HomeMy WebLinkAboutFIN 15-13Report to
Executive Committee
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Report Number: FIN 15 -13
Date: June 10, 2013
From: Paul Bigioni
Director, Corporate Services & City Solicitor
Subject: Development Charges — Annual Indexing
Recommendation:
That Report FIN 15 -13 of the Director, Corporate Services & City Solicitor be
received;
2. That effective July 1, 2013 as provided for in Section 16 of By -law 6978/09, the
Development Charges referred to in Sections 6 and 11 of that By -law be
increased by 0.8 percent; and,
3. That the appropriate officials of the City of Pickering be given authority to give
effect thereto.
Executive Summary: The Development Charges Act 1997 and Ontario Regulation
82198 and By -law 6978/09 provide for an annual adjustment to the City's development
charges based on the Non - residential Building Construction Price Index in order to keep
development charges revenues current with construction costs. The Non - residential
Building Construction Price Index (CPI) for the current indexing year is 0.8 %. Adoption
of the recommendations of this report will put into effect the higher rates for the period
July 1, 2013 to June 30, 2014.
Financial Implications: Increasing the development charges based on an increase
in the CPI will assist in keeping the revenues generated in line with current costs. The
residential development charges for single and semi detached units will increase by
approximately $81. Other residential charges will increase similarly, and the
commercial /industrial charge will increase by approximately $0.03 per square foot or
$0.35 per square metre based on an increase of 0.8 %.
Discussion: As provided for in Ontario Reg. 82198 and in the City's By -law
6978/09, each year the development charges charged by the City for all types of
development may be indexed without amending the By -law. Adoption of the
recommendations contained in this report will allow that increase to take effect July 1,
Report FIN 15 -13
Subject: Development Charges- Annual Indexing
June 10, 2013
Page 2
2013 thereby assisting in keeping revenues in line with the costs that development
charges fund.
Statistics Canada indicates the increase in the construction price statistics for the most
recently available annual period ending March 31, 2013 of 0.8 percent for Non-
residential Building Construction Price Index (an indicator of our costs of construction)
for the Toronto area. The change is reflected in the table attached. .
Upon Council's approval of the recommendations contained in this report, the
development charges brochure will be updated to reflect the approved rates. The
updated brochure will be posted on the City's website and made available a_ t various
counters throughout the Civic Complex.
Attachments:
1. Current and Proposed Development Charges 2013/2014
Prepared By: Approved /Endorsed By:
Caryn Kong, CGA
Senior Financial Analyst - Capital &
Debt Management
CK:ck
Recommended for the consideration
of Pickering City Council
Tony Prevedel, P.Eng.
Chief Administrative Officer
Stan Karwowski, MBA, CMA
(Acting) Division Head, Finance & Treasurer
Paul Bigioni
Director, Co
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& City Solicitor
ATTACHMENT #_LTO REPORT #UI T-f3
City of Pickering
Current Residential Development Charges
Effective July 1, 2012
Per Dwelling Unit
Service
Category
Single &
Semi
Detached
Apt. One
Bedroom
& Smaller
Apt. Two
Bedroom
& Larger
Other
Dwelling
Units
Growth Studies
$91
$36
$48
$65
0.94
10.09
Total
$4.04
$43.45
Fire Protection
271
107
146
194
Transportation —
Roads & Related
Operations
4,712
290
1,871
114
2,550
157
3,381
209
Stormwater Management
1,424
565
771
1,023
Parks & Recreation -
Parkland Dev & Trails
Recreation Facilities
442
2,346
176
932
239
1,270
317
1,684
Library
538
214
291
386
Total
$10,114
$4,015
$5,472
$7,259
Current Non - Residential Development Charges
Effective July 1, 2012
Service
Category
Per Sq. Foot
Per Sq. Metre
Transportation -Roads &
Related
$3.10
$33.36
Stormwater Management
0.94
10.09
Total
$4.04
$43.45
Proposed Residential Development Charges
Effective July 1, 2013
Per Dwelling Unit
Service
Category
Single &
Semi
Detached
Apt. One
Bedroom
& Smaller
Apt. Two
Bedroom
& Larger
Other
Dwelling
Units
Growth Studies
$92
$36
$48
$65
0.95
10.17
Total
$4.07
$43.80
Fire Protection
273
108
147
196
$0.35
Transportation —
Roads & Related
Operations & Equipment
4,750
292
1,886
115
2,570
158
3,408
211
Stormwater Management
1,435
570
777
1,031
Parks & Recreation -
Parkland Dev & Trails
Recreation Facilities
446
2,365
177
939
241
1,280
320
1,697
Libra
. 542
216
293
389
Total
$10,195
$4,047
$5,514
$7,317
$ Increase
Residential
$81
$32
$42
$58
Proposed Non - Residential Development Charges
Effective July 1, 2013
Service
Category
Per Sq. Foot
Per Sq. Metre
Transportation -Roads &
Related
$3.12
$33.63
Stormwater Management
0.95
10.17
Total
$4.07
$43.80
$ Increase
Non - Residential
$0.031
$0.35