The Municipal and Regional District Tax (MRDT) was introduced in 1987 by the Provincial Government to provide funding for local tourism marketing, programs, and projects. This tax was originally the hotel tax, which then evolved into the MRDT which gave municipalities the revenue to grow their communities.
The 2018 Budget expanded the use of MRDT and Online Accommodation Platform (OAP) tax revenues to include affordable housing. Some municipalities have applied for 3% MRDT, 1% of which is earmarked for affordable housing.
Currently, when designated recipients apply for the MRDT funds, the communities need to go through the full application process which includes 14 pieces of documentation, among them, Appendix 1.8, the Annual Affordable Housing MRDT Report.