It’s full steam ahead for the Town of The Blue Mountains new development charges bylaw.
At its committee of the whole meeting on April 8, council voted 6-1 in favour of bringing forward the new development charges bylaw and background study for approval on April 15. The draft bylaw would sharply increase the charges across the town.
Council made the move after multiple representatives of the development industry attended the meeting as delegations and requested that the new bylaw be deferred for three months and the existing bylaw that expires on April 24 be extended by three months.
The town’s new draft bylaw and background study that have been developed by staff, consultants and an engineering firm recommends significant increases to the development charges the town applies to new growth.
Development charges in The Blue Mountains vary depending on the area in the town in which the development is located.
The town charges a town-wide rate, but also has 11 area-specific development charges - Craigleith, Castle Glen, Osler, Thornbury East, Thornbury West, Clarksburg, Lora Bay service area 1, Lora Bay service area 2, Lora Bay service area 3, Camperdown and Swiss Meadows - in its bylaw. The complete list of charges for each area in the proposed bylaw can be found online here.
At the meeting, town staff delivered an update about the draft bylaw that outlined some changes that were made to study and bylaw since they were initially presented a few weeks ago.
Sam Dinsmore, acting finance director and treasurer, said that staff and consultants had made adjustments to the bylaw that had decreased the proposed development charges by an average of eight per cent on residential charges and an average one per cent on non-residential charges. The most significant adjustments were to the inventory and funding envelope for parks and recreation charges. The full list can be found in the report here.
The new town-wide residential rate is now proposed at $35,041 down from $37,775 and the new town-wide non-residential rates are proposed at $137.12 up from $135.28. Note: the average decreases of eight per cent for residential and one per cent for non-residential were calculated using all of the rates the town charges.
Dinsmore called the proposed rates “defensible and fair” and said staff had taken steps to address the concerns raised by the development industry.
“In our opinion, we have supplied all the answers to the questions received,” he said.
Dinsmore also confirmed that by provincial legislation, the town does not have the option to extend the current bylaw. It will expire on April 24 and the town must have a new bylaw in place by that date.
The new bylaw will be in effect for 10 years and the new rates will be phased in at 20 per cent increments over the first five years of the bylaw. Dinsmore also said the bylaw is indexed annually to the construction inflation rate.
Members of council said the new bylaw and background study reflects the reality of rising construction costs across the country.
“We need the infrastructure. If we don’t put the rates up, how are we going to pay for it?” said Coun. Gail Ardiel.
Coun. June Porter was the lone member of council to vote against the report. Porter expressed support for the higher charges contained in the original staff report on development charges.
“It does concern me that there have been changes,” she said and said she was worried about the possibility of “leaving money on the table” for parks and recreation needs.
In response, Dinsmore said the parks and recreation adjustments were appropriate.
“In no way are staff or our consultant recommending any money be left on the table,” said Dinsmore. “The town is still collecting the most it can for parks and recreation.”
The bylaw will return for final approval at council’s meeting on April 15.
