parties. It outlines the key elements of each plan, including assumptions and funding sources. Several concerns are raised about both plans, such as whether tax increases will negatively impact the economy or consumer behavior as intended. It concludes that both plans have shortcomings and neither fully addresses the infrastructure funding gap faced by Ontario municipalities without sustainable long-term solutions.

1. Transit/Infrastructure
Proposals
By: Paul Young, CGA

2. Federal Transfers to Ontario

3. Gas Tax Funds to Ontario

4. Ontario Capital Funding

5. Ontario Liberal Transit Tax Force

6. Ontario Liberal Transit Tax Force

7. Ontario Liberal Transit Tax Force

8. Ontario Liberal Transit Tax Force

9. PCs –vs- Liberal proposals

10. PC – Hudak Plan
• Assumptions
– Selling excess building site, i.e. $50B @ 4%
rate of return
– Downsizing the 630 department by 10% or
annual savings 1.2

11. PC – Hudak Plan
• Concerns
– Getting proper value for the buildings
– The ability of the PCs to re-work government
departments to eliminate costs.
– The ability of the government to hold the line
on expense growth, i.e. salary settlements,
pension funding, etc
– PC plan does not deal with infrastructure
GAP with the municipalities. There needs to
be a plan to deal with this issue

12. Liberals – Wynne Plan
• Concerns
– Gas Taxes will not impact vehicle driving
habits
– Corporate tax hike will not influence how
companies invest in Ontario
– Hiking the PST portion of HST will not impact
consumer spending

13. Overall Tangible Capital Assets
• Concerns – Trade/Economic
– Exports are to low by 25%. Current rate of
exports is 488B. So, actual exports could be
112B.
• More exports required capacity, i.e port, rail, road
expansion

14. Overall Tangible Capital Assets
• Ontario Municipalities Issues

15. Overall Tangible Capital Assets
• Ontario Municipalities Issues

16. Overall Tangible Capital Assets
• Ontario Municipalities Issues

17. Overall
• Both Hudak and Wynne’s Plan
– There are many concerns with both taxation and
selling off of assets and/or other issues
• Wynne’s plan of strictly tax will hurt the economy as gas tax
could force costs of everything up as transportation costs are
added into the supply chain
• Selling off of assets by Hudak is not sustainable and there is
no guarantee that the government does not try to use the
funds for something else and loses the investment income.
• TTC may also need to raise fares similar to under subway
systems in the world
• Property taxes and/or development fees may also be an
answer as possible solution for revenue shortfalls. No
analysis was done on those areas. Neither the Liberals nor
PCs have discussed a made in Toronto solution as part of
the overall transit plan