Item - 2011.EX1.7

Tracking Status

  • City Council adopted this item on December 16, 2010 without amendments.
  • This item was considered by Executive Committee on December 9, 2010 and was adopted with amendments. It will be considered by City Council on December 16, 2010.
  • See also By-law 20-2011

EX1.7 - Personal Vehicle Tax - Repeal of Tax and Termination of Collection Agreement

Decision Type:
ACTION
Status:
Adopted
Wards:
All

City Council Decision

City Council on December 16, 2010, adopted the following:

 

1a.        City Council repeal the City's Personal Vehicle Tax for permit validation renewal periods commencing on or after January 1, 2011 (the "Termination Date"), and amend the City of Toronto Municipal Code Chapter 765, Taxation, Personal Vehicle Tax accordingly.

 

1b.        City Council determine that Subsection 1(a) does not apply to permit validation renewals commencing after the Termination Date for permit holders with scheduled renewal dates (birthdates) prior to the Termination Date (the "Taxable Renewals").

 

2.          City Council authorize the termination of the PVT Collection Agreement, subject to any surviving arrangements as deemed appropriate by the Deputy City Manager and Chief Financial Officer, in consultation with the City Solicitor, in order to implement an orderly termination of the tax.

 

3.          City Council direct the Deputy City Manager and Chief Financial Officer to provide the Ministry of Transportation and the Ministry of Government Services with written notice of Parts 1 and 2 above.

 

4.          City Council approve the issuance of refunds by the Deputy City Manager and Chief Financial Officer of PVT paid in the following amounts:

 

a.          one half of the PVT paid if PVT was paid for a two-year permit validation period commencing prior to the Termination Date and if the second year of the two-year permit validation period commences after the Termination Date;

 

b.          all PVT paid in respect of a permit validation renewal period starting on or after the Termination Date, with the exception of Taxable Renewals.

 

5.          City Council direct the Deputy City Manager and Chief Financial Officer to provide details as to the plan to communicate the process for termination of the tax to the citizens of Toronto.

 

6.          City Council direct that the budgetary impacts of the above actions be addressed as part of the 2011 Operating Budget review process.

 

7.          City Council authorize the introduction of the necessary bills to give effect hereto.

Background Information (Committee)

(December 3, 2010) Personal Vehicle Tax - Repeal of Tax and Termination of Collection Agreement
https://www.toronto.ca/legdocs/mmis/2011/ex/bgrd/backgroundfile-34156.pdf
(November 24, 2010) Report from Deputy City Manager and Chief Financial Officer, advising of forthcoming report
https://www.toronto.ca/legdocs/mmis/2011/ex/bgrd/backgroundfile-34163.pdf

Communications (City Council)

(December 10, 2010) Letter from Hamish Wilson (CC.Main.EX1.7.1)
(December 14, 2010) E-mail from Nora Currie (CC.Supp.EX1.7.2)
(December 15, 2010) E-mail from Matthew McGuire, President, Toronto Taxpayers Coalition (CC.New.EX1.7.3)
https://www.toronto.ca/legdocs/mmis/2011/cc/comm/communicationfile-18674.pdf
(December 15, 2010) E-mail from Tim Foran (CC.New.EX1.7.4)
(December 16, 2010) E-mail from Michelle Treacy (CC.New.EX1.7.5)

Motions (City Council)

1 - Motion to Amend Item (Additional) moved by Councillor Giorgio Mammoliti (Withdrawn)

That City Council request the Deputy City Manager and Chief Financial Officer to include in the next Property Tax Bill a notification to the residents of the City of Toronto of Council's decision on the Personal Vehicle Tax - Repeal of Tax and Termination of Collection Agreement.


Motion to Withdraw a Motion moved by Councillor Giorgio Mammoliti (Carried)

With the permission of City Council, Councillor Mammoliti withdrew his Motion 1.

Vote (Withdraw a Motion) Dec-16-2010 4:02 PM

Result: Carried Majority Required - EX1.7 - Councillor Mammoliti - Withdraw Motion 1
Total members that voted Yes: 44 Members that voted Yes are Paul Ainslie, Maria Augimeri, Ana Bailão, Michelle Berardinetti, Shelley Carroll, Raymond Cho, Josh Colle, Gary Crawford, Vincent Crisanti, Janet Davis, Glenn De Baeremaeker, Mike Del Grande, Frank Di Giorgio, John Filion, Paula Fletcher, Doug Ford, Rob Ford, Mary Fragedakis, Mark Grimes, Doug Holyday, Norman Kelly, Mike Layton, Chin Lee, Gloria Lindsay Luby, Giorgio Mammoliti, Josh Matlow, Pam McConnell, Mary-Margaret McMahon, Joe Mihevc, Peter Milczyn, Denzil Minnan-Wong, Ron Moeser, Frances Nunziata (Chair), Cesar Palacio, John Parker, James Pasternak, Gord Perks, Anthony Perruzza, Jaye Robinson, David Shiner, Karen Stintz, Michael Thompson, Adam Vaughan, Kristyn Wong-Tam
Total members that voted No: 0 Members that voted No are
Total members that were Absent: 1 Members that were absent are Sarah Doucette

2 - Motion to Refer Item moved by Councillor Janet Davis (Lost)

That City Council refer this Item to the Budget Committee for consideration in the 2011 Budget Process.

Vote (Refer Item) Dec-16-2010 2:31 PM

Result: Lost Majority Required - EX1.7 - Councillor Davis - Refer the item to Budget Committee
Total members that voted Yes: 10 Members that voted Yes are Janet Davis, Sarah Doucette, Paula Fletcher, Mike Layton, Josh Matlow, Pam McConnell, Joe Mihevc, Gord Perks, Adam Vaughan, Kristyn Wong-Tam
Total members that voted No: 29 Members that voted No are Paul Ainslie, Maria Augimeri, Ana Bailão, Raymond Cho, Josh Colle, Gary Crawford, Vincent Crisanti, Glenn De Baeremaeker, Mike Del Grande, Frank Di Giorgio, John Filion, Doug Ford, Rob Ford, Mary Fragedakis, Mark Grimes, Doug Holyday, Norman Kelly, Chin Lee, Gloria Lindsay Luby, Mary-Margaret McMahon, Peter Milczyn, Denzil Minnan-Wong, Ron Moeser, Frances Nunziata (Chair), Cesar Palacio, John Parker, James Pasternak, Karen Stintz, Michael Thompson
Total members that were Absent: 6 Members that were absent are Michelle Berardinetti, Shelley Carroll, Giorgio Mammoliti, Anthony Perruzza, Jaye Robinson, David Shiner

3 - Motion to Amend Item moved by Councillor Pam McConnell (Lost)

That Recommendation 1a. of the Executive Committee be amended by adding the words "with no additional cost to taxpayers and no cuts to property tax supported services".

Vote (Amend Item) Dec-16-2010 4:04 PM

Result: Lost Majority Required - EX1.7 - Motion 3 - Amend Recommendation 1a - Councillor McConnell
Total members that voted Yes: 17 Members that voted Yes are Maria Augimeri, Shelley Carroll, Raymond Cho, Josh Colle, Janet Davis, Glenn De Baeremaeker, Sarah Doucette, John Filion, Paula Fletcher, Mary Fragedakis, Mike Layton, Pam McConnell, Joe Mihevc, Gord Perks, Anthony Perruzza, Adam Vaughan, Kristyn Wong-Tam
Total members that voted No: 28 Members that voted No are Paul Ainslie, Ana Bailão, Michelle Berardinetti, Gary Crawford, Vincent Crisanti, Mike Del Grande, Frank Di Giorgio, Doug Ford, Rob Ford, Mark Grimes, Doug Holyday, Norman Kelly, Chin Lee, Gloria Lindsay Luby, Giorgio Mammoliti, Josh Matlow, Mary-Margaret McMahon, Peter Milczyn, Denzil Minnan-Wong, Ron Moeser, Frances Nunziata (Chair), Cesar Palacio, John Parker, James Pasternak, Jaye Robinson, David Shiner, Karen Stintz, Michael Thompson
Total members that were Absent: 0 Members that were absent are

4 - Motion to Amend Item moved by Councillor Anthony Perruzza (Lost)

That Recommendation 1a. of the Executive Committee be amended by deleting the date "January 1, 2011", and replacing it with the date "September 1, 2010", so that the recommendation reads as follows:

 

1a.       City Council repeal the City's Personal Vehicle Tax for permit validation renewal periods commencing on or after September 1, 2010 (the "Termination Date"), and amend the City of Toronto Municipal Code Chapter 765, Taxation, Personal Vehicle Tax.

Vote (Amend Item) Dec-16-2010 4:05 PM

Result: Lost Majority Required - EX1.7 - Motion 4 - Councillor Perruzza - Amend the Item
Total members that voted Yes: 11 Members that voted Yes are Maria Augimeri, Shelley Carroll, Glenn De Baeremaeker, John Filion, Paula Fletcher, Mike Layton, Ron Moeser, James Pasternak, Anthony Perruzza, Adam Vaughan, Kristyn Wong-Tam
Total members that voted No: 34 Members that voted No are Paul Ainslie, Ana Bailão, Michelle Berardinetti, Raymond Cho, Josh Colle, Gary Crawford, Vincent Crisanti, Janet Davis, Mike Del Grande, Frank Di Giorgio, Sarah Doucette, Doug Ford, Rob Ford, Mary Fragedakis, Mark Grimes, Doug Holyday, Norman Kelly, Chin Lee, Gloria Lindsay Luby, Giorgio Mammoliti, Josh Matlow, Pam McConnell, Mary-Margaret McMahon, Joe Mihevc, Peter Milczyn, Denzil Minnan-Wong, Frances Nunziata (Chair), Cesar Palacio, John Parker, Gord Perks, Jaye Robinson, David Shiner, Karen Stintz, Michael Thompson
Total members that were Absent: 0 Members that were absent are

5 - Motion to Amend Item moved by Councillor Kristyn Wong-Tam (Lost)

That City Council amend Recommendation 6 of the Executive Committee by adding the words "and to ensure that there will be no service or program cuts or reductions", so that Recommendation 6 now reads as follows:

 

6.         City Council direct that the budgetary impacts of the above actions be addressed as part of the 2011 Operating Budget review process and to ensure that there will be no service or program cuts or reductions.

Vote (Amend Item) Dec-16-2010 4:07 PM

Result: Lost Majority Required - EX1.7 - Motion 5 - Councillor Wong-Tam - Amend Item
Total members that voted Yes: 18 Members that voted Yes are Maria Augimeri, Ana Bailão, Shelley Carroll, Raymond Cho, Josh Colle, Janet Davis, Glenn De Baeremaeker, Sarah Doucette, John Filion, Paula Fletcher, Mary Fragedakis, Mike Layton, Pam McConnell, Joe Mihevc, Gord Perks, Anthony Perruzza, Adam Vaughan, Kristyn Wong-Tam
Total members that voted No: 27 Members that voted No are Paul Ainslie, Michelle Berardinetti, Gary Crawford, Vincent Crisanti, Mike Del Grande, Frank Di Giorgio, Doug Ford, Rob Ford, Mark Grimes, Doug Holyday, Norman Kelly, Chin Lee, Gloria Lindsay Luby, Giorgio Mammoliti, Josh Matlow, Mary-Margaret McMahon, Peter Milczyn, Denzil Minnan-Wong, Ron Moeser, Frances Nunziata (Chair), Cesar Palacio, John Parker, James Pasternak, Jaye Robinson, David Shiner, Karen Stintz, Michael Thompson
Total members that were Absent: 0 Members that were absent are

6 - Motion to Amend Item (Additional) moved by Councillor Josh Colle (Lost)
That, as a result of the cancellation of the Personal Vehicle Tax, City Council request the Deputy City Manager and Chief Financial Officer to submit to the Budget Committee, for consideration as part of the 2011 Operating Budget review process, the original 2007 Hemson Consulting Ltd. report and corresponding staff report that outlined alternative revenue sources for the City that relieve the tax burden from the property tax base.

Vote (Amend Item (Additional)) Dec-16-2010 4:08 PM

Result: Lost Majority Required - EX1.7 - Motion 6 - Councillor Colle - Amend Item (Additional)
Total members that voted Yes: 21 Members that voted Yes are Maria Augimeri, Ana Bailão, Shelley Carroll, Raymond Cho, Josh Colle, Janet Davis, Glenn De Baeremaeker, Sarah Doucette, John Filion, Paula Fletcher, Mary Fragedakis, Mike Layton, Josh Matlow, Pam McConnell, Mary-Margaret McMahon, Joe Mihevc, James Pasternak, Gord Perks, Anthony Perruzza, Adam Vaughan, Kristyn Wong-Tam
Total members that voted No: 24 Members that voted No are Paul Ainslie, Michelle Berardinetti, Gary Crawford, Vincent Crisanti, Mike Del Grande, Frank Di Giorgio, Doug Ford, Rob Ford, Mark Grimes, Doug Holyday, Norman Kelly, Chin Lee, Gloria Lindsay Luby, Giorgio Mammoliti, Peter Milczyn, Denzil Minnan-Wong, Ron Moeser, Frances Nunziata (Chair), Cesar Palacio, John Parker, Jaye Robinson, David Shiner, Karen Stintz, Michael Thompson
Total members that were Absent: 0 Members that were absent are

Motion to Adopt Item (Carried)

Vote (Adopt Item) Dec-16-2010 4:09 PM

Result: Carried Majority Required - EX1.7 - Adopt the item
Total members that voted Yes: 39 Members that voted Yes are Paul Ainslie, Maria Augimeri, Ana Bailão, Michelle Berardinetti, Shelley Carroll, Raymond Cho, Josh Colle, Gary Crawford, Vincent Crisanti, Glenn De Baeremaeker, Mike Del Grande, Frank Di Giorgio, John Filion, Paula Fletcher, Doug Ford, Rob Ford, Mary Fragedakis, Mark Grimes, Doug Holyday, Norman Kelly, Mike Layton, Chin Lee, Gloria Lindsay Luby, Giorgio Mammoliti, Josh Matlow, Mary-Margaret McMahon, Peter Milczyn, Denzil Minnan-Wong, Ron Moeser, Frances Nunziata (Chair), Cesar Palacio, John Parker, James Pasternak, Anthony Perruzza, Jaye Robinson, David Shiner, Karen Stintz, Michael Thompson, Kristyn Wong-Tam
Total members that voted No: 6 Members that voted No are Janet Davis, Sarah Doucette, Pam McConnell, Joe Mihevc, Gord Perks, Adam Vaughan
Total members that were Absent: 0 Members that were absent are

Motion to End Debate moved by Councillor Mark Grimes (Carried)

That Council end the debate on motion 2 by Councillor Davis and take the vote on the motion immediately.

Vote (End Debate) Dec-16-2010 2:30 PM

Result: Carried Two-Thirds Required - EX1.7 - End debate on referral
Total members that voted Yes: 31 Members that voted Yes are Ana Bailão, Raymond Cho, Josh Colle, Gary Crawford, Vincent Crisanti, Janet Davis, Mike Del Grande, Frank Di Giorgio, Sarah Doucette, John Filion, Paula Fletcher, Mary Fragedakis, Mark Grimes, Norman Kelly, Mike Layton, Chin Lee, Gloria Lindsay Luby, Pam McConnell, Mary-Margaret McMahon, Joe Mihevc, Peter Milczyn, Denzil Minnan-Wong, Frances Nunziata (Chair), Cesar Palacio, John Parker, James Pasternak, Gord Perks, Karen Stintz, Michael Thompson, Adam Vaughan, Kristyn Wong-Tam
Total members that voted No: 7 Members that voted No are Paul Ainslie, Glenn De Baeremaeker, Doug Ford, Rob Ford, Doug Holyday, Josh Matlow, Ron Moeser
Total members that were Absent: 7 Members that were absent are Maria Augimeri, Michelle Berardinetti, Shelley Carroll, Giorgio Mammoliti, Anthony Perruzza, Jaye Robinson, David Shiner

Motion to Extend Debate (Carried)

Speaker Nunziata proposed that Councillor Davis' speaking time be extended so that she could complete her remarks.

Vote (Extend Debate) Dec-16-2010 12:19 PM

Result: Carried Two-Thirds Required - EX1.7 - Extend Councillor Davis's speaking time
Total members that voted Yes: 35 Members that voted Yes are Paul Ainslie, Maria Augimeri, Ana Bailão, Michelle Berardinetti, Shelley Carroll, Raymond Cho, Gary Crawford, Vincent Crisanti, Janet Davis, Glenn De Baeremaeker, Mike Del Grande, Sarah Doucette, Paula Fletcher, Doug Ford, Rob Ford, Mary Fragedakis, Mark Grimes, Doug Holyday, Norman Kelly, Mike Layton, Chin Lee, Gloria Lindsay Luby, Josh Matlow, Mary-Margaret McMahon, Frances Nunziata (Chair), Cesar Palacio, John Parker, James Pasternak, Gord Perks, Anthony Perruzza, Jaye Robinson, David Shiner, Karen Stintz, Michael Thompson, Adam Vaughan
Total members that voted No: 1 Members that voted No are Denzil Minnan-Wong
Total members that were Absent: 9 Members that were absent are Josh Colle, Frank Di Giorgio, John Filion, Giorgio Mammoliti, Pam McConnell, Joe Mihevc, Peter Milczyn, Ron Moeser, Kristyn Wong-Tam

Motion to Extend Debate (Carried)

Speaker Nunziata proposed that Councillor De Baeremaeker's speaking time be extended so that he could complete his remarks.

Vote (Extend Debate) Dec-16-2010 2:43 PM

Result: Carried Two-Thirds Required - EX1.7 - Extend Councillor DeBaeremaeker's speaking time
Total members that voted Yes: 40 Members that voted Yes are Paul Ainslie, Maria Augimeri, Ana Bailão, Michelle Berardinetti, Raymond Cho, Josh Colle, Gary Crawford, Vincent Crisanti, Janet Davis, Glenn De Baeremaeker, Mike Del Grande, Frank Di Giorgio, Sarah Doucette, Paula Fletcher, Doug Ford, Rob Ford, Mary Fragedakis, Doug Holyday, Norman Kelly, Mike Layton, Chin Lee, Gloria Lindsay Luby, Giorgio Mammoliti, Josh Matlow, Pam McConnell, Joe Mihevc, Peter Milczyn, Denzil Minnan-Wong, Ron Moeser, Frances Nunziata (Chair), Cesar Palacio, John Parker, James Pasternak, Gord Perks, Anthony Perruzza, David Shiner, Karen Stintz, Michael Thompson, Adam Vaughan, Kristyn Wong-Tam
Total members that voted No: 1 Members that voted No are Mary-Margaret McMahon
Total members that were Absent: 4 Members that were absent are Shelley Carroll, John Filion, Mark Grimes, Jaye Robinson

Motion to Extend Debate (Carried)

Speaker Nunziata proposed that Councillor Fletcher's speaking time be extended so that she could complete her remarks.

Vote (Extend Debate) Dec-16-2010 2:59 PM

Result: Carried Two-Thirds Required - EX1.7 - Extend Councillor Fletcher's speaking time
Total members that voted Yes: 29 Members that voted Yes are Paul Ainslie, Maria Augimeri, Ana Bailão, Michelle Berardinetti, Raymond Cho, Josh Colle, Vincent Crisanti, Glenn De Baeremaeker, Mike Del Grande, Frank Di Giorgio, Sarah Doucette, Paula Fletcher, Doug Ford, Rob Ford, Mary Fragedakis, Doug Holyday, Norman Kelly, Chin Lee, Mary-Margaret McMahon, Joe Mihevc, Frances Nunziata (Chair), Cesar Palacio, John Parker, James Pasternak, Gord Perks, David Shiner, Michael Thompson, Adam Vaughan, Kristyn Wong-Tam
Total members that voted No: 0 Members that voted No are
Total members that were Absent: 16 Members that were absent are Shelley Carroll, Gary Crawford, Janet Davis, John Filion, Mark Grimes, Mike Layton, Gloria Lindsay Luby, Giorgio Mammoliti, Josh Matlow, Pam McConnell, Peter Milczyn, Denzil Minnan-Wong, Ron Moeser, Anthony Perruzza, Jaye Robinson, Karen Stintz

Motion to Extend Debate moved by Councillor Shelley Carroll (Carried)

That Councillor Perruzza's speaking time be extended so that he can complete his remarks.

Vote (Extend Debate) Dec-16-2010 3:11 PM

Result: Carried Two-Thirds Required - EX1.7 - extend Councillor Perruzza's speaking time
Total members that voted Yes: 34 Members that voted Yes are Paul Ainslie, Maria Augimeri, Ana Bailão, Michelle Berardinetti, Shelley Carroll, Gary Crawford, Vincent Crisanti, Glenn De Baeremaeker, Mike Del Grande, Frank Di Giorgio, Sarah Doucette, John Filion, Paula Fletcher, Doug Ford, Rob Ford, Doug Holyday, Mike Layton, Chin Lee, Gloria Lindsay Luby, Josh Matlow, Pam McConnell, Mary-Margaret McMahon, Joe Mihevc, Frances Nunziata (Chair), Cesar Palacio, John Parker, James Pasternak, Gord Perks, Anthony Perruzza, Jaye Robinson, David Shiner, Karen Stintz, Adam Vaughan, Kristyn Wong-Tam
Total members that voted No: 4 Members that voted No are Josh Colle, Norman Kelly, Peter Milczyn, Denzil Minnan-Wong
Total members that were Absent: 7 Members that were absent are Raymond Cho, Janet Davis, Mary Fragedakis, Mark Grimes, Giorgio Mammoliti, Ron Moeser, Michael Thompson

Motion to Extend Debate (Carried)

Speaker Nunziata proposed that Councillor Perks' speaking time be extended so that he could complete his remarks.

Vote (Extend Debate) Dec-16-2010 3:25 PM

Result: Carried Two-Thirds Required - EX1.7 - Extend Councillor Perks' speaking time
Total members that voted Yes: 38 Members that voted Yes are Paul Ainslie, Maria Augimeri, Ana Bailão, Michelle Berardinetti, Shelley Carroll, Raymond Cho, Josh Colle, Vincent Crisanti, Glenn De Baeremaeker, Mike Del Grande, Frank Di Giorgio, Sarah Doucette, Paula Fletcher, Doug Ford, Rob Ford, Mary Fragedakis, Mark Grimes, Doug Holyday, Mike Layton, Chin Lee, Gloria Lindsay Luby, Giorgio Mammoliti, Josh Matlow, Mary-Margaret McMahon, Joe Mihevc, Peter Milczyn, Ron Moeser, Frances Nunziata (Chair), Cesar Palacio, John Parker, James Pasternak, Gord Perks, Anthony Perruzza, Jaye Robinson, Karen Stintz, Michael Thompson, Adam Vaughan, Kristyn Wong-Tam
Total members that voted No: 3 Members that voted No are Gary Crawford, Norman Kelly, Denzil Minnan-Wong
Total members that were Absent: 4 Members that were absent are Janet Davis, John Filion, Pam McConnell, David Shiner

Motion to Extend Debate (Carried)

Speaker Nunziata proposed that Councillor Vaughan's speaking time be extended so that he could complete his remarks.

Vote (Extend Debate) Dec-16-2010 3:38 PM

Result: Carried Two-Thirds Required - EX1.7 - Extend Councillor Vaughan's speaking time
Total members that voted Yes: 39 Members that voted Yes are Paul Ainslie, Ana Bailão, Michelle Berardinetti, Shelley Carroll, Raymond Cho, Josh Colle, Gary Crawford, Vincent Crisanti, Janet Davis, Glenn De Baeremaeker, Mike Del Grande, Frank Di Giorgio, Sarah Doucette, Paula Fletcher, Rob Ford, Mary Fragedakis, Mark Grimes, Doug Holyday, Mike Layton, Chin Lee, Gloria Lindsay Luby, Giorgio Mammoliti, Josh Matlow, Mary-Margaret McMahon, Joe Mihevc, Peter Milczyn, Denzil Minnan-Wong, Ron Moeser, Frances Nunziata (Chair), Cesar Palacio, John Parker, James Pasternak, Anthony Perruzza, Jaye Robinson, David Shiner, Karen Stintz, Michael Thompson, Adam Vaughan, Kristyn Wong-Tam
Total members that voted No: 1 Members that voted No are Norman Kelly
Total members that were Absent: 5 Members that were absent are Maria Augimeri, John Filion, Doug Ford, Pam McConnell, Gord Perks

Motion to Extend Debate (Carried)

Speaker Nunziata proposed that Councillor Thompson's speaking time be extended so that he could complete his remarks.

Vote (Extend Debate) Dec-16-2010 3:53 PM

Result: Carried Two-Thirds Required - EX1.7 - Extend Councillor Thompson's speaking time
Total members that voted Yes: 43 Members that voted Yes are Paul Ainslie, Ana Bailão, Shelley Carroll, Raymond Cho, Josh Colle, Gary Crawford, Vincent Crisanti, Janet Davis, Glenn De Baeremaeker, Mike Del Grande, Frank Di Giorgio, Sarah Doucette, John Filion, Paula Fletcher, Doug Ford, Rob Ford, Mary Fragedakis, Mark Grimes, Doug Holyday, Norman Kelly, Mike Layton, Chin Lee, Gloria Lindsay Luby, Giorgio Mammoliti, Josh Matlow, Pam McConnell, Mary-Margaret McMahon, Joe Mihevc, Peter Milczyn, Denzil Minnan-Wong, Ron Moeser, Frances Nunziata (Chair), Cesar Palacio, John Parker, James Pasternak, Gord Perks, Anthony Perruzza, Jaye Robinson, David Shiner, Karen Stintz, Michael Thompson, Adam Vaughan, Kristyn Wong-Tam
Total members that voted No: 0 Members that voted No are
Total members that were Absent: 2 Members that were absent are Maria Augimeri, Michelle Berardinetti

EX1.7 - Personal Vehicle Tax - Repeal of Tax and Termination of Collection Agreement

Decision Type:
ACTION
Status:
Amended
Wards:
All

Committee Recommendations

The Executive Committee recommends that: 

 

1a.       City Council repeal the City's Personal Vehicle Tax for permit validation renewal periods commencing on or after January 1, 2011 (the "Termination Date"), and amend the City of Toronto Municipal Code Chapter 765, Taxation, Personal Vehicle Tax accordingly;

 

1b.       City Council determine that Subsection 1(a) does not apply to permit validation renewals commencing after the Termination Date for permit holders with scheduled renewal dates (birthdates) prior to the Termination Date (the "Taxable Renewals").

 

2.         City Council authorize the termination of the PVT Collection Agreement, subject to any surviving arrangements as deemed appropriate by the Deputy City Manager and Chief Financial Officer, in consultation with the City Solicitor, in order to implement an orderly termination of the tax.

 

3.         City Council direct the Deputy City Manager and Chief Financial Officer to provide the Ministry of Transportation and the Ministry of Government Services with written notice of Recommendations 1 and 2.

 

4.         City Council approve the issuance of refunds by the Deputy City Manager and Chief Financial Officer of PVT paid in the following amounts:

 

a.         one half of the PVT paid if PVT was paid for a two-year permit validation period commencing prior to the Termination Date and if the second year of the two-year permit validation period commences after the Termination Date;

 

b.         all PVT paid in respect of a permit validation renewal period starting on or after the Termination Date, with the exception of Taxable Renewals.

 

5.         City Council direct the Deputy City Manager and Chief Financial Officer to provide details as to the plan to communicate the process for termination of the tax to the citizens of Toronto.

 

6.         City Council direct that the budgetary impacts of the above actions be addressed as part of the 2011 Operating Budget review process.

 

7.         City Council authorize the introduction of the necessary bills to give effect hereto.

Origin

(December 3, 2010) Report from the City Manager and the Deputy City Manager and Chief Financial Officer

Summary

This report identifies options and sets out procedural and contractual requirements for the repeal of the Personal Vehicle Tax (PVT) and termination of the PVT Collection Agreement ("Agreement") with the Ministry of Transportation and the Ministry of Government Services (the "Province") in 2011.

 

Termination of the PVT in 2011 would have a direct impact on the 2011 operating budget. It would (i) reduce the PVT revenues by an average of $4 million for each month it is no longer in effect, (ii) require certain refunds of PVT payments made prior to the effective PVT repeal date, and (iii) result in City administration costs to process refunds, and reimbursement of costs incurred by the Province for system changes to implement termination of PVT collection. The total estimated 2011 budget impact is approximately $64 million if the tax is repealed on January 1, 2011.

 

Background Information

(December 3, 2010) Personal Vehicle Tax - Repeal of Tax and Termination of Collection Agreement
https://www.toronto.ca/legdocs/mmis/2011/ex/bgrd/backgroundfile-34156.pdf
(November 24, 2010) Report from Deputy City Manager and Chief Financial Officer, advising of forthcoming report
https://www.toronto.ca/legdocs/mmis/2011/ex/bgrd/backgroundfile-34163.pdf

Speakers

Councillor Janet Davis
Councillor Sarah Doucette
Councillor Pam McConnell
Councillor Anthony Perruzza

Motions

1 - Motion to Amend Item moved by Councillor Mike Del Grande (Carried)

That: 

 

1a.       City Council repeal the City's Personal Vehicle Tax for permit validation renewal periods commencing on or after January 1, 2011 (the "Termination Date"), and amend the City of Toronto Municipal Code Chapter 765, Taxation, Personal Vehicle Tax accordingly;

 

1b.       City Council determine that Subsection 1(a) does not apply to permit validation renewals commencing after the Termination Date for permit holders with scheduled renewal dates (birthdates) prior to the Termination Date (the "Taxable Renewals").

 

2.         City Council authorize the termination of the PVT Collection Agreement, subject to any surviving arrangements as deemed appropriate by the Deputy City Manager and Chief Financial Officer, in consultation with the City Solicitor, in order to implement an orderly termination of the tax.

 

3.         City Council direct the Deputy City Manager and Chief Financial Officer to provide the Ministry of Transportation and the Ministry of Government Services with written notice of Recommendations 1 and 2.

 

4.         City Council approve the issuance of refunds by the Deputy City Manager and Chief Financial Officer of PVT paid in the following amounts:

 

a.         one half of the PVT paid if PVT was paid for a two-year permit validation period commencing prior to the Termination Date and if the second year of the two-year permit validation period commences after the Termination Date;

 

b.         all PVT paid in respect of a permit validation renewal period starting on or after the Termination Date, with the exception of Taxable Renewals.

 

5.         City Council direct the Deputy City Manager and Chief Financial Officer to provide details as to the plan to communicate the process for termination of the tax to the citizens of Toronto.

 

6.         City Council direct that the budgetary impacts of the above actions be addressed as part of the 2011 Operating Budget review process.

 

7.         City Council authorize the introduction of the necessary bills to give effect hereto.

Vote (Amend Item) Dec-09-2010

Result: Carried Majority Required - Item EX 1.7 Personal Vehicle Tax - Repeal of Tax and Termination of Collection Agreement - Amend Item
Total members that voted Yes: 11 Members that voted Yes are Paul Ainslie, Michelle Berardinetti, Mike Del Grande, Rob Ford (Chair), Doug Holyday, Norman Kelly, Giorgio Mammoliti, Peter Milczyn, Denzil Minnan-Wong, Cesar Palacio, David Shiner
Total members that voted No: 0 Members that voted No are
Total members that were Absent: 2 Members that were absent are Jaye Robinson, Michael Thompson

2 - Motion to Adopt Item as Amended moved by Councillor Mike Del Grande (Carried)

Vote (Adopt Item as Amended) Dec-09-2010

Result: Carried Majority Required
Total members that voted Yes: 11 Members that voted Yes are Paul Ainslie, Michelle Berardinetti, Mike Del Grande, Rob Ford (Chair), Doug Holyday, Norman Kelly, Giorgio Mammoliti, Peter Milczyn, Denzil Minnan-Wong, Cesar Palacio, David Shiner
Total members that voted No: 0 Members that voted No are
Total members that were Absent: 2 Members that were absent are Jaye Robinson, Michael Thompson
Source: Toronto City Clerk at www.toronto.ca/council