
Ontario Transit Investment Fund (OTIF)
Last Update: July 22, 2025
ON, Canada
Supports the creation and expansion of sustainable transit services
At a glance
Eligible Funding
- Up to 50% of project cost
Timeline
- Open Date : January 1, 2024
- Closing date : December 31, 2024
Financing Type
Grant and Funding
Eligible Industries
- Transportation and warehousing
Funds Providers
Unspecified
Program status
Closed
Overview
The Ontario Transit Investment Fund (OTIF) provides time-limited, application-based funding, with a maximum of 50% of total multi-year project costs, to support the start-up and growth of transit services in areas where there is a clearly identified service gap. The program aims to create sustainable transit services through partnerships and integration, focusing on projects that fill transit service gaps, such as new services, expansion of existing services, and first-mile/last-mile connectivity.
Financing terms and conditions
- Funding is limited to a maximum of five years per project.
- OTIF will provide up to 50% of total multi-year project costs.
- The OTIF contribution in the final year is capped at 30% of final year costs to support gradual transition to sustainability.
Activities funded
- Launching new transit services to address identified service gaps in Ontario communities.
- Expanding existing transit services to reach communities currently without access.
- Integrating and coordinating multiple transit services across municipal and community boundaries for better connectivity.
- Developing first mile/last mile solutions to facilitate seamless connections between transit networks and users’ points of origin or destination.
- Implementing governance or partnership frameworks that integrate existing transit services.
Eligibility
- The applicant must be a municipality, a non-profit organization (including Indigenous not-for-profit organizations), or an Indigenous community.
- The project must fill a clearly identified transit service gap and not duplicate existing services.
- The applicant must act as the lead and form a Project Team, ensuring coordination and integration with relevant partners and stakeholders within the proposed service area.
- The project must involve fully accessible public transportation services and vehicles in compliance with relevant accessibility legislation.
Who is eligible?
- Municipalities
- Non-profit organizations (including Indigenous not-for-profit organizations)
- Indigenous communities
Who is not eligible
- For-profit private companies that are not non-profit organizations or Indigenous not-for-profits.
- Organizations that are not municipalities, non-profit organizations (including Indigenous not-for-profits), or Indigenous communities.
Eligible expenses
- Administration costs, including salaries and benefits directly related to the project.
- Consulting and professional services necessary for the project.
- Driver training, wages, and benefits.
- Marketing and promotional expenses related to the transit service.
- Contracted transportation services (e.g., hiring third-party operators).
- Purchase or lease of vehicles, such as buses, vans, e-scooters, or e-bikes (subject to municipal bylaw compliance where relevant).
- Capital expenditures for public transportation security and passenger safety (e.g., bus shelters, accessibility modifications, wayfinding solutions).
- Other costs directly necessary for execution and operation of the project, subject to Ministry approval.
Eligible geographic areas
- Ontario
Selection criteria
- How well the project fills identified transit gaps.
- Evidence of community need and demand for service.
- Alignment with OTIF principles: integrated, coordinated, and sustainable.
- Alignment with provincial priorities.
- Project readiness.
How to apply
1
Access Program Guide
- Review the Ontario Transit Investment Fund (OTIF) guide available on Transfer Payment Ontario (TPON) to understand eligibility, funding, and application details.
- Make sure you have the latest version of the guide.
2
Register on TPON
- Create a My Ontario Account with TPON to access the application platform.
- Ensure your organization’s profile and contact information are up to date.
3
Prepare Application Documents
- Gather required documents specific to your applicant type (e.g., Council Resolution, financial statements).
- Prepare additional materials such as a Map of Proposed Service Area and Planning Materials.
- Draft a comprehensive collaboration framework detailing roles and responsibilities of Project Team members.
4
Complete Application Form
- Fill out detailed sections of the application including Needs Analysis, Partnerships and Integration, Budget and Funding, Sustainability, and Risks and Mitigation Tactics.
- Submit the completed application form through the TPON system.
5
Submit Application
- Upload all required documents and forms to TPON.
- Review your application for completeness and accuracy before final submission.
6
Confirmation and Follow-Up
- Receive a confirmation of submission from TPON.
- Keep track of any requests for further information or clarification from the Ministry.
Additional information
- All public transportation services funded must comply with Ontario accessibility legislation.
- Fares are mandatory, but may be reduced or waived for specific populations to enhance equity.
- Canadian content requirements apply to transit vehicle procurement, with certain exemptions outlined in the program guide.
- Significant changes to service, such as route adjustments, must be reviewed and approved by the Ministry.
Contacts
MTO-SIO@ontario.ca
Frequently Asked Questions about the Ontario Transit Investment Fund (OTIF) Program
Here are answers to the most common questions about the Ontario Transit Investment Fund (OTIF). This section explains what the program is, how much funding is available, eligibility requirements, application deadlines, and other important details to help you determine if this grant is right for your business.
What is the Ontario Transit Investment Fund (OTIF)?
How much funding can be received?
What is the deadline to apply?
Is the Ontario Transit Investment Fund (OTIF) a grant, loan, or tax credit?
Who are the financial supporters of the Ontario Transit Investment Fund (OTIF)?
Who is eligible for the Ontario Transit Investment Fund (OTIF) program?
Who can I contact for more information about the Ontario Transit Investment Fund (OTIF)?
Where is the Ontario Transit Investment Fund (OTIF) available?
Are Indigenous Peoples eligible for the Ontario Transit Investment Fund (OTIF) program?

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