Hamilton gets $45M in emergency COVID-19 money, including $17M for transit

The provincial and federal governments are giving Hamilton nearly $45 million to offset COVID-19 costs, including $17 million to help a transit system that's been bleeding money during the pandemic.

And the mayor hopes there's more to come.

Hamilton will receive $27,614,200 under the Municipal Funding Relief program, and $17,211,723 for transit, says Mayor Fred Eisenberger. That means $44,825,923 is coming to Hamilton during the first round of emergency relief money.

The money is necessary for Hamilton to dig its way out of a budget deficit that city officials say could climb as high as $122 million.

"This funding is essential as municipalities continue to deliver public services including transit, public health, child care, housing and social services during the COVID-19 emergency," Eisenberger said in a statement.

"Municipalities including Hamilton that have experienced greater financial impacts arising from the pandemic can apply for second phase funding."

The province announced the joint money on Wednesday, which will eventually total $4 billion in "urgently needed one-time assistance to Ontario's 444 municipalities," it said in a media release.

The first round is $1.6 billion under Ontario's Safe Restart Agreement, and includes $660 million for a combined 110 municipalities with transit systems. Another $695 million will help municipalities with pandemic-related operating pressures, and $212 million will "help vulnerable people find shelter."

"Since the beginning of the pandemic, we have had the backs of our municipalities," Premier Doug Ford said in the release.

Prime Minister Justin Trudeau said "municipalities are on the front lines of a safe restart to our economy."

Eisenberger and others have pressured the province several times for help. City finance staff predicted that Hamilton would be $61.6 million short if pandemic restrictions ended on June 30 — which they didn't — and recovery lasted until December.

If the lockdown of courts and other services ended in December, the city said, the shortfall would be $122 million. 

Hamilton is in Stage 3 of reopening right now, and court services are slowly resuming. Courts were paused in March, meaning less money through Provincial Offences Act charges. Other revenue generators, such as the city's recreation programs, remain closed. 

The city also lost months of transit revenue when it mandated that riders enter through the rear doors, which means they didn't pay fares. The long-term impact that COVID-19 may have had on HSR ridership remains unknown. 

Burlington will receive about $6 million in emergency funding including $4,470,700 for budgetary pressures and $1,571,213 for transit. 

The City of Brantford will receive $5,043,300 for emergency budget pressures and $1,299,181 for transit, for a total of $6,342,481. Brant County will receive $1,751,748.00, including $1,732,000 in emergency money and $19,748 for transit. 

Norfolk will receive $3,681,519, including $19,119 for transit, and Haldimand will receive $2,532,800.

In St. Catharines, the city will receive $7,473,509, while Niagara Falls will receive $4,263,658, Niagara-on-the-Lake $562,009, West Lincoln $329,800, Lincoln $580,500, Welland $2,157,380 and Grimsby $682,100. Niagara Region will receive $12,794,293.

Meanwhile, Ontario Finance Minister Rod Phillips says the province has nearly doubled its deficit projection to $38.5 billion in just three months.