Ottawa

Provincial budget cuts raise questions for Ottawa

The Ford government's message of fiscal restraint at Queen's Park is raising questions for some local politicians, who say they are worried about who may end up picking up the bill in the long-run.

Budget confirmed LRT Phase 2, CHEO, new Civic hospital and police spending for Ottawa

Ontario Finance Minister Vic Fedeli addresses reporters on Budget Day 2019. (Pierre-Olivier Bernatcez/CBC)

Doug Ford's Progressive Conservative government's message of fiscal restraint at Queen's Park is raising questions for some local politicians, who say they are worried about who may end up picking up the bill in the long-run. 

The first budget for Ontario PC Finance Minister Vic Fedeli included few details about commitments for Ottawa.

The budget confirms $1.2 billion for LRT Phase 2, a one-time commitment of $2 million for guns and gangs enforcement by Ottawa police, as well as ongoing investment in local projects, such as CHEO's treatment centre and planning for the Ottawa Hospital's new Civic campus.

However, reductions to the budget for social services, housing, municipal services and gas tax transfers may impact Ottawa residents.

Somerset Coun. Catherine McKenney said property taxpayers may end up having to backstop cuts.

As the city's housing liaison, she is particularly concerned about reductions at the Ministry of Municipal Affairs and Housing, which will see its spending cut by 25 per cent to $1.12 billion this year. 

"That's rather devastating. Right now what we need is a lot more money in housing. We have a serious housing crisis in this city," she said.

"We need to build more stock. We need to ensure that we've got housing allowances for people who are living in housing that is not affordable to them."

In a written statement, Mayor Jim Watson said the city would continue to work with the provincial and federal government on the housing file and will be analyzing the details of Ontario's housing plan.

Gas tax increase cancelled

McKenney said the decision to cancel the increase in gas tax transfers to municipalities — the previous Liberal government had promised they'd go from $36 million to $72 million for Ottawa — would hinder transit development.

Ottawa Centre NDP MPP Joel Harden described the PC government as "cruel" and affecting the people who are most vulnerable.

"We need to have much, much different priorities. We need accessibility to health care, not alcohol at 9 o'clock in the morning. We need accessibility to safe injection sites, not boutique programs that will do nothing," he said.

Short-term spend for police

Ottawa police Chief Charles Bordeleau welcomed the province's announcement that the police service would get $2 million to combat gun and gang-related crime. He noted that money had already been included in the police budget, so it won't lead to new spending.

Interim Ontario Liberal Leader John Fraser, who represents a riding that has been hard-hit by gun violence, said he was happy the money was confirmed, but hopes more will follow.

"It's only a one-time investment for this year and it should be a budget investment that last four years," he said.

He said the money would cover about 18 officers for one year, and he'd like a sustained commitment for four years, as is the case in Toronto.

Fraser said investment in social services and reducing class sizes are also important to prevent criminal behaviour.