Transit Referendum Question and Proposal: 0.5% PST Increase to 7.5%

Huge news today with the upcoming transit referendum which includes the UBC Broadway Subway Line. The Translink Mayors' Council has proposed funding the Translink plan through a 0.5% regional PST increase. They have also decided on the referendum ballot question. See the news release below.

For a discussion on the Metro Vancouver Transit Referendum see: http://www.forumvancouver.com/threa...-year-plan-and-broadway-subway-ubc-line.6981/

Transportation and Transit Plan readies region for one million more people by 2040

New Westminster, BC —The Mayors’ Council on Regional Transportation today agreed on a referendum question and a regional funding proposal on their Transportation and Transit Plan plan to cut congestion by improving major roads and existing transit service, and creating new bus and rapid transit services throughout the region.

“Traffic congestion is a big and growing issue, with a million more people expected to move to Metro Vancouver by 2040. We need to invest in expanding our transportation and transit system now to keep people and business in our region moving,” said Mayor Richard Walton (District of North Vancouver), Chair of the Mayors’ Council. “The cost of doing nothing would be the highest cost of all.”

The mayors have recommended a referendum question to the provincial government that asks residents to support a 0.5% increase to the Provincial Sales Tax (PST) in Metro Vancouver to fund the region’s share of this $7.5 billion plan. The provincial government is expected to approve the question before the end of the year, and the referendum launch would follow quickly.

The proposed ballot question is:

The Plan assumes both the provincial and federal governments will match the contributions of the region’s taxpayers to this $7.5 billion Transportation and Transit Plan.

“The mayors carefully considered all of the funding options and determined that a small increase to the sales tax was the most affordable and fair of the proposed funding options. This modest investment will have a real and positive economic and social impact in helping people and businesses move through the region by reducing congestion,” said Mayor Greg Moore (Port Coquitlam), Chair of Metro Vancouver Board of Directors.

“The cost of doing nothing would be the highest cost of all,” added Moore.

The proposed small regional increase to the PST will raise approximately $250 million annually to:

• fund new buses in existing and new communities; increase SeaBus, West Coast Express, Handydart, and Nightbus service;
• improve and maintain major roads increase SkyTrain service on the Expo, Millennium and Canada Lines
• build new light rail transit in Surrey
• extend the Millennium Line tunneled along Broadway in Vancouver
• build a new Pattullo Bridge

All proposed improvements are outlined in the Mayors’ Council Transportation and Transit Investment Plan, released in June 2014.

The mayors identified an increase to PST as the fairest and most affordable for families and most balanced across different sectors of the economy and society. This is partly because many basic necessities are exempt from the PST, including groceries and restaurant meals, services such as haircuts, home renovations, children’s clothing, books or magazines or the sale of real estate.

Quick Facts

• The Mayors are proposing a 0.5% increase to the Provincial Sales Tax - not the federal government’s Goods and Services Tax (GST).
• This small increase in regional Provincial Sales Tax would cost the average household about $125/year.
• As a comparison, to deliver the region’s share of the Plan using one or a combination of the funding sources, the average household would pay about:
  • $125/year with a regional increase to the Province Sales Tax of 0.5%; or
  • $230/year with a $170 registration fee per vehicle; or
  • $230/year with an additional $40/tonne to the BC Carbon Tax; or
  • $215/year with an additional $15/tonne to the BC Carbon Tax and a $90 vehicle registration fee
• Provincial legislation requires a referendum by June 2015, to approve the new funding tool.
• If voters support this proposal, the earliest effective date for any PST increase in the region would be April 1, 2016.

http://mayorscouncil.ca/wp-content/uploads/2014/12/FINAL-Mayors-Council-News-Rls-Dec11-14.pdf

 

I don't support the PST hike because its' the condo developers who should fund this because they will profit and benefit the most.

Say No to 7.5% PST!

 

pst hike is a fucking awful idea. i can think of better ones off the top of my head without millions spent on "research" "consultants" and communications staff. i should have run for mayor.
- new foreign investor and absent homeowner tax so rich mainland chinese pay their share
- increase property tax since no one actually living in vancouver owns anyway, it's all foreign buyers
- new business tax developers and mall owners. they get too many favors from the govt on the tax payer's dime.
- cut wages for bus drivers and translink staff, they're overpaid!
- cut wages for translink management, even more overpaid and incompetent.
- raise transit fares so people who use transit pay for their own damn projects
- sell advertising on bridges

 

The proposal is basically a new municipal sales tax. Calling it a PST hike is a misnomer because it's not province wide. They're trying to make a new sales tax more palatable by covering it in sheepskin but it will backfire and cause more confusion.

 

The proposed 0.5% sales tax gets a new name: Metro Vancouver Congestion Improvement Tax

New ballot referendum question:

Interesting how they removed the bit about independent audits. So much for Christy Clark's multiple choice transit referendum.

 

I don't know if I support the proposed tax increase yet.

Have to read up on it more.

What they need tho', is to have greater accountability and precise data as to where the money is going and how it's being spent.