County’s proposed budget rate increase at 3.59 per cent

County Council wrapped up three days of deliberations on the 2026 municipal budget on Friday.

The proposed 2026 budget funded by municipal taxes requires a rate increase of 3.59 per cent (including assessment growth). This increase will result in a homeowner paying an additional $37.73 annually, or $3.15 monthly, per $100,000 of assessed home value.

“We understand that many in our community are struggling financially and face uncertainty in the year ahead,” Mayor Steve Ferguson said. “Together as a group, council worked to reduce the impact on our residents while continuing to deliver high-quality services and invest in critical infrastructure as outlined in our Asset Management Plan.”

He will present the budget in January 2026, in accordance with the process outlined in the Municipal Act under the strong mayor powers and duties.

The tax-supported operating budget of $87.7 million — $56.8 million raised through taxation — will fund the delivery of services such as road and bridge maintenance, garbage pick-up, policing, recreational programs, emergency services, libraries, museums, community services, and long-term care.

The capital budget of $22.6 million for 2026 will pay for road repair, construction, and replacement and the equipment to support that work, a land ambulance, and improvements to several recreation amenities and municipal properties.

Road reconstruction and rehabilitation highlights

The proposed 2026 capital budget dedicates $14 million to road reconstruction and rehabilitation. That total includes a $4.5 million investment in rehabilitation and preventative maintenance on 53 km of rural roads, $874,000 more than 2025.

The following road reconstruction projects are included in 2026 capital budget:
– Barker Street in Picton from Downes Avenue to Johnson Street
– Bowery Street from Barker Street to King Street and from Mary Street south to the end
– County Road 3 from near Campbell’s Orchards west for 2 km

Additional highlights from the proposed 2026 budget include:

– $400,500 to support the ongoing recruitment and retention of family physicians to practice in Prince Edward County.
– Funding for community groups and activities including:
Prince Edward Fitness and Aquatic Centre ($150,000)
Community grants under $15,000 ($149,058). This program is administered by The County Foundation
TheROC Youth Centre ($90,000)
Prince Edward Learning Centre Tax Program ($80,000)
$78,793 to support the work of the ward recreation committees
Community Care for Seniors ($64,890)

Water and wastewater budgets

Council also considered the water and wastewater capital budget of $6.5 million and the operating budget of $12.7 million. The water and wastewater budget is supported entirely by rates; no property taxes go toward water and wastewater services. The water and wastewater rates for the period of 2022-2026 were approved through a Council by-law in 2021.

The 2022-2026 Water and Wastewater Rate Study sees all capital improvements funded by debt. Debt payments are included in the water and wastewater operating budgets.

A Water and Wastewater Rates Community Working Group has been established to help create water and wastewater rates for 2027 – 2031.

Financial relief

The Municipal Financial Relief Program to support low-income households in Prince Edward County will continue in 2026. Council set aside $473,000 for the program.

This is an income-tested program that provides relief to low-income households through credits on municipal tax and water bills. The 2026 eligibility criteria and grant amounts will be announced in early 2026 and are expected to align closely with the 2025 criteria .

In 2025, households earning less than $32,240 (single income) or $64,480 (family income) could apply. Qualifying tenants who pay for water and wastewater services could apply for $350 toward their water bill. Qualifying homeowners could apply for $750 toward their property tax account.

In 2025, households earning less than $20,000 were able to apply for one of two streams: Qualifying tenants who pay for water and wastewater services could apply for $500 toward their water bill. Qualifying homeowners could apply for a credit of $1,000 toward their property tax account.