Government says moving the recycling program to producers would save municipalities more than $125 million annually.
FPAC will work directly with Federation of Canadian Municipalities.
Infrastructure minister cites economic factors for not increasing contribution to infrastructure.
The $13.5 million Green Municipal Fund will aid capital projects.
Municipalities claim they are flushing $250 million a year because of clogging issues.
Ontario municipalities will get more say, but not a full veto over the location of wind and solar projects when the Liberals release a review of their green energy plans.