Water Supply Allocation

Water Allocation Policy ADM 06 (By-law 26-063)

On July 21, 2026, the City of Cambridge adopted a Water Allocation Policy to establish a formal process for prioritizing development projects and allocating limited water capacity within the Mannheim Water Service Area. The Policy applies to any Development where an extension, upgrade, and/or provision of new main line/water supply is required, with the exemptions to the Policy listed in the Scope section of the Policy.

The City also passed a zoning by-law amendment requiring confirmation that adequate water supply and servicing capacity are available before certain development approvals can proceed.

If your project is within the Mannheim Water Service Area, water must either be allocated to the project, or the project must be confirmed as exempt from the Water Allocation Policy, before any of the following can occur:

• Site Plan Approval
• Registration of a subdivision or condominium
• Issuance of a Certificate of Official for a Consent (land severance)
• Approval of a Part Lot Control Exemption
• Issuance of a Building Permit 

A Water Allocation Application should not be submitted until:

• A related planning application or building permit application has been accepted by the City; and
• The water capacity required for the proposed development has been confirmed.

Submitting an application before these requirements are met may result in the application being refused.

Step 1: Submit an Application

The proponent must complete and submit the online Water Allocation Application.

Step 2: Completeness Review

Planning staff will review the application and request any additional information required. Once all necessary information has been received, the City will confirm that the application has been deemed complete.

Step 3: Preliminary Review

Planning staff will conduct a preliminary review of the application to determine whether the Water Allocation Policy applies and to assess the information provided.

Step 4: Exemption Determination

If Planning staff determine that the proposal qualifies for an exemption under the Water Allocation Policy, an Exemption Notice will be issued to the proponent. Upon issuance of the notice, any related planning or building permit applications may proceed without further consideration under the Water Allocation Policy.

Step 5: Preliminary Allocation Review

Where the Water Allocation Policy applies, applications will be considered collectively in cycles as new water capacity becomes available from the Region of Waterloo. A schedule of application deadlines by allocation cycle may be published by the City once more information is available.

Step 6: Prioritization and Decision

Following a cycle of application review, a decision will be issued in writing by the General Manager of Planning and Growth. Potential decisions include:

1. Immediate Water Allocation Confirmation

   The City may issue an Immediate Water Allocation Confirmation Letter for signing by the Proponent and the City.

   This letter:

   • Confirms that water capacity has been allocated to the development.
   • Identifies the amount of capacity allocated.
   • Establishes the period during which the allocation is guaranteed, after which the allocation may be revoked if specified conditions are not met.

   Where the Water Allocation Policy applies, a building permit cannot be issued without a signed Water Allocation Confirmation Letter.

2. Forward-Looking Servicing Agreement

   The City may issue a Forward-Looking Servicing Agreement for signing by the Proponent and the City.

   This agreement does not guarantee water capacity. Instead, it acknowledges the development's position within the allocation process and may establish conditions or expectations related to the future availability of capacity.  This agreement allows Subdivisions and Condominiums to be registered and site plans to be approved, however a Building Permit cannot be issued without an Immediate Water Allocation Confirmation Letter.

3. Deferral of Consideration

   The City may issue a Deferral of Consideration.

   This means that no water capacity is allocated at that time. However, the application will remain active and will be reconsidered when additional water capacity is provided by the Region.

Step 7: Objection Process

If a proponent disagrees with the decision, they may submit a written objection to the City Manager within 10 calendar days of receiving the decision.

The City Manager will review the objection in consultation with the General Manager of Planning and Growth and other senior staff involved in the decision-making process.

The City Manager's decision will be provided to the proponent in writing. In accordance with Section 86.1(3) of the Planning Act, all decisions of the City Manager are final.