Kawartha Lakes seeks provincial aid for ice storm cleanup costs

KAWARTHA LAKES – Local leaders are taking steps to recover from the devastating ice storm that struck the region on March 28, applying to the Province of Ontario for financial relief through the Municipal Disaster Recovery Assistance (MDRA) program.

At a council meeting held Tuesday, June 24, Treasurer Carolyn Daynes presented a report outlining the extensive emergency response and cleanup efforts undertaken by the municipality. To date, the City has already spent more than $6.3 million, with an estimated additional $10 to $15 million in storm-related expenses anticipated as cleanup operations continue city-wide.

“The March 28 storm caused widespread damage to municipal infrastructure and property, and responding to it has placed a significant financial burden on the City,” said Ms. Daynes. “By applying to the MDRA program, we are seeking support from the Province to help offset the extraordinary costs we’ve incurred.”

Council passed a resolution to submit an Expression of Interest to the MDRA program, with staff expected to submit the application by the July 28, deadline. The MDRA program assists Ontario municipalities with unexpected costs from natural disasters, covering capital repairs to public infrastructure and emergency operating expenses that go beyond normal budgets.

According to the staff report, the City has already confirmed that none of the expenses related to the ice storm are covered by insurance. All storm-related expenditures have been tracked in a dedicated business unit. As of June 12, key costs included more than $1 million for materials and supplies, nearly $470,000 in equipment expenses, and close to $4.7 million for contracted services.

“We’re still forecasting up to $15 million more in costs as we complete the cleanup across all affected areas,” added Ms. Daynes. “Final estimates will be submitted to the Ministry this month to support our funding request.”

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Under the MDRA cost-sharing structure, municipalities are normally responsible for 25% of the first 3% of their tax levy in disaster costs, with the Province covering the remaining 75%. For Kawartha Lakes, that threshold is approximately $4.3 million. Beyond that point, eligible costs are 95% funded by the Province. However, due to the severity of the storm, staff indicated there is a possibility the Province may waive the 3% threshold, allowing all eligible costs to be reimbursed at the 95% provincial share.

“If the Province waives the 3% cap, the City’s total contribution could be reduced to around $1 million,” Ms. Daynes explained. “That would be a huge relief to our budget.”

Mayor Doug Elmslie praised the efforts of municipal staff during and after the storm and expressed optimism about the funding request.

“Our team responded quickly and effectively to ensure public safety and begin the cleanup,” said Mayor Elmslie. “We’re hopeful that the Province recognizes the magnitude of the damage and provides the support our residents deserve.”

If the Province does not fully fund recovery costs, staff will present options during the 2026 budget process to address any shortfall. In the meantime, cleanup operations will proceed as planned.