The city’s projected $13-million deficit is the mayor’s priority for any COVID-19 relief funds from the federal or provincial governments.
A total of $2-billion for municipalities was announced as part of the federal “safe re-start” plan, which also requires provincial governments to match that funding.
Bill Mauro says the city has been dealing with extra costs and reduced revenues for months. He suggests the city hasn’t been able to bail itself out because it doesn’t have the same ability to generate revenue as the province or the feds.
“That has found us, like all municipalities, with an operating deficit. We are not legally allowed to run an operating deficit, as municipalities in the province of Ontario. Provincial legislation makes that illegal,” Mauro notes.
He expects to get an update on the city’s deficit next Monday, and hopes it will be lower than the $13-million estimate for this year.
The mayor also hopes the relief funding includes money for infrastructure.
However, he can’t say what we should expect, because he’s still waiting to learn more.
“We don’t know how much, we don’t know how it will be allocated, we don’t know if it’s the province that has control over the allocation, we don’t know if the province is putting in more money on top of what the federal government has announced,” Mauro admits.
