HomeMy WebLinkAboutFND-022-04
UNFINISHED BUSINESS
C:lfll-!lJgton
REPORT
FINANCE DEPARTMENT
Meeting:
COUNCIL
Date:
MONDAY, SEPTEMBER 27,2003
Resolution #: C- Ij02'[,,(
Report #: FND-022-04
File#:
By-law #:
Subject:
COMPLAINT BY DOM'S AUTO PARTS COMPANY L TO. UNDER
SECTION 20 OF THE DEVELOPMENT CHARGES ACT
Recommendations:
It is respectfully recommended to Council the following:
1. THAT Report FND-022-04 be received;
2. THAT staff be directed to process an amendment to the development charges
by-law to exempt non-residential development in the case of demolition or fire
consistent with the existing section 22(1) of By-Law 2000-108 pertaining to
residential development; and
3. THAT Council direct that development charges collected in the amount of
$3,589.65 from Dom's Auto Parts Company Ltd. be refunded pursuant to the
decision to amend the development charges by-law.
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Reviewed by\. ~~(-(,~ C~1t
Franklin Wu,
Chief Administrative Officer.
NT/hjl
REPORT NO.: FND-022-04
PAGE 2
BACKGROUND:
At the Council meeting of September 13, 2004, Council held a hearing for a
development charges complaint from Dom's Auto Parts Company Limited. The matter
was referred to staff for a subsequent report.
As Council is aware, Dam's Auto Parts Company Limited experienced a fire on their
site. In the course of redevelopment of the site, a building permit was applied for to
reconstruct a demolished building at 1604 Baseline Road West, Courtice.
In conjunction with the building permit, development charges were applied to the
applicant in the amount of $3,589.65 pursuant to the Municipality's development
charges by-law. The applicant is exempt from Regional and Educational development
charges pursuant to their respective by-laws. The applicant has appealed the
imposition of the development charge by the Municipality.
The circumstances of the case have been reviewed and the application of the charge
has been determined to be correct as the current Municipal development charges by-
law does not contain an exemption for a previously demolished building except in the
case of a residential property. However, this results in the imposition of a development
charge in the circumstance where the redevelopment is intended to replace a structure
that previously existed.
CONCLUSION:
It is recommended that the development charges By-Law 2000-108 be amended in a
fashion consistent with the existing section 22 pertaining to residential development, to
allow an exemption for the redevelopment of land on which there was formerly a non-
residential building that has been demolished.
It is recommended that staff be directed to process an amendment as statutory
requirements exist for amendments to development charges by-laws.
In order to address this particular circumstance, it is also recommended that Council
direct that the development charges be refunded to Dam's Auto Parts Company
Limited.
Attachment "A": Complaint from Dom's Auto Parts Company Ltd.
CORPORATION OF THE MUNICIPALITY OF CLARINGTON
40 TEMPERANCE STREET, BOWMANVILLE, ONTARIO L 1C 3A6 T (905)623-3379 F (905)623-4169
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Attachment "A"
1604 BASELINE ROAD WEST COURTlCE. ONTARIO LIE 2S5
Toronto 416-222.7430 . Oshawa 905-434-4566 . Fax 905.434-7997 . }.800.481-7272
Email - sales@domsauto.com . Website ~ www.domsauto.com
The Corporation of the Municipality ofClarington
40 Temperance Street
Bowmanville, ON
LlC 3A6
'0l1JUL23 F':"j 2:22:q~
Attention: Ms .P. Barrie, Town Clerk
Dear Ms. Barrie:
Re: Development Charges Complaint
J 604 BaselineRd. W. (Hereinafter the "Property")
The MunicipalityofClarington (Hereinafter the "Town")
Dom's Auto Parts Company Limited respectfully submits that staff at the Town has incorrectly
applied the calculation of development charges with respect to the redevelopment of the Property.
In particular. staff has imposed development charges with respect to the reconstruction of a
building that was previously demolishedwithout applying any credit towards the charges payable
for the gross floor area ofthe structure that was replaced.
We have 'received confinnation from the school boards and the Regional Municipality of Durham
that development charges are not payable with respect to this first phase of redevelopment of the
Property as the structure, which is being constructed, is intended to replace a structure that
previously existed. As a result of this development, no additional need for services will arise.
The TO\vn's development charges by-law provides that the definition of "development" includes
redevelopment. It is our respectful submission that the current situation should be regarded as a
"redevelopment"'in that the ne,z'structure. which is, be constructec;l is intended to replace a
fonner structure that was destroyed in a fire. The 'redevelopment of the Property does not result in
any increased need fof' serVices and as such there are no additional costs to the Town arising from
the constru~tion or servicing towards the replacement gross floor area being constructed.
Section 23 ofthe Town's development charges by-law further provides that:
The development of an industrial building. the development of the industrial portion(.v)
of all/fred-use building, or the del'elopment of an existing industrial building hy the
enlargement of/he gr"fs floor area thereof are exempt from development charges
imposed hy the By-law.
We resp~ctfully submit that the given the definition of development and the exemption provided
in section 23. that no development charges should have been payable with respect to this phase of
development of the Property. Itis our view that the reconstruction/replacement of the building
with a new building is no different than an enlargement or redevelopment of an industrial
building in that noadditionafneedfor services has been createc;l.
. .
.
On May 31st we paid a total of$3500.69 on account of development charges to the Town and
respectfully submit tnat this amount was improperly calculated in that the developm"nt should
have been exempt from the payment of development charges. We request an opportunity to make
representations to Council with regards to our complaint and look forward to receipt from your
office as to the date and time when Council will be dealing with our complaint.
Sin~
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Dominic Vetere
Secretary Treasurer
Dom's Auto Parts Company Limited