Staff Report (Engineering): Bylaw No. 1831 – Amend Development Cost Charge Bylaw No. 1700, 2017

Staff Report to Council

Date: February 19, 2019
Department: Engineering
Subject: Bylaw No. 1831 to Amend Bylaw No. 1700 Development Cost Charge Bylaw, 2017

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Background

In 2017 the City did a comprehensive review of the Development Cost Charge bylaw for the Roads projects. This review followed on the 2012 major review and was in keeping with the general guidelines to review Development Cost Charge bylaws every five years.

The purpose of this report is to bring forward a few amendments to the Roads Project List and to clarify where recreational buildings are categorized in the Development Cost Charge Bylaw.

Development Cost Charges (DCC’s) are a way for the City to collect funds to improve infrastructure that will support projected development over a specified time horizon, under the provisions of the Local Government Act. The concept of “Benefiter pays” is the key component of this legislation: Infrastructure costs should be paid by those who will use and benefit from the construction of the works.

Development Cost Charges may be collected by the City for improvements to roads, storm drainage, parkland acquisition, park improvements, water and sanitary sewer. DCC’s may be collected as a condition of subdivision for single family and duplex development, and at building permit for multifamily, commercial, institutional and industrial development. Similarly, the Capital Regional District (CRD) also has DCC’s and the School District applies School Site Acquisition charges, permitted under a different section of the Act.

The City can use the funds collected through a DCC Program to pay for improvements identified in the same DCC Program, or the works can be constructed by others as part of their development process.

Commentary

Staff are suggesting the following amendments to the Development Cost Charge bylaw with respect to the Roads category:

1. Provide clarification with respect to how recreational buildings are charged Road DCCs. The current version of the bylaw was not specific to recreational buildings by specifically including them in the public utility definition.

2. Amend Schedule B Roads Project Map by:

   a. Adding in new Project 30 Peatt Road – Goldstream Avenue to Hockley Road for frontage works;
   b. Adding in new Project 31 Goldstream Avenue – 800 Block for frontage works

3. Amend Schedule C the Road DCC Project List by:

   a. Adding in new Project 30 Peatt Road – Goldstream Avenue to Hockley Road for frontage works;
   b. Adding in new Project 31 Goldstream Avenue – 800 Block for frontage works
   c. Reducing the value of Project 14 Langford Parkway by $2.569M based on reductions of work that has occurred

It should be noted that the total project value for the Road DCC Project list does not change and therefore the Road DCC rates are not changing.

Financial Implications

There are no changes to the DCC rates in this amendment.

Legal Implications

None noted.

Options

That Council:

1. Give Bylaw No. 1831 Development Cost Charge Bylaw No. 1700, 2017 Amendment No. 2, 2019 first three readings;

AND

2. forward to the Inspector of Municipalities at the Governance and Structure Branch for approval;

OR

3. Do nothing at this time with Bylaw No. 1831 Development Cost Charge Bylaw No. 1700, 2017 Amendment No. 2, 2019

Respectfully submitted,

Submitted by:
Michelle Mahovlich, P.Eng, P.Geo, Director of Engineering

Concurrence:
Matthew Baldwin, MCIP, RPP Director of Planning

Concurrence:
Cory Manton, Parks Manager

Concurrence:
Michael Dillabaugh, CPA, CA, Director of Finance

Concurrence:
Braden Hutchins, Director of Corporate Services

Concurrence:
Darren Kiedyk, Chief Administrative Officer

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