Ontario Boosts Municipal Funding with $100 Million Increase to OMPF
UXBRIDGE, ON — The Ontario government has announced a $100 million increase to the Ontario Municipal Partnership Fund (OMPF), its primary general assistance grant for municipalities, as part of a broader commitment to strengthen local communities. By 2026, the total OMPF funding envelope will grow to $600 million, providing crucial support to municipalities across the province.
Starting in 2025, the OMPF will see a $50 million boost, raising the total allocation to $550 million for that year. This funding will benefit 390 municipalities, with a focus on small, Northern, and rural communities that face unique financial challenges due to limited property tax bases.
“We have heard from small, Northern, and rural municipalities that they need more support to meet the financial challenges they face in delivering services to their communities,” said Finance Minister Peter Bethlenfalvy. “This significant increase to OMPF will help them provide critical municipal services, support economic growth, and strengthen Ontario’s communities sustainably and responsibly.”
The province has steadily increased its financial support for municipalities in recent years, with key funding transfers rising by over 45% between 2019 and 2023. In 2023 alone, Ontario municipalities received nearly $10 billion through provincial initiatives. These include the $654 million annual Homelessness Prevention Program, the $15 million Northern Ontario Resource Development Support (NORDS) program introduced in 2021, and a $1 billion investment in the Ontario Community Infrastructure Fund (OCIF) over five years, starting in 2022.
Through #OnFES2024, our government is continuing with our Plan to Build.
We’re investing an additional $100 million into the Ontario Municipal Partnership Fund to help local municipalities deliver critical services to you faster.
🔗 https://t.co/kcBw6xjliQ pic.twitter.com/bo7GfPBQu4
— Peter Bethlenfalvy (@PBethlenfalvy) November 22, 2024
Minister of Municipal Affairs and Housing Paul Calandra emphasized the government’s dedication to equitable development across Ontario. “We will not leave any part of the province behind as we work together with our municipal partners to create stronger communities,” he said. “By increasing our infrastructure investments for small, Northern, and rural municipalities, we are helping lay the groundwork for more homes for the hardworking people of Ontario.”
The province’s focus on rural development was echoed by Minister of Rural Affairs Lisa Thompson, who highlighted the establishment of a stand-alone ministry dedicated to rural issues. “We are listening and taking action as well as building supports that will enable small towns and rural communities to thrive and prosper,” said Thompson. “Increased funding through the OMPF will ensure small, rural, and Northern Ontario municipalities receive additional base funding needed to address local priorities.”
The OMPF increase was announced as part of Ontario’s recent Fall Economic Statement and reflects the province’s broader strategy to enhance housing, infrastructure, and services in all communities, particularly those facing the greatest challenges.
With these enhanced supports, Ontario aims to strengthen its partnerships with municipalities, ensuring residents across the province benefit from more robust and sustainable local services.