Hamilton among number of Canadian cities seeking emergency funds from Feds

The City of Hamilton is among a number of Canadian municipalities seeking financial help from the federal government to help offset the deep losses caused by the COVID-19 pandemic.

The City of Hamilton is among a number of Canadian municipalities seeking financial help from the federal government to help offset the deep losses caused by the COVID-19 pandemic.

The Federation of Canadian Municipalities (FCM) issued a letter on Thursday (April 23) calling on the federal government to provide upwards of $10 billion in emergency funds to support community responses to COVID-19.

“From turning arenas into safe shelters to deferring property taxes, municipal leaders are working flatout to support Canadians through this pandemic,” said FCM President Bill Karsten in a press release.

“But with new expenses, staggering drops in revenue and no freedom to run deficits, municipalities need emergency funding to keep essential services going strong.”

The FCM estimates that Canadian municipalities are facing ‘a minimum of $10-15 billion in near-term, non-recoverable losses due to COVID-19.’

Earlier this month, a report on the financial impacts of COVID-19 on municipal coffers estimated that Hamilton faced a $22.9-million deficit.

The report assumes that the current closures and measures in place to help prevent the spread of the virus will be in place until the end of May, which means, $22.9 million is on the low end of what Hamilton can expect.

At the time the report was in front of Hamilton council, one of its recommendations was that Hamilton work along other municipalities to seek financial support from more senior levels of government.

In a statement issued Thursday, Mayor Fred Eisenberger touted the efforts of municipalities in their response to the pandemic.

“Here in Hamilton we have done so through initiatives such as an emergency homeless shelter in First Ontario Centre, drive-through testing centres in arenas, free HSR fares, educating the public about physical distancing, and property tax deferrals, all the while maintaining vital City services such as water, garbage and recycling collection, and ambulances,” he said in the statement.

“At the same time, our revenue has plummeted dramatically, with no easy way to replace it except through property taxes at a time when many people are not working.”

Eisenberger said he and mayors from across the country are working with the FCM to find support from higher levels of government and to figure out ways to develop ‘a united regional economic restart and recovery plan.’

The FCM says the initial funding request will likely need to be supplemented further for municipalities that face “extraordinary challenges supporting isolation and good health among vulnerable populations.”