Funding Strategies

Cost sharing between the P4G municipalities will be an important consideration moving forward with implementation of the Regional Plan. As providing for equity and fairness between the communities is an important principle identified in the Plan, P4G has recognized that there is a need for municipalities and areas to “pay their own way” and manage a share of the costs of regional actions that is proportionate to the benefits they receive. Current cost-sharing formulas should be assessed and reviewed regularly to ensure that these principles are considered.

Future Budget Items

Budget items that P4G will likely need to consider in the future will include the following:

  • General overhead and program costs. Overall yearly costs will be required for expected regular expenditures, including administrative functions, meeting coordination, communications, and outreach, as well as ongoing costs for staff and any continuing programs and initiatives.
  • Project costs. Individual projects managed by P4G will require funding for staff resources, outside consultant fees, and associated costs. These expenses will be coordinated and managed to a fixed budget and expected timeline.
  • Costs for providing services. If P4G transitions to become a service provider as a Planning Authority, the costs of providing specific services must be managed.


Cost Sharing

Even in cases where services, facilities, and resources are contributed on an in-kind basis, these contributions must still be assessed to ensure that municipalities are supporting their fair share of the costs of P4G.

Although it is possible to develop a single cost-sharing formula or set of cost-sharing formulas to apportion these costs, it is likely that different situations will require different approaches to funding and support. Recognizing these complexities, P4G should maintain some level of flexibility with determining cost-sharing mechanisms for future use.

Discussions of cost-sharing strategies can be divided between two distinct types of calculations:

  • Regional calculations, where overall costs and benefits are to be shared between some or all municipalities
  • Sub-regional calculations, where the benefits of a project, initiative, or other action are enjoyed disproportionately throughout part of the Region


For each calculation, different components can be used to inform the final cost-sharing formula. Cost recovery would typically be managed through transfers directly from municipalities, although in certain cases regional development levies and/or subdivision agreement fees could be coordinated between municipalities to provide consistent payments from the recipients of sub-regional benefits from infrastructure specified in sections 169 and 172 of the Act.

External Funding

In addition to contributions from the affiliated municipalities, P4G should also work to pursue additional funding from other sources to support ongoing projects. This will include:

  • Provincial government funding;
  • Federal government funding;
  • Funding from non-profits and other organizations, such as the Federation of Canadian Municipalities (FCM); and
  • Cost-sharing opportunities from other organizations, including Crown corporations.


The biennial P4G Strategic Business Plan should include a list of budget priorities for soliciting external funding, which would include:

  • The total project budget required;
  • The amount and timing of expected contributions from affiliated municipalities;
  • Potential sources of funding, including details on supporting agencies and funding programs;
  • Application processes for pursuing funding, as applicable; and
  • Responsibilities for coordinating efforts to solicit funding.


These efforts shall be coordinated by P4G, and collective efforts shall be made to pursue these funding sources. All Councils shall indicate that they are supportive of these efforts for joint applications for funding in their approval of the P4G Strategic Business Plans.