By-law C.P Guide to Development Charges

Transcription

1 By-law C.P Guide to Development Charges

2 Purpose of development charges The Development Charges Act, enacted by the Province of Ontario - states that:... a municipality may by By-law impose development charges against land to pay for increased capital costs required because of increased needs for services arising from development of the area to which the By-law applies. Generally speaking, the Act permits a municipality to recover the growth-related costs associated with the capital infrastructure needed to service new development. The Act provides direction to the municipality as to the determination of a development charge. Obtaining a copy of the City of London's By-law London s Development Charges By-law C.P was passed by Municipal Council on June 24, The By-law is available at and the full, official version of the Development Charges By-law can be obtained from: In this pamphlet you ll find general information about the charges under the current City of London Development Charges By-law. Please note: The content should not be considered to be an interpretation of the current By-law or a determination of charges - if any - that may apply to any specific application to a proposed development. Services included in the current Development Charges By-law The current By-law identifies that development charges may be payable for the following services: Urban Works Generally, Urban Works are minor works constructed by developers under agreement entered prior to August 4, 2014 with the City of London. The Urban Works approach to funding will not be employed in future infrastructure projects. However, the City will continue to administer a program to reimburse those who construct oversized water, sanitary and storm sewers and defined minor roadworks. City Clerk s Office 3 rd Floor, City Hall 300 Dufferin Avenue P O Box 5035 London, ON N6A 4L9

3 City Services City Services encompass municipal services that support growth. These services are financed by development charges, through the City of London s annual capital budget approval process. Fire services Police services Growth studies Library services Parks & recreation Transit services Roads services Sanitary sewerage Water distribution Storm water management Charges could also be applicable in the following proposed developments: Multiple additional units in existing residential building(s) Residential building converted to non-residential use Non-residential building converted to residential use Conversion from one form of nonresidential use to another form of non- residential use Replacement of demolished or destroyed buildings A complete listing of City Services projects anticipated over the planning horizon for each service category (above) can be found in the 2014 Development Charges Background Study. Exemptions and discounts Applicable development charges under the current By-law The current By-law applies to any application for a building permit for any residential, commercial or institutional developments or redevelopments. The City employs a city wide approach to funding of growth costs, meaning that all lands within the City of London are subject to the Development Charges By-law. In general, under the current By-law, development charges may not apply to building permit applications for: Space added to an existing dwelling unit Creation of one or two additional dwelling units in an existing single detached dwelling or one additional dwelling unit in any other existing residential building or accessory building, provided that the total gross floor area of the additional unit(s) does not exceed that of the existing dwelling Parking building or structure(s)

4 Structure(s) intended for seasonal use only that do not have water and sanitary facilities "Temporary Garden Suite(s) installed in accordance with the provisions of the Planning Act, as amended Industrial building additions as defined by the By-law Non-residential farm buildings which support agricultural uses Buildings on lands owned and used by the Corporation of the City of London Buildings on lands owned and used by a school board as defined under section 1(1) of the Education Act 50% of City Services Reserve Fund charge for a defined list of institutional buildings Air supported structure or arch framed structure clad with fabric-type material, temporary in nature, the purpose of which is to provide indoor facilities for recreational and sports activities owned and operated by a non-profit organization and available for public use Development outside the Urban Growth Area Boundary (partial exemption with respect to the portion of rates used for recovery of water, sanitary sewer, and major storm water management works only) See sections 35, 36, 37, 39 and 40 of the Development Charges By-law for specific information on exemptions and discounts. Community Improvement Plan development charge incentives Similar to the development charge exemptions discussed above, the City of London provides funding under Community Improvement Plans (CIP) for the full value of development charges for the following development: Development charge rates Under the current By-law, development charges are payable prior to - or at the time of - building permit issuance. A building permit will not be issued until all development charges have been paid, in full, based on the rate in effect as of the date of receipt of a complete building permit application. Municipal Council has approved a development charge rate phase in for commercial buildings: August 4, 2014 December 31, 2014: 66% of the calculated rate January 1, 2015 December 31, 2015: 83% of the calculated rate January 1, 2016 December 31, 2016: 87% of the calculated rate January 1, 2017 December 31, 2017: 92% of the calculated rate January 1, 2018 December 31, 2018: 96% of the calculated rate January 1, 2019 August 3, 2019: 100% of the calculated rate The current development charges rate table is available, in pdf format, from the Building Division on the 7 th floor of City Hall. This document can also be viewed or downloaded at You may wish to consult with the City of London Building Division staff to determine the charges that may apply, if any, to specific development proposals. Industrial buildings as defined by the CIP Residential units constructed in defined areas of the Downtown or the Old East Village The value of the CIP grants are automatically applied when DCs are payable, without a payment required by the applicant.

5 Indexing The Development Charges By-law includes provisions to index the DC rates annually in accordance with the Statistics Canada Quarterly, Construction Price Statistics (catalogue number ). Development charge complaint process A person required to pay a development charge, or the person s agent, may complain to the Council of the municipality imposing the development charges under Section 20 of the Development Charges Act, 1997, that: a) the amount of the development charge was incorrectly determined; b) whether a credit is available to be used against the development charge, or the amount of the credit or the service with respect to which the credit was given, was incorrectly determined; or, c) that there was an error in the application of the Development Charges By-law. For further information regarding development charges, please contact: City of London Development & Compliance Services Building Division, 7 th Floor 300 Dufferin Avenue London, ON N6A 4L This pamphlet provides an overview of London's Development Charges By-law. It is a guide only - the content is not designed or intended as an interpretation of the By-law provisions - and the information presented may, or, may not, apply to any proposed development. In the event of a discrepancy between this pamphlet and the Development Charges By-law, the Development Charges By-law shall prevail. The complaint must be made in writing to the Chair of the Corporate Services Committee (c/o the City Clerk), must state the complainant s name, the address where noticed can be given to the complainant and the reasons for the complaint, which shall be consistent with section 28 of the Development Charges By-law. Treasurer s annual statement The Development Charges Act, 1997 requires that the City Treasurer provide Municipal Council with an annual financial statement that includes the transactions in the reserve funds created under By-law and as required by the Act. At the time of publication of this pamphlet, the most recent annual report (covering 2012 reserve fund activity) was tabled September 24, It can be viewed in the City Clerk s Office or on the City s website.