Province announces $375M in Gas Tax funding
More than 100 Ontario municipalities will share in $375 million in funding allocated through the Gas Tax program.
Transportation Minister announced the funding allocation on January 14. The money, which is earmarked for operating and expanding public transit, is expected to flow “as soon as possible” in 2021, the province said.
"Our government is committed to helping municipalities sustain and improve public transit throughout the province," said Mulroney. "Supporting transit systems is more important than ever as municipalities across Ontario struggle during the COVID-19 pandemic. This funding will help ensure people have access to safe, reliable transportation to get to work or pick up essential items like a prescription."
Funding for the Gas Tax program is determined by the number of litres of gasoline sold in the province during the previous year. Municipalities supporting public transit services in their communities receive two cents per litre of provincial gas tax revenue collected. This funding can be used to extend service hours, buy transit vehicles, add routes, improve accessibility or upgrade infrastructure.
At $185 million, Toronto’s share of the funding is just short of half of the total allocation. Ottawa will receive the next largest share—about $38.5 million, while Mississauga ($18.9 million), York Region ($16.9 million) and Brampton ($15.5 million) round out the top five recipients.
The 109 municipalities receiving funding through the Gas Tax program deliver public transit service to 144 communities representing more than 92 percent of Ontario’s total population.
"Transit systems again thank this government for its unwavering support. From keeping existing service running safely and conveniently to building transit for tomorrow, Minister Mulroney has been an ally of transit systems and our riders. Ontario has placed immense value on public transit to help frontline workers get to and from work each day throughout the pandemic," said Kelly Paleczny, chair of Ontario Public Transit Association and general manager of the London Transit Commission. "This funding is crucial to communities across the province in the fight against COVID-19 and will play an important role in Ontario's economic recovery."
The complete list of funding by municipality is available on the province’s website.