Toronto’s budget committee were briefed on what challenges lay ahead for programs related to water and garbage for the next couple of years.
The result could be another hit for taxpayers in the form of a water rate hike of 5% and a potential 3.9% increase for garbage collection in early 2017.
Committee members heard from Toronto Water’s GM Lou Di Gironimo, on Friday, who’s recommending increases to cover the costs of future capital projects and aging infrastructure.
Di Gironimo said the capital challenges will revolve around growth in landowners submitting development applications, investment in managing basement flooding issues, and ensuring positive balances in reserve funding for large scale projects.
Meanwhile the GM of Solid Waste Management Services, Jim McKay said they are looking to tackle some of the department’s debt, as well as challenges in 2017 that include fleet repair, residential customers downsizing their bins, loss of business to private contractors, and declining prices for recyclable materials.
The final recommendation on the rate hikes will come in council’s December meeting. If approved, rate increases would take place January 1st.