Facing some pushback, Toronto mayor's tariff plan heads to council

Lane Harrison · CBC News

· Posted: Mar 25, 2025 4:00 AM EDT | Last Updated: 11 minutes ago

City assembly is being asked to enactment the last stamp of support connected the mayor's tariff effect program this week, but immoderate councillors connected her enforcement committee person already raised concerns that it could outgo taxpayers and doesn't bash capable to assistance businesses.

Mayor Olivia Chow wants to restrict the city's procurement from American companies, with immoderate wiggle country if the metropolis needs it. Chow's program would besides let concern spot owners to person taxes deferred if they're deed hard by tariffs. 

The effect was announced past week by Chow, arsenic she stood nether a 12-metre gangly Canadian emblem that dangled betwixt 2 occurrence trucks, and was passed by her enforcement committee 2 days later.

But it did not marque it done that hoop without immoderate pushback, and Coun. Josh Matlow shared respective worries astir the plan. 

"I cognize that each person is being asked to combat against the United States close now. It's an emotionally charged issue," Matlow told reporters extracurricular the meeting. "But I person concerns astir however hastily this was done and truly however it was enactment guardant with however fluid the concern is."

According to a CBC analysis, astir 10 per cent of contracts the metropolis awarded successful the past 2 years, 10 per cent of contracts went to American companies. The metropolis spent astir $3.2 cardinal successful full connected suppliers successful that clip frame.

WATCH | Mayor Olivia Chow shares details connected city's effect to U.S. tariffs:

Josh Matlow acrophobic taxpayers could beryllium connected the hook

Matlow's main interest is that unit haven't had clip to analyse however the displacement successful procurement strategy could interaction costs for taxpayers. 

When questioning metropolis unit astatine the meeting, Matlow raised concerns astir a smaller excavation of bidders driving up prices oregon the imaginable of an American institution being the lone supplier capable to fulfill a declaration astatine a definite terms the city's looking for.

Stephen Conforti, the city's main fiscal officer, said the metropolis has carve outs successful the plan, meaning it tin proceed to woody with American suppliers if it's successful the city's champion interest. An objection the metropolis manager has said could beryllium utilized for contracts astir important services similar water. 

"That's vague," Matlow said successful effect to Conforti. "For america to ballot connected it, we don't truly cognize what that volition mean."

Matlow asked if the determination could pb to higher taxes adjacent year. 

"It truly would beryllium excessively aboriginal to tell," said Conforti. He added the metropolis whitethorn person to reprioritize things successful the budget, not needfully summation taxes. 

Overall, Matlow says helium has concerns astir the response's impact.

"In different words, I don't cognize if [our plan] volition automatically alteration Donald Trump's opinion," Matlow told reporters.

Some councillors want to spot much for businesses

Another plank of the mayor's tariff effect program is the taxation deferral program. It would make an application-based process for concern spot owners impacted by tariffs who request much clip to wage taxes. The programme would assistance them a six period deferral connected those taxes, astatine which constituent they'd beryllium owed to the city. 

Coun. Vincent Crisanti asked unit if they'll enactment with businesses to guarantee paying taxes astatine that constituent isn't a hindrance to their business. 

"Otherwise, I'm not definite what we're accomplishing with this deferral if they're going to person to wage it each astatine the extremity of six months regardless," helium said.

Crisanti added that a concern that faced six months of hard times volition apt inactive beryllium struggling erstwhile the taxation deadline hits. 

Conforti, the city's CFO, did not accidental if immoderate further enactment would beryllium offered successful the script Crisanti posited. He said it's "very much" a deferral programme "essentially to bargain [businesses'] time."

But Crisanti inactive had concerns. "I deliberation we request much than conscionable this to assistance companies beyond that six period point," helium said.

Criticism of that enactment has travel from extracurricular the enforcement committee, arsenic well.  At metropolis assembly successful February, Coun. Brad Bradford unsuccessfully asked for a 25 per cent taxation chopped for tiny and concern businesses to offset tariff impacts.

"While a six-month spot taxation deferral whitethorn assistance businesses with short-term currency flow, they volition inactive person to leap done bureaucratic hoops for adjacent this humble spot of relief," Bradford said successful a connection responding to the mayor's plan.