Toronto Considers Rain Tax to Manage Storms and Floods

Toronto’s Controversial “Rain Tax” Proposal Sparks Debate and Delays

Critics Condemn the Stormwater Charge Plan

Toronto’s proposed stormwater charge, dubbed the “rain tax” by critics like Donald Trump Jr. on Twitter, has faced strong opposition. A SkyNews host even discouraged people from visiting Canada’s largest city, saying:

You thought it couldn’t get any worse … Don’t go to Toronto because they’re going to tax you when it rains.

The contentious charge would be based on the amount of hard surface area on a property that does not absorb water, such as roofs, driveways, parking lots, or concrete landscaping.

Mayor Olivia Chow Addresses Stormwater Management Challenges

Toronto mayor Olivia Chow explained the rationale behind the proposed charge in an online video post on Twitter:

When we get a big rainstorm, basements flood, roads flood, sewage overflows and runs into the lake or on our rivers. Stormwater slides off paved surfaces instead of absorbing into the ground. It overwhelms our water infrastructure, causes damage to your home and the environment.

The new fee would adjust water bills to reduce water consumption rates and add a stormwater charge based on property size and hard surface area.

Public Consultations Paused Amid Controversy

Online public consultations were initially planned, followed by public meetings. However, after less than a week, the online consultations were paused, and public meetings were canceled. The city claims the delay is needed for staff to find a way to integrate the new fee with the city’s broader climate-resilience strategy.

Mayor Chow Calls for Fairness and Green Infrastructure Incentives

Mayor Chow expressed her preference for the city to offer residents financial incentives to plant gardens in their backyards or install permeable pavement to help drain the rain. She also highlighted the need for fairness in the stormwater policy:

I don’t think it’s fair to have a stormwater policy that asks homeowners to pay while letting businesses with massive parking lots off the hook.

Many businesses with large paved areas, such as parking lots, currently pay no water bills and do not contribute to stormwater management. Chow has asked Toronto Water to develop a plan that supports more green infrastructure, prevents flooding, and keeps water bills low.

Toronto’s Stormwater Management Budget and Neighboring Cities’ Practices

In last year’s city budget, a 10-year plan (2023 to 2032) allocated $4.3 billion for stormwater management, including the $2.11 billion Basement Flooding Protection Program. In 2022 alone, the city invested $225.3 million in the basement program.

Nearby cities like Mississauga, Vaughan, and Markham have had stormwater charges in place for a long time. These charges support various programs and initiatives to protect the environment, property, and water quality.

Environmental Advocates Emphasize Equity and Incentives

Environmental advocates argue that Torontonians already pay for storm and floodwater management through their water bills, but the current system lacks equity as it is based on water usage. A well-designed stormwater charge could potentially reduce water bills for people with smaller properties and promote fairness in billing.

Sarah Buchanan, campaigns director of the Toronto Environmental Alliance, highlights the potential benefits of a well-designed stormwater charge, such as incentivizing property owners to convert large paved areas to green spaces, reducing the urban heat island effect, and preventing basement flooding and combined sewer overflows.

Less pavement also means a reduction in extreme heat since paved areas make our city hotter through the urban heat island effect. As climate change escalates, heat and flooding are getting worse every year, and we need workable solutions now.

Buchanan emphasizes that managing stormwater, preventing basement flooding, and protecting ravines from erosion come at a cost to the city, and property owners with large paved lots should contribute to the work instead of getting a free ride.

As the debate continues, Toronto’s “rain tax” proposal remains a contentious issue, with the city seeking to balance fairness, environmental concerns, and the need for effective stormwater management in the face of climate change challenges.