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Province allocates gas tax revenues
to municipalities for public transit



The Government of Ontario is again allocating part of provincial gas tax revenues to municipalities across the province this year for public transit.

At a media event in Barrie Transit’s Downtown Terminal last Thursday, November 13, Stephen Del Duca, Ontario’s Minister of Transportation, committed nearly $2 million in funding to the City of Barrie and nearby Essa Township. Including this year’s funds, the province has committed to spending $3.1 billion in total gas-tax funding since 2004, the Minister said.

Ontario shares two cents per litre of provincial gas tax revenues with municipalities “to expand and improve public transit”. According to a Ministry of Transportation news release, “The Ontario government made the funding for its Gas Tax Program permanent in 2013 to help municipalities improve transit. In 2013, there was an increase of more than 204 million trips on municipal transit systems, compared to 2003 — equivalent to removing approximately 170-million car trips on roads.”

At the news event, Minister Del Duca confirmed what many public transit users already know: A single bus takes as many as 40 vehicles off the road and keeps 25 tonnes of greenhouse gas emissions out of the atmosphere each year.

Municipalities, large and small, throughout Ontario benefit from the fund, including regions, cities and towns in the Greater Toronto Area and elsewhere in the Greater Golden Horseshoe. The province pays out funds from gas tax revenues on a quarterly basis and determines the amount that municipalities receive by total transit ridership and population of each municipality. As Ontario’s largest municipality with Ontario’s (and Canada’s) largest transit system, the City of Toronto receives the biggest payout, this year totaling more than $160,000,000.

A portion of the final price you pay at the pump for gasoline and other fuels goes to various levels of government in the form of taxes. In Ontario, you pay both a federal and provincial tax on these products.

The federal government charges a flat rate of 10 cents per litre on gasoline and 4 cents per litre on diesel. The Ontario government also collects gasoline taxes — another 14.7 cents per litre for gasoline and 14.3 cents for diesel fuel.

The federal government also allocates a portion of its gas tax funds to municipalities to help them build and revitalize local public infrastructure, including transit.


Greater Toronto Area — 2014 Ontario gas tax allocation to municipalities

Regional municipalities

  • Durham - $8,004,611; and
  • York - $14,935,600.

Cities

  • Brampton — $9,619,595;
  • Burlington — $2,108,900;
  • Mississauga — $15,617,304; and
  • Toronto — $162,824,378.

Towns

  • Halton Hills — $279,195;
  • Milton — $817,371; and
  • Oakville — $2,368,119.
Elsewhere in the Greater Golden Horseshoe
— 2014 Ontario gas tax allocation to municipalities

Regional municipalities

  • Niagara — $742,642; and
  • Waterloo — $10,202,987.

County

  • Peterborough — $58,373.

Cities

  • Barrie (and Essa Township) — $1,992,809;
  • Brantford — $1,214,095;
  • Guelph — $2,754,405;
  • Hamilton — $10,313,004;
  • Kawartha Lakes — $590,645;
  • Niagara Falls — $1,211,037;
  • Orillia — $461,409;
  • Peterborough — $1,566,763;
  • Port Colborne — $121,734;
  • St. Catharines — $2,415,442;
  • Thorold — $227,437; and
  • Welland — $652,767.

Towns

  • Bradford - West Gwillimbury — $235,804;
  • Cobourg — $183,033;
  • Fort Erie — $262,644;
  • Niagara-on-the-Lake — $128,951;
  • Orangeville — $259,848; and
  • Port Hope — $151,207.