Ontario is committing $35 million annually to help long-term care homes provide specialized care for residents with increasingly complex health needs, as the province looks to reduce avoidable emergency department visits and hospital stays.
The funding will flow through the Local Priorities Fund (LPF), which supports staffing, specialized equipment and services designed to help residents receive appropriate care within long-term care settings. The province says the investment is intended to strengthen transitions from hospitals into long-term care while improving access to treatment closer to residents’ homes.
Ontario Expands Local Priorities Fund for Long-Term Care
The Local Priorities Fund was launched in 2022 to address gaps in care for residents who require additional clinical support. According to the province, more than 3,700 projects have received funding through the program since its introduction.
“Our government is protecting our long-term care system by investing in the specialized equipment and staffing needed to address complex conditions,” said Natalia Kusendova-Bashta, Minister of Long-Term Care. “Providing consistent, multi-year funding to the Local Priorities Fund will ensure long-term care homes across the province have access to the tools they need to provide the care that residents deserve.”
The announcement was made at Midland Gardens Community long-term care home in Scarborough. The home received $67,000 through the program in 2025-26 to purchase diagnostic and specialized equipment, including a vital signs machine intended to help staff identify health concerns and reduce unnecessary emergency department visits.
More Than 1,100 Projects Supported Last Year
During the previous year, the fund supported 1,168 projects involving 394 long-term care homes and service providers across Ontario.
Among those investments were 20 specialized beds with enhanced clinical staffing at Idlewyld Manor in Hamilton for high-acuity residents transitioning from hospital.
Northern Ontario received almost $8.9 million for nearly 170 projects supporting residents with complex dementia, mobility challenges, cardiovascular conditions and other specialized needs.
Other initiatives included an enhanced Mental Health and Substance Use model at Sunnyside Home in Kitchener, aimed at strengthening mental health services and staff education, as well as expanded wound-care services at the Peter D. Clark Centre in Ottawa.
Complex Health Needs Put Pressure on Long-Term Care
The province says more than 60 per cent of Ontario long-term care residents have a dementia diagnosis, highlighting the growing clinical demands facing care homes and their staff.
“I am incredibly proud of the ways our government continues to support our seniors in the community. Through the yearly investment of $35 million via the Local Priorities Fund, we are protecting our seniors and by extension our long-term care system. My gratitude goes to Long-Term Care Minister Kusendova-Bashta, under the leadership of Premier Ford, for extending more services for our seniors in Scarborough and across Ontario. Our seniors greatly appreciate this ongoing initiative and welcome this announcement.”
— David Smith, MPP for Scarborough Centre
The LPF is administered by Ontario Health, an agency of the Ministry of Health. The program forms part of the province’s broader long-term care strategy, which focuses on staffing and care, quality and enforcement, modernizing facilities and connecting seniors with services.
Funding Aims to Reduce Hospital Transfers
Long-term care operators say access to specialized equipment and clinical resources can allow health changes to be detected earlier, potentially preventing residents from being transferred to hospitals.
“This targeted funding provides the kind of support long-term care homes need to best serve seniors. Residents are coming to us with increasingly complex health needs, but one thing hasn’t changed: they deserve to live with dignity, respect and happiness. With the right tools and technology, our teams can identify changes in a resident’s health earlier and help prevent unnecessary hospital visits. That means residents can remain in the comfort of their long-term care community, and our teams can spend more time focused on what matters most to them and their quality of life.”
— Nitin Jain, President and CEO, Sienna Senior Living
Ontario Continues Long-Term Care Expansion
Alongside the Local Priorities Fund, Ontario is pursuing a broader expansion of the long-term care system to address capacity pressures and waitlists. The government says it is building 58,000 new and upgraded long-term care beds across the province.
Ontario is also offering incentives to eligible personal support workers to encourage careers in long-term care and the home and community care sector.
The $35-million annual investment is intended to complement those capacity measures by ensuring existing long-term care homes have the staffing, equipment and specialized services required to manage residents with complex conditions. By expanding care within long-term care facilities, the province is seeking to limit unnecessary hospital use while allowing more seniors to receive treatment in familiar surroundings.