Doug Ford’s Ontario Student Assistance Freeze Could Shut Dental College Before Aid Returns

A Hamilton dental college says it could close in December, potentially before Ontario implements the new student-aid verification process expected in 2027, exposing a deadline mismatch in Premier Doug Ford’s provincewide crackdown on suspected misuse of the Ontario Student Assistance Program (OSAP).

Southern Ontario Dental College, which has operated for 22 years, warned that it cannot continue indefinitely without tuition payments from students whose financial assistance has been frozen.

Chief operating officer Alysse Estrabillo told The Canadian Press that the institution could shut down next month without alternative funding.

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The warning follows Ontario’s recent suspension of OSAP payments associated with private postsecondary institutions after preliminary findings from a KPMG audit raised concerns about potentially improper applications and inadequate student verification.

Southern Ontario Dental College has not been publicly identified by the province as an institution involved in suspected OSAP misconduct.

The government subsequently announced that payments would remain suspended until stronger approval procedures were introduced, a process expected to take effect in 2027.

On November 4, Ford said KPMG had been instructed to prioritize lower-risk colleges for clearance. However, he provided no date for when those institutions could regain access to funding.

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The suspension also creates an immediate cash flow problem for institutions dependent on OSAP-funded tuition. Southern Ontario Dental College says it has been unable to collect expected payments from affected students, leaving administrators uncertain whether the institution can remain open through December.

The disruption extends beyond students receiving OSAP. Diane Yu, a second-year dental hygiene student who has never applied for the program, told The Canadian Press that a closure could prevent her from completing her remaining clinical requirements and preparing for licensing examinations.

Another student cited by the outfit, Haylie Eady, faces nearly $52,000 in tuition for her two-year dental hygiene program. The single mother reported receiving a rent nonpayment notice while seeking temporary work to support her children.

Students have also established a food bank at the college, according to Estrabillo.

The province’s intervention followed substantial increases in student assistance spending at a concentrated group of career colleges.

Data obtained by The Canadian Press showed that seven institutions accounted for approximately $385 million in provincial OSAP grants in 2024-25. Ontario has cited concerns involving enrollment verification, student identification, and suspicious application patterns.

Ontario says it is developing low-interest third-party financing options for affected students, but no implementation date has been announced.

Information for this briefing was found via the sources and the companies mentioned. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

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