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Canada's 2023 Budget, A Made in Canada Plan

Policy Update March 30, 2023

Through its ongoing advocacy, AMO wanted to see progress in two key areas for the 2023 Budget:

Homelessness: As the only province in Canada where housing and homelessness is a shared municipal-provincial funding responsibility, AMO provided key recommendations for federal investment:

  • increase Ontario’s allotment under the National Housing Strategy and subsidy of the Canada-Ontario Housing Benefit;
  • scale up key federal programs, including the Rapid Housing Initiative and Reaching Home; and
  • accelerate the development and implementation of an Indigenous-led housing strategy.

Infrastructure: To support growth, adapt to climate change and ensure municipalities’ ability to effectively manage existing assets by providing stable, predictable funding, AMO called on the federal government to:

  • expeditiously renew the next Canada Community Building Fund agreement; and
  • renew investments under the Investing in Canada Infrastructure Program.
  • yesterday, Canada’s Minister of Finance introduced the 2023 Budget, A Made in Canada Plan for a strong middle class, affordable economy and healthy future.

Homelessness

  • AMO commends the Federal Government commitment of an additional $4 billion, over seven years, starting in 2024-25, to implement a co-developed Urban, Rural, and Northern Indigenous Housing Strategy. 
  • While the Budget did not include new commitments to address homelessness, essential programs are being maintained. AMO will continue to highlight the need to expand the Rapid Housing Initiative and the Reaching Home program as important ways to address homelessness. AMO will be interested in future discussions with the Province of Ontario considering this announcement from the Federal Government. 

Housing

  • The federal government followed through on commitments for the $4 billion Housing Accelerator Fund to 2026-27. It will provide incentive funding for municipal governments to fast track the creation of 100,000 new homes across Canada. 

Infrastructure

  • In 2022, the Government of Canada committed to accelerate the investments through the ten-year Investing in Canada Infrastructure Plan (ICIP) that begun in 2018. The 2023 Budget notes that by March 31, 2023 almost all remaining funds in ICIP will be committed. With ICIP fully committed in 2023, pressures for growth and adaptation to climate change, and Bill 23’s limiting municipalities’ use of development charges, we will continue to discuss with federal and provincial partners the need for a next generation municipal infrastructure program to support communities going forward. 

Other Notable Investments

  • $144 million over five years, starting in 2023-24, to Health Canada for the Substance Use and Addictions Program to fund community-based supports, including safer supply, supervised consumption sites, and other evidence-based health interventions.
  • Lays out the next steps in the government's plan to build Canada's clean economy by proposing significant investments to accelerate the supply and transmission of clean electricity.
  • $13 billion over five years and $4.4 billion ongoing to implement the Canadian Dental Care Plan to provide dental coverage for uninsured Canadians with annual family incomes of less than $90,000.
  • An additional commitment of $195.8 billion over ten years in health transfers to provinces and territories, including top-ups of at least 5% per year over the next 5 years.
     

Contact:

Michael Jacek
Senior Advisor

Contact:

Bridget Cherry
Senior Advisor