Toronto basement flooding subsidy: the rule card.

The City of Toronto's Basement Flooding Protection Subsidy pays up to $6,650 at 80% of eligible costs, but that headline figure is the sum of five separate per-item caps, not one pot of money for one job.

The real per-item caps behind the headline figure

The $6,650 figure is a lifetime maximum across five separate capped categories, not a per-job entitlement. A homeowner installing a single backwater valve, the single most common job, has a real ceiling of $1,600, not the full headline figure. These caps apply to work completed on or after November 12, 2025; an earlier, lower schedule applied before that date.

Downspout disconnection is a precondition, not a paid item

Downspout disconnection from the sewer is not itself a reimbursable line item; it is a precondition the homeowner must already satisfy before other work qualifies for the subsidy. The downspouts from the property's eavestrough must be disconnected from the City's sewer system, or the homeowner must have been granted an exemption by the City, before a backwater valve, sump pump, or any other eligible item can be claimed.

Contractor licence requirement

The contractor must hold a valid City of Toronto business licence of the correct class, in addition to whatever provincial trade certification applies. This is a Toronto-specific municipal business-licence requirement layered on top of, not a substitute for, the provincial plumber certification. Which licence classes qualify depends on the job:

What work is covered

• Backwater valve. A device that prevents sewer water from backing up through the floor drain. Requires a building permit and city inspection before concrete is patched. Capped at $1,600 per device, max 2 devices.
• Sump pump. Installs in the basement to pump groundwater away from the foundation. Capped at $2,250, max 1.
• Battery backup for sump pump. Keeps the pump running during power outages. Capped at $300.
• Home plumbing assessment. A professional assessment of the drain system. Capped at $500, one-time.
• Foundation drain (weeping tile) pipe severance and capping. Severing and capping the underground connection to the sewer lateral, not full weeping-tile replacement. Capped at $400.

Eligibility, in general terms

The registered property owner must be the applicant, on a property connected to the City of Toronto sewer system with no outstanding City tax arrears. Work must be performed by a contractor holding the correct Toronto business licence class for that job, a building permit is required before backwater valve installation begins, and a City inspection is required before the valve is covered. If your contractor does not have a valid City of Toronto licence, funding is denied for the work completed, regardless of the quality of the application. Property type is also a factor: confirm your specific property's eligibility, the current claim window, and processing timelines directly with the City before applying.