Development Charges Background Study and By-law Update

As part of the Development Charge Background Study, the City is gathering input before establishing the new development charge rates.

Municipalities in Ontario use development charges to fund capital projects that support growth in the community. In accordance with the Development Charges Act, development charges are collected on new and expanding development at the building permit stage to help the City pay for municipal services needed to support the new development. These services include water, wastewater, emergency services, roads and more.

If development charge revenues do not cover the growth-related costs, growth projects may be deferred until external funding sources can be obtained or until the projects could be funded through the City’s future budgets through property taxes or water/wastewater user fees.   Should we add: Annual property taxes and water/wastewater user fees are collected to provide annual services (operating budget) and for replacement of existing infrastructure (capital budget) to the community.

Background:

The Provincial Government created the Development Charges Act to provide municipalities with a financing tool to collect revenues in an equitable manner to provide services to their local residents.

The principle of development charges is that growth pays for growth and minimizes growth-related infrastructure costs to existing taxpayers and businesses.

Development charges do not relate to internal servicing costs paid by developers when constructing a residential subdivision where the internal infrastructure are the roads, water pipes and sewer pipes internal to the development.

Notice of Collection

The collection of personal information on the Over to You forum is collected under the authority of sections 10 and 227 of the Municipal Act, 2001, S.O. 2001, c. 25 and will be used by the City to inform the development of strategies, programs and activities, or to gain insight into community views and opinions. All comments, including your user name, will be part of the public record which is posted online and may appear in reports and updates to Council. Questions about the collection or use of personal information may be directed to the Coordinator of Budgets, City of Greater Sudbury, PO Box 5000 Stn A, 200 Brady Street, Sudbury, Ontario, P3A 5P3 or by calling 705-674-4455, extension 2529.