The provincial government has reached an agreement with the Town of Springhill and the Municipality of the County of Cumberland on a number of issues associated with the dissolution of the town.
The agreement supports infrastructure, operating and capital investments for roads, and transitional costs.
It provides $5.7 million over five years to help the Town of Springhill move to a new governance structure.
Equalization funding for the combined municipality will be frozen for five years at the level now paid to the town and county.
The details are in a joint letter of intent that will be presented as evidence at a hearing beginning Dec. 15, with the Nova Scotia Utility and Review Board.
In May, Springhill applied to the review board to dissolve. Transition co-ordinator John Leefe is working with representatives of the town, county and province to reach an agreement to move Springhill to a new municipal government structure that is in the best interests of residents.
The provincial government supported the transition work by providing funds for experts to prepare financial and infrastructure research and reports.
If approved by the review board the new municipal structure will take effect April 1, 2015.