TORONTO: The Ontario government is allocating an additional $695 million to provide financial relief for municipalities and help ensure they do not carry operating deficits into 2021.
This investment builds upon the first phase of the federal-provincial Safe Restart Agreement.
“This joint funding will help Ontario’s municipalities recover from the impacts of COVID-19 faster, by helping them to enter into 2021 without operating deficits from this year,” said Steve Clark, Minister of Municipal Affairs and Housing.
Of the $695 million announced, $299 million is being allocated across all 444 municipalities to help provide more financial relief, as 2021 operating budgets are finalized.
An additional $396 million is also being allocated to 48 municipalities that have been hardest hit by COVID-19.
The province is notionally allocating $1.3 billion for municipal transit systems. This is in addition to the $700 million allocation under Phase 1 of the Safe Restart Agreement, which included needs-based top-ups.