The Ontario government’s decision to cancel a planned doubling of the provincial gas tax transferred to municipalities will cost the City of Brampton $33.2 million over the next four fiscal years, according to a city staff report.

Council received the report at its regular meeting on April 17, showing the cancelled funding will cost the city approximately $2.48 million in 2019, $5.84 million in 2020, $11.4 million in 2021 and $13.26 million in 2022 and beyond, for approximately $33.23 million less expected provincial funding over the next four years.

In neighbouring Toronto, Mayor John Tory said on April 11 the cut will cost his city $1.1 billion in transit funding over the next 10 years.

The now-cancelled funding came from a decision by the previous provincial Liberal government in 2017 to double the share of the provincial gas tax transferred directly to municipalities from two cents per litre to four cents. The extra cash was earmarked for municipal transit infrastructure.

“That’s a significant diminishment of resources from the provincial government,” Brampton Mayor Patrick Brown told council. “That was a commitment made to municipalities and it’s a big number. I think we need to be mindful there is a cost to this budgetary change to the residents of Brampton.”

“When we look at pot holes or infrastructure, or transit that needs to be upgraded, they are making it more difficult for us,” Brown said, adding Brampton is already staring down a large infrastructure funding gap as it is.

In January, treasurer David Sutton gave a report to council showing the city currently had $448.8 million in open capital projects, representing an infrastructure funding gap of $246 million. He added that shortfall is expected to increase to $743 million by 2027.

Sutton’s report also showed the city received $75 million from the provincial and federal governments in 2018, accounting for approximately four per cent of the Brampton’s operating budget and 19 per cent of the overall capital budget.

“Maybe we can ask for an increase in taxes from gaming and alcohol, considering it was so heavy in the budget,” said wards 1 and 5 coun. Rowena Santos, slightly tongue in cheek.

In the wake of the provincial budget's release on April 11, Brampton South PC MPP, Prabmeet Sarkaria said Brampton would be able to apply for funding through other programs and funding streams included in the budget.

