West Perth has lost over $660,000 in Ontario Municipal Partnership funding.
Treasurer Karen McLagan says the funding cut is greater than projected, and she is recommending that council ask Perth County to take the issue to the Western Warden's Caucus.
A report to council says the reduction would equal a 13 per cent increase in the tax rate.
McLagan says the Province is also abandoning the Farmland Property Tax Rebate
That means rural areas will have to cover the cost of farm land property tax breaks, on behalf of the entire province.
The report says the province is not considering the amount of infrastructure needed to provide services in a municipality, and population densities in rural areas.