Ontario town offered financial lifeline on condition it does not suspend services

A small northern Ontario township facing financial ruin has been handed a lifeline by the Ford government — with major strings attached — as provincial officials continue to investigate how it accumulated millions in debt.
The Township of Fauquier-Strickland caught the province’s attention at the end of June, when it announced it would lay off all its staff and stop providing its 500 or so residents with services in the face of massive debts.
The township, located north of Timmins, Ont., said it had $2.5 million in accumulated operating deficits and had utterly exhausted its reserve funding.
The Ministry of Municipal Affairs and Housing responded by telling the local mayor and councillors they could not stop offering services.
The province sent in financial investigators to look at its books.
Now, a new letter from Minister of Municipal Affairs and Housing Rob Flack, addressed to the town, is offering it $300,000 in one-time funding to keep the municipality afloat while further investigations take place.

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The money, according to the letter, can be used for “certain expenses that would enable the continuation of municipal services to residents” and will be paid in monthly installments.
The funding will only be sent to the township if it agrees to certain conditions, including cancelling its plan to lay off all staff and end municipal services, as well as agreeing to freeze discretionary spending.
The request is on the council agenda for the town on Thursday, with councillors required to pass resolutions agreeing to the terms in order to unlock the funds. It had previously planned to lay off all staff on Aug. 1.
The Ministry of Municipal Affairs and Housing stressed the one-time nature of the funding to Global News, saying the money was to get the township through the next few months while work continued to investigate the cause — and solution — to its deficits.
When council passed a resolution to suspend all municipal staff at the end of June, it said the only alternative would have been to implement a property tax increase of 190 to 230 per cent on residents, which would have tripled most tax bills and potentially forced families from their homes.
The municipality says it has been operating with zero cash reserves for over a year, relying heavily on credit to fund ongoing operations. In 2024, property taxes were increased by 26 per cent in an effort to address the growing problem.
— with files from Global News’ Prisha Dev
© 2025 Global News, a division of Corus Entertainment Inc.


Spirits maker Diageo will cease operations at its bottling facility in Amherstburg, Ont., early next year, as it shifts some bottling volume to the U.S., the company announced on Thursday.
The facility, which bottles Crown Royal products, will close in February in a move aimed at improving its North American supply chain.

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About 200 jobs will be affected.
“This was a difficult decision, but one that is crucial to improving the efficiency and resiliency of our supply chain network,” Marsha McIntosh, Diageo’s president of North America supply, said in a statement.
Diageo said it will engage with the community and find ways to support its employees through the transition, and work alongside Unifor to assist unionized workers.
The company said it will still maintain a “significant” footprint in Canada — including its headquarters and warehouse operations in the Greater Toronto Area, and bottling and distillation facilities in Manitoba and Quebec.
McIntosh added the company’s Crown Royal products will continue to be mashed, distilled and aged at its Canadian facilities.
© 2025 The Canadian Press

Toronto police say a 33-year-old man has been charged with attempted murder after allegedly striking two men with his car Wednesday evening.
Officers say they responded to reports of a collision in the area of Don Mills Road and Gateway Boulevard in the city’s North York neighbourhood just before 10:30 p.m.

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Police say two men got into an argument, leading to one man getting into his car and hitting the other man with it.
They say the man then put his car into reverse, striking a second man.
A man in his 50s was transported to hospital with serious injuries and the second man, in his 20s, had minor injuries.
Police say the suspect from Markham, Ont., faces several other charges as well, including two counts of assault with a weapon, uttering threats and dangerous driving.
© 2025 The Canadian Press

A court document shows a Lindsay, Ont., man facing charges for allegedly breaking into an apartment was carrying a crossbow when he was confronted by a tenant.
The resident, Jeremy David McDonald, is also facing assault charges in the incident on Aug. 18 — a fact that has generated widespread interest in the case.
Police information filed in court alleges that Michael Kyle Breen damaged a window and screen at McDonald’s home and carried a crossbow.
The court document says the 41-year-old Breen is charged with break and enter, possession of a weapon for a dangerous purpose, mischief under $5,000 and failing to comply with a probation order.

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Police have said that Breen, who is scheduled to appear in court for a bail hearing next week, was already wanted for unrelated offences.
McDonald, the 44-year-old resident, was charged with aggravated assault and assault with a weapon after he allegedly “did endanger the life” of Breen.
Premier Doug Ford blasted the decision to charge the apartment resident, saying last week that it shows “something is broken.”
Kawartha Lakes Police Chief Kirk Robertson wrote in a statement Wednesday that he recognizes the incident has generated significant public interest and “emotional” responses, but called some of the reaction “unjust and inaccurate.”
Robertson wrote that individuals have the right to defend themselves and their property, but the law requires that any defensive action be proportionate to the threat faced.
“This means that while homeowners do have the right to protect themselves and their property, the use of force must be reasonable given the circumstances,” he wrote.
© 2025 The Canadian Press
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