WINCHESTER – An announced change to not-for-profit long-term care home construction funding in Ontario has raised the ire of North Dundas’ mayor for a local project that will not benefit from the change.
On August 20, Minister of Long-Term Care Natalia Kusendova-Bashta announced at the groundbreaking of the new Maxville Manor project, that a new funding model will help projects get built faster. Ontario will fund 85 per cent of the total construction cost of not-for-profit LTC homes, rather than per-bed funding. LTCs already under construction will not see its funding change – that includes Dundas Manor which is well under construction.
“Well, I’m unhappy with the funding disparity right off the bat,” said North Dundas Mayor Tony Fraser. “I mentioned that politely to the minister at our AMO delegation.”
Fraser said he communicated that the Dundas Manor project has seen significant challenges, having to fund raise $18.5 million for the project.“They’re still $3.5 million short, and the challenges that the catchment areas faces in trying to support that the beds are there,” he explained.
Fraser explained that in the years leading up to the start of the new Dundas Manor construction, they were challenged to ensure they were ready to break ground.
“We did, Dundas Manor did, Maxville wasn’t ready. They were allowed to delay, and we followed the plan. And because of that, are we not going to get this funding,” Fraser stated.
The response received was that because Dundas Manor had already begun construction, no they would not qualify for the new funding model.
In response to questions from The Leader, Minister of Long-Term Care spokesperson Mark Nesbitt confirmed that because Dundas Manor was approved before May 1, even though it is still under construction, the new funding model does not apply.
“Projects like Dundas Manor that received ministry approval to construct before May 1st, 2025 will continue under the previous funding model. Existing financing agreements, including municipal guarantees for construction loans remain unchanged,” said Nesbitt.
Rural Health Initiatives CEO Cholly Boland declined to comment on the funding as it related to Maxville Manor and not Dundas Manor.
Fraser is still unhappy with funding changes as by the ministry.
“It’s almost 17 years since the genesis of this project. The delay has not been caused by Dundas Manor, it was caused by the lack of response by the ministry to applications over the years. The price escalations, causing the project to double in price, that was not caused by Dundas Manor. The delays by the pandemic were not caused by Dundas Manor. And now there’s another funding model available and we don’t qualify because we went ahead and began? It’s a great benefit for Maxville Manor, but not for us.”
Ministry officials did not respond to questions from The Leader on whether not-for-profit LTC projects currently under construction would be reconsidered for the new funding model.
Maxville Manor’s $69 million product will receive about $58,650,000 in funding from the Ontario government, leaving about $10 million for the not-for-profit LTC to fund raise. SDG Counties has pledged a $4 million commitment, which is identical to the funding commitment to Dundas Manor in Winchester.
In contrast, Dundas Manor is a $63 million project, which received $43 million in provincial funding from the Ministry of Long-Term Care on a per-bed funding model. The WDMH Foundation, began an $18 million fundraising campaign in June 2023. So far, the organization has raised $14.5 million including municipal government pledges.
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