City of Ottawa boosting funding for flooding grant program in wake of Canada Day storms, will study impacts

Trash put outside of homes in Ottawa's Crystal Beach neighbourhood after July 1 flooding on July 6, 2026. (Dylan Dyson/CTV News Ottawa)

Ottawa Mayor Mark Sutcliffe says he will move a motion at the next city council meeting to help compensate residents affected by basement flooding following the record-breaking rainfall on Canada Day.

Speaking at a news conference on Monday afternoon, Sutcliffe said his motion would boost the funding to the Compassionate Grant program, which offers $1,000 to qualified property owners and tenants affected by flooding due to a sewer surcharge event.

Sutcliffe says the program is rarely used, but staff are already seeing a surge in requests.

“In the last 16 years, we’ve received about 55 applications through this program,” he said. “Our current budget is $150,000 per year. Given the events of last Wednesday, we know a lot more people are going to be applying, so we will increase it so that all eligible residents can receive funding from the city. Since Wednesday, we have already received 203 applications, and I expect there will be many more.”

Sutcliffe said nearly 4,500 homes were affected by flooding following the 118 millimetres of rain on Canada Day.

“At the height of one of our most devastating river floodings in 2019, approximately 2,000 homes had flooded basements. The number of homes we are dealing with today is more than double that,” he said.

Sutcliffe said he spoke with Premier Doug Ford on Friday and is expecting Ontario will allow Ottawa residents to apply for Disaster Recovery Assistance for Ontarians (DRAO) funding.

“The Premier and his team have confirmed that they will support our recovery efforts. I’ve since spoken to Minister Jill Dunlop and Minister Rob Flack, and we’re working together to ensure that affected residents will be able to apply for the Disaster Recovery Assistance for Ontarians program, or DRAO. We will share more details as they become available,” he said.

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Several local MPPs and councillors signed an open letter to the provincial government, asking for the same.

Under DRAO, residents and small businesses can apply for financial assistance to recover after a natural disaster. The program is only accessible if activated by the government for a specific region when a “sudden, unexpected natural disaster causes costly and widespread damage.”

Claimants can receive up to $250,000, the Ontario government’s website says.

In a statement, the Ministry of Municipal Affairs and Housing confirmed it is assessing the situation in Ottawa.

“Once the assessment is finalized, the Disaster Recovery Assistance for Ontarians (DRAO) program may be activated in areas where there is costly and widespread damage to homes or small businesses. When the program is activated, a news bulletin is issued, and details are posted on the DRAO website,” a Ministry spokesperson said.

Residents will have four months to apply for funding from when the program is activated, the Ministry added.

“Affected residents are encouraged to document all damage and retain photos, receipts, and records of clean-up and repair costs. They should also contact their insurance company to determine coverage.”

Sutcliffe stressed this is a program that must be applied for after going through the insurance process.

“Just to be clear, and to condition expectations, that’s not something that is going to happen in the next few days,” he said. “People have to go through the process with their insurance company and then apply to the provincial government. The provincial government will review their application and determine if they’re eligible for additional funding.”

Since the July 1 storm dumped 118 millimetres of rain on Ottawa officially, with some areas reporting even larger amounts, Sutcliffe says the city has taken steps to ease the recovery, such as relaxing garbage collection rules in affected areas, adding extra collection days, and cutting fees at the Trail Road landfill for flood-related waste.

Sutcliffe said additional trucks are already on the roads picking up flood-related garbage and will continue through the recovery process.

City to study flood impacts

Sutcliffe also said he would be directing staff to study what happened on Canada Day and report back to council with recommendations on strengthening city infrastructure.

“I want to make sure we get a full understanding of what happened, and that we find out what can be done to prevent this kind of event in the future. Our team will come back with recommendations, and if investments are required to protect homes and prevent this type of event from happening again in the future, we will make those investments,” he said.

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Tammy Rose, general manager of Infrastructure and Water Services, said the city’s sewer system has stabilized but also said recovery will take time. Her immediate focus is on repairing storm-damaged infrastructure and supporting residents, she said.

Hydro Ottawa CEO Bryce Conrad said the repairs from the July 1 storm were officially completed on Saturday, but some customer-owned electrical equipment must still be repaired, which requires turning power off to homes temporarily.

“We understand that this is extraordinarily frustrating to be disconnected, even when the water levels have receded,” he said. “Because flooding compromises electrical integrity, we must meticulously dry, inspect and test each piece of infrastructure. This methodical approach is the only way to guarantee that your home and your family will be safe and reliable in the long term.”

He told reporters that every part of the city was affected by the rainfall, but some areas did experience more damage than others, which he said was simply bad luck.

“The grid is the grid… This hit the entire city, as did the derecho in 2022, as did the tornadoes in ’18,” he said. “There’s nothing to the idea that these specific areas are weather magnets or anything like that, it just happens to be bad luck.”