January Newsletter 2025

  • Community Update
Message from Stephanie
Happy new year!

January is when I reflect on the year that’s been – the good and the bad – and what I want to do in the year ahead.  

When I focus on the “good” of the past year, I think about what I am grateful for. I am so grateful for my family who loves and supports me; I feel so blessed to be Canadian; I am grateful to live in the wonderful community of Don Valley West, and so grateful for the opportunity to serve you as your MPP. 

But we cannot ignore the “bad” of 2024 either. It was a tough year. We are living in an age of uncertainty. Last year we watched in horror as geopolitical conflicts raged across the globe, the reverberations of which have been deeply felt in our hearts. And when I talk to people in our constituency office, at the doors, or on the phone, they share many of the same concerns: the high cost of living, the fear that they will never be able to afford a home in our community, the challenge of finding a family doctor, and more. 

These can seem like insurmountable problems, and yet amidst these challenges — I still have hope. I like what the Ontario Science Centre architect, Raymond Moriyama, said: “I replaced despair with ideas about what I could do as an architect to help my community and Canada.” His words resonate with me. My own optimism rests firmly on the idea that Canada – and Ontario – is a place where people work together to build a better life for everyone.

I look forward to working with you to build a better Ontario in 2025 and wish you and yours a healthy, happy year ahead. 

Public Inquiry Request for Metrolinx’s Eglinton Crosstown
Taxpayers are paying nearly $674,000 per METER for the Eglinton Crosstown LRT. So, how did we get here? Construction started in 2011 with a projected 2020 completion date. Now it’s 2025 and all we have to show for it are unfinished stations, empty tracks, and the continued congestion that this project was designed to alleviate.

The delayed construction continues to be a huge headache for residents. It is also hard on local, small businesses who rely on foot traffic and accessible parking to attract customers. To add insult to injury, it is costing you, the taxpayer, billions more than the projected cost. Originally, the capital cost of the project was $5.3 Billion. Estimates are that these costs have risen to $12.8 Billion, more than double the initial cost.

Why is it taking so long? Why is it costing taxpayers so much? The public STILL does not have an answer. But you deserve to know the truth. That is why I am joining my colleague the Hon. Rob Oliphant to ask the Premier to start a public inquiry into the Eglinton Crosstown LRT project. Taxpayers are paying for it and deserve to know what happened so we can avoid these mistakes on future projections like the Ontario Line.

Public trust in our institutions is essential, accountability is essential, and learning from mistakes is essential.  
Expanding Ontario’s Beverage Alcohol Marketplace Ahead of Plan Costs Taxpayers $1.4 billion 
The government’s reckless decision to expand Ontario’s alcoholic beverage marketplace in 2024 (rather than 2025 as initially planned), will cost taxpayers $1.4 billion. That was the estimate released with other findings recently published by the Financial Accountability Office of Ontario (FAO). When I first asked the FAO to assess the impact of expediting alcoholic beverage sales in grocery, convenience and big box stores one year ahead of schedule, the government noted that it would cost up to $225 million to prematurely end an agreement it had in place with Brewers Retail Inc. (The deal limited the number of retail outlets that could sell beer.)

The FAO revealed in its report, however, that the full cost of speeding up the planned expansion ($612 million) will be almost 3 times larger. The majority of the $1.4 billion net cost to the Province relates to a $1.3 billion decline in tax revenues that will result from a shift in alcohol sales away from The Beer Store or LCBO, which are subject to beer, wine, and spirits taxes. Part of the decline in tax revenues that the LCBO generates for the Province will be offset by the additional fees it will collect as wholesaler to grocery, convenience and big box stores. 
Talking to journalists after release of FAO report
Tariff Threat puts Fiscal Sustainability Back in Focus  
The government’s Fall Economic Statement showed budgetary revenues tracking $6.9 billion above previous projections. Nearly half of the windfall was used to pay for the $200 rebate cheques going out right about now to taxpayers. Additional funds were allocated to top up the province’s reserve for contingencies and to boost compensation for health care and public service employees. However, the new spending will be funded through increased borrowing as the government is projecting a budget deficit of $6.6 billion for FY 2024/25 (see Chart 1). That means the stage is set for net debt to reach a new high of $429 billion, or $26,607 per person in Ontario. In fact, the latest budgetary shortfall will be on top of the string of deficits that have added more than $105 billion to the province’s debt burden since this government was first elected in 2018. 

Although the government’s current baseline projections point to a balanced budget by FY 2026/27, the Fall Economic Statement also presented a slower growth scenario which could see annual deficits grow to $8.5 billion, on average, by then. However, this scenario does not include any assumptions about the potential impacts of U.S. tariffs on Canada, which could lead to even larger deficits, especially if U.S. tariffs are applied to all imports of Canadian goods. The tariffs would reduce demand for Canadian exports and cut business profitability so the province’s corporate tax collections would suffer. A larger hit to corporate earnings would be unavoidable if Canada retaliates with matching tariffs on goods imported from the U.S. Personal income and sales tax collections account for nearly two-thirds of total government revenues and this funding source would also be impaired as rising joblessness saps consumer spending. As pressures mount for Ottawa and Queen’s Park to support families and businesses, the province’s debt burden will begin to grow more rapidly than GDP, bringing the sustainability of the province’s debt burden back into focus.  
Source: Ontario Ministry of Finance 
Family Doctor Shortage in Don Valley West  
29,000 people in our community DO NOT have a family doctor. This matters because family medicine is the foundation of good health. It connects us to more complex care when we need it. The old adage is true: an ounce of prevention is worth a pound of cure.  

EVERY WEEK I get calls from constituents asking for help to find a family doctor. We do our best to connect them with one. But the fact of the matter is—the government of Ontario is failing us. I believe in our public health care system. I will continue to FIGHT FOR MORE doctors, nurses, and health care professionals FOR YOU.  

With 3,000 family doctors set to retire by the end of the decade, three million Ontarians will be at risk of losing their doctor. We need real solutions now. Can’t find a family doctor? Give my office a call and I will help connect you. 
ServiceOntario Update 
If you have visited the new ServiceOntario at Brentcliffe and Eglinton, you may have been surprised to be waiting in line to renew your driver’s licence in the office furniture section of an American-owned big box store. Worse yet, we just found out it is a BAD DEAL for taxpayers.  

I asked the Financial Accountability Office, an independent government watchdog, to investigate the cost of the deal to run ServiceOntario inside an American-owned big box store. Turns out it is MORE EXPENSIVE, $1.5 million higher than initial estimates and $800,000 more than the original ServiceOntario locations operated by small business owners. A good deal for this American company, but a bad deal for taxpayers.  

I will continue to call for investigations into government dealings that are putting insiders ahead of you, the taxpayer. 
Speaking at press conference after release of FAO report
New Year’s Levée 
We had a wonderful New Year’s Levée with the Hon. Rob Oliphant, MP, Don Valley West, at the Toronto Botanical Garden a few weeks ago.

Thank you to all who attended, and congratulations again to the recipients of our volunteer awards. They have each made tremendous contributions to our community in the areas of education, coaching, and mentoring.  

The Levée is a fun community event that is a great opportunity to celebrate our community. I was thankful for the opportunity to reconnect with old friends and make new ones.
2025 Calendars Featuring Local Artists
Our yearly tradition of showcasing local Don Valley West artists in the yearly Calendar continues! Twelve incredible local talents were generous enough to share their labours of love, one for each month of 2025. 

We were incredibly pleased to host many of these artists in our office to thank them for sharing the art with Don Valley West. 

Come by our office at Unit 101-795 Eglinton Avenue East to pick up your FREE copy of the 2025 Calendar.
Artists who contributed to this year’s calendar
Urgency Grows for a Long-Term Debt Management Plans
Ontario’s Auditor General (AG) noted in her annual report that the government has not yet adopted long-term targets for debt sustainability. The AG first made the recommendation in 2019, highlighting a rising trend in borrowing costs and the need to develop a fiscal policy anchor that looks beyond the government’s current three-year planning horizon for budgets. The government does have a short-term debt management plan which aims to keep net debt below 40% as a share of GDP and under 200% as a share of total revenues, but this framework has done little to unwind the substantial build-up of debt that occurred during the pandemic. Long-term debt sustainability targets would be a better guide for spending decisions as the government evaluates what actions to take when responding to economic shocks. What we do know is that baseline assumptions presented with the economic statement see net debt averaging 37.7% as a share of GDP and 201.4% as a share of revenues through FY 2026/27, so the government’s resolve to stay onside with its fiscal plan would be tested even in a scenario where a trade dispute with the U.S. results in only moderate economic stresses and the province avoids falling into recession. 

The AG report also reviewed the government’s redevelopment plan for Ontario Place, noting the total estimated costs (now $2.2 billion) have increased significantly (by $1.8 billion) since the government first issued its call for development in 2019 (see Table 1). More than a third of the increase ($700 million) is tied to the government’s controversial decision to relocate the Ontario Science Centre to the site. The AG also noted many instances where the government did not follow its own rules, concluding that the call for development and related realty decisions was not fair or transparent. 
Source: Ontario Place Redevelopment, 2024 Performance Audit, Office of the Auditor General of Ontario  
Ontario Loses Its Leadership Position in National Job Creation
Ontario workers suffered a setback in 2024 with employment growth slipping to 1.7% for the year, down from annual gains of 3.5%, on average, over the previous two years (see Chart 2). It was the slowest pace of job creation since 2016 and the number of people looking for work outpaced job gains, so Ontario’s unemployment rate jumped to 7% (highest since 2014, excluding the pandemic related surge recorded in 2020-21). By the end of 2024, one in four unemployed workers fell into long-term unemployment (up from one in five in 2023), meaning these individuals were jobless for more than six months. The youth unemployment rate also jumped significantly (to 18.2% by the end of 2024) leaving it close to record highs of 19.5% last seen (excluding the pandemic) during the 1980s and 1990s recessions.  

Full-time employment took a hit and accounted for a smaller share of total job creation by the end of 2024 (82.1% versus a high of 83% in 2023). The service sector continued to hire especially financial service providers, telecom and digital service firms, wholesalers and retailers. These and other service industry jobs grew by 3.8% in 2024. Goods producing industries on the other hand shed workers, with job losses of 17,300 in manufacturing reducing the sector’s share of total employment to a new low of 9.8%. Construction industry job losses in 2024 (14,000) were on top of 2023’s declines (24,000) which add up to the largest 2-year contraction since the early 1990s recession. 

Ontario was not the only province to experience slower employment growth in 2024. Hiring slowed in four other provinces (Alberta, Quebec, New Brunswick and Prince Edward Island). However, Ontario’s share of national job creation for the year (36.3%) was below the long-term (1976-2023) average of 41.7%.  
Source: Labour force characteristics, Table: 14-10-0327-01, Statistics Canada 
Craft Brewers Motion: Supporting Ontario’s Small Businesses 
The motion I tabled in the legislature on December 12th in support of Ontario’s craft brewing industry builds on other initiatives – such as my Private Members Bill 195, Cutting taxes on Small Businesses Act, 2024 – that I have undertaken to cut taxes to help address the challenges facing small businesses. With the craft brewers motion, I recommended reforms to modernize the regulatory framework governing beer retailing and distribution channels in Ontario, which currently favours internationally owned brewing companies and limits the scope for Ontario’s craft brewing industry to expand capacity. The motion also included a recommendation for the government to modernize Ontario’s complex beer tax system, which creates a competitive disadvantage for Ontario’s craft brewers versus other provinces, where tiered tax structures adjust for brewery size and result in significantly lower combined beer tax rates for the industry. 
Ontario Line Update from Metrolinx
Metrolinx construction on the Ontario Line continues in our community. Most recently, we have received notice that there will be critical infrastructure and utility works along Overlea Boulevard and Millwood Road. 

From Metrolinx, “At least one lane in each direction will remain open along Overlea Boulevard and Millwood Road at all times. Please refer to the Stage 3 traffic configuration map provided (see below). The sidewalk along the north side of Overlea Boulevard adjacent to the work zone will remain open, however individual construction activities on utilities under the sidewalk may require brief, temporary closures of certain stretches for safety. Clear pedestrian detour signage will be in place in these instances. Motorists and transit riders are advised to plan for additional time to reach their destination, as it may take longer than normal to travel through the area during construction.”

Where: Overlea Boulevard and Millwood Road 

When: Start Date, Mid-January 2025 

Expected Completion: By mid-March 2025 

Days of Work: Monday to Saturday 

Hours of Work: 7:00 a.m. to 7:00 p.m. 
Recent Community Events in Don Valley West
mily Doctor Shortage in Don Valley West