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HomeMy WebLinkAboutPD-103-84 4 CORPORATION OF THE TOWN OF NEWCASTLE PLANNING AND DEVELOPMENT DEPARTMENT T.T.EDWARDS,M.C.I.P.,Director HAMPTON,ONTARIO LOB UO TEL.(416)263-2231 REPORT TO THE GENERAL PURPOSE AND ADMINISTRATION COMMITTEE MEETING OF MAY 7, 1984 REPORT NO. : PD-103-84 SUBJECT: APPLICATION FOR REZONING - R. AMYOTTE PART LOTS 31 & 325 B.F.C. , DARLINGTON OUR FILE: DEV 79-2.7 RECOMMENDATION: It is respectfully recommended that the General Purpose and Administration Committee recommend to Council the following : 1 . That Report PD-103-84 be received for information and consideration. . . .2 REPORT NO. : PD-103-84 Page 2 BACKGROUND: On April 2, 1984, the General Purpose and Administration Committee considered a request by Mr. R. Amyotte for relief from the Town 's requirements in respect of capital works contributions. More specifically, the Town 's requirements relative to future road improvements and rural fire protection services. Staff were directed to prepare the necessary resolution and to ascertain the legal implications. Through the course of discussions , it was determined that Council was also requesting development of a policy in respect of industrial subdivisions. COMMENTS: Subdivision development within the Town has a number of costs and benefits. The benefits are readily recognized as increased assessment and job creation. The costs are not as easily identifiable inasmuch as they are, more often than not , related to long term maintenance impacts. In reviewing a development proposal , there are a number of technical considerations . The most significant of these relate to services which include storm sewers, street lighting, and other utilities, and most important , access. A review of development agreements , both residential and industrial , indicate the extent of the Town ' s requirements relative to these considerations. . . .3 REPORT NO. : PO-103-84 Page 3 Our standard development agreement , developed in 1978, typically requires the following provisions. 1 ) storm drainage systems 2) dedication of storm drainage easements , both internal & external 3) dedication of road widenings 4) parkland dedication 5) payment of development levies 6) cost sharing for future road improvements for roads external to , but abutting the lands to be developed 7) installation of individual entrances 8) roadside ditching and landscaping 9) street tree planting 10) installation of utilities such as hydro and street lighting 11 ) posting of a performance guarantee equal to the cost of all works to be assumed by the Town. These requirements are typical of all development agreements with only a few exceptions. Notably, most industrial agreements did not include requirements for external road improvements other than those related to landscaping, drainage and street trees. Staff can not explain why the industrial developments were granted exemption from this requirement and are unable to locate any specific Council direction to that effect. It would appear Council considered each proposal on its own merit. In 1979, the time period coincident with Mr. Amyotte's rezoning application, the Town added as a development requirement fire reservoirs in unserviced areas. Both the .. .4 REPORT NO. : PD-103-84 Page 4 Marnie and Watson subdivision agreements, approved in 1979, reflect this requirement. Town Staff currently apply the Town' s requirements consistently to all development proposals unless otherwise specifically directed by Council . We note however, that with the advent of site plan control , a number of the standard requirements such as landscaping, fencing and entrances have been deferred to the site plan stage rather than the subdivision stage, particularly when dealing with industrial developments. Mr. Amyotte' s proposed development agreement is consistent in terms of format and content, with other approved agreements with the sole exception being a contribution towards future road improvements. This item can only be deleted by Council , and Staff would be remiss if we did not recommend its inclusion. With respect to an Industrial Development policy, Staff would suggest that the only areas where relief could be granted would be in respect of improvements to existing roads and fire protection contributions. Industrial subdivisions are not presently subject to any levies nor does the Town require a 2% parkland or cash-in-lieu of land dedication. Granting relief from the abovementioned requirements would, in the short term, encourage industrial subdivision activity, but would do little to encourage industrial building activity. The only benefit being reduced land costs, a reduction which we cannot guarantee would be passed on to purchasers. If Council is desirous of encouraging . . .5 REPORT NO. : PO-103-84 Page 5 subdivision activity and building activity, as well , we would recommend that a clause be added to our standard agreement to the effect that a portion of external development charges related to roads and fire protection would be refunded if, within three years of the execution of the agreement, a permitted Industrial building were erected on the lands. The amount of the reduction could be a proportionate figure reflecting the number of buildings constructed within a given subdivision. For example , a ten lot subdivision could receive a 25% reduction if one industrial building proceeds , a 50% reduction for three, a 75% reduction for five and a 100% reduction for seven. This is an arbitrary example offered to illustrate one method of encouraging building activity and not just the sale of lands. A similar incentive could also be applied to residential development in respect of levies. Such an incentive would require a developer to post a performance guarantee for levies, upon execution of an agreement. This guarantee would be annually renewable and would be reduced as building construction takes place, and the buildings are completed. If building construction did not take place withinthe specified time frame, the Letter of Credit would be cashed by the Town. Staff do not recommend waiving of external costs associated with residential development and suggest limiting incentives to reducing levies further. Before Council considers adopting either approach, the long term costs must be considered. Offering of such an incentives would mean that the Town would become responsible for external improvements related to development for which levies are not collected in the case of industrial subdivisions. It is impossible for Staff to accurately estimate all costs , but as an example in Mr. Amyotte's case , the costs have been estimated at $30,000. This only represents 50% of the reconstruction costs and the balance would have to be made up through similar contributions from . ..6 REPORT NO. : PD-103-84 Page 6 other developers. If these costs are forgiven or reduced, they are then transferred to the Town 's Tax base and partially supplemented by Provincial roads subsidies. If Council wishes to adopt this approach, it may be advisable to consider making it applicable to existing agreements as well . The applicability of this policy to external works should be governed by the extent of the works required and the timing of such works and should be limited to industrial proposals. Major capital expenses such as storm drainage facilities , grade separations or level crossings , should not be included nor should road works which are a high priority due to existing needs or deficiencies or works directly related to development of the abutting lands such as turning lanes, traffic signals etc. Staff have discussed these matters with the Town' s Solicitor who wishes to review any proposed policy, in detail , prior to adoption. With respect to Mr. Amyotte' s request, Council should attempt, through the wording of any resolution, to avoid * setting a precedent. Staff' s suggested wording is attached for Council 's consideration. We note that a waiver of the Town' s requirement for capital fire protection servies has not been included. Whatever the decision of Council , the members should appreciate the fact that the Town 's present polcies are based upon the premise that development should pay its own way. This is being done in a manner which attempts to minimize costs to developers , yet provide quality development which will enhance and complement the Town' s . . .7 REPORT NO. : PD-103-84 Page 7 character. Unless the Town is willing to accept the long term costs related to granting further relief, there is a danger that these measures will be counter productive, in that the levels of service could drop making the Town less attractive to new development. Staff would note that by its very nature, such a reduction in the Town' s requirements would set the stage for the future and once committed to this action, it may be very difficult to return the present user pay philosophy. Respectful ub d, ;r 1`i T.T. Edwards, M.C.I.P. Director of Planning TTE*j i p April 24, 1984 *Attach. Applicant : Mr. R. Amyotte Terra Properties 1525 Jalna Avenue MISSISSAUGA, Ontario L5J 1S6 REPORT NO. : PO-103-84 ATTACHMENT NO. 1 WHEREAS an application for rezoning was submitted by Mr. R. Amyotte in respect of Part of Lots 31 & 32, R.F.C. , geographic Township of Darlington , now in the Town of Newcastle ; (on August 15, 1979) AND WHEREAS on April 21 , 1981 , Council of the Town of Newcastle resolved to approve said application for rezoning conditional upon execution of a Subdivision Agreement in respect of said lands ; AND WHEREAS since the date of receipt of the said application for rezoning Council of the Town of Newcastle has , through approval of subdivision agreements in respect of other plans of industrial subdivision , resolved not to require a contribution for future road improvements ; AND WHEREAS the Council of the Town of Newcastle wishes to extend the same consideration to the subject application; NOW THEREFORE RE IT RESOLVED that the developer's required contribution for capital improvements to roads external to the subject development are hereby waived.