Stormwater Fee Feasibility Study

Study update

A Stormwater Fee Feasibility Study was launched last year to explore funding options for a fair and equitable way to pay for the town’s stormwater management system and services to support infrastructure needs into the future.

After extensive community outreach in fall 2024, which included two town-wide surveys, and three public meetings staff presented to Council the preferred stormwater fee structure.

Based on public feedback, there is strong support for a dedicated stormwater funding model. The community prefers a fee structure that distributes costs proportionally to the amount of runoff that different properties contribute to the stormwater system.

The Town of Oakville will be holding a virtual meeting and an open house to outline the preferred stormwater fees and provide residents and business owners with information about incentive programs and next steps. Dates and times are listed below under public engagement opportunities.

We face some challenges

Recent updates to the town’s Rainwater Management Plan estimate it will cost upwards of $732 million to care for and improve the town’s stormwater system over the next 30 years – averaging $24 million per year.

Stormwater management challenges the town is facing include:

Aging infrastructure that is nearing its end of life and will need to be replaced.
Pipes, shoreline, harbour walls, ponds, and other infrastructure requiring renewal.
Impacts of climate change, including more extreme rainstorms and temperature changes. Extreme weather events will put a strain on the town’s stormwater system and increase the risk for flooding and property damage.

Reasons to rethink how we pay for our stormwater system and services

The town needs additional funding to support our stormwater management system and services into the future, and we need a fair and equitable way to pay for it.
We should reward property owners who take action to manage stormwater quantity and quality on-site.
Many municipalities across Canada are moving towards more equitable and sustainable funding models.
A new funding method will ensure we adhere to Ontario Regulation 588/17: Asset Management Planning for Municipal Infrastructure.

The study team conducted a technical evaluation on the existing funding structure as well as on several dedicated stormwater fee structures. To inform this evaluation, the public was presented three funding structures to provide feedback.

Preferred stormwater fee structure

A dedicated stormwater fee would improve equity and more effectively address the town’s funding needs, making it a preferable alternative to the current property tax method. Based on a technical evaluation and public feedback, the following stormwater fee structure is preferred:

Distribution of costs based on runoff area. With non-residential properties contributing 56 per cent of stormwater management funding and residential properties contributing 44 per cent of funding. This is in line with estimated runoff areas.
A three-tier flat fee for residential properties (single family, high density, semi-detached/link home) flat fee. Property owners in each tier would pay based on the average runoff area for each tier. This method reflects the typical residential property impact on the town’s stormwater system, while minimizing administrative cost and effort.
Variable fee based on runoff area for non-residential properties. A rate is calculated based on the estimated stormwater runoff area for non-residential property types using the town’s Development and Engineering guidelines. Each property owner would pay a different fee based on the rate multiplied by the area of their individual property. A variable fee is recommended due to the greater variability among non-residential properties compared to residential properties.

Incentive programs

The study is also considering an incentive program. A stormwater incentive program could include credits to help lower a stormwater fee for property owners who implement stormwater management measures, such as rain gardens or cisterns, reduce the amount and/or improve the quality of stormwater runoff from their property.

An incentive program would help property owners reduce stormwater fees and encourage on-site stormwater management that better supports the natural water balance and protects the natural environment.

A rebate program is being recommended for residential property owners to be eligible for financial support when purchasing and installing rain barrels, rain gardens, permeable pavement, infiltration trenches, bioswales, and more.

A credit program is also being recommended for non-residential properties, with different credits for various stormwater management practices. Properties could reduce their fee by up to 50 per cent by implementing measures on-site if they:

Reduce peak stormwater flow (e.g. detention ponds and tanks)
Improve water quality (e.g. catch basin shields, oil-grit separators, water treatment facilities)
Reduce total stormwater runoff volume (e.g. bioswales, pervious pavements, infiltrations trenches).

If the recommended incentive program is implemented, the town would require proof of installation and ongoing maintenance. Applicants would need to renew every two to five years.

Past engagement opportunities

Past public meetings

October 1, 2024 - Virtual public meeting

We held a virtual meeting to provide the public with more information about the funding options being considered.

Watch the meeting recording

October 2, 2024 - In person public meeting

We held a public meeting at Glen Abbey Community Centre, including a presentation and question and answer period.

Review The Presentation Slides (PDF)

October 9, 2024 - Virtual public meeting for the business community

We held an information session for commercial, retail and industrial property owners.

Watch the business community meeting recording

June 17, 2025 - Virtual public meeting

Watch the June 17, 2025 meeting recording

June 19, 2025 - In person public meeting

We held an open house at Town Hall.

Past public surveys

Two public surveys were open until October 18, 2024. Residential and non-residential property owners were invited to share their thoughts on the stormwater funding options. The town received 741 survey responses:

Over 80 per cent of respondents consider the town’s stormwater services “important” or “very important,” and support improvements for climate change resiliency and sustainable funding.
More than 67 per cent agree that funds should be collected based on the amount of stormwater runoff a property contributes, with a preference for a variable stormwater fee.
Over 70 per cent of respondents support incentive programs, and 69 per cent would likely implement on-site measures if offered a subsidy or rebate.

Timeline and next steps

June to August 2024

Establishing the need for the study

Council workshop was held on June 11, 2024.
The education campaign to share the rationale for the Stormwater Fee Feasibility Study began in summer 2024.

September to December 2024

Funding options and analysis

Council workshop to discuss funding options was held on September 10, 2024.
Town-wide public engagement, including a public meeting, stakeholder meetings and online survey to gather input and feedback on the different funding options and impacts, and incentive program options.
Council directed staff to proceed with further public engagement on the preferred stormwater funding fee structure, beginning in 2025.

May to June 2025

Public engagement on preferred funding option and implementation plan

Council workshop was held on June 2, 2025
Public information sessions were held on June 17 and 19 to share back what was heard in previous public engagement, present the preferred fee structure and why, how the fee is calculated and implementation plan and to gather further input on a credit incentive program.

September 2025

Final recommendations

Council meeting to present and seek approval on the final recommendations including the funding method, proposed fees and implementation plan.

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