The Parry Sound and Area Municipal Airport has received a funding injection of $5 million from the Government of Ontario to expand its runway and increase the number of lots in its business park.

The provincial government made the announcement on February 4.

"By making these types of investments we are laying the foundation for our economic recovery from the COVID-19 pandemic," said Premier Doug Ford. "Individuals, families and businesses in Parry Sound have been struggling, and this airport expansion will help by attracting more investment, creating jobs and bolstering the local economy."

The runway extension will increase airport capacity and accommodate larger aircraft, enabling more passenger and cargo transportation. The additional airside lots in the neighbouring airport business park will attract new companies to the area and help local businesses to expand and create more jobs.

"This project will exponentially expand the economic development potential of the airport and the industrial park," said Norm Miller, MPP for Parry Sound-Muskoka. “Previous expansions have brought more jobs and have been an economic boon to the entire region."

The Parry Sound and Area Municipal Airport was registered in 1979 and the runway was last extended in 1985. It currently includes a 4,000-foot runway with a 290' by 320' apron and medium-intensity airfield lighting. A float plane base located on Robert's Lake connects to the airport via a private access road.

The airport enhancements and infrastructure upgrades will create easier access to essential services for more than 30 communities and First Nations in the area. The airport is also used as a refueling stop for air ambulances, Hydro One, OPP and search and rescue aircraft.

Since June 2018, the province has contributed nearly $5.5 million towards the airport's business park expansion project, which has helped attract new private sector investments to the community. Currently, 16 businesses are located at the airport’s business park. Combined, they employ approximately 85 people.

Funding for the airport project is being delivered through the Northern Ontario Heritage Fund Corporation (NOHFC). The corporation provides financial assistance to projects that stimulate recovery, growth, job creation and skills development across Northern Ontario.

Since June 2018, it has invested more than $262 million in 2,549 projects throughout Northern Ontario, leveraging more than $1.1 billion in investment and creating or sustaining 4,771 jobs.

"Through this targeted investment in the Township of Seguin, our government, alongside the Northern Ontario Heritage Fund, is helping build long-term economic resilience in Parry Sound and the surrounding region," said Greg Rickford, Minister of Energy, Northern Development and Mines. "This project will help retain and attract new business to the Parry Sound area as the community continues to deal with the COVID-19 pandemic."

The province says it will soon launch a new and improved NOHFC program that will support more projects in rural northern communities and make it easier for more people and businesses to apply. The program will target both existing and emerging markets, provide more work opportunities for Indigenous people and address the skilled labour shortage in the north.