Relief coming for Ontario municipalities facing major OPP bill hike
Province proposes $77M for municipalities hit with double-digit OPP bill increases
Small and rural municipalities saddled with significant hikes to their law enforcement bills from Ontario Provincial Police (OPP) will see financial relief from the province, the Ministry of the Solicitor General said Friday.
The province has proposed over $77 million to help offset the higher costs, driven by wage increases in the four-year contract reached over the summer by the province and the Ontario Provincial Police Association.
Officers received raises of 4.75 per cent retroactive to 2023, 4.5 per cent for 2024, and 2.75 per cent for 2025 and 2026. The deal followed the repeal of Bill 124, which capped public-sector wages, including for OPP officers.
In a statement, the province said its proposal would include a 3.75 per cent bill reduction on 2023 total reconciled costs and a 44 per cent reduction on 2023 reconciled overtime costs.
The proposal also includes a 10 per cent bill reduction for policing costs invoiced for 2025.
The financial relief comes by way of proposed regulatory amendments that, if approved, would take effect in mid-December, said Rob Flack, Conservative MPP for Elgin-Middlesex-London, in a statement.
It added it would also continue the Court Security & Prisoner Transportation Transfer Payment Program, which helps municipalities offset court security and prisoner transportation costs.
Municipalities blindsided
OPP serves 330 municipalities that don't have their own police force.
Rural Ontario mayors who spoke with CBC News said they were blindsided by significant OPP bill increases in the double digits compared to the previous year as they entered budget season.
Some reported increases above 20 per cent, while others saw bills more than 30 per cent higher — bills they would then have to pass along to rate payers in the form of higher taxes or service cuts.
Ontario Solicitor General Michael Kerzner said in a statement the relief would "help municipal leaders balance their budgets and invest in their communities while ensuring no change to the policing" provided by the OPP.
Municipalities will receive a letter outlining what the announcement represents for them and will be sent an updated OPP bill, the province said.
Facing a 30 per cent increase of roughly $733,000, Andrew Sloan, mayor of Central Elgin, said the provincial relief was welcome news.
The community will receive $400,000, he said, halving the bill's anticipated impact on property taxes, from 4.1 per cent to 1.9.
"This gives us the opportunity to start the 2025 budget process, which we're undergoing, knowing that we have an increase, but a reasonable increase for our OPP friends," he said.
"I'll be looking to the government in seeing ... how we can work with them to make sure this doesn't happen in future."
Cathy Burghardt-Jesson, mayor of Lucan Biddulph, said she was glad to see that concerns municipalities raised with the ministry were heard. Lucan Biddulph's policing bill rose 20 per cent, accounting for half of its projected tax hike.
In neighbouring South Huron, Mayor George Finch said it faced a bill increase of $331,000, roughly 17 per cent more. He wasn't sure what relief the community would receive, but was glad to see it.
Municipalities have to pay their OPP bills, which aren't negotiable, or would lose eligibility for certain funding grants and provincial initiatives, he said.
"The reality is the OPP [was] downloaded to us by the province years ago. Maybe it's time the OPP was uploaded back to the responsibility of the province ... If we have no say, why is it not just at the provincial level?"
Goderich Mayor Todd Bazinet echoed concerns about provincial downloading, saying "budget time is a struggle," but that "any relief we can get is great."
"There's so much being downloaded now on us ... We all have aging infrastructure, and it's going to continue to age, and these are things that need to be replaced."
The Association of Municipalities of Ontario (AMO), which has called for a review of the municipal and provincial funding arrangements for public services, including policing, was pleased about the financial lifeline.
"Municipal fiscal sustainability is under pressure across Ontario, and municipalities struggle to balance their budgets," said AMO president Robin Jones in a statement.
"This proposition is an important recognition of this challenge and will help support quality of life for residents across the province."
The province said it would examine options to review the current OPP billing model, in which municipalities pay base costs for things like routine patrol and proactive policing, and reactive calls for service, which can vary in amount.
Community faced 107% bill increase
The Township of Pelee said it's policing bill was set to jump 107 per cent next year.
"Today's announcement is certainly welcome, but for our municipality, it remains unclear if there will be a specific solution to our specific challenge," said Cathy Miller, mayor of the Lake Erie island community.
She said the municipality believes the stunning increase is linked to reconciliation costs from 2023, "and that there was cost assigned in error."
Given its isolated location, the township presents a challenge for provincial agencies to understand and meet its needs, she said.
"I would have to think that when you're looking at an Excel document of 330 municipalities across the province, and what their increases are going to be, a 107 per cent increase should have stood out. It quite possibly shouldn't have even made it to me."
ABOUT THE AUTHOR
With files from The Canadian Press