Ontario Construction Report staff writer
The City of Ottawa’s Public Works and Infrastructure Committee has approved an $880.7-million capital spending plan for 2026, paving the way for major suburban arterial expansions while grappling with new provincial legislation that has frozen key downtown active transportation projects.
The Draft Budget 2026, approved on Nov. 27 focuses heavily on “renewing and growing” the city’s transportation network. It earmarks $557.7 million for projects reducing greenhouse gas emissions and includes substantial funding to break ground on long-awaited congestion relief in Barrhaven and Stittsville.
However, the meeting was overshadowed by the immediate impacts of the province’s Fighting Delays, Building Faster Act (Bill 60). City staff confirmed that Schedule 5 of the bill, which prohibits municipalities from removing traffic lanes to install bicycle infrastructure, will force the delay or redesign of at least three major urban projects.
Suburban expansion gets the green light
For the heavy civil construction sector, the budget signals the start of significant earthworks in 2026. The committee approved funding to move forward with two massive multi-year widening projects that have been in planning for over a decade.
The budget allocates $56.1 million for the widening and realignment of Greenbank Road between Chapman Mills Drive and Cambrian Road. This complex project is critical for the growing “Half Moon Bay” community in Barrhaven South. It involves not just road widening, but the engineering of a major new structure over the Jock River to replace the existing, flood-prone two-lane crossing. The project will eventually accommodate a median Bus Rapid Transit (BRT) lane, fully separated from general traffic.
In Stittsville, $20.4 million is committed to widening Carp Road between Highway 417 and Hazeldean Road. This corridor, a vital link for both commuters and the surrounding industrial park, will be expanded from two lanes to four. The project includes extensive underground infrastructure renewal and is designed to handle the heavy freight traffic characteristic of the area.
Other growth-focused investments include:
- $3 million to begin design work on the widening of Brian Coburn Boulevard between Mer Bleue and Tenth Line roads, a key piece of the future Cumberland Transitway to relieve east-end gridlock.
- $11.8 million for road and sidewalk upgrades in developing areas.
- $17.9 million for intersection control measures to improve network flow.
State of good repair
Beyond new growth, the city is investing $239.6 million in integrated road, water, and sewer projects. This includes $70 million specifically for road resurfacing, a staple for local paving contractors.
“These investments focus on integrated road projects, rehabilitating and renewing roads, bridges, sidewalks and pathways,” stated the committee report.
Specific renewal allocations include:
- $41.3 million for bridge and structure rehabilitation.
- $13.5 million for sidewalk and pathway renewal.
- $38.1 million for fleet replacement, continuing the transition to electric and hybrid vehicles.
- $103.4 million for winter operations, an increase of $3 million over the previous year.
Bill 60 forces project review
While the budget invests $32.1 million for pedestrian and cycling facilities to close “missing links” in the network, the committee learned that provincial Bill 60 has effectively halted projects that require road re-profiling.
Schedule 5 of the Act amends the Highway Traffic Act to ban the removal of vehicular lanes for bike lanes. Consequently, city staff identified that works planned for St. Joseph Boulevard, the O’Connor Street Bikeway extension, and the Albert and Slater streets reconstruction cannot proceed as currently designed.
Staff will report back in Q2 2026 with recommendations on how to reallocate the funding from these stalled projects. The city must now review the Transportation Master Plan and Road Safety Action Plan to ensure future roadway designs comply with the provincial ban on lane reductions.
Next steps
The city has identified approximately $3 million in operating efficiencies, including $1.3 million in fleet savings and $145,000 from facility streamlining, to help balance the ledger.
City Council will vote on the committee’s recommendations and the final Draft Budget 2026 on Wednesday, Dec. 10.

