Participatory budgeting is a democratic process where community members directly decide how to allocate portions of municipal budgets, typically for specific projects or capital improvements. Residents propose projects, discuss options, and vote on priorities, with winning projects receiving funding. Participatory budgeting engages citizens beyond traditional consultation, giving them actual decision-making power. Programs typically allocate defined amounts (perhaps one percent of capital budgets) to participatory processes. While resource-intensive to administer, participatory budgeting increases civic engagement, surfaces community priorities, and builds trust in local government. Many Canadian municipalities have experimented with participatory budgeting for neighbourhood improvements or youth programs.