Chicago Water Bill Help 2026–27: Utility Billing Relief Cuts Water and Sewer Charges in Half and Can Erase Old Debt
For many Chicago homeowners, the city utility bill (water, sewer, the water-sewer tax and the garbage fee) has become hard to keep up with, and an unpaid balance can grow quickly. The City of Chicago's Utility Billing Relief (UBR) program was built for exactly this situation. Eligible homeowners pay half the usual water, sewer and water-sewer tax charges, and if they keep up for a year, their old unpaid balance is forgiven.
This guide explains who qualifies, what you need to apply, how the debt forgiveness works and what can go wrong.
Last checked October 2026. Sources: the City of Chicago's Utility Billing Relief site and FAQ, the city's UBR online application and its terms, and CEDA's Utility Bill Assistance page. Program rules can change; confirm details at chicago.gov/ubr.
The Short Version
Discount: 50% off water, sewer and water-sewer tax charges. The garbage fee isn't discounted.
Debt relief: your past-due balance is set aside for 12 months. Stay current on the reduced bills for a year, and it's forgiven.
Protection: while enrolled, no new late penalties or debt collection.
Who: owner-occupants of a single-family home, two-flat or three-flat in Chicago whose household meets the LIHEAP income guidelines.
Apply: online at chicago.gov/ubr, or through CEDA at (800) 571-2332 if you'd like help.
Decision: within 30 days of a complete application.
Who Qualifies
According to the city's UBR FAQ, you must:
Own a single-family home, two-unit or three-unit building in Chicago. Three-flats were added recently.
Live in the property. The owner must reside at the service address and be listed on the utility bill.
Provide a Social Security number, ITIN or other ID. The application accepts many forms of ID, including a Chicago CityKey, a consular ID (matrícula) or a foreign passport.
Meet the income guidelines for LIHEAP, the federal energy assistance program run in Cook County by CEDA.
UBR income limits (30-day gross household income, as listed on the city's FAQ):
1 person: $3,990
2 people: $5,410
3 people: $6,830
4 people: $8,250
5 people: $9,670
6 people: $11,090
7 people: $12,510
8 people: $13,930
9 people: $15,350
10 people: $16,770
Count the gross income (before taxes) of everyone living in the home over the last 30 days, including the day you apply. CEDA notes that UBR follows the state-funded LIHEAP income guidelines.
Renters: UBR is only for homeowners who live in the property. If water is included in your rent, look at CEDA's LIHEAP programs instead, which include a cash benefit for some renters whose heat is included in their rent.
Three Ways to Apply
After you verify your property and income on chicago.gov/ubr, you can:
Use the simplified application if you're a current LIHEAP participant. You'll need your PIPP ID, LIHEAP application ID or the account number of the gas or electric account that got the benefit.
Apply for LIHEAP and UBR together through CEDA.
Apply for UBR only using the city's full online application.
Prefer help from a person? Call CEDA at (800) 571-CEDA (2332) to apply with a trained intake specialist.
Before you start the online application, know that:
You must finish in one session. You can't save and come back.
The session times out after 30 minutes of inactivity.
You need an email address you can access for the confirmation.
Have all documents saved on your device before you begin.
You'll need your City of Chicago utility account number. If you can't find it, call Utility Billing Customer Service at 312-744-4426 for a copy of your bill.
Documents You'll Need
For every household member:
Social Security number or ITIN, if one has been issued, or another accepted document
Proof of gross income and benefits from the last 30 calendar days
Proof of income by type (from the city's application guide):
Wages and tips: every pay stub from the last 30 days, with the gross amounts totaled
Self-employment: the city's Self-Employment Worksheet covering income and expenses for the last 30 days
SSI, Social Security, TANF, AABD: current award letters. Report the gross monthly amount, with Medicare premiums subtracted and voluntary deductions such as federal taxes added back.
Unemployment: your IDES award letter, showing the benefit before tax withholding
VA, railroad retirement or pensions: current award or benefit letters
Cash income or gifts: the total received in the last 30 days, with a short description
Report a child's income, such as SSI or child support, under the parent or guardian. The city says income is subject to verification, so keep your records for 12 months.
How the Debt Forgiveness Works
This is the part that can make the biggest difference.
At enrollment, your past-due balance is set aside. You don't have to pay anything toward it during your first 12 months.
During the year, you pay your current bills at the reduced rate. No new late penalties or collection activity are added.
On your one-year anniversary, if you have no past-due balance, the set-aside debt is permanently forgiven.
If you fall behind during the year, the program is marked "unsuccessful." Under the program's terms, the set-aside balance is restored to your account and due immediately, and you're removed from UBR. You get one more chance: a household that's unsuccessful once can reapply and try again. After two unsuccessful attempts, you can't enroll again.
What about shutoffs? The city's FAQ says that if you don't complete the program, you'll be subject to the normal collection process, but that "at this time, the City is not disconnecting water service for nonpayment." That's a current policy, not a guarantee, so don't count on it lasting.
Staying Enrolled Year After Year
Enrollment lasts 12 months. To keep the reduced rate, you must re-enroll during a window that runs from 30 days before to 30 days after your anniversary date. To qualify for re-enrollment, you must:
Not have been unsuccessful more than once
Have gotten LIHEAP in the last 12 months or still meet the LIHEAP income guidelines
Still own and live in the same single-family home, two-flat or three-flat
Things to Know Before You Enroll
Your billing may switch to monthly. Metered customers who aren't already billed monthly will start getting monthly bills, and the city says the billing frequency won't change back after you leave the program.
Senior Citizen Sewer Exemption: you can't have both. The exemption is paused while you're in UBR and restored automatically when you leave. The city notes that UBR can still be the better deal if you have a past-due balance to clear.
MeterSave: enrolling in UBR removes you from the MeterSave program permanently, though your meter stays in place.
Moving or selling: if you move out while enrolled, you're removed from the program and the set-aside balance won't be forgiven.
Bankruptcy: the city advises talking with your bankruptcy attorney about how UBR and bankruptcy affect each other.
If you're denied, the letter or email will explain why and who to contact. Processing takes up to 30 days after a complete application, and approved applicants receive a welcome letter.
Also Behind on Gas or Electric?
CEDA runs LIHEAP in Cook County. For the 2026–27 season, CEDA says:
The priority period started October 1, 2026. It covers households with someone 60 or older, someone with a disability, a child 5 or younger, or anyone disconnected or facing disconnection.
Open enrollment for all income-eligible households begins November 1.
If you're disconnected or facing a shutoff, make an appointment at a Partner Intake Site so your application is expedited.
Peoples Gas customers can ask about the Share the Warmth program, which provides up to $200 toward a past-due Peoples Gas balance.
All CEDA programs are free. There's no fee to apply.
Closing Thoughts
If you own and live in a Chicago single-family home, two-flat or three-flat and your income falls under the LIHEAP guidelines, UBR is one of the strongest bill-relief programs in the city. It cuts your water and sewer charges in half and can wipe out old debt. Gather your 30 days of income documents first, apply in one sitting at chicago.gov/ubr (or call CEDA for help), then pay every reduced bill on time for 12 months so the old balance is forgiven.
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