Municipal Financial Relief Program Relaunches for 2026 | The County Foundation

The Municipal Financial Relief Program Relaunches for 2026

The Municipal Financial Relief Program has relaunched for this year, and has been updated to reflect a new set of guidelines. After four years of operation, there was interest in reviewing the program and eligibility structure in order to re-affirm the intention of the program (to help low-income residents manage the rising costs of municipal taxes and water rates), improve the equity of access for residents, and continue to support those who are already eligible.

Apply to the Municipal Financial Relief Program

Frequently Asked Questions (FAQs) on 2026 Program Updates

Here are some questions you may have about the program updates.

Why did you review the program?

We reviewed the program to make sure it still does what it was meant to do. The program was created to help people with low incomes pay rising municipal tax and water bills. After four years, municipal staff saw that:

Fewer people applied in 2025 than expected

Some people with real financial need could not qualify under the old rules

Other communities were doing things a bit differently

The review helped check what was working well and what could be fairer or clearer for residents.

How did you review the program?

The County did not make changes quickly or in isolation. Staff:

Reviewed why and how the program was first created

Looked at program data from 2022 to 2025

Compared the program to similar programs in other places

Worked closely with community partners who support residents living on low incomes

Tested different options to make sure changes would still fit the approved budget

The goal was to improve the program without taking support away from people who already rely on it.

Why did you change the income cut-offs?

The old income rules were too simple and did not always feel fair.

Under the old rules:

Bigger households were treated the same as smaller ones

A family with children could be excluded even if money was tight

Only people earning under $20,000 could get the highest help, no matter how many people lived in the home

The new income scales:

Adjust for household size

Match well-known federal and provincial low-income measures

Make sure people with similar financial pressure are treated more equally

This helps the program reach the people who need it most.

Why are there two levels of support?

Not all households face the same level of financial pressure.

Having two levels lets the program:

Give larger, fixed grants to households under the lowest income limits

Still offer help to households with slightly higher income but real affordability challenges

Stretch the budget so no eligible household is turned away

This makes the program fairer and more sustainable.

Why are the Standard Support grant amounts not a set amount anymore?

In the past, everyone who qualified for this level of support received the same grant amount. As more households became eligible, that approach was no longer fair or sustainable. There was a danger that some eligible households would be turned away because the money ran out.

The program now uses variable grant amounts for the Standard Support stream so it can:

Make sure everyone who qualifies can still receive help

Direct the largest support to households with the lowest incomes

Stay within the Council-approved budget

This change helps avoid a situation where some eligible households would be turned away because the money ran out.

Who decides how much my grant will be?

If you qualify for the Enhanced Support stream, your grant amount is fixed at $1000 for tax credits or $500 for water credits.

Grant amounts for the Standard Support stream are set based on:

The number of eligible applicants

The available program budget after the Enhanced Support applicants have been funded.

The maximum grant amount for the Standard Stream is $750 for tax credits and $350 for water credits. We expect that in 2026, applicants will receive grants that are slightly less than the maximum.

Who can qualify now that could not before?

Some people may be newly eligible because:

Larger households now have higher income limits

Renters who pay for water based on use (through their landlord) can now apply for water support

People can connect with PELC and use different kinds of documents to prove their income if they don’t have a tax notice

The intent was to close gaps, not remove support from people already eligible.

I’m a renter, and I have municipal water in my home. Am I allowed to apply?

It depends on how you pay for water.

Some renters can apply, and some cannot. The key question is whether water costs are passed on to you based on how much water you use.

You may be able to apply if you pay for water based on your actual use, even if the bill is in your landlord’s name. In this case, water rate increases affect your household directly, similar to a water account holder. You and your landlord will need to fill out a form together to prove your water arrangements.

You cannot apply if water is included in a fixed rent amount. In most cases, rent increases are limited by provincial rules, and water costs are not passed on based on use. This means water rate changes do not affect your household in a direct way.

The program stays focused on helping residents who clearly feel municipal water rate increases tied to how much water they use.

Why can’t rural renters get a grant?

The program is tied to municipal bills.

Rural renters:

Do not receive municipal tax bills

Are not connected to municipal water systems

Are not directly affected by County water and wastewater rate decisions

Expanding the program to rural renters would change it into a general cost-of-living program. That type of support is handled by other services, not municipalities.

There are other programs that can help you. Go to Help With Payments for a list of supports. Rural renters can get help through Prince Edward Lennox & Addington Social Services (PELASS).

PELASS programs:

Help with costs like water delivery, heat, electricity, and rent

Use income rules similar to this grant

Can support people who do not have municipal bills

Why was a check for savings added? (the Financial Resources Check)

Income alone does not always show a full financial picture.

The savings check:

Confirms the support goes to households without large financial resources that can help them pay their bills

Matches how other income-tested programs work

Helps make sure public funds are used responsibly

I heard there was a fund for people whose water might be disconnected. What is this and how do I access it?

This is a small, new support for people who are at risk of having their water shut off and have no other way to pay their bill.

The MFRG program helps with yearly bills, but it does not work well in urgent situations. This new fund is meant to be a last line of help when disconnection is close, and other options have been tried.

Key things to know:

It is only for households who would qualify for the lowest income level of the program (Enhanced Support)

It is used only in serious, urgent situations

It is not something residents apply for on their own

To access this help, residents work with municipal revenue staff and a trusted community partner. If water disconnection is likely and there are no other solutions, the partner can recommend support to prevent the shut-off.

This approach helps protect health and housing while making sure the support is used carefully and fairly.

Program History

The Municipal Financial Relief Grant (MFRG) was established in 2022 to help low-income residents pay their municipal tax and water bills. The program was proposed during the last water and wastewater rate study as a tool to ease the impact of rising rates.

Council approves the program’s annual policy and budget, while The County Foundation oversees day-to-day administration. For 2026, the Prince Edward Learning Centre will now also support with delivering the program and providing 1-on-1 support to applicants.