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The Federation of Northern Ontario Municipalities (FONOM) acknowledges the recent Canada–Ontario partnership to support housing development and infrastructure investment, including funding tied to the reduction of municipal development charges.
FONOM supports efforts to increase housing supply and improve affordability across Ontario. However, the organization is raising concerns that the current program design may unintentionally place many Northern municipalities at a disadvantage.
While the program provides funding to municipalities that reduce and maintain low development charges, many Northern communities do not levy development charges and therefore may not be positioned to benefit from this program in the same way.
“We appreciate the commitment from both levels of government to address housing affordability,” said Dave Plourde, President of FONOM. “However, many Northern municipalities simply do not have development charges to reduce, and at the same time face some of the highest costs in the province to build homes and infrastructure.”
FONOM noted that municipalities across Northern Ontario often experience significantly higher per-kilometre costs for essential infrastructure such as water, wastewater, and roads, while also working with smaller tax bases and greater geographic challenges.
“Growth still requires infrastructure—whether or not a municipality charges development fees,” added
Plourde. “Without access to comparable funding tools, Northern communities risk being left behind in their ability to support new housing and attract investment.”
FONOM is calling on both the Province of Ontario and the federal government to ensure that housing and
infrastructure programs are applied equitably across all regions. “We are asking for fairness in how these programs are delivered,” said Plourde. “Municipalities that do not levy development charges should not be excluded from accessing housing-enabling infrastructure funding.
There must be complementary funding mechanisms to ensure all communities can participate in building the housing our province needs.”
FONOM emphasized that Northern Ontario communities are ready to grow and play a key role in addressing Ontario’s housing challenges.
“Northern communities are part of the solution,” said Plourde. “With the right tools and equitable support, we can continue to build homes, attract residents, and contribute to Ontario’s long-term growth.”
Looking Ahead
FONOM remains committed to working collaboratively with all levels of government to support economic
development, improve infrastructure, and strengthen Northern communities.
“Today’s budget includes several positive steps for Northern Ontario,” said Plourde. “We look forward to
continuing to work with the Province and federal partners to build on this momentum and ensure our
communities have the tools they need to grow and succeed.”
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