Government has agreed to fund infrastructure, operating and capital investments for roads, and transitional costs associated with the dissolution of Hantsport.
The agreement will provide new funding totalling $3.05 million over five years to help transition Hantsport to a new governance structure.
Equalization funding for the combined municipality will be frozen for five years at the level currently paid to the town and municipality.
The details are in a letter of intent that will be presented as evidence at the March 23 hearing with the Nova Scotia Utility and Review Board.
Last May, Hantsport applied to the review board to dissolve. Transition co-ordinator John Morash worked with town, county and provincial representatives to develop an agreement to transition Hantsport to a new municipal government structure that is in the best interests of residents.
Government supported the transition work by providing funds for reports and research to ensure a transparent and evidence-based decision-making process by the review board.
If approved by the review board, the new municipal structure will take effect July 1.