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'There's going to be more': Municipal leaders say northern Ontario town won't be the last to run out of money
'There's going to be more': Municipal leaders say northern Ontario town won't be the last to run out of money

CBC

time3 days ago

  • Business
  • CBC

'There's going to be more': Municipal leaders say northern Ontario town won't be the last to run out of money

The northern Ontario Township of Fauquier-Strickland could shut down most municipal services by Aug. 1 due to a financial crisis. Now, the president of the Federation of Northern Ontario Municipalities (FONOM) says it could be the first of several small northern communities to face that reality. "I do think there's going to be more," said FONOM president Danny Whalen. "There are many municipal councils that look outside of their own powers to get money. It's easy to go to the province and say, 'We need more funding.'" On July 9, Fauquier-Strickland Mayor Madeleine Tremblay said the town of around 500 people has a $2.5-million operating deficit and would be forced to shut down all municipal services by Aug. 1, unless there was an intervention from the province or a property tax increase of 190 to 230 per cent. Whalen said the news release Tremblay issued to update residents about the municipality's financial crisis didn't mention any possible solutions. "There's no talk of shared services. There's no talk of forming boards to better run municipal facilities," he said. "It's all about give me a cheque, give me a cheque, give me a cheque." Whalen, who is also a city councillor in Temiskaming Shores, said amalgamation is something Fauquier-Strickland should consider to help address its financial problems. "Temiskaming Shores is a self-inflicted amalgamation," he said. "That's the best thing we've ever done. Yes, it did increase costs, but the service level has just astronomically increased. So there are huge benefits." Sounding the alarm Chris Rickett, a municipal and economic development consultant and former councillor in Stratford, Ont., said many small municipalities across the province are struggling financially. "I think municipalities have been sounding the alarm for years about the challenges they have from a fiscal perspective," he said. Rickett said there are several reasons many small municipalities are in the red. In the 1990s, the provincial government downloaded responsibilities for services such as social housing and public health to municipalities, which added to costs. Rickett said municipalities with small tax bases, such as Fauquier-Strickland, also have trouble keeping up with rising costs. "Sometimes property taxes are too low," he said. Fauquier resident Alan Gosnay told CBC News his annual property taxes increased from $2,300 when he purchased his home in December 2024 to $5,600. But Rickett said $2,300 a year in property taxes was probably too low for the town to maintain basic services such as garbage collection, road maintenance and a water treatment plant. "You have many municipal councils across the province that are hesitant to raise property taxes even when the math doesn't work," he said. At a special city council meeting on July 14, Tremblay confirmed she would be meeting with representatives from Ontario's Ministry of Municipal Affairs and Housing ahead of the Aug. 1 deadline. Rickett said those discussions with the province are an opportunity to look at different governance models that could help Fauquier be more fiscally responsible. "Sometimes municipalities can work together on service boards and share those costs," he said. "An easy solution would be just for the province to write them a cheque, which might have to happen in the short term. But we need to actually really rethink how we're approaching our municipalities from a governance perspective and ultimately how we fund those municipalities." Sally Hagman, the mayor of Blind River, said her town of 3,400 underwent a service delivery review eight years ago that found 53 areas for improvement. "Some of them [were] really minor and some of them were major," she said. "But we have done very well in our report card in terms of that review." Hagman said Blind River shares some services with nearby communities, including Mississauga First Nation, Huron Shores and Elliot Lake to save on some costs. She also credited municipal staff for doing a good job at attracting federal and provincial investment through grant applications.

Northern Ontario leaders push for safer 2+1 highways
Northern Ontario leaders push for safer 2+1 highways

CTV News

time23-07-2025

  • Automotive
  • CTV News

Northern Ontario leaders push for safer 2+1 highways

Loading the player instance is taking more time than usual Loading the player instance is taking more time than usual The Federation of Northern Ontario Municipalities (FONOM) is calling on federal and provincial governments to invest in critical upgrades to Highways 11 and 17, aiming to improve both trade efficiency and road safety in the region. FONOM has outlined a two-phase expansion plan to convert stretches of the highways into a '2+1' model – a design featuring two lanes in one direction and one in the other, separated by a crash-rated median barrier. The configuration alternates every 2 to 5 kilometres, allowing safe passing opportunities for drivers in both directions. Government of Ontario - press release An Ontario Ministry of Transportation illustration of the proposed 2+1 divided highway model to be piloted on Highway 11. (Ministry of Transportation/Facebook) Phase 1 expansion targets key corridors The first phase of proposed upgrades includes: Highway 11 : North Bay to Cochrane : North Bay to Cochrane Highway 17: Renfrew to Sudbury Phase 2 expands to northwestern Ontario The second phase would extend improvements to: Highway 11 : Cochrane to Nipigon : Cochrane to Nipigon Highways 11/17 : Thunder Bay to Kenora : Thunder Bay to Kenora Highway 17: Sault Ste. Marie to Sudbury FONOM President Danny Whalen emphasized the national economic importance of these roadways as trade routes and transportation corridors. 'We have shared that document with the Premier, with the Prime Minister, including a letter that I've signed, and we've also sent it to all the Premiers across Canada, because the economy that's running on Highway 11 and 17 isn't local, it's not provincial – it's the federal economy,' he said. Danny Whalen An undated promotion photo of Danny Whalen, president of the Federation of Northern Ontario Municipalities. (File photo/FONOM) European model promotes safety, efficiency Mark Wilson, a Temiskaming Shores councillor and member of the Going the Extra Mile for Safety committee, highlighted the success of 2+1 highways in Europe. 'We have been advocating for the use of 2+1 roads in northern Ontario since about 2015,' he said. 'I travelled to Sweden, Ireland, and the Baltic States, and they use two-plus-one roads very successfully. They're very safe. They eliminate head-on crashes.' A pilot project for a 2+1 highway in the North Bay area is set to begin next year. FONOM argues that expanding this model would enhance cross-country trade and support major infrastructure projects. Local MP backs proposal as 'nation-building' initiative Nipissing-Timiskaming MP Pauline Rochefort endorsed FONOM's plan, linking it to broader economic and industrial goals. 'I think the FONOM proposal is very timely, especially as we're talking about increasing our domestic use of steel… also our nation-building projects, whether they be the Ring of Fire or large hydroelectric projects,' she said. 'This is what FONOM is recognizing – that the Trans-Canada Highway is critical and transport is critical to our trade.' Federal response non-committal CTV News reached out to federal and provincial transportation ministries for comment but received no immediate response. However, Pierre Cugen of Canada's Privy Council Office provided a statement via email, outlining the criteria for national-interest infrastructure projects under the Building Canada Act. The legislation considers whether a project: Strengthens Canada's autonomy, resilience and security; provides economic or other benefits; has a high likelihood of successful execution; advances Indigenous interests; and contributes to clean growth and climate goals. Cugen noted that project selection involves consultation with provinces, territories and Indigenous groups, adding, 'It would not be appropriate for the Government of Canada to comment on individual projects at this time.' Safety concerns drive local urgency Whalen stressed that northern Ontario's highways are among the deadliest in the province, and upgrades are long overdue. 'The right time to upgrade them was a long time ago,' he said. 'Regardless of the economy, saving lives is an important reason for 2+1 highways.' Highway 11 closed Ontario Provincial Police closed Highway 11 from Portage Bay Road to Highway 11B for an investigation. (File photo/CTV News Northern Ontario) FONOM's proposal now awaits government action as advocates continue to push for a safer, more efficient transportation network for northern Ontario.

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