The Ontario government is investing nearly $16 million through the Ontario Transit Investment Fund (OTIF) to help small and remote communities build safe and reliable transit services. This investment will support five projects benefiting 30 communities, protecting Ontario's economy and connecting more people to jobs and opportunities across the province.
"Our government is investing in safe and reliable transit that keeps people moving, strengthens communities and supports a stronger, more resilient and self-reliant economy," said Prabmeet Sarkaria, Minister of Transportation. "No matter where you live, Ontarians deserve access to transportation they can depend on. Through the Ontario Transit Investment Fund, we are expanding transit options that connect people to jobs, housing and essential services."
The OTIF supports the start-up and expansion of transit projects like new bus services, on-demand rideshare services and door-to-door transportation. The program is helping municipalities, Indigenous communities and non-profit organizations deliver reliable transportation services across the province, particularly in rural communities. This year's funding will support new and expanded transit services across the province, including $3.4 million for the Region of Waterloo to introduce or expand transit services in Woolwich, Wellesley, Wilmot and North Dumfries.
"Through OTIF, our government is providing communities across the province with stable, predictable funding for transit services that will transform how people travel for years to come," said Ric Bresee, Parliamentary Assistant to the Minister of Transportation. "Today, we're demonstrating our commitment to supporting communities and non-profit organizations across Ontario as they deliver reliable transit services."
August 5's investment builds on the province's plan to strengthen transportation in rural, northern and underserved communities, including doubling annual Ontario Transit Investment Fund (OTIF) funding to $10 million in the 2026 Budget and bringing back the Northlander passenger rail service to northeastern Ontario.
Quick Facts
- When OTIF launched in 2024, it included up to $5 million in annual funding. The province has now increased funding up to $10 million annually over the next three years.
- Municipalities, Indigenous communities and non-profit organizations can apply for OTIF funding online. Applicants are encouraged to form project teams to deliver coordinated, integrated and sustainable transit services for their communities.
- Ontario also provides funding to municipalities for transit and municipal roads through the Gas Tax program and the Connecting Links program.
- The Indigenous Transportation Initiatives Fund (ITIF) provides funding for community-driven transportation related projects for Indigenous peoples in urban, rural and reserve settings across Ontario.
Quotes
"Reliable transportation is essential to strong rural communities. Through the Ontario Transit Investment Fund, our government is investing in the local transit connections that people need to access essential services and economic opportunities, and stay connected with family and loved ones."
- Lisa Thompson, Minister of Rural Affairs
"Strong transit connections help bring our communities closer together. Across Waterloo Region, people rely on dependable, low-cost transportation options to access jobs, education, services, cultural events, family and friends. This investment will help strengthen these connections and make it easier for residents and visitors to move throughout the region, support economic growth, and ensure our communities remain connected and accessible."
- Dorothy McCabe, Mayor of Waterloo
"The support from the Ontario Transit Investment Fund will help us deliver new and improved transit connections for residents living in and travelling to Waterloo Region's townships. By supporting new and expanded Grand River Transit service, the Province is helping us improve access to jobs, services and community destinations while building a more connected and sustainable region. We are grateful for this partnership and the opportunity to move our Township Transit Strategy forward."
- Karen Redman, Regional Chair of the Waterloo Region
"This exciting investment means residents in Woolwich, Wellesley, Wilmot and North Dumfries will have better access to jobs, schools and services in our larger municipalities. By closing the transit gap between our rural townships and urban centres, we're making it easier for people to stay connected to their community while opening up new opportunities close to home."
- Mike Harris, MPP for Kitchener-Conestoga
"Keeping our rural communities connected through reliable transportation services is extremely important. I'm pleased to see our government investing $3.4 million in the Region of Waterloo to improve transit services, helping connect residents in North Dumfries and across the region."
- Brian Riddell, MPP for Cambridge
"Waterloo Region's strength comes from the connections between our cities, townships, and rural communities. Continued investments in transit help ensure people can stay connected to work, education, health care, and one another, while supporting the long-term growth of our region."
- Jess Dixon, MPP for Kitchener-South Hespeler
"This funding means continued transit investment for the people and businesses in the Region of Waterloo. Better transit integration keeps goods, workers, and communities connected, and it's the kind of coordinated infrastructure planning our region needs to keep the corridor moving. We thank the government of Ontario and Minister Sarkaria for this continued partnership."
- Ian McLean, Chair of the Connect the Corridor Coalition and President and CEO of the Greater KW Chamber of Commerce
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