Viewpoint: Queen E. BIA is a sucker’s bet

By Joice Guspie –

Business improvement areas or BIAs have existed in Toronto since the ‘70s. Back then, BIAs were chiefly concerned with beautifying their business streetscapes to attract shoppers.

Merchants determined which projects they wanted to undertake, they approved a budget for the projects and directed the city to collect the tax levied for the project from every business owner within the designated BIA’s area.

This tax was in addition to business tax and any property taxes.

When the municipal act was re-jigged a few years ago, commercial property owners became responsible for paying the levy and were able to pass this tax onto their business tenants.

I was flabbergasted when I heard of a BIA proposed for Queen St. E. from River west to Church or Victoria. A BIA could not even begin to solve this area’s problems.

You could spend millions on business recruitment but once prospective businesses saw Queen and Sherbourne, they would run for the hills!

I know a little about BIAs because I managed one [Old Cabbagetown BIA] for 12 years.

BIAs are a tax grab for the city. The city doesn’t want to pay for street improvements any more.

Lots of areas without BIAs have seen improvements at street level e.g., pedestrian-scale lighting and decorative sidewalk pavers.

I discovered this when the city asked the Cabbagetown BIA to pay for improvements that clearly had been bestowed upon other areas for no additional taxes.

The city realized that we were on to them and gave in once we refused to pay for stuff that other areas were getting where no BIA existed.

The city clearly discriminates against commercial property owners and their tenants who don’t want to pay additional taxes in the form of a BIA levy.

BIAs can and do work in areas where lots of street level retail is established or where there is a cohesive thread or “‘look” to the neighbourhood e.g., Bloor Yorkville BIA or Bloor Street West BIA, and the heritage surrounding the Old Cabbagetown BIA.

The type of linear BIA that is being suggested for Queen St. runs the gamut of men’s shelters, variety stores and medical buildings. Try to convince the struggling variety store owner that he should cough up a new tax so that one day (probably not in his lifetime) this part of Queen will attract shoppers.

It will take years to build up enough cash to pay for any project that could be undertaken. Years of taxing small business owners to pay for hanging flower pots and new sidewalks. And you have to pay for someone to co-ordinate the BIA—let’s say $25K to $30K to start. I’ll bet there’s someone in the wings who wants to make money off the backs of small struggling businesses.

BIAs provide a collective voice around issues that affect businesses, however, there is such a diverse group of business owners along this part of Queen that I can’t see lobbying for fewer social service agencies or methadone clinics when the membership will include those who are part of the problem.

The councilor for this area will sit as ex-officio members of the board. So the very people who have played a major role in making this ward the “silicon valley of social services” will also play a role in steering any decisions.

And, don’t forget, BIAs aren’t allowed to support a new candidate—nope—they must remain politically neutral as the “Dollarama” opens on Sherbourne instead of a food store.

I remain steadfastly opposed to a BIA along this strip.

I want the planners who routinely dump and warehouse the vulnerable in our ward fired and the politicians who allow it voted out. I want to see thoughtful and clever steps towards problem solving without more taxes for anyone.

I am very concerned that this BIA will be shoved down the throats of people who are already being taxed to death.

I can only hope that it is not too late to stop this one.

Remember—once this BIA is formed, you cannot opt out—you have to pay the taxes if they are levied.

You can’t withdraw from membership if you are within the BIA.