City of Wate r loo De ve lopme nt Char ge s Study Statutor y - PowerPoint PPT Presentation

City of Wate r loo De ve lopme nt Char ge s Study Statutor y Public Me e ting 18 th , 2019 Monday, Nove mbe r

Wha t Are De ve lo pme nt Cha rg e s? • F e e s impo se d o n de ve lo pme nt to fund “g ro wth-re la te d” c a pita l c o sts • DCs pa y fo r ne w infra struc ture a nd fa c ilitie s to ma inta in se rvic e le ve ls • Princ iple is “g ro wth pa ys fo r g ro wth” 1

Wha t Are De ve lo pme nt Cha rg e s? DCs a re impo se d b y b y-la w • • Ma ximum life o f a DC b y-la w is 5 ye a rs a fte r the da y it c o me s into fo rc e (ma y b e re pe a le d/ a me nde d e a rlie r) – By-la w 2017-075 e xpire s o n Ja nua ry 1, 2023 – City initia te d e a rly study to a lig n with 3-ye a r b udg e t c yc le • Prio r to pa ssing a b y-la w City must – unde rta ke a b a c kg ro und study – ho ld a t le a st o ne pub lic me e ting • Appe a ls a djudic a te d a t L PAT (OMB) 2

L e g isla tive F ra me wo rk F o r DCs I s Cha ng ing • De ve lo pme nt Charg e s Ac t 1997 ( DCA ) (a me nde d 2015 b y Bill 73) – Ontario Re g ulatio n 82/98 (a me nde d 2015 b y O. Re g . 428/15 ) • Bill 108: Mo re Ho me s, Mo re Cho ic e Ac t – Ro ya l a sse nt June 6, 2019 – Ma ny ke y a me ndme nts wo n’ t c o me into fo rc e a nd e ffe c t until a da te to b e na me d b y pro c la ma tio n (unkno wn) – Dra ft Re g ula tio ns June 21, 2019 3

Bill 108 Co mmunity Be ne fits Cha rg e Will Re pla c e So ft Se rvic e DCs Development Charges for “Discounted Current (2019) Parkland Services” Dedication Current regime and CIL under the Development Section Charges Act and 37/Height & Density Planning Act Bonusing Future (2021) New regime under the Community Benefits Charges Planning Act 4

T ra nsitio n Windo w • T ra nsitio n – CBC a utho rity c o me s into fo rc e 1 Ja n, 2020 – Pre sc rib e d e nd da te fo r so ft se rvic e DCs is 1 Ja n 2021 – Munic ipa litie s c an pa ss ne w ha rd a nd so ft se rvic e DCs in 2019 • Re g ula tio ns still b e ing fina lize d 5

2019 DC Ba c kg ro und Study • Study re le a se d Oc t 17, 2019 DEVELOPMENT CHARGES BACKGROUND STUDY • Ma ximum pe rmissib le DC ra te s Vers ion for Public Cons ultation Curre nt City-wide a ppro a c h • ma inta ine d b a se d o n Co unc il’ s c o nside ra tio n a nd re c o mme nda tio n HEMSON C o n s u l t i n g L t d October 17, 2019 6

Ste ps to Ca lc ula ting DCs Development Forecast Calculate 10-Year Historical Service Levels Identify Growth-Related Capital Needs Grants/Other Required 10% Replacement/ Available DC Post-Period Contributions Service Discount Benefit to Existing Reserves Benefit Costs Eligible for DC Operating & Replacement Recovery Cost Analysis (Incl. AMP) Residential Sector Non-Residential Sector (per m 2 of GFA) (per unit) 7

De ve lo pme nt F o re c a st Ba se d o n Re g io n’ s “Mo de ra te F o re c a st” Ge ne r al Se r vic e s E ngine e r e d Se r vic e s 2020- 2029 2020- 2041 At Gr owth At Gr owth At 2019 2020- 2029 2029 2019- 2041 2041 Re side ntial F or e c ast Dwe lling s 42,490 7,327 49,816 15,778 58,268 133,482 147,079 160,183 13,597 26,701 Ce nsus Po pula tio n 20,350 44,311 Po pulatio n in Ne w Dwe lling s Non- Re side ntial F or e c ast E mplo yme nt 70,625 78,452 89,000 7,827 18,375 Ne w No n-Re s Building Spa c e (m 2 ) 3,287,340 7,717,500 No te : Ple ase re fe r to Appe ndix A o f the 2019 DC Bac kg ro und Study fo r spe c ific pro je c t info rmatio n. 8

Gro wth-Re la te d Ca pita l Pro g ra m • Ca pita l pro g ra m c o mpile d in c o nsulta tio n with City sta ff – Ba se d o n 10-ye a r c a pita l b udg e t a nd ma ste r se rvic ing pla ns • Co unc il must e xpre ss its inte nt to c a rry o ut the wo rks • Ca pita l c o sts a djuste d in a c c o rda nc e with DC le g isla tio n 9

Ca pita l Pro g ra m Summa ry Disc o unte d Se rvic e s L E SS T otal DC Gr oss Se r vic e E ligible Cost Gr ants & Be ne fit to 10% Post Pe r iod Re se r ve s Cost Subsidie s E xisting Re duc tion Be ne fit L ib ra ry Se rvic e s $5,763,791 $0 $134,400 $461,520 $0 $441,826 $4,726,045 Pa rks & Ma jo r Ind o o r $56,017,261 $4,637,072 $15,597,274 $3,578,291 $2,074,788 $0 $30,129,835 Re c re a tio n F a c ilitie s Ce me te rie s $181,152 $0 $162,041 $1,911 $17,200 $0 $0 Pa rking $16,285,283 $0 $0 $1,628,528 $4,899,118 $1,364,356 $8,393,280 Gro wth Stud ie s $4,292,195 $0 $927,573 $336,462 $25,459 $0 $3,002,700 No te : Ple ase re fe r to Appe ndix B o f the 2019 DC Bac kg ro und Study fo r spe c ific pro je c t info rmatio n. 10

Ca pita l Pro g ra m Summa ry No n-Disc o unte d Se rvic e s L E SS T otal DC Se r vic e Gr oss Cost E ligible Gr ants & Be ne fit to Post Pe r iod Cost Re se r ve s Subsidie s E xisting Be ne fit Pro te c tive Se rvic e s $11,136,863 $0 $0 $1,168,269 $6,236,748 $3,731,847 Pub lic Wo rks & F le e t $8,957,991 $0 $268,887 $0 $2,035,023 $6,654,080 Ro a d s & Re la te d $79,828,824 $20,963,960 $21,392,666 $0 $0 $37,472,198 Wa te r Supply & $64,228,972 $7,103,259 $18,459,395 $4,905,392 $0 $33,760,925 Wa ste wa te r Sto rmwa te r $41,101,613 $2,449,704 $18,006,384 $3,450,912 $0 $17,194,612 Dra ina g e & Co ntro l E ng ine e ring Stud ie s $7,029,679 $194,000 $2,450,853 $0 $0 $4,384,826 No te : Ple ase re fe r to Appe ndic e s B and C o f the 2019 DC Bac kg ro und Study fo r spe c ific pro je c t info rmatio n. 11

Ca lc ula te d City-wide DC Ra te s Re side ntia l Stormwater Engineering Library Drainage and Studies, 1.8% Services, 5.8% Charge / Unit Control Protective Services, 7.8% Current Calculated Services, 3.1% Singles & Semis Water Supply and $15,881 $15,777 Wastewater, 15.9% Multiples $11,482 $10,377 Parks and Major Indoor Apartment 1 Bedroom or Less Recreation $6,108 $5,646 Facilities, 32.9% Apartment 2-3 Bedroom $10,407 $10,031 Roads and Apartment 4-5 Bedroom Related Services, 17.5% $21,990 $19,453 Lodging House Per Bedroom Growth Parking, 7.5% Public Works Studies, 2.5% $4,885 $4,517 and Fleet, 5.3% 12

Ca lc ula te d City-wide DC Ra te s No n-Re side ntia l Stormwater Engineering Protective Drainage and Studies, 3.0% Services, 5.1% Control Services, Parking, 12.2% 12.6% Public Works and Fleet, 8.7% Charge / Sq. M. Current Calculated $76.49 $71.58 Water Supply and Wastewater, Growth 25.7% Studies, 4.2% Roads and Related Services, 28.4% 13

Co unc il Dire c tio n On Apa rtme nt Ra te Struc ture Optio ns 1. Current Rate 1 Bed. or Less 2-3 Bedrooms 4+ Bedrooms Structure Total charge $5,646 $10,031 $19,453 2. Single Rate Apartments Total charge $9,364 3. Two Rates (a) 1 Bed. or Less 2+ Bedrooms Total charge $5,646 $11,910 4. Two Rates (b) 1-2 Bedrooms 3+ Bedrooms Total charge $7,841 $16,678 5. Two Rates (c) 1-3 Bedrooms 4+ Bedrooms Total charge $8,684 $19,453 14

Dra ft DC By-la w Dra ft By-la w re le a se d 1 No v 2019 • • No sig nific a nt c ha ng e to DC b y-la w po lic ie s • Only a djustme nts a re a dministra tive a nd ho use ke e ping • Co nside ra tio n o f By-la w 16 De c e mb e r • Ne w ra te s ta ke e ffe c t 31 De c e mb e r 15