Funding will support housing, jobs and economic growth
NEWS | January 27, 2026
Chatham–Kent–Leamington — Today, MPP Trevor Jones announced that the Ontario government is investing up to $7,140,411 to support the Northwest Quadrant Sewer Separation Phases 1 & 2 water infrastructure project in the Municipality of Leamington, along with an additional $707,884 for the Township of Pelee in support of the Pelee East Shore Distribution System and Water Storage Rehabilitation project.
The funding is being delivered through the province’s Municipal Housing Infrastructure Program – Health and Safety Water Stream (MHIP-HSWS), which has been increased by $700 million, for a total of $875 million, to support access to safe drinking water, housing, job creation and protection for communities in the event of extreme weather events.
“As communities across Chatham–Kent–Leamington continue to face economic uncertainty and the impacts of unjustified U.S. tariffs, our government is taking action to protect Ontario and strengthen local communities,” said Trevor Jones, MPP for Chatham–Kent–Leamington. “These investments will help our municipalities move important infrastructure projects forward, support job creation and ensure our region has the services needed to support housing growth and long-term economic prosperity. I am proud to support our local partners as they get shovels in the ground and build stronger, more resilient communities for the future.”
The MHIP-HSWS funding will help ensure more communities have access to safe, reliable water services, support existing and future housing supply, and strengthen resilience against extreme weather events. The Municipality of Leamington will use this funding to advance the Northwest Quadrant Sewer Separation Phases 1 & 2 project, while the Township of Pelee will use the funding for the Pelee East Shore Distribution System and Water Storage Rehabilitation project.
“We are grateful to the Ontario government for this important investment in Leamington,” said Mayor Hilda MacDonald. “The Northwest Quadrant Sewer Separation project plays a key role in protecting public health, strengthening our infrastructure, and reducing the risk of flooding during extreme weather. This funding allows us to move the project forward, support local jobs, and ensure Leamington has the reliable services needed to support new housing and future growth.”
“I’d like to acknowledge the expertise and support of the Ontario Clean Water Agency in supporting The Township of Pelee to maintain a safe supply of drinking water to our residents and expand emergency response capacity. We value our relationship with the province of Ontario. Critical funding provided through the Municipal Critical Infrastructure Program is very impactful for our small island community,” said, Cathy Miller, MPP Township of Pelee.
This funding is part of a historic $4 billion investment through the Municipal Housing Infrastructure Program (MHIP), included in Ontario’s $220 billion capital plan, the most ambitious in the province’s history, to build transit, highways, hospitals, schools and water infrastructure that enables new housing.
“As we continue to navigate economic uncertainty and unwarranted U.S. tariffs, our government is protecting Ontario by investing in critical infrastructure that drives growth, creates jobs and strengthens communities,” said Todd McCarthy, Acting Minister of Infrastructure. “Through our historic $4 billion Municipal Housing Infrastructure Program, we are giving municipalities and First Nations the tools they need to get shovels in the ground and build stronger communities. Our investments will deliver more homes, modernize aging water systems and lay the foundation for long-term prosperity across Ontario.”
QUICK FACTS
• In August 2025, Ontario increased the MHIP to $4 billion to speed up construction of homes and core infrastructure, such as roads and water systems. Since its launch in 2024, the MHIP has made approximately 800,000 more new homes possible.
• The MHIP is comprised of four funding streams: the Housing-Enabling Water Systems Fund (HEWSF), the Housing-Enabling Core Servicing (HECS) Stream, the Health and Safety Water Stream (HSWS), and the Agriculture and Irrigation Stream.
• In January 2025, Ontario announced an initial investment of $175 million to launch the HSWS.
ADDITIONAL RESOURCES
• Ontario Investing $1.6 Billion in Municipal Housing Infrastructure Program
• Ontario Getting Homes and Infrastructure Built Faster and Smarter
• Municipal Housing Infrastructure Program
• Health and Safety Water Stream
Contact Information
Nammar Cristofari
Executive Assistant
MPP Trevor Jones
Chatham–Kent–Leamington
Nammar.Cristofari@pc.ola.org