CITY HALL
   CITY OF VANCOUVER

   OFFICE OF THE MAYOR
                                                  September 13, 1995


   MEMO TO:      Members of Council

   FROM:         Mayor Philip Owen

   RE:           "IMPLICATIONS  OF  IMPENDING SOCIAL  POLICY CHANGES
   FOR                LARGE URBAN CENTRES" PROJECT


   You will recall that on July 18,  1994, Social Planning submitted
   a report to  Council on Bill C76 Budget Implementation  Act.  The
   report stated that cuts to transfer payments  from the Federal to
   the  Provincial level could  amount to  $798.3 million.   How the
   Province  intends to respond  to these  cuts and where  they will
   implement them are  still unknown.  Negotiations are  still under
   way between the  Federal and Provincial Governments - without any
   input from the municipal level.  

   At  their April 1995  meeting, the  FCM's Big City  Mayors Caucus
   discussed the Federal Government  Social Policy Reform.  Concerns
   were  expressed  over  the  changes  to  the  system  of  federal
   transfers  to   the  provinces,   in  particular  a   merging  of
   Established  Programs Financing  (for  health and  post-secondary
   education) and the Canada  Assistance Plan (for social assistance
   and  social services).   The Big City  Mayors Caucus is concerned
   that  these changes  may  result in  the  reduction and  possible
   downloading of services onto local governments.  

   The  Big City  Mayors  Caucus endorsed  a self-financed  research
   project that will examine the potential impact of these financial
   changes  on  municipal  governments.    An  issue  paper  is  the
   anticipated product.   Each of  the 21  participating cities*  is
   being  asked to contribute  $4,500.00 to  the project.   To date,
   five cities  have confirmed  their participation.   They are  the
   Cities of Calgary,  Winnipeg, Edmonton, Mississauga and  Toronto.
   The FCM hopes to confirm all participation  by late September and
   start the research project in October.

   *Calgary, Edmonton, Etobicoke, Halifax, Hamilton,  Laval, London,
   Mississauga,   Montreal,  North  York,  Ottawa,  Quebec,  Regina,
   Saskatoon, Scarborough,  St. John's, Surrey,  Toronto, Vancouver,
   Windsor, Winnipeg

   Page 2



   In  the 1994-1995 year,  a total  of $2237.8 million  in transfer
   payments  from  the Federal  Government will  be received  by the
   Province.   The Province anticipates  that, by 1998,  this amount
   will  be  reduced  by  $798.3 million.    The  City  of Vancouver
   currently receives $1.87 million  in Canada Assistance Plan (CAP)
   transfer payments from the Province.  Vancouver has 43,000 people
   over 19 on Social Assistance, and  also sponsors a wide range  of
   social programs.  The proposed changes could significantly affect
   the  City's ability  to  continue supporting  some existing  City
   social programs,  as well as the  Provincial Government's ability
   to  maintain  the  present level  of  social  welfare and  social

   services.  Clearly,  there will  be far-reaching  effects on  the
   citizens of both the Province and the City.


   Therefore, I RECOMMEND:

        THAT Council approve $4,500.00  from the Contingency Reserve
        Fund  for Vancouver's  contribution  to the  FCM's Big  City
        Mayors  Caucus project  entitled "Implications  Of Impending
        Social Policy Changes For Large Urban Centres".








                                 Philip W. Owen
                                 MAYOR