FAQs
- Open and effective local government
- Invest in and protect our rural character
- Good infrastructure and diversified economy
- Rising to the challenge of climate change
- A community that cares
How is the municipality spending my tax dollars?
Your tax dollars support the delivery of a wide range of public services and programs. That includes everything from public safety (policing, by-law enforcement, provincial offences administration) to transportation services like road and sidewalk maintenance and snow plowing.
Your tax dollars also support recreation services and facilities, waste management services, long-term care services, and planning and development. A portion of your tax dollars are also directed to external agencies and boards that in turn deliver health and social services, library services, and conservation services for Prince Edward County.
The municipality has prepared an overview of the 2024 budget to help you understand how tax dollars and other revenue is spent. Click here to view.
What is the difference between the operating and capital budgets?
The operating budget details what the municipality will spend on programs and services during a given year and where the money will come from to pay to deliver those programs and services. Under provincial legislation, the municipalities cannot run into a deficit, so all money spent on services in a given year must have a revenue source.
The capital budget outlines the municipality's plan for funding the snowplows, fire trucks, vehicles, roads, buildings, and other infrastructure that support the delivery of programs and services.
Asset Management Plans, which are required by the province, provide municipalities with an assessment of the current state of their infrastructure. By knowing how much it will take to repair or replace all of its assets, the municipality can then put a long-term plan in place to manage those capital costs.
Asset Managment Plans help communities manage municipal infrastructure assets and make better investment decisions. They also help municipalities reduce risks so they can provide reliable and affordable services and a high quality of life to residents. All Ontario municipalities are required to have a capital plan for all of their assets in the Asset Management Plan by July 2025.
What is the difference between taxes and user fees?
Property taxes are levied to all property owners for goods and services used by the broader public or for public good. These programs and services are things such as roads maintenance, fire protection services, and affordable housing initiatives.
User fees are paid by individuals for municipal services that are a direct benefit to the individual. For example, fees are charged for someone wishing to rent a town hall for a wedding reception, or someone renting the ice for hockey practices or pick-up games.
Are my tax dollars being properly managed?
County of Prince Edward staff maintain a system of internal controls to ensure assets are safeguarded, transactions are properly authorized and recorded in compliance with legislative and regulatory requirements, and reliable financial information is available on a timely basis for preparation of the consolidated financial statements.
Consolidated financial statements reflect the municipality’s assets, liabilities, revenues and expenses. As required by the Municipal Act, financial statements are prepared annually by staff and are audited by an external auditor for the municipality in accordance with generally accepted accounting principles for local governments. The Audit Committee meets with management and the external auditor to review the consolidated financial statements and discuss any significant financial reporting or internal control matters prior to their approval of the consolidated financial statements.
Are there other ways for the municipality to raise revenue besides property taxes?
Property taxes are the largest source of revenue for the County of Prince Edward. Other revenue sources include federal and provincial funding and user fees.
The Ontario Municipal Act limits how the County and other municipalities in the province can generate non-tax revenue. In 2017, the Ontario government gave municipalities a new revenue tool in the Municipal Accommodation Tax (MAT). In February 2021, the County implemented a 4% MAT on short-term, roofed accommodation stays.
By law, half of the funds generated by the MAT will remain with the municipality to support tourism infrastructure development. The other half must be used to support tourism marketing and development. In the last couple of years, Council has directed most of the municipal portion of the MAT to the road rehabilitation budget.
What is long-term debt and how is it used?
The County of Prince Edward uses long-term debt to fund larger capital expenditures such as the redevelopment of its long-term care home. It is similar to a homeowner’s mortgage and is repaid over time through payments that include interest.
What are Council’s priorities for the 2025 Budget?
Budgets are developed with the goal of providing high quality municipal services to the community every day. Budgets also support the strategic priorities as set by Council in its 2023-2026 Strategic Plan. Council's priorities and objectives are grouped under five themes:
How are the water rates set?
Please note: the operating and capital budgets for water and wastewater services are funded primarily by the water and wastewater rates. Water and wastewater rates dictate how much you pay for the water that you consume at your home, business or a bulk water station, as well as your base connection charge. Wastewater rates are tied to your water consumption.
Council has approved the water and wastewater rates for the period 2022-2026. The municipality will study the rates in 2025 in order to set them for 2027-2031. Public consultation will occur as part of that rate study.
In addition, the municipality has struck a Water and Wastewater Rates Community Committee to provide public engagement and user collaboration regarding the financial sustainability of the municipality’s water and wastewater systems, including service delivery, long-term planning, asset management, user rates and capital charges. This work will help to inform the 2027-2031 Rate Study.