City of Mississauga Submits Review of The Municipal Act

This morning, Mississauga City Council endorsed a staff report which outlines suggested amendments to the Municipal Act, 2001. The report will be submitted to the Ministry of Municipal Affairs and Housing. The Municipal Act is reviewed every five years and the Province is seeking comments from municipalities and stakeholders to ensure that municipalities across Ontario have the tools, powers and flexibility they need to effectively serve their communities.

“I want to thank Municipal Affairs and Housing Minister Ted McMeekin for providing Council the opportunity to partner with the provincial government to better shape the future of Mississauga,” said Mayor Crombie. “If adopted, the recommendations supported by Council today will better ensure we have the resources to invest in local priorities including building infrastructure, expanding public transit and improving the quality of life for residents. These recommendations also include safeguards to ensure effective and transparent decision-making at City Hall, along with proposals to regulate transportation service providers.”

Mississauga City Council passed a motion to include a resolution with the submission, in particular regarding extending tax authority to municipalities, including the authority to collect sales taxes and receive a share of income tax revenues.

According to Statistics Canada and the Fraser Institute, out of the total taxes paid by individuals and businesses in Canada (including sales, income and all other taxes), municipalities receive a much smaller share than both the provincial and federal governments. For example, Ontario municipalities receive only 10 cents of every tax dollar raised in Ontario, yet own 65 per cent of the capital infrastructure such as roads, parks, stormwater drains and sewers, community centres and more.

“The City of Mississauga, like all municipalities in Ontario, is heavily reliant on property taxes as a source of revenue,” said Janice Baker, City Manager and Chief Administrative Officer. “Municipalities need more diverse and growing revenue sources in order to deliver quality services while keeping property taxes affordable.”

In addition to extending financial tools to municipalities, other suggested amendments include providing clear authority for municipalities to regulate transportation service providers and other business models that develop under the shared economy. To read the full report, visit http://ow.ly/TXDaA.

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• Housing