For two years, the Legault government has been at loggerheads with municipal elected officials. But now, at the end of the parliamentary session, they will have a beautiful moment of unity. Ohhhh! What cause could have brought them together?
Tax motorists more! Exactly what the CAQ promised never to do.
I explain. The mayors convinced the government to include a provision in the reform of the Municipal Taxation Act. This article will now give cities the power to apply a surcharge on registrations.
The aim of the new tax is obviously to finance public transport. Rather, I should say that the goal is to try to plug the gaping hole in the transportation companies’ finances. The cities insisted on this new power of taxation.
This year, the cities have extracted from the Minister of Transport Geneviève Guilbault that she is resigning herself to absorbing 70% of the public transport deficits. A $265 million bill that falls on the backs of taxpayers across Quebec.
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Badly managed
Experts have looked at the hole in the finances of public transit organizations. Without denying the impacts of the pandemic or inflation, one factor clearly emerges: management deficiencies. Transport companies pay extraordinary salaries and are excessively bureaucratized.
Moreover, the Minister of Transport has already recognized the management problem. When signing the check that would pay off the majority of their debts, she requested an independent audit of the management. His government surprises me by granting new taxing powers to cities even before this management review is completed.
Obviously, cleaning up your management and reviewing collective agreements is quite a chore. It is much easier to tax the naughty motorist. In any case, if the motorist dares to complain, we will stick the label of polluter in his forehead to silence him.
Archive photo, Le Journal de Québec
Politically risky
Politically, I would say that this is another gesture by which the CAQ is shooting itself in the foot. Firstly because it is another abandoned commitment. Secondly, because this is not at all what the average CAQ voter expects in a year where purchasing power is being undermined.
Politically, the CAQ will only get trouble and reproaches from this. None of the mayors who ask for it will say thank you publicly. They will rather say that through their influence they made this government bend.
And what will they say when angry citizens denounce this new form of taxation which extracts a few extra dollars from them? They will say that it is a decision of the Legault government.
Another damn tax!
Sound management comes second!
And a political error on top of that!
Tough season at the CAQ.