Development Cost Charge
On May 11, 2017, City Council approved a new development cost charge bylaw. View the new bylaw and rates here.
What are Development Cost Charges?
As the City grows and evolves, new infrastructure and parks are needed to support people and businesses moving into neighbourhoods. Development Cost Charges are levied on development to help cover the cost of expanding or improving transportation (such as roads, pedestrian and bicycle access), water, sewer, storm drainage and parkland to accommodate growth. This fee does not pay for the operation and maintenance of the City's existing infrastructure and parkland, nor does it pay for new libraries, fire halls, police stations or recreational buildings.
Who pays this fee?
- Those applying to subdivide a property to create detached houses or duplexes.
- Developers who are applying for a building permit to construct or alter a multi-family residential, commercial, institutional, or industrial development.
How are fees structured?
Subdivisions - Single-Family Homes and Duplexes
The development cost charge to subdivide a property to create single-family detached houses or duplexes is payable when the subdivision approval is granted. The fee is based on the number of new lots created.
The fee to construct or alter a townhouse, apartment building, commercial, or institutional development, is payable when the building permit is issued. The fee is based on the square metres of the total floor area of the development.
Note: If a development combines more than one type of land use (e.g., a residential and commercial mix), fees will be calculated based on the individual floor areas for each use.
Are there any exemptions from paying a development cost charge?
Yes, there are three types of exemptions:
- Developments authorizing building permits for the construction of a building that is tax exempt as per the Local Government Act, such as a church.
- Developments authorizing building permits for projects involving residential development of less than four self-contained homes.
- Developments where residential dwelling units are no larger in area than 29 square metres.
- Developments authorizing building permits where the value of work is less than $50,000.