The latest report from Metrolinx regarding “The Big Move” — a long-term Ontario transit and transportation solutions plan — that poses various increases in transportation taxes has local dealers up in arms.

The Trillium Automobile Dealers Association says it is “disappointed that Metrolinx is recommending increasing taxes —  specifically on Ontario drivers —  to fund transit expansion in the Greater Toronto and Hamilton Area.”

The Trillium Automobile Dealers Association says “the proposals would leave to drivers paying an increase to the HST (harmonized sales tax), more for gas, and a parking tax.”

Nonprofit auto club CAA South Central Ontario also explained that the proposed tax increases include a 15-percent increase in development fees.

The Trillium Automobile Dealers Association expressed concern that Ontario government may not be utilizing tax money to improve transportation for Canadian citizens.

“The association notes Ontario already receives about 10-billion dollars from drivers every year, but only spent about 2.9-billion on provincial highways last year,” officials said.

But it remains to be seen how the Ontario government will react to the proposal.

Offering a little background on the initiative, The Big Move was adopted in 2008 by the Metrolinx Board, after being
“developed through intensive public consultation and collaboration with key stakeholders, municipal leaders and professionals throughout the region,” according to Metrolinx.

The Premier of Ontario and the Minister of Transportation then committed $11.5 billion to begin the implementation of the project.

Though dealers are expressing concern about the way in which this program will receive additional funding, CAA South Central Ontario noted that consumers may, in fact, be open to sharing in the burden of funding for this project.

Elliott Silverstein, manager of government relations at CAA South Central Ontario, said, “In a recent survey, 88 percent of members surveyed said that any funding collected should be dedicated, and nearly three quarters said that transportation funding is a shared responsibility among taxpayers, road users, and businesses.”

The funding must come from somewhere, but the jury is still out regarding who will carry the majority of this burden.

For more information on potential funding for “The Big Move” project, see the CAA South Central Ontario infograph detailing the cost to consumers from various revenue sources here.

Sarah Rubenoff can be reached at srubenoff@autoremarketing.com. Continue the conversation with Auto Remarketing Canada on LinkedIn and Twitter.