The OMPF, which replaced the Community Reinvestment Fund (CRF) in 2005, is the province's main transfer payment to municipalities. The OMPF assists municipalities with their social program costs, includes equalization measures, addresses challenges faced by northern and rural communities, and responds to policing costs in rural communities.
Since 2009, municipal benefits have been calculated as a combination of both OMPF grants and the municipal share of social assistance benefit programs uploaded by the province.
In 2011, the government will provide over $1.5 billion in support to 405 municipalities through the combined benefit of both the OMPF and the provincial uploads. The OMPF will total $577 million in 2011. Combined with the $947 million in provincial uploads, this represents a 28 per cent increase over the support provided in 2010 and more than double the funding provided in 2004.
|CRF/OMPF||$618 million||$625 million||$577 million|
|Uploaded Social Assistance Benefit Program Costs||$570 million||$947 million|
|Total Combined Benefit||$618 million||$1.2 billion||$1.5 billion|
|Year-over-Year Increase||–||$246 million
|Increase Since 2004||–||$577 million
The increase in the 2011 combined benefit reflects the continuation of the phased upload of Ontario Works (OW) benefit costs as well as the completion of the upload of Ontario Disability Support Program (ODSP) benefits. This builds on the province's previous uploads of Ontario Drug Benifits (ODB) in 2008 and the administration component of ODSP in 2009.
|Program||2011 Upload Benefit|
|ODSP Administration||$85 million|
|ODSP Benefits||$652 million|
|OW Benefits (6% uploaded in 2011)||$29 million|
|Total 2011 Upload Benefit||$947 million|
When all of the uploads are completed in 2018, municipalities will see a net benefit of $1.5 billion annually as a result of the government's decision to upload the municipal share of social assistance benefit program costs and up to $125 million annually in court security costs.
Together with other provincial initiatives, the province will increase ongoing annual support to municipalities to over $3.8 billion by 2018, an increase of more than 250 per cent compared to 2003.
The OMPF continues to remain responsive to changing municipal circumstances such as updates in assessment, households or policing costs. Consistent with this key principle, the 2011 OMPF social programs grants have been adjusted to reflect the reduction in municipal costs from the uploads of the ODB, ODSP, and the phased upload of OW benefits that resulted from the Provincial-Municipal Fiscal and Service Delivery Review (PMFSDR).
For further information on the PMFSDR report, see:
For 2011 transitional assistance will be reduced to $20 million. This reduction reflects the increased number of municipalities receiving funding at, or close to, actual OMPF entitlements.
This assistance will ensure that municipalities receive a guaranteed level of support based on the 2010 combined benefit of both OMPF grants and the municipal share of social assistance benefit programs uploaded by the province.
While the OMPF transitional assistance guarantee for 2011 again remains at the higher level for northern municipalities, other regions of the province will also benefit from an enhancement to their guarantee.