Stormwater Funding Review

Stormwater Funding Review

Rethinking how we pay for stormwater management infrastructure.

Stormwater Management and Fees in Peterborough

Stormwater is rain and melted snow that runs off roofs, driveways, lawns and other surfaces. Hard surfaces like parking lots, driveways and rooftops, prevent water from naturally soaking into the ground. Instead, this runoff flows into the City’s stormwater system.

The City manages stormwater to reduce flooding and erosion, protect homes, roads and public infrastructure, and protect water quality in local rivers and waterways.

Peterborough’s stormwater system, worth approximately $1.7 billion, includes storm sewers, ponds, ditches, culverts and watercourses across the city. Maintaining this system requires inspection, repair and regular investment.

How Stormwater is Funded Today

Property owners have always paid for stormwater services, even if it wasn’t always visible as a separate charge.

Until early 2025, stormwater was funded through property taxes and a wastewater surcharge on water bills.

To start a transition towards a dedicated funding source, the City introduced an interim stormwater fee on water utility bills in April 2025. This fee is based on a property’s assessed value and currently covers about 40% of total stormwater funding. Some stormwater-related activities, like storm sewer repairs completed during road works and street sweeping, are still funded through property taxes and the wastewater surcharge.

You can check your current fee by visiting Peterborough’s stormwater webpage.

Why Change is Needed

Right now, stormwater fees are based on how much a property is worth, not on how it affects the stormwater system. For example, a large retail store with a big parking lot generates far more stormwater runoff than a small downtown business. Yet if the smaller business has a higher assessed property value, it pays more – despite placing less load on the stormwater system.

A fair and sustainable approach would connect fees to stormwater impact, not property value. It would also encourage people to think about how their property affects stormwater, and maybe even make changes to reduce that impact.

The Stormwater Funding Review

The City’s Stormwater Funding Review Study is exploring new ways to fund stormwater services based on a property’s estimated stormwater runoff instead of assessed value.

The Study aims to:

• Improve fairness by aligning fees with stormwater impact
• Consider consolidating stormwater funding into a single, dedicated fee
• Support long-term infrastructure planning and environmental protection

A revised fee would also support compliance with Ontario Regulation 588/17: Asset Management Planning for Municipal Infrastructure and the City of Peterborough's Consolidated Linear Infrastructure Environmental Compliance Approval, which both require sustainable funding for key assets like stormwater infrastructure.

Preferred Funding Model

Based on a technical analysis and public feedback, the Study Team has identified the following preferred funding approach:

• Residential properties would be charged based on housing size and type. Under this method, different property types (like condo units, semi-detached homes and single-detached homes) would each have a different stormwater fee. Larger single‑detached homes would also have a higher fee than smaller single-detached homes.
  
• Non‑residential properties would be charged based on measured impervious (hard surface) area.
• Stormwater incentives, such as credits would encourage property owners to take steps to manage stormwater runoff on-site.

This approach balances fairness, accuracy, administrative feasibility and long‑term financial sustainability.

Estimated fees and examples of how charges may vary by property type are available in the FAQ section at the right side of this page.

Stormwater Incentives and Credits

The preferred funding model incorporates incentives to encourage actions that reduce stormwater impact. Proposed incentives include:

• Residential subsidies (one-time rewards) to help offset the costs of installing measures at home, like the City’s Rain Garden subsidy program (click this link to learn more).
• Stormwater credits (ongoing fee reductions) for non-residential and multi-unit residential property owners that install and maintain stormwater management measures on-site, like detention ponds and oil and grit separators.

These incentives help reduce the burden on the City’s stormwater system and help protect local waterways from pollutants picked up by stormwater runoff.

More information about proposed credits is available in the FAQs on the right of this page.

What We Heard from the Community

Public feedback played an important role in identifying the preferred funding approach. During engagement, participants told us that:

• Fairness is important
• Stormwater fees should reflect runoff rather than property value
• A residential fee by housing type and size is the most preferred option
• Incentives should encourage positive action
• Many respondents are interested in stormwater incentives and would consider applying in the future

Read the engagement summary here for more details about public feedback.

A virtual public meeting was held February 4, 2026 to share information about the study and answer questions. You can view a recording of the meeting here.

What’s Next?

• Study recommendations will be presented to Council in summer 2026.
• If approved, the restructured stormwater fee would be implemented in 2027.

Stay Involved

Public input continues to be important to the Stormwater Rate Study and will help inform recommendations to Council.

You can learn more and stay involved by:

• Attending the public meeting, which will be held at the Peterborough Public Library (345 Aylmer St. N) in the "Friends of the Library" Room on May 5, 2026 from 7:00 to 8:30 p.m. A presentation will begin at 7:30 p.m. Meeting materials will be shared online following the event for those unable to attend.
• Completing the feedback form or asking a question using the tabs below. The feedback form will be available until May 22, 2026. Hard copies will be also available at the public meeting.