Relief is on the way for some Ontario municipalities struggling with rising budgets and tax levies after the Ontario government announced a funding program to offset increased Ontario Provincial Police bills.
The Ontario government proposed over $77 million in financial relief to help municipalities offset increased costs of Ontario Provincial Police (OPP) services on Friday, Nov. 29, following the July 2024 collective bargaining agreement with the Ontario Provincial Police Association.
This initiative looks to assist small and rural communities in managing budgetary pressures due to OPP salary increases.
« The financial relief we are proposing will help municipal leaders balance their budgets and invest in their communities while ensuring no change to the policing provided by the OPP that keeps families and businesses safe, » said Solicitor General Michael Kerzner, emphasizing his government’s commitment to public safety and fiscal balance.
The proposed relief measures include a 3.75 per cent reduction on 2023 total reconciled costs, a 44 per cent reduction on 2023 reconciled overtime costs, and a 10 per cent reduction on amounts invoiced for 2025 policing costs. Additionally, the province will continue its annual $125 million Court Security and Prisoner Transportation Transfer Payment Program for 2025 and plans to review the OPP billing model to better serve communities.
« Without the provincial action, the rise in OPP costs would have significantly impacted small, rural, and northern communities serviced by the OPP,” stated the Association of Municipalities of Ontario (AMO) President Robin Jones.
Municipalities like Hawkesbury, Champlain Township, and East Hawkesbury are expected to benefit from this relief. East Hawkesbury approved a 2024 budget with a five per cent tax levy increase, resulting in an additional $51.54 for the average homeowner.
Hawkesbury’s preliminary 2024 budget draft proposed a 6.5 per cent tax increase, equating to an extra $125.84 for the average homeowner.
The OPP provides municipal policing services to 330 municipalities across Ontario. The recent collective agreement includes general salary increases for 2023 through 2026, prompting the province’s financial relief proposal to support affected municipalities.
