Mayor John Tory is vowing to invest “every ounce of energy” that he has in getting the provincial and federal governments to help fund repairs to aging Toronto Community Housing buildings.
Tory made the comment to reporters on Monday afternoon as he revealed a third-party study that suggests that all three levels of government could realize significant economic benefits from the TCHC’s 10-year $2.6 billion capital repair plan and 30-year, $7.5 billion revitalization plan.
The study was commissioned by the TCHC as officials lobby the feds and Queen’s Park to contribute $864 million to the 10-year capital plan. The plan was approved in 2013 with the expectation that all three levels of government would equally share the cost. So far, both the provincial and federal governments have not committed any funds.
“Quite literally we could have 7,500 housing units that we own that are set aside for single moms and others closed down in the next few years if we don't make these repairs and the City of Toronto taxpayers cannot make the repairs on their own,” Tory said. “I am going to invest every ounce of energy I have in trying to convince the other governments that they have a moral obligation to participate in the proper upkeep of these buildings and that there will be a big business benefit to them in the form of job creation and increased tax revenue.”
According to the study from the Canadian Centre for Economic Analysis, addressing the TCHC’s repair backlog would result in a $5-billion increase in private capital investment and generate 220,000 employment years, which would translate into $4.5 billion in additional tax revenue for federal and provincial governments. (“One employment year refers to one year in which one individual works full time,” the report says.) Of those 220,000 employment years, 40,000 would be in Toronto and 108,000 would be in the GTHA. Canada’s gross domestic product (GDP) would also increase by $18.5 billion with 68 per cent of that felt in the Greater Toronto and Hamilton Area.
Beyond the obvious economic implications, though, the report stated that the repairs would result in $3.8 billion in healthcare savings over 30 years as residents avoid developing illnesses resulting from “poor quality, and sometimes unsafe, housing.” The report also said that by repairing the TCHC buildings now, the city will avoid seeing homelessness double and crime rates rise by as much as 15 per cent in some neighbourhoods.
“The question of investing in subsidized housing, therefore, becomes a question of whether to invest in health, communities, and growth,” the report says.
Money could run out in 2016
In the absence of provincial and federal funding the city has accelerated the awarding of its share of the TCHC repairs, investing $175 million in 2015 alone, however officials have warned that the money could run out sometime in 2016.
According to the report, that could come with serious consequences that would include the closure of 21,739 units over the next 10 years and 28,151 units by 2043.
Speaking with reporters outside a TCHC building near York Mills and Don Mills roads, Tory said that it is “not realistic nor acceptable” for Toronto taxpayers alone to bear the burden of the repairs and called on residents to raise the issue with their elected representative.
“I will not be a mayor who presides over what I think would be the irresponsible decision of simply letting these buildings be boarded up over time by failing to make the repairs,” Tory said.
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