November 14, 2024 –In response to Ontario’s recently released 2024 Fall Economic Outlook and Fiscal Report, MPP Logan Kanapathi shared with Chinese media key measures the provincial government is implementing to counter rising living costs, support families, and bolster healthcare services. This budget not only focuses on tax reduction and lowering expenses in transportation and education, but also emphasizes infrastructure investments in healthcare, aiming to benefit residents across the province.
Alleviating Living Costs for Residents
MPP Kanapathi noted that the Ontario government is actively working to help residents cope with inflation and rising everyday expenses. He emphasized several key relief measures:
- $200 Tax Rebate: Every Ontario adult who files their 2023 tax return by December 31, 2024, will receive a one-time rebate of $200. Families eligible for the Canada Child Benefit (CCB) will also receive an additional $200 for each child under 18. This measure aims to provide families with extra support to manage increasing living costs.
- Extended Fuel Tax Relief: Ontario will extend its 9-cents-per-litre reduction in fuel tax until June 2025, with an estimated average savings of $380 per household over three years. This tax relief helps offset the upcoming federal carbon tax increase, easing the burden on commuting families.
- Tuition Freeze: Public colleges and universities in Ontario will freeze tuition for three more years, ensuring stable education costs. Kanapathi noted that this measure can relieve financial strain on students and families, providing more opportunities for young people in the province.
- “One Fare” Public Transit Program: Through this program, commuters can travel between York and Peel regions with a single fare, saving an average of $1,600 annually. According to Kanapathi, this initiative not only helps reduce traffic congestion but also effectively lowers transportation expenses for daily commuters.
- Auto Insurance Reform: Kanapathi highlighted Ontario’s auto insurance reform set for 2026, which will allow consumers to choose specific accident coverages, instead of being required to purchase a standard package. This reform also prioritizes auto insurance payouts for accident-related medical expenses, aiming to increase flexibility and reduce insurance costs for drivers.
Enhanced Support for Vulnerable Groups
The Ontario government has also expanded multiple support programs to enhance the welfare of low-income families and seniors. Kanapathi stated that these expansions demonstrate the government’s commitment to inclusive policy measures:
- Electricity Support for Low-Income Families: Ontario’s eligibility threshold for the electricity support program will increase by 35%, allowing more low-income families to receive energy bill assistance.
- Senior Benefits: The province has expanded the Guaranteed Annual Income System (GAINS) with inflation adjustments, offering greater support to Ontario’s seniors in managing rising living costs. Kanapathi emphasized that this will help ensure seniors’ essential needs are met.
- New Fertility Tax Credit: The government has introduced a new tax credit covering up to 25% of eligible fertility treatment expenses, including IVF cycles, medications, and diagnostics, providing relief to families seeking fertility assistance.
Major Investments in Healthcare Infrastructure
MPP Kanapathi underscored the significant investments in Ontario’s healthcare system in this economic outlook, pointing out that these measures are set to improve the quality and accessibility of healthcare, particularly in primary care and long-term care sectors.
- Primary Care Services: Ontario will invest $17.7 million in 2026-27 to expand the Learn and Stay Grant, which incentivizes medical students to work in underserved communities. Additionally, a $546 million investment will support 600,000 Ontario residents through new and expanded team-based primary care services, enhancing care quality and accessibility.
- Long-Term Care Expansion: Ontario is committed to building and upgrading 58,000 long-term care beds by 2028, improving safe and comfortable options for seniors and reducing wait times for care. Kanapathi noted that Ontario has invested $6.4 billion in long-term care since 2019, which has helped reduce lengthy wait times.
- Hospital Funding: For the 2024-25 fiscal year, Ontario hospitals will receive an additional $965 million, marking a 4% increase in base funding for the second consecutive year. Kanapathi highlighted that since 2018, total hospital investment has reached $8.8 billion, strengthening the province’s capacity to meet growing healthcare demands.
Combating Auto Theft with Enhanced Police Support
Auto theft has become a major issue in Ontario, especially in urban centers like the Greater Toronto Area and Ottawa. To address this problem, Ontario is boosting its support for police services to fight car theft and organized crime with several measures:
- Investment in Advanced Technology: The government has allocated $134 million to acquire five new police helicopters equipped with state-of-the-art technology. These helicopters will help police handle incidents such as carjackings, auto theft, street racing, and impaired driving, enhancing safety on Ontario’s roads.
- Successful Police Efforts: With provincial support, police services have made significant progress, recovering over 1,400 stolen vehicles, making over 200 arrests, and laying nearly 1,600 charges.
- Operation Auto Guard 2.0: The government’s $900,000 investment in York Region Police (YRP) supports Operation Auto Guard 2.0, a multifaceted initiative targeting auto theft. This program combines targeted enforcement, community engagement, and crime prevention strategies, resulting in a 30% reduction in auto theft in York Region in 2024. The first phase of Operation Auto Guard led to the recovery of 80 vehicles worth more than $5 million, with 56 individuals facing almost 300 charges.
Kanapathi added that Ontario is urging the federal government to strengthen Canada’s bail system to prevent repeat violent offenders from being released, which would help reduce community disruption and lower auto theft rates.
Fiscal Sources and Balance
To fund these initiatives, Ontario is leveraging higher-than-expected tax revenues and controlled spending. Kanapathi noted that the projected deficit for the 2024-25 fiscal year has been reduced to $6.6 billion, $3.2 billion less than anticipated, primarily due to increased tax revenue.
MPP Kanapathi concluded that these fiscal measures reflect the Ontario government’s commitment to addressing the immediate challenges of rising living costs while laying a foundation for sustainable development and social well-being. He emphasized that Ontario will continue to manage its finances responsibly, providing a secure, stable, and affordable environment for residents while ensuring the delivery of high-quality public services.（LJI by Rudy)
