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Provincial cash could help prevent tax increases, service cuts: Mayor

The $6.6-M from the province 'will help prevent the need for tax increases or service cuts, or both, to compensate for the fiscal impact of COVID-19,' says Lehman

On Wednesday, the provincial and federal governments unveiled details of a $1.6 billion relief program through the Safe Restart Agreement. 

The City of Barrie will receive $6,601,400 from the initiative with an additional $2,556,418 to support transit operations.

With a total funding of $9,157,818, Mayor Jeff Lehman told BarrieToday the money will help cover the additional costs and revenue shortfalls the city has been incurring due to COVID.  

“It will help prevent an end of year deficit for 2020,” said Lehman. “The province also announced that this is the first tranche, the second phase funding may also help with 2021 impacts, which we hope will be minimal, of course.

"But the short version is this will help prevent the need for tax increases or service cuts, or both, to compensate for the fiscal impact of COVID-19," the mayor said.

In addition to that over $6 million in funding is over $2 million in transit assistance. This funding is intended to be used to provide immediate relief from transit pressure, such as lower ridership, as well as to dover the new costs incurred by COVID-19.

Lehman said transit is a key part of Barrie’s transportation future and as intensification brings more people to key areas of the city, it will be particularly important.  

“We look forward to being able to return to full service once the ridership comes back further," said the mayor. "For example, if high school and college students resume using transit,” said Lehman.

“I think post-COVID, in key corridors, such as Yonge Street (GO stations), Bayfield, and the RVH/College loop, and with some of our innovative projects like Transit on Demand, transit service can become an even better option than it is today,” he said.

Brent Forsyth, the city's director of transit and parking strategy, says that since the announcement was just released, he wasn’t sure on the specifics but had a general idea where the over $2 million may go.

"We know it’s  intended to assist with financial pressures associated with continuing to operate with reduced revenue and new expenses, such as additional cleaning costs, and driver and passenger safety costs,” said Forsyth. 

Forsyth said “the investments being made by all levels of government into public transportation highlight the importance this service has on our community." 

“These investments will allow us to continue to provide and improve services to help move people around our city,” said Forsyth. “This will make Barrie a more livable city by easing the commute and transportation needs, and increasing accessibility.”