Ontario provides $375 million in Gas Tax funding to municipalities

TORONTO — Through the Gas Tax program, the Ontario government is providing $375 million to help 109 municipalities across the province operate and expand public transit.

Funding for the program is determined by the number of litres of gasoline sold in the province during the previous year, states a release.

Municipalities supporting public transit services in their community receive two cents per litre of provincial gas tax revenue collected which can be used to extend service hours, buy transit vehicles, add routes, improve accessibility or upgrade infrastructure.

The province says it will flow the funds to municipalities as soon as possible.

“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, in a statement. “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.”