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HomeMy WebLinkAboutADMIN-19-99 THE CORPORATION OF THE MUNICIPALITY OF CLARINGTON REPORT Meeting: Special Council Date: June 14, 1999 Report #: ADMIN 19-99 FILE #: Subject: STATUTORY PUBLIC MEETING PURSUANT TO THE DEVELOPMENT CHARGES ACT It is respectfully recommended that Council approve the following: 1. That Report ADMIN. 19-99 be received; File # Res. 4Q, -3 A -77 By-law #. 2. That all comments from the delegations and any subsequent comments with respect to the proposed Development Charges By-Law be referred to staff and the consultant for review. 3. That staff be directed to finalize the Development Charges By-Law and to bring forth a report for Committee and Council's consideration at its meeting of July 5 1999; and 4. That all delegations be acknowledged and thanked, and be advised of Council's decision. 1114 111•T ► 1. Background 1.1 Subsequent to the enactment of the Development Charges Act, the Municipality has retained the service of Hemson Consultant to prepare the required Background Study. Over this past year, the consultant has been working closely with the Steering Committee, comprising of senior municipal staff, including the Library Director. REPORT NO.:Admin. 19-99 1.2 On April 29 1999, an information session was held with members of Council and on May 19 1999, a similar information session was held with those individuals who have previously requested to be notified. At this latter information session six (6) individuals attended, and they primarily represent the development industry and planning and engineering consultants. The purpose of this information session is to enable the consultant to present the background information related to the study so that any technical questions from the development industries can be addressed prior to the statutory public meeting. 1.3 Holding of the statutory public meeting is a requirement of the Development Charges Act. Notices were placed in all local newspapers and by personal mail to those individuals who previously requested to be notified. The purpose of the meeting is to allow the general public to voice their concerns or comments to the proposed Development Charges By-Law prior to its passage. To assist the general public in the understanding of the subject matter prior to the public meeting, the Development Charges Background Study was released on May 26, 1999 in compliance with the legislation. Copy of the said Study has been distributed to Council members. A representative from Hemson Consultant will be making a presentation at the commencement of the public meeting. REPORT NO.:Admin. 19-99 2. Highlights of the Study Recommendations 2.1 The recommended municipal-wide residential development charges are as follows: Charge by Unit Type Single & Low Density Apartments Semi Multiple Services $/Unit $/Unit $/Unit 1. General government $ 74.44 $ 64.44 $ 44.44 2. Library Board $ 371.80 $ 295.89 $ 204.06 3. Fire Department $ 282.37 $ 244.44 $ 168.68 4. Indoor Recreation $2,005.91 $1,736.46 $11197.56 5. Park Development and $ 842.53 $ 729.35 $ 503.00 Facilities 6. Public Works Dept. $ 170.55 $ 147.64 $ 101.82 7. Municipal Fleet $ 195.54 $ 169.27 $ 116.74 8. Roads and Related $2,628.33 $2,275.27 $11569.15 TOTAL CHARGE - $/UNIT $6,541 $51663 $3,905 Clarington Hydro service $ 393 $ 295 $ 226 area - electrical charge The $6,541 charge for a single semi-detached dwelling unit is $1,410 higher than the current charge of $5131. In comparing the proposed charge to that of the current charge, one should be cognizant of the following facts: a) the rules of calculating charges have changed substantially from the previous 3 REPORT NO.:Admin. 19-99 legislation; b) the current charge has not been indexed for about 5 years. c) The previous charge did not collect the maximum allowable under the existing Act. d) Provincial grants or subsidies are no longer available to reduce the charge. 2.2 The recommended municipal wide non-residential charges are as follows: Currently the non-residential portion of growth-related capital program is funded by general tax revenue and sources other than development charges. In order to ensure the general tax payer would not subsidize capital works resulting from growth, it is 4 Charge per Square Meter of Gross Floor Area Services $/sq.m. of GFA 1. General Government $0.47 2. Library Board N/A 3. Fire Department $2.29 4. Indoor recreation N/A 5. Park Development and Facilities N/A 6. Public Works Department $1.09 7. Municipal Fleet $1 .24 8. Roads and Related $14.67 Total charge - $/Sq.M. $19.76 Clarington Hydro service area — electrical $ 3.83 charge Currently the non-residential portion of growth-related capital program is funded by general tax revenue and sources other than development charges. In order to ensure the general tax payer would not subsidize capital works resulting from growth, it is 4 REPORT NO.:Admin. 19-99 recommended that the municipality introduce charges for non-residential development. 2.3 With respect to charges of electrical service of the service area covered by Clarington Hydro Commission, these charges will be applicable only for a short time until hydro amalgamation is finalized. Preliminary discussion with a Clarington Hydro official indicates that implementation of an electricity charge probably would not be necessary. 2.4 The effective date of the New Development Charges By-Law is proposed to be September 1 1999 despite the fact that the Municipality could make the new by-law effective on the day of passing, which is scheduled for July 5 1999. This allows the development industries and municipal staff to clear up the outstanding building permit applications during the period between July 5 and September 1. Possibilities exist that the Municipality could be faced with a large volume of permit applications prior to September 1 to take advantage of the current lower charge. In order to avoid potential disputes as to how the new rates are applied to permit applications in process, staff recommend that 4:00 p.m., August 27 1999, be the last day the Municipality would apply the current charges to all permit applications received on or before the said time and date, provided the permit applications are complete and meet the requirements of the Municipality, including payment of all necessary fees, completeness of plan and drawings, etc. 5 REPORT NO.:Admin. 19-99 3. CONCLUSION 3.1 Attached hereto is a copy of the draft Development Charges By-Law. 3.2 Staff recommend that all comments made by the delegation and any subsequent submissions be referred to staff for review, in conjunction with the finalization of the Development Charges By-Law. In this regard, staff will bring forth a report for Committee and Council's consideration on July 5 1999. Respectfully submitted, C 11 Franklin Wu, Chief Administrative Officer FW:nof M -1- DRAFT PROPOSED DEVELOPMENT CHARGES BY-LAW MUNICIPALITY OF CLARINGTON To establish development charges for the Municipality of Clarington WHEREAS subsection 2(1) of the Act provides that the council of 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 the development of the area to which the by-law applies; AND WHEREAS Council has before it a report entitled "Development Charges Background Study", the Municipality of Clarington, dated May, 1999 (the "Study"); AND WHEREAS the study was made available to the public and Council gave notice to the public and held a public meeting pursuant to section 12 of the Act on June 14, 1999, prior to and the Study and the proposed development charge by-law were made available to the public and Council, heard comments and representations from all persons who applied to be heard (the "Public Meeting"); AND WHEREAS staff considered the public comments and representations and provided a report dated July'127, 1999; AND WHEREAS by Resolution No. adopted by Council on , 1999, Council has indicated that it intends to ensure that the increase in the need for services attributable to the anticipated development will be met, subject to sufficient development charge revenues being generated and other municipal affordability criteria being met; AND WHEREAS by Resolution No. adopted by council on , 1999, Council has indicated its intent that the future excess capacity identified in the Study shall be paid for by the development charges or other similar charges; AND WHEREAS Council, on July 5, 1999 held a meeting open to the public, at which Council considered the Study, the Staff Report, and further written and oral submissions from the public; AND WHEREAS Council determined that no further public meetings were required under section 12 of the Act. -2- NOW THEREFORE THE COUNCIL OF THE CORPORATION OF THE MUNICIPALITY OF CLARINGTON ENACTS AS FOLLOWS: Definitions 1. In this By-law, "Act" means the Development Charges Act, 1997, S.O. 1997, c.27; "agricultural use" means a bona fide farming operation, including sod farms, the breeding and boarding of horses, and greenhouses; "air-supported structure" means an air supported structure as defined in the Building Code Act; "apartment dwelling" means a building containing six or more dwelling units which have a common entrance from the street level, and the occupants of which have the right to use common elements; "board of education" means a board of education, French and English, public school boards, and separate school boards; "building or structure" means a structure occupying an area greater than 10 square metres consisting of a wall, roof, and floor or any of them or a structural system serving the function thereof, but does not include a farm building, but does include an air-supported structure and an exterior storage tank; "Building Code Act" means the Building Code Act, S.O. 1992, chapter 23, as amended and all Regulations thereto including the Ontario Building Code, 1997, as amended; "Municipality" means The Corporation of the Municipality of Clarington; "development" means the construction, erection or placing of one or more buildings or structures on land or the making of an addition or alteration to a building or structure that has the effect of increasing the total floor area, and includes redevelopment; "development charge" means a charge imposed pursuant to this By-law; "dwelling unit" means one or more habitable rooms designed or intended to be used together as a single and separate house-keeping unit by one person or jointly by two or more persons, containing its own kitchen and sanitary facilities, with a private entrance from outside the unit itself, "farm building" means a farm building as defined in the Building Code Act; "floor" includes a paved, concrete, wooden, gravel, or dirt floor; "grade" means the average level of proposed or finished ground adjoining a building or structure at all exterior walls; "local board" means a public utility commission, transportation commission, public library board, board of park management, local board of health, police services board, planning board, or any other board, commission, committee, body or local authority established or exercising any power or authority under any general or special Act with respect to any of the affairs or purposes of the Municipality or the Region; "mezzanine" means a mezzanine as defined in the Building Code Act; -3- "multiple dwellings" means all dwellings other than single-detached dwellings, semi-detached dwellings, and apartment dwellings; "non-residential uses" means land, buildings or structures or portions thereof used, or designed or intended to be used for a use other than for a residential use; "owner" means the owner of land or a person who has made application for an approval for the development of land upon which a development charge is imposed; "protracted" means in relation to a temporary building or structure the persistence of its construction, erection, placement on land, alteration or of an addition to it for a continuous period exceeding eight months; "redevelopment" means the construction, erection or placing of one or more buildings or structures on land where all or part of a building or structure has previously been demolished on such land, or changing the use of a building or structure from residential to non-residential or from non-residential to residential; "Region" means The Regional Municipality of Durham; "residential uses" means land, buildings or structures or portions thereof used, designed, or intended to be used as living accommodation for one or more individuals; "semi-detached dwelling" means a building divided vertically, into two separate dwelling units, with at least 50 per cent of the above-grade area of a main wall on one side of each dwelling unit attached to or the same as a main wall on one side of the other dwelling unit; "services" means services designated in this By-law including Schedule A to this By-law or in agreement under section 44 of the Act, or both; "single-detached dwelling" means a completely detached residential building containing only one dwelling unit; "temporary building or structure" means a building or structure constructed or erected or placed on land for a continuous period not exceeding twelve months, or an addition or alteration to a building or structure that has the effect of increasing the total floor area thereof for a continuous period not exceeding twelve months; "total floor area" means the sum total of the total areas of the floors in a building or structure, whether at, above, or below-grade, measured between the exterior faces of the exterior walls of the building or structure or from the centre line of a common wall separating two uses, or from the outside edge of a floor where the outside edge of the floor does not meet an exterior or common wall, and: (a) includes the floor area of a mezzanine and air-supported structure and the space occupied by interior walls partitions; and (b) excludes any parts of the building or structure used for mechanical equipment related to the operation or maintenance of the building or structure, stairwells, elevators, wash-rooms, and the parking and loading of vehicles, and; -4- (c) where a building does not have any walls, the total floor area shall be the sum total of the area of land directly beneath the roof of the building and the total areas of the floors in the building or structure. Rules 2. For the purpose of complying with section 6 of the Act: (a) the area to which this By-law applies shall be the area described in section 3 of this By-law; (b) the rules developed under paragraph 9 of subsection 5(1) of the Act for determining if a development charge is payable in any particular case and for determining the amount of the charge shall be as set forth in sections 4 through 18, inclusive and section 25 of this By-law; (c) the exemptions provided for by such rules shall be the exemptions set forth in sections 19 through 23, inclusive of this By-law, the indexing of charges shall be in accordance with section 16 if this By-law and there shall be no phasing in as provided in subsection 17(1) of this By-law; and (d) the redevelopment of land shall be in accordance with the rules set forth in section 24 of this By-law. Lands Affected 3. This By-law applies to all lands in the geographic area of the Municipality. Designation of Services 4. It is hereby declared by Council that all development land within the area to which this By-law applies will increase the need for services. 5. The development charge applicable to a development as determined under this By-law shall apply without regard to the services required or used by an individual development. 6. Development charges shall be imposed and Reserve Funds established for the following categories of services to pay for the increased capital costs required because of increased needs for services arising from development: (a) General Government; (b) Library Service; (c) Fire Service; (d) Indoor Recreation; (e) Park Development and Facilities; (f) Public Works Buildings, Municipal Fleet, and Related; (g) Roads (including associated structures, sidewalks, street lights, traffic signals, landscaping and intersection improvements). Approvals for Development 7. Development charges shall be imposed against all lands, buildings or structures within the area to which this By-law applies if the development of such lands, buildings or structures requires any of the following approvals: -5- (a) the passing of a zoning by-law or of an amendment thereto under section 34 of the Planning Act; (b) the approval of a minor variance under section 45 of the Planning Act; (c) a conveyance of land to which a by-law passed under subsection 50(7) of the Planning Act applies; (d) the approval of a plan of subdivision under section 51 of the Planing Act; (e) a consent under section 53 of the Planning Act; (f) the approval of a description under section 50 of the Condominium Act, or; (g) the issuing of a permit under the Building Code Act, 1992 in relation to a building or structure. 8. No more than one development charge for each service designated in section 6 shall be imposed upon any lands, buildings or structures to which this By-law applies even though two or more of the actions described in section 7 are required before the lands, buildings or structure can be developed. 9. Notwithstanding section 13 if two or more of the actions described in section 7 occur at different times, additional development charges shall be imposed in respect of any increased of additional development permitted by that action. 10. Where a development requires an approval described in section 7 after the issuance of a building permit and no development charge has been paid, then the development charge shall be paid prior to the granting of the approval required under section 7. 11. If a development does not require a building permit but does require one or more of the approvals described in section 7, then the development charge shall nonetheless be payable in respect of any increased or additional development permitted by such approval required for the increased or additional development being granted. 12. Nothing in this By-law prevents Council from requiring, as a condition of an agreement under sections 51 or 53 of the Planning Act, that the owner, at his or her own expense, install such local services related to a plan of subdivision or within the area to which the plan relates, as council may require, or that the owner pay for local connections to storm drainage facilities installed at the owner's expense, or administrative, processing , or inspection fees. Calculation of Development Charges 13. The development charge with respect to the use of any land, buildings or structures shall be calculated as follows: (a) in the case of residential development, or the residential portion of a mixed-use development, based upon the number and type of dwelling units; or (b) in the case of non-residential development, or the non-residential portion of a mixed-use development, based upon the total floor area of such development. -6- Amount of Charge -Residential 14. The development charges described in Schedule B-1 to this By-law shall be imposed on residential uses of lands, buildings or structures, including a dwelling unit accessory to a non-residential use and , in the case of a mixed use building or structure, on the residential component of the mixed use building or structure, according to the type of residential use. Amount of Charge - Non-Residential 15. The development charges described in Schedule B-2 to this By-law shall be imposed on non-residential uses of lands, buildings or structures and, in the case of a mixed use building or structure, on the non-residential components of the mixed use building or structure, and calculated with respect to each of the services according to the total floor area of the non-residential use. Indexing of Development Charges 16. The development charges set out in Schedule B-1 and B-2 hereto shall be adjusted without amendment to this By-law annually on July 1' in each year, commencing July 1", 2000, in accordance with the Statistics Canada Quarterly, Construction Price Statistics (catalogue number 62-007) based on the 12 month period ending March 31. Phasing, Timing of Calculation and Payment 17. (1) The development charges set out in this By-law are not subject to phasing in and are payable in full, subject to the exemptions and credits herein from the effective date of this By-law. (2) Subject to section 24 (with respect to redevelopment) and subsection (3), the development charge shall be calculated as of, and shall be payable, on the date the first building permit is issued in relation to a building or structure on land to which the development charge applies. (3) Notwithstanding subsection (2) the Municipality may require an owner to enter into an agreement, including the provision of security for the owner's obligations under agreement, pursuant to section 27 of the Act providing for all or part of a development charge to be paid before or after it otherwise would be payable. The terms of such agreement shall then prevail over the provision of this By-law. Payment by Money or the Provision of Services 18. (1) Payment of development charges shall be by cash or by certified cheque. (2) In the alternative to payment by the means provided in subsection (1), the Municipality may, by an agreement entered into with the owner, accept the provision of services in full or partial satisfaction of the development charge otherwise payable provided that: (a) if the Municipality and the owner cannot agree as to the reasonable cost of doing the work under sub-section (2), the dispute shall be referred to Council whose decision shall be final and binding. (b) if the credit exceeds the amount of the charge for the service to which the work relates, -7- (i) the excess amount shall not be credited against the charge for any other service, unless the Municipality has so agreed in an agreement under Section 38 of the Act; and (ii) in no event shall the Municipality be required to make a cash payment to the credit holder. (3) Nothing in this By-law prevents Council from requiring, as a condition of any approval given under the Planning Act that the owner, at the owner's expense, install such local services as Council may require in accordance with the Municipality's local services' policies in effect at the time. Rules with Respect to Exemptions for Intensification of Existing Housing 19. (1) This By-law does not apply with respect to approvals related to the residential development of land, buildings or structures that would have the affect only, (a) of permitting the enlargement of an existing dwelling unit; (b) of creating one or two additional dwelling units in an existing single detached welling unit; (c) of creating one additional dwelling unit in an existing semi-detached dwelling unit; or (d) of creating one additional dwelling unit for any other existing residential building. (2) Notwithstanding clauses (1)(b) to (d), a development charge shall be imposed with respect to the creation of one or two additional dwelling units in a dwelling, of the total floor area of the additional one or two dwelling units exceeds, the total floor area of the existing dwelling unit u clause (1)(b) and (1)(c), and the smallest existing dwelling unit in clause (1)(d). Rules with Respect to Industrial Expansion Exemption 20. (1) If a development includes the contiguous enlargement of the gross floor area of an existing industrial building, the amount of the development charge that is payable is the following: (a) if the gross floor area is enlarged by 50 per cent or less, the amount of the development charge in respect of the enlargement is zero; and (b) if the gross floor area is enlarged by more than 50 per cent, development charges are payable on the amount by which the enlargement exceeds 50 per cent of the gross floor area before the enlargement. (2) For the purpose of this section the terms "gross floor area" and "existing industrial building" shall have the same meaning as those terms have in O. Reg 82/98 made under the Act. (3) In this section, for greater certainty in applying the exemption herein: (a) the gross floor area of an existing industrial building shall be determined as of the date this By-law comes in to force; and -8- (b) the gross floor area of an existing industrial building is enlarged where there is a bona fide increase in the size of the existing building and the enlarged area is attached to existing industrial building and is used'for or in connection with an industrial purpose as set out in subsection 1(1) of O. Reg. 82/98. Without limiting the generality of the foregoing, the exemption in this section shall not apply where the enlarged area is attached to the existing industrial building by means only of a tunnel, bridge, canopy, corridor or other passageway, or through a shared below grade connection such as a service tunnel, foundation, footing or a parking facility; and (c) for the purposes of This section, Industrial Building is as per the Municipality's Zoning By-law Categories of Exempt Institutions 21. (1) The following categories of institutions are hereby designated as being exempt from the payment of development charges: (a) buildings or structures used as hospitals governed by the Public Hospitals Act, R.S.O 1990, c. P. 40; (b) buildings or structures owned by and used for the purposes of the Municipality, the Region, or their local boards; (c) buildings or structures owned by a board of education and used for school purposes; (d) buildings or structures owned by and used for the purposes of a college of applied arts an technology established pursuant to the Ministry of Colleges and Universities Act, R.S.O. 1990, c. M.19; (e) buildings or structures owned by and used for the purposes of a university established by an Act of the Legislative Assembly of Ontario. (2) The exemption referred to in this paragraph 21(1)(b) does not apply to the development for residential uses of lands owned by: (a) the Region or any local board thereof, (b) any corporation owned, controlled, or operated by the Region Agricultural Uses 22. Agricultural uses as well as farm buildings and other ancillary development to an agricultural use excluding any residential or commercial uses shall be exempt from the provisions of this By-law. Temporary Buildings or Structures 23. (1) Temporary buildings or structure shall be exempt from the provisions of this By-law. (2) In the event that a temporary building or structure becomes protracted, it shall be deemed not to be nor ever to have been a temporary building or structure, and the development charges required to be paid under this By- law shall become payable on the date the temporary building or structure becomes protracted. -9- (3) Prior to the Municipality issuing a building permit for a temporary building or structure, the Municipality may require an owner to enter into an agreement, including the provision of security for the owner's obligation under the agreement, pursuant to section 27 of the Act providing for all or part of the development charge required by subsection 23(2) to be paid after it would otherwise be payable. The terms of such agreement shall then prevail over the provisions of this By- law. Rules with Respect to the Redevelopment of Land 24. (1) Where there is a redevelopment of land on which there is a conversion of space proposed, or on which there was formerly erected a building or structure that this has been demolishes, a credit shall be allowed against the development charge otherwise payable by the owner pursuant to this By-law for the portion of the previous building or structure still un existence that is being converted or for the portion of the building or structure that has been demolished, as the case may be, calculated by multiplying the number and type of dwelling units being converted or demolished or the non-residential total floor area being converted or demolished by the relevant development charge in effect on the date when the development charge is payable in accordance with this By-law. (2) A credit in respect of any demolition under this section shall not be given unless a building permit has been issued or a subdivision agreement has been entered into with the Municipality for the development within 2 years from the date the demolition permit was issued. (3) The amount of any credit hereunder shall not exceed, in total, the amount of the development charges otherwise payable with respect to. the development. Interest 25. The Municipality shall pay interest on a refund under subsection 18(3), (5) and 25(2) of the Development Charges Act, 1997 at a rate equal to the Bank of Canada rate on the date this By-law comes into force. Front Ending Agreements 26. The Municipality may enter into agreement under section 44 of the Act. Schedules 27. The following Schedules to this By-law form an integral part of this By-law. Schedule `A' Designated Services Schedule `B-1' Residential Development Charges Schedule `B-2' Non-Residential Development Charges Schedule `C' Clarington Hydro Development Charges (to be included in separate By-law) By-law Registration 28. A certified copy of this By-law may be registered in the by-law register in the Land Registry Office against all land in the Municipality and may be registered against title to any land to which this By-law applies. -10- Date By-law Effective 29. This By-law comes into force on September 1, 1999. Date By-law Expires 30. This By-law expires five years after the date on which it comes into force. Repeal 31. By-law No. 92-105 and By-law No. 92-93 are hereby repealed on the effective date this By-law comes into force. Headings for Reference Only 32. The headings inserted in this By-law are for convenience of reference only and shall not affect the construction or interpretation of this By-law. Severability 33. If, for any reason, any provision, section, subsection or paragraph of this By- law is held invalid, it is hereby declared to be the intention of Council that all the remainder of this By-law shall continue in full force and effect until repealed, reenacted or amended, in whole or in part or dealt with in any other way. READ a FIRST, SECOND, AND THIRD TI IE, and PASSED in open Council this day , 1999. MAYOR APPROVED AS TO FORM CLERK MUNICIPALITY OF CLARINGTON BY-LAW 99-XX DEVELOPMENT CHARGES BY-LAW SCHEDULE A DESIGNATED SERVICES 1. General Government 2. Library Board 3. Fire Department 4. Indoor Recreation 5. Park Development and Facilities 6. Public Works Building, Municipal Fleet, and Related 7. Roads and Related MUNICIPALITY OF CLARINGTON BY-LAW 99-XX DEVELOPMENT CHARGES BY-LAW SCHEDULE B-2 NON-RESIDENTIAL DEVELOPMENT CHARGES CHARGE PER SQUARE METRE OF GROSS FLOOR AREA Services $/sq.m. of GFA 1. General Government $0.47 2. Library Board N/A 3. Fire Department $2.29 4. Indoor Recreation N/A 5. Park Development and Facilities N/A 6. Public Works Building, Municipal Fleet,and Related $2.33 7. Roads and Related $14.67 TOTAL CHARGE-$/SQ.M. $19.76 MUNICIPALITY OF CLARINGTON BY-LAW 99-XX DEVELOPMENT CHARGES BY-LAW SCHEDULE C DEVELOPMENT CHARGES FOR ELECTRICAL SERVICES 1999 Calculated Development Development Charge Type Residential /Unit Single and Semi's $ 393 Multiples (Townhouses) $ 295 Apartments $ 226 Non-Residential /S .M. Per Sq.M. of GFA $ 3.83