Project funding and costs

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Approved funding payment

Generally, payments under the ROD Program are reimbursement-based and will be made following verification of proof of payment, with the exception of a 10% holdback. The 10% holdback will only be provided once the final report is received and accepted by the Province.

However, the Province may provide an initial payment of 20% of the approved funding for successful Projects following the execution of the Contribution Agreement, provided the following conditions are met:

The Applicant has indicated the need for immediate use of some program Funds in the fiscal year of 2025-2026 (before March 31, 2026) in its Project budget.
The Applicant has provided an undertaking that the initial 20% payment will be used solely for eligible costs permitted under these guidelines and the Contribution Agreement.
The Applicant will provide proof of payment following the use of the initial 20% payment, which shall be verified by the Province before any additional Funds are disbursed.
Where such verification cannot be completed to the satisfaction of the Province, the Project may not be completed, and the Applicant will be required to repay the initial 20% payment, as well as the costs Incurred by the Province to recover the Funds and interest.

Please note that this initial 20% payment is granted as a one-time approval by the Province and does not establish any precedent, intention, or expectation of continued or future funding in a similar manner.

All payments are subject to the Applicant’s compliance with the requirements of the ROD Program and terms of the Contribution Agreement, as determined by the Province in its sole discretion.

Stacking

Stacking with other provincial sources of financing for the Project is not permitted. Projects receiving other provincial funding are not eligible to apply for or receive funding under the ROD Program. Provincial funding includes but is not limited to Funds administered by:

Provincial Ministries or agencies
Ontario Trillium Foundation
Northern Ontario Heritage Fund Corporation
regional tourism organizations

Funding from federal government programs (for example, Community Futures Development Corporations) can be used toward a Project’s total costs, if it is permitted under applicable federal programs.

Funding sources for Projects

Combined federal and ROD Program funding cannot exceed 90% of the Project’s eligible costs.

The Applicant must disclose all potential sources of funding for the Project in the application whether they are secured or not. Secured funding means a written commitment from the Partner. Failure to disclose all funding or possible funding sources may result in mitigation measures, up to and including the termination of the application or Contribution Agreement.

In-kind Contributions are not eligible for funding or reimbursement but can be noted on the application to demonstrate a commitment from Applicants and Partners.

Extenuating circumstances

Applicants may request an increased provincial Cost Share and/or an amount of provincial funding for a Project that exceeds the maximum provincial funding amount noted above, based on significant barriers to or opportunities for Economic Development.

Extenuating circumstances are significant and unique and are not common across program Applicants. Applicants will be required to explain in detail, the significant barriers or opportunities and provide rationale for their additional funding request.

Approval of an increased provincial Cost Share or funding amount for a Project due to extenuating circumstances is in the Province’s sole discretion. Any such decision by the Province will be subject to additional provincial approvals that may impact Project timelines.

Eligible and Ineligible Cost items for all Projects

Eligible Costs must be:

reasonable as determined by the Province
necessary to complete the Project as determined by the Province
identified within the Contribution Agreement
Incurred within the period identified in the Contribution Agreement; between the Effective Date and Project completion date outlined in the Contribution Agreement
Incurred in Ontario
Incurred by following a process that is transparent, fair and promotes the best value for money (i.e., prices must be competitive and not more than the fair market value)
paid to an Arm's Length third-party

Ineligible Costs are:

unreasonable as determined by the Province
unnecessary to complete the Project as determined by the Province
Incurred outside the period identified in the Contribution Agreement
Incurred outside of Ontario
Incurred by following a process that is not transparent or fair or does not promote the best value for money (i.e., prices are not competitive or are more than the fair market value)
paid to a non-Arm's-Length third-party or
In-kind Contributions

Table A: eligible and ineligible expenses for all project streams and sub-streams
Eligible expenses	Ineligible expenses
New Hires new hires who work 100% on Project-related activities - wages and mandatory employer related costs Other costs for new hires who work 100% on Project-related activities, including the cost of: Laptops, computers, software Travel in Ontario in compliance with the province’s travel, meal and hospitality directive Portable internet services, cell phones, cellular network services Professional development costs Professional fees specifically related to the activities of the Project Legal Architectural Engineering Environmental Surveys Project management Audio visual Marketing and promotions Consulting Accounting fees Technology costs Project-related computer, communications and audio or video equipment Project-related software Events, marketing and promotion costs Design, branding and production of materials, excluding giveaway items Media, promotions or advertising Distribution costs, including data, printing, or postage Venue rental fees One-time tradeshow entrance or exhibit fees Honorariums Honorariums for Indigenous Elders and Traditional Knowledge Keepers	Employee expenses not related to new hires Direct wage subsidies for existing staff on Project related activities or administrative fees charged by the Applicant. Honoraria or per diems taxable under the Income Tax Act, Membership costs Travel and meals for consultants and existing staff Administrative costs Financing and financing charges, debt restructuring, loan interest payments and bank fees Preparing an application, claim submission or reporting requirements for any program, including the ROD Program Technology costs Recurring software licenses/fees Events, Hospitality and promotion costs Catering, food and refreshments (see Eligible Costs under the Event Stream only for exemption) Alcohol Gifts, awards, prizes or incentives Fundraising Sponsorship of conferences and events Private sector events Events that have already occurred Giveaway items (for example, branded pens, buttons, notepads etc.) Vehicles and Transportation Equipment Costs Vehicles Transportation equipment Material handling equipment (powered and unpowered) Agricultural, construction, or mining equipment Honorariums Honorariums for speakers or attendees who are not Indigenous Elders and Traditional Knowledge Keepers Major Capital Costs Costs as identified in the Glossary Normal business practice costs On-going operational costs of an organization Insurance and taxes including HST Meeting costs not directly related to the Project Travel not directly related to the Project Office space and utilities Regular or deferred maintenance Office supplies, stationary, business cards and business-specific promotional items Office phones, internet and networks Uniforms Other Costs Activities that influence or lobby any level of government Permits and approvals Contingencies Deposits (prepayments) for expenses that have yet to be fully Incurred Refunds or rebates, including any you are eligible to receive

Table B: Eligible and ineligible expenses for strategies and plans sub-stream
Eligible expenses	Ineligible expenses
Professional fees or new hires to develop strategies and plans All expenses included in the ineligible expenses in Table A	Major or Minor Capital Costs (refer to glossary) All expenses included in the ineligible expenses in Table A

Table C: Eligible and ineligible expenses for economic diversification and competitiveness sub-stream
Eligible expenses	Ineligible expenses
Training development and speaker fees Workshop and training-related materials and supplies costs Event related transportation costs All other eligible expenses included in Table A	Major or Minor Capital Costs (refer to glossary) All expenses included in the ineligible expenses in Table A

Table D: Eligible and ineligible expenses for capacity building events sub-stream
Eligible expenses	Ineligible expenses
Training development and speaker fees including transportation, meal and hotel costs for approved Project related activities (in compliance with the province's Travel, Meal and Hospitality Directive) Workshop and training-related materials and supplies costs Event related transportation costs Catering (in compliance with the province's Travel, Meal and Hospitality Directive) All other eligible expenses included in Table A	If the primary purpose is an annual general meeting or regular business meeting or a fundraising event Events that have already occurred Private sector events Major or Minor Capital Costs (refer to glossary) All expenses included in the ineligible expenses in Table A

Table E: Eligible and ineligible expenses for workforce development, attraction and retention stream
Eligible expenses	Ineligible expenses
Training development and speaker fees Workshop and training-related materials and supplies costs Event related transportation costs All other eligible expenses included in Table A	Major or Minor Capital Costs (refer to glossary) All expenses included in the ineligible expenses in Table A

Table F: Eligible and ineligible expenses for community infrastructure enhancements stream
Eligible expenses	Ineligible expenses
Minor Capital Costs Contractor’s fees Cost of materials or supplies (for example, electrical, plumbing, ventilation, structural and finishings) and labour, for: Redevelopment of an existing vacant or underutilized building Rehabilitation of buildings or structures with identified cultural, heritage, or tourism significance Landscaping and streetscaping Streetscaping and landscaping such as wayfinding signage, decorative lighting, banners, murals, street furniture, interpretive elements, public art, trees, and accessibility equipment outside of a building Rental or purchase of equipment and machinery Furniture and major appliances Localized Wi-Fi hardware and software for public use Project-related computer, communications and audio or video equipment Trail rehabilitation (non-paved surfaces), including existing trail bridges Other costs Contingency costs up to 10% Recognition Signage: Projects in this stream are required to install a permanent sign acknowledging the support of the ROD Program. Eligible expenses for the design, fabrication, and installation of the sign will be reimbursed up to a maximum of $300, based on a total eligible cost of $857.14 All other eligible expenses included in Table A	Major Capital Costs including, but not limited to, costs of: Purchase or lease of land, buildings and facilities Site preparation Construction of buildings, teardowns or rebuilds Construction or rehabilitation of paved or concrete surfaces, parking lots Gateway signs Major infrastructure (for example, water/wastewater systems, storm water management, transportation facilities, roads, road/highway bridges and streetlights) Infrastructure and equipment costs for airports, seaports, railways, and commuter/tourist transportation systems Utilities, power lines, chargers, generational systems, broadband infrastructure, and water or wastewater lines outside of a building All expenses included in the ineligible expenses in Table A

Ownership of eligible capital assets must be maintained for a minimum of 2 years after the completion of the Project.

Applicants may contact the Province at RODprogram@ontario.ca with questions regarding the eligibility of any potential costs not explicitly addressed in this section. Provincial determination of eligibility is final.

Project description, work plan and budget

Single and multi-year Projects are eligible. Projects should Incur expenses within the first year of the Project.

In the assessment criteria, preference is given to Projects that are completed by March 31, 2026 or March 31, 2027.

Project description

The Project description should describe:

the Project key activities
what the Project will accomplish
how it will benefit Rural Ontario
align with the work plan and budget in the application form

Project need

The Project Need should be described in the application and how the Project will address an Economic Development need or opportunity.

Work plan and budget

The Project work plan and budget should list each activity required to complete the Project, the anticipated start and end date of each activity and the eligible costs items associated with the activity. Applicants are encouraged to attach relevant supplementary documentation to support the application.

The Project budget must:

list the specific eligible cost items associated with each activity in the Project work plan. Some activities may have more than one eligible cost (for example, an event may have the following costs: venue rental, printing, marketing or promotions)
list eligible, in-kind and ineligible costs
indicate when the costs will be Incurred each year
indicate if funding is secured or not
if including contingency costs (Community Infrastructure Enhancements Projects only), include a specific “contingency costs” budget line

Eligible costs must be broken down by fiscal year (between April 1 and March 31) and align with the timelines outlined in the Project work plan.

The Applicant is encouraged to provide as much detail as possible about cost items and may attach more detailed budget documents with the application.

In-kind and ineligible costs will not be matched by provincial cost-share funding but do indicate the Applicant and Partner(s) commitment to the Project.

Quotes and estimates

Applicants may submit quotes and estimates for cost items over $10,000.

Quotes or estimates should include a category breakdown (specify all items per cost item) for all Project costs.

Quotes can be provided either on supplier letterhead or as a screenshot from the supplier's website (screenshot must include website URL, itemized list and totals).

Updated: June 24, 2025

Published: June 24, 2025