Summary#
Montréal city council adopted its position on a revised 2025–2028 agreement under the Fonds régions et ruralité (Regions and Rurality Fund), and separately repealed an earlier city resolution, CM25 0935. Its position is to approve an agreement worth $20,058,161 with Québec’s Minister of Municipal Affairs and Housing and add the same amount to the city’s revenue and spending budgets. The stated goal is to fund local and regional development priorities. The agglomeration council makes the final decision at a later meeting.
- The agreement would run from April 1, 2025, to March 31, 2028. It would take effect when signed, while validating covered actions taken since April 1, 2025.
- The city’s economic development service would administer the funds for activities including local and regional planning; professional support and shared services for local municipalities; entrepreneurship and business support; community projects; and development agreements with governments or other partners.
- An amendment would update eligible expenses, payments and reporting. It raises the cap on eligible administrative expenses for funded organizations from 5% to 10%, effective April 1, 2026.
- The amendment would also widen eligibility for some organizations and allow combined government aid of up to 70% for for-profit organizations, and up to 100% for certain eligible municipal bodies, non-profits and co-operatives.
- City staff say some funds would go to the six organizations in the PME MTL network. Addenda to their existing delegation agreements would need city approval by 2027.
What it means for you#
- Businesses and organizations: The agreement would set rules for projects that may receive support; it would not give any business or organization an automatic grant. Some for-profit projects could receive government aid covering up to 70% of eligible costs, subject to the agreement’s rules.
- Community groups, municipalities and co-operatives: Some could qualify for support of up to 100% of eligible costs. The decision does not identify specific recipients or promise funding for any particular project.
- Residents and taxpayers: The decision does not directly change taxes, create a new service for residents, or provide an individual benefit. The city council’s position includes adding $20,058,161 to the city’s revenue and spending budgets.
Money#
The agreement would provide $20,058,161 for 2025–2028, with a matching $20,058,161 addition to the city’s revenue and spending budgets if approved.
- City staff list contributions of $6,017,448 for 2025–2026, $9,026,172 for 2026–2027, and $5,014,540 for 2027–2028. These figures add to $20,058,160, one dollar below the stated total.
- The replacement agreement reduces the amount from the earlier, unsigned version by $10 million: from $30,058,161 to $20,058,161.
- No estimate of the city’s administrative costs is given. The amendment’s higher administrative-expense cap would apply from April 1, 2026.
What is unclear#
- The materials do not explain how individual projects would be selected, or set out the application, decision or appeal process.
- The materials do not name the six PME MTL organizations or say how much each would receive.
- The exact annual contribution figures listed by city staff add up to one dollar less than the agreement’s stated total.
Case for#
- The agreement would provide a defined funding source for local and regional priorities, including business support, shared services and community projects.
- Higher administrative-cost limits and wider eligibility may allow more types of organizations to take part.
- The agreement would set funding and reporting rules for the city and organizations receiving delegated funds.
Case against#
- The available funding would be $10 million lower than in the earlier version.
- City staff say the agreement tightens some rules compared with 2020–2025, including lower limits on administration, excluding some organizations’ routine operating costs, and adding limits on project funding and aid rates.
- The materials do not explain how the city would choose projects or show expected results and administrative costs. Stronger reporting requirements may also add work for the city and funded organizations.