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Councillors battle over property tax hike

Watch the video above: A budget showdown looms as Mayor Rob Ford promises to find savings. Jackson Proskow reports. 

TORONTO – Councillors continue to wrangle over the coming property tax hike; the Ford brothers want a 1.75 per cent increase while others say that’s just too low.

Councillor Michelle Berardinetti introduced a motion on Wednesday that would see the residential tax rate hiked 1.75 per cent.

Deputy Mayor Norm Kelly lent his support to the motion but wants the subway levy to remain, which would see the hike increase 0.5 per cent to 2.25 per cent—slightly lower than the staff proposed 2.5 per cent.

Council, led by the mayor, voted in October to reconfirm their support for the Scarborough subway and raise approximately $910 million to pay for it. That $910 million includes $165 million raised through increased development charges and $745 million through three consecutive hikes to the property tax—0.5 per cent in 2014 and 2015 and 0.6 per cent in 2016. Ford said at the time he was “comfortable in [his] decision.”
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But Councillor Doug Ford, who also voted for the Scarborough subway extension, said Wednesday he couldn’t support Berardinetti’s plan. Instead, he appealed for councillors to find savings in the budget to balance the additional costs of the subway.

“There’s still in my opinion a couple hundred million dollars of savings if they really want to dig down and find the savings,” he told reporters at city hall. “If we can’t find a simple $13, $14 million dollars, there’s a problem.”

He did not suggest where those savings could come from.

Speaking to reporters Wednesday afternoon, Rob Ford promised no service cuts and better services if council supports his budget motions.

“I will guarantee if they support it, we will have 1 .75 per cent [property tax hike] and services won’t be touched, they’ll be better,” he said.
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He refused to divulge any details on how he would save money but hinted that he might explore contracting out additional services besides garbage collection.

“How about the tree planting? We can save a lot of money getting the private sector to do the trees,” he said.

WATCH: Mayor Ford committed to 1.75 per cent property tax hike

The amended budget also aims to hire 56 new paramedics, 300 new police officers and additional fire fighters.

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The deputy mayor described the budget as a “well rounded” document that addresses the city’s “fiscal challenges.”

Asked whether it matters the mayor is critical of the budget given his reduced powers, Kelly told reporters, “I’m not in competition with anyone, I’m reaching out to as many people as possible on council to get their support of this budget.”

Kelly was hesitant to guarantee the budget would pass but said “the feedback I’ve had from a number of councillors, is yes, this is a supportable budget.”

He said in a statement issued Wednesday morning that he will be supporting motions to increase library hours, afterschool programs, expansion of student nutrition programs and investments in the arts sector.

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