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'Fantastic news': Midland, Penetanguishene get nearly $300K in gas tax funds from province

MPP says province will 'continue to invest in local transit to drive economic growth, make travel more convenient and connect people to the things that matter most to them'
Midland Transit Announcement 2019 (3)
Jill Dunlop drives a local transit bus as former Midland mayor Stewart Strathearn looks on. Photo provided by the office of Jill Dunlop, MPP for Simcoe North

North Simcoe municipalities are getting almost $900,000 in funding from the province as part of its 2023-24 gas tax program.

The funding can be used to expand service hours, increase routes, purchase new vehicles and improve accessibility to increase transit ridership, notes a media release from Simcoe North MPP Jill Dunlop.

“This investment is fantastic news for transit riders in Simcoe North,” said Dunlop, noting the province will "continue to invest in local transit to drive economic growth, make travel more convenient and connect people to the things that matter most to them.”

In addition to the $596,647 for Orillia, Dunlop announced Midland is receiving $185,647 through the gas tax program, while Penetanguishene is receiving $93,413.

“No matter where you live, Ontarians deserve access to fast, reliable and affordable public transit,” said Prabmeet Sarkaria, Minister of Transportation. “Our government is helping municipalities improve their transit systems now and for decades to come.

According to the media release, the Ontario government is investing almost $380 million across the province to help 102 municipalities improve local transit through the program. This year’s program includes a one-time additional $3 million to ensure municipalities can continue to support and grow their transit systems.

Orillia Mayor Don McIsaac said the funding is "meaningful."

“Local public transportation is very important to the citizens of Orillia," the mayor noted in a media release.

 "Over the past year, we have introduced new initiatives, including a seniors’ pass and a free teen pass pilot program," said the mayor. 

"This investment from the Ontario Government will help ensure we can continue to maintain, build and grow our Orillia transit system in a way that makes a meaningful difference to our community,” said McIsaac.”

QUICK FACTS

  • Funding for the gas tax program is set by the number of litres of gasoline sold in the province during the previous fiscal year;
  • For every litre of provincial gas tax revenue collected in the previous fiscal year, two cents are allocated to the gas tax program;
  • Municipal gas tax funding allocations are calculated based on total transit ridership (70 per cent of funding) and population (30 per cent of funding), both of which fluctuate from year to year;
  • Funding allocations are capped at a maximum of 75 per cent of a municipality’s transit spending; and
  • Municipalities may use the funding for transit operating and/or capital expenditures.