How it works

Ontario's modernized funding model, as outlined in the Long-Term Care Home Capital Development Funding Policy, 2022, creates four new market segments based on population size: large urban, urban, mid-size, and rural. It offers long-term care operators in each category:

  • an increased construction funding subsidy, tailored to the needs and challenges of the community which includes –
    • a base construction funding subsidy for all eligible projects including small- or medium-sized home premiums if applicable
    • a fixed, time-limited construction funding subsidy top-up, for eligible projects that meet specific criteria (part of which is convertible to a construction funding subsidy construction grant for eligible non-profit homes)
  • a development grant specific to the needs of each market segment, to help offset a portion of eligible project costs

The modernized funding model also continues to provide:

  • the planning grant to non-profit homes that meet eligibility criteria
  • a premium for small and medium sized homes


You may be eligible for development funding under the Long-Term Care Home Capital Development Funding Policy, 2022 for either the development or redevelopment of long-term care beds that consists of one or both:

  • new construction – the construction of a new building outside an existing footprint
  • renovation – either within or outside of an existing building footprint

The planning grant is available to non-profit long-term care homes and will be paid to non-profit long-term care home operators after the execution of the Development Agreement.

A construction funding subsidy top-up is available to projects that can attain an approval to construct by August 31, 2023. To be considered for funding, complete the Statement of Readiness form and submit it to the ministry by December 20, 2022.


For more information, please contact