Windsor, LaSalle, Lakeshore and Tecumseh cut development charges with new federal-provincial funding

On October 23, 2026, the governments of Canada and Ontario announced funding for Windsor-Essex municipalities through the Development Charge Reduction Program. Municipalities receive money for housing-enabling infrastructure in return for cutting development charges, the one-time fees paid on new construction to fund growth-related services such as roads, water and wastewater.

Windsor will receive up to $77.6 million and is cutting residential development charges by 70% from March 30, 2026 to March 31, 2029, which the governments estimate will reduce the cost of building a new home by up to $49,452. The money goes to stormwater and roadway infrastructure. Tecumseh will receive up to $6.8 million for new trunk sanitary sewer infrastructure, with a 50% cut estimated to save up to $18,078 per home; its mayor said it supports more than 700 homes in the Tecumseh Hamlet Secondary Plan Area.

LaSalle will receive up to $25.4 million and has committed to eliminating development charges for all housing types from March 30, 2026 to March 31, 2029. The Town says the money will fund the Reaume Road/Sandwich West Parkway and Ellis Street/Diotte Drive expansions and support up to 5,000 future housing units. Lakeshore will receive up to $11.8 million for its Eastern Communities Wastewater Treatment Plant, serving eastern communities including Comber and Stoney Point/Pointe-aux-Roches; Council committed to a 50% cut for the same three years, with the by-law amendment still to come before Council. LaSalle reports that municipalities across the County of Essex will receive up to $105.8 million in total.

The funding is conditional on agreements between the governments and further due diligence, and municipalities must contribute at least 10% of project costs. The program is part of a combined $8.8 billion, 10-year federal-provincial commitment to housing-enabling infrastructure in Ontario.