Provincial gas tax funding will help support and improve local public transit initiatives
| NEWS | April 27, 2026 |
NEWMARKET — As part of its plan to protect Ontario, the province is investing $17,776,683 to support public transit service in the Regional Municipality of York. This funding through the 2025-26 Gas Tax program can be used for local public transit initiatives such as expanding service hours, increasing routes, purchasing new vehicles and improving accessibility to increase transit ridership.
“Residents across York Region deserve transit that is reliable, efficient, and safe,” said Dawn Gallagher Murphy, MPP for Newmarket—Aurora. “Today’s funding is a major win for York Region transit users. Our government is delivering the strong, connected transit system families count on—by continuing to make historic investments that protect Ontario’s future.”
The province is investing nearly $380 million through the 2025-26 Gas Tax program to support public transit in 107 municipalities, helping protect Ontario communities by strengthening transit services across the province. In addition to the Gas Tax program, Ontario also supports municipal transportation projects through the Connecting Links, and Ontario Transit Investment Fund programs.
“Under the leadership of Premier Ford, our government is investing nearly $70 billion in public transit to protect Ontario by building a stronger, more resilient, self-reliant economy,” said Prabmeet Sarkaria, Ontario’s Minister of Transportation. “Today, we’re ensuring municipalities can continue to deliver safe and reliable transit services for their communities.”
Quick Facts
- Under the Dedicated Funding for Public Transportation Act, 2013, two cents per litre of gasoline tax is dedicated as a permanent funding source for public transit.
- Gas Tax funding can be used towards transit operating and capital costs at the municipalities’ own discretion.
- The Gas Tax funding envelope is determined annually, based on the amount of gasoline sold in the previous year.
- Gas Tax funding is determined through public transit ridership and population growth. The province’s approach provides stable support to all municipalities, including small communities, and helps expand public transit service hours and routes, new vehicles and better transit accessibility.
- Ontario is investing nearly $70 billion in the largest transit expansion in North America, including the largest subway expansion in Canadian history: the Ontario Line subway, the Yonge North Subway Extension, the Scarborough Subway Extension and the Eglinton Crosstown West Extension.
Quotes
“On behalf of York Regional Council and The Regional Municipality of York, I extend my appreciation to the Ontario government’s continued investment in public transit to help build strong, connected communities. This funding is essential to York Region Transit’s day-to-day operations, keeping buses on the road, routes running and services accessible for residents. With the Region’s growth projected to exceed two million residents by 2051, York Region has an exciting opportunity and a shared responsibility to invest in reliable, accessible and sustainable public transit people depend on every day. We are grateful for the province’s continued partnership in strengthening our transit service.”
- Eric Jolliffe, Chairman and CEO, The Regional Municipality of York
“Making investments in public transit is essential to better connect people to the services they rely on every day. That is why our government is investing over $17 million as a practical step towards making it more accessible for individuals to get where they need to go with ease.”
- Michael Parsa, MPP for Aurora—Oak Ridges—Richmond Hill
“Reliable and accessible public transit is essential to supporting the daily lives of residents and the continued growth of York Region. This investment through the Gas Tax program will help municipalities improve service, expand routes, and enhance accessibility for transit users across our communities. I am pleased to see the province continuing to partner with municipalities to strengthen local transit and ensure residents have the transportation options they need to get to work, school, and essential services.”
- Billy Pang, MPP for Markham—Unionville
“Our government remains committed to ensuring our municipalities have the resources they need to provide dependable and accessible transit systems that meet the needs of our communities. This investment is about keeping people moving, reducing delays, and making sure families, workers, and students here in York Region and across Ontario can count on public transit to get them where they need to be.”
- Laura Smith, MPP for Thornhill
“Our government is investing in new highways, a second subway stop in Vaughan, and major improvements at the King City, Maple and Rutherford GO Stations to put an end to standstill gridlock. This investment in York Region is mobilizing all-hands-on-deck to get King—Vaughan and the entire GTHA moving by undertaking the largest public transit expansion in North America. Earlier this month, I announced the completion of major upgrades at Maple GO—marking an important milestone as we prepare to deliver two-way, all-day GO train service along the Barrie Line every 15 minutes.”
- Stephen Lecce, MPP for King—Vaughan