City CouncilMeeting 41
Update on key financial challenges and operational reviews
Council was asked to
- Ottawa City Council endorses the objectives of the Fairness for Ottawa campaign and will work together to advocate for Ottawa’s fair share of funding from other levels of government
- the Mayor work with the LRFP Transit Working Group, the Chair and Vice Chair of Transit Commission, Councillor Tierney as the Council Member on FCM Board, and Councillor Brockington as the Council Member on AMO Board, to advise and promote the objectives of the campaign, and help staff identify opportunities to communicate the objectives of the campaign to the public and to federal and provincial partners
- the Mayor and the City Manager be directed to continue to engage with their provincial and federal counterparts for Ottawa’s fair share.
Carried
24 for, 0 against
- Affects
- City-wide
- Agenda item
- 10.1
- Motion number
- 2024-41-02
How each member voted
For (24)
- Ariel Troster
- Catherine Kitts
- Cathy Curry
- Clarke Kelly
- David Brown
- David Hill
- George Darouze
- Glen Gower
- Jeff Leiper
- Jessica Bradley
- Laine Johnson
- Laura Dudas
- Mark SutcliffeMayor
- Marty Carr
- Matthew Luloff
- Rawlson King
- Riley Brockington
- Sean Devine
- Shawn Menard
- Stéphanie Plante
- Steve Desroches
- Theresa Kavanagh
- Tim Tierney
- Wilson Lo
The recitals
- the federal government is the largest landowner in Ottawa, holding dozens of properties throughout the city, particularly in the downtown core
- the federal government does not pay property taxes but instead pays Payments in Lieu of Taxes (PILTs) that are meant to represent a similar amount
- the federal government unilaterally determines the value and classification of its properties, and has reduced its payments to the city from $194 million in 2016 to $164 million today
- this shortfall has placed a significant financial burden on Ottawa's local taxpayers, who are forced to make up the difference to fund essential city services
- Ottawa's public transit system is facing an annual operating shortfall of $140 million due to a decline in ridership and fare revenue, resulting in part from the federal government's shift to more remote work
- the City of Ottawa has continued to invest in public transit, increasing OC Transpo’s budget by 27% in the past five years despite a 30% decline in passenger traffic
- the Ontario government pays either the entire capital cost or almost the entire capital cost of major transit projects in Toronto, Hamilton, Mississauga, and Brampton, while paying roughly 22% of the capital cost of Ottawa projects, despite having agreed to pay 33%, leaving the city of Ottawa paying more than 50%
- municipalities across Canada, including through the Association of Municipalities of Ontario (AMO) and the Federation of Canadian Municipalities (FCM), have been advocating for a new fiscal framework that better reflects the financial realities of cities today
- the City of Ottawa faces unique challenges as the nation’s capital, which necessitate specific considerations and equitable treatment from the federal and provincial governments to ensure the sustainability of its finances and public services
- the Mayor has been actively advocating for fairness in PILTs and for sustainable transit funding, urging other levels of government to recognize and address the unique challenges Ottawa faces
- effective advocacy requires sufficient resources, including enhanced intergovernmental relations capabilities, to ensure the City of Ottawa can fully engage with provincial and federal counterparts on these critical issues
Check it yourself
This entry was transcribed from the City Clerk's official minutes. If anything here looks wrong, the minutes are the authority.
Read the official minutes