Loading...
HomeMy WebLinkAboutCS 57-07 CUlf o~ REPORT TO EXECUTIVE COMMITTEE Report Number: CS 57-07 Date: December 10, 2007 87 From: Gillis A. Paterson Director, Corporate Services & Treasurer Subject: Development Charges - Reduction in Rates due to the Transit Component Recommendation: 1. That Report CS 57 -07 of the Director, Corporate Services & Treasurer be received; 2. That effective January 1,2008 the Residential Development Charges be revised and reduced by the amount related to the transit component; 3. That the Non-Residential Development Charges remain unchanged at the rate set for the period of July 1, 2007 to June 30, 2008; and, 4. That the appropriate City of Pickering officials be authorized to take the necessary actions to give effect thereto. Executive Summary: Adoption of the Recommendations of this report will put into effect the official reduction in the transit component of the Residential Development Charges (DC) due to the transfer of transit service to the Regional Municipality of Durham (Region). The revised rate will be effective January 1, 2008 and in effect till the remaining period of June 30, 2008 after which the development charges will be adjusted based on the change in the index. The Non-Residential Development Charges will remain unchanged at the rate set for the period of July 1, 2007 to June 30, 2008 as it does not contain a transit portion. This transit charge component will be replaced by a single Regional By-law and will be included on the Regional Development Charge application. Financial Implications: While the amount collected for the Residential DC will be lower effective January 1, 2008, there is no financial implication to the City as the revenues from the transit component have been remitted to the Region during the transitional period from January 1,2006 to December 31,2007. All funds, together with interest earned on the Reserve Fund, have been transferred to the Region as provided for in the original Region and City Council approval of transit operations to the Region. On the expenditures side, the City had since discontinued budgeting for the transit service. Report CS 57-07 December 10, 2007 Subject: Development Charges- Reduction in Rates due to Transit Component Page 2 88 Sustainability Implications: There are no sustainable implications associated with this report. Background: Prior to January 1, 2006, the transit service was the responsibility of individual municipality. The City of Pickering's transit service was provided jointly by the Ajax-Pickering Transit Authority (APTA); a joint board between the Town of Ajax and the City of Pickering. Effective as of January 1, 2006 the Region assumed the operating responsibility for transit service for the region of Durham for the municipalities of Pickering, Ajax, Whitby, Oshawa and Clarington. During the transitional period of January 1, 2006 to December 31, 2007, the City of Pickering has continued to impose the development charges for transit purposes based on our local by-law (By-Law 6349/04) and remitted this same amount accordingly to the Region. With the transfer of responsibility, the transit charge component of the area municipal by-laws will automatically expire by January 1, 2008 and will no longer be collectable. This will be replaced by a single Regional by-law and will be included with the Regional Transit DC. Thus, the official reduction in the development charges by the transit component is called for and Report CS 57-07 is to serve this purpose. The 2007/2008 Development Charges pamphlet will be revised to reflect this reduction. The City's Transit DC rate of $530 for single & semi-detached residential development charge will be replaced by a Region-wide DC of $342. Note that the City's Non-Residential DC in effect are imposed on roads and related (sidewalks, streetlights, traffic signals) only and do not include the transit component. Thus, there is no change in the existing Non-Residential DC rate. The rate remains at $28.72 per sq metre ($2.67 per sq foot). The Region-wide Non-Residential Transit DC will be $2.28/sq metre ($0.21/sq foot). Attachments: 1. Current and Revised Development Charges 2007/2008 Report CS 57-07 December 10, 2007 Subject: Development Charges- Reduction in Rates due to Transit Component Page 3 R9 Prepared By: Approved I Endorsed By: ~~t~-'i Caryn Kong Senior Financial Analyst ~"/' ,.", . ..-, -~_. ~;/ =-~~,. ---Gillis A. Paterson Director, Corporate Services & Treasurer GAP:ck Attachment Copy: Chief Administrative Officer Chief Building Official Recommended for the consideration of Pickering City C; ncil /1 .N "''''"''''",,,, 90 h TTACHMENl # L TO REPORT # 12'5 $( . 07 CITY OF PICKERING RESIDENTIAL DEVELOPMENT CHARGES-CURRENT Effective July 1, 2007 PER DWELLING UNIT Service Single & Apt. Two Other Category Semi Apt. One Bdrm Bdrm Dwelling Detached ($) & Smaller ($) & Larger ($) Units ($) Growth Studies $129 $48 $74 $105 Fire Protection 406 152 230 328 Transportation 5,009 1,863 2,844 4,068 Parks & Rec 3,708 1,381 2,108 3,012 Library 590 220 334 478 TOTAL $9,842 $3,664 $5,590 $7,991 Non-Residential- $2.67 per sq. foot or $28.72 per sq. metre RESIDENTIAL DEVELOPMENT CHARGES-REVISED Effective January 1, 2008 PER DWELLING UNIT Service Single & Apt. Two Other Category Semi Apt. One Bdrm Bdrm Dwelling Detached ($) & Smaller ($) & Larger ($) Units ($) Growth Studies $129 $48 $74 $105 Fire Protection 406 152 230 328 Transportation 4,479 1,665 2,544 3,637 Parks & Rec 3,708 1,381 2,108 3,012 Library 590 220 334 478 TOTAL $9,312 $3,466 $5,290 $7,560 Non-Residential - $2.67 per sq. foot or $28.72 per sq. metre