The Department of Highways, predecessor to the modern Ministry of Transportation, assumed control of the road between Bracebridge and Dorset on November 16, 1955.
However, budget constraints brought on by a recession in the 1990s resulted in the Mike Harris provincial government forming the Who Does What?
committee to determine cost-cutting measures, in order to balance the budget after a deficit incurred by former premier Bob Rae.
[7] It was determined that many Ontario highways no longer served long-distance traffic movement and should therefore be maintained by local or regional levels of government.
[8] As the entirety of Highway 117 generally served local and seasonal traffic on the south side of Lake of Bays, and not long-distance movements, the route was transferred to the District Municipality of Muskoka.