Mayors from Canada's 10 largest cities stated three ways the federal and provincial governments can help them out financially as they wrapped up a two-day summit in Toronto on Friday.

CTV.ca News Staff

Mayors from Canada's 10 largest cities stated three ways the federal and provincial governments can help them out financially as they wrapped up a two-day summit in Toronto on Friday.

They want a share of the federal gas tax, a full rebate of GST for municipal institutions, and a share of either federal and provincial sales taxes or income taxes.

"If we don't do this, the federal and provincial governments won't be earning the kind of revenues they need to sustain their budgets," said Toronto Mayor David Miller.

Earlier, speaking from the World Economic Forum in Davos, Switzerland, Prime Minister Paul Martin said he was committed to helping out municipalities.

Martin said his goal is to find "long-term, sustainable, predictable funding" for cities and towns, adding he is prepared to discuss how to get to that funding.

"I will be very open to the suggestions from the cities as to how in fact that's arrived at," he said.

Toronto Mayor David Miller hosted the meeting, which brought together the mayors from Edmonton, Regina, Winnipeg, Ottawa, Montreal and Halifax, and councillors from Vancouver and Quebec City.

The mayors hope the three changes, once implemented, will supply their cities with $2 billion to be put towards infrastructure projects such as transit, affordable housing, and day care.

"It's fairly basic economics," said Miller. "You have to invest in the things that create wealth and in Canada what creates wealth is the economies of cities."

Edmonton mayor Bill Smith urged Ottawa to seize the opportunity to put Canada's cities back on track.

"This is an opportunity that will never come again in 20 years," Smith said. "I believe the Prime Minister has bought into our situation."

Martin reiterated Friday that he remains committed to the proposal of giving cities a portion of the gas tax. However, he noted that some municipalities have said they want to go a different way.

"I will be very open to the suggestions from the cities as to how in fact that's (sustainable municipal funding) arrived at," he said. "The suggestions I put forth is the gas tax, if they want to look at something else, then I will look at something else."

John Godfrey, the prime minister's point man on the deal with the cities, said it was unlikely the gas tax revenue would start with the federal budget expected later this winter. He did hint, however, some other assistance might be possible.

In an interview published Friday in the Toronto Star, Godfrey assured the cities that Ottawa was committed to financing the municipalities.

"My job is to make sure that the message is clear and unambiguous in the Speech from the Throne and the budget."

The Throne Speech will be delivered Feb. 2. No date has been set yet for the federal budget.