Federal budget 2024: Toronto's mayor responds

Toronto Mayor Olivia Chow welcomed the federal government's housing-focused budget, but lamented the lack of money for TTC Line 2 subway cars.

“There's a lot here,” Chou said of the budget at a news conference Tuesday. “That means, for Torontonians, we can start building housing — and some percentage of it will be affordable.”

The budget tabled Tuesday includes $4 million over two years to Canada Lands to support new modular housing projects, including one in Downsview.

In addition, the government said it would unlock five federal properties as part of its Public Lands for Homes plan, which plans to build more than 800 new homes, including 100 in Toronto's Arbo neighborhood.

It follows the federal government's autumn economic statement released in November, in which Finance Minister Chrystia Freeland pledged $15 billion in loan funding to help build more than 30,000 new rental units across the country.

According to the 2023 Census, there were less than 10,000 new rental units built in 2023. Toronto had the third highest number of units built that year, behind Montreal and Vancouver.

“What's exciting is dealing with homelessness (and) encampments,” Chow said.

“Topping up the Housing Acceleration Fund, we received a part of it, about half a billion. Canada's new housing stock is about 13 million, so they're different programs that make it easier to own or rent a house (…) they're looking for construction skills, they're trying to train skilled workers because we need them, there's housing. An affordable fund with about 100 million inflows.

The budget also includes exploration of rebuilding national defense facilities in Toronto, Halifax and Victoria for military and civilian use.

Chou was also excited about the renewal of the refugee housing program. The budget includes $1.1 billion over three years to extend the housing assistance program for asylum seekers and $743.5 million over five years to strengthen the asylum system and streamline the appeals and removal processes.

What's missing from the budget is money for new TTC Line 2 subway cars. The transit agency said at least 55 new subway cars are needed to replace the line's aging fleet. The province has already pledged $750 million in matching funding from the federal government.

Chou said he will continue to negotiate with Ottawa to finance the subway cars.

“The Fed is probably looking at reallocating infrastructure funds because there's $20 billion for Ontario in 2024-25, so some of that could be reallocated. I do not know. “It will require some negotiations, maybe they are looking at other sources of funding,” he said.

Other federal funds for Toronto include $23 million for the Toronto International Film Festival over the next three years. An additional $11 million will go to Canadian Heritage to support the Sikh Art and Culture Foundation, the ROM will create a museum space dedicated to the foundation's art, culture and heritage.

A $10 million renovation of the Toronto Harbourfront Center will be allocated over two years, with work to begin in 2024-25.

Funding will continue to flow to the Canadian Security Intelligence Service (CSIS), with $114.7 million proposed to improve its intelligence and presence in Toronto.

Additionally, the budget includes proposed funding for a high-frequency VIA rail train with stops in the major urban centers of Quebec City, Trois-Rivieres, Montreal, Ottawa, Peterborough and Toronto.