Learn More - Development Charges Background Study

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Municipalities in Ontario use Development Charges (DCs) to recover growth related capital costs associated with residential and non-residential growth. Development charges are collected at the building permit stage for residential dwellings (such as single family, semi-detached, apartments and condos), industrial buildings as well as non-industrial buildings such as retail and office buildings. These funds help the City pay for the additional municipal services required to support the new development. Services include new water and wastewater systems, roads and transportation infrastructure, recreation facilities, parks, fire and police facilities.


What impact do Development Charges have on residents?

Without Development Charges, more growth related capital costs would be funded from property tax revenues.

What is a Development Charges Background Study?

The Development Charges Background Study reviews growth related capital projects that are needed to accommodate Greater Sudbury’s growing population, and this information is used to update the Development Charge By-Law and Development Charge rates at least every five years as required under the Development Charges Act.

The City of Greater Sudbury Outlook for Growth to 2046 study anticipates the city will grow by 6,000 new households and 6,300 new jobs during the next 30 years. This anticipated growth in Greater Sudbury will increase the demand on all City services. The City wishes to continue collecting development charges to fund capital projects related to growth so that development continues to be serviced in a fiscally responsible manner.

When a development charges by-law is proposed, the Development Charges Act requires that a development charges background study be prepared in support of the proposed changes, which include the proposed development charges rates.

Study elements include:

  • A forecast of the amount, type and location of development anticipated in the City;
  • The average capital service levels provided in the City over the ten-year period immediately preceding the preparation of the background study;
  • A review of past and future capital projects to provide for the expected development, including the determination of the growth-and non-growth-related components of these capital projects; and
  • An examination of the long-term capital and operating costs for the capital infrastructure required for each service to which the development charges by-laws would relate.

The Development Charges Background Study identifies the growth-related net capital costs attributable to development that is forecast to occur in the City. The costs are apportioned to types of development (residential and non-residential) in a manner that reflects the increase in the need for each service attributable to each type of development. The study therefore calculates development charges for each type of development (ie. residential, industrial and non industrial (commercial/institutional).

The Development Charges Background Study is a requirement of the Development Charges Act, and must be completed every five years. The City’s existing by-law is set to expire on June 30, 2019.

As part of the Development Charge Background Study, the City is gathering input from the business community and the general public before establishing the new DC rates.

Municipalities in Ontario use Development Charges (DCs) to recover growth related capital costs associated with residential and non-residential growth. Development charges are collected at the building permit stage for residential dwellings (such as single family, semi-detached, apartments and condos), industrial buildings as well as non-industrial buildings such as retail and office buildings. These funds help the City pay for the additional municipal services required to support the new development. Services include new water and wastewater systems, roads and transportation infrastructure, recreation facilities, parks, fire and police facilities.


What impact do Development Charges have on residents?

Without Development Charges, more growth related capital costs would be funded from property tax revenues.

What is a Development Charges Background Study?

The Development Charges Background Study reviews growth related capital projects that are needed to accommodate Greater Sudbury’s growing population, and this information is used to update the Development Charge By-Law and Development Charge rates at least every five years as required under the Development Charges Act.

The City of Greater Sudbury Outlook for Growth to 2046 study anticipates the city will grow by 6,000 new households and 6,300 new jobs during the next 30 years. This anticipated growth in Greater Sudbury will increase the demand on all City services. The City wishes to continue collecting development charges to fund capital projects related to growth so that development continues to be serviced in a fiscally responsible manner.

When a development charges by-law is proposed, the Development Charges Act requires that a development charges background study be prepared in support of the proposed changes, which include the proposed development charges rates.

Study elements include:

  • A forecast of the amount, type and location of development anticipated in the City;
  • The average capital service levels provided in the City over the ten-year period immediately preceding the preparation of the background study;
  • A review of past and future capital projects to provide for the expected development, including the determination of the growth-and non-growth-related components of these capital projects; and
  • An examination of the long-term capital and operating costs for the capital infrastructure required for each service to which the development charges by-laws would relate.

The Development Charges Background Study identifies the growth-related net capital costs attributable to development that is forecast to occur in the City. The costs are apportioned to types of development (residential and non-residential) in a manner that reflects the increase in the need for each service attributable to each type of development. The study therefore calculates development charges for each type of development (ie. residential, industrial and non industrial (commercial/institutional).

The Development Charges Background Study is a requirement of the Development Charges Act, and must be completed every five years. The City’s existing by-law is set to expire on June 30, 2019.

As part of the Development Charge Background Study, the City is gathering input from the business community and the general public before establishing the new DC rates.