Balancing Priorities: Insights from Toronto City Hall
Our visit to Toronto City Hall this week offered valuable lessons about the unique challenges facing municipal governments in Canada, particularly in a major city like Toronto. From budgetary constraints to political pressures, we left with a deeper understanding of the delicate balancing act required of city leadership. One of the key takeaways was the role of property tax and how it shapes both the city’s functions and its political landscape.
We learned that, by law, Canadian cities are not permitted to run a deficit. This restriction forces municipalities like Toronto to rely heavily on property tax as their primary source of revenue. The money raised from property taxes funds essential services like public transit, housing, and waste management. However, property tax is a highly visible and sensitive issue, particularly for property owners. Any attempt to raise the tax comes with significant political risk, as it directly impacts voters’ finances.
Mayor Olivia Chow, whom we were fortunate to meet during our visit, shared a real-world example of this political sensitivity. After making the difficult decision to raise property taxes to fund critical services, her polling numbers plummeted. This speaks to the fine line that mayors must walk, balancing the immediate needs of the city with the long-term consequences of political fallout. The experience made it clear that being a mayor, especially of a city as large and complex as Toronto, requires careful navigation between political, social, and financial priorities.
The question of how to fund the city’s functions while also making life better for all residents has been on my mind since our visit. With the cost of living rising, increasing property tax places additional pressure on residents already struggling with financial burdens. But without raising these funds, the city would be unable to maintain vital services, which could also have negative consequences for its inhabitants. This dilemma forces city leaders into difficult trade-offs — raising taxes might upset voters, but failing to act could lead to a deterioration in the quality of life for everyone.
One of the most refreshing aspects of our visit was seeing the committee meeting room, where public meetings are held. Unlike the confrontational layout seen in provincial and federal parliaments, where political parties sit opposite each other, the room in Toronto City Hall is designed in a circular fashion. This arrangement facilitates cooperation and reflects the non-partisan, problem-solving nature of municipal governance. City councilors sit together to address local issues in a collaborative way, rather than engaging in political grandstanding.
The visit reminded me that running a city like Toronto requires professionalism and a willingness to solve complex problems together. While political gains may drive decisions at higher levels of government, city governance seems more grounded in practical, day-to-day problem-solving. Issues like affordable housing, infrastructure maintenance, and public safety demand real solutions, and these solutions are best reached through collaboration, not confrontation.
In many ways, our visit to Toronto City Hall was a reminder of how challenging it is to govern a major city. But it also demonstrated the value of transparency, openness, and collaboration — principles that are vital to ensuring the city works for everyone, even in the face of difficult decisions.
