Ontario Budget 2008: Backgrounder: Infrastructure
March 25, 2008
STRENGTHENING ONTARIO’S ECONOMY BY INVESTING IN INFRASTRUCTURE
The McGuinty government’s investments in Ontario’s infrastructure will build stronger communities, improve the quality of life and attract new business investment. Our infrastructure initiatives will create jobs and a more productive, competitive and green economy.
This Budget includes $1 billion in new funding for municipal infrastructure in 2007-08.
MUNICIPAL ROADS AND BRIDGES
Municipal roads and bridges are the backbone of Ontario’s transportation network as they connect communities and provide access to economic opportunities. In 2007-08, the McGuinty government is investing:
- $400 million for municipal roads and bridges to help communities outside Toronto
- $150 million in the Municipal Infrastructure Investment Initiative, building on the $300 million included in 2007 for municipalities’ priority infrastructure projects, including roads and bridges
- $16 million to fund 35 projects that help municipalities invest in local roadways designated as Connecting Links.
PUBLIC TRANSIT AND REGIONAL TRANSPORTATION
Expanded public transit will reduce traffic congestion and improve air quality. Investments include:
- $497 million for public transit in the Greater Toronto Area and Hamilton
- $314 million in 2008 to municipalities in gas tax revenues for public transit
- $382 million in 2008-09 to improve GO Transit infrastructure including Union Station, as well as replace and renew GO Transit’s equipment
- $166 million over the next five years to expand GO Transit’s Bus Rapid Transit system.
WINDSOR BORDER
International trade is integral to Ontario’s and Canada’s economic prosperity. The McGuinty government is committed to ensuring efficient and uninterrupted trade with the United States through Ontario’s borders, gateways and trade corridors.
- The province is working with federal and U.S. partners on a strategy to develop a new border crossing and associated infrastructure at the crucial Windsor-Detroit Gateway
- Ontario will fully fund its share of the costs of the final proposed road link between Highway 401 and the new border crossing. Sufficient funds to cover the costs of the project are built into the government’s 10-year infrastructure plan.
HIGHWAYS
The government is improving highways and bridges:
- $448 million in new funding over the next five years to accelerate projects to rehabilitate bridges that are part of the provincial highway network
- Making progress on commitments included in the ReNew Ontario plan, with overall investments of $927 million in 2008-09 in the Southern Ontario Highways Program and $557 million in the Northern Ontario Highways Program.
AFFORDABLE HOUSING
In this Budget, the McGuinty government is investing $100 million to rehabilitate existing social housing units, including improving their energy efficiency.
Key public-sector social housing providers would also be eligible for up to $500 million in low-cost loans through OSIFA.
INVESTMENTS IN PUBLIC SCHOOLS
The government is strengthening schools and communities by investing $750 million, beginning in the 2008-09 school year, to build new schools and repair school facilities.
PROTECTING AND IMPROVING ONTARIO’S NATURAL ENVIRONMENT
Other key initiatives in the government’s fight against climate change include:
- $17.5 billion MoveOntario 2020 rapid-transit action plan to expand public transit, which will reduce traffic congestion and improve air quality
- $25 million towards a centre for research and innovation in the bio-economy, to be located in Thunder Bay.
ACHIEVEMENTS
The government’s actions to support municipalities include:
- $870 million to municipalities through the Ontario Municipal Partnership Fund in 2008, a $252 million or 41 per cent increase over 2004
- Phasing out GTA pooling over seven years, starting in 2007
- Saving municipalities more than $900 million per year by 2011 through the uploading of Ontario Drug Benefit and Ontario Disability Support Program costs
- Cutting high Business Education Tax rates
- Providing more than $1.6 billion by 2010 in gas tax funding
- Increasing the provincial share of public health funding to 75 per cent in 2007 from 50 per cent in 2004
- Providing over $300 million in incremental land ambulance funding since 2006
- Committed to funding more than 100 hospital projects to expand and upgrade facilities across the province.
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Steve Erwin, Minister’s Office, 416 325-3645 |
ontario.ca/finance-news |


