HomeMy WebLinkAboutFIN 12-22Report to Council
Report Number: FIN 12-22
Date: July 11, 2022
From: Stan Karwowski
Director, Finance & Treasurer
Subject: 2022 Development Charge Background Study
2022 Community Benefits Strategy
2022 Parkland Conveyance By-law
-File: F-4920-001
Recommendation:
1.That Report FIN 12-22 of the Director, Finance & Treasurer be received;
2.That the City of Pickering – Development Charges Background Study, dated May 11, 2022 as
amended, prepared by Watson & Associates Economists Ltd. as required under Section 10(1)
of the Development Charges Act, 1997, be approved;
3.That Council approve the follow recommendations related to Development Charges as
recommended by the Finance Department:
a)That the Residential Development Charges for development on Seaton Lands be
approved effective as of July 12, 2022 as per Table 1;
Table 1
City of Pickering Development Charges – Seaton Lands
Per Residential Dwelling Unit
Effective July 12, 2022
Service
Single or
Semi-
Detached
Other
Multiples
Apartments - 2
Bedrooms +
Apartments -
Bachelor & 1
Bedroom
Other Services Related to a
Highway
746 575 434 266
Fire Protection Services 1,176 906 684 420
Parks and Recreation Services 13,273 10,224 7,719 4,737
Library Services 2,444 1,883 1,421 872
Growth-Related Studies 235 181 137 84
Stormwater Management 460 354 268 164
By-law Enforcement 103 79 60 37
Transportation - - - -
Total 18,437 14,202 10,723 6,580
FIN 12-22 July 11, 2022
Subject: 2022 Development Charge Background Study, Community Benefits,
Strategy, and Parkland Conveyance By-law Page 2
b)That the Residential Development Charges for development Outside of Seaton Lands be
approved effective as of July 12, 2022 as per Table 2;
Table 2
City of Pickering Development Charges – Outside of Seaton Lands
Per Residential Dwelling Unit
Effective July 12, 2022
Service
Single or
Semi-
Detached
Other
Multiples
Apartments - 2
Bedrooms +
Apartments -
Bachelor & 1
Bedroom
Other Services Related to a
Highway
746 575 434 266
Fire Protection Services 1,176 906 684 420
Parks and Recreation Services 13,273 10,224 7,719 4,737
Library Services 2,444 1,883 1,421 872
Growth-Related Studies 235 181 137 84
Stormwater Management 460 354 268 164
By-law Enforcement 103 79 60 37
Transportation 13,461 10,369 7,829 4,805
Total 31,898 24,571 18,552 11,385
c)That the Non-Residential (Commercial, Industrial and Institutional) Development
Charges be approved effective as of July 12, 2022 as shown in Table 3;
Table 3
City of Pickering Development Charges
Non-Residential
Effective July 12, 2022
Service
Per Net Ha of Prestige
Employment Land in
Seaton
Per ft2 of Total
Floor Area
Municipal Wide Services:
Other Services Related to a Highway 11,695 0.34
Fire Protection Services 18,492 0.53
Parks and Recreation Services 35,927 1.03
Library Services 6,698 0.19
Growth-Related Studies 1,083 0.03
Stormwater Management 7,234 0.21
By-law Enforcement 1,564 0.04
Total Municipal Wide Services 82,693 2.37
Outside of Seaton Lands
Transportation - 4.73
Total Services Outside of Seaton Lands - 4.73
Seaton 82,693 2.37
Rest of Pickering - 7.10
FIN 12-22 July 11, 2022
Subject: 2022 Development Charge Background Study, Community Benefits,
Strategy, and Parkland Conveyance By-law Page 3
d) That the proposed capital programs contained in the Background Study be indicative of
Council’s intention, to ensure that the studies and capital expenditures required to meet the
increase in need for services related to the forecasted development will be met, as required
under Paragraph 3 of subsection 5(1) of the Development Charges Act, 1997;
Indexing
e) That the Director, Finance & Treasurer be directed that residential and non-residential
Development Charges be indexed annually on July 1 each year by applying the annual
change in the Statistics Canada Quarterly “Construction Price Statistics” for the period
ending March 31 of each year;
Exemptions
f) That all exemptions and exceptions be as required under the Development Charges Act,
1997 and as defined in the proposed By-law;
Administration
g) That the City continue the Reserve established for the City’s share (i.e. the non-development
charge portion) of the costs of services included in the Development Charges Study and that
contributions be included in the Annual Current Budget for consideration by Council;
h) That the originally proposed By-law has been modified since the public meeting on June 20,
2022, and Council confirms that no further public meeting under the Development Charges
Act, 1997 (S.12) is necessary as a result;
i) That the City Clerk be instructed to undertake the By-law passage notification provisions
under the Development Charges Act, 1997 and Ontario Regulation 82/98;
j) That the Development Charges By-law attached to this report be enacted at this meeting of
Council;
k) That the Director, Finance & Treasurer be authorized to revise the funding ratio’s for 2022
and prior budget approved development charge funded projects where applicable to reflect
Council’s adoption of the 2022 Development Charges Background Study and Community
Benefits Strategy, and any funding shortfall from development charges will be addressed
when project proceeds; and
l) That the payments related to “10 percent Soft Services” as provided for by the Seaton
Financial Impacts Agreement dated November 26, 2015, be increased by 17.3 percent,
effective as of July 12, 2022;
FIN 12-22 July 11, 2022
Subject: 2022 Development Charge Background Study, Community Benefits,
Strategy, and Parkland Conveyance By-law Page 4
4.That the City of Pickering – Community Benefits Strategy, dated May 20, 2022, and updated
June 23, 2022, prepared by Watson & Associates Economists Ltd. as required under
Section 37 (9) of the Planning Act, be approved;
5.That Council approve the following recommendations related to the Community Benefits Charge
(CBC) as recommend by the City Development Department and the Finance Department;
a)That the Community Benefits Charge for applicable development or redevelopment be
approved, effective as of September 30, 2022 as follows:
Unit Type CBC Charge
Apartments: 2 + bedrooms $1,070
Apartments: bachelor and 1 bedroom $657
b)That the draft by-law to establish a Community Benefits Charges and Reserve Fund, be
finalized and enacted at this meeting of Council;
c)That the Director, Finance & Treasurer be directed that Community Benefit Charges be
indexed annually on July 1 each year by applying the annual change in the Statistics
Canada Quarterly “Construction Price Statistics” for the period ending March 31 of each
year;
d)That the originally proposed By-law has been modified since the public meeting on
June 20, 2022, and Council confirms that no further consultation under the Planning Act,
1990 (section 10) is necessary;
e)That the City Clerk be instructed to undertake the By-law passage notification provisions
under the Planning Act, 1990 and Ontario Regulation 509/20;
f)That any funding shortfall for Administration Services - consulting costs due to the adoption
of the 2022 Community Benefits Charge Strategy be addressed when the consulting work
proceeds; and
g)That the Public Benefits Reserve Fund By-law No. 7590/17 be repealed and the associated
Reserve Fund be closed once the committed funds are spent.
6.That Council approve the following recommendations related to Parkland Conveyance By-law as
recommended by the City Development Department:
a)That the draft by-law to require the Conveyance of Land for Park or Other Public
Recreational Purposes as a condition of development or redevelopment, or the subdivision
of lands, be finalized and enacted at this meeting of Council;
FIN 12-22 July 11, 2022
Subject: 2022 Development Charge Background Study, Community Benefits,
Strategy, and Parkland Conveyance By-law Page 5
b) That the City Clerk be instructed to undertake the By-law passage notification provisions
under the Planning Act, 1990 and Ontario Regulation 509/20; and
c) That the balance of funds in the Parkland Dedication Reserve Fund collected under By-law
No. 7341/14 be combined with the newly established Parkland Conveyance By-law;
7. That the appropriate staff of the City of Pickering be authorized to give effect thereto.
Executive Summary: The recommended Development Charges and Community Benefit
Charges represents the financial building blocks for the next five years. The capital projects included
in the two studies reflects requests from “Council”, the professional opinion of senior staff and the
local taxpayer through public consultation and/or conversations. Included in this year’s DC report is
the new revenue tool (CBC fee) that allows municipalities to fund associated development-related
capital infrastructure needs that are not already recovered from development charges.
1. Development Charges
As required under the Development Charges Act, 1997, a complete review of development forecasts,
servicing needs, financial implications and financing requirements, has been undertaken by the
consultants: Watson & Associates Economists Ltd., and staff of the City of Pickering. This has
resulted in the identification of significant capital expenditures required for future development as
contained in the Council approved Official Plan for the City of Pickering. Financing for these projects
will come from Development Charges (“DC”) for the development related portion, and the tax levy, or
other sources of revenue as may be available, for the portions attributable to existing development or
for increases in the level of service.
The DC rates set out in the Background Study are calculated on a cost recovery basis and represent
what is allowed under the DC Act. The change from current rates is the result of revised growth
forecasts, updated capital programs, updated project cost estimates, increase in historical level of
service, and additional financing costs based on timing of expenditures and revenues and anticipated
long-term debentures.
The City received comments from the development industry community with regard to Seaton
residential and non-residential employment land absorption rates that were presented in the May 11th
version of the Background Study. In addition to the absorption rates, additional capital projects and
updated construction cost estimates were identified after the May 11th version. Revisions to the
absorption rates and updated capital costs have been made and reflected in the attached addendum.
These revisions have resulted in a decrease in DC rates for non-residential land in the Seaton area.
The non-residential Seaton Prestige Employment Land rate has decreased by $9,986 per net
hectare, or 11 percent. The residential single dwelling for the Seaton area has increased slightly by
$392 or 2 percent.
FIN 12-22 July 11, 2022
Subject: 2022 Development Charge Background Study, Community Benefits,
Strategy, and Parkland Conveyance By-law Page 6
In summary, the total increase for the Seaton residential DC rate for single detached unit is 65
percent or $7,265. For the rest of Pickering, a single detached unit has increased by 47 percent or
$10,210. Pickering’s new DC rate is comparable with the neighbouring municipalities in the Durham
Region.
Lower Tier (Single Detached) DC Fees for Durham Lakeshore Municipalities
as a Percentage of House Prices
As the above chart indicates, Pickering’s proposed new DC fee rate is still very competitive as
expressed as percentage of total house price. Pickering’s current DC fee rate represents 2.13 percent
of estimated house price and increases to 3.11 percent for the proposed new rate. Even with this
increase, the City of Pickering’s DC fees as expressed as a percentage of the total house price is
equal to Ajax and Clarington and lower that Oshawa and Whitby.
The non-residential DC rates are increasing by 61 percent for Seaton lands and 63 percent for the
Prestige Employment Land in Seaton. For the rest of Pickering, the non-residential rate has increased
by 60 percent.
All residential and non-residential rates, being recommended continue to be one of the lowest, if not
the lowest, in Durham Region. This positions the City of Pickering to be competitive and attractive for
economic development.
It is important to note that the Chief Administrative Officer, the Directors, and staff of all Departments
providing services for new development have been involved in this Study, and concur with this report
and its Recommendations. In addition, the By-law maintains the form of the previous By-law.
0.00%
1.00%
2.00%
3.00%
4.00%
5.00%
6.00%
Clarington Oshawa Whitby Ajax Current
Pickering
Proposed
Pickering
FIN 12-22 July 11, 2022
Subject: 2022 Development Charge Background Study, Community Benefits,
Strategy, and Parkland Conveyance By-law Page 7
2.Community Benefits Charges
In 2020, legislative changes to the Planning Act replaced the density and height bonus provisions
with a new financial tool, a Community Benefits Charge (“CBC”). A CBC is a financial contribution that
is required to be paid when land is developed to contribute to the “capital costs of facilities, services
and matters” incurred from development or redevelopment, and population growth. Single and lower
tier municipalities may adopt a by-law to impose a CBC to recover the capital costs that may include:
•land for parks or other public recreational purposes in excess of lands conveyed or funded by
cash-in-lieu of parkland payments under Sections 42 and 51 of the Planning Act;
•capital costs for services under subsection 2 (4) of the Development Charges Act that are not
intended to be funded under a DC by-law; and
•capital costs for municipal services ineligible for inclusion in a DC by-law.
Preparation of a CBC Strategy is required to support a CBC By-law (see City of Pickering –
Community Benefits Strategy, dated May 20, 2022, and updated June 23, 2022, prepared by Watson
& Associates Economists Ltd., Attachment #5). The Strategy identified the services to be funded
through CBCs as follows: Arts, Culture and Museum; Animal Adoptions; and Administration. The
Strategy did not recommend including parkland at this time.
Following the release of the CBC Strategy on May 20, 2022, City staff further reviewed the eligible
projects that could be funded from the CBC. This resulted in an increase in the total amount of costs
that are recoverable from CBCs, and increase in the charge. For buildings meeting the required
height, number of units, type of use, the CBC will require payment of $1,070 for each new apartment
dwelling unit having 2 or more bedrooms, and $657 for apartment dwelling units that are bachelor or
one bedroom. It is recommended that Council approve the CBC Strategy.
A corresponding CBC By-law has been prepared (see Attachment #7). The CBC is payable on
“apartment units”. The term “apartment unit” applies to the building typology, irrespective of tenure
(rental; condominium; co-op; etc.). Additionally, for the purpose of the CBC, “apartment” includes a
Stacked Townhouse development that has five or more storeys, and has ten or more units.
Payment of CBCs, like DCs, is required at Building Permit issuance. Use of these funds for qualifying
projects will be considered as part of the annual budgeting process.
In response to the stakeholders consultation, changes were made to the By-law to add defined terms
and to delay the effective date of the By-law to September 30, 2022. Additionally, provisions were
added to establish the required CBC Reserve Fund, and administrative matters related to the Fund,
such as investing, indexing, reporting, and allocating such monies collected. The CBC transition
period, from By-law adoption to its effective date, is approximately 81 days and it is staff’s
understanding that the length of the transition period is above average, compared to other
municipalities. It is recommended the draft CBC By-law be finalized and enacted at this meeting of
Council.
FIN 12-22 July 11, 2022
Subject: 2022 Development Charge Background Study, Community Benefits,
Strategy, and Parkland Conveyance By-law Page 8
As with the DC Study, the Chief Administrative Officer, the Directors, and staff of all Departments
providing services for new development have been involved in the CBC Strategy, and concur with this
report and its Recommendation.
3.Parkland Conveyance By-law
As a result of recent changes in Provincial legislation, Pickering’s current Parkland Conveyance
(“Parkland By-law”) By-law will expire on September 18, 2022. The new Parkland By-law contains all
the provisions of the existing Parkland By-law respecting the collection of two percent of the land (or
payment-in-lieu of land) for industrial and commercial purposes, and five percent of the land (or
payment-in-lieu) for all other purposes. The new Parkland By-law also contains the provision of the
existing By-law respecting the use of ‘alternative’ standards for high density development at the rate
of up to one hectare of land for each 300 units. A new clause was added to conform with a 2015
change to the Planning Act, which established a new ‘alternate’ rate for collecting payment-in-lieu of
land high density development calculated at a rate of up to one hectare of land for each 500 dwelling
units.
Consultation on the proposed By-law was undertaken simultaneously with the consultation for the DC
Background Study and draft by-law, and the CBC Strategy and draft by-law. Staff received three sets
of written comments on the new Parkland By-law from BILD and two developer groups (see
Attachments #8 to #10). The stakeholders providing comments all acknowledged and accepted that
the new Parkland By-law is in-keeping with the standard parkland rates provided in the Planning Act.
In addition, the comments offered a variety of ideas and suggestions of how Pickering could consider
innovating their collection of parkland (or payment-in-lieu) in the future. The suggestions can be
addressed without changing the By-law. The only change made to the proposed Parkland By-law was
to add an effective date of July 12, 2022. The proposed By-law is provided as Attachment #11. It is
recommended that the draft By-law be finalized and enacted at this meeting of Council.
Financial Implications:
1.Development Charges
The proposed DC background study, as presented in Table 4 below, includes a gross capital program
of $825 million, of which $542 million is to be recovered from DC’s. The residual amount of $283
million is more commonly referred to as “City Share” and this dollar amount will be funded from
property taxes, senior level grant funding (such as Federal Gas Tax) or debt. The “City Share” funds
the “benefit to existing” deduction and the post-period benefit.
FIN 12-22 July 11, 2022
Subject: 2022 Development Charge Background Study, Community Benefits,
Strategy, and Parkland Conveyance By-law Page 9
Table 4
Infrastructure Costs
DC Recoverable and City Share
Service
Gross Capital
Cost
Less: Amount
to be Recovered
from DC’s
City Share
Other Services Related to a
Highway $18,327,039 $19,773,436 ($1,446,397)
Fire Protection Services 26,193,920 32,130,902 (5,936,982)
By-law 9,659,844 2,849,355 6,810,489
Parks and Recreation Services 354,477,979 284,428,619 70,049,360
Library Services 107,035,016 54,961,537 52,073,479
Administration Studies 2,540,900 5,619,381 (3,078,481)
Stormwater Management 64,828,700 13,181,293 51,647,407
Transportation 242,352,291 129,615,434 112,736,857
Total $825,415,689 $542,559,957 $282,855,732
As Table 4 indicates, for every dollar in growth related capital cost, the City has to fund 34 cents. This
issue regarding the City total dollar cost was raised at the June 20th, 2022 statutory meeting by
Council. One of the key tools in funding the City Share expense will be the use of long term debt,
where appropriate, which will allocate the City Share capital cost basically over the life of the asset.
Employing this strategy results in lowering the property tax increases and allocates the cost over the
life of the asset and is funded by the local taxpayer who consumes and/or uses the asset. The other
funding strategy is related to the City Centre project, whereby the City would sell its investment in
Elexicon to pay for the City Share of the growth related capital costs. In addition, with Council
approval, City staff would also consider using Casino revenue funds where appropriate. City staff will
also, apply for all senior government grants to help reduce the taxpayer funding share.
2.Community Benefit Charges
In developing the CBC Strategy, the following services and related capital costs were reviewed: Arts,
Culture, and Museum Services; Animal Adoption Services; and Administration Services that includes
capital funding for Civic Complex renovations. (A detailed list of capital projects that are being funded
from the CBC fee can be found on page 4-4 of the document entitled “Community Benefits Strategy –
City of Pickering, dated May 20, 2022, updated June 23, 2022” (see Attachment #5)). The City has
identified a gross capital cost of $101.3 million, and the CBC will fund approximately $7.4 million due
to the legislated restrictions (that is, that the charge is only on the high-density portion of new
development).
The CBC Strategy recommends that the City collect CBC revenues to help fund the City’s capital
costs. Based on the 2022 Council approved budget, the City would have to increase property taxes
by 10.1 percent to raise the equivalent amount from CBC fees. Therefore, it could be argued, that the
introduction of the new revenue tool, has “in theory”, reduced future property tax increases.
FIN 12-22 July 11, 2022
Subject: 2022 Development Charge Background Study, Community Benefits,
Strategy, and Parkland Conveyance By-law Page 10
3.Parkland Conveyance By-law
There will be no financial implications of enacting the new Parkland Conveyance By-law as the
provisions have not changed.
Discussion:
1.Development Charges
In simplest terms, DC rates are calculated as follows:
Growth-Related New Capital Costs
Growth Forecast (Population)
Growth-Related Capital Program
The DC Capital program was developed by staff from all departments. Staff first reviewed the 2017
DC study, the 2019 and 2020 DC Updates, and removed projects that have been completed; then the
timing and costs of projects that had not been completed were updated in the context of the new
growth forecast or new/improved information that is now available. Lastly, projects were added to the
program that are required to service the additional growth included in the 2022 Background Study.
In the 2022 DC Background Study, some adjustments have been made to the service categories in
order to better reflect our current growth-related needs and the most recent changes to the DC Act.
The “Protective Services” category has been re-classified to two separate categories: Fire Protection
Services and By-law Enforcement Services.
Previously, the DC Act identified ineligible services such as museum and culture, but all other
services were potentially eligible. As by-law enforcement and animal services were not listed as
ineligible service, they could be included in a DC By-law and City staff included these two cost
elements in the 2017 DC Study. When the Province, passed Bill 197, the COVID-19 Economic
Recovery Act, this legislation amended the DC Act, and only those services that are listed are eligible
to be funded from DC fees. The eligible services include by-law enforcement but do not include
Animal Services. Staff have now included funding for the animal shelter component in the new
Community Benefits Charges (“CBC”), under the Animal Adoption Services category.
Administrative Studies are no longer DC recoverable, and these costs have been transferred to the
CBC Strategy as well. The guiding principle is to fund growth related expenditures whether permitted
through DC fees or CBC fees in order to avoid transferring the cost to the local taxpayer.
The Seaton Financial Impact Agreement (“FIA”) exempts the Seaton Development Area from the
transportation component of the City-wide DC until Seaton has reached certain development targets
as specified in the FIA. (It is anticipated that the Seaton landowners will reach these targets by 2031).
This results in a lower overall DC rate for Seaton as compared to the rest of Pickering.
FIN 12-22 July 11, 2022
Subject: 2022 Development Charge Background Study, Community Benefits,
Strategy, and Parkland Conveyance By-law Page 11
Table 5 shows that the DC Eligible Costs in the 2022 Study have increased by 34.5 percent from the
2017 study.
Table 5
Comparison of DC Funding Sources
2017 Study*
($M)
2022 Study
($M)
Change %
Gross Capital Costs 671.7 825.4 22.9
Less: DC Eligible Costs (403.5) (542.6) 34.5
Net City Share 268.2 282.8 5.4
*Includes annual indexing and 2019 & 2020 DC Updates
The City share dollar amount of $282.8 million will be funded through property taxes, debt, and senior
level government grants, such as Federal Gas Tax. The City’s current economic strategy focusing on
industrial and commercial growth (taxation revenue) will assist the City in meeting its future growth
related financial obligations.
Comparison of DC Funding Sources
As the above chart indicates, there has been a shift between funding sources, taxpayer to DC
charges resulting in savings of approximately 5.7 percent or $46.8 million.
Public Engagement Process
On May 20th, staff reached out to the development industry by distributing the DC Background Study,
dated May 11, 2022 and holding a stakeholder consultation on June 1, 2022. The City invited
fourteen organizations and we had all fourteen organizations (24 individuals) attend the consultation.
The City received comments from the development industry community with regard to Seaton
residential and non-residential employment land absorption rates.
60.1%65.7%
39.9%34.3%
20%
30%
40%
50%
60%
70%
80%
90%
100%
2017 DC Study 2022 DC Study
Growth Funded (DC Charges)City Share
FIN 12-22 July 11, 2022
Subject: 2022 Development Charge Background Study, Community Benefits,
Strategy, and Parkland Conveyance By-law Page 12
Subsequent to this meeting, the City held a Statutory and Public Meeting on June 20, 2022. As a
result of the input received at the stakeholders and public meetings, Watson & Associates has
produced an Addendum to their May 11, 2022 Study, Attachment 1, which captures any changes
resulting from the foregoing.
Indexing
Based on our current DC By-law, DC rates shall be adjusted annually as of July 1 each year based
on the Non-residential Building Construction index in order to keep DC revenues current with
construction costs. The previous indexing was done on July 1, 2021. As the current 2022 Background
Study coincides with the July 1, 2022 indexing period, it is no longer necessary to index for the period
of July 1, 2022 to June 30, 2023. The capital costs are reflected at the 2022 values. DC rates to be
approved in the current 2022 Background Study would be due for indexing on July 1, 2023.
Transition Provision
The proposed rates will come into effect on July 12, 2022. Any complete building permit applications
received after July 11, 2022 will be subject to the new DC rate.
The new DC rates shall not apply to those complete building permit applications received by July 11,
2022, whereby the building permit (or conditional building permit) is issued for all or part of the
building on or before August 15, 2022.
Financial Impact Agreement Soft Services-Indexing
The FIA allows annual indexing for the soft services category. Traditionally, the annual indexing is
calculated together with the DC indexing every July 1. As the City will not be doing the annual
indexing for the DC rates due to the current 2022 Study, staff are including the annual indexing for the
FIA soft services component in this report. See Attachment 4 for the detailed calculation. The soft
services for a residential single unit has increased from $897 to $1,052 after applying the construction
price index of 17.3 percent. Total FIA rate applicable for the same dwelling type after including non-
indexed costs will be increased from $1,386 to $1,541 after indexing.
2.Community Benefits Charges
2.1 Background
The CBC is a new growth funding tool, introduced by the Province in recent legislation. It allows
municipalities to fund capital costs related to growth that are not already recovered from development
charges and parkland provisions.
The City of Pickering has recently completed a Community Benefits Strategy, as required by the
legislation, to support the passing of a CBC By-law (see Community Benefits Strategy and By-law,
Attachments #5 and #7). The CBC establishes a new charge on certain high density development to
recover the capital costs relating to certain classes of services. The services identified to be
supported are: Arts, Culture and Museum; Animal Adoptions; and Administration.
FIN 12-22 July 11, 2022
Subject: 2022 Development Charge Background Study, Community Benefits,
Strategy, and Parkland Conveyance By-law Page 13
The Strategy concluded that applying the charge on a per unit basis, based on the number of
bedrooms in the apartment unit, was most appropriate, compared to an area wide charge. For the
purpose of the CBC, “apartment unit” applies to the building typology, irrespective of tenure (rental;
condominium; co-op; etc.). Additionally, for the purpose of the CBC, “apartment” includes a Stacked
Townhouse development that has five or more storeys, and has ten or more units.
Following the release of the draft CBC Strategy in May 2022, a further review of eligible projects, and
all figures were double checked. Key updates to the CBC Strategy included the following services:
•increasing the capital costs for Arts, Culture and Museum by $0.2 million for the inclusion of
public art;
•increasing the development related costs for Administration by $1.2 million to cover renovation
costs for the Civic Complex;
•decreasing the CBC eligible Animal Adoptions costs by $13,000.
As a result, the proposed CBC charge increased. A comparison of the proposed charge and the
revised charge are identified in the Table below:
Table 6 Comparison of CBC Charges
Unit Type May 20, 2022
Proposed Charge
June 23, 2022
Revised Charge
Apartments: 2 + bedrooms $910 $1,070
Apartments: bachelor and 1 bedroom $659 $657
2.2 Stakeholder Consultation
As a result of stakeholder consultation, and a written submissions from Chestnut Hill Developments
(see Attachment #6A) on the proposed CBC By-law, revisions have been made to the CBC By-law,
since public meeting, as follows:
•the ‘effective’ date of the CBC By-law was delayed from July 12 to September 30, 2022;
•definitions for “Grade” and “Storey” were added;
•the transition provisions regarding the waiving payment of CBCs upon submission of a
complete building permit application by July 1, 2022, and issuance of a building permit by
August 15th, was deleted to reflect the September 30, 2022 effective date of the by-law coming
into force (with no grace period);
•clauses were added relating the establishment of the CBC Reserve Fund, and administrative
matters related to the Fund.
A written submission was also received from BILD (see Attachment 6B). BILD indicated that they
agree with many aspects of the City’s approach to CBC By-law and commended the City on work to
date. BILD further requested clarification on the application of CBC charges to additions to buildings.
Staff can confirm that, where an addition qualifies for CBCs, the CBC is payable only on the new
units, not on the existing units in the building. Staff can also confirm that where an addition does not
FIN 12-22 July 11, 2022
Subject: 2022 Development Charge Background Study, Community Benefits,
Strategy, and Parkland Conveyance By-law Page 14
qualify for collection of CBCs, no payment would be required. This is addressed through the
definitions of ‘development’, ‘redevelopment’, and section 2.4 (b) of the CBC By-law.
It is recommended that Council approve the CBC Strategy, dated May 20, 2022, updated June 23,
2022, and that the draft CBC By-law be finalized and enacted in the Council Meeting.
3. Parkland Conveyance By-law
3.1 Background
Bill 197 was enacted on September 18, 2020, and affected multiple pieces of legislation, including
specific changes to Section 42 of the Planning Act (“Conveyance of land for park purposes”). The
effect of Bill 197 was that all municipal Parkland By-laws, that contained an alternative rate for
collecting parkland, will expire on September 18, 2022. As a result, municipalities are required to pass
new Parkland By-laws in order to continue to collect parkland (or payment-in-lieu).
The Planning Act allows a municipality to pass a by-law to require that land be conveyed to a
municipality for park or other public recreational purposes at a rate of one hectare for each
300 dwelling units proposed or lower as specified in the by-law. As an alternative to collecting actual
parkland, the Planning Act also allows municipalities to pass a by-law to enable the municipality to
collect payment-in-lieu of parkland conveyance, calculated using a rate of one hectare for each
500 dwelling units proposed or lower as specified in the by-law.
Prior to passing such a by-law for these alternative requirements, municipalities are required to
consult with persons and public bodies that the municipality considers appropriate.
3.2 Comments Received
In conjunction with the new DCs and CBCs, staff engaged with members of the development
industry to receive their feedback on the proposed Parkland By-law. This engagement included a
stakeholder meeting held virtually on June 1, presentation at a Public Meeting on June 20, 2022, as
well as posting links to the proposed Parkland By-law on the Municipal website.
Staff received three sets of written comments on the new Parkland By-law, from BILD and two
developer groups. The stakeholders providing comments all acknowledged and accepted that the
new Parkland By-law is in-keeping with the standard parkland rates provided in the Planning Act. In
addition, the comments offered a variety of ideas and suggestions of how Pickering could consider
innovating their collection of parkland (or payment-in-lieu).
Amongst the suggestions received was a request from BILD that Pickering avoid using the funds from
payment-in-lieu of parkland to supplement existing parkland deficiencies for existing residents. The
purpose of colleting payment-in-lieu of parkland from new development is to allow the City to acquire
new parkland in an area where it will serve the future residents of those developments.
Several of the suggestions provided can already be considered and practically applied by staff
without the need of revising the new Parkland By-law. All of these ideas and suggestions have been
noted and will be taken under advisement when the City next undertakes a comprehensive review of
FIN 12-22 July 11, 2022
Subject: 2022 Development Charge Background Study, Community Benefits,
Strategy, and Parkland Conveyance By-law Page 15
its parkland conveyance policies. The new Parkland By-law is a legislated replacement of Pickering’s
existing Parkland By-law and is not intended to be a comprehensive review of those policies. Future
review of the City’s parkland collection practices may create the opportunity to explore innovative
practices in the collection and payment of parkland.
3.3 Conclusion
In keeping with Provincial legislation, Pickering’s current Parkland By-law will expire on
September 18, 2022. The new Parkland By-law will replace the current By-law, and a new clause has
been added indicating the By-law will be effective on July 12, 2022. It reflects the Planning Act’s
standard requirements for the collection of parkland (or payment-in-lieu). Approval of the new
Parkland By-law is necessary in order for the City to continue to acquire parkland (or payment-in-lieu)
as a component of all new development approvals. It is recommended that the draft Parkland By-law
be finalized and considered by Council for enactment later in the Council Meeting.
Attachments:
1.Addendum to Development Charges Background Study 2022 dated June 21, 2022
2.Response to Questions Raised by Seaton Landowner’s Group dated June 17, 2022
3.Draft By-law Regarding Development Charges 2022
4.Financial Impact Agreement – Indexing July 12, 2022
5.Community Benefits Strategy, dated May 20, 2022, updated June 23, 2022
6A. Comments on Community Benefits By-law on behalf of Chestnut Hill Developments
6B. Comments on the Community Benefits By-law from BILD
7.Draft By-law Establishing a Community Benefits Charge and Reserve Fund 2022
8.Comments on the Parkland Conveyance By-law from BILD
9.Comments on the Parkland Conveyance By-law from Dorsay Development Corporation
10.Comments on the Parkland Conveyance By-law on behalf of Pickering Developments
11.Draft By-law Requiring the Conveyance of Land for Park or Other Public Recreational
Purposes, 2022
FIN 12-22 July 11, 2022
Subject: 2022 Development Charge Background Study, Community Benefits,
Strategy, and Parkland Conveyance By-law Page 16
Prepared By: Approved/Endorsed By:
Jason Bekramchand Stan Karwowski
Senior Financial Analyst – Debt & Director, Finance & Treasurer
Capital Management
Catherine Rose, MCIP, RPP Kyle Bentley, P. Eng.
Chief Planner Director, City Development & CBO
Recommended for the consideration
of Pickering City Council
Marisa Carpino, M.A.
Chief Administrative Officer
Original Signed By:Original Signed By:
Original Signed By:Original Signed By:
Original Signed By:
Watson & Associates Economists Ltd.
905-272-3600
June 21, 2022 info@watsonecon.ca
Addendum to 2022 Development
Charges Background Study
City of Pickering
________________________
For Public Circulation and Comment
Attachment #1 to Report FIN 12-22
Watson & Associates Economists Ltd.
H:\Pickering\2022 DC and CBC\Report\Pickering Addendum #1.docx
Table of Contents
Page
1.Summary of Revisions to the May 11, 2022 Development Charges
Background Study ........................................................................................... 1-1
1.1 Background ............................................................................................. 1-1
2. Discussion ....................................................................................................... 2-1
2.1 Introduction ............................................................................................. 2-1
2.2 Anticipated Development ........................................................................ 2-1
2.3 Transportation Services .......................................................................... 2-2
2.4 Parks and Recreation Services ............................................................... 2-2
2.5 Library Services ...................................................................................... 2-3
2.6 Fire Protection Services .......................................................................... 2-4
2.7 By-Law Protection Services .................................................................... 2-4
2.8 Other Services Related to a Highway ..................................................... 2-4
2.9 Stormwater Management Services ......................................................... 2-4
2.10 Growth-Related Studies .......................................................................... 2-4
2.11 By-Law Policies ...................................................................................... 2-5
2.12 Impacts on the Calculated D.C. .............................................................. 2-5
3.Changes to the D.C.B.S................................................................................... 3-1
4.Process for Adoption of the D.C. By-law ....................................................... 4-1
Appendix A Amended Pages .................................................................................. A-1
Watson & Associates Economists Ltd. PAGE 1-1
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1. Summary of Revisions to the May 11, 2022
Development Charges Background Study
1.1 Background
Commensurate with the provisions of the Development Charges Act (D.C.A.), 1997, the
City of Pickering (City) has undertaken a Development Charges Background Study
(D.C.B.S.) and has distributed the study and draft by-law to the public. The following
provides a summary of the key dates in the Development Charges (D.C.s) by-law
process:
• May 11, 2022 – Release D.C.B.S. and draft by-law
• June 1, 2022 – Presentation of D.C. Background study and draft by-law to
Development Industry Stakeholders
• June 20, 2022 – Public Meeting of Council
• July 11, 2022 – Anticipated passage of D.C. By-law
The purpose of this addendum to the May 11, 2022 D.C.B.S. is to provide a for an
update to the forecast of anticipated development, capital cost estimates, and increase
in need for service for new development and to make other minor updates and
housekeeping changes. Furthermore, this addendum also provides for additional
transition provisions for the implementation of the new D.C. by-law.
The refinements are detailed in the subsequent sections of this report and will form part
of the D.C.B.S. for Council’s consideration and approval prior to adoption of the D.C.
By-law.
Watson & Associates Economists Ltd. PAGE 2-1
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2.Discussion
2.1 Introduction
Updates have been made and for the following changes:
•Update to forecast of anticipated development;
•Revisions to costs that have been committed to the D.C. reserve fund for
Transportation and Parks and Recreation Services;
•Updates to costs and other deductions for projects within the Parks and
Recreation, Stormwater Management, and Library services; and
•Revisions to by-law implementation policies.
The impacts are detailed by service area in the following subsections.
2.2 Anticipated Development
The residential growth forecast has been updated to reflect information received
pertaining to the timing and mix of residential dwelling units within Seaton. The impact
of the changes results in a greater share of the high-density dwelling units with Seaton
to develop towards the latter part of the 17-year forecast period.
The non-residential growth forecast has also been updated to reflect information
received pertaining to the amount and timing of non-residential development within
Seaton. Based on the updated information received, the absorption of employment
lands within Seaton has been updated to reflect a greater amount of development by
2039. Furthermore, updates have also been made to the amount of non-residential
development within the Seaton community areas and other areas of the City outside of
Seaton.
The following table compares the forecast employment and non-residential G.F.A. for
the 2022-2039 period within the May 11, D.C.B.S. and this addendum.
Watson & Associates Economists Ltd. PAGE 2-2
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Table 2-1
Comparison of Non-Residential Growth Forecast
Based on the changes in the forecast of population and employment growth the
allocation of net D.C. recoverable costs for services based on the relationship of
forecast population and employment has been updated. The allocation of costs for Fire
Protection, By-Law Enforcement, Other Services Related to a Highway, and Stormwater
Management Services has been updated to 77% residential and 23% non-residential
from 80% residential and 20% non-residential. The allocation of costs for
Transportation Services imposed outside of Seaton has been updated to 83%
residential and 17% non-residential from 85% residential and 15% non-residential.
2.3 Transportation Services
The estimated mid-year D.C. reserve fund balance for Transportation services has been
decreased by $1.6 million from $24.9 million to $23.1 million to reflect updated cost
estimates for the following projects that are committed to the reserved:
•Sandy Beach Road reconstruction; and
•Wanut Lane Extension construction.
This decrease in the estimated reserve fund balance of $1.6 million has a
corresponding increase in the D.C. recoverable costs for Transportation Services.
2.4 Parks and Recreation Services
The gross capital costs for the Beachfront Master Plan – Phase 2 have been increased
from $2 million to $3.4 million to reflect the latest City budget estimates. Furthermore,
Employment G.F.A. (sq.ft.)Employment G.F.A. (sq.ft.)
2022 31,769 31,769
2039 51,398 55,449
Seaton Community Area 5,945 2,763,800 6,813 3,167,400
Seaton Employment Lands 8,680 7,594,300 10,967 9,595,200
Total Seaton 14,625 10,358,100 17,780 12,762,600
Rest of Pickering 5,004 3,967,200 5,900 4,677,700
Pickering Total 19,629 14,325,300 23,680 17,440,300
Non-Residential1 Non-Residential1
Incremenal Growth (2022-2039)
1.Excludes No Fixed Place (NFPOW) of Work and Work at Home
Time Horizon
May 11, 2022 D.C.B.S. Addendum
Watson & Associates Economists Ltd. PAGE 2-3
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budget costs for a village green within Duffin Heights that was previously committed to
the D.C. reserve fund have been increased from $190,000 to $300,000.
Additional growth-related projects have also been identified by staff to provide services
in response to new development, including:
•Amberlea Tennis Court - $400,000;
•William Jackson Drive Park - $110,000; and
•Beachview Homes Park (Tot Lot) - $175,000
Furthermore, the costs for the proposed Community Centre being developed as part of
the Pickering Heritage and Community Centre has been increased from $19.8 million to
$26.6 million. With regard to this project the post period benefit deduction has been
removed as the City is anticipating undertaking this project prior to 2026 and a
deduction of $7.6 million has been made to reflect possible grants, subsidies, or other
contributions that may apply.
The benefit to existing deduction for the Waterfront trail between West shore
Boulevard and Marksbury Road has been revised from 2.5% to 50% to be consistent
with the treatment of other trails outside of the Seaton Lands.
The aforementioned changes increase the total gross capital costs by $8.9 million and
D.C. recoverable costs by $10.2 million.
The historical level of service calculation has also been updated for the parkland
component of Parks and Recreation Services to correctly calculate the increase in need
for service over the 17-year forecast period to 2039.
2.5 Library Services
Consistent with the changes identified above for the proposed Community Centre being
developed as part of the Pickering Heritage and Community Centre, updates have also
been made for the Library space being created within this facility. Gross capital costs
have been increased from $1.5 million to $2.0 million. The post period benefit
deduction has been reduced and possible grants, subsidies, or other contributions of
$783,900 have also been deducted.
Watson & Associates Economists Ltd. PAGE 2-4
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The net D.C. recoverable cost remain unchanged at $54.9 million (including growth-
related studies).
2.6 Fire Protection Services
Based on changes that have been made to the non-residential growth forecast,
revisions have been made to the post period benefit deductions for Fire Protection
Services. D.C. recoverable costs included in the calculation of the charge have
increased by $80,700.
2.7 By-Law Protection Services
Minor reductions of $10,000 have been made to the D.C. recoverable costs for By-Law
Enforcement Services to ensure the D.C. recoverable costs are within the historical
level of service cap.
2.8 Other Services Related to a Highway
Similar to Fire Protection Services, revisions have been made to the post period benefit
deductions based on changes to the non-residential growth forecast. D.C. recoverable
costs included in the calculation of the charge have increased by $718,600.
2.9 Stormwater Management Services
The cost for Frenchman’s Bay Yacht Club Outfall Restoration have been increased to
$1.7 million to reflect updated capital costs anticipated by the City. Furthermore, the
post period benefit deduction has also been updated with regard to the growth forecast
changes. The impact of these change results in an increase in the net D.C. recoverable
costs of $795,500.
2.10 Growth-Related Studies
Although no changes have been made to the Growth-Related Studies costs, the
allocation of those costs to residential and non-residential development has been
updated based on the updates to the total residential and non-residential cost allocation
in the previous sections.
Watson & Associates Economists Ltd. PAGE 2-5
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2.11 By-Law Policies
The draft D.C. by-law has been revised to include provisions for developments where
building permit applications were received prior to July 1, 2022 to pay the current City of
Pickering D.C.s, provided:
•the permit application is complete in terms of the applicant's submission
requirements set out in the building code and the City's Building By-law;
•applicable law approvals prescribed in the building code have been obtained or
applied for; and
•the building permit or a conditional building permit is issued for all or part of the
building by August 15, 2022.
Furthermore, other housekeeping edits have been made to the draft D.C. by-law.
2.12 Impacts on the Calculated D.C.
The refinements presented herein results in the calculated D.C. per single detached
dwelling unit to increase by $391 within the Seaton Lands and by $243 in the other
areas of the City compared to the charges in the May 11, 2022 D.C.B.S. This increase
represents less than a 2% increase in the calculated charge for Seaton and less than
a 1% increase in other areas of the City. Table 2-2 presents the updated schedule of
charges.
Watson & Associates Economists Ltd. PAGE 2-6
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Table 2-2
Amended Schedule of D.C.s
Single and Semi-
Detached Dwelling Other Multiples
Apartments - 2
Bedrooms +
Apartments -
Bachelor and 1
Bedroom
Seaton Prestige
Employment Land
Other Pickering Non-
Residential 2
(per net hectare)(per sq.ft. of Gross
Floor Area)
Municipal Wide Services/Class of Service:
Other Services Related to a Highway 746 575 434 266 11,695 0.34
Fire Protection Services 1,176 906 684 420 18,492 0.53
Parks and Recreation Services 13,273 10,224 7,719 4,737 35,927 1.03
Library Services 2,444 1,883 1,421 872 6,698 0.19
Growth-Related Studies 235 181 137 84 1,083 0.03
Stormwater Management Services 460 354 268 164 7,234 0.21
By-Law Enforcement Services 103 79 60 37 1,564 0.04
Total Municipal Wide Services/Class of Services 18,437 14,202 10,723 6,580 82,693 2.37
Outside of Seaton Lands 1
Transportation Services 13,461 10,369 7,829 4,805 4.73
Total Services Outside of Seaton Lands 13,461 10,369 7,829 4,805 - 4.73
Seaton 18,437 14,202 10,723 6,580 82,693 2.37
Rest of Pickering 31,898 24,571 18,552 11,385 7.10
RESIDENTIAL NON-RESIDENTIAL
2. Does not apply to prestige employment development in Seaton, as that development is subject to the per net Ha land area charge instead.
1. Subject to a separate agreement outside of the Development Charges Act concerning the provision of Transportation requirements in addition to other funding contributions
Service/Class of Service
Watson & Associates Economists Ltd. PAGE 3-1
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3.Changes to the D.C.B.S.
Based on the foregoing, the following revisions are made to the pages within the May
11, 2022 D.C.B.S. Accordingly, the revised pages are appended to this report:
•Chapter 3 and Appendix A – Re-issued to reflect changes described in Section
2.2
•Page 4-11 – Revised to reflect the changes to the D.C. reserve funds described
in Sections 2.3 and 2.4
•Chapter 5 and Chapter 6 – Re-issued to reflect the changes identified in Sections
2.2 to 2.10 herein
•Pages 7-5 to 7-8 – Updated to reflect the revised transition policies and
subsequent page numbering.
•Pages 8-3, 8-4, and D-3 – re-issued to reflect the impacts of the changes herein
on the Asset Management Plan and long-term capital and operating costs
•Pages B-14– Revised to reflect the change to the historical level of service
described in Section 2.4
•Appendix C – Re-issued to reflect changes to the cash-flow calculation of the
D.C.s
•Appendix F – Draft by-law reissued to reflect the changes identified herein.
Watson & Associates Economists Ltd. PAGE 4-1
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4.Process for Adoption of the D.C. By-law
The revisions provided herein form the basis for the D.C. by-law and will be
incorporated into the D.C.B.S. to be provided to Council prior to Council’s consideration
and adoption of the proposed D.C. by-law.
If Council is satisfied with the above noted changes to the D.C.B.S. and D.C. by-law,
then prior to by-law passage Council must:
•Approve the D.C.B.S., as amended;
•Determine that no further public meetings are required on the matter; and
•Adopt the new D.C. by-law.
Appendices
Watson & Associates Economists Ltd. PAGE A-1
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Appendix A
Amended Pages
Watson & Associates Economists Ltd. PAGE 3-1
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3. Anticipated Development in the City of Pickering
3.1 Requirement of the Act
Chapter 3 provides the methodology for calculating a D.C. as per the D.C.A. Figure 1-1
presents this methodology graphically. It is noted in the first box of the schematic that in
order to determine the D.C. that may be imposed, it is a requirement of Section 5 (1) of
the D.C.A. that “the anticipated amount, type and location of development, for which
development charges can be imposed, must be estimated.”
The growth forecast contained in this chapter (with supplemental tables in Appendix A)
provides for the anticipated development for which the City of Pickering will be required
to provide services, over a 10-year (mid-2022 to mid-2032) and longer-term (mid-2022
to mid-2039) horizon.
3.2 Basis of Population, Household and Non-Residential
Gross Floor Area Forecast
The D.C. growth forecast has been derived by Watson. The growth forecast provided
herein builds on growth assumptions established in the Durham Region Growth
Management Strategy (ongoing) and the Region of Durham Regional Transit
Development Charge Background Study (2022). In addition to the Regional
Development Charge Background Study, the following information sources were
consulted:
• City of Pickering Official Plan (Edition 8);
• Durham Region Growth Management Strategy Technical Reports (2021);
• 2006, 2011 and 2016 population, household and employment Census data;
• 2021 population and household Census data;
• Historical residential and non-residential building permit data over the 2012 to
2021 period;
• Residential supply opportunities as provided by the City of Pickering; and
• Discussions with City staff regarding anticipated residential and non-residential
development in the City of Pickering, and specifically the Seaton Community.
Watson & Associates Economists Ltd. PAGE 3-2
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3.3 Summary of Growth Forecast
A detailed analysis of the residential and non-residential growth forecasts is provided in
Appendix A and the methodology employed is illustrated in Figure 1-1. The discussion
provided herein summarizes the anticipated growth for the City and describes the basis
for the forecast. The results of the residential growth forecast analysis are summarized
in Table 1-1 below, and Schedule 1 in Appendix A.
As identified in Table 1-1 and Appendix A, Schedule 1, permanent population in
Pickering is anticipated to reach approximately 158,100 by mid-2032 and 189,200 by
mid-2039, resulting in an increase of approximately 51,000 and 82,100 persons,
respectively over the 10-year and longer-term forecast periods.1 2
1 The population figures used in the calculation of the 2022 D.C. include the net Census
undercount, which is estimated at approximately 3.8%.
2 The 2031 Official Plan population target of 225,670, less the growth allocation for
Northeast Pickering of approximately 36,500 persons, results in an Official Plan
population target of 189,200 by Mid 2039.
Watson & Associates Economists Ltd. PAGE 3-3
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Figure 3-1
Population and Household Forecast Model
Intensification
Designated Lands
Servicing Capacity
Residential Units in the
Development Process
Employment Market by Local
Municipality,
Economic Outlook
Local, region
and Provincial
Forecast of
Residential Units
Decline in Existing Population
Net Population Increase
Historical Housing
Construction
DEMAND SUPPLY
Occupancy Assumptions
Gross Population Increase
Watson & Associates Economists Ltd. PAGE 3-4
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Table 3-1
The City of Pickering
Residential Growth Forecast Summary
Population Institutional
Population
Population
Excluding
Institutional
Population
Singles &
Semi-
Detached
Multiple
Dwellings2 Apartments3 Other Total
Households
91,160 87,838 573 87,265 20,255 4,850 3,085 25 28,215 3.113
92,080 88,721 806 87,915 20,744 5,381 3,190 15 29,330 3.025
95,240 91,771 776 90,995 21,130 6,060 3,695 30 30,915 2.968
102,940 99,186 839 98,347 22,425 6,805 4,165 30 33,425 2.967
107,100 103,191 876 102,315 22,774 7,622 4,559 30 34,985 2.950
133,340 128,475 998 127,477 26,047 10,747 7,666 30 44,490 2.888
158,110 152,339 1,122 151,217 28,822 13,839 10,680 30 53,370 2.854
189,200 182,297 1,314 180,983 31,908 18,001 14,733 30 64,672 2.819
920 883 233 650 489 531 105 -10 1,115
3,160 3,050 -30 3,080 386 679 505 15 1,585
7,700 7,415 63 7,352 1,295 745 470 0 2,510
4,160 4,005 37 3,968 349 817 394 0 1,560
26,240 25,284 122 25,162 3,273 3,125 3,107 0 9,505
51,010 49,148 246 48,902 6,048 6,217 6,121 0 18,385
82,100 79,106 438 78,668 9,134 10,379 10,174 0 29,687
¹ Census undercount estimated at approximately 3.8%. Note: Population including the undercount has been rounded.
² Includes townhouses and apartments in duplexes.
³ Includes bachelor, 1-bedroom and 2-bedroom+ apartments.
Mid 2022 - Mid 2032
Source: Derived from Durham Region Growth Management Strategy (ongoing) and the Region of Durham Regional Transit Development Charge Background Study (2022), by Watson & Associates
Economists Ltd., 2022.
Mid 2022 - Mid 2039
Note: The 2031 Official Plan population target of 225,670, less the growth allocation for Northeast Pickering of approximately 36,500 persons, results in an Official Plan population target of 189,200 by
Mid 2039
Population
(Including
Census
Undercount)¹
Year
Excluding Census Undercount Housing Units Person Per Unit
(P.P.U.): Total
Population/
Total
Households
Mid 2022 - Mid 2027
Hi
s
t
o
r
i
c
a
l
Mid 2039
Fo
r
e
c
a
s
t
In
c
r
e
m
e
n
t
a
l
Mid 2021
Mid 2016 - Mid 2021
Mid 2006 - Mid 2011
Mid 2011 - Mid 2016
Mid 2006
Mid 2011
Mid 2016
Mid 2022
Mid 2027
Mid 2032
Mid 2021 - Mid 2022
Watson & Associates Economists Ltd. PAGE 3-5
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Figure 3-2
The City of Pickering
Annual Housing Forecast
Source: Building permit data from 2011 to 2013 and 2021 from Statistics Canada. Building permits between 2014 and 2020 from the City of Pickering. Figure by Watson & Associates Economists Ltd., 2022.
1 Growth forecast represents calendar year.
283
425
303
379 346
540
1,262
510
573
1,560
1,925 1,925 1,925 1,925
1,805 1,805 1,805 1,805 1,805
1,660 1,660 1,660 1,660 1,660
1,544 1,544 1,544
0
500
1,000
1,500
2,000
2,500
Ho
u
s
i
n
g
U
n
i
t
s
Years
Historical Low Density Medium Density High Density Historical Average
Watson & Associates Economists Ltd. PAGE 3-1
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Provided below is a summary of the key assumptions and findings regarding the City of
Pickering D.C. growth forecast:
1. Housing Unit Mix (Appendix A – Schedules 1 and 6)
• The housing unit mix for the City was derived from the Region of Durham
Regional Transit Development Charge Background Study (2022)
• Based on the above indicator, the longer-term household growth forecast for the
City is comprised of a unit mix of 31% low density units (single-detached and
semi-detached), 35% medium density (multiples except apartments) and 34%
high density (bachelor, 1-bedroom and 2-bedroom apartments).
2. Geographic Location of Residential Development (Appendix A – Schedule 2)
• Schedule 2 summarizes the anticipated amount, type, and location of
development by the Seaton Community and the rest City of Pickering.
• In accordance with forecast demand and available land supply, the amount and
percentage of forecast permanent housing growth between 2022 and 2039 is
summarized below.
Development Location
Approximate
Amount of Housing
Growth, 2022 to 2039
Percentage of
Housing Growth,
2022 to 2039
Seaton 18,260 62%
Rest of Pickering 11,420 38%
City Total 29,680 100%
3. Planning Period
• Short and longer-term time horizons are required for the D.C. process. The
D.C.A. limits the planning horizon for certain services, such as parks, recreation
and libraries, to a 10-year planning horizon. Services related to a highway,
public works, fire, police, stormwater, water and wastewater services can utilize a
longer planning period.
Watson & Associates Economists Ltd. PAGE 3-2
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4.Population in New Housing Units (Appendix A - Schedules 3, 4 and 5)
•The number of new housing units to be constructed in the City of Pickering
during the short- and long-term periods is presented in Figure 1-2. Over the ten-
year forecast period, the City is anticipated to average 1,839 new housing units
per year.
•Institutional population1 is anticipated to increase by approximately 250 people
between 2022 to 2032 and approximately 440 people between 2022 and 2039.
•Population in new units is derived from Schedules 3, 4, and 5, which incorporate
historical development activity, anticipated units (see unit mix discussion) and
average persons per unit (P.P.U.) by dwelling type for new units.
•Schedule 8 summarizes the average P.P.U. assumed for the new housing units
by age and type of dwelling based on a 2016 custom Census data for the City of
Pickering. The total calculated P.P.U. for all density types represents a 25-year
forecast average. Average P.P.U.s by dwelling type are as follows:
o Low density:3.561
o Medium density: 2.743
o High density 2:1.771
5.Existing Units and Population Change (Appendix A - Schedules 3, 4 and 5)
•Existing households for mid-2022 are based on the 2021 Census households,
plus estimated residential units constructed in 2021, assuming a 6-month lag
between construction and occupancy (see Schedule 3).
•The decline in average occupancy levels for existing housing units is calculated
in Schedules 3 through 5, by aging the existing population over the forecast
period. The forecast population decline in existing households over the 2022 to
2039 forecast period is approximately 350.
6.Employment (Appendix A, Schedules 10a, 10b, 10c, 11 and 12)
•The employment projections provided herein are derived from the Region of
Durham Regional Transit Development Charge Background Study (2022) and
1 Institutional includes special care facilities such as nursing home or residences for
senior citizens. A P.P.U. of 1.100 depicts 1-bedroom and 2- or more bedroom units in
these special care facilities.
2 Includes bachelor, 1-bedroom and 2- or more bedroom apartments.
Watson & Associates Economists Ltd. PAGE 3-3
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based on the activity rate method, which is defined as the number of jobs in a
City divided by the number of residents. Key employment sectors include
primary, industrial, commercial/population-related, institutional, and work at
home, which are considered individually below.
• 2016 employment data 1 (place of work) for the City of Pickering is outlined in
Schedule 10a. The 2016 employment base is comprised of the following sectors:
o 140 primary (less than 1%);
o 3,225 work at home employment (10%);
o 11,840 industrial (36%);
o 12,670 commercial/population related (39%); and
o 4,885 institutional (15%).
• The 2016 employment by usual place of work, including work at home, is
approximately 32,760. An additional 4,690 employees have been identified for
the City in 2016 that have no fixed place of work (N.F.P.O.W.).2
• Total employment, including work at home and N.F.P.O.W. for the City is
anticipated to reach approximately 56,220 by mid-2032 and 70,700 by mid-2039.
This represents an employment increase of approximately 15,960 and 30,450
respectively, over the forecast period.3
• Schedule 10b, Appendix A, summarizes the employment forecast, excluding
work at home employment and N.F.P.O.W. employment, which is the basis for
the D.C. employment forecast. The impact on municipal services from work at
home employees has already been included in the population forecast. The
need for municipal services related to N.F.P.O.W. employees has largely been
included in the employment forecast by usual place of work (i.e. employment and
gross floor area generated from N.F.P.O.W. construction employment).
Furthermore, since these employees have no fixed work address, they cannot be
captured in the non-residential gross floor area (G.F.A.) calculation.
1 2016 employment is based on Statistics Canada 2016 Place of Work Employment
dataset by Watson & Associates Economists Ltd.
2 No fixed place of work is defined by Statistics Canada as "persons who do not go from
home to the same work place location at the beginning of each shift". Such persons
include building and landscape contractors, travelling salespersons, independent truck
drivers, etc.
3 The 2031 Official Plan employment target of 71,800 is forecast to be achieved after
2039. An additional 4,900 jobs would be assumed for Northeast Pickering, in
accordance with the Official Plan.
Watson & Associates Economists Ltd. PAGE 3-4
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•Total employment for the City of Pickering (excluding work at home and
N.F.P.O.W. employment) is anticipated to reach approximately 43,930 by mid-
2032 and 55,450 by mid-2039. This represents an employment increase of
approximately 12,160 and 23,680 respectively, over the forecast period.
7.Non-Residential Sq.ft. Estimates (G.F.A., Appendix A, Schedule 10b)
•Square footage estimates were calculated in Schedule 10b based on the
following employee density assumptions:
o 1,100 sq.ft. per employee for industrial;
o 400 sq.ft. per employee for commercial/population-related; and
o 675 sq.ft. per employee for institutional employment.
•The City-wide incremental Gross Floor Area (G.F.A.) is anticipated to increase by
8,684,400 sq.ft. over the 10-year period and 17,440,200 sq.ft. over the longer-
term forecast period.
•In terms of percentage growth, the 2022 to 2039 incremental G.F.A. forecast by
sector is broken down as follows:
o industrial – 61%;
o commercial/population-related – 23%; and
o institutional – 16%.
8.Geography of Non-Residential Development (Appendix A, Schedule 10c)
•Schedule 10c summarizes the anticipated amount, type and location of non-
residential development by servicing area for the City of Pickering by area.
•In accordance with forecast demand, the amount and percentage of forecast total
non-residential growth between 2022 and 2039 by development location is
summarized below.
Watson & Associates Economists Ltd. PAGE 3-5
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Development Location
Amount of Non-
Residential
G.F.A., 2022 to
2039
Percentage of
Non-Residential
G.F.A., 2022 to
2039
Seaton 12,762,500 73%
Rest of Pickering 4,677,700 27%
City Total 17,440,200 100%
Watson & Associates Economists Ltd. PAGE 4-11
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Table 4-2
City of Pickering
Projected Uncommitted D.C. Reserve Fund Balances
(July 1, 2022)
4.10 Deductions
The D.C.A. potentially requires that four deductions be made to the increase in the need
for service. These relate to:
•the level of service ceiling;
•uncommitted excess capacity;
•benefit to existing development; and
•anticipated grants, subsidies and other contributions.
The requirements behind each of these reductions are addressed as follows:
4.10.1 Reduction Required by Level of Service Ceiling
This is designed to ensure that the increase in need included in 4.3 does “…not include
an increase that would result in the level of service (for the additional development
increment) exceeding the average level of the service provided in the municipality over
the 10-year period immediately preceding the preparation of the background study…”
O. Reg. 82.98 (s.4) goes further to indicate that, “…both the quantity and quality of a
service shall be taken into account in determining the level of service and the average
level of service.”
In many cases, this can be done by establishing a quantity measure in terms of units as
floor area, land area or road length per capita, and a quality measure in terms of the
Service Totals
Other Services Related to a Highway ($1,614,679)
Fire Protection Services ($8,403,069)
Parks and Recreation Services $28,457,731
Library Services $6,061,637
Growth Studies ($3,929,051)
Stormwater Management Services $546,096
By-Law Enforcement Services $0
Transportation Services $23,159,257
Total $44,277,923
Watson & Associates Economists Ltd. PAGE 5-1
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5. Development Charge Eligible Cost Analysis by
Service
This chapter outlines the basis for calculating D.C. eligible costs for the D.C.s to be
applied on a uniform basis. The required calculation process set out in s.5(1)
paragraphs 2 to 8 in the D.C.A., 1997, and described in Chapter 4, was followed in
determining D.C. eligible costs.
The nature of the capital projects and timing identified in this chapter reflects Council’s
current intention. However, over time, municipal projects and Council priorities change
and, accordingly, Council’s intentions may be modified, and different capital projects
(and timing) may be required to meet the need for services required by new growth.
5.1 Service Levels and 17-Year Capital Costs for City-wide
D.C. Calculation
This section evaluates the development-related capital requirements for select services
and classes of service over the 17-year planning period (mid 2022 - mid 2039). Each
service is evaluated on two format sheets: the average historical 10-year level of
service calculation (see Appendix B), which “caps” the D.C. amounts; and the
infrastructure cost calculation, which determines the potential D.C. recoverable cost.
5.1.1 Fire Protection Services
Fire Protection Services in the City are provided through four fire stations totalling
35,700 sq.ft. of facility space. These services are further provided through the utilization
of 28 vehicles and 1,332 equipment items. Based on the average per capita investment
of $407 over the 2012 to 2021 period, and the forecast population growth of 79,106
persons over the 2022 to 2039 forecast period, the resulting maximum D.C.-eligible
amount that could be included in the calculation is $32.0 million.
The capital needs that are anticipated to provide service over the forecast period
includes two additional fire stations and associated vehicles and equipment for fire
fighters. These needs are estimated at a gross capital cost of $26.2 million. Of the total
capital cost, $1.0 million has been deducted as a benefit to development beyond the
forecast period. After accounting for the existing reserve fund deficit of $8.4 million,
recognizing the benefit to development having already occurred, $32.1 million has been
Watson & Associates Economists Ltd. PAGE 5-2
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included in the calculation of the charge These D.C.-eligible costs have then been
allocated to residential and non-residential development based on the share of
population (78,668) and employment (23,680) growth (i.e. 77% residential and 23%
non-residential).
5.1.2 By-Law Enforcement Services
By-law Enforcement Services are currently provided through 3,700 sq.ft. of facility
space and the operation of 8.6 vehicles (accounting for animal services vehicle usage
not pertaining to by-law enforcement). This level of investment equates to an average
per capita level of service over the past 10-years of $36. When applied to the forecast
population growth over the 17-year forecast period, the maximum amount that could be
included in the calculation of the charge is $2.9 million.
Over the forecast period the City will be constructing a new Animal Shelter and By-law
Enforcement facility as well as requiring addition By-law enforcement vehicles. 30% of
the costs of the facility ($2.8 million) have been deducted to reflect the share of the
facility not related to By-law Enforcement Services. Furthermore, $2.1 million and $1.8
million have been deducted for the benefit to development beyond the planning period
and the benefit to existing development, respectively. Net D.C. recoverable costs of
$2.9 million have been included in the calculation of the charge and have been
allocated 77% to residential development and 23% non-residential development based
on the share of incremental population and employment growth over the forecast
period.
5.1.3 Other Services Related to a Highway
The City provides operations services related to Transportation Services, defined by the
D.C.A. as Services Related to a Highway. These services include roads operations
facilities, vehicles, and equipment. These services are provided through the use of 185
vehicles and equipment items, and 61,200 sq.ft. of facility space. The average level of
service provided over the historical 10-year period based on this inventory is $288 per
capita. When applied to anticipated growth over the 2022 to 2039 forecast period, the
per capita level of service produces a maximum D.C. eligible amount of $22.7 million.
The gross capital cost included in the D.C. calculation for the forecast period to 2039
totals $18.3 million. The capital cost estimates include additional vehicles and
equipment items, as well as the growth-related share of the new Operations Centre debt
Watson & Associates Economists Ltd. PAGE 5-3
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payments and the Northern Satellite Operations Centre (including land). After
recognizing the current reserve fund deficit of $1.6 million, the benefit to existing
development of $76,200 and the post period benefit of $92,100 , the resulting net
growth-related capital cost of $19.8 million have been included in the D.C. calculation.
The forecast growth-related costs have been allocated 77% to residential development
and 23% to non-residential development based on the incremental growth in population
and employment.
5.1.4 Parks and Recreation Services
The City currently operates their Parks and Recreation Services utilizing 823 acres of
developed and passive parkland, 25.1 km of trails, and 551,100 sq.ft. of facility space.
The City also utilizes 192 vehicle and equipment items to provide services. Over the
past 10-year years, the investments in these assets equate to an average per capita
level of service of $5,156. Based on this level of investment and the anticipated growth
in the 17-year forecast period, the maximum D.C.-eligible amount that could be included
in the calculation of the charges is $405.6 million.
The 17-year capital needs required to meet the needs of the anticipated development
total $354.5 million, comprising future parkland and trail development, additional indoor
recreation space needs, and additional parks maintenance vehicles and the share of
operations facilities related to parks. Approximately $345,700 has been deducted as
benefit to development beyond the period to 2039. Furthermore, $32.5 million has been
deducted for the benefit to existing development. After accounting for the existing
reserve balance of $28.5 million and possible grants, subsidies, and other contribution
of $8.7 million towards the growth-related share of the costs, $284.4 million net D.C.
recoverable costs have been included in the calculation of the charge.
These costs are then allocated 95% to residential development and 5% to non-
residential development as the residential population tends to be the predominant users
of Parks and Recreation Services.
5.1.5 Library Services
Library services are provided by the City through the provision of approximately 51,000
sq.ft. of facility space, 315,200 library collection material items, and one vehicle. The
average level of service provided over the historical 10-year period based on this
Watson & Associates Economists Ltd. PAGE 5-4
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inventory is $692 per capita. When applied to anticipated growth over the 2022-2039
period, the per capita level of service produces a maximum D.C. eligible amount for
library services of approximately $54.5 million.
The gross capital cost included in the D.C. calculation for the 17-year forecast period
are $107.0 million. The capital cost estimates include a new library branch in Seaton
(including land and materials), a new Central Library Facility, and additional library
space at the Pickering Heritage and Community Centre. Deductions for the benefit to
existing development total $41.5 million. A further $3.7 million has been deducted to
reflect the benefits to development beyond the 17-year planning period and $784,000
for possible grants, subsidies, and other contributions that could reduce the growth-
related costs. There is a current reserve fund balance of $6.1 million, which when
applied against the growth-related costs results in a net D.C. recoverable capital cost of
$54.9 million (including growth-related studies) which has been included in the D.C.
calculation.
Similar to Parks and Recreation Services, the predominant users of Library Services
tend to be residents of the City, as such the forecast growth-related costs have been
allocated 95% to residential development and 5% to non-residential development.
5.1.6 Stormwater Management Services
Stormwater management needs provided in the increase in need for service reflect
those in addition to the local service requirements of development, and include erosion
control works, conveyance control, new facilities, and water quality treatment. In total,
the gross capital cost estimate for these needs over the 17-year planning period total
$64.8 million. After deducting approximately $51.0 million for benefits to existing
development, $69,600 for the post period benefit, and $546,100 for current reserve fund
balances, the net D.C. eligible costs for inclusion in the calculation of the charge is
approximately $13.2 million.
Based on the incremental growth in population to employment, the net D.C.-eligible
costs have been allocated 77% to residential and 23% to non-residential development
within the City.
Watson & Associates Economists Ltd. PAGE 5-5
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5.1.7 Growth-Related Studies Class of Service
The D.C.A. permits the inclusion of studies undertaken to facilitate the completion of the
City’s capital works program. As discussed in Section 4.7, these studies have been
included within a class of services based on each service to which the study relates.
For planning related studies, a deduction of 10% has been applied to recognize the
extent to which the studies relate to non-D.C.-eligible services. All studies have been
allocated to the classes of services in the following manner:
• Fire Protection – 8%
• By-law Enforcement – 1%
• Transportation – 5%
• Parks and Recreation – 70%
• Library – 13%
• Stormwater Management – 3%
The cost of the growth-related studies is $2.5 million of which $461,800 is a benefit to
existing development. A deduction of $143,400 has been made to recognize the portion
of planning studies related to D.C.-ineligible services, as mentioned above and
$245,400 has been deducted as a post-period benefit. After accounting for the existing
reserve fund deficit of $3.9 million net D.C.-eligible costs of $5.6 million over the 17-year
forecast period are included in Table 5-7 below.
The allocation of the net growth-related costs between residential and non-residential
development is based on the residential and non-residential allocations for each service
area.
Watson & Associates Economists Ltd. PAGE 5-6
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Table 5-1
Infrastructure Costs Covered in the D.C. Calculation – Fire Protection Services
Less:Potential D.C. Recoverable Cost
Prj .No Residential
Share
Non-Residential
Share
2022-2039 77%23%
Facilities
1 Fire Station A (Seaton) - Design 2022 445,000 - 445,000 11,100 433,900 334,103 99,797
2 Fire Station A (Seaton) - Construction 2022 8,980,320 8,980,320 224,500 8,755,820 6,741,981 2,013,839
3 Fire Station B (Seaton) - Land and Design 2024 2,323,000 - 2,323,000 58,100 2,264,900 1,743,973 520,927
4 Fire Station B (Seaton) - Construction 2026 6,000,000 - 6,000,000 150,000 5,850,000 4,504,500 1,345,500
5 Training Centre 2022-2039 1,500,000 666,700 833,300 833,300 - - -
Vehicles
6 1 Aerial (Seaton Station A)2022 1,752,300 - 1,752,300 43,800 1,708,500 1,315,545 392,955
7 Aerial (Fire Station B) (Seaton)2023 1,752,300 - 1,752,300 43,800 1,708,500 1,315,545 392,955
8 Small vehicle (2) (Seaton)2023 110,000 - 110,000 2,800 107,200 82,544 24,656
9 Pumper (Fire Station B) (Seaton)2023 1,200,000 - 1,200,000 30,000 1,170,000 900,900 269,100
Equipment
10 Equipment for 9 Firefighters incl. Bunker Gear and
Breathing Apparatus (Station A)2022 251,900 - 251,900 - 251,900 193,963 57,937
11 Equipment for 20 Firefighters incl. Bunker Gear
and Breathing Apparatus (Station A)2023 559,700 559,700 - 559,700 430,969 128,731
12 Equipment for 20 Firefighters incl. Bunker Gear
and Breathing Apparatus (Station B)2024 559,700 559,700 - 559,700 430,969 128,731
13 Equipment for 20 Firefighters incl. Bunker Gear
and Breathing Apparatus (Station B)2026 559,700 351,987 207,713 - 207,713 159,939 47,774
Studies
14 Fire Master Plan 2023 200,000 - 200,000 50,000 150,000 115,500 34,500
Reserve Fund Adjustment 8,403,069 6,470,363 1,932,706
Total 26,193,920 1,018,687 25,175,233 1,447,400 - 32,130,902 24,740,795 7,390,107
Increased Service Needs Attributable to
Anticipated Development Timing
(year)
Benefit to
Existing
Development
Grants, Subsidies
and Other
Contributions
Attributable to New
Development
Total
Post Period
Benefit
Net Capital
Cost
Gross
Capital Cost
Estimate
(2022$)
Watson & Associates Economists Ltd. PAGE 5-7
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Table 5-2
Infrastructure Costs Covered in the D.C. Calculation – By-law Enforcement Services
Less:Potential D.C. Recoverable Cost
Prj .No Residential
Share
Non-Residential
Share
2022-2039 77%23%
Facilities
1 Animal Shelter & By-Law Services (Including Land
Lease) 2023 9,438,000 1,918,845 2,831,400 4,687,755 1,838,400 2,849,355 2,194,003 655,352
Vehicles
2 Provision for additional By-law and Animal Services
Enforcement Vehicles 2022-2039 221,844 216,298 5,546 5,546 - - -
- - -
Total 9,659,844 2,135,143 2,831,400 4,693,301 1,843,946 - 2,849,355 2,194,003 655,352
1. Other deductions include cost related to ineligible services
Post Period
Benefit
Benefit to
Existing
Development
Grants, Subsidies
and Other
Contributions
Attributable to New
Development
Total
Increased Service Needs Attributable to Anticipated
Development Timing
(year)
Gross
Capital Cost
Estimate
(2022$)
Other
Deductions
Net Capital
Cost
Watson & Associates Economists Ltd. PAGE 5-8
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Table 5-3
Infrastructure Costs Covered in the D.C. Calculation – Other Services Related to a Highway
Less:Potential D.C. Recoverable Cost
Prj .No Residential Share
Non-
Residential
Share
2022-2039 77%23%
Roads Operations Fleet and Equipment
1 4 Ton Dump Truck/Snow Plow 2023 300,000 - 300,000 - 300,000 231,000 69,000
2 4 Ton Dump Truck/Snow Plow 2023 300,000 - 300,000 - 300,000 231,000 69,000
3 4 Ton Dump Truck/Snow Plow 2023 300,000 - 300,000 - 300,000 231,000 69,000
2 4 Ton Dump Truck/Snow Plow 2024 300,000 - 300,000 - 300,000 231,000 69,000
4 4 Ton Dump Truck/Snow Plow 2026 300,000 - 300,000 - 300,000 231,000 69,000
4 5 Ton Dump Truck/Snow Plow 2022 320,000 - 320,000 - 320,000 246,400 73,600
5 1 Ton Dump Truck (3)2022 210,000 - 210,000 - 210,000 161,700 48,300
6 1 Ton Dump Truck with Snow Plow 2022 300,000 - 300,000 - 300,000 231,000 69,000
7 SUV 2022-2026 40,600 - 40,600 - 40,600 31,262 9,338
8 Sweeper 2022-2026 394,300 - 394,300 - 394,300 303,611 90,689
9 Sidewalk Tractors 2023 175,000 - 175,000 - 175,000 134,750 40,250
10 Sidewalk Tractors 2026 175,000 - 175,000 - 175,000 134,750 40,250
11 Sidewalk Tractors 2026 175,000 - 175,000 - 175,000 134,750 40,250
12 Provision for Vehicles & Equipment 2031-2039 3,405,067 92,082 3,312,985 - 3,312,985 2,550,998 761,987
Roads Operations Facilities
13 New Operations Centre (NPV of Principal Payments)2022-2037 4,030,272 - 4,030,272 - 4,030,272 3,103,310 926,963
14 New Northern Satellite Operations Centre - Land 2023 3,840,000 - 3,840,000 - 3,840,000 2,956,800 883,200
15 New Northern Satellite Operations Centre - Design 2023 300,000 - 300,000 - 300,000 231,000 69,000
16 New Northern Satellite Operations Centre - Construction 2024 2,700,000 - 2,700,000 - 2,700,000 2,079,000 621,000
Studies
17 Transportation Demand Management Plan/Parking
Management Plan (Seaton)2026 187,800 - 187,800 18,800 169,000 130,130 38,870
18 Neighbourhood Traffic Calming Measures 2022-2027 174,000 - 174,000 17,400 156,600 120,582 36,018
19 Transportation Master Plan 2022 400,000 - 400,000 40,000 360,000 277,200 82,800
Reserve Fund Adjustment 1,614,679 1,243,303 371,376
Total 18,327,039 92,082 18,234,957 76,200 - 19,773,436 15,225,546 4,547,890
Benefit to
Existing
Development
Grants, Subsidies
and Other
Contributions
Attributable to New
Development
Total
Post Period
Benefit
Net Capital
Cost
Gross
Capital Cost
Estimate
(2022$)
Increased Service Needs Attributable to Anticipated
Development Timing
(year)
Watson & Associates Economists Ltd. PAGE 5-9
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Table 5-4
Infrastructure Costs Covered in the D.C. Calculation – Parks and Recreation Services
Prj.No Parks Code Residential
Share
Non-
Residential
Share
95% 5%
Parks
1 Parking lot expansion - Village East Park 2022-2027 125,100 - 125,100 93,800 31,300 29,735 1,565
2 Community Park - Greenwood Conservation Lands (ph 1)2025-2027 7,577,000 - 7,577,000 3,788,500 3,788,500 3,599,075 189,425
3 Community Park - Greenwood Conservation Lands (ph 2)2026-2029 4,380,600 - 4,380,600 1,414,400 2,966,200 2,817,890 148,310
4 Park - Krosno Creek valley - Hwy 401 to Bayly 2025-2027 350,000 - 350,000 35,000 315,000 299,250 15,750
5 Park - The Piazza - downtown south intensification 2024-2025 625,800 - 625,800 62,600 563,200 535,040 28,160
6 Skate Board Park - Community Size (Civic Centre)2022 850,000 - 850,000 425,000 425,000 403,750 21,250
7 Skate Board Park - Skate Spots (1 locations)2024 250,000 - 250,000 125,000 125,000 118,750 6,250
8 D.H. Neighbourhood Park (Dersan & Tillings Road)2022-2023 695,900 - 695,900 17,400 678,500 644,575 33,925
9 Stonepay Village Green 2023 960,000 - 960,000 24,000 936,000 889,200 46,800
10 Park Block at Old Ops Centre 2025-2027 1,000,000 - 1,000,000 500,000 500,000 475,000 25,000
11 New Neighbourhood Park in Clermont (Geranium Development)2027-2031 1,700,000 - 1,700,000 42,500 1,657,500 1,574,625 82,875
12 City Centre Urban Park (0.3ha)2025-2027 1,500,000 - 1,500,000 750,000 750,000 712,500 37,500
13 New Urban Park (phase 2 of the Smart Center redevelopment - 1899 Brock Rd)2028-2032 1,000,000 - 1,000,000 500,000 500,000 475,000 25,000
14 Beachfront Park Master Plan - Consulting Services for Detailed Design and Approvals 2022 500,000 - 500,000 250,000 250,000 237,500 12,500
15 Beachfront Park Master Plan - Phase 1 Construction 2023 4,500,000 - 4,500,000 2,250,000 2,250,000 2,137,500 112,500
16 Beachfront Park Master Plan - Phase 2 Construction 2024 3,400,000 - 3,400,000 1,700,000 1,700,000 1,615,000 85,000
17 WF trail between West Shore Boulevard and Marksbury Road 2022-2025 4,850,000 - 4,850,000 2,425,000 2,425,000 2,303,750 121,250
18 Park Development in the Hydro corridor, Kingston to Finch as part of Highmark Homes developme 2025-2028 2,000,000 - 2,000,000 50,000 1,950,000 1,852,500 97,500
19 Additional Gravel parking lot, Alex Robertson Park 2023 150,000 - 150,000 75,000 75,000 71,250 3,750
20 Outdoor Rink at Seaton Recreation Complex 2022-2027 4,000,000 - 4,000,000 2,000,000 2,000,000 1,900,000 100,000
21 Amberlea Tennis Club, Shaybrook Park (Additional Tennis Court)2023 400,000 - 400,000 300,000 100,000 95,000 5,000
22 Park - William Jackson Drive 2023 110,000 - 110,000 2,800 107,200 101,840 5,360
22 Park (Tot Lot) - Beachview Homes 2025-2028 175,000 - 175,000 4,400 170,600 162,070 8,530
Seaton Parkland
23 Village Green P-104 2023-2024 450,000 - 450,000 11,300 438,700 416,765 21,935
24 Village Green P-105 2022-2023 695,000 - 695,000 17,400 677,600 643,720 33,880
25 Village Green P-106 2023-2025 700,000 - 700,000 17,500 682,500 648,375 34,125
26 Neighbourhood Park P-107 2023-2025 1,650,000 - 1,650,000 41,300 1,608,700 1,528,265 80,435
27 Village Green P-108 2024-2026 575,000 - 575,000 14,400 560,600 532,570 28,030
28 Neighbourhood Park P-109 2024-2026 1,176,000 - 1,176,000 29,400 1,146,600 1,089,270 57,330
29 Village Green P-110 2024-2026 595,000 - 595,000 14,900 580,100 551,095 29,005
30 Village Green P-111 2024-2026 305,000 - 305,000 7,600 297,400 282,530 14,870
31 Village Green P-112 2022-2024 475,000 - 475,000 11,900 463,100 439,945 23,155
2022-2039
Increased Service Needs Attributable to Anticipated Development Gross Capital
Cost Estimate
(2022$)
Timing (year)Post Period
Benefit
Net Capital
Cost
Less:Potential D.C. Recoverable Cost
Benefit to
Existing
Development
Grants,
Subsidies and
Other
Contributions
Attributable to
New
Development 1
Total
Watson & Associates Economists Ltd. PAGE 5-10
H:\Pickering\2022 DC and CBC\Report\2022 Development Charges Background Study - City of Pickering - Office Consolidation.docx
Table 5-4 (Cont’d)
Infrastructure Costs Covered in the D.C. Calculation – Parks and Recreation Services
Prj.No Parks Code Residential
Share
Non-
Residential
Share
95% 5%
32 Village Green P-113 2022-2024 210,000 - 210,000 5,300 204,700 194,465 10,235
33 Community Park at Recreation Centre P-115 2024-2026 5,600,000 - 5,600,000 140,000 5,460,000 5,187,000 273,000
34 Village Green P-116 2026-2030 490,000 - 490,000 12,300 477,700 453,815 23,885
35 Neighbourhood Park P-117 2026-2030 1,152,000 - 1,152,000 28,800 1,123,200 1,067,040 56,160
36 Village Green P-118 2023-2025 490,000 - 490,000 12,300 477,700 453,815 23,885
37 Village Green P-119 2022-2024 1,000,000 - 1,000,000 25,000 975,000 926,250 48,750
38 Neighbourhood Park P-120 2025-2027 1,065,000 - 1,065,000 26,600 1,038,400 986,480 51,920
39 Village Green P-121 2022-2024 685,000 - 685,000 17,100 667,900 634,505 33,395
40 Neighbourhood Park P-122 2023-2025 1,255,000 - 1,255,000 31,400 1,223,600 1,162,420 61,180
41 Community Park P-123 2024-2025 3,755,000 - 3,755,000 93,900 3,661,100 3,478,045 183,055
42 Neighbourhood Park P-124 2023-2025 1,145,000 - 1,145,000 28,600 1,116,400 1,060,580 55,820
43 Village Green P-125 2023-2025 518,000 - 518,000 13,000 505,000 479,750 25,250
44 Village Green P-126 2023-2024 295,000 - 295,000 7,400 287,600 273,220 14,380
45 Village Green P-127 2023-2024 395,000 - 395,000 9,900 385,100 365,845 19,255
46 Neighbourhood Park P-128 2028-2031 1,255,000 - 1,255,000 31,400 1,223,600 1,162,420 61,180
47 Community Park at Recreation Centre II P-129 2028-2031 1,450,000 - 1,450,000 36,300 1,413,700 1,343,015 70,685
48 Village Green P-130 2026-2031 485,000 - 485,000 12,100 472,900 449,255 23,645
49 Neighbourhood Park P-131 2026-2031 1,264,000 - 1,264,000 31,600 1,232,400 1,170,780 61,620
50 Village Green P-132 2027-2039 485,000 - 485,000 12,100 472,900 449,255 23,645
51 Village Green P-133 2027-2039 445,000 - 445,000 11,100 433,900 412,205 21,695
52 Neighbourhood Park P-134 2024-2029 1,478,000 - 1,478,000 37,000 1,441,000 1,368,950 72,050
53 Neighbourhood Park P-135 2027-2039 1,184,000 - 1,184,000 29,600 1,154,400 1,096,680 57,720
54 Village Green P-136 2027-2039 498,000 - 498,000 12,500 485,500 461,225 24,275
55 Village Green P-137 2027-2039 485,000 - 485,000 12,100 472,900 449,255 23,645
56 Village Green P-138 2027-2039 484,000 - 484,000 12,100 471,900 448,305 23,595
57 Village Green P-139 2027-2039 642,000 - 642,000 16,100 625,900 594,605 31,295
58 Village Green P-140 2027-2039 575,000 - 575,000 14,400 560,600 532,570 28,030
59 Community Park P-141 2027-2039 5,933,000 - 5,933,000 148,300 5,784,700 5,495,465 289,235
60 Neighbourhood Park P-142 2027-2039 1,882,000 - 1,882,000 47,100 1,834,900 1,743,155 91,745
61 Village Green P-143 2027-2039 858,000 - 858,000 21,500 836,500 794,675 41,825
62 District Park (Phase 1)P-144 2030 12,500,000 - 12,500,000 312,500 12,187,500 11,578,125 609,375
63 District Park (Phase 2)P-144 2030-2032 12,500,000 - 12,500,000 312,500 12,187,500 11,578,125 609,375
2022-2039
Increased Service Needs Attributable to Anticipated Development Gross Capital
Cost Estimate
(2022$)
Timing (year)Post Period
Benefit
Net Capital
Cost
Less:Potential D.C. Recoverable Cost
Benefit to
Existing
Development
Grants,
Subsidies and
Other
Contributions
Attributable to
New
Development 1
Total
Watson & Associates Economists Ltd. PAGE 5-11
H:\Pickering\2022 DC and CBC\Report\2022 Development Charges Background Study - City of Pickering - Office Consolidation.docx
Table 5-4 (Cont’d)
Infrastructure Costs Covered in the D.C. Calculation – Parks and Recreation Services
Prj.No Parks Code Residential
Share
Non-
Residential
Share
95% 5%
Tr ails
64 Seaton Primary Neighbourhood Connection Trails 1 major stream crossing T-1 2022-2024 632,000 - 632,000 15,800 616,200 585,390 30,810
65 Seaton Primary Neighbourhood Connection Trails 1 minor stream crossing T-2 2024-2026 386,000 - 386,000 9,700 376,300 357,485 18,815
66 Seaton Primary Neighbourhood Connection Trails 1 major stream crossing T-4 2024-2027 530,000 - 530,000 13,300 516,700 490,865 25,835
67 Seaton Primary Neighbourhood Connection Trails 2 major stream crossing T-5 2024-2027 975,000 - 975,000 24,400 950,600 903,070 47,530
68 Seaton Primary Neighbourhood Connection Trails 2 major stream crossing T-6 2024-2027 1,125,000 - 1,125,000 28,100 1,096,900 1,042,055 54,845
69 Seaton Primary Neighbourhood Connection Trails 2 major stream crossing T-8 2027-2031 898,000 - 898,000 22,500 875,500 831,725 43,775
70 Seaton Primary Neighbourhood Connection Trails 1 minor stream crossing T-9 2025-2028 210,000 - 210,000 5,300 204,700 194,465 10,235
71 Seaton Primary Neighbourhood Connection Trails 1 major stream crossing T-10 2025-2028 455,000 - 455,000 11,400 443,600 421,420 22,180
72 Seaton Primary Neighbourhood Connection Trails 1 major stream crossing T-11 2027-2031 455,000 - 455,000 11,400 443,600 421,420 22,180
73 Seaton Primary Neighbourhood Connection Trails 1 major stream crossing T-12 2032-2039 410,000 - 410,000 10,300 399,700 379,715 19,985
74 Seaton Primary Neighbourhood Connection Trails 1 major stream crossing T-13 2032-2039 430,000 - 430,000 10,800 419,200 398,240 20,960
75 Seaton Primary Neighbourhood Connection Trails 1 major stream crossing T-14 2032-2039 440,000 - 440,000 11,000 429,000 407,550 21,450
76 Multi-purpose trail - Duffin Heights (Mattamy dev't) to Ajax 2027-2031 625,800 - 625,800 312,900 312,900 297,255 15,645
77 Multi-purpose trail - Hydro Corridor (Liverpool to Whites)2026 1,139,000 - 1,139,000 569,500 569,500 541,025 28,475
78 Trail - Bayly Street from waterfront trail to Go Station 2024 625,800 - 625,800 312,900 312,900 297,255 15,645
79 Trail - Bayly Street from Go Station to Hydro Corridor 2025 438,000 - 438,000 219,000 219,000 208,050 10,950
80 Trail - Finch to Brockridge Park (45m bridge)2027-2031 1,200,000 - 1,200,000 600,000 600,000 570,000 30,000
81 Trail - Wharf Street to Sandy Beach Road 2026 500,700 - 500,700 250,400 250,300 237,785 12,515
82 Mulit-pupose trail - Hydro Corridor (Whites to Townline)2026-2031 1,877,400 - 1,877,400 938,700 938,700 891,765 46,935
Recreation Facilities
83 Seaton Recreation Complex 2024 12,930,000 - 12,930,000 323,300 12,606,700 11,976,365 630,335
2026 74,430,000 - 74,430,000 1,860,800 72,569,200 68,940,740 3,628,460
84 Community Centre 2024-2026 26,584,000 345,664 26,238,336 5,583,360 8,717,706 11,937,270 11,340,407 596,864
(Part of Pickering Heritage and Community Centre)
85 Youth & Seniors' Centre 2022-2024 80,068,162 - 80,068,162 2,001,700 78,066,462 74,163,139 3,903,323
86 Arts Centre (Community Uses)2022-2024 17,911,991 - 17,911,991 447,800 17,464,191 16,590,981 873,210
87 City Centre Land 2022 9,035,295 - 9,035,295 225,900 8,809,395 8,368,925 440,470
2022-2039
Increased Service Needs Attributable to Anticipated Development Gross Capital
Cost Estimate
(2022$)
Timing (year)Post Period
Benefit
Net Capital
Cost
Less:Potential D.C. Recoverable Cost
Benefit to
Existing
Development
Grants,
Subsidies and
Other
Contributions
Attributable to
New
Development 1
Total
Watson & Associates Economists Ltd. PAGE 5-12
H:\Pickering\2022 DC and CBC\Report\2022 Development Charges Background Study - City of Pickering - Office Consolidation.docx
Table 5-4 (Cont’d)
Infrastructure Costs Covered in the D.C. Calculation – Parks and Recreation Services
Prj.No Parks Code Residential
Share
Non-
Residential
Share
95% 5%
Parks Operations Vehicles and Equipment
88 Area Mower 2023 140,000 - 140,000 - 140,000 133,000 7,000
89 Litter Picker Vacuum 2026 50,000 - 50,000 - 50,000 47,500 2,500
90 Garbage Packer 2023 260,000 - 260,000 - 260,000 247,000 13,000
91 Enclosed Trailers (2)2023-2026 45,000 - 45,000 - 45,000 42,750 2,250
92 Zero Turn Mower (6)2022-2026 180,000 - 180,000 - 180,000 171,000 9,000
93 Pickup Trucks (4)2022-2026 255,000 - 255,000 - 255,000 242,250 12,750
94 1 Ton Dump Trucks (6)2023-2026 480,000 - 480,000 - 480,000 456,000 24,000
95 SUV (2)2022-2026 90,000 - 90,000 - 90,000 85,500 4,500
96 4 Ton Dump Truck 2022-2026 350,000 - 350,000 - 350,000 332,500 17,500
97 Utility Vehicle 2022-2026 43,800 - 43,800 - 43,800 41,610 2,190
Parks Operations Facilities
98 New Operations Centre (NPV of Principal Payments)2022-2037 2,576,732 - 2,576,732 - 2,576,732 2,447,895 128,837
99 New Northern Satellite Operations Centre - Land 2023 2,560,000 - 2,560,000 - 2,560,000 2,432,000 128,000
100 New Northern Satellite Operations Centre - Design 2023 200,000 - 200,000 - 200,000 190,000 10,000
101 New Northern Satellite Operations Centre - Construction 2024 1,800,000 - 1,800,000 - 1,800,000 1,710,000 90,000
Studies
Urban Forest Management Not eligible
102 Seaton Primary Trails IO EA Phase 1 & 2 Lands (including site walks, surveying, archaeology)2022-2039 463,900 - 463,900 - 463,900 440,705 23,195
103 Seniors Recreation Strategic Plan 2022-2039 87,000 - 87,000 43,500 43,500 41,325 2,175
104 Recreation Services Master Plan Update 2022-2039 197,200 - 197,200 49,300 147,900 140,505 7,395
105 Waterfront Park Needs Assessment 2022-2039 116,000 - 116,000 29,000 87,000 82,650 4,350
106 Whitevale Park Revitalization Study 2022-2039 92,800 - 92,800 23,200 69,600 66,120 3,480
Reserve Fund Adjustment (28,457,731) (27,034,844) (1,422,887)
Total 354,477,979 345,664 354,132,316 32,528,260 8,717,706 284,428,619 270,207,188 14,221,431
1. Grants that have been applied for by the City.
2022-2039
Increased Service Needs Attributable to Anticipated Development Gross Capital
Cost Estimate
(2022$)
Timing (year)Post Period
Benefit
Net Capital
Cost
Less:Potential D.C. Recoverable Cost
Benefit to
Existing
Development
Grants,
Subsidies and
Other
Contributions
Attributable to
New
Development 1
Total
Watson & Associates Economists Ltd. PAGE 5-13
H:\Pickering\2022 DC and CBC\Report\2022 Development Charges Background Study - City of Pickering - Office Consolidation.docx
Table 5-5
Infrastructure Costs Covered in the D.C. Calculation – Library Services
Prj.No Residential
Share
Non-
Residential
Share
2022-2039 95% 5%
Facilities
1 Central Library Facility 2022-2024 70,035,816 - 70,035,816 36,594,600 33,441,216 31,769,155 1,672,061
2 City Centre Land 2022 7,704,000 3,678,559 4,025,441 4,025,441 - - -
3 Seaton Regional Library, including land (including material 2024 5,100,000 - 5,100,000 127,500 4,972,500 4,723,875 248,625
2025 3,539,000 - 3,539,000 88,500 3,450,500 3,277,975 172,525
2026 18,044,000 18,044,000 451,100 17,592,900 16,713,255 879,645
4 Library Space 2024-2026 1,955,000 48,703 1,906,297 48,900 783,939 1,073,458 1,019,785 53,673
(Part of Pickering Heritage and Community Centre)
Studies
5 Library-Facilities/Master Plan 2025 62,600 - 62,600 15,700 46,900 44,555 2,345
6 Library-Strategic Plan 2023 133,000 - 133,000 33,300 99,700 94,715 4,985
7 Library-Strategic Plan 2027 133,000 - 133,000 33,300 99,700 94,715 4,985
8 Library-Strategic Plan 2031 133,000 - 133,000 33,300 99,700 94,715 4,985
9 Library-Strategic Plan 2035 133,000 - 133,000 33,300 99,700 94,715 4,985
10 Library-Facilities/Master Plan 2035 62,600 - 62,600 15,700 46,900 44,555 2,345
Reserve Fund Adjustment (6,061,637) (5,758,555) (303,082)
Total 107,035,016 3,727,261 103,307,754 41,500,641 783,939 54,961,537 52,213,460 2,748,077
1. Grants that have been applied for by the City.
Gross
Capital Cost
Estimate
(2022$)
Increased Service Needs Attributable to Anticipated
Development Timing
(year)
Post Period
Benefit
Net Capital
Cost
Benefit to
Existing
Development
Grants,
Subsidies and
Other
Contributions
Attributable to
New
Development 1
Total
Less:Potential D.C. Recoverable Cost
Watson & Associates Economists Ltd. PAGE 5-14
H:\Pickering\2022 DC and CBC\Report\2022 Development Charges Background Study - City of Pickering - Office Consolidation.docx
Table 5-6
Infrastructure Costs Covered in the D.C. Calculation – Stormwater Management Services
Residential
Share
Non-
Residential
Share
77% 23%
1 Krosno Creek SWM Facility K12 - Design B-18 D SWM Facility at mouth of Hydro Marsh -
Design 2023-2029 119,600 - 119,600 62,200 57,400 44,198 13,202
2 Krosno Creek SWM Facility K12 -
Construction B-18 C SWM Facility at mouth of Hydro Marsh -
Construction 2023-2029 1,100,000 - 1,100,000 572,000 528,000 406,560 121,440
3 Frenchman's Bay Yacht Club Outfall
Restoration
Sediment Forebay Facility - wetland
restoration 2022-2024 1,747,200 - 1,747,200 1,310,400 436,800 336,336 100,464
4 Krosno Creek SWM Facility K16 - Design B-19 D SWM Facility at Hydro Marsh - Design 2023-2029 94,200 - 94,200 49,000 45,200 34,804 10,396
5 Krosno Creek SWM Facility K16 -
Construction B-19 C SWM Facility at Hydro Marsh - Construction 2023-2029 935,000 - 935,000 486,200 448,800 345,576 103,224
6 Krosno Creek SWM Facility K19 - Design B-30 D
SWM Facility - Krosno Creek (Hydro
Corridor, west of Quigely St.) - Design 2023-2029 532,200 - 532,200 276,700 255,500 196,735 58,765
7 Krosno Creek SWM Facility K19 -
Construction B-30 C SWM Facility - Krosno Creek (Hydro
Corridor, west of Quigely St.) - Construction 2023-2029 2,041,400 - 2,041,400 1,061,500 979,900 754,523 225,377
8 Krosno Creek SWM Facility 17/18 - Design B-31 D
SWM Facility - Krosno Creek (Hydro
Corridor, west of Feldspar Crt.) - Design 2023-2029 376,500 - 376,500 195,800 180,700 139,139 41,561
9 Krosno Creek SWM Facility 17/18 -
Construction B-31 C
SWM Facility - Krosno Creek (Hydro
Corridor, west of Feldspar Crt.) -
Construction
2023-2029 1,820,100 - 1,820,100 946,500 873,600 672,672 200,928
10 Amberlea Creek SWM Facility A3 - Design A-8 D
SWM Facility at outfall to tributary of
Amberlea Creek - Design 2023-2029 149,700 - 149,700 118,500 31,200 24,024 7,176
11 Petticoat Creek Erosion Control - Design H-10 D
Erosion assessment and fixing of erosion
channel and banks 2023-2029 350,500 - 350,500 310,900 39,600 30,492 9,108
12 Petticoat Creek Erosion Control -
Construction H-10 C Erosion assessment and fixing of erosion
channel and banks 2023-2029 2,225,800 - 2,225,800 1,974,400 251,400 193,578 57,822
13 Pine Creek Erosion Control - Design Erosion assessment and fixing of erosion
channel and banks 2023-2029 830,000 - 830,000 725,700 104,300 80,311 23,989
14 Pine Creek Erosion Control - Construction Erosion assessment and fixing of erosion
channel and banks 2023-2029 5,926,800 - 5,926,800 5,181,800 745,000 573,650 171,350
15 14 Oil Grit Separators Installation install 2 units per year for water quality
treatment 2023-2031 4,886,200 - 4,886,200 3,501,000 1,385,200 1,066,604 318,596
16 12 Oil Grit Separators Installation install 2 units per year for water quality
treatment 2032-2039 4,188,200 - 4,188,200 3,000,900 1,187,300 914,221 273,079
17 Amberlea Creek Mouth SWM Facility -
Design W-7 D SWM/Forebay Faciliy to FB - Design 2030-2039 824,400 - 824,400 717,200 107,200 82,544 24,656
18 Amberlea Creek Mouth SWM Facility -
Construction W-7 C SWM/Forebay Faciliy to FB - Construction 2030-2039 9,233,000 - 9,233,000 8,032,700 1,200,300 924,231 276,069
19 Dunbarton Creek Mouth SWM Facility -
Design W-8 D SWM/Forebay Faciliy to FB - Design 2030-2039 824,400 - 824,400 717,200 107,200 82,544 24,656
20 Dunbarton Creek Mouth SWM Facility -
Construction W-8 C SWM/Forebay Faciliy to FB - Construction 2030-2039 9,233,000 - 9,233,000 8,032,700 1,200,300 924,231 276,069
Increased Service Needs Attributable to Anticipated Development
2022-2039
Prj.No Benefit to
Existing
Development
Grants, Subsidies and
Other Contributions
Attributable to New
Development
Total
Less:Potential D.C. Recoverable Cost
Timing
(year)
Gross
Capital Cost
Estimate
(2022$)
Post Period
Benefit
Net Capital
Cost
Watson & Associates Economists Ltd. PAGE 5-15
H:\Pickering\2022 DC and CBC\Report\2022 Development Charges Background Study - City of Pickering - Office Consolidation.docx
Table 5-6 (Cont’d)
Infrastructure Costs Covered in the D.C. Calculation – Stormwater Management Services
Residential
Share
Non-
Residential
Share
77%23%
21 Amberlea Creek SWM Facility A3 -
Construction A-8 C SWM Facility at outfall to tributary of
Amberlea Creek - Construction 2030-2039 1,566,400 - 1,566,400 1,239,900 326,500 251,405 75,095
22 Pine Creek SWM Facility P31 - Design L-20 D
SWM Facility at outfall to Pine Creek at
Glenanna Rd. - Design 2030-2039 160,900 - 160,900 140,000 20,900 16,093 4,807
23 Pine Creek SWM Facility P31 - Construction L-20 C
SWM Facility at outfall to Pine Creek at
Glenanna Rd. - Construction 2030-2039 1,693,200 - 1,693,200 1,473,100 220,100 169,477 50,623
24 Pine Creek SWM Facility P29 - Design B-33 D
SWM Facility at outlet of Pine Creek at
Fairview Ave. - Design 2030-2039 90,900 - 90,900 79,100 11,800 9,086 2,714
25 Pine Creek SWM Facility P29 - Construction B-33 C
SWM Facility at outlet of Pine Creek at
Fairview Ave. - Construction 2030-2039 811,000 - 811,000 705,600 105,400 81,158 24,242
26 Pine Creek SWM Facility P22 - Design L-21 D
SWM Facility at outlet of Pine Creek at
Cedarwood Crt. - Design 2030-2039 142,800 - 142,800 124,200 18,600 14,322 4,278
27 Pine Creek SWM Facility P22 - Construction L-21 C
SWM Facility at outlet of Pine Creek at
Cedarwood Crt. - Construction 2030-2039 1,488,200 - 1,488,200 1,294,700 193,500 148,995 44,505
28 Pine Creek SWM Facility P27 - Design L-22 D
SWM Facility at outlet of Pine Creek at
Storrington St. - Design 2030-2039 155,800 - 155,800 135,500 20,300 15,631 4,669
29 Pine Creek SWM Facility P27 - Construction L-22 C
SWM Facility at outlet of Pine Creek at
Storrington St. - Construction 2030-2039 1,635,700 - 1,635,700 1,423,100 212,600 163,702 48,898
30 Pine Creek Culvert Replacements - Design TC-23 D
Replace Radom St culverts, Kingston Rd
culvert, channel works 2030-2039 825,500 - 825,500 720,600 104,900 80,773 24,127
31 Pine Creek Culvert Replacements -
Construction TC-23 C Replace Radom St culverts, Kingston Rd
culvert, channel works 2030-2039 7,020,200 69,611 6,950,589 6,127,700 822,889 633,625 189,265
Studies
32 Brock Industrial Drainage Master Plan 2023-2032 347,900 - 347,900 34,800 313,100 241,087 72,013
33 Stormwater Management Study for Infill
Development 2023-2032 250,300 - 250,300 62,600 187,700 144,529 43,171
34 Frenchman's Bay Stormwater Management
Master Plan Update 2023-2032 811,800 - 811,800 81,200 730,600 562,562 168,038
35 Pickering City Centre Stormwater
Management Strategy Update 2022-2032 289,900 - 289,900 29,000 260,900 200,893 60,007
36 Pine Creek Erosion Assessment Municipal
Class EA 2022-2032 100,000 - 100,000 87,300 12,700 9,779 2,921
Reserve Adjustment (546,096) (420,494) (125,602)
Total 64,828,700 69,611 64,759,089 51,031,700 - 13,181,293 10,149,596 3,031,697
Net Capital
Cost
Increased Service Needs Attributable to Anticipated Development
2022-2039
Prj.No
Benefit to
Existing
Developmen
t
Grants, Subsidies and
Other Contributions
Attributable to New
Development
Total
Less:Potential D.C. Recoverable Cost
Timing
(year)
Gross
Capital Cost
Estimate
(2022$)
Post
Period
Benefit
Watson & Associates Economists Ltd. PAGE 5-16
H:\Pickering\2022 DC and CBC\Report\2022 Development Charges Background Study - City of Pickering - Office Consolidation.docx
Table 5-7
Infrastructure Costs Covered in the D.C. Calculation – Growth-Related Studies
Residential
Share
Non-
Residential
Share
2022-2031 92% 8%
1 Development Charges Background Study 2022 100,000 - 100,000 - 100,000 91,998 8,002
2 Development Charges Background Study 2027 100,000 - 100,000 - 100,000 91,998 8,002
3 Development Charges Background Study 2032 100,000 - 100,000 - 100,000 91,998 8,002
4 Development Charges Background Study 2037 100,000 - 100,000 - 100,000 91,998 8,002
5 Municipal Comprehensive Review 2024 579,900 - 43,490 536,410 145,000 391,410 360,089 31,321
6 Official Plan Review 2029 289,900 - 14,490 275,410 145,000 130,410 119,974 10,436
7 Facilities Management Plan 2022 174,000 - 13,050 160,950 43,500 117,450 108,052 9,398
8 Space Use Study 2022 40,600 - 1,800 38,800 22,600 16,200 14,904 1,296
9 Northeast Pickering (Veraine) Land Use Study 2022-2025 1,056,500 245,400 70,540 740,560 105,700 634,860 584,058 50,802
Reserve Fund Adjustment 3,929,051 3,614,645 314,406
Total 2,540,900 245,400 143,370 2,152,130 461,800 - 5,619,381 5,169,713 449,668
Net Capital
Cost
Benefit to
Existing
Development
Grants,
Subsidies and
Other
Contributions
Attributable to
New
Development
Total
Less:Potential D.C. Recoverable Cost
Prj.No
Increased Service Needs Attributable to
Anticipated Development Timing
(year)
Gross
Capital Cost
Estimate
(2022$)
Post
Period
Benefit
Other
Deductions
(to recognize
benefit to
non-D.C.
services)
Watson & Associates Economists Ltd. PAGE 5-17
H:\Pickering\2022 DC and CBC\Report\2022 Development Charges Background Study - City of Pickering - Office Consolidation.docx
5.2 Service Levels and 17-Year Capital Costs for area-
specific D.C. Calculation
This section evaluates the development-related capital requirements for Transportation
Services over the 17-year planning period (mid 2022 - mid 2039) outside of the Seaton
Lands. The service is evaluated on two format sheets: the average historical 10-year
level of service calculation (see Appendix B), which “caps” the D.C. amounts; and the
infrastructure cost calculation, which determines the potential D.C. recoverable cost.
5.2.1 Transportation Services
The City has a current inventory of 159 kilometres of rural, arterial and collector roads
and 69 bridges and culverts. This historical level of infrastructure investment equates to
a level of service of $5,110 per capita. Furthermore, the City also provides services
through the maintenance of 325 kms of sidewalks and 27 traffic signals. In total, the
average historical level of service provided is $6,138. When applied to the forecast
population growth to 2039 (i.e. 28,660 incremental net-population growth outside of
Seaton), a maximum D.C.-eligible cost of approximately $175.9 million could be
expected to meet the future increase in needs for service.
The review of the City’s transportation needs for the forecast period identified $242.4
million in gross capital costs. These capital needs include various road constructions
and re-constructions, widenings, and extensions, sidewalks, traffic signals, and
streetlighting projects. Recognizing the benefit to existing development, approximately
$77.2 million has been deducted. $12.4 million has been deducted as a benefit to
development beyond the planning horizon, and approximately $23.1 million has been
deducted from the potential D.C. recoverable costs for existing reserve fund balances,
accounting for funds already secured towards these future needs. As a result,
approximately $129.6 million in capital costs have been included in the D.C. calculation.
The net growth-related costs for transportation services have been allocated between
future residential and non-residential development outside of Seaton on the basis of
incremental population to employment growth over the forecast period (i.e. 83%
residential, 17% non-residential).
Watson & Associates Economists Ltd. PAGE 5-18
H:\Pickering\2022 DC and CBC\Report\2022 Development Charges Background Study - City of Pickering - Office Consolidation.docx
Table 5-8
Infrastructure Costs Covered in the D.C. Calculation – Transportation Services
Less:Potential D.C. Recoverable Cost
Prj .No Residential
Share
Non-
Residential
Share
83%17%
Roads
1
DH-13 William Jackson Drive (Old
Taunton Road) - Road
Reconstruction
Urfe Creek to Taunton Road
3-lane Road Reconstruction, Rural,
incl. pedestrian trail
DH-13 2026 3,192,000 - 3,192,000 319,200 2,872,800 2,384,424 488,376
2
DH-14 William Jackson Drive (Old
Taunton Road) - Culvert
Replacemnent. EA, Design and
Approvals.
Urfe Creek Culvert Structure DH-14 2023 521,900 - 521,900 52,200 469,700 389,851 79,849
3
DH-14 William Jackson Drive (Old
Taunton Road) - Culvert
Replacement
Urfe Creek Culvert Structure DH-14 2026 4,007,100 - 4,007,100 400,700 3,606,400 2,993,312 613,088
4 DH-1 Palmer Sawmill Road (Valley
Farm Road) - Road Construction
North of Third Concession to
Tillings Road.
3-lane Road Construction,
Urbanization, incl. storm and MUP
DH-1 2027-2039 3,942,600 - 3,942,600 394,300 3,548,300 2,945,089 603,211
5 RO-3 Twyn Rivers Drive - Road
Reconstruction
Hoover Drive to West Boundary
Limit.
2-lane Road Reconstruction,
Urbanization, incl. storm and
sidewalk
RO-3 2027-2039 4,066,000 - 4,066,000 3,049,500 1,016,500 843,695 172,805
6 RP-4a Finch Avenue - Road
Reconstruction
Altona Road to Culvert Structure.
3-lane Road Reconstruction,
Urbanization, incl. storm and
sidewalk
RP-4a 2026 1,457,000 - 1,457,000 364,300 1,092,700 906,941 185,759
7 RP-4b Finch Avenue - Road
Reconstruction
Culvert to Nature Haven Crescent.
3-lane Road Reconstruction,
Urbanization, incl. storm and
sidewalk
RP-4b 2026 700,000 - 700,000 175,000 525,000 435,750 89,250
8 RP-4c Finch Avenue - Road
Reconstruction
Woodview Avenue to 190m West.
3-lane Road Reconstruction,
Urbanization, incl. storm and
sidewalk
RP-4c 2026 554,000 - 554,000 138,500 415,500 344,865 70,635
9 RP-4d Finch Avenue - Road
Reconstruction
190m West of Woodview Avenue
to Townline.
3-lane Road Reconstruction,
Urbanization, incl. storm and
sidewalk
RP-4d 2026 2,684,000 - 2,684,000 671,000 2,013,000 1,670,790 342,210
10 TC-5 Diefenbaker Court Extension -
New Road Construction
Current east Terminus of
Dienfenbacker to TC-31.
2-lane Road Construction,
Urbanization, incl. storm and
sidewalk
TC-5 2027-2039 869,800 - 869,800 652,400 217,400 180,442 36,958
11 WO-5 Sheppard Avenue - New
Sidewalk Installation
Whites Road to Rosebank Road
(West Jog) (north side)WO-5 2027-2039 283,000 - 283,000 212,300 70,700 58,681 12,019
12 WO-9 Sheppard Avenue - New
Sidewalk Installation
Whites Road to Fairport Road
(south side), incl. structure
extension
WO-9 2027-2039 458,100 - 458,100 343,600 114,500 95,035 19,465
13 RU-4 Audley Road (Sideline 2) -
Road Reconstruction
Fifth Concession Road to Hwy 7.
2-lane Road Reconstruction, Rural,
incl. structures
RU-4a 2024 5,155,000 - 5,155,000 2,577,500 2,577,500 2,139,325 438,175
2022-2039
Increased Service Needs Attributable to Anticipated Development Roads
Codes Net Capital CostTiming (year)
Gross Capital
Cost Estimate
(2022$)
Post Period
Benefit
Benefit to
Existing
Development
Grants, Subsidies and
Other Contributions
Attributable to New
Development
Total
Watson & Associates Economists Ltd. PAGE 5-19
H:\Pickering\2022 DC and CBC\Report\2022 Development Charges Background Study - City of Pickering - Office Consolidation.docx
Table 5-8 (Cont’d)
Infrastructure Costs Covered in the D.C. Calculation – Transportation Services
Less:Potential D.C. Recoverable Cost
Prj .No Residential
Share
Non-
Residential
Share
83%17%
14
RU-4 Audley Road (Sideline 2) -
Culvert Replacement with Design
and Approvals
Fifth Concession Road to Hwy 7.RU-4b 2024 728,000 - 728,000 364,000 364,000 302,120 61,880
15
TC-31 New Arterial Road and
Structure Connection - Feasibility
Study & EA
Bayly Street to Kingston Road
(complete with overpass over Hwy.
401)
TC-31 2027-2039 3,129,000 - 3,129,000 782,300 2,346,700 1,947,761 398,939
16 D-4 Dunbarton Walkway - New
Walkway Installation
Dunbarton Road to Rambleberry
Avenue D-4 2027-2039 452,000 - 452,000 339,000 113,000 93,790 19,210
17
DH-2 Palmer Sawmill Road (Valley
Farm Road) New Bridge
Construction - EA & Design
Over the Ganatsekiagon Creek DH-2 2027-2039 1,000,000 - 1,000,000 100,000 900,000 747,000 153,000
18
DH-2 Palmer Sawmill Road (Valley
Farm Road) New Bridge
Construction
Over the Ganatsekiagon Creek DH-2 2027-2039 15,645,000 - 15,645,000 1,564,500 14,080,500 11,686,815 2,393,685
19 R-4a Oakwood Drive - Road
Reconstruction
Rougemount Drive to Mountain Ash
Drive.
2-lane Road Reconstruction,
Urbanization, incl. storm and
sidewalk
R-4a 2022-2026 1,665,100 - 1,665,100 832,600 832,500 690,975 141,525
20 R-4b Oakwood Drive - Road
Reconstruction
Mountain Ash Drive to Toynevale
Road.
2-lane Road Reconstruction,
Urbanization, incl. storm and
sidewalk
R-4b 2022-2024 1,042,000 - 1,042,000 521,000 521,000 432,430 88,570
21 R-5b Rougemount Drive - Road
Reconstruction
Toynevale Road to 200m South.
2-lane Road Reconstruction,
Urbanization, incl. storm and
sidewalk
R-5b 2022-2026 948,000 - 948,000 474,000 474,000 393,420 80,580
22 R-5a Rougemount Drive - Road
Reconstruction
From 200m south of Toynevale
Road to Oakwood Drive.
2-lane Road Reconstruction,
Urbanization, incl. storm and
sidewalk
R-5a 2022-2026 3,695,000 - 3,695,000 1,847,500 1,847,500 1,533,425 314,075
23 RP-2 Finch Avenue - Culvert
Replacement
275m West of Altona Road.RP-2 2022-2026 1,203,000 - 1,203,000 601,500 601,500 499,245 102,255
24 RU-7a Scarborough / Pickering
Townline - Road Reconstruction
CPR to Third Concession Road
(Taunton/Steeles).
2-lane Road Reconstruction, Rural,
incl. widening
RU-7a 2024 5,534,000 - 5,534,000 2,767,000 2,767,000 2,296,610 470,390
25
RU-7b Scarborough / Pickering
Townline - Culvert Replacement
with Design and Approvals
60m South of Third Concession
Road.RU-7b 2024 1,000,000 - 1,000,000 500,000 500,000 415,000 85,000
26 TC-13 Dixie Road - New Sidewalk
Installation
Kingston Road to South Limit (East
side)TC-13 2027-2039 62,700 - 62,700 47,000 15,700 13,031 2,669
27 W-4a Granite Court - Upgrade
Asphalt Sidewalk to Concrete
Rosebank Road to the CNR Bridge
(south side).
Upgrade existing asphalt to 1.8m
conrete
W-4a 2022-2026 290,000 - 290,000 217,500 72,500 60,175 12,325
2022-2039
Increased Service Needs Attributable to Anticipated Development Roads
Codes Net Capital CostTiming (year)
Gross Capital
Cost Estimate
(2022$)
Post Period
Benefit
Benefit to
Existing
Development
Grants, Subsidies and
Other Contributions
Attributable to New
Development
Total
Watson & Associates Economists Ltd. PAGE 5-20
H:\Pickering\2022 DC and CBC\Report\2022 Development Charges Background Study - City of Pickering - Office Consolidation.docx
Table 5-8 (Cont’d)
Infrastructure Costs Covered in the D.C. Calculation – Transportation Services
Less:Potential D.C. Recoverable Cost
Prj .No Residential
Share
Non-
Residential
Share
83%17%
28 W-4b Granite Court - from Bridge
to Whites Road
CNR Bridge to Whites (north side).
Upgrade existing asphalt to 1.8m
conrete
W-4b 2022-2026 20,000 - 20,000 15,000 5,000 4,150 850
29 B-27 Plummer Street Extension -
New Bridge Construction At Krosno Creek B-27 2022-2026 2,503,200 - 2,503,200 625,800 1,877,400 1,558,242 319,158
30 B-28 Plummer Street Extension -
New Road Construction
Krosno Creek to Bayly Street.
3-lane Road Construction,
Urbanization, incl. storm and
sidewalk. Oversizing to Collector
B-28 2022-2026 62,600 - 62,600 15,700 46,900 38,927 7,973
31 L-17a Rosebank Road - Road
Reconstruction
CPR Overpass to Third Concession
Road.
2-lane Road Reconstruction, Rural,
incl. widening
L-17a 2027-2039 4,462,000 - 4,462,000 1,115,500 3,346,500 2,777,595 568,905
32
L-17b Rosebank Road - Bridge
Replacement with Design and
Approvals
350m south of Third Concession
Road L-17b 2027-2039 500,000 - 500,000 125,000 375,000 311,250 63,750
33 L-18 Rosebank Road - Road
Reconstruction
Third Concession Road to Taunton
Road.
2-lane Road Reconstruction, Rural,
incl. widening
L-18 2027-2039 3,639,200 - 3,639,200 909,800 2,729,400 2,265,402 463,998
34 BI-21 Montgomery Park Road -
Road Reconstruction
Sandy Beach Road to Mckay
Road.
3-lane Road Reconstruction, Rural,
incl. full load base
BI-21 2027-2039 4,302,700 - 4,302,700 2,151,400 2,151,300 1,785,579 365,721
35 Third Concession Rd. - Dixie Rd.
To Whites Rd.Reconstruction/widen L-12 2027-2039 5,293,600 - 5,293,600 1,323,400 3,970,200 3,295,266 674,934
36 L-13a Third Concession Road -
Road Reconstruction
Whites Road to Rosebank Road
(west leg)L-13a 2027-2039 2,382,000 - 2,382,000 595,500 1,786,500 1,482,795 303,705
37 L-13b Third Concession Road -
Culvert Replacement
East of Rosebank Road (east leg)
188m L-13b 2027-2039 443,000 - 443,000 110,800 332,200 275,726 56,474
38 L-13c Third Concession Road -
Road Reconstruction
Rosebank Road (west leg) to Altona
Road L-13c 2027-2039 2,129,000 - 2,129,000 532,300 1,596,700 1,325,261 271,439
39 L-13d Third Concession Road -
Culvert Replacement
West of Rosebank Road (west leg)
340m L-13d 2027-2039 443,000 - 443,000 110,800 332,200 275,726 56,474
40 L-14 Third Concession Road -
Road Reconstruction
Altona Road to Scarborough /
Pickering Townline L-14 2027-2039 5,293,600 - 5,293,600 1,323,400 3,970,200 3,295,266 674,934
41 L-15 Fairport Road - Road
Reconstruction
Lynn Heights Drive To Third
Concession Road L-15 2027-2039 4,962,700 - 4,962,700 1,240,700 3,722,000 3,089,260 632,740
42 L-16 Dixie Road - Road
Reconstruction
Hydro Corridor Gossamer Drive to
Third Concession Road L-16 2027-2039 4,631,800 - 4,631,800 1,158,000 3,473,800 2,883,254 590,546
43 B-24 Plummer Street - Road
Reconstruction
Brock Rd. To Salk Road
Oversize to Collector Road B-24 2027-2039 574,400 - 574,400 143,600 430,800 357,564 73,236
44 B-25 Plummer Street - Road
Construction
Salk Road To Hydro Corridor
(centre).
New Collector Road
B-25 2027-2039 459,500 - 459,500 114,900 344,600 286,018 58,582
2022-2039
Increased Service Needs Attributable to Anticipated Development Roads
Codes Net Capital CostTiming (year)
Gross Capital
Cost Estimate
(2022$)
Post Period
Benefit
Benefit to
Existing
Development
Grants, Subsidies and
Other Contributions
Attributable to New
Development
Total
Watson & Associates Economists Ltd. PAGE 5-21
H:\Pickering\2022 DC and CBC\Report\2022 Development Charges Background Study - City of Pickering - Office Consolidation.docx
Table 5-8 (Cont’d)
Infrastructure Costs Covered in the D.C. Calculation – Transportation Services
Less:Potential D.C. Recoverable Cost
Prj .No Residential
Share
Non-
Residential
Share
83%17%
45 B-26A Plummer Street - Road
Reconstruction
Hyrdo Corridor (centre) to Sandy
Beach Road.
New Collector Road
B-26A 2027-2039 1,129,000 - 1,129,000 282,300 846,700 702,761 143,939
46 EA Study - Plummer Street (B-24,
B-25, B-26a)
Legacy Reference A-8 / A-9 + A-
10 only 2027-2039 579,900 - 579,900 145,000 434,900 360,967 73,933
47 Notion Road/Squires Beach Road
401 Crossing 2022-2024 85,200,000 12,347,300 72,852,700 34,080,000 38,772,700 32,181,341 6,591,359
48
W-9 West Shore Boulevard - Road
Reconstruction with on-street
Parking
Sunrise Avenue to south terminus.
2-lane Road Reconstruction, Urban
(9.75m) incl. on-street parking
(2.5m)and 2m Sidewalk
W-9 2022-2026 1,579,000 - 1,579,000 394,800 1,184,200 982,886 201,314
49 Clements Road Extension - Road
Construction (Oversizing)
Dillingham to west side of Hydro
Corridor.
Oversizing from 9.75m to 11m
3-lane Road Construction, Urban
(storm sewer / sidewalk streetlights
already done)
B-32a 2027-2039 109,935 - 109,935 11,000 98,935 82,116 16,819
50 Clements Road Extension - New
Road Construction
West side of Hydro Corridor to
Sandy Beach Road.
3-lane Road Construction, Urban
(11m) incl. storm sewer and
sidewalk and Streetlights
B-32b 2027-2039 1,767,256 - 1,767,256 176,700 1,590,556 1,320,161 270,395
51 Clements Road Extension - New
Bridge and Culvert Installation
West side of Hydro Corridor to
Sandy Beach Road.
Perphaps 2 Structures, Krosno
Watercourse Bridge + Hydro Field
Box Culvert
B-32c 2027-2039 2,500,000 - 2,500,000 250,000 2,250,000 1,867,500 382,500
Streetlights and Sidewalks
52 DH-24 Brock Road - New Sidewalk
Installation
Forbrock Street to Taunton Road
(both sides)DH-24 2023 96,000 - 96,000 48,000 48,000 39,840 8,160
53 TC-6 Valley Farm Road - New
Sidewalk Installation
Kingston Road to 100m South (east
side).
Sidewalk/Blvd. in conjunction with
adjacent development.
TC-6 2022 62,400 - 62,400 31,200 31,200 25,896 5,304
54 D-10 Finch Avenue - New Sidewalk
Installation
Darwin to Fairport Road (south
side)D-10 2018-2024 293,400 - 293,400 146,700 146,700 121,761 24,939
55 V-12 Finch Avenue - New Multiple
Use Path installation
Brock Road to Hydro Corridor
(west edge) (north side)V-12 2027-2039 625,000 - 625,000 312,500 312,500 259,375 53,125
56 W-5 Whites Road - New Sidewalk
Installation
Granite Court to Hwy 401 (west
side)W-5 2022-2026 110,200 - 110,200 55,100 55,100 45,733 9,367
57
RU-8 Whites Road - New Sidewalk,
Multi-use Path, and Streetlight
installation (both sides)
Third Concession Road north to
Taunton Road.RU-8 2027-2039 4,400,000 - 4,400,000 220,000 4,180,000 3,469,400 710,600
2022-2039
Increased Service Needs Attributable to Anticipated Development Roads
Codes Net Capital CostTiming (year)
Gross Capital
Cost Estimate
(2022$)
Post Period
Benefit
Benefit to
Existing
Development
Grants, Subsidies and
Other Contributions
Attributable to New
Development
Total
Watson & Associates Economists Ltd. PAGE 5-22
H:\Pickering\2022 DC and CBC\Report\2022 Development Charges Background Study - City of Pickering - Office Consolidation.docx
Table 5-8 (Cont’d)
Infrastructure Costs Covered in the D.C. Calculation – Transportation Services
Less:Potential D.C. Recoverable Cost
Prj .No Residential
Share
Non-
Residential
Share
83%17%
58
L-19 Whites Road - New Sidewalk,
Multi-use Path, and Streetlight
installation (both sides)
From Sunbird Trail / Craighurst
Court to the Third Concession
Road.
L-19 2027-2039 2,580,000 - 2,580,000 258,000 2,322,000 1,927,260 394,740
59
A-10 Whites Road - New
Sidewalks, and Streetlight
installation (both sides)
Finch Avenue to Sunbird Trail /
Craighurst Court.
Install new sidewalks, and
streetlights (to infill both sides)
A-10 2027-2039 420,000 - 420,000 42,000 378,000 313,740 64,260
60 RU-9 Whites Road - New
Streetlights on structure
Regional Bridge over West Duffins
Creek (both sides).RU-9 2027-2039 938,700 - 938,700 46,900 891,800 740,194 151,606
61
BI-4 Brock Road - New Sidewalk
and Streetlight Installation (both
sides)
Bayly Street to Montgomery Road
(both sides).BI-4 2027-2039 2,159,000 - 2,159,000 1,079,500 1,079,500 895,985 183,515
62 RU-12 Sideline 24 - New Sidewalk
and Streetlight Installation
Hwy 7 south to north limit of
subdivision.
Install new sidewalk, and
streetlights (east side)
RU-12 2022-2026 451,800 - 451,800 67,800 384,000 318,720 65,280
63 A-6 Whites Road at CPR Overpass
Install new sidewalk (both sides),
and streetlights on structure (one
side)
A-6 2027-2039 312,900 - 312,900 46,900 266,000 220,780 45,220
64
BI-1 Bayly Street - New Sidewalk
and Streetlight Installation (both
sides)
Sandy Beach Road to Brock Road.
Install new sidewalk and streetlights
(both sides)
BI-1 2027-2039 260,000 - 260,000 130,000 130,000 107,900 22,100
65 BI-35 Bayly Street - New Sidewalk
and Streetlight Installation
Brock Road to Squires Beach
Road
Install new sidewalk (both sides)
and streetlights (south side)
BI-35 2027-2039 453,000 - 453,000 68,000 385,000 319,550 65,450
66
BI-36 Bayly Street - New Sidewalk
and Streetlight Installation (both
sides)
Squires Beach Road to Church
Street (both sides)BI-36 2027-2039 696,000 - 696,000 104,400 591,600 491,028 100,572
67 RU-10 Hwy 7 - New Sidewalk and
Streetlight Installation (both sides)
Brock Road to West Townline (both
sides)RU-10 2027-2039 7,819,000 - 7,819,000 1,172,900 6,646,100 5,516,263 1,129,837
68
H1 Altona Road - New Sidewalk
and Streetlight Installation (both
sides)
Strouds Lane to North Side of
Hydro Corridor (both sides)H1 2022-2026 1,507,700 - 1,507,700 753,900 753,800 625,654 128,146
69
L-6 Finch Avenue - New Sidewalk
and Streetlight Installation (north
side)
Fairport Road to Duncannon Drive
(north side)L-6 2027-2039 206,000 - 206,000 103,000 103,000 85,490 17,510
70 L-7 Finch Avenue - New Sidewalk
Installation (north side)
Lynn Heights to 80m east (north
side)L-7 2027-2039 46,400 - 46,400 23,200 23,200 19,256 3,944
71 L-9 Finch Avenue - New Sidewalk
Installation (south side)
Valley Farm Road to 600m west
(south side)L-9 2027-2039 347,900 - 347,900 174,000 173,900 144,337 29,563
72 L-10 Finch Avenue - New Multi use
Path Installation (north side)
Valley Farm Road to 245m east
(north side)L-10 2027-2039 174,000 - 174,000 87,000 87,000 72,210 14,790
73 RP-6 Finch Avenue - New Sidewalk
Installation (south side)
Altona Road to Rosebank Road
(south side)RP-6 2027-2039 289,900 - 289,900 145,000 144,900 120,267 24,633
2022-2039
Increased Service Needs Attributable to Anticipated Development Roads
Codes Net Capital CostTiming (year)
Gross Capital
Cost Estimate
(2022$)
Post Period
Benefit
Benefit to
Existing
Development
Grants, Subsidies and
Other Contributions
Attributable to New
Development
Total
Watson & Associates Economists Ltd. PAGE 5-23
H:\Pickering\2022 DC and CBC\Report\2022 Development Charges Background Study - City of Pickering - Office Consolidation.docx
Table 5-8 (Cont’d)
Infrastructure Costs Covered in the D.C. Calculation – Transportation Services
Less:Potential D.C. Recoverable Cost
Prj .No Residential
Share
Non-
Residential
Share
83%17%
74 RP-5 Finch Avenue - New Sidewalk
Installation (north side)
Rosebank Road to 500m west
(north side)RP-5 2027-2039 289,900 - 289,900 145,000 144,900 120,267 24,633
75
RP-8 Altona Road - New Sidewalk
and Streetlight Installation (west
side)
Finch Avenue south to Hydro
Corridor (north limit), (west side)RP-8 2027-2039 174,000 - 174,000 87,000 87,000 72,210 14,790
76
RP-9 Altona Road - New Sidewalk
and Streetlight Installation (east
side)
Finch Avenue south to Hydro
Corridor (north limit), (east side)RP-9 2027-2039 174,000 - 174,000 87,000 87,000 72,210 14,790
77
RP-10 Altona Road - New Sidewalk
and Streetlight Installation (west
side)
Finch Avenue north to CPR Tracks
(west side)RP-10 2027-2039 174,000 - 174,000 87,000 87,000 72,210 14,790
78
RP-11 Altona Road - New Sidewalk
and Streetlight Installation (east
side)
Finch Avenue north to CPR Tracks RP-11 2027-2039 174,000 - 174,000 87,000 87,000 72,210 14,790
79
RU-11 North Road - New Sidewalk
and Streetlight Installation (both
sides)
Hwy 7 to 1.35kms south (both
sides)RU-11 2027-2039 1,537,000 - 1,537,000 230,600 1,306,400 1,084,312 222,088
80
RU-14 Whitevale Road - New
Sidewalk, Multi-use Path, and
Streetlight installation (both sides)
Altona Road to York/Durham
Townline (both sides)RU-14 2027-2039 2,665,000 - 2,665,000 399,800 2,265,200 1,880,116 385,084
81
RU-17 Taunton Road - New
Sidewalk, Multi-use Path, and
Streetlight installation (both sides)
CPR Rail Structure to Church
Street (Ajax) (both sides)RU-17 2027-2039 1,352,000 - 1,352,000 202,800 1,149,200 953,836 195,364
82
RU-18 Taunton Road - New
Sidewalk, Multi-use Path, and
Streetlight installation (both sides)
Whites Road to West Townline
(both sides)RU-18 2027-2039 2,870,400 - 2,870,400 430,600 2,439,800 2,025,034 414,766
83
BRT-1 Kingston Road - New
Sidewalk, Cycle Track, and
Streetlight installation (both sides)
Toronto Border to Altona Road
BRT - Toronto Stage 5 (both sides)BRT-1 2022-2026 54,000 - 54,000 27,000 27,000 22,410 4,590
84
BRT-2a Kingston Road - New
Sidewalk, Cycle Track, and
Streetlight installation (both sides)
Altona Road to Rougemount Drive
BRT - Durham Stage 2 (both sides)BRT-2a 2022-2026 232,000 - 232,000 116,000 116,000 96,280 19,720
85
BRT-2b Kingston Road - New
Sidewalk, Cycle Track, and
Streetlight installation (both sides)
Rougemount Drive to Rosebank
Road
BRT - Durham Stage 2 (both sides)
BRT-2b 2022-2026 443,000 - 443,000 221,500 221,500 183,845 37,655
86
BRT-2c Kingston Road - New
Sidewalk, Cycle Track, and
Streetlight installation (both sides)
Rosebank Road to Steeple Hill
BRT - Durham Stage 2 (both sides)BRT-2c 2022-2026 440,000 - 440,000 220,000 220,000 182,600 37,400
87
BRT-3a Kingston Road - New
Sidewalk, Cycle Track, and
Streetlight installation (both sides)
Steeple Hill to Delta Boulevard
BRT - Durham Stage 1 (both sides)BRT-3a 2022-2026 132,000 - 132,000 66,000 66,000 54,780 11,220
85
BRT-3b Kingston Road - New
Sidewalk, Cycle Track, and
Streetlight installation (both sides)
Delta Boulevard Merriton Road
BRT - Durham Stage 1 (both sides)BRT-3b 2022-2026 689,000 - 689,000 344,500 344,500 285,935 58,565
88
BRT-4 Kingston Road - New
Sidewalk, Cycle Track, and
Streetlight installation (both sides)
Merriton Road to Dixie Road
BRT - Durham Stage 2 (both sides)BRT-4 2022-2026 892,000 - 892,000 446,000 446,000 370,180 75,820
2022-2039
Increased Service Needs Attributable to Anticipated Development Roads
Codes Net Capital CostTiming (year)
Gross Capital
Cost Estimate
(2022$)
Post Period
Benefit
Benefit to
Existing
Development
Grants, Subsidies and
Other Contributions
Attributable to New
Development
Total
Watson & Associates Economists Ltd. PAGE 5-24
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Table 5-8 (Cont’d)
Infrastructure Costs Covered in the D.C. Calculation – Transportation Services
Less:Potential D.C. Recoverable Cost
Prj .No Residential
Share
Non-
Residential
Share
83%17%
89
BRT5a Kingston Road - New
Sidewalk, Cycle Track, and
Streetlight installation (both sides)
Dixie Road to Glenanna Road
BRT - Durham Stage 1 (both sides)BRT-5a 2022-2026 1,057,000 - 1,057,000 528,500 528,500 438,655 89,845
90
BRT-5b Kingston Road - New
Sidewalk, Cycle Track, and
Streetlight installation (both sides)
Glenanna Road to Brock Road
BRT - Durham Stage 1 (both sides)BRT-5b 2022-2026 814,000 - 814,000 407,000 407,000 337,810 69,190
91
BRT-5c Kingston Road - New
Sidewalk, Cycle Track, and
Streetlight installation (both sides)
Brock Road to Bainbridge Drive
BRT - Durham Stage 1 (both sides)BRT-5c 2022-2026 188,000 - 188,000 94,000 94,000 78,020 15,980
92
BRT-6 Kingston Road - New
Sidewalk, Cycle Track, and
Streetlight installation (both sides)
Bainbridge Drive to Notion Road
BRT - Durham Stage 2 (both sides)BRT-6 2022-2026 338,000 - 338,000 169,000 169,000 140,270 28,730
93 BI-22 Squires Beach Road - New
Sidewalk installation
Bayly Avenue south to 335m
Install new sidewalk (side to be
determined)
BI-22 2022-2026 105,000 - 105,000 52,500 52,500 43,575 8,925
Traffic Signals
94
TC-4 Traffic Signalization -
Pickering Parkway at Glenanna
Road
Full Traffic Signals TC-4 2022-2026 350,000 - 350,000 35,000 315,000 261,450 53,550
95 D-8 Traffic Signalization -
Glenanna Road at Fairport Road Full Traffic Signals D-8 2022-2026 350,000 - 350,000 35,000 315,000 261,450 53,550
96 D-12 Traffic Signalization - Welrus
Street at Fairport Road Full Traffic Signals D-12 2022-2026 350,000 - 350,000 35,000 315,000 261,450 53,550
97
WO-8 Traffic Signalization and
Road Realignment - Rosebank
Road at Sheppard Avenue
Jog Elimination and Full Traffic
Signalization & EA WO-8 2022-2026 1,332,000 - 1,332,000 133,200 1,198,800 995,004 203,796
98
A-5 Traffic Signalization -
Rosebank Road at Highview Road /
Summerpark Crescent
Full Traffic Signals A-5 2027-2039 350,000 - 350,000 35,000 315,000 261,450 53,550
99
A-7 Traffic Signalization - Strouds
Lane at Aspen Road / Shadybrook
Drive
Full Traffic Signals A-7 2027-2039 350,000 - 350,000 35,000 315,000 261,450 53,550
100 RP-1 Traffic Signalization - Finch
Avenue at Woodview Avenue Full Traffic Signals RP-1 2027-2039 350,000 - 350,000 35,000 315,000 261,450 53,550
101 W-9 Traffic Signalization -
Oklahoma Drive at Eyer Drive Full Traffic Signals W-9 2027-2039 350,000 - 350,000 35,000 315,000 261,450 53,550
102
W-10 Pedestrian Signalization -
West Shore Boulevard at Hillcrest
Road
Pedestrian Cross Over W-10 2022-2026 75,000 - 75,000 7,500 67,500 56,025 11,475
103
A-9 Pedestrian Signalization -
Rosebank Road at Charnwood /
Woodsmere
Pedestrian Cross Over A-9 2022-2026 125,000 - 125,000 12,500 112,500 93,375 19,125
104
BR-16 Pedestrian Signalization -
Major Oaks Road at Wildwood
Crescent
Pedestrian Cross Over BR-16 2022-2026 75,000 - 75,000 7,500 67,500 56,025 11,475
Reserve Fund Adjustment (23,159,257) (19,222,183) (3,937,074)
Total 242,352,291 12,347,300 230,004,991 77,230,300 - 129,615,434 107,580,810 22,034,624
2022-2039
Increased Service Needs Attributable to Anticipated Development Roads
Codes Net Capital CostTiming (year)
Gross Capital
Cost Estimate
(2022$)
Post Period
Benefit
Benefit to
Existing
Development
Grants, Subsidies and
Other Contributions
Attributable to New
Development
Total
Watson & Associates Economists Ltd. PAGE 6-1
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6.D.C. Calculation
Tables 6-2 and 6-3 show the D.C. calculation for the municipal-wide and area-specific
D.C.s assessed over the 17-year forecast period (2022-2039), respectively. The total
D.C.-eligible costs in Table 6-e includes the attribution of growth-related studies
identified in Table 5-7. Furthermore, as the calculations of the maximum D.C.s that
could be imposed by Council have been undertaken based on a cash flow analysis to
account for the timing of revenues and expenditures and the resultant financing needs,
Tables 6-2 and 6-3 include the additional financing costs that are anticipated to be
incurred over the forecast period. Detailed cash flow calculations are provided in
Appendix C.
The cash flow calculates interest paid/received on reserve fund balances to account for
the differences in timing of projects and when development is anticipated to occur. In-
year transactions are reduced by ½ to reflect D.C. contributions and expenditures
occurring at different times throughout the year. For cash flow purposes, capital costs
and D.C.s are indexed at 3% annually, debt associated with reserve fund deficits is
calculated at 3% and investment return is calculated at 1%. Moreover, the cash flow
calculations include the interest costs for long-term debentures that the City is
anticipating issuing for projects within the next five years. The following table identifies
the debt financing assumptions, consistent with the City’s 5-year financial plan.
Table 6-1
Debt Financing Assumptions
Table 6-4 provides the calculated schedule of charges using the cash flow method. The
calculation for residential development is generated on a per capita basis and is based
upon four forms of housing types (single and semi-detached, apartments 2+ bedrooms,
apartments bachelor and 1-bedroom, and other multiples). The non-residential D.C. for
Year Term Rate
2022 20 Years 2.17%
2023 20 Years 2.92%
2024 20 Years 3.67%
2025 20 Years 4.42%
2026 20 Years 5.17%
Watson & Associates Economists Ltd. PAGE 6-2
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the Seaton prestige employment lands has been calculated on a per net hectare basis.
The non-residential D.C. for development in all other areas of the City has been
calculated on a per square foot of gross floor area basis. .
Tables 6-5 and 6-6 compare the City’s existing charges to the charges proposed herein
(Table 6-4), for single detached residential and non-residential development
respectively.
Table 6-2
D.C. Calculation
Municipal-Wide Services
2022-2039
2022$ D.C.-Eligible Cost 2022$ D.C.-Eligible Cost
Residential Non-Residential
Seaton Prestige
Employment Land
Other Pickering Non-
Residential
SERVICE/CLASS S.D.U.per net hectare per sq.ft.
$$$$$$
1.Fire Protection Services 24,740,795 3,422,606 3,967,502 1,176 18,492 0.53
2.By-Law Enforcement Services 2,194,003 303,515 351,836 103 1,564 0.04
3.Other Services Related to a Highway 15,225,546 2,106,280 2,441,610 746 11,695 0.34
4.Parks and Recreation Services 270,207,188 6,586,420 7,635,011 13,273 35,927 1.03
5.Library Services 52,213,460 1,272,726 1,475,351 2,444 6,698 0.19
6.Stormwater Management Services 10,149,596 1,404,080 1,627,617 460 7,234 0.21
7.Growth-Related Studies 5,169,713 208,256 241,412 235 1,083 0.03
TOTAL $379,900,300 $15,303,885 $17,740,338 18,437 $82,693.000 2.37
Financing Costs $29,198,143 $757,975 $23,672,133
D.C.-Eligible Capital Cost $409,098,443 $16,061,860 $41,412,471
17-Year Gross Population/Net Hectares/GFA Growth (sq.ft.)79,015 194 17,440,200
Cost Per Capita/Non-Residential GFA (sq.ft.)$5,177.48 82,693 $2.37
By Residential Unit Type P.P.U.
Single and Semi-Detached Dwelling 3.561 $18,437
Other Multiples 2.743 $14,202
Apartments - 2 Bedrooms +2.071 $10,723
Apartments - Bachelor and 1 Bedroom 1.271 $6,581
Residential
Seaton Prestige
Employment Land
Other Pickering Non-
Residential
Watson & Associates Economists Ltd. PAGE 6-3
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Table 6-3
D.C. Calculation
Area-Specific Services (Outside of Seaton Lands)
2022-2039
Table 6-4
Schedule of Calculated D.C.s
2022$ D.C.-Eligible Cost 2022$ D.C.-Eligible Cost
SERVICE/CLASS Residential Non-Residential S.D.U.per sq.ft.
$$$$
8.Transportation Services 107,580,810 22,034,624 13,461 4.73
TOTAL $107,580,810 $22,034,624 $13,461 $4.73
Financing Costs $370,278 $69,786
D.C.-Eligible Capital Cost $107,951,088 $22,104,410
17-Year Gross Population/GFA Growth (sq.ft.)28,557 4,677,700
Cost Per Capita/Non-Residential GFA (sq.ft.)$3,780.20 $4.73
By Residential Unit Type P.P.U.
Single and Semi-Detached Dwelling 3.561 $13,461
Other Multiples 2.743 $10,369
Apartments - 2 Bedrooms +2.071 $7,829
Apartments - Bachelor and 1 Bedroom 1.271 $4,805
Single and Semi-
Detached Dwelling Other Multiples
Apartments - 2
Bedrooms +
Apartments -
Bachelor and 1
Bedroom
Seaton Prestige
Employment Land
Other Pickering Non-
Residential 2
(per net hectare)(per sq.ft. of Gross
Floor Area)
Municipal Wide Services/Class of Service:
Other Services Related to a Highway 746 575 434 266 11,695 0.34
Fire Protection Services 1,176 906 684 420 18,492 0.53
Parks and Recreation Services 13,273 10,224 7,719 4,737 35,927 1.03
Library Services 2,444 1,883 1,421 872 6,698 0.19
Growth-Related Studies 235 181 137 84 1,083 0.03
Stormwater Management Services 460 354 268 164 7,234 0.21
By-Law Enforcement Services 103 79 60 37 1,564 0.04
Total Municipal Wide Services/Class of Services 18,437 14,202 10,723 6,580 82,693 2.37
Outside of Seaton Lands 1
Transportation Services 13,461 10,369 7,829 4,805 4.73
Total Services Outside of Seaton Lands 13,461 10,369 7,829 4,805 - 4.73
Seaton 18,437 14,202 10,723 6,580 82,693 2.37
Rest of Pickering 31,898 24,571 18,552 11,385 7.10
RESIDENTIAL NON-RESIDENTIAL
2. Does not apply to prestige employment development in Seaton, as that development is subject to the per net Ha land area charge instead.
1. Subject to a separate agreement outside of the Development Charges Act concerning the provision of Transportation requirements in addition to other funding contributions
Service/Class of Service
Watson & Associates Economists Ltd. PAGE 6-4
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Table 6-5
Comparison of Current and Calculated D.C.s
For Residential Single Detached Dwelling Units
Service/Class of Service Current Calculated Change (%)
Municipal Wide Services/Class of Service:
Other Services Related to a Highway 498 746 50%
Fire Protection Services 1,014 1,176 16%
Parks and Recreation Services 7,720 13,273 72%
Library Services 1,275 2,444 92%
Growth-Related Studies 338 235 -30%
Stormwater Management Services 326 460 41%
By-Law Enforcement Services 103 n/a
Total Municipal Wide Services/Class of Services 11,171 18,437 65%
Outside of Seaton Lands
Transportation Services 10,516 13,461 28%
Total Services Outside of Seaton Lands 10,516 13,461 28%
Seaton 11,171 18,437 65%
Rest of Pickering 21,687 31,898 47%
Residential (Single Detached) Comparison
Watson & Associates Economists Ltd. PAGE 6-5
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Table 6-6
Comparison of Current and Calculated D.C.s
For Non-Residential per net ha (Seaton Prestige Employment Lands), and Non-
Residential per sq.ft.(Other areas of the City)
Seaton Prestige Employment Land (per net
hectare)
Current Calculated Change (%)
Municipal Wide Services/Class of Service:
Other Services Related to a Highway 6,168 11,695 90%
Fire Protection Services 13,039 18,492 42%
Parks and Recreation Services 20,242 35,927 77%
Library Services 3,048 6,698 120%
Growth-Related Studies 4,353 1,083 -75%
Stormwater Management Services 3,965 7,234 82%
By-Law Enforcement Services 1,564 n/a
Total Municipal Wide Services/Class of Services 50,815 82,693 63%
Outside of Seaton Lands
Transportation Services
Total Services Outside of Seaton Lands - -
Seaton 50,815 82,693 63%
Rest of Pickering
Other Pickering Non-Residential (per sq.ft. of
Gross Floor Area)
Current Calculated Change (%)
Municipal Wide Services/Class of Service:
Other Services Related to a Highway 0.18 0.34 86%
Fire Protection Services 0.37 0.53 43%
Parks and Recreation Services 0.60 1.03 72%
Library Services 0.09 0.19 114%
Growth-Related Studies 0.12 0.03 -74%
Stormwater Management Services 0.11 0.21 89%
By-Law Enforcement Services 0.04 n/a
Total Municipal Wide Services/Class of Services 1.47 2.37 62%
Outside of Seaton Lands
Transportation Services 2.96 4.73 60%
Total Services Outside of Seaton Lands 2.96 4.73 60%
Seaton 1.47 2.37 62%
Rest of Pickering 4.43 7.10 60%
Service/Class of Service
Non-ResidentialComparison
Service/Class of Service
Watson & Associates Economists Ltd. PAGE 7-5
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7.3.5 Phase in Provision(s)
The proposed D.C. By-law will come into effect on the date of by-law passage subject to
Council’s direction. Notwithstanding the forgoing, where building permit applications
were received prior to July 1, 2022 the D.C.s shall be calculated, paid, and collected at
the current rates within the City of Pickering D.C. by-law, provided:
• the permit application is complete in terms of the applicant's submission
requirements set out in the building code and the City's Building By-law;
• applicable law approvals prescribed in the building code have been obtained or
applied for; and
• the building permit or a conditional building permit is issued for all or part of the
building by August 15, 2022.
7.3.6 Timing of Collection
The D.C.s for all services are payable upon issuance of a building permit for each
dwelling unit, building, or structure, subject to early or late payment agreements entered
into by the City and an owner under s.27 of the D.C.A., 1997.
As of January 1, 2020, rental housing and institutional developments will pay D.C.s in
six equal annual payments commencing at occupancy. Non-profit housing
developments will pay D.C.s in 21 equal annual payments. Moreover, the D.C. amount
for all developments occurring within two years of a Site Plan or Zoning By-law
Amendment planning application approval (for applications made after January 1,
2020), shall be determined based on the D.C. in effect on the day the Site Plan or
Zoning By-law Amendment application was made.
D.C.s determined at the time of Site Plan or Zoning By-law Amendment application are
subject to annual interest charges as per the terms of the City’s D.C. Interest Rate
Policy.
For the purposes of administering the By-law, the following definitions are provided as
per O. Reg. 454-19:
“Rental housing” means development of a building or structure with four or more
dwelling units all of which are intended for use as rented residential premises.
Watson & Associates Economists Ltd. PAGE 7-6
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“Institutional development” means development of a building or structure intended for
use,
a) as a long-term care home within the meaning of subsection 2 (1) of the Long-
Term Care Homes Act, 2007;
b) as a retirement home within the meaning of subsection 2 (1) of the Retirement
Homes Act, 2010;
c) by any of the following post-secondary institutions for the objects of the
institution:
i. a university in Ontario that receives direct, regular and ongoing operating
funding from the Government of Ontario,
ii. a college or university federated or affiliated with a university described in
subclause (i), or
iii. an Indigenous Institute prescribed for the purposes of section 6 of the
Indigenous Institutes Act, 2017;
d) as a memorial home, clubhouse or athletic grounds by an Ontario branch of the
Royal Canadian Legion; or
e) as a hospice to provide end of life care.
“Non-profit housing development” means development of a building or structure
intended for use as residential premises by,
a) a corporation to which the Not-for-Profit Corporations Act, 2010 applies, that is in
good standing under that Act and whose primary object is to provide housing;
b) a corporation without share capital to which the Canada Not-for-profit
Corporations Act applies, that is in good standing under that Act and whose
primary object is to provide housing; or
c) a non-profit housing co-operative that is in good standing under the Co-operative
Corporations Act.
7.3.7 Indexing
All D.C.s will be subject to mandatory indexing annually on July 1, in accordance with
provisions under the D.C.A for the most recently available annual period ending March
31. If a complete building permit application is received prior to July 1st and the
complete or partial permit is issued by August 1 of that year, the D.C.s payable shall be
those in place at the time the building permit application was made.
Watson & Associates Economists Ltd. PAGE 7-7
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7.3.8 D.C. Spatial Applicability
There are four basic choices to be addressed when considering the geographic
application of a D.C.:
1.the entire municipality for all services (which is the most commonly used
approach);
2.part of the municipality for all services; balance of the municipality is exempt
(because it is outside the service’s coverage area or can be served at little or no
incremental cost);
3.different by-laws and charges in different municipal service areas (in order to
recognize distinctly different servicing cost situations); and
4.a uniform municipal-wide charge with separate charge covering additional area-
specific services (e.g. the coverage area for specific works).
Subsection 2(9) of the D.C.A. may prescribe services for which a D.C. by-law must
apply on an area-specific basis. For prescribed services, Council shall pass different
D.C. by-laws for different parts of the municipality, in accordance with the prescribed
criteria. Currently the Province has not prescribed services under this subsection of the
D.C.A.
For services that are not prescribed under s.s. 2(9) of the D.C.A., the background study
must give consideration of the use of more than one D.C. by-law to reflect different
needs for services in different areas. Area-specific charges have been reviewed with
City staff. The City’s current D.C. policy provides for Transportation Services to be
provided on an area-specific basis, with charges differentiated between the Seaton
Lands and those lands within the City outside of Seaton. All other services are provided
on a uniform City-wide basis. Based on current practice, and associated agreements,
no changes are being recommended to the structure of the charges
7.4 Other D.C. By-law Provisions
7.4.1 Categories of Services for Reserve Fund and Credit Purposes
It is recommended that the City’s D.C. collections be contributed into eight (8)) separate
reserve funds, including:
•Fire Protection Services;
Watson & Associates Economists Ltd. PAGE 7-8
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• By-Law Enforcement Services;
• Transportation Services;
• Other Services Related to a Highway;
• Parks and Recreation Services ;
• Library Services;
• Stormwater Management Services; and
• Growth-Related Studies
7.4.2 By-law In-force Date
The proposed by-law under D.C.A. will come into force at the time of by-law passage.
7.4.3 Minimum Interest Rate Paid on Refunds and Charged for Inter-
Reserve Fund Borrowing
The minimum interest rate is the Bank of Canada rate on the day on which the by-law
comes into force (as per s.11 of O. Reg. 82/98).
7.5 Other Recommendations
It is recommended that Council:
“Approve the capital project listing set out in Chapter 5 of the D.C. Background
Study dated May 11, 2022, subject to further annual review during the capital
budget process;”
“Approve the D.C. Background Study dated May 11, 2022"
“Determine that no further public meeting is required;” and
“Approve the D.C. By-law as set out in Appendix F.”
Watson & Associates Economists Ltd. PAGE 8-3
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8.2 Asset Management Plan
In recognition to the schematic in Section 8.1, the following table (presented in 2022$)
has been developed to provide the annualized expenditures and revenues associated
with new growth. Note that the D.C.A. does not require an analysis of the non-D.C.
capital needs or their associated operating costs so these are omitted from the table
below. Furthermore, as only the present infrastructure gap has been considered at this
time within the A.M.P., the following does not represent a fiscal impact assessment
(including future tax/rate increases) but provides insight into the potential affordability of
the new assets:
1. The non-D.C. recoverable portion of the projects which will require financing from
City financial resources (i.e. taxation, rates, fees, etc.). This amount has been
presented on an annual debt charge amount based on 20-year financing.
2. Lifecycle costs for the 2022 D.C. capital works have been presented based on a
sinking fund basis. The assets have been considered over their estimated useful
lives.
3. Incremental operating costs for the D.C. services (only) have been included.
4. The resultant total annualized expenditures are $79.9 million. Of this total, $13.8
million relates the annual debt payment costs for benefit to existing development
and post period benefit of growth-related needs.
5. Consideration was given to the potential new taxation and user fee revenues
which will be generated as a result of new growth. These revenues will be
available to finance the expenditures above. The new operating revenues are
$57.2 million. This amount, totalled with the existing operating revenues of
$112.7 million, provides annual revenues of $169.9 million by the end of the
period.
6. In consideration of the above, the capital plan is deemed to be financially
sustainable.
Watson & Associates Economists Ltd. PAGE 8-4
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Table 8-1
Asset Management – Future Expenditures and Associated Revenues (2022$)
Description 2039 (Total)
Expenditures (Annualized)
Annual Debt Payment on Non-Growth
Related Capital1 13,832,922
Annual Debt Payment on Post Period
Capital2 1,176,394
Lifecycle:
Annual Lifecycle - Municipal-wide Services 13,432,868
Annual Lifecycle - Area-specific Services3 6,561,929
Sub-Total - Annual Lifecycle $19,994,797
Incremental Operating Costs (for D.C.
Services)$44,872,068
Total Expenditures 79,876,181
Revenue (Annualized)
Total Existing Revenue3 $112,664,638
Incremental Tax and Non-Tax Revenue (User
Fees, Fines, Licences, etc.)$57,277,063
Total Revenues $169,941,701
3 As per Sch. 10 of FIR
1 Non-Growth Related component of Projects
2 Interim Debt Financing for Post Period Benefit
Watson & Associates Economists Ltd. PAGE A-2
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Schedule 1
The City of Pickering
Residential Growth Forecast Summary
Population Institutional
Population
Population
Excluding
Institutional
Population
Singles &
Semi-
Detached
Multiple
Dwellings2 Apartments3 Other Total
Households
91,160 87,838 573 87,265 20,255 4,850 3,085 25 28,215 3.113
92,080 88,721 806 87,915 20,744 5,381 3,190 15 29,330 3.025
95,240 91,771 776 90,995 21,130 6,060 3,695 30 30,915 2.968
102,940 99,186 839 98,347 22,425 6,805 4,165 30 33,425 2.967
107,100 103,191 876 102,315 22,774 7,622 4,559 30 34,985 2.950
133,340 128,475 998 127,477 26,047 10,747 7,666 30 44,490 2.888
158,110 152,339 1,122 151,217 28,822 13,839 10,680 30 53,370 2.854
189,200 182,297 1,314 180,983 31,908 18,001 14,733 30 64,672 2.819
920 883 233 650 489 531 105 -10 1,115
3,160 3,050 -30 3,080 386 679 505 15 1,585
7,700 7,415 63 7,352 1,295 745 470 0 2,510
4,160 4,005 37 3,968 349 817 394 0 1,560
26,240 25,284 122 25,162 3,273 3,125 3,107 0 9,505
51,010 49,148 246 48,902 6,048 6,217 6,121 0 18,385
82,100 79,106 438 78,668 9,134 10,379 10,174 0 29,687
¹ Census undercount estimated at approximately 3.8%. Note: Population including the undercount has been rounded.
² Includes townhouses and apartments in duplexes.
³ Includes bachelor, 1-bedroom and 2-bedroom+ apartments.
Mid 2022 - Mid 2032
Source: Derived from Durham Region Growth Management Strategy (ongoing) and the Region of Durham Regional Transit Development Charge Background Study (2022), by Watson & Associates
Economists Ltd., 2022.
Mid 2022 - Mid 2039
Note: The 2031 Official Plan population target of 225,670, less the growth allocation for Northeast Pickering of approximately 36,500 persons, results in an Official Plan population target of 189,200 by
Mid 2039
Population
(Including
Census
Undercount)¹
Year
Excluding Census Undercount Housing Units Person Per Unit
(P.P.U.): Total
Population/
Total
Households
Mid 2022 - Mid 2027
Hi
s
t
o
r
i
c
a
l
Mid 2039
Fo
r
e
c
a
s
t
In
c
r
e
m
e
n
t
a
l
Mid 2021
Mid 2016 - Mid 2021
Mid 2006 - Mid 2011
Mid 2011 - Mid 2016
Mid 2006
Mid 2011
Mid 2016
Mid 2022
Mid 2027
Mid 2032
Mid 2021 - Mid 2022
Watson & Associates Economists Ltd. PAGE A-3
H:\Pickering\2022 DC and CBC\Report\2022 Development Charges Background Study - City of Pickering - Office Consolidation.docx
Figure A-1
The City of Pickering
Annual Housing Forecast
Source: Building permit data from 2011 to 2013 and 2021 from Statistics Canada. Building permits between 2014 and 2020 from the City of Pickering. Figure by Watson & Associates Economists Ltd., 2022.
1 Growth forecast represents calendar year.
283
425
303
379 346
540
1,262
510 573
1,560
1,925 1,925 1,925 1,925
1,805 1,805 1,805 1,805 1,805
1,660 1,660 1,660 1,660 1,660
1,554 1,554 1,554
0
500
1,000
1,500
2,000
2,500
Ho
u
s
i
n
g
U
n
i
t
s
Years
Historical Low Density Medium Density High Density Historical Average
Watson & Associates Economists Ltd. PAGE A-4
H:\Pickering\2022 DC and CBC\Report\2022 Development Charges Background Study - City of Pickering - Office Consolidation.docx
Schedule 2
The City of Pickering
Estimate of the Anticipated Amount, Type and Location of
Residential Development for Which Development Charges can be Imposed
2022 - 2027 2,584 2,823 913 6,320 18,563 -20 18,543 0 18,543
2022 - 2032 5,128 5,545 2,153 12,826 37,286 -18 37,268 0 37,268
2022 - 2039 6,229 7,163 4,871 18,263 50,458 -12 50,446 0 50,446
2022 - 2027 689 302 2,194 3,185 7,166 -547 6,619 122 6,741
2022 - 2032 920 672 3,968 5,559 12,143 -508 11,635 246 11,881
2022 - 2039 2,905 3,216 5,303 11,424 28,557 -335 28,222 438 28,660
2022 - 2027 3,273 3,125 3,107 9,505 25,729 -567 25,162 122 25,284
2022 - 2032 6,048 6,217 6,121 18,385 49,429 -526 48,903 246 49,149
2022 - 2039 9,134 10,379 10,174 29,687 79,015 -347 78,668 438 79,106
1 Includes townhouses and apartments in duplexes.
2 Includes accessory apartments, bachelor, 1-bedroom and 2-bedroom+ apartments.
Note: Numbers may not add to totals due to rounding.
Development Timing Single & Semi-
Detached Multiples1 Apartments2 Total Gross Population Existing Unit
Net Population
Increase,
Excluding
Institutional
Institutional
Population
Net Population
Including
InstitutionalLocation
Residential Units In New Units Population
Change
Rest of Pickering
Seaton
City of Pickering
Source: Derived from Durham Region Growth Management Strategy (ongoing) and the Region of Durham Regional Transit Development Charge Background Study (2022), by Watson & Associates Economists Ltd., 2022.
Watson & Associates Economists Ltd. PAGE A-5
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Schedule 3
The City of Pickering
Current Year Growth Forecast, Mid-2016 to Mid-2022
Mid 2021 Population 99,186
Occupants of Units (2)1,560
New Housing Units,multiplied by P.P.U. (3)2.710
Mid 2021 to Mid 2022 gross population increase 4,227 4,227
Occupants of New Units 33
Equivalent Institutional Units,multiplied by P.P.U. (3)1.100
Mid 2021 to Mid 2022 gross population increase 36 36
Decline in Housing Units (4)33,425
Unit Occupancy,multiplied by P.P.U. decline rate (5)-0.008
Mid 2021 to Mid 2022 total decline in population -258 -258
Population Estimate to Mid 2022 103,191
Net Population Increase, Mid 2021 to Mid 2022 4,005
(1)2016 and 2021 population based on Statistics Canada Census unadjusted for Census undercount.
(2)
(3)Average number of persons per unit (P.P.U.) is assumed to be:
Singles & Semi Detached 3.904 22%0.873
Multiples (6)2.882 52%1.509
Apartments (7)1.294 25%0.327
Total 100%2.710
¹ Based on 2016 Census custom database
² Based on Building permit/completion activity
(4)2016 and 2021 households taken from Statistics Canada Census.
(5)Decline occurs due to aging of the population and family life cycle changes, lower fertility rates and changing economic conditions.
(6)Includes townhouses and apartments in duplexes.
(7)Includes bachelor, 1-bedroom and 2-bedroom+ apartments.
Note:Numbers may not add to totals due to rounding.
Estimated residential units constructed, Mid-2021 to the beginning of the growth period assuming a six-month lag between construction
and occupancy.
Population
Structural Type Persons Per Unit¹
(P.P.U.)
% Distribution of
Estimated Units²
Weighted Persons
Per Unit Average
Watson & Associates Economists Ltd. PAGE A-6
H:\Pickering\2022 DC and CBC\Report\2022 Development Charges Background Study - City of Pickering - Office Consolidation.docx
Schedule 4a
The City of Pickering
Five-Year Growth Forecast, Mid-2022 to Mid-2027
Mid 2022 Population 103,191
Occupants of Units (2)9,505
New Housing Units,multiplied by P.P.U. (3)2.707
Mid 2022 to Mid 2027 gross population increase 25,729 25,729
Occupants of New Units 111
Equivalent Institutional Units,multiplied by P.P.U. (3)1.100
Mid 2022 to Mid 2027 gross population increase 122 122
Decline in Housing Units (4)34,985
Unit Occupancy,multiplied by P.P.U. decline rate (5)-0.016
Mid 2022 to Mid 2027 total decline in population -567 -567
Population Estimate to Mid 2027 128,475
Net Population Increase, Mid 2022 to Mid 2027 25,284
(1)Mid 2022 Population based on:
(2)Based upon forecast building permits/completions assuming a lag between construction and occupancy.
(3)Average number of persons per unit (P.P.U.) is assumed to be:
Singles & Semi Detached 3.561 34%1.226
Multiples (6)2.743 33%0.902
Apartments (7)1.771 33%0.579
one bedroom or less 1.271
two bedrooms or more 2.071
Total 100%2.707
¹ Persons per unit based on adjusted Statistics Canada Custom 2016 Census database.
² Forecast unit mix based upon historical trends and housing units in the development process.
(4)Mid 2022 households based upon 2021 Census (33,425 units) + Mid 2016 to Mid 2022 unit estimate (1,560 units) = 34,985 units.
(5)Decline occurs due to aging of the population and family life cycle changes, lower fertility rates and changing economic conditions.
(6)Includes townhouses and apartments in duplexes.
(7)Includes bachelor, 1-bedroom and 2-bedroom+ apartments.
Note:Numbers may not add to totals due to rounding.
2021 Population (99,186) + Mid 2021 to Mid 2022 estimated housing units to beginning of forecast period (1,560 x 2.71 = 4,227) + (33 x 1.1
= 36) + (33,425 x -0.008 = -258) = 103,191
Population
Structural Type Persons Per Unit¹
(P.P.U.)
% Distribution of
Estimated Units²
Weighted Persons
Per Unit Average
Watson & Associates Economists Ltd. PAGE A-7
H:\Pickering\2022 DC and CBC\Report\2022 Development Charges Background Study - City of Pickering - Office Consolidation.docx
Schedule 4b
The City of Pickering
10-Year Growth Forecast, Mid-2022 to Mid-2032
Mid 2022 Population 103,191
Occupants of Units (2)18,385
New Housing Units,multiplied by P.P.U. (3)2.689
Mid 2022 to Mid 2032 gross population increase 49,428 49,428
Occupants of New Units 224
Equivalent Institutional Units,multiplied by P.P.U. (3)1.100
Mid 2022 to Mid 2032 gross population increase 246 246
Decline in Housing Units (4)34,985
Unit Occupancy,multiplied by P.P.U. decline rate (5)-0.015
Mid 2022 to Mid 2032 total decline in population -526 -526
Population Estimate to Mid 2032 152,339
Net Population Increase, Mid 2022 to Mid 2032 49,148
(1)Mid 2022 Population based on:
(2)Based upon forecast building permits/completions assuming a lag between construction and occupancy.
(3)Average number of persons per unit (P.P.U.) is assumed to be:
Singles & Semi Detached 3.561 33%1.171
Multiples (6)2.743 34%0.928
Apartments (7)1.771 33%0.589
one bedroom or less 1.271
two bedrooms or more 2.071
Total 100%2.689
¹ Persons per unit based on adjusted Statistics Canada Custom 2016 Census database.
² Forecast unit mix based upon historical trends and housing units in the development process.
(4)Mid 2022 households based upon 2021 Census (33,425 units) + Mid 2016 to Mid 2022 unit estimate (1,560 units) = 34,985 units.
(5)
(6)Includes townhouses and apartments in duplexes.
(7)Includes bachelor, 1-bedroom and 2-bedroom+ apartments.
Note:Numbers may not add to totals due to rounding.
Decline occurs due to aging of the population and family life cycle changes, lower fertility rates and changing economic conditions.
Population
2021 Population (99,186) + Mid 2021 to Mid 2022 estimated housing units to beginning of forecast period (1,560 x 2.71 = 4,227) + (33 x 1.1
= 36) + (33,425 x -0.008 = -258) = 103,191
Structural Type Persons Per Unit¹
(P.P.U.)
% Distribution of
Estimated Units²
Weighted Persons
Per Unit Average
Watson & Associates Economists Ltd. PAGE A-8
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Schedule 5
The City of Pickering
Longer-Term Growth Forecast, Mid-2022 to Mid-2039
Mid 2022 Population 103,191
Occupants of Units (2)29,687
New Housing Units,multiplied by P.P.U. (3)2.662
Mid 2022 to Mid 2039 gross population increase 79,014 79,014
Occupants of New Units 399
Equivalent Institutional Units,multiplied by P.P.U. (3)1.100
Mid 2022 to Mid 2039 gross population increase 439 439
Decline in Housing Units (4)34,985
Unit Occupancy,multiplied by P.P.U. decline rate (5)-0.010
Mid 2022 to Mid 2039 total decline in population -347 -347
Population Estimate to Mid 2039 182,297
Net Population Increase, Mid 2022 to Mid 2039 79,106
(1)Mid 2022 Population based on:
(2)Based upon forecast building permits/completions assuming a lag between construction and occupancy.
(3)Average number of persons per unit (P.P.U.) is assumed to be:
Singles & Semi Detached 3.561 31%1.096
Multiples (6)2.743 35%0.959
Apartments (7)1.771 34%0.607
one bedroom or less 1.271
two bedrooms or more 2.071
Total 100%2.662
¹ Persons per unit based on Statistics Canada Custom 2016 Census database.
² Forecast unit mix based upon historical trends and housing units in the development process.
(4)Mid 2022 households based upon 30,915 (2016 Census) + 1,560 (Mid 2016 to Mid 2022 unit estimate) = 34,985
(5)Decline occurs due to aging of the population and family life cycle changes, lower fertility rates and changing economic conditions.
(6)Includes townhouses and apartments in duplexes.
(7)Includes bachelor, 1-bedroom and 2-bedroom+ apartments.
Note:Numbers may not add to totals due to rounding.
2016 Population (91,771) + Mid 2016 to Mid 2022 estimated housing units to beginning of forecast period (1,560 x = 4,086) + (30,915 x
0.2372 = 7,334) = 103,191
Population
Structural Type Persons Per Unit¹
(P.P.U.)
% Distribution of
Estimated Units²
Weighted Persons
Per Unit Average
Watson & Associates Economists Ltd. PAGE A-9
H:\Pickering\2022 DC and CBC\Report\2022 Development Charges Background Study - City of Pickering - Office Consolidation.docx
Schedule 6
Summary of Housing Potential by Seaton and the Rest of Pickering, December 2021
961 841 620
2,422
40% 35%26% 100%
4,543 5,256 2,136
11,935
38% 44% 18% 100%
1,126 1,565 2,141
4,832
23% 32% 44% 100%
Total 6,630 7,662 4,897 19,189
% Breakdown 35% 40% 26% 100%
1 Includes townhomes and apartments in duplexes.
2 Includes bachelor, 1 bedroom and 2 bedroom+ apartments.
Source: City of Pickering Planning Department as of December 2021, derived by Watson & Associates
Economists Ltd., 2022.
Stage of Development
Seaton
Density Type
Singles &
Semi-
Detached
Multiples 1 Apartments2 Total
Registered Not Built
% Breakdown
Draft Plans Approved
% Breakdown
% Breakdown
Application Under Review
Watson & Associates Economists Ltd. PAGE A-10
H:\Pickering\2022 DC and CBC\Report\2022 Development Charges Background Study - City of Pickering - Office Consolidation.docx
23 22 241
286
8% 8% 84% 100%
33 0 986 1,019
3%0% 97% 100%
162 726 10,074
10,962
1% 7% 92% 100%
Total 218 748 11,301 12,267
% Breakdown 2% 6% 92% 100%
1 Includes townhomes and apartments in duplexes.
2 Includes bachelor, 1 bedroom and 2 bedroom+ apartments.
Source: City of Pickering Planning Department as of December 2021, derived by Watson & Associates Economists
Ltd., 2022.
% Breakdown
Rest of Pickering
Stage of Development
Density Type
Singles &
Semi-
Detached
Multiples 1 Apartments2 Total
Registered Not Built
% Breakdown
Draft Plans Approved
% Breakdown
Application Under Review
984 863 861
2,708
36% 32% 32% 100%
4,576 5,256 3,122
12,954
35% 41% 24% 100%
1,288 2,291 12,215
15,794
8% 15% 77% 100%
Total 6,848 8,410 16,198 31,456
% Breakdown 22% 27% 51% 100%
1 Includes townhomes and apartments in duplexes.
2 Includes bachelor, 1 bedroom and 2 bedroom+ apartments.
Source: City of Pickering Planning Department as of December 2021, derived by Watson & Associates
Economists Ltd., 2022.
% Breakdown
Registered Not Built
% Breakdown
Draft Plans Approved
% Breakdown
Application Under Review
City of Pickering Total
Stage of Development
Density Type
Singles &
Semi-
Detached
Multiples 1 Apartments2 Total
Watson & Associates Economists Ltd. PAGE A-11
H:\Pickering\2022 DC and CBC\Report\2022 Development Charges Background Study - City of Pickering - Office Consolidation.docx
Schedule 7
The City of Pickering
Historical Residential Building Permits
Years 2012 to 2021
Residential Building Permits
Total
2012 237 46 0 283
2013 148 274 3 425
2014 180 98 25 303
2015 162 24 193 379
2016 286 54 19 359
Sub-total 1,013 496 240 1,749
Average (2012 - 2016)203 99 48 350
% Breakdown 57.9%28.4%13.7%100.0%
2017 202 114 30 346
2018 138 373 29 540
2019 278 727 257 1,262
2020 167 297 46 510
2021 130 51 392 573
Sub-total 915 1,562 754 3,231
Average (2017 - 2021)183 312 151 646
% Breakdown 28.3%48.3%23.3%100.0%
2012 - 2021
Total 1,928 2,058 994 4,980
Average 193 206 99 498
% Breakdown 38.7%41.3%20.0%100.0%
1 Includes townhouses and apartments in duplexes.
2 Includes bachelor, 1 bedroom and 2 bedroom+ apartments.
Source: Building permit data from 2011 to 2013 and 2021 from Statistics Canada. Building permits between
2014 and 2020 from the City of Pickering. Figure by Watson & Associates Economists Ltd., 2022.
Singles &
Semi
Detached
Multiples 1 Apartments 2
Year
Watson & Associates Economists Ltd. PAGE A-12
H:\Pickering\2022 DC and CBC\Report\2022 Development Charges Background Study - City of Pickering - Office Consolidation.docx
Schedule 8
The City of Pickering
Person Per Unit by Age and Type of Dwelling
(2016 Census)
Age of Singles and Semi-Detached
Dwelling < 1 BR 1 BR 2 BR 3/4 BR 5+ BR Total 25 Year Average Adjusted
1-5 - - - 3.834 5.269 3.904
6-10 - - - 3.453 4.957 3.739 0.143
11-15 - - - 3.431 4.552 3.513 3.561
16-20 - - 1.933 3.337 4.154 3.399 3.561
20-25 - - - 3.272 4.574 3.484 3.561
25-35 - - 2.438 3.073 4.173 3.211
35+-1.500 1.942 2.795 4.066 2.835 3.561
Total -1.556 2.114 3.086 4.303 3.188
Age of Multiples1
Dwelling < 1 BR 1 BR 2 BR 3/4 BR 5+ BR Total 25 Year Average Adjusted
1-5 - - 1.750 2.968 - 2.882
6-10 - - 1.500 2.952 - 2.667 (0.166)
11-15 - - 1.706 2.654 - 2.566 2.743
16-20 - - 1.944 2.703 - 2.565 2.743
20-25 - - 1.647 3.026 - 2.832 2.743
25-35 -0.929 2.267 3.020 3.914 2.995
35+-1.211 2.000 2.666 3.966 2.605 2.743
Total -1.200 1.869 2.810 3.912 2.719
Age of Apartments2
Dwelling < 1 BR 1 BR 2 BR 3/4 BR 5+ BR Total 25 Year Average Adjusted
1-5 -1.135 1.519 - - 1.294
6-10 -1.083 1.571 2.933 - 2.116 0.065
11-15 -1.286 1.435 3.667 - 1.893 1.771
16-20 -1.250 1.660 3.000 - 1.901 1.771
20-25 -1.179 1.697 2.310 - 1.714 1.771
25-35 -1.275 1.679 2.627 - 1.908
35+-1.226 1.786 2.602 - 2.179 1.771
Total -1.212 1.655 2.636 3.706 1.899
Age of All Density Types
Dwelling < 1 BR 1 BR 2 BR 3/4 BR 5+ BR Total
1-5 -1.211 1.659 3.469 4.967 3.138
6-10 -1.154 1.824 3.175 5.160 3.088
11-15 -1.273 1.702 3.198 4.303 2.983
16-20 -1.316 1.788 3.200 4.188 3.005
20-25 -1.234 1.884 3.175 4.610 3.034
25-35 -1.259 1.932 3.053 4.093 3.072
35+-1.261 1.989 2.744 3.989 2.729
Total 1.400 1.253 1.876 3.005 4.230 2.944
2 Includes bachelor, 1 bedroom and 2 bedroom+ apartments.
3 Adjusted based on 2001-2016 historical trends.
Note: Does not include Statistics Canada data classified as 'Other'
P.P.U. Not calculated for samples less than or equal to 50 dwelling units, and does not include institutional population.
1 Includes townhouses and apartments in duplexes.
Watson & Associates Economists Ltd. PAGE A-13
H:\Pickering\2022 DC and CBC\Report\2022 Development Charges Background Study - City of Pickering - Office Consolidation.docx
Schedule 9
The City of Pickering
Person Per Unit Structural Type and Age of Dwelling
(2016 Census)
3.90 3.74
3.51 3.40 3.48
3.21
2.832.88
2.67 2.57 2.56
2.83 3.00
2.60
1.29
2.12
1.89 1.90 1.71 1.91
2.18
0.00
0.50
1.00
1.50
2.00
2.50
3.00
3.50
4.00
4.50
1-5 6-10 11-15 16-20 20-25 25-35 35+
Pe
r
s
o
n
s
P
e
r
D
w
e
l
l
i
n
g
Age of Dwelling
Singles and Semi-Detached Multiples Apartments
P.P.U. data based on the City of Pickering.
Watson & Associates Economists Ltd. PAGE A-14
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Schedule 10a
The City of Pickering
Employment Forecast, 2022 to 2039
Employment
Mid 2006 87,838 0.001 0.034 0.145 0.136 0.048 0.365 0.084 0.450 75 3,015 12,743 11,988 4,245 32,065 7,421 39,486 29,050
Mid 2011 88,721 0.001 0.034 0.134 0.144 0.056 0.368 0.074 0.443 75 2,995 11,903 12,763 4,940 32,675 6,592 39,267 29,680
Mid 2016 91,771 0.002 0.035 0.129 0.138 0.053 0.357 0.051 0.408 140 3,225 11,843 12,668 4,885 32,760 4,694 37,454 29,535
Mid 2022 103,191 0.001 0.035 0.122 0.133 0.051 0.343 0.047 0.390 140 3,604 12,619 13,757 5,254 35,373 4,884 40,257 31,769
Mid 2027 128,475 0.001 0.033 0.115 0.128 0.048 0.326 0.048 0.374 140 4,255 14,759 16,488 6,226 41,867 6,134 48,001 37,612
Mid 2032 152,339 0.001 0.032 0.113 0.126 0.048 0.321 0.049 0.369 140 4,899 17,255 19,182 7,350 48,825 7,391 56,216 43,926
Mid 2039 182,297 0.001 0.032 0.123 0.129 0.051 0.336 0.052 0.388 140 5,860 22,399 23,576 9,335 61,309 9,394 70,703 55,449
Mid 2006 - Mid 2011 883 0.000 -0.001 -0.011 0.007 0.007 0.003 -0.010 -0.007 0 -20 -840 775 695 610 -829 -219 630
Mid 2011 - Mid 2016 3,050 0.0007 0.0014 -0.0051 -0.0058 -0.0024 -0.0113 -0.0232 -0.0345 65 230 -60 -95 -55 85 -1,898 -1,813 -145
Mid 2016 - Mid 2022 11,420 -0.0002 -0.0002 -0.0068 -0.0047 -0.0023 -0.0142 -0.0038 -0.0180 0 379 776 1,089 369 2,613 190 2,803 2,234
Mid 2022 - Mid 2027 25,284 -0.0003 -0.0018 -0.0074 -0.0050 -0.0025 -0.0169 0.0004 -0.0165 0 651 2,140 2,731 972 6,494 1,250 7,744 5,843
Mid 2022 - Mid 2032 49,148 -0.0004 -0.0028 -0.0090 -0.0074 -0.0027 -0.0223 0.0012 -0.0211 0 1,295 4,636 5,425 2,096 13,452 2,507 15,959 12,157
Mid 2022 - Mid 2039 79,106 -0.0006 -0.0028 0.0006 -0.0040 0.0003 -0.0065 0.0042 -0.0023 0 2,256 9,780 9,819 4,081 25,936 4,510 30,446 23,680
Mid 2006 - Mid 2011 177 0.00000 -0.00011 -0.00218 0.00148 0.00147 0.00065 -0.00204 -0.00139 0 -4 -168 155 139 122 -166 -44 126
Mid 2011 - Mid 2016 610 0.0001 0.0003 -0.0010 -0.0012 -0.0005 -0.0023 -0.0046 -0.0069 13 46 -12 -19 -11 17 -380 -363 -29
Mid 2016 - Mid 2022 1,903 0.0000 0.0000 -0.0011 -0.0008 -0.0004 -0.0024 -0.0006 -0.0030 0 63 129 182 62 436 32 467 372
Mid 2022 - Mid 2027 5,057 -0.00005 -0.00036 -0.00148 -0.00100 -0.00049 -0.00338 0.00008 -0.00330 0 130 428 546 194 1,299 250 1,549 1,169
Mid 2022 - Mid 2032 4,915 -0.00004 -0.00028 -0.00090 -0.00074 -0.00027 -0.00223 0.00012 -0.00211 0 130 464 543 210 1,345 251 1,596 1,216
Mid 2022 - Mid 2039 4,653 -0.00003 -0.00016 0.00003 -0.00023 0.00002 -0.00038 0.00025 -0.00013 0 133 575 578 240 1,526 265 1,791 1,393
Source: Derived from Durham Region Growth Management Strategy (ongoing) and the Region of Durham Regional Transit Development Charge Background Study (2022), by Watson & Associates Economists Ltd., 2022.
Note: The 2031 Official Plan employment target of 71,800 is forecast to be achieved after 2039. An additional 4,900 jobs would be assumed for Northeast Pickering, in accordance with the Official Plan.
¹ Statistics Canada defines no fixed place of work (N.F.P.O.W.) employees as "persons who do not go from home to the same work place location at the beginning of each shift". Such persons include building and landscape contractors, travelling salespersons, independent truck drivers, etc.
N.F.P.O.W.1
Activity Rate
Period Population Primary Work at
Home Industrial Commercial/
Population Related Institutional Total
Employment
Primary Total
Total Employment
(Including
N.F.P.O.W.)
Institutional
Total (Excluding
Work at Home and
N.F.P.O.W.)
Incremental Change
Annual Average
Total
Including
NFPOW
N.F.P.O.W.1Work at
Home Industrial
Commercial/
Population
Related
Watson & Associates Economists Ltd. PAGE B-15
H:\Pickering\2022 DC and CBC\Report\2022 Development Charges Background Study - City of Pickering - Office Consolidation.docx
Schedule 10b
The City of Pickering
Employment and Gross Floor Area (G.F.A.) Forecast, 2022 to 2039
Mid 2006 87,838 75 12,743 11,988 4,245 29,050 14,016,800 4,795,000 2,865,400 21,677,200
Mid 2011 88,721 75 11,903 12,763 4,940 29,680 13,092,800 5,105,000 3,334,500 21,532,300
Mid 2016 91,771 140 11,843 12,668 4,885 29,535 13,026,800 5,067,000 3,297,400 21,391,200
Mid 2022 103,191 140 12,619 13,757 5,254 31,769
13,880,400 5,502,600 3,546,500 22,929,500
Mid 2027 128,475 140 14,759 16,488 6,226 37,612
16,234,400 6,595,000 4,202,600 27,032,000
Mid 2032 152,339 140 17,255 19,182 7,350 43,926
18,980,000 7,672,600 4,961,300 31,613,900
Mid 2039 182,297 140 22,399 23,576 9,335 55,449
24,638,400 9,430,200 6,301,100 40,369,700
Mid 2006 - Mid 2011 883 0 -840 775 695 630
Mid 2011 - Mid 2016 3,050 65 -60 -95 -55 -145
Mid 2016 - Mid 2022 11,420 0 776 1,089 369 2,234 853,600 435,600 249,100 1,538,300
Mid 2022 - Mid 2027 25,284 0 2,140 2,731 972 5,843 2,354,000 1,092,400 656,100 4,102,500
Mid 2022 - Mid 2032 49,148 0 4,636 5,425 2,096 12,157 5,099,600 2,170,000 1,414,800 8,684,400
Mid 2022 - Mid 2039 79,106 0 9,780 9,819 4,081 23,680 10,758,000 3,927,600 2,754,600 17,440,200
Mid 2006 - Mid 2011 177 0 -168 155 139 126
Mid 2011 - Mid 2016 610 13 -12 -19 -11 -29
Mid 2016 - Mid 2022 1,903 0 129 182 62 372 142,267 72,600 41,517 256,383
Mid 2022 - Mid 2027 5,057 0 428 546 194 1,169 470,800 218,480 131,220 820,500
Mid 2022 - Mid 2032 4,915 0 464 543 210 1,216 509,960 217,000 141,480 868,440
Mid 2022 - Mid 2039 4,653 0 575 578 240 1,393 632,824 231,035 162,035 1,025,894
Source: Derived from Durham Region Growth Management Strategy (ongoing) and the Region of Durham Regional Transit Development Charge Background Study (2022), by Watson & Associates Economists Ltd., 2022.
1 Square Foot Per Employee Assumptions
Industrial 1,100
Commercial/ Population Related 400
Institutional 675
Note: Numbers may not add to totals due to rounding.
Period Population
Employment Gross Floor Area in Square Feet (Estimated)¹
Total
Annual Average
Primary Industrial Institutional Total
Incremental Change
Commercial/
Population
Related
Institutional Industrial
Commercial/
Population
Related
Watson & Associates Economists Ltd. PAGE B-16
H:\Pickering\2022 DC and CBC\Report\2022 Development Charges Background Study - City of Pickering - Office Consolidation.docx
Schedule 10c
The City of Pickering
Estimate of the Anticipated Amount, Type and Location of
Non-Residential Development for Which Development Charges can be Imposed
2022 - 2027 1,815,000 934,000 433,300 3,182,300 4,627
2022 - 2032 3,792,800 1,862,400 857,900 6,513,100 9,375
2022 - 2039 7,912,300 3,339,600 1,510,600 12,762,500 17,780
2022 - 2027 539,000 158,400 222,800 920,200 1,216
2022 - 2032 1,306,800 307,600 556,900 2,171,300 2,782
2022 - 2039 2,845,700 588,000 1,244,000 4,677,700 5,900
2022 - 2027 2,354,000 1,092,400 656,100 4,102,500 5,843
2022 - 2032 5,099,600 2,170,000 1,414,800 8,684,400 12,157
2022 - 2039 10,758,000 3,927,600 2,754,600 17,440,200 23,680
1 Square feet per employee assumptions:
Industrial 1,100
Commercial 400
Institutional 675
2 Employment Increase does not include No Fixed Place of Work.
*Reflects Mid 2022 to Mid 2039 forecast period
Source: Derived from Durham Region Growth Management Strategy (ongoing) and the Region of Durham Regional Transit Development Charge Background Study
(2022), by Watson & Associates Economists Ltd., 2022.
Seaton
Development Location Timing
Rest of Pickering
Industrial
G.F.A. S.F.1
Commercial
G.F.A. S.F.1
Institutional
G.F.A. S.F.1
Total Non-
Residential
G.F.A. S.F.
Employment
Increase2
City of Pickering
Watson & Associates Economists Ltd. PAGE B-17
H:\Pickering\2022 DC and CBC\Report\2022 Development Charges Background Study - City of Pickering - Office Consolidation.docx
Schedule 11
The City of Pickering
Non-Residential Construction Value
Years 2007 to 2016
(000’s 2018 $)
New Improve Additions Total New Improve Additions Total New Improve Additions Total New Improve Additions Total
2007 10,760 2,663 0 13,423 5,603 5,979 0 11,583 0 1,234 2,528 3,762 16,364 9,877 2,528 28,768
2008 42,442 1,233 0 43,676 24,674 8,900 3,192 36,766 1,313 2,376 1,955 5,644 68,430 12,509 5,147 86,086
2009 36,439 766 3,805 41,010 4,034 8,703 0 12,737 0 627 0 627 40,473 10,097 3,805 54,374
2010 9,751 186 0 9,937 29,550 10,849 5,041 45,440 0 229 1,462 1,690 39,300 11,264 6,503 57,067
2012 17,165 4,314 1,793 23,272 1,313 13,242 2,502 17,058 33,681 1,179 4,819 39,679 52,159 18,735 9,114 80,009
2013 144,192 1,713 631 146,536 13,119 13,514 11,820 38,454 0 1,600 0 1,600 157,312 16,827 12,451 186,590
2014 118 3,446 0 3,563 8,782 7,095 4,429 20,307 23,994 372 2,064 26,430 32,894 10,912 6,493 50,300
2015 12,675 361 0 13,036 1,351 6,681 0 8,032 0 813 0 813 14,026 7,854 0 21,881
2016 629 175 0 803 2,487 15,796 5,354 23,637 90 1,477 0 1,567 3,205 17,449 5,354 26,008
Subtotal 274,481 16,757 6,665 297,903 99,675 99,778 51,910 251,362 59,350 10,614 12,828 82,792 433,506 127,150 71,402 632,058
Percent of Total 92% 6% 2% 100% 40% 40% 21% 100% 72% 13% 15% 100% 69% 20% 11% 100%
Average 27,448 1,676 1,666 29,790 9,967 9,978 7,416 25,136 11,870 1,061 2,566 8,279 43,351 12,715 7,934 63,206
2007 - 2011
Period Total 110,692 143,875 12,704 267,271
2007 - 2011 Average 22,138 28,775 2,541 53,454
% Breakdown 41.4%53.8%4.8%100.0%
2012 - 2016
Period Total 187,211 107,487 70,088 364,787
2012 - 2016 Average 37,442 21,497 14,018 72,957
% Breakdown 51.3%29.5%19.2%100.0%
2007 - 2016
Period Total 297,903 251,362 82,792 632,058
2007 - 2016 Average 29,790 25,136 8,279 63,206
% Breakdown 47.1%39.8%13.1%100.0%
Source: Statistics Canada Publication, 64-001-XIB
Note: Inflated to year-end 2017 (January, 2018) dollars using Reed Construction Cost Index
YEAR Industrial Commercial Institutional Total
Watson & Associates Economists Ltd. PAGE A-18
H:\Pickering\2022 DC and CBC\Report\2022 Development Charges Background Study - City of Pickering - Office Consolidation.docx
Schedule 12
The City of Pickering
Employment to Population Ratio by Major Employment Sector, 2006 to 2016
2006 2011 2016 06-11 11-16
Primary Industry Employment
11 Agriculture, forestry, fishing and hunting 80 155 80 75 -75
21 Mining and oil and gas extraction 25 0 85 -25 85
Sub-total 105 155 165 50 10
Industrial and Other Employment
22 Utilities 5,355 5,575 4,360 220 -1,215
23 Construction 1,275 1,395 1,680 120 285
31-33 Manufacturing 3,055 2,410 3,100 -645 690
41 Wholesale trade 1,900 1,790 1,470 -110 -320
48-49 Transportation and warehousing 1,170 1,050 1,350 -120 300
56 Administrative and support 645 533 640 -113 108
Sub-total 13,400 12,753 12,600 -648 -153
Population Related Employment
44-45 Retail trade 5,205 4,865 4,805 -340 -60
51 Information and cultural industries 405 765 780 360 15
52 Finance and insurance 940 1,055 1,105 115 50
53 Real estate and rental and leasing 965 650 695 -315 45
54 Professional, scientific and technical services 2,035 2,355 2,440 320 85
55 Management of companies and enterprises 60 30 75 -30 45
56 Administrative and support 645 533 640 -113 108
71 Arts, entertainment and recreation 590 830 655 240 -175
72 Accommodation and food services 1,730 1,925 2,040 195 115
81 Other services (except public administration)1,360 1,490 1,560 130 70
Sub-total 13,935 14,498 14,795 563 298
Institutional
61 Educational services 1,815 2,025 1,970 210 -55
62 Health care and social assistance 1,945 2,295 2,360 350 65
91 Public administration 865 950 870 85 -80
Sub-total 4,625 5,270 5,200 645 -70
Total Employment 32,065 32,675 32,760 610 85
Population 87,838 88,721 91,771 883 3,050
Employment to Population Ratio
Industrial and Other Employment 0.15 0.14 0.14 -0.01 -0.01
Population Related Employment 0.16 0.16 0.16 0.00 0.00
Institutional Employment 0.05 0.06 0.06 0.01 0.00
Primary Industry Employment 0.00 0.00 0.00 0.00 0.00
Total 0.37 0.37 0.36 0.00 -0.01
Source: Statistics Canada Employment by Place of Work
Note: 2006-2016 employment figures are classified by North American Industry Classification System (NAICS) Code
NAICS Year
Categories which relate
primarily to industrial land supply
and demand
Categories which relate
primarily to population growth
within the municipality
Employment by industry
CommentsChange
Categories which relate to local
land-based resources
Watson & Associates Economists Ltd. PAGE B-14
H:\Pickering\2022 DC and CBC\Report\2022 Development Charges Background Study - City of Pickering - Office Consolidation.docx
Table B-13
Service Standard Calculation Sheet
Parks and Recreation Services – Parkland Development
Acres of Parkland
Description 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
2022 Value
($/Acre)
Village Green 0.6 0.6 0.6 1.4 1.4 1.4 1.4 1.4 1.4 $665,000
Neighbourhood Active 152 157 157 157 157 157 157 157 157 157 $410,000
Community Active 174 174 174 174 174 174 174 174 174 174 $410,000
District Active 13 13 13 13 13 13 13 13 13 13 $410,000
Passive Parkland 476 477 477 478 478 478 478 478 478 478 $73,300
Total 815 822 822 823 823 823 823 823 823 823
Population 89,039 89,373 90,142 90,505 90,995 92,196 93,401 96,046 97,318 98,325
Per Capita Standard 0.0092 0.0092 0.0091 0.0091 0.0090 0.0089 0.0088 0.0086 0.0085 0.0084
10 Year Average 2012-2021
Quantity Standard 0.0089
Quality Standard $214,109
Service Standard $1,906
D.C. Amount (before deductions)17 Year
Forecast Population 78,668
$ per Capita $1,906
Eligible Amount $149,907,381
Watson & Associates Economists Ltd. PAGE D-2
H:\Pickering\2022 DC and CBC\Report\2022 Development Charges Background Study - City of Pickering - Office Consolidation.docx
Table C-1
Cash Flow Calculation
Fire Protection Services
Residential per capita
Development
Related
Expenditures
Development
Related
Expenditures
Development
Related Long-
Te rm Debt
Development
Related Long-
Te rm Debt $330.20 1% / 3%
Year
D.C. Reserve
Fund
Ope ning
Balance
Nominal
Project Cost
Project Cost
Inflated at 3%
Existing Debt
Payments
Debt
Payments for
New Debt
Population
Growth
Per Capita per
Year
Inflate d at
(3%) Starting in
2022
Anticipated
Revenues
Proceeds
from
Issuance of
New Debt
Annual
Surplus/
(De ficit)
D.C. Reserve
Fund
Inte rest
Earnings/
(Cost)
D.C. Reserve
Fund Closing
Balance after
Interest
2022 (6,470,363) 8,585,592 8,585,592 430,411 2,573 330.20 849,575 6,741,981 (7,894,811) (215,478) (8,110,288)
2023 (8,110,288) 2,845,458 2,930,822 438,364 5,146 340.11 1,750,124 443,898 (9,285,451) (260,936) (9,546,387)
2024 (9,546,387) 2,174,942 2,307,396 468,234 5,146 350.31 1,802,628 2,307,396 (8,211,993) (266,376) (8,478,369)
2025 (8,478,369) - - 633,340 5,146 360.82 1,856,707 - (7,255,002) (236,001) (7,491,003)
2026 (7,491,003) 4,664,439 5,249,867 633,550 5,146 371.64 1,912,408 5,249,867 (6,212,145) (205,547) (6,417,692)
2027 (6,417,692) - - 1,060,584 4,943 382.79 1,892,111 - (5,586,165) (180,058) (5,766,223)
2028 (5,766,223) - - 1,060,614 4,740 394.28 1,868,876 - (4,957,962) (160,863) (5,118,825)
2029 (5,118,825) - - 1,060,970 4,740 406.11 1,924,942 - (4,254,853) (140,605) (4,395,458)
2030 (4,395,458) - - 1,060,873 4,740 418.29 1,982,690 - (3,473,641) (118,036) (3,591,677)
2031 (3,591,677) - - 1,061,059 4,740 430.84 2,042,171 - (2,610,565) (93,034) (2,703,599)
2032 (2,703,599) - - 1,060,746 4,694 443.76 2,083,006 - (1,681,339) (65,774) (1,747,113)
2033 (1,747,113) - - 1,060,671 4,648 457.08 2,124,454 - (683,330) (36,457) (719,787)
2034 (719,787) - - 1,060,799 4,648 470.79 2,188,188 - 407,602 (4,683) 402,919
2035 402,919 - - 1,060,342 4,648 484.91 2,253,833 - 1,596,411 9,997 1,606,407
2036 1,606,407 - - 1,060,212 4,648 499.46 2,321,448 - 2,867,644 22,370 2,890,014
2037 2,890,014 - - 1,060,380 3,910 514.44 2,011,724 - 3,841,357 33,657 3,875,014
2038 3,875,014 - - 1,060,064 3,173 529.88 1,681,326 - 4,496,276 41,856 4,538,133
2039 4,538,133 - - 5,426,593 1,587 545.77 865,883 - (22,578) 22,578 0
Total 18,270,432 19,073,678 - 20,757,807 79,015 33,412,093 14,743,143 (1,853,389)
Note: Numbers may not add due to rounding
Watson & Associates Economists Ltd. PAGE C-3
H:\Pickering\2022 DC and CBC\Report\2022 Development Charges Background Study - City of Pickering - Office Consolidation.docx
Table C-2
Cash Flow Calculation
Fire Protection Services
Non-Residential Seaton Prestige Employment Land per net ha
Development
Related
Expenditures
Development
Related
Expenditures
Development
Related Long-
Term Debt
Development
Related Long-
Term Debt $18,492.10 1% / 3%
Year
D.C. Reserve
Fund Opening
Balance
Nominal Project
Cost
Project Cost
Inflated at 3%
Existing Debt
Payments
Debt Payments
for New Debt Net Hectares
per net ha per
Year
Inflated at
(3%) Starting in
2022
Anticipated
Revenues
Proceeds from
Issuance of New
Debt
Annual Surplus/
(Deficit)
D.C. Reserve
Fund
Interest Earnings
/(Cost)
D.C. Reserve
Fund Closing
Balance after
Interest
2022 (895,101) 1,187,719 1,187,719 59,542 4 18,492.098 64,722 932,676 (1,144,963) (30,601) (1,175,564)
2023 (1,175,564) 393,637 405,446 60,643 7 19,046.861 133,328 61,408 (1,446,916) (39,337) (1,486,254)
2024 (1,486,254) 300,878 319,202 64,775 7 19,618.267 137,328 319,202 (1,413,700) (43,499) (1,457,200)
2025 (1,457,200) - - 87,615 7 20,206.815 141,448 - (1,403,367) (42,909) (1,446,276)
2026 (1,446,276) 645,272 726,259 87,644 7 20,813.019 145,691 726,259 (1,388,229) (42,518) (1,430,747)
2027 (1,430,747) - - 146,720 11 21,437.410 229,548 - (1,347,918) (41,680) (1,389,598)
2028 (1,389,598) - - 146,724 11 22,080.532 241,826 - (1,294,496) (40,261) (1,334,758)
2029 (1,334,758) - - 146,773 11 22,742.948 249,080 - (1,232,450) (38,508) (1,270,958)
2030 (1,270,958) - - 146,760 11 23,425.237 256,553 - (1,161,165) (36,482) (1,197,647)
2031 (1,197,647) - - 146,785 11 24,127.994 264,249 - (1,080,183) (34,167) (1,114,351)
2032 (1,114,351) - - 146,742 12 24,851.834 289,455 - (971,638) (31,290) (1,002,928)
2033 (1,002,928) - - 146,732 12 25,597.389 315,934 - (833,726) (27,550) (861,275)
2034 (861,275) - - 146,749 12 26,365.310 325,412 - (682,613) (23,158) (705,771)
2035 (705,771) - - 146,686 12 27,156.270 335,175 - (517,282) (18,346) (535,628)
2036 (535,628) - - 146,668 12 27,970.958 345,230 - (337,067) (13,090) (350,157)
2037 (350,157) - - 146,691 16 28,810.086 473,319 - (23,529) (5,605) (29,135)
2038 (29,135) - - 146,648 21 29,674.389 608,783 - 433,000 2,019 435,020
2039 435,020 - - 750,707 10 30,564.621 313,523 - (2,164) 2,164 0
Total 2,527,505 2,638,625 - 2,871,605 194 4,870,604 2,039,545 (504,818)
Note: Numbers may not add due to rounding
Watson & Associates Economists Ltd. PAGE C-4
H:\Pickering\2022 DC and CBC\Report\2022 Development Charges Background Study - City of Pickering - Office Consolidation.docx
Table C-3
Cash Flow Calculation
Fire Protection Services
Non-Residential per ft²
Development
Related
Expenditures
Development
Related
Expenditures
Development
Related Long-
Term Debt
Development
Related Long-
Term Debt $0.53 1% / 3%
Year
D.C. Reserve
Fund Opening
Balance
Nominal Project
Cost
Project Cost
Inflated at 3%
Existing Debt
Payments
Debt Payments
for New Debt
Sq. Ft. of
Gross Floor
Area
per sq.ft. per
Year
Inflated at
(3%) Starting in
2022
Anticipated
Revenues
Proceeds from
Issuance of New
Debt
Annual Surplus/
(Deficit)
D.C. Reserve
Fund
Interest Earnings
/(Cost)
D.C. Reserve
Fund Closing
Balance after
Interest
2022 (1,037,605) 1,376,809 1,376,809 69,022 170,996 0.531 90,741 1,081,163 (1,311,533)(35,237) (1,346,770)
2023 (1,346,770)456,305 469,995 70,297 341,992 0.547 186,926 71,185 (1,628,951)(44,636) (1,673,586)
2024 (1,673,586)348,780 370,020 75,087 341,992 0.563 192,534 370,020 (1,556,139)(48,446) (1,604,585)
2025 (1,604,585)- - 101,564 341,992 0.580 198,310 - (1,507,839)(46,686) (1,554,526)
2026 (1,554,526)748,002 841,883 101,598 341,992 0.597 204,259 841,883 (1,451,864)(45,096) (1,496,960)
2027 (1,496,960)- - 170,078 378,767 0.615 233,011 - (1,434,027)(43,965) (1,477,992)
2028 (1,477,992)- - 170,083 415,543 0.634 263,303 - (1,384,772)(42,941) (1,427,713)
2029 (1,427,713)- - 170,140 415,543 0.653 271,202 - (1,326,651)(41,315) (1,367,967)
2030 (1,367,967)- - 170,124 415,543 0.672 279,338 - (1,258,753)(39,401) (1,298,153)
2031 (1,298,153)- - 170,154 415,543 0.692 287,719 - (1,180,589)(37,181) (1,217,770)
2032 (1,217,770)- - 170,104 438,507 0.713 312,727 - (1,075,147)(34,394) (1,109,541)
2033 (1,109,541)- - 170,092 461,471 0.735 338,978 - (940,656)(30,753)(971,409)
2034 (971,409)- - 170,113 461,471 0.757 349,147 - (792,374)(26,457)(818,831)
2035 (818,831)- - 170,039 461,471 0.779 359,621 - (629,249)(21,721)(650,970)
2036 (650,970)- - 170,019 461,471 0.803 370,410 - (450,579)(16,523)(467,102)
2037 (467,102)- - 170,045 668,229 0.827 552,461 - (84,687)(8,277)(92,964)
2038 (92,964)- - 169,995 874,988 0.852 745,101 - 482,142 1,946 484,088
2039 484,088 - - 870,223 437,494 0.877 383,727 - (2,408)2,408 0
Total 2,929,896 3,058,707 - 3,328,779 7,845,000 5,619,515 2,364,251 (558,675)
Note: Numbers may not add due to rounding
Watson & Associates Economists Ltd. PAGE C-5
H:\Pickering\2022 DC and CBC\Report\2022 Development Charges Background Study - City of Pickering - Office Consolidation.docx
Table C-4
Cash Flow Calculation
By-law Enforcement Services
Residential per capita
Development
Related
Expenditures
Development
Related
Expenditures
Development
Related Long-
Te rm Debt
Development
Related Long-
Te rm Debt $28.75 1% / 3%
Year
D.C. Reserve
Fund
Ope ning
Balance
Nominal
Project Cost
Project Cost
Inflated at 3%
Existing Debt
Payments
Debt
Payments for
New Debt
Population
Growth
Per Capita per
Year
Inflate d at
(3%) Starting in
2022
Anticipated
Revenues
Proceeds
from
Issuance of
New Debt
Annual
Surplus/
(De ficit)
D.C. Reserve
Fund
Inte rest
Earnings/
(Cost)
D.C. Reserve
Fund Closing
Balance after
Interest
2022 - - - - 2,573 28.75 73,961 - 73,961 370 74,331
2023 74,331 2,194,003 2,259,823 - 5,146 29.61 152,360 2,259,823 226,692 1,505 228,197
2024 228,197 - - 150,774 5,146 30.50 156,931 - 234,353 2,313 236,666
2025 236,666 - - 150,774 5,146 31.41 161,639 - 247,531 2,421 249,952
2026 249,952 - - 150,774 5,146 32.35 166,488 - 265,666 2,578 268,244
2027 268,244 - - 150,774 4,943 33.32 164,721 - 282,191 2,752 284,943
2028 284,943 - - 150,774 4,740 34.32 162,699 - 296,867 2,909 299,776
2029 299,776 - - 150,774 4,740 35.35 167,579 - 316,582 3,082 319,663
2030 319,663 - - 150,774 4,740 36.41 172,607 - 341,496 3,306 344,802
2031 344,802 - - 150,774 4,740 37.51 177,785 - 371,812 3,583 375,395
2032 375,395 - - 150,774 4,694 38.63 181,340 - 405,961 3,907 409,868
2033 409,868 - - 150,774 4,648 39.79 184,948 - 444,042 4,270 448,312
2034 448,312 - - 150,774 4,648 40.99 190,497 - 488,034 4,682 492,716
2035 492,716 - - 150,774 4,648 42.21 196,212 - 538,153 5,154 543,307
2036 543,307 - - 150,774 4,648 43.48 202,098 - 594,631 5,690 600,321
2037 600,321 - - 150,774 3,910 44.79 175,134 - 624,681 6,125 630,806
2038 630,806 - - 150,774 3,173 46.13 146,371 - 626,403 6,286 632,689
2039 632,689 - - 711,218 1,587 47.51 75,381 - (3,148) 3,148 (0)
Total 2,194,003 2,259,823 - 2,972,833 79,015 2,908,754 2,259,823 64,079
Note: Numbers may not add due to rounding
Watson & Associates Economists Ltd. PAGE C-6
H:\Pickering\2022 DC and CBC\Report\2022 Development Charges Background Study - City of Pickering - Office Consolidation.docx
Table C-5
Cash Flow Calculation
By-law Enforcement Services
Non-Residential Seaton Prestige Employment Land per net ha
Development
Related
Expenditures
Development
Related
Expenditures
Development
Related Long-
Term Debt
Development
Related Long-
Term Debt $1,563.44 1% / 3%
Year
D.C. Reserve
Fund Opening
Balance
Nominal Project
Cost
Project Cost
Inflated at 3%
Existing Debt
Payments
Debt Payments
for New Debt Net Hectares
per net ha per
Year
Inflated at
(3%) Starting in
2022
Anticipated
Revenues
Proceeds from
Issuance of New
Debt
Annual Surplus/
(Deficit)
D.C. Reserve
Fund
Interest Earnings
/(Cost)
D.C. Reserve
Fund Closing
Balance after
Interest
2022 - - - - 4 1,563.435 5,472 - 5,472 27 5,499
2023 5,499 303,515 312,621 - 7 1,610.338 11,272 312,621 16,772 111 16,883
2024 16,883 - - 20,858 7 1,658.648 11,611 - 7,636 123 7,758
2025 7,758 - - 20,858 7 1,708.408 11,959 - (1,141)33 (1,108)
2026 (1,108)- - 20,858 7 1,759.660 12,318 - (9,648)(161)(9,809)
2027 (9,809)- - 20,858 11 1,812.450 19,407 - (11,260)(316)(11,576)
2028 (11,576)- - 20,858 11 1,866.823 20,445 - (11,988)(353)(12,342)
2029 (12,342)- - 20,858 11 1,922.828 21,059 - (12,141)(367)(12,508)
2030 (12,508)- - 20,858 11 1,980.513 21,691 - (11,675)(363)(12,038)
2031 (12,038)- - 20,858 11 2,039.928 22,341 - (10,555)(339)(10,894)
2032 (10,894)- - 20,858 12 2,101.126 24,472 - (7,279)(273)(7,552)
2033 (7,552)- - 20,858 12 2,164.160 26,711 - (1,699)(139)(1,838)
2034 (1,838)- - 20,858 12 2,229.085 27,512 - 4,817 15 4,832
2035 4,832 - - 20,858 12 2,295.957 28,338 - 12,311 86 12,397
2036 12,397 - - 20,858 12 2,364.836 29,188 - 20,727 166 20,893
2037 20,893 - - 20,858 16 2,435.781 40,017 - 40,052 305 40,357
2038 40,357 - - 20,858 21 2,508.855 51,470 - 70,969 557 71,526
2039 71,526 - - 98,389 10 2,584.120 26,507 - (356)356 0
Total 303,515 312,621 - 411,257 194 411,791 312,621 (533)
Note: Numbers may not add due to rounding
Watson & Associates Economists Ltd. PAGE C-7
H:\Pickering\2022 DC and CBC\Report\2022 Development Charges Background Study - City of Pickering - Office Consolidation.docx
Table C-6
Cash Flow Calculation
By-law Enforcement Services
Non-Residential per ft²
Development
Related
Expenditures
Development
Related
Expenditures
Development
Related Long-
Term Debt
Development
Related Long-
Term Debt $0.04 1% / 3%
Year
D.C. Reserve
Fund Opening
Balance
Nominal Project
Cost
Project Cost
Inflated at 3%
Existing Debt
Payments
Debt Payments
for New Debt
Sq. Ft. of
Gross Floor
Area
per sq.ft. per
Year
Inflated at
(3%) Starting in
2022
Anticipated
Revenues
Proceeds from
Issuance of New
Debt
Annual Surplus/
(Deficit)
D.C. Reserve
Fund
Interest Earnings
/(Cost)
D.C. Reserve
Fund Closing
Balance after
Interest
2022 - - - - 170,996 0.045 7,678 - 7,678 38 7,716
2023 7,716 351,836 362,391 - 341,992 0.046 15,817 362,391 23,533 156 23,689
2024 23,689 - - 24,179 341,992 0.048 16,291 - 15,802 197 15,999
2025 15,999 - - 24,179 341,992 0.049 16,780 - 8,600 123 8,723
2026 8,723 - - 24,179 341,992 0.051 17,283 - 1,828 53 1,880
2027 1,880 - - 24,179 378,767 0.052 19,716 - (2,582)(11)(2,593)
2028 (2,593)- - 24,179 415,543 0.054 22,279 - (4,492)(106)(4,599)
2029 (4,599)- - 24,179 415,543 0.055 22,947 - (5,830)(156)(5,986)
2030 (5,986)- - 24,179 415,543 0.057 23,636 - (6,529)(188)(6,717)
2031 (6,717)- - 24,179 415,543 0.059 24,345 - (6,550)(199)(6,749)
2032 (6,749)- - 24,179 438,507 0.060 26,461 - (4,467)(168)(4,635)
2033 (4,635)- - 24,179 461,471 0.062 28,682 - (131)(71)(203)
2034 (203)- - 24,179 461,471 0.064 29,543 - 5,161 25 5,186
2035 5,186 - - 24,179 461,471 0.066 30,429 - 11,436 83 11,519
2036 11,519 - - 24,179 461,471 0.068 31,342 - 18,682 151 18,833
2037 18,833 - - 24,179 668,229 0.070 46,746 - 41,401 301 41,702
2038 41,702 - - 24,179 874,988 0.072 63,046 - 80,569 611 81,180
2039 81,180 - - 114,053 437,494 0.074 32,469 - (404)404 0
Total 351,836 362,391 - 476,732 7,845,000 475,488 362,391 1,243
Note: Numbers may not add due to rounding
Watson & Associates Economists Ltd. PAGE C-8
H:\Pickering\2022 DC and CBC\Report\2022 Development Charges Background Study - City of Pickering - Office Consolidation.docx
Table C-7
Cash Flow Calculation
Transportation Services
Residential per capita
Development
Related
Expenditures
Development
Related
Expenditures
Development
Related Long-
Te rm Debt
Development
Related Long-
Te rm Debt $3,780.20 1% / 3%
Year
D.C. Reserve
Fund
Ope ning
Balance
Nominal
Project Cost
Project Cost
Inflated at 3%
Existing Debt
Payments
Debt
Payments for
New Debt
Population
Growth
Per Capita per
Year
Inflate d at
(3%) Starting in
2022
Anticipated
Revenues
Proceeds
from
Issuance of
New Debt
Annual
Surplus/
(De ficit)
D.C. Reserve
Fund
Inte rest
Earnings/
(Cost)
D.C. Reserve
Fund Closing
Balance after
Interest
2022 19,222,183 13,091,291 13,091,291 - 717 3,780.20 2,708,889 311,648 9,151,430 141,868 9,293,298
2023 9,293,298 13,495,086 13,899,939 19,374 1,433 3,893.60 5,580,312 320,998 1,275,295 52,843 1,328,138
2024 1,328,138 18,218,450 19,327,954 40,790 1,433 4,010.41 5,747,721 3,207,375 (9,085,510) (116,361) (9,201,870)
2025 (9,201,870) 2,194,138 2,397,594 269,950 1,433 4,130.72 5,920,153 340,547 (5,608,715) (222,159) (5,830,874)
2026 (5,830,874) 10,930,220 12,302,059 295,949 1,433 4,254.65 6,097,757 350,763 (11,980,361) (267,169) (12,247,530)
2027 (12,247,530) 5,297,985 6,141,817 324,502 1,214 4,382.28 5,321,408 - (13,392,441) (384,600) (13,777,040)
2028 (13,777,040) 5,297,985 6,326,071 324,502 995 4,513.75 4,492,990 - (15,934,624) (445,675) (16,380,299)
2029 (16,380,299) 5,297,985 6,515,854 324,502 995 4,649.17 4,627,779 - (18,592,875) (524,598) (19,117,472)
2030 (19,117,472) 5,297,985 6,711,329 324,502 995 4,788.64 4,766,613 - (21,386,691) (607,562) (21,994,253)
2031 (21,994,253) 5,297,985 6,912,669 324,502 995 4,932.30 4,909,611 - (24,321,813) (694,741) (25,016,554)
2032 (25,016,554) 5,297,985 7,120,049 324,502 1,338 5,080.27 6,795,389 - (25,665,716) (760,234) (26,425,951)
2033 (26,425,951) 5,297,985 7,333,651 324,502 1,680 5,232.68 8,789,894 - (25,294,209) (775,802) (26,070,012)
2034 (26,070,012) 5,297,985 7,553,660 324,502 1,680 5,389.66 9,053,591 - (24,894,583) (764,469) (25,659,052)
2035 (25,659,052) 5,297,985 7,780,270 324,502 1,680 5,551.35 9,325,198 - (24,438,625) (751,465) (25,190,090)
2036 (25,190,090) 5,297,985 8,013,678 324,502 1,680 5,717.89 9,604,954 - (23,923,316) (736,701) (24,660,017)
2037 (24,660,017) 5,297,985 8,254,088 324,502 2,844 5,889.42 16,747,042 - (16,491,565) (617,274) (17,108,839)
2038 (17,108,839) 5,297,985 8,501,711 324,502 4,007 6,066.11 24,309,010 - (1,626,042) (281,023) (1,907,065)
2039 (1,907,065) 5,297,985 8,756,762 1,827,130 2,004 6,248.09 12,519,140 - 28,183 (28,183) (0)
Total 126,802,994 156,940,446 - 6,347,216 28,557 147,317,452 4,531,331 (7,783,304)
Note: Numbers may not add due to rounding
Watson & Associates Economists Ltd. PAGE C-9
H:\Pickering\2022 DC and CBC\Report\2022 Development Charges Background Study - City of Pickering - Office Consolidation.docx
Table C-8
Cash Flow Calculation
Transportation Services
Non-Residential per ft²
Development
Related
Expenditures
Development
Related
Expenditures
Development
Related Long-
Term Debt
Development
Related Long-
Term Debt $4.73 1% / 3%
Year
D.C. Reserve
Fund Opening
Balance
Nominal Project
Cost
Project Cost
Inflated at 3%
Existing Debt
Payments
Debt Payments
for New Debt
Sq. Ft. of
Gross Floor
Area
per sq.ft. per
Year
Inflated at
(3%) Starting in
2022
Anticipated
Revenues
Proceeds from
Issuance of New
Debt
Annual Surplus/
(Deficit)
D.C. Reserve
Fund
Interest Earnings
/(Cost)
D.C. Reserve
Fund Closing
Balance after
Interest
2022 3,937,074 2,681,349 2,681,349 - 92,020 4.725 434,839 63,832 1,754,396 28,457 1,782,853
2023 1,782,853 2,764,054 2,846,975 3,968 184,040 4.867 895,769 65,747 (106,575) 8,381 (98,193)
2024 (98,193) 3,731,490 3,958,738 8,355 184,040 5.013 922,642 656,932 (2,485,711) (38,759) (2,524,470)
2025 (2,524,470) 449,402 491,073 55,291 184,040 5.164 950,321 69,751 (2,050,763) (68,628) (2,119,391)
2026 (2,119,391) 2,238,720 2,519,699 60,616 184,040 5.319 978,831 71,843 (3,649,032) (86,526) (3,735,558)
2027 (3,735,558) 1,085,129 1,257,962 66,464 217,130 5.478 1,189,467 - (3,870,518) (114,091) (3,984,609)
2028 (3,984,609) 1,085,129 1,295,701 66,464 250,220 5.642 1,411,861 - (3,934,914) (118,793) (4,053,707)
2029 (4,053,707) 1,085,129 1,334,572 66,464 250,220 5.812 1,454,217 - (4,000,526) (120,813) (4,121,340)
2030 (4,121,340) 1,085,129 1,374,610 66,464 250,220 5.986 1,497,843 - (4,064,571) (122,789) (4,187,359)
2031 (4,187,359) 1,085,129 1,415,848 66,464 250,220 6.166 1,542,779 - (4,126,893) (124,714) (4,251,607)
2032 (4,251,607) 1,085,129 1,458,323 66,464 262,689 6.351 1,668,251 - (4,108,143) (125,396) (4,233,539)
2033 (4,233,539) 1,085,129 1,502,073 66,464 275,159 6.541 1,799,863 - (4,002,214) (123,536) (4,125,750)
2034 (4,125,750) 1,085,129 1,547,135 66,464 275,159 6.737 1,853,859 - (3,885,490) (120,169) (4,005,659)
2035 (4,005,659) 1,085,129 1,593,549 66,464 275,159 6.940 1,909,475 - (3,756,198) (116,428) (3,872,626)
2036 (3,872,626) 1,085,129 1,641,356 66,464 275,159 7.148 1,966,759 - (3,613,687) (112,295) (3,725,981)
2037 (3,725,981) 1,085,129 1,690,596 66,464 420,231 7.362 3,093,805 - (2,389,237) (91,728) (2,480,965)
2038 (2,480,965) 1,085,129 1,741,314 66,464 565,303 7.583 4,286,703 - (2,041) (37,245) (39,286)
2039 (39,286) 1,085,129 1,793,554 374,231 282,651 7.811 2,207,652 - 581 (581) -
Total 25,971,697 32,144,429 - 1,300,032 4,677,700 30,064,936 928,104 (1,485,652)
Note: Numbers may not add due to rounding
Watson & Associates Economists Ltd. PAGE C-10
H:\Pickering\2022 DC and CBC\Report\2022 Development Charges Background Study - City of Pickering - Office Consolidation.docx
Table C-9
Cash Flow Calculation
Other Services Related to a Highway
Residential per capita
Development
Related
Expenditures
Development
Related
Expenditures
Development
Related Long-
Te rm Debt
Development
Related Long-
Te rm Debt $209.62 1% / 3%
Year
D.C. Reserve
Fund
Ope ning
Balance
Nominal
Project Cost
Project Cost
Inflated at 3%
Existing Debt
Payments
Debt
Payments for
New Debt
Population
Growth
Per Capita per
Year
Inflate d at
(3%) Starting in
2022
Anticipated
Revenues
Proceeds
from
Issuance of
New Debt
Annual
Surplus/
(De ficit)
D.C. Reserve
Fund
Inte rest
Earnings/
(Cost)
D.C. Reserve
Fund Closing
Balance after
Interest
2022 (1,243,303) 1,003,372 1,003,372 316,894 - 2,573 209.62 539,322 - (2,024,246) (49,013) (2,073,260)
2023 (2,073,260) 4,102,622 4,225,700 316,744 - 5,146 215.91 1,111,004 3,521,364 (1,983,336) (60,849) (2,044,185)
2024 (2,044,185) 2,397,072 2,543,053 315,611 234,944 5,146 222.38 1,144,334 2,450,679 (1,542,780) (53,804) (1,596,584)
2025 (1,596,584) 87,072 95,145 318,007 410,039 5,146 229.05 1,178,664 - (1,241,112) (42,565) (1,283,677)
2026 (1,283,677) 717,702 807,779 316,805 410,039 5,146 235.93 1,214,024 303,325 (1,300,952) (38,769) (1,339,722)
2027 (1,339,722) 20,097 23,298 316,477 434,731 4,943 243.00 1,201,139 - (913,089) (33,792) (946,881)
2028 (946,881) - - 316,323 434,731 4,740 250.29 1,186,389 - (511,546) (21,876) (533,422)
2029 (533,422) - - 316,219 434,731 4,740 257.80 1,221,981 - (62,392) (8,937) (71,329)
2030 (71,329) - - 316,150 434,731 4,740 265.54 1,258,640 - 436,430 1,826 438,256
2031 438,256 283,444 369,830 316,201 434,731 4,740 273.50 1,296,399 - 613,892 5,261 619,153
2032 619,153 283,444 380,925 315,972 434,731 4,694 281.71 1,322,322 - 809,847 7,145 816,992
2033 816,992 283,444 392,353 315,715 434,731 4,648 290.16 1,348,634 - 1,022,827 9,199 1,032,027
2034 1,032,027 283,444 404,124 315,543 434,731 4,648 298.86 1,389,093 - 1,266,722 11,494 1,278,216
2035 1,278,216 283,444 416,247 315,416 434,731 4,648 307.83 1,430,766 - 1,542,588 14,104 1,556,692
2036 1,556,692 283,444 428,735 315,441 434,731 4,648 317.06 1,473,689 - 1,851,474 17,041 1,868,514
2037 1,868,514 283,444 441,597 314,976 434,731 3,910 326.58 1,277,071 - 1,954,281 19,114 1,973,395
2038 1,973,395 283,444 454,845 - 434,731 3,173 336.37 1,067,330 - 2,151,149 20,623 2,171,772
2039 2,171,772 283,444 468,490 - 2,263,762 1,587 346.46 549,675 - (10,805) 10,805 -
Total 10,878,933 12,455,495 5,058,497 8,535,554 79,015 21,210,478 6,275,368 (192,997)
Note: Numbers may not add due to rounding
Watson & Associates Economists Ltd. PAGE C-11
H:\Pickering\2022 DC and CBC\Report\2022 Development Charges Background Study - City of Pickering - Office Consolidation.docx
Table C-10
Cash Flow Calculation
Other Services Related to a Highway
Non-Residential Seaton Prestige Employment Land per net ha
Development
Related
Expenditures
Development
Related
Expenditures
Development
Related Long-
Term Debt
Development
Related Long-
Term Debt $11,695.36 1% / 3%
Year
D.C. Reserve
Fund Opening
Balance
Nominal Project
Cost
Project Cost
Inflated at 3%
Existing Debt
Payments
Debt Payments
for New Debt Net Hectares
per net ha per
Year
Inflated at
(3%) Starting in
2022
Anticipated
Revenues
Proceeds from
Issuance of New
Debt
Annual Surplus/
(Deficit)
D.C. Reserve
Fund
Interest Earnings
/(Cost)
D.C. Reserve
Fund Closing
Balance after
Interest
2022 (171,997) 138,805 138,805 43,839 - 4 11,695.362 40,934 - (313,707) (7,286) (320,992)
2023 (320,992) 567,551 584,577 43,818 - 7 12,046.223 84,324 487,140 (377,923) (10,484) (388,407)
2024 (388,407) 331,607 351,802 43,661 32,502 7 12,407.609 86,853 339,023 (390,496) (11,684) (402,179)
2025 (402,179) 12,045 13,162 43,993 56,724 7 12,779.838 89,459 - (426,600) (12,432) (439,031)
2026 (439,031) 99,286 111,747 43,826 56,724 7 13,163.233 92,143 41,961 (517,225) (14,344) (531,569)
2027 (531,569) 2,780 3,223 43,781 60,140 11 13,558.130 145,178 - (493,534) (15,377) (508,911)
2028 (508,911) - - 43,760 60,140 11 13,964.874 152,943 - (459,868) (14,532) (474,399)
2029 (474,399) - - 43,745 60,140 11 14,383.820 157,531 - (420,753) (13,427) (434,181)
2030 (434,181) - - 43,736 60,140 11 14,815.334 162,257 - (375,799) (12,150) (387,949)
2031 (387,949) 39,211 51,162 43,743 60,140 11 15,259.794 167,125 - (375,869) (11,457) (387,326)
2032 (387,326) 39,211 52,697 43,711 60,140 12 15,717.588 183,066 - (360,808) (11,222) (372,030)
2033 (372,030) 39,211 54,278 43,676 60,140 12 16,189.116 199,813 - (330,310) (10,535) (340,845)
2034 (340,845) 39,211 55,906 43,652 60,140 12 16,674.789 205,808 - (294,735) (9,534) (304,269)
2035 (304,269) 39,211 57,583 43,634 60,140 12 17,175.033 211,982 - (253,644) (8,369) (262,013)
2036 (262,013) 39,211 59,311 43,638 60,140 12 17,690.284 218,341 - (206,760) (7,032) (213,791)
2037 (213,791) 39,211 61,090 43,573 60,140 16 18,220.993 299,352 - (79,243) (4,396) (83,639)
2038 (83,639) 39,211 62,923 - 60,140 21 18,767.622 385,026 - 178,325 473 178,798
2039 178,798 39,211 64,810 - 313,166 10 19,330.651 198,288 - (890) 890 (0)
Total 1,504,976 1,723,075 699,785 1,180,796 194 3,080,423 868,125 (172,894)
Note: Numbers may not add due to rounding
Watson & Associates Economists Ltd. PAGE C-12
H:\Pickering\2022 DC and CBC\Report\2022 Development Charges Background Study - City of Pickering - Office Consolidation.docx
Table C-11
Cash Flow Calculation
Other Services Related to a Highway
Non-Residential per ft²
Development
Related
Expenditures
Development
Related
Expenditures
Development
Related Long-
Term Debt
Development
Related Long-
Term Debt $0.34 1% / 3%
Year
D.C. Reserve
Fund Opening
Balance
Nominal Project
Cost
Project Cost
Inflated at 3%
Existing Debt
Payments
Debt Payments
for New Debt
Sq. Ft. of
Gross Floor
Area
per sq.ft. per
Year
Inflated at
(3%) Starting in
2022
Anticipated
Revenues
Proceeds from
Issuance of New
Debt
Annual Surplus/
(Deficit)
D.C. Reserve
Fund
Interest Earnings
/(Cost)
D.C. Reserve
Fund Closing
Balance after
Interest
2022 (199,379) 160,903 160,903 50,818 - 170,996 0.336 57,389 - (353,712) (8,296) (362,008)
2023 (362,008) 657,908 677,645 50,794 - 341,992 0.346 118,222 564,696 (407,529) (11,543) (419,072)
2024 (419,072) 384,401 407,811 50,612 37,676 341,992 0.356 121,769 392,998 (400,406) (12,292) (412,698)
2025 (412,698) 13,963 15,258 50,996 65,755 341,992 0.367 125,422 - (419,286) (12,480) (431,765)
2026 (431,765) 115,093 129,538 50,804 65,755 341,992 0.378 129,184 48,642 (500,036) (13,977) (514,013)
2027 (514,013) 3,223 3,736 50,751 69,715 378,767 0.389 147,368 - (490,847) (15,073) (505,919)
2028 (505,919) - - 50,726 69,715 415,543 0.401 166,527 - (459,834) (14,486) (474,320)
2029 (474,320) - - 50,710 69,715 415,543 0.413 171,522 - (423,222) (13,463) (436,685)
2030 (436,685) - - 50,699 69,715 415,543 0.425 176,668 - (380,431) (12,257) (392,687)
2031 (392,687) 45,454 59,307 50,707 69,715 415,543 0.438 181,968 - (390,448) (11,747) (402,195)
2032 (402,195) 45,454 61,086 50,670 69,715 438,507 0.451 197,785 - (385,881) (11,821) (397,702)
2033 (397,702) 45,454 62,919 50,629 69,715 461,471 0.465 214,387 - (366,577) (11,464) (378,041)
2034 (378,041) 45,454 64,806 50,601 69,715 461,471 0.479 220,819 - (342,345) (10,806) (353,151)
2035 (353,151) 45,454 66,751 50,581 69,715 461,471 0.493 227,443 - (312,754) (9,989) (322,743)
2036 (322,743) 45,454 68,753 50,585 69,715 461,471 0.508 234,266 - (277,529) (9,004) (286,533)
2037 (286,533) 45,454 70,816 50,510 69,715 668,229 0.523 349,405 - (128,169) (6,221) (134,390)
2038 (134,390) 45,454 72,940 - 69,715 874,988 0.539 471,240 - 194,196 299 194,495
2039 194,495 45,454 75,128 - 363,023 437,494 0.555 242,689 - (968) 968 0
Total 1,744,576 1,997,397 811,194 1,368,785 7,845,000 3,554,073 1,006,335 (183,652)
Note: Numbers may not add due to rounding
Watson & Associates Economists Ltd. PAGE C-13
H:\Pickering\2022 DC and CBC\Report\2022 Development Charges Background Study - City of Pickering - Office Consolidation.docx
Table C-12
Cash Flow Calculation
Parks and Recreation Services
Residential per capita
Development
Related
Expe nditures
Development
Related
Expenditures
Development
Related Long-
Te rm Debt
Development
Related Long-
Te rm Debt $3,727.28 1% / 3%
Year
D.C. Reserve
Fund
Ope ning
Balance
Nominal
Project Cost
Project Cost
Inflated at 3%
Existing Debt
Payments
Debt
Payments for
New Debt
Population
Growth
Per Capita per
Year
Inflate d at
(3%) Starting in
2022
Anticipated
Revenues
Proceeds
from
Issuance of
New Debt
Annual
Surplus/
(De ficit)
D.C. Reserve
Fund
Inte re st
Earnings/
(Cost)
D.C. Reserve
Fund Closing
Balance after
Interest
2022 27,034,844 41,947,530 41,947,530 249,967 - 2,573 3,727.28 9,589,918 38,620,299 33,047,564 300,412 33,347,976
2023 33,347,976 41,664,482 42,914,417 249,848 2,372,854 5,146 3,839.10 19,755,230 33,859,575 41,425,661 373,868 41,799,529
2024 41,799,529 59,731,399 63,369,041 248,955 4,631,950 5,146 3,954.27 20,347,887 46,613,547 40,511,018 411,553 40,922,570
2025 40,922,570 15,197,654 16,606,887 250,844 7,962,382 5,146 4,072.90 20,958,324 - 37,060,781 389,917 37,450,698
2026 37,450,698 81,823,716 92,093,313 249,896 7,962,382 5,146 4,195.09 21,587,073 77,593,410 36,325,590 368,881 36,694,471
2027 36,694,471 7,009,425 8,125,845 249,638 14,278,740 4,943 4,320.94 21,357,967 - 35,398,215 360,463 35,758,679
2028 35,758,679 4,776,063 5,702,868 249,516 14,278,740 4,740 4,450.57 21,095,686 - 36,623,240 361,910 36,985,149
2029 36,985,149 4,118,449 5,065,173 249,434 14,278,740 4,740 4,584.08 21,728,557 - 39,120,359 380,528 39,500,887
2030 39,500,887 18,623,318 23,591,462 249,380 14,278,740 4,740 4,721.61 22,380,413 - 23,761,718 316,313 24,078,031
2031 24,078,031 6,741,022 8,795,505 249,420 14,278,740 4,740 4,863.25 23,051,826 - 23,806,192 239,421 24,045,613
2032 24,045,613 5,105,213 6,860,979 249,239 14,278,740 4,694 5,009.15 23,512,774 - 26,169,428 251,075 26,420,504
2033 26,420,504 1,150,838 1,593,029 249,036 14,278,740 4,648 5,159.43 23,980,633 - 34,280,331 303,504 34,583,835
2034 34,583,835 1,150,838 1,640,820 248,901 14,278,740 4,648 5,314.21 24,700,052 - 43,115,426 388,496 43,503,922
2035 43,503,922 1,150,838 1,690,044 248,801 14,278,740 4,648 5,473.64 25,441,053 - 52,727,390 481,157 53,208,547
2036 53,208,547 1,150,838 1,740,746 248,820 14,278,740 4,648 5,637.84 26,204,285 - 63,144,525 581,765 63,726,291
2037 63,726,291 1,150,838 1,792,968 248,454 14,278,740 3,910 5,806.98 22,708,142 - 70,114,270 669,203 70,783,473
2038 70,783,473 1,150,838 1,846,757 - 14,278,740 3,173 5,981.19 18,978,646 - 73,636,622 722,100 74,358,723
2039 74,358,723 1,150,838 1,902,160 - 82,600,510 1,587 6,160.63 9,774,003 - (369,944) 369,944 (0)
Total 294,794,137 327,279,545 3,990,149 276,874,959 79,015 377,152,468 196,686,830 7,270,511
Note: Numbers may not add due to rounding
Watson & Associates Economists Ltd. PAGE C-14
H:\Pickering\2022 DC and CBC\Report\2022 Development Charges Background Study - City of Pickering - Office Consolidation.docx
Table C-13
Cash Flow Calculation
Parks and Recreation Services
Non-Residential Seaton Prestige Employment Land per net ha
Development
Related
Expenditures
Development
Related
Expenditures
Development
Related Long-
Term Debt
Development
Related Long-
Term Debt $35,927.01 1% / 3%
Year
D.C. Reserve
Fund Opening
Balance
Nominal Project
Cost
Project Cost
Inflated at 3%
Existing Debt
Payments
Debt Payments
for New Debt Net Hectares
per net ha per
Year
Inflated at
(3%) Starting in
2022
Anticipated
Revenues
Proceeds from
Issuance of New
Debt
Annual Surplus/
(Deficit)
D.C. Reserve
Fund
Interest Earnings
/(Cost)
D.C. Reserve
Fund Closing
Balance after
Interest
2022 658,986 1,022,490 1,022,490 6,093 - 4 35,927.012 125,745 941,387 697,535 6,783 704,318
2023 704,318 1,015,590 1,046,058 6,090 57,839 7 37,004.823 259,034 825,342 678,706 6,915 685,621
2024 685,621 1,455,979 1,544,649 6,068 112,906 7 38,114.967 266,805 1,136,226 425,029 5,553 430,582
2025 430,582 370,450 404,800 6,114 194,087 7 39,258.416 274,809 - 100,390 2,655 103,045
2026 103,045 1,994,489 2,244,815 6,091 194,087 7 40,436.169 283,053 1,891,374 (167,521) (967) (168,489)
2027 (168,489) 170,858 198,071 6,085 348,051 11 41,649.254 445,974 - (274,722) (6,648) (281,370)
2028 (281,370) 116,419 139,010 6,082 348,051 11 42,898.731 469,826 - (304,686) (8,791) (313,477)
2029 (313,477) 100,389 123,466 6,080 348,051 11 44,185.693 483,921 - (307,153) (9,309) (316,462)
2030 (316,462) 453,952 575,052 6,079 348,051 11 45,511.264 498,439 - (747,206) (15,955) (763,161)
2031 (763,161) 164,315 214,394 6,080 348,051 11 46,876.602 513,392 - (818,294) (23,722) (842,015)
2032 (842,015) 124,442 167,239 6,075 348,051 12 48,282.900 562,361 - (801,020) (24,646) (825,665)
2033 (825,665) 28,052 38,831 6,070 348,051 12 49,731.387 613,807 - (604,810) (21,457) (626,268)
2034 (626,268) 28,052 39,996 6,067 348,051 12 51,223.329 632,221 - (388,160) (15,216) (403,377)
2035 (403,377) 28,052 41,196 6,065 348,051 12 52,760.029 651,187 - (147,500) (8,263) (155,763)
2036 (155,763) 28,052 42,431 6,065 348,051 12 54,342.829 670,723 - 118,413 (560) 117,853
2037 117,853 28,052 43,704 6,056 348,051 16 55,973.114 919,579 - 639,620 3,787 643,408
2038 643,408 28,052 45,016 - 348,051 21 57,652.308 1,182,762 - 1,433,104 10,383 1,443,486
2039 1,443,486 28,052 46,366 - 2,013,424 10 59,381.877 609,122 - (7,182) 7,182 -
Total 7,185,738 7,977,584 97,262 6,748,950 194 9,462,758 4,794,329 (92,278)
Note: Numbers may not add due to rounding
Watson & Associates Economists Ltd. PAGE C-15
H:\Pickering\2022 DC and CBC\Report\2022 Development Charges Background Study - City of Pickering - Office Consolidation.docx
Table C-14
Cash Flow Calculation
Parks and Recreation Services
Non-Residential per ft²
Development
Related
Expenditures
Development
Related
Expenditures
Development
Related Long-
Term Debt
Development
Related Long-
Term Debt $1.03 1% / 3%
Year
D.C. Reserve
Fund Opening
Balance
Nominal Project
Cost
Project Cost
Inflated at 3%
Existing Debt
Payments
Debt Payments
for New Debt
Sq. Ft. of
Gross Floor
Area
per sq.ft. per
Year
Inflated at
(3%) Starting in
2022
Anticipated
Revenues
Proceeds from
Issuance of New
Debt
Annual Surplus/
(Deficit)
D.C. Reserve
Fund
Interest Earnings
/(Cost)
D.C. Reserve
Fund Closing
Balance after
Interest
2022 763,900 1,185,275 1,185,275 7,063 - 170,996 1.032 176,514 1,091,260 839,336 8,016 847,352
2023 847,352 1,177,277 1,212,596 7,060 67,048 341,992 1.063 363,618 956,741 881,008 8,642 889,650
2024 889,650 1,687,778 1,790,564 7,034 130,881 341,992 1.095 374,526 1,317,119 652,815 7,712 660,527
2025 660,527 429,427 469,246 7,088 224,986 341,992 1.128 385,762 - 344,969 5,027 349,996
2026 349,996 2,312,022 2,602,201 7,061 224,986 341,992 1.162 397,335 2,192,490 105,573 2,278 107,851
2027 107,851 198,059 229,605 7,054 403,462 378,767 1.197 453,263 - (79,006) 144 (78,862)
2028 (78,862) 134,953 161,141 7,050 403,462 415,543 1.233 512,190 - (138,325) (3,258) (141,583)
2029 (141,583) 116,371 143,122 7,048 403,462 415,543 1.270 527,556 - (167,660) (4,639) (172,298)
2030 (172,298) 526,223 666,604 7,047 403,462 415,543 1.308 543,382 - (706,028) (13,175) (719,203)
2031 (719,203) 190,475 248,527 7,048 403,462 415,543 1.347 559,684 - (818,556) (23,066) (841,622)
2032 (841,622) 144,254 193,865 7,043 403,462 438,507 1.387 608,332 - (837,659) (25,189) (862,849)
2033 (862,849) 32,518 45,013 7,037 403,462 461,471 1.429 659,395 - (658,965) (22,827) (681,792)
2034 (681,792) 32,518 46,363 7,033 403,462 461,471 1.472 679,177 - (459,473) (17,119) (476,592)
2035 (476,592) 32,518 47,754 7,030 403,462 461,471 1.516 699,552 - (235,286) (10,678) (245,964)
2036 (245,964) 32,518 49,187 7,031 403,462 461,471 1.561 720,539 - 14,895 (3,466) 11,429
2037 11,429 32,518 50,662 7,020 403,462 668,229 1.608 1,074,672 - 624,957 3,182 628,139
2038 628,139 32,518 52,182 - 403,462 874,988 1.656 1,449,405 - 1,621,900 11,250 1,633,150
2039 1,633,150 32,518 53,748 - 2,333,971 437,494 1.706 746,444 - (8,125) 8,125 -
Total 8,329,743 9,247,655 112,746 7,823,416 7,845,000 10,931,348 5,557,610 (69,040)
Note: Numbers may not add due to rounding
Watson & Associates Economists Ltd. PAGE C-16
H:\Pickering\2022 DC and CBC\Report\2022 Development Charges Background Study - City of Pickering - Office Consolidation.docx
Table C-15
Cash Flow Calculation
Library Services
Residential per capita
Development
Related
Expenditures
Development
Related
Expenditures
Development
Related Long-
Te rm Debt
Development
Related Long-
Te rm Debt $686.35 1% / 3%
Year
D.C. Reserve
Fund
Ope ning
Balance
Nominal
Project Cost
Project Cost
Inflated at 3%
Existing Debt
Payments
Debt
Payments for
New Debt
Population
Growth
Per Capita per
Year
Inflate d at
(3%) Starting in
2022
Anticipated
Revenues
Proceeds
from
Issuance of
New Debt
Annual
Surplus/
(De ficit)
D.C. Reserve
Fund
Inte rest
Earnings/
(Cost)
D.C. Reserve
Fund Closing
Balance after
Interest
2022 5,758,555 10,589,718 10,589,718 - 2,573 686.35 1,765,913 10,589,718 7,524,468 66,415 7,590,884
2023 7,590,884 10,684,433 11,004,966 658,306 5,146 706.94 3,637,781 10,907,410 10,472,802 90,318 10,563,121
2024 10,563,121 15,653,522 16,606,821 1,386,043 5,146 728.15 3,746,914 16,246,191 12,563,362 115,632 12,678,994
2025 12,678,994 3,662,458 4,002,067 2,546,797 5,146 749.99 3,859,322 3,581,932 13,571,384 131,252 13,702,636
2026 13,702,636 17,053,183 19,193,508 2,820,256 5,146 772.49 3,975,101 - (4,336,027) 46,833 (4,289,194)
2027 (4,289,194) 94,715 109,801 2,820,256 4,943 795.67 3,932,913 - (3,286,338) (113,633) (3,399,971)
2028 (3,399,971) - - 2,820,256 4,740 819.54 3,884,616 - (2,335,611) (86,034) (2,421,644)
2029 (2,421,644) - - 2,820,256 4,740 844.13 4,001,154 - (1,240,746) (54,936) (1,295,682)
2030 (1,295,682) - - 2,820,256 4,740 869.45 4,121,189 - 5,251 (19,356) (14,105)
2031 (14,105) 94,715 123,582 2,820,256 4,740 895.53 4,244,825 - 1,286,882 6,364 1,293,246
2032 1,293,246 - - 2,820,256 4,694 922.40 4,329,705 - 2,802,695 20,480 2,823,174
2033 2,823,174 - - 2,820,256 4,648 950.07 4,415,858 - 4,418,776 36,210 4,454,986
2034 4,454,986 - - 2,820,256 4,648 978.57 4,548,333 - 6,183,063 53,190 6,236,253
2035 6,236,253 139,270 204,523 2,820,256 4,648 1,007.93 4,684,783 - 7,896,258 70,663 7,966,920
2036 7,966,920 - - 2,820,256 4,648 1,038.17 4,825,327 - 9,971,991 89,695 10,061,686
2037 10,061,686 - - 2,820,256 3,910 1,069.31 4,181,538 - 11,422,968 107,423 11,530,391
2038 11,530,391 - - 2,820,256 3,173 1,101.39 3,494,779 - 12,204,913 118,677 12,323,590
2039 12,323,590 - - 14,184,712 1,587 1,134.43 1,799,811 - (61,311) 61,311 0
Total 57,972,015 61,834,986 - 55,439,187 79,015 69,449,863 41,325,251 740,504
Note: Numbers may not add due to rounding
Watson & Associates Economists Ltd. PAGE C-17
H:\Pickering\2022 DC and CBC\Report\2022 Development Charges Background Study - City of Pickering - Office Consolidation.docx
Table C-16
Cash Flow Calculation
Library Services
Non-Residential Seaton Prestige Employment Land per net ha
Development
Related
Expenditures
Development
Related
Expenditures
Development
Related Long-
Term Debt
Development
Related Long-
Term Debt $6,698.02 1% / 3%
Year
D.C. Reserve
Fund Opening
Balance
Nominal Project
Cost
Project Cost
Inflated at 3%
Existing Debt
Payments
Debt Payments
for New Debt Net Hectares
per net ha per
Year
Inflated at
(3%) Starting in
2022
Anticipated
Revenues
Proceeds from
Issuance of New
Debt
Annual Surplus/
(Deficit)
D.C. Reserve
Fund
Interest Earnings
/(Cost)
D.C. Reserve
Fund Closing
Balance after
Interest
2022 140,367 258,129 258,129 - 4 6,698.017 23,443 258,129 163,810 1,521 165,331
2023 165,331 260,438 268,251 16,046 7 6,898.958 48,293 265,873 195,200 1,803 197,002
2024 197,002 381,562 404,799 33,785 7 7,105.927 49,741 396,008 204,168 2,006 206,174
2025 206,174 89,274 97,552 62,079 7 7,319.104 51,234 87,311 185,087 1,956 187,043
2026 187,043 415,679 467,850 68,745 7 7,538.678 52,771 - (296,781) (1,646) (298,427)
2027 (298,427) 2,309 2,676 68,745 11 7,764.838 83,145 - (286,704) (8,777) (295,481)
2028 (295,481) - - 68,745 11 7,997.783 87,592 - (276,634) (8,582) (285,216)
2029 (285,216) - - 68,745 11 8,237.717 90,219 - (263,742) (8,234) (271,976)
2030 (271,976) - - 68,745 11 8,484.848 92,926 - (247,795) (7,797) (255,592)
2031 (255,592) 2,309 3,012 68,745 11 8,739.393 95,714 - (231,636) (7,308) (238,944)
2032 (238,944) - - 68,745 12 9,001.575 104,843 - (202,846) (6,627) (209,473)
2033 (209,473) - - 68,745 12 9,271.623 114,434 - (163,783) (5,599) (169,382)
2034 (169,382) - - 68,745 12 9,549.771 117,867 - (120,260) (4,345) (124,604)
2035 (124,604) 3,395 4,985 68,745 12 9,836.264 121,403 - (76,931) (3,023) (79,954)
2036 (79,954) - - 68,745 12 10,131.352 125,046 - (23,653) (1,554) (25,207)
2037 (25,207) - - 68,745 16 10,435.293 171,441 - 77,488 261 77,750
2038 77,750 - - 68,745 21 10,748.352 220,507 - 229,512 1,536 231,048
2039 231,048 - - 345,759 10 11,070.802 113,561 - (1,149) 1,149 (0)
Total 1,413,094 1,507,255 - 1,351,355 194 1,764,180 1,007,321 (53,259)
Note: Numbers may not add due to rounding
Watson & Associates Economists Ltd. PAGE C-18
H:\Pickering\2022 DC and CBC\Report\2022 Development Charges Background Study - City of Pickering - Office Consolidation.docx
Table C-17
Cash Flow Calculation
Library Services
Non-Residential per ft²
Development
Related
Expenditures
Development
Related
Expenditures
Development
Related Long-
Term Debt
Development
Related Long-
Term Debt $0.19 1% / 3%
Year
D.C. Reserve
Fund Opening
Balance
Nominal Project
Cost
Project Cost
Inflated at 3%
Existing Debt
Payments
Debt Payments
for New Debt
Sq. Ft. of
Gross Floor
Area
per sq.ft. per
Year
Inflated at
(3%) Starting in
2022
Anticipated
Revenues
Proceeds from
Issuance of New
Debt
Annual Surplus/
(Deficit)
D.C. Reserve
Fund
Interest Earnings
/(Cost)
D.C. Reserve
Fund Closing
Balance after
Interest
2022 162,715 299,225 299,225 - 170,996 0.192 32,891 299,225 195,605 1,792 197,397
2023 197,397 301,901 310,958 18,601 341,992 0.198 67,755 308,201 243,795 2,206 246,001
2024 246,001 442,308 469,245 39,164 341,992 0.204 69,788 459,055 266,434 2,562 268,997
2025 268,997 103,487 113,083 71,963 341,992 0.210 71,882 101,212 257,044 2,630 259,674
2026 259,674 481,857 542,334 79,690 341,992 0.216 74,038 - (288,311) (430) (288,741)
2027 (288,741) 2,676 3,103 79,690 378,767 0.223 84,460 - (287,073) (8,637) (295,711)
2028 (295,711) - - 79,690 415,543 0.230 95,440 - (279,960) (8,635) (288,595)
2029 (288,595) - - 79,690 415,543 0.237 98,303 - (269,982) (8,379) (278,361)
2030 (278,361) - - 79,690 415,543 0.244 101,252 - (256,798) (8,027) (264,825)
2031 (264,825) 2,676 3,492 79,690 415,543 0.251 104,290 - (243,717) (7,628) (251,345)
2032 (251,345) - - 79,690 438,507 0.259 113,355 - (217,680) (7,035) (224,716)
2033 (224,716) - - 79,690 461,471 0.266 122,870 - (181,536) (6,094) (187,630)
2034 (187,630) - - 79,690 461,471 0.274 126,556 - (140,764) (4,926) (145,689)
2035 (145,689) 3,935 5,779 79,690 461,471 0.282 130,352 - (100,806) (3,697) (104,503)
2036 (104,503) - - 79,690 461,471 0.291 134,263 - (49,930) (2,316) (52,246)
2037 (52,246) - - 79,690 668,229 0.300 200,251 - 68,315 80 68,396
2038 68,396 - - 79,690 874,988 0.309 270,077 - 258,784 1,636 260,420
2039 260,420 - - 400,805 437,494 0.318 139,090 - (1,295) 1,296 -
Total 1,638,065 1,747,218 - 1,566,497 7,845,000 2,036,911 1,167,692 (53,603)
Note: Numbers may not add due to rounding
Watson & Associates Economists Ltd. PAGE C-19
H:\Pickering\2022 DC and CBC\Report\2022 Development Charges Background Study - City of Pickering - Office Consolidation.docx
Table C-18
Cash Flow Calculation
Stormwater Management Services
Residential per capita
Development
Related
Expe nditures
Development
Related
Expenditures
Development
Related Long-
Te rm Debt
Development
Related Long-
Te rm Debt $129.10 1% / 3%
Year
D.C. Reserve
Fund
Ope ning
Balance
Nominal
Project Cost
Project Cost
Inflated at 3%
Existing Debt
Payments
Debt
Payments for
New Debt
Population
Growth
Per Capita per
Year
Inflate d at
(3%) Starting in
2022
Anticipated
Revenues
Proceeds
from
Issuance of
New Debt
Annual
Surplus/
(De ficit)
D.C. Reserve
Fund
Inte re st
Earnings/
(Cost)
D.C. Reserve
Fund Closing
Balance after
Interest
2022 420,494 131,264 131,264 - 2,573 129.10 332,172 - 621,402 5,209 626,611
2023 626,611 844,059 869,381 - 5,146 132.98 684,274 - 441,504 5,341 446,845
2024 446,845 844,059 895,463 - 5,146 136.97 704,802 - 256,185 3,515 259,700
2025 259,700 731,947 799,819 - 5,146 141.08 725,946 - 185,827 2,228 188,055
2026 188,055 731,947 823,813 - 5,146 145.31 747,725 - 111,966 1,500 113,466
2027 113,466 731,947 848,528 - 4,943 149.67 739,789 - 4,728 591 5,319
2028 5,319 731,947 873,983 - 4,740 154.16 730,704 - (137,960)(1,990) (139,950)
2029 (139,950) 731,947 900,203 - 4,740 158.78 752,625 - (287,528)(6,412) (293,940)
2030 (293,940) 592,263 750,261 - 4,740 163.55 775,204 - (268,997)(8,444) (277,441)
2031 (277,441) 592,263 772,769 - 4,740 168.45 798,460 - (251,750)(7,938) (259,688)
2032 (259,688) 588,029 790,262 - 4,694 173.51 814,426 - (235,523)(7,428) (242,951)
2033 (242,951) 474,059 656,209 - 4,648 178.71 830,632 - (68,529)(4,672) (73,201)
2034 (73,201) 474,059 675,895 - 4,648 184.07 855,551 - 106,455 166 106,621
2035 106,621 474,059 696,172 - 4,648 189.59 881,217 - 291,666 1,991 293,658
2036 293,658 474,059 717,057 - 4,648 195.28 907,654 - 484,254 3,890 488,144
2037 488,144 474,059 738,569 - 3,910 201.14 786,556 - 536,131 5,121 541,252
2038 541,252 474,059 760,726 - 3,173 207.17 657,375 - 437,901 4,896 442,797
2039 442,797 474,059 783,548 - 1,587 213.39 338,548 - (2,203)2,203 0
Total 10,570,090 13,483,922 - - 79,015 13,063,660 - (233)
Note: Numbers may not add due to rounding
Watson & Associates Economists Ltd. PAGE C-20
H:\Pickering\2022 DC and CBC\Report\2022 Development Charges Background Study - City of Pickering - Office Consolidation.docx
Table C-19
Cash Flow Calculation
Stormwater Management Services
Non-Residential Seaton Prestige Employment Land per net ha
Development
Related
Expenditures
Development
Related
Expenditures
Development
Related Long-
Term Debt
Development
Related Long-
Term Debt $7,233.76 1% / 3%
Year
D.C. Reserve
Fund Opening
Balance
Nominal Project
Cost
Project Cost
Inflated at 3%
Existing Debt
Payments
Debt Payments
for New Debt Net Hectares
per net ha per
Year
Inflated at
(3%) Starting in
2022
Anticipated
Revenues
Proceeds from
Issuance of New
Debt
Annual Surplus/
(Deficit)
D.C. Reserve
Fund
Interest Earnings
/(Cost)
D.C. Reserve
Fund Closing
Balance after
Interest
2022 58,171 18,159 18,159 - 4 7,233.756 25,318 - 65,330 618 65,947
2023 65,947 116,766 120,269 - 7 7,450.769 52,155 - (2,166) 319 (1,847)
2024 (1,847) 116,766 123,877 - 7 7,674.292 53,720 - (72,004) (1,108) (73,112)
2025 (73,112) 101,257 110,646 - 7 7,904.520 55,332 - (128,426) (3,023) (131,449)
2026 (131,449) 101,257 113,965 - 7 8,141.656 56,992 - (188,423) (4,798) (193,221)
2027 (193,221) 101,257 117,384 - 11 8,385.906 89,795 - (220,810) (6,210) (227,020)
2028 (227,020) 101,257 120,906 - 11 8,637.483 94,598 - (253,329) (7,205) (260,534)
2029 (260,534) 101,257 124,533 - 11 8,896.607 97,435 - (287,631) (8,222) (295,854)
2030 (295,854) 81,933 103,790 - 11 9,163.506 100,359 - (299,285) (8,927) (308,212)
2031 (308,212) 81,933 106,904 - 11 9,438.411 103,369 - (311,747) (9,299) (321,046)
2032 (321,046) 81,347 109,324 - 12 9,721.563 113,229 - (317,141) (9,573) (326,713)
2033 (326,713) 65,581 90,779 - 12 10,013.210 123,587 - (293,905) (9,309) (303,214)
2034 (303,214) 65,581 93,502 - 12 10,313.606 127,295 - (269,421) (8,590) (278,011)
2035 (278,011) 65,581 96,307 - 12 10,623.014 131,114 - (243,205) (7,818) (251,023)
2036 (251,023) 65,581 99,197 - 12 10,941.705 135,047 - (215,172) (6,993) (222,165)
2037 (222,165) 65,581 102,173 - 16 11,269.956 185,153 - (139,184) (5,420) (144,604)
2038 (144,604) 65,581 105,238 - 21 11,608.055 238,144 - (11,697) (2,345) (14,042)
2039 (14,042) 65,581 108,395 - 10 11,956.296 122,644 - 207 (208) -
Total 1,462,251 1,865,346 - - 194 1,905,287 - (98,112)
Note: Numbers may not add due to rounding
Watson & Associates Economists Ltd. PAGE C-21
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Table C-20
Cash Flow Calculation
Stormwater Management Services
Non-Residential per ft²
Development
Related
Expenditures
Development
Related
Expenditures
Development
Related Long-
Term Debt
Development
Related Long-
Term Debt $0.21 1% / 3%
Year
D.C. Reserve
Fund Opening
Balance
Nominal Project
Cost
Project Cost
Inflated at 3%
Existing Debt
Payments
Debt Payments
for New Debt
Sq. Ft. of
Gross Floor
Area
per sq.ft. per
Year
Inflated at
(3%) Starting in
2022
Anticipated
Revenues
Proceeds from
Issuance of New
Debt
Annual Surplus/
(Deficit)
D.C. Reserve
Fund
Interest Earnings
/(Cost)
D.C. Reserve
Fund Closing
Balance after
Interest
2022 67,432 21,050 21,050 - 170,996 0.208 35,508 - 81,890 747 82,636
2023 82,636 135,356 139,416 - 341,992 0.214 73,146 - 16,366 495 16,861
2024 16,861 135,356 143,599 - 341,992 0.220 75,341 - (51,397) (518) (51,915)
2025 (51,915) 117,377 128,261 - 341,992 0.227 77,601 - (102,576) (2,317) (104,893)
2026 (104,893) 117,377 132,109 - 341,992 0.234 79,929 - (157,073) (3,929) (161,003)
2027 (161,003) 117,377 136,072 - 378,767 0.241 91,179 - (205,896) (5,503) (211,399)
2028 (211,399) 117,377 140,154 - 415,543 0.248 103,033 - (248,520) (6,899) (255,419)
2029 (255,419) 117,377 144,359 - 415,543 0.255 106,124 - (293,654) (8,236) (301,890)
2030 (301,890) 94,977 120,314 - 415,543 0.263 109,308 - (312,896) (9,222) (322,118)
2031 (322,118) 94,977 123,923 - 415,543 0.271 112,587 - (333,454) (9,834) (343,287)
2032 (343,287) 94,298 126,729 - 438,507 0.279 122,373 - (347,643) (10,364) (358,007)
2033 (358,007) 76,021 105,231 - 461,471 0.287 132,645 - (330,593) (10,329) (340,922)
2034 (340,922) 76,021 108,388 - 461,471 0.296 136,625 - (312,686) (9,804) (322,490)
2035 (322,490) 76,021 111,640 - 461,471 0.305 140,723 - (293,406) (9,238) (302,645)
2036 (302,645) 76,021 114,989 - 461,471 0.314 144,945 - (272,689) (8,630) (281,319)
2037 (281,319) 76,021 118,439 - 668,229 0.324 216,183 - (183,575) (6,973) (190,548)
2038 (190,548) 76,021 121,992 - 874,988 0.333 291,565 - (20,975) (3,173) (24,147)
2039 (24,147) 76,021 125,652 - 437,494 0.343 150,156 - 357 (357) 0
Total 1,695,049 2,162,319 - - 7,845,000 2,198,973 - (104,086)
Note: Numbers may not add due to rounding
Watson & Associates Economists Ltd. PAGE C-22
H:\Pickering\2022 DC and CBC\Report\2022 Development Charges Background Study - City of Pickering - Office Consolidation.docx
Table C-21
Cash Flow Calculation
Growth-Related Studies
Residential per capita
Development
Related
Expenditures
Development
Related
Expenditures
Development
Related Long-
Te rm Debt
Development
Related Long-
Te rm Debt $66.10 1% / 3%
Year
D.C. Reserve
Fund
Ope ning
Balance
Nominal
Project Cost
Project Cost
Inflated at 3%
Existing Debt
Payments
Debt
Payments for
New Debt
Population
Growth
Per Capita per
Year
Inflate d at
(3%) Starting in
2022
Anticipated
Revenues
Proceeds
from
Issuance of
New Debt
Annual
Surplus/
(De ficit)
D.C. Reserve
Fund
Inte rest
Earnings/
(Cost)
D.C. Reserve
Fund Closing
Balance after
Interest
2022 (3,614,645) 360,968 360,968 - 2,573 66.10 170,077 - (3,805,535) (111,303) (3,916,838)
2023 (3,916,838) 146,014 150,395 - 5,146 68.09 350,359 - (3,716,874) (114,506) (3,831,380)
2024 (3,831,380) 506,103 536,925 - 5,146 70.13 360,870 - (4,007,435) (117,582) (4,125,017)
2025 (4,125,017) 146,014 159,554 - 5,146 72.23 371,696 - (3,912,876) (120,568) (4,033,444)
2026 (4,033,444) - - - 5,146 74.40 382,846 - (3,650,598) (115,261) (3,765,858)
2027 (3,765,858) 91,998 106,651 - 4,943 76.63 378,783 - (3,493,726) (108,894) (3,602,620)
2028 (3,602,620) - - - 4,740 78.93 374,132 - (3,228,488) (102,467) (3,330,955)
2029 (3,330,955) 119,974 147,553 - 4,740 81.30 385,356 - (3,093,152) (96,362) (3,189,514)
2030 (3,189,514) - - - 4,740 83.74 396,916 - (2,792,598) (89,732) (2,882,329)
2031 (2,882,329) - - - 4,740 86.25 408,824 - (2,473,505) (80,338) (2,553,843)
2032 (2,553,843) 91,998 123,637 - 4,694 88.84 416,999 - (2,260,482) (72,215) -2,332,697
2033 (2,332,697) - - - 4,648 91.50 425,296 - (1,907,400) (63,601) -1,971,002
2034 (1,971,002) - - - 4,648 94.25 438,055 - (1,532,947) (52,559) -1,585,506
2035 (1,585,506) - - - 4,648 97.07 451,197 - (1,134,309) (40,797) -1,175,106
2036 (1,175,106) - - - 4,648 99.99 464,733 - (710,374) (28,282) (738,656)
2037 (738,656) 91,998 143,330 - 3,910 102.99 402,729 - (479,257) (18,269) (497,526)
2038 (497,526) - - - 3,173 106.08 336,586 - (160,940) (9,877) (170,817)
2039 (170,817) - - - 1,587 109.26 173,342 - 2,525 (2,524) -
Total 1,555,068 1,729,013 - - 79,015 6,688,794 - (1,345,136)
Note: Numbers may not add due to rounding
Watson & Associates Economists Ltd. PAGE C-23
H:\Pickering\2022 DC and CBC\Report\2022 Development Charges Background Study - City of Pickering - Office Consolidation.docx
Table C-22
Cash Flow Calculation
Growth-Related Studies
Non-Residential Seaton Prestige Employment Land per net ha
Development
Related
Expenditures
Development
Related
Expenditures
Development
Related Long-
Term Debt
Development
Related Long-
Term Debt $1,083.27 1% / 3%
Year
D.C. Reserve
Fund Opening
Balance
Nominal Project
Cost
Project Cost
Inflated at 3%
Existing Debt
Payments
Debt Payments
for New Debt Net Hectares
per net ha per
Year
Inflated at
(3%) Starting in
2022
Anticipated
Revenues
Proceeds from
Issuance of New
Debt
Annual Surplus/
(Deficit)
D.C. Reserve
Fund
Interest Earnings
/(Cost)
D.C. Reserve
Fund Closing
Balance after
Interest
2022 (145,612) 14,541 14,541 - 4 1,083.268 3,791 - (156,362) (4,530) (160,892)
2023 (160,892) 5,882 6,059 - 7 1,115.766 7,810 - (159,140) (4,800) (163,940)
2024 (163,940) 20,388 21,629 - 7 1,149.239 8,045 - (177,525) (5,122) (182,647)
2025 (182,647) 5,882 6,427 - 7 1,183.716 8,286 - (180,788) (5,452) (186,240)
2026 (186,240) - - - 7 1,219.228 8,535 - (177,705) (5,459) (183,164)
2027 (183,164) 3,706 4,296 - 11 1,255.805 13,447 - (174,014) (5,358) (179,372)
2028 (179,372) - - - 11 1,293.479 14,166 - (165,205) (5,169) (170,374)
2029 (170,374) 4,833 5,944 - 11 1,332.283 14,591 - (161,727) (4,982) (166,708)
2030 (166,708) - - - 11 1,372.252 15,029 - (151,680) (4,776) (156,455)
2031 (156,455) - - - 11 1,413.419 15,480 - (140,976) (4,461) (145,437)
2032 (145,437) 3,706 4,981 - 12 1,455.822 16,956 - (133,461) (4,183) (137,645)
2033 (137,645) - - - 12 1,499.496 18,507 - (119,137) (3,852) (122,989)
2034 (122,989) - - - 12 1,544.481 19,063 - (103,927) (3,404) (107,330)
2035 (107,330) - - - 12 1,590.816 19,635 - (87,696) (2,925) (90,621)
2036 (90,621) - - - 12 1,638.540 20,224 - (70,398) (2,415) (72,813)
2037 (72,813) 3,706 5,774 - 16 1,687.696 27,727 - (50,860) (1,855) (52,715)
2038 (52,715) - - - 21 1,738.327 35,663 - (17,052) (1,047) (18,099)
2039 (18,099) - - - 10 1,790.477 18,366 - 267 (267) -
Total 62,644 69,651 - - 194 285,320 - (70,057)
Note: Numbers may not add due to rounding
Watson & Associates Economists Ltd. PAGE C-24
H:\Pickering\2022 DC and CBC\Report\2022 Development Charges Background Study - City of Pickering - Office Consolidation.docx
Table C-23
Cash Flow Calculation
Growth-Related Studies
Non-Residential per ft2
Development
Related
Expenditures
Development
Related
Expenditures
Development
Related Long-
Term Debt
Development
Related Long-
Term Debt $0.03 1% / 3%
Year
D.C. Reserve
Fund Opening
Balance
Nominal Project
Cost
Project Cost
Inflated at 3%
Existing Debt
Payments
Debt Payments
for New Debt
Sq. Ft. of
Gross Floor
Area
per sq.ft. per
Year
Inflated at
(3%) Starting in
2022
Anticipated
Revenues
Proceeds from
Issuance of New
Debt
Annual Surplus/
(Deficit)
D.C. Reserve
Fund
Interest Earnings
/(Cost)
D.C. Reserve
Fund Closing
Balance after
Interest
2022 (168,794) 16,856 16,856 - 170,996 0.031 5,316 - (180,334) (5,237) (185,571)
2023 (185,571) 6,818 7,023 - 341,992 0.032 10,952 - (181,642) (5,508) (187,151)
2024 (187,151) 23,634 25,073 - 341,992 0.033 11,280 - (200,943) (5,821) (206,765)
2025 (206,765) 6,818 7,451 - 341,992 0.034 11,619 - (202,597) (6,140) (208,737)
2026 (208,737) - - - 341,992 0.035 11,967 - (196,770) (6,083) (202,853)
2027 (202,853) 4,296 4,980 - 378,767 0.036 13,652 - (194,181) (5,956) (200,137)
2028 (200,137) - - - 415,543 0.037 15,427 - (184,710) (5,773) (190,483)
2029 (190,483) 5,602 6,890 - 415,543 0.038 15,889 - (181,484) (5,579) (187,063)
2030 (187,063) - - - 415,543 0.039 16,366 - (170,697) (5,366) (176,064)
2031 (176,064) - - - 415,543 0.041 16,857 - (159,206) (5,029) (164,236)
2032 (164,236) 4,296 5,774 - 438,507 0.042 18,322 - (151,687) (4,739) (156,426)
2033 (156,426) - - - 461,471 0.043 19,860 - (136,565) (4,395) (140,960)
2034 (140,960) - - - 461,471 0.044 20,456 - (120,504) (3,922) (124,426)
2035 (124,426) - - - 461,471 0.046 21,070 - (103,357) (3,417) (106,773)
2036 (106,773) - - - 461,471 0.047 21,702 - (85,072) (2,878) (87,949)
2037 (87,949) 4,296 6,693 - 668,229 0.048 32,368 - (62,274) (2,253) (64,528)
2038 (64,528) - - - 874,988 0.050 43,654 - (20,874) (1,281) (22,155)
2039 (22,155) - - - 437,494 0.051 22,482 - 327 (327) -
Total 72,618 80,740 - - 7,845,000 329,239 - (79,705)
Note: Numbers may not add due to rounding
Watson & Associates Economists Ltd. PAGE D-3
H:\Pickering\2022 DC and CBC\Report\2022 Development Charges Background Study - City of Pickering - Office Consolidation.docx
Table D-1
Operating and Capital Expenditure Impacts for Future Capital Expenditures
ANNUAL
LIFECYCLE
EXPENDITURES
ANNUAL
OPERATING
EXPENDITURES
TOTAL ANNUAL
EXPENDITURES
1.Other Services Related to a Highway 670,459 943,774 1,614,232
2.Fire Protection Services 1,021,764 13,175,944 14,197,708
3.Parks and Recreation Services 10,083,454 17,351,905 27,435,360
4.Library Services 1,242,579 5,374,431 6,617,010
5.Growth-Related Studies - - -
6.Stormwater Management Services 320,229 294,178 614,407
7.By-Law Enforcement Services 94,382 5,815,231 5,909,613
8.Transportation Services 6,561,929 1,916,605 8,478,534
Total 19,994,797 44,872,068 64,866,865
SERVICE/CLASS
Memorandum
Address Contact Information
Filepath
2233 Argentia Rd.
Suite 301
Mississauga, Ontario
L5N 2X7
Office: 905-272-3600
Fax: 905-272-3602
www.watsonecon.ca H:\Pickering\2022 DC and CBC\Stakeholder Consulation\Memo -
Response to Grimes.docx
To Stan Karwowski, City of Pickering
From Watson & Associates Economists Ltd.
Date June 17, 2022
Re: Comments on Behalf of the Seaton Landowner’s Group
Fax ☐Courier ☐Mail ☐Email ☒
This memorandum has been prepared to respond to the following questions on the City
of Pickering 2022 D.C. Background Study prepared by Randy M. Grimes Enterprises
Ltd. Based on the responses to questions 1 and 2 the City will be releasing an
addendum to the May 11, 2020 D.C. Background Study. The addendum will also
address additional capital revisions identified by City staff.
1.Seaton Residential Absorption/Yield
Please explain the Seaton residential absorption schedule as indicated in Schedule 2
Page, A.4 which approaches a maximum of approximately 1,377+/- units per annum in
light of previous forecasts which anticipated up to 1,750+/- units per annum at a
maximum.
The slow absorption rate will have cash flow (higher interest implications) in the
calculation of the residential development charge quantum.
Further it appears that the growth/mix of units allocated to Seaton of 18,263 for the
period 2002 – 2035 does not correspond exactly with the latest yield information
prepared for the Landowners. This information has been previously shared with WAE as
part of the Region of Durham FIS update.
•The overall growth outlook for Seaton has changed since the last forecast
iteration. The previous forecast did not challenge the assumption that Seaton’s
residential growth target of 61,000 people would be achieved in 2031. Since the
release of this forecast, the growth has not materialized in Seaton at a pace that
could achieve the 61,000 target by 2031. Accordingly, the timing of residential
development has been reassessed which achieves the 61,000 population target
in Seaton by 2039.
•When examining the residential unit mix within the context of the overall
residential unit absorption, the Envision Durham 2022 forecast (i.e. the basis of
the Pickering D.C. growth forecast) anticipates that the demand for apartment
dwellings will be strong across the forecast period to 2039. . These assumptions
Attachment #2 to Report FIN 12-22
Watson & Associates Economists Ltd. PAGE 2
Memo - Response to Grimes
in mix of residential units was informed by development applications in Seaton,
as provided by the Region of Durham. According to development application
data from Durham Region, the residential unit mix in Seaton would comprise of
35% low density, 40% medium density, and 25% high density units.
Comparatively, information provided by the North Pickering Landowners Group
on January 25th reports a residential unit mix of 34% low density, 41% medium
density, and 25% high density Watson received updated residential absorption
assumptions from the North Pickering Landowners Group respecting residential
unit counts on May 4, 2022. This information identifies a unit mix in Seaton of
32% low density, 39% medium density, and 29% high density. This information
was not incorporated in the Pickering D.C. growth forecast due to the timing of
receipt.
•Also informative to the timing of the residential absorption is the available water
servicing capacity for 9,800 SDE Units. Preliminary residential absorption
assumptions from the North Pickering Landowners Group estimates achieving
this threshold by 2027. The Envision Durham 2022 forecast assumes this
threshold is reached by 2029. The Region’s Capital Budget and Forecast
assumes the timing for the expansion of the Ajax WTP to be 2021 Design, 2027
Construction, 2029 assumed completion.
•In accordance with the recent data from the North Pickering Landowners group,
Watson has revised the timing of unit growth by type within Seaton so that high-
density dwellings account for a smaller share of residential development within
the 10-year forecast horizon. In regard to the servicing capacity threshold of
9,800 SDE units, the overall SDE unit growth assumptions in the Pickering D.C.
growth forecast remain unchanged.
•These revisions to the residential development absorption will be reflected in the
forthcoming D.C. Addendum.
2.Seaton – Employment Land Absorption and Mix of Uses
Please explain the absorption rate of prestige employment land in Seaton as included in
the cash flow schedule e.g., Table C-10, Page C-11 where the indicated absorption rate
is 10 ha/per annum or less. Under this scenario not all of the Seaton employment land
is absorbed within the 17 year horizon period in the DC Study. This rate of Seaton
employment land absorption is significantly lower than previous forecasts, and also not
consistent with the recent Dillon Employment Land Study for the City of Pickering which
forecast full absorption of the Seaton employment industry within a 10 - 15-year period -
39 – 51 acres per person.
Again, this slower absorption schedule has cash flow/DC quantum implications.
•The recent Dillon Employment Land Study for the City of Pickering assumes an
absorption of 21 net hectares per year. Assuming a net supply of 224 hectares
(as reported in the Dillion ELS), the full absorption of Seaton will occur in 11
years. While this work utilizes the Region’s MCR work, it makes two high-level
assumptions to arrive at an absorption forecast for Seaton. First it is assumed
Watson & Associates Economists Ltd. PAGE 3
Memo - Response to Grimes
that Southern Durham’s share of forecast Employment Area demand will be 80%
of the Regional forecast, and of this share, Seaton will account for 30% of the
Employment Area land demand. By simply allocating land demand through this
top-down approach, the analysis does not consider the expected employment
yields across Durham Region, based on varying density assumptions by
Employment Area.
•As reported in Table 5-5 of the Dillon Employment Land Study, this absorption
forecast would result in 18,800 jobs between 2019 and 2031. This level of
absorption would result in 60% of all forecast job growth (31,200) on Durham
Region Employment Areas being allocated to Seaton between 2019 and 2031.
Furthermore, with an intensification assumption of 20% on Regional Employment
Area job growth, this absorption forecast would account for 75% of new
Employment Area employment growth (25,000) across Durham Region being
accommodated within Seaton. While the outlook for Seaton is positive, the
assumed absorption within Seaton is overstated in our opinion.
•There has been minimal absorption of the Seaton employment lands to date.
Based on the May 2022 North Pickering Landowners Group absorption/phasing
estimates, only 47.4 gross hectares of employment lands within Seaton are
expected to be absorbed by year-end 2026. Based on a gross-to-net ratio of
75%, this results in a net annual absorption of approximately 7 hectares.
•Based on further discussion with representatives of the North Pickering
Landowners Group Watson has reassessed the annual absorption estimate for
the Seaton employment lands. The buildout of these lands is now forecast to
occur by approximately 2041. Assuming that the pace of absorption in Seaton
increases after the 2026 period as identified by the North Pickering Landowners
Group, the rate of absorption within Seaton would be approximately 7 net
hectares per year to 2026 and 13 net hectares annually between 2026 and 2041.
•These revisions to the non-residential development absorption will be reflected in
the forthcoming D.C. Addendum.
3.Historic Level of Service - Parks and Recreation
Please justify the historic level of service replacement costs for Community
Centres/Senior Recreation Centres at $738 sq ft (Table B-15, Page B17). This is more
than double the replacement cost used in the 2017 DC Study ($291/sq ft) and
significantly higher than other similar jurisdictions.
•The replacement cost for Community Centres/Senior Recreation Centres is
based on the anticipated per sq.ft. cost of the Seniors’ and Youth Centre within
the City Centre development. These replacement costs have been used for
existing Community Centres/Senior Recreation Centres as the replacement of
these facilities would occur at a similar level of service. Furthermore, these
replacement values are similar to recent replacement costs witnessed within the
GTA. For example, the building value for recreation facilities within the Town of
Ajax 2018 D.C. Background Study is $728 per sq.ft. (indexed to 2022 values).
Watson & Associates Economists Ltd. PAGE 4
Memo - Response to Grimes
4.Historic Level of Service – Library Services
Please justify the level of service replacement value for the library buildings (Table B-
16, Page B-18). With the exception of the basement storage facility, the 2022 Study
uses a uniform replacement value of $771/sq ft which is not consistent with the 2017
Background Study where differentiated rates were used. More significantly, the value of
$771/sq ft is substantially higher than the replacement value used with the 2017 Study
($259-$568/sq ft).
•The replacement cost for library buildings is based on the anticipated per sq.ft.
cost of the library facility within the City Centre development. These replacement
costs have been used for existing library facilities as the replacement of these
facilities would occur at a similar level of service. Furthermore, these
replacement values are similar to recent replacement costs witnessed within the
GTA. For example, the building value for library facilities within the Town of
Caledon 2019 D.C. Background Study is $808 per sq.ft. (indexed to 2022
values).
5.Debt Financing Assumption
Can you explain the basis of the assumption for the 20-year debt financing rates
particularly for the years 2025 (4.42%) and 2026 (5.17%)?
•The debt financing assumptions for the 2022-2026 period were developed by the
City for the purposes of their 5-year financial plan prepared in 2021. The interest
rates were forecast to increase over the 5-year period to account for future Bank
of Canada rate increases. Based on the amount and timing of when the long-
term debt would be issued over the 2022-2026 period, the weighted average rate
of interest within the 2022 D.C. Background Study for new long-term debt with a
20-year amortization period is 3.7%. The Region of Durham has recently
provided the City with updated interest rates of 4.45% for a 20-year amortization
period. This would suggest that the City’s debt financing assumptions used in
the 2022 D.C. Background Study are conservative by comparison.
6. Cash Flow Projections
Can you explain the reasoning behind use of the 3% inflation factor for discounting the
outstanding debt at year 2039 rather than using the cost of capital?
•Based on the assumption that debt financing would be issued with a 20-year
amortization period, there would be principal and interest payments beyond 2039
for capital needs that were of a benefit to development within the 2022-2039
forecast period. As such, the payments beyond 2039 have been discounted
within the cashflow D.C. calculation to a 2039 value to recognize the future
indexing of the subsequent debt payments. The discount rate applied is the
assumed rate of annual capital inflation (i.e. 3%) used for indexing the D.C.s.
Watson & Associates Economists Ltd. PAGE 5
Memo - Response to Grimes
The indexing rate has been used for discounting future payments to align the
capital costs with the revenues that would be generated to recover those costs.
•As an alternative to discounting the post-2039 debt payments, the cash flow D.C.
calculation could be revised to show the 2039 reserve fund balance that would
be required to fund these obligations, with annual interest accumulating on the
post 2039 reserve fund balance. The annual interest earned on positive
balances is assumed to be 1% annually in the cash flow calculation. As this rate
is less than the annual discount rate being applied in the 2022 D.C. Background
Study, this alternative approach would require a greater reserve fund balance to
2039 and therefore place further upward pressure on the calculation of the
charge.
7.Accounting for Deferrals/Exemptions
Can you provide information on how the City accounts for the Development Charges
otherwise payable for statutory and discretionary exemptions as well as deferred DCs
that would otherwise be payable?
•The opening reserve balances used in the calculation of the D.C. have been
increased by approximately $2.9 million to account for exemptions to the
payment of D.C.s that have occurred over the period of the last D.C. by-law (i.e.
2018 to 2021).
The Corporation of the City of Pickering
By-law No. 7953/22
Being a By-law Regarding Development Charges
Whereas pursuant to subsection 2(1) of the Development Charges Act, 1997 (the Act), the
council of a municipality may by by-law impose development charges against land to pay for
increased capital costs required due to increased needs for servicing arising from development
of the area to which the By-law applies;
Whereas the Council of The Corporation of the City of Pickering approved the City of Pickering
Development Charge Background Study, dated May 11, 2022, as amended, prepared by Watson
& Associates Economists Ltd;
Whereas the Council has made the Background Study and proposed Development Charges By-
law available to the public at least sixty days prior to by-law passage and two weeks prior to the
public meeting and has given notice in accordance with Section 12 of the Act of its development
charges proposal and a public meeting was held on June 20, 2022;
Whereas the Council has heard all persons who applied to be heard in objection to, or in support
of, the proposed Development Charge By-law at such public meeting, and provided a subsequent
period for written communications to be made;
Whereas the Council in adopting the Development Charge Background Study directed that
development charges be imposed on land under development or redevelopment within the
geographical limits of the municipality as hereinafter provided.
Now therefore the Council of The Corporation of the City of Pickering hereby enacts as follows:
Part I
Application
1.(1)Subject to subsection (2), this By-law applies to all lands whether or not the land or
use is exempt from taxation under Section 3 of the Assessment Act.
(2)This By-law shall not apply to land that is owned by and used forthe purposes of,
(a)a board of education as defined under subsection 1(1) of the Education Act;
(b)any municipality or local board thereof;
(c)the development of a non-residential farm building used for bona fide
agricultural purposes;
Attachment #3 to Report FIN 12-22
By-law No. 7953/22 Page 2
(i)Notwithstanding subsection 2(c) the exemption will not apply to the
development charges calculated with respect to Transportation
Services, Fire Protection Services, and Other Services Related to a
Highway;
(d)a building or structure that is used in connection with a place of worship and is
exempt from taxation under the Assessment Act as a result;
(e)development where:
(i)no additional dwelling units are being created; or
(ii)no additional non-residential gross floor area is being added; or
(f)nursing homes and hospitals.
(g)Land vested in or leased to a university that receives regular and ongoing
operating funds from the government for the purposes of post-secondary
education if the development is intended to be occupied and used by the
university
(3)An owner who has obtained a demolition permit and demolished an existing
dwelling unit or a non-residential building in accordance with the provisions of the
Building Code Act shall not be subject to the development charge under
subsection (1) with respect to the development· being replaced, provided that:
(a)the building permit for the replacement residential units or non-residential
area is issued not more than 5 years after the date of demolition;
(b)the building permit for those properties that do not have municipal services
that include sanitary sewer, storm sewer and watermain for the replacement
residential units or non-residential area is issued not more than 10-years
after the date of demolition;
(c)the applicant has provided proof that the building being demolished was
subject to, and paid a development charge under a prior by-law, or a lot levy
under by-law 3322/89; and
(d)any dwelling units or additional non-residential floor area created in excess
of what was demolished shall be subject to the development charge
calculated under Sections 6 and 11, respectively.
2.(1)Subject to subsection (2), development charges shall apply, and shall be calculated,
paid, and collected in accordance with the provisions of this By-law, in respect of
land to be developed for residential use, non-residential use, or both where the
development requires,
(a)the passing of a zoning by-law or of an amendment to a zoning by-law under
Section 34 of the Planning Act;
(b)the approval of a minor variance under Section 45 of the Planning Act;
By-law No. 7953/22 Page 3
(c)a conveyance of land to which a by-law passed under subsection 50(7) of
the Planning Act, applies;
(d)the approval of a plan of subdivision under Section 51 of the Planning Act;
(e)a consent under Section 53 of the Planning Act;
(f)the approval of a description under Section 50 of the Condominium Act; or
(g)the issuing of a permit under the Building Code Act, in relation to a building
or structure.
(2)Subsection (1) shall not apply in respect of:
(a)local services related to a plan of subdivision or within the area to which the
plan relates, to be installed or paid for by the owner as a condition of
approval under Section 51 of the Planning Act;
(b)local services to be installed or paid for by the owner as a condition of
approval under Section 53 of the Planning Act.
(3)Notwithstanding subsection (1), development charges for rental housing and
institutional developments are due and payable in 6 installments commencing with
the first installment payable on the date of occupancy, and each subsequent
installment, including interest, payable on the anniversary date each year
thereafter.
(4)Notwithstanding subsection (1), development charges for non-profit housing
developments are due and payable in 21 installments commencing with the first
installment payable on the date of occupancy, and each subsequent installment,
including interest, payable on the anniversary date each year thereafter.
(5)Notwithstanding subsections (1) to (4), where the development of land results from
the approval of a Site Plan or Zoning By-law Amendment received on or after
January 1, 2020, and the approval of the application occurred within 2 years of
building permit issuance, the Development Charges under Section 2 shall be
calculated based on the rates set out in Schedule “C” on the date of the planning
application, including interest. Where both planning applications apply,
Development Charges under Section 2 shall be calculated on the rates, including
interest, set out in Schedule “C” on the date of the later planning application.
(6)Interest for the purposes of subsections (3) to (5) shall be determined as set out in
the City of Pickering Development Charge Interest Rate Policy # FIN 09-20, as
amended from time to time.
(7)For the purposes of subsection (3) “institutional development” means development
of a building or structure intended for use:
(a)as a long-term care home within the meaning of subsection 2 (1) of the Long
Term Care Homes Act, 2007;
By-law No. 7953/22 Page 4
(b)as a retirement home within the meaning of subsection 2 (1) of the
Retirement Homes Act, 2010;
(c)by any institution of the following post-secondary institutions for the objects of
the institution:
(i)a university in Ontario that receives direct, regular, and ongoing
operation funding from the Government of Ontario;
(ii)a college or university federated or affiliated with a university
described in subclause (i); or
(iii)an Indigenous Institute prescribed for the purposes of section 6 of the
Indigenous Institute Act, 2017;
(d)as a memorial home, clubhouse, or athletic grounds by an Ontario branch of
the Royal Canadian Legion; or
(e)as a hospice to provide end of life care;
(8)For the purposes of subsection (3) “Rental housing” means development of a
building or structure with four or more dwelling units all of which are intended for
use as rented residential premises;
(9)For the purposes of subsection (4) “Non-profit housing development” means
development of a building or structure intended for use as residential premises by:
(a)a corporation to which the Not-for-Profit Corporations Act, 210 applies, that is
in good standing under that Act and whose primary objective is to provide
housing;
(b)a corporation without share capital to which the Canada Not-for-profit
Corporation Act applies, that is in good standing under that Act and whose
primary objective is to provide housing; or
(c)a non-profit housing co-operative that is in good standing under the Co-
operative Corporations Act;
3.(1)Where two or more of the actions described in subsection 2(1) are required before
land to which a development charge applies can be developed, only one
development charge shall be calculated, paid and collected in accordance with the
provisions of this By-law.
(2)Notwithstanding subsection (1), more than one development charge by-law may
apply to the same area and if two or more of the actions described in subsection
2(1) occur at different times, and if the subsequent action has the effect of
increasing the need for services as designated in Sections 5 and 10, an additional
development charge shall be calculated, paid and collected in accordance with the
provisions of this By-law.
By-law No. 7953/22 Page 5
Part II
Residential Development Charges
4.In this Part,
(a)"apartment building" means a residential building or the residential portion of a
mixed-use building consisting of more than 3 dwelling units, which dwelling units
have a common entrance to grade, but does not include a triplex, duplex, or
townhouse. Notwithstanding the forgoing an Apartment Building includes a
Stacked Townhouse;
(b)“apartment” means a dwelling unit in an apartment building;
(c)“bedroom” means any room used, or designed or intended for use, as sleeping
quarters;
(d)“development charge” means residential development charge;
(e)"dwelling unit" means a room or suite of rooms used, or designed or intended for
use by one person or persons living together, in which culinary and sanitary
facilities are provided for the exclusive use of such person or persons;
(f)"garden suite" means a one-unit detached, temporary residential structure
containing bathroom and kitchen facilities that is ancillary for an existing residential
structure and that is designed to be portable;
(g)"grade" means the average level of finished ground adjoining a dwelling at all
exterior walls;
(h)"gross floor area" means the total floor area, measured between the outside of
exterior walls or between the outside of exterior walls and the centre line of party
walls dividing the building from another building, of all floors above the average
level of finished ground adjoining the building at its exterior walls;
(i)"hospital" means land, buildings or structures used, or designed or intended for
use as defined in the Public Hospitals Act, R.S.O. 1990, c.P.40 as amended;
(j)"Live Work unit" is as defined in the City's zoning by-laws;
(k)"nursing home" means a building owned and operated on a non-profit basis but
excluding any building or part of a building which is comprised of dwelling units;
(l)"residential use" means lands, buildings or structures used, or designed or
intended for use as a home or residence of one or more individuals, and shall
include, but is not limited to, a single detached dwelling, a semi- detached
dwelling, a townhouse, a plex, a stacked townhouse, an apartment building, a
mobile home, a retirement residence and a residential dwelling unit accessory to a
non-residential use;
By-law No. 7953/22 Page 6
(m)"retirement residence" means a residential building or the residential portion of a
mixed-use building which provides accommodation for persons of retirement age,
where common facilities for the preparation and consumption of food are provided
for the residents of the building, and where each unit or living accommodation has
separate sanitary facilities, less than full culinary facilities and a separate entrance
from a common hall;
(n)"retirement residence unit" means a unit within a retirement residence;
(o)"semi-detached dwelling" means one pf a pair of dwelling units attached together
horizontally above or below grade or both above and below grade;
(p)"single-attached dwelling" means one of a group of not less than three adjacent
dwelling units attached together horizontally by above grade common walls;
(q)"single-detached dwelling" means a single dwelling unit which is free-standing,
separate and detached from any other building or structure.
(r)“stacked townhouse” means a building, other than a plex, townhouse, or
apartment building, containing at least 3 dwelling units, each dwelling unit
separated vertically and/or horizontally and each dwelling unit having a separate
entrance to grade;
(s)“townhouse” means a building, other than a plex, stacked townhouse, or
apartment building, containing at least 3 dwelling units, each dwelling unit
separated vertically from the other by a party wall and each dwelling unit having a
separate entrance to grade;
5.Development charges against land to be developed for residential use shall be based upon
the services designated in Schedule "A", which are provided by the City.
6.(1)Subject to the provisions of this Part, development charges against land to be
developed for residential use shall be calculated, paid and collected at the rates per
residential unit set out in Schedule "C";
(2)Residential development located within Seaton lands, as shown in Schedule “B”, is
subject to the Seaton Transportation funding arrangement and not to the
Transportation charge applicable to development in the rest of Pickering;
(3)The development charges imposed on a retirement residence unit under
subsection (1) shall be payable at the rate applicable to an apartment of one
bedroom and smaller;
(4)Development charges against land to be developed for a Live Work unit shall be
subject to the-residential rates.
(5)Notwithstanding this Section, development charges against land to be developed
for residential use, where building permit applications were received prior to July
12, 2022 shall be calculated, paid, and collected at the rates set out in Schedule "D",
provided:
By-law No. 7953/22 Page 7
(a)the permit application is complete in terms of the applicant's submission
requirements set out in the building code and the City's Building By-law;
(b)applicable law approvals prescribed in the building code have been obtained
or applied for; and
(c)the building permit or a conditional building permit is issued for all or part of
the building by August 15, 2022.
7.(1)Subject to subsections (2) and (3), Section 6 shall not apply in respect of a
renovation, addition or installation which involves the creation of:
(a)one or two additional dwelling units in an existing single-detached Dwelling or
ancillary structure thereto, subject to prescribed regulations; or
(b)an additional dwelling unit in any other existing residential building or ancillary
structure thereto, subject to prescribed regulations.
(2)Notwithstanding clause (1)(a) of this Section, development charges shall be
calculated, paid and collected in accordance with Section 6 where the total gross
floor area of the additional unit or units is greater than the total gross floor area of
the existing dwelling unit.
(3)Notwithstanding clause (1)(b) of this Section, development charges shall be
calculated, paid and collected in accordance with Section 6 where the additional
unit has a gross floor area greater than,
(a)in the case of a semi-detached dwelling or single attached dwelling, the gross
floor area of the dwelling unit already in the building; or
(b)in the case of any other residential building; the gross floor area of the
smallest dwelling unit contained in the residential building.
(4)Section 6 shall not apply in respect of the creation of a second dwelling unit in
prescribed classes of proposed new residential buildings, including structures
ancillary to dwellings, subject to the following restrictions:
By-law No. 7953/22 Page 8
Item Name of Class of Proposed New
Residential Buildings
Description of Class of Proposed
New Residential Buildings Restrictions
1 Proposed new detached dwellings
Proposed new residential buildings
that would not be attached to other
buildings and that are permitted to
contain a second dwelling unit, that
being either of the two dwelling units,
if the units have the same gross floor
area, or the smaller of the dwelling
units.
The proposed new detached dwelling
must only contain two dwelling units.
The proposed new detached dwelling
must be located on a parcel of land on
which no other detached dwelling, semi-
detached dwelling or row dwelling would
be located.
2 Proposed new semi-detached
dwellings or row dwellings
Proposed new residential buildings
that would have one or two vertical
walls, but no other parts, attached to
other buildings and that are permitted
to contain a second dwelling unit,
that being either of the two dwelling
units, if the units have the same
gross floor area, or the smaller of the
dwelling units.
The proposed new semi-detached
dwelling or row dwelling must only contain
two dwelling units.
The proposed new semi-detached
dwelling or row dwelling must be located
on a parcel of land on which no other
detached dwelling, semi-detached
dwelling or row dwelling would be located.
3
Proposed new residential buildings
that would be ancillary to a proposed
new detached dwelling, semi-
detached dwelling or row dwelling
Proposed new residential buildings
that would be ancillary to a proposed
new detached dwelling, semi-
detached dwelling or row dwelling
and that are permitted to contain a
single dwelling unit.
The proposed new detached dwelling,
semi-detached dwelling or row dwelling,
to which the proposed new residential
building would be ancillary, must only
contain one dwelling unit.
The gross floor area of the dwelling unit in
the proposed new residential building
must be equal to or less than the gross
floor area of the detached dwelling, semi-
detached dwelling or row dwelling to
which the proposed new residential
building is ancillary.
8.(1)Where non-residential floor area is to be converted to residential space, a charge
shall be paid for any new residential units created, less the amount of the charge
which would be payable if the existing non-residential space being converted were
being constructed, but in no case shall the net charge be less than zero.
(2)Notwithstanding subsection (1), development charge credits for the conversion of
an existing building from one principal use to another will only be provided where
the applicant has provided proof of payment of a development charge under a
previous by-law or a lot levy under by-law 3322/89 with regard to the building to be
converted.
By-law No. 7953/22 Page 9
Part III
Non-Residential Development Charges
9.In this Part,
(a)"agricultural use" means lands, buildings, or structures, excluding any portion
thereof used as a dwelling unit or for a commercial use, used or designed or
intended for use for the purpose of a bona fide farming operation including, but not
limited to, animal husbandry, dairying, livestock, fallow, field crops, removal of sod,
forestry, fruit farming, greenhouses, horticulture, market gardening, pasturage,
poultry keeping, and equestrian facilities;
(b)"development charge'' means non-residential development charge;
(c)"grade" means the average level of finished ground adjoining a building at all
exterior walls;
(d)"existing industrial building" means a building used for or in connection with:
(i)manufacturing, producing, processing, storing, or distributing something;
(ii)research or development in connection with manufacturing, producing, or
processing something;
(iii)retail sales by a manufacturer, producer, or processor of something they
manufactured, produced, or processed, if the retail sales are at the site where
the manufacturing, production or processing takes place; or
(iv)office or administrative purposes if they are:
(1)carried out with respect to manufacturing, producing, processing,
storage or distributing or something, and In or attached to the building
or structure used for that manufacturing, producing, processing,
storage, or distribution;
(2)in or attached to the building or structure used for that manufacturing,
producing, processing, storage, or distribution;
(e)"gross floor area" means the total floor area, measured between the outside of
exterior walls or between the outside of exterior walls and the centre line of party
walls dividing the building from another building, of all floors above the average
level of finished ground adjoining the building at its exterior walls;
(f)"net hectare" means the area in hectares of a parcel of land exclusive of the
following:
(i)lands conveyed or to be conveyed to the City of Pickering or a local board
thereof or the Region or a local board thereof;
(ii)lands conveyed or to be conveyed to the Ministry of Transportation for the
construction of provincial highways;
By-law No. 7953/22 Page 10
(iii)hazard lands conveyed or to be conveyed to a conservation authority as a
condition of development;
(iv)lands identified as "Natural Heritage System" pursuant to the Central Pickering
Development Plan; and
(v)storm water management facility areas;
(g)"non-residential" means designed, adapted, or used for any purpose other than a
dwelling unit or dwelling units, or accessory uses or spaces to a dwelling or
dwellings;
(h)"total floor area" means the sum total of the areas of the floor whether above or
below grade, measured between the exterior faces of the exterior walls of the
building or structure or from the centre line of a common wall separating two uses;
and
(i)includes the area of mezzanine as defined in the Ontario Building Code; and
(ii)excludes those areas used exclusively as mechanical areas or for parking
garages or structures.
10.Development charges against land to be developed for non-residential use shall be based
upon the services designated in Schedule "A", which are provided by the City.
11.(1)Subject to the provisions of this Part, development charges against land to be
developed for non-residential use shall be calculated, paid, and collected at the
rates set out in Schedule "C":
(2)Non-residential development located within Seaton Lands in Schedule B is subject
to the Seaton Transportation funding arrangement and not to the Transportation
charge applicable to development in the rest of Pickering. Further, non-residential
development located within the Seaton Prestige Employment Lands is subject to
the charge per net hectare set out in Schedule "C";
(3)The development charges in subsection (2) shall be calculated based on the
number of net hectares of the entire parcel of land on which development will
occur.
(4)If a development includes the enlargement of the gross floor area of an existing
industrial building, the amount of the development charge that is payable ln
respect of the enlargement will be determined as follows:
(a)if the gross floor area is enlarged by 50 percent or less, the amount of the
development charge in respect of the enlargement is zero; and
(b)if the gross floor area is enlarged by more than 50 percent, the amount of the
development charge in respect of the enlargement is the amount of the
development charge that would otherwise be payable multiplied by the fraction
determined as follows:
By-law No. 7953/22 Page 11
(i)determine the amount by which the enlargement in gross floor area
exceeds 50 percent of the gross floor area lawfully constructed at the
time of building permit application; and
(ii)divide the amount determined under paragraph (i) by the amount of
the enlargement.
(c)for the purposes of calculating the floor area of the existing industrial building,
floor area created by a previous enlargement shall not be included.
(5)Notwithstanding this Section, development charges against land to be developed
for non-residential use, where building permit applications were received prior to
July 12, 2022 shall be calculated, paid, and collected at the rates set out in
Schedule "D", provided:
(a)the permit application is complete in terms of the applicant's submission
requirements set out in the building code and the City's Building By-law;
(b)applicable law approvals prescribed in the building code have been obtained
or applied for; and
(c)the building permit or a conditional building permit is issued for all or part of
the building by August 15, 2022.
12.(1)Where residential floor area is to be converted to non-residential floor area, a
charge shall be paid for any new non-residential space created, less the amount of
the charge which would be payable if the existing residential units being converted
were being constructed, but in no case shall the net charge be less than zero.
(2)Notwithstanding subsection (1), development charge credits for the conversion of
an existing building from one principal use to another will only be provided where
the applicant has provided proof of payment of a development charge under a
prior by-law or a lot levy under by-law 3322/89 with regard to the building to be
converted.
Part IV
Administration
13.Development charges against land to be developed for residential uses, non-residential
uses, or both, shall be calculated, paid, and collected as follows:
(a)development charges against that portion of the land to be developed for
residential use shall be calculated, paid and collected on a per dwelling unit of
residential use basis in accordance with Part II and Schedule "C" of this By-law;
(b)development charges against that portion of the land to be developed for non-
residential use shall be calculated, paid and collected in accordance with Part Ill
and Schedule "C" of this By-law; and
By-law No. 7953/22 Page 12
(c)development charges against land to be developed for both residential and non-
residential uses shall be calculated, paid and collected (in the case of the
residential component, on a per dwelling unit basis), in accordance with Parts II
and III and Schedule “C” of this By-law.
14.(1)Development charges shall be payable in full on the date that the building permit is
issued in relation to a building or structure on land to which a development charge
applies, except as provided in section 2(4) hereof.
(2)No building permits shall be issued by the City for the construction of any building
or structure on land to which a development charge applies until the applicable
development charge has been paid in full to the City.
(3)Where an owner has paid to the City, prior to the enactment of this By-law, in
relation to a building or structure on land to which a development charge applies,
(a)a charge against development pursuant to an obligation to do so in a
subdivision agreement, condominium agreement, development agreement or
other agreement with the City;
(b)a fee as a condition of obtaining a consent to create a lot, other than the
application fee; or
(c)a lot levy pursuant to By-law 3322/89, and the building permit for that building
or structure has not been issued prior to the enactment of this By-law, the
owner shall be credited with the amount so paid, up to the amount of the
development charge payable, as part of the development charge payable
hereunder when the building permit is issued.
15.(1)Monies received from payment of development charges shall be maintained in a separate reserve fund for each service designated in Schedule "A", plus interest earned thereon.
(2)Monies received for the payment of development charges shall be used only in
accordance with the provisions of s.35 of the Act.
(3)The amounts contained in the reserve funds established under this Section shall
be invested, with any income received credited to the development charge reserve
funds in relation to which the investment income applies.
16.(1)The development charges referred to in Sections 6 and 11 shall be adjustedannually, without amendment to this By-law, as of July 1 each year,
(a)The rates in Schedule “C” shall be adjusted annually in accordance with the
change in the index for the most recently available annual period ending
March 31 for the Statistics Canada Non-Residential Building Construction
Price Index for Toronto
(2)The indexed development charges rates effective July 1 each year shall not apply
to permit applications received prior to the July 1 effective date, provided:
By-law No. 7953/22 Page 13
(a)the permit application is complete in terms of the applicant's submission
requirements set out in the Ontario Building Code and the City's Building By-
law;
(b)applicable law approvals prescribed in the Ontario Building Code have been
obtained or applied for; and
(c)the building permit or a conditional building permit is issued for all or part of
the building by the date set out in the Region of Durham’s annual report on the
indexing of Development Charges.
17.Development charges are payable by electric funds transfer or certified cheque at the
applicable rates or as otherwise may be approved by Council.
18.Council may consider allowing a person to perform work that relates to a service to which
this By-law relates and, if it agrees, shall give the person a credit towards the development
charge otherwise payable in exchange for the related work.
19.This By-law shall be administered by the Finance Department and applied by the Chief
Building Official.
20. The following schedules to this by-law form an integral part of this by-law:
Schedule "A" - Designated Municipal Services Under this By-law.
Schedule "B" - City of Pickering and Seaton Lands.
Schedule "C" - Schedule of Development Charges Effective July 12, 2022.
21.This By-law shall come into force and effect at 12:01 am on July 12, 2022 for a term not
to exceed five years from the date it comes into force, unless it is repealed at an earlier
date.
22.By-law No. 7595/17, as amended, shall be repealed as of the date this By-law comes into
force.
By-law passed this 11th day of July, 2022.
________________________________
David Ryan, Mayor
________________________________
Susan Cassel, City Clerk
By-law No. 7953/22 Page 14
Schedule “A” Designated Municipal Services and Classes of Service Under this By-law
(a)Fire Protection Services;
(b)By-law Enforcement Services;
(c)Transportation Services;
(d)Other Services Related to a Highway;
(e)Parks and Recreation Services;
(f)Library Services;
(g)Stormwater Management Services; and
(h)Growth-Related Studies
By-law No. 7953/22 Page 15
Schedule “B” City of Pickering Seaton Lands
By-law No. 7953/22 Page 16
Schedule “C”
City of Pickering Schedule of Development Charges
Effective July 12, 2022
Single and Semi-
Detached Dwelling Other Multiples
Apartments - 2
Bedrooms +
Apartments -
Bachelor and 1
Bedroom
Seaton Prestige
Employment Land
Other Pickering Non-
Residential 2
(per net hectare)(per sq.ft. of Gross
Floor Area)
Municipal Wide Services/Class of Service:
Other Services Related to a Highway 746 575 434 266 11,695 0.34
Fire Protection Services 1,176 906 684 420 18,492 0.53
Parks and Recreation Services 13,273 10,224 7,719 4,737 35,927 1.03
Library Services 2,444 1,883 1,421 872 6,698 0.19
Growth-Related Studies 235 181 137 84 1,083 0.03
Stormwater Management Services 460 354 268 164 7,234 0.21
By-Law Enforcement Services 103 79 60 37 1,564 0.04
Total Municipal Wide Services/Class of Services 18,437 14,202 10,723 6,580 82,693 2.37
Outside of Seaton Lands 1
Transportation Services 13,461 10,369 7,829 4,805 4.73
Total Services Outside of Seaton Lands 13,461 10,369 7,829 4,805 - 4.73
Seaton 18,437 14,202 10,723 6,580 82,693 2.37
Rest of Pickering 31,898 24,571 18,552 11,385 7.10
RESIDENTIAL NON-RESIDENTIAL
2. Does not apply to prestige employment development in Seaton, as that development is subject to the per net Ha land area charge instead.
1. Subject to a separate agreement outside of the Development Charges Act concerning the provision of Transportation requirements in addition to other funding contributions
Service/Class of Service
By-law No. 7953/22 Page 17
Schedule “D”
City of Pickering Schedule of Development Charges
Applicable to Building Permit Applications
Received Prior to July 12, 2022 as per Section 6(5) and 11(5) of this By-law
Single and Semi-
Detached Dwelling Other Multiples Apartments - 2
Bedrooms +
Apartments -
Bachelor and 1
Bedroom
(per net Ha of
Prestige Employment
Land in Seaton)
(per sq.ft. of Gross
Floor Area)
Municipal Wide Services/Classes:
Other Services Related to a Highway 498 403 315 223 6,168 0.18
Fire Protection Services 1,014 820 640 454 13,039 0.37
Parks and Recreation Services 7,720 6,231 4,877 3,456 20,242 0.60
Library Services 1,275 1,030 806 571 3,048 0.09
Growth-Related Studies 338 274 214 151 4,353 0.12
Stormwater Management 326 264 206 146 3,965 0.11
Total Municipal Wide Services/Classes:11,171 9,022 7,058 5,001 50,815 1.47
Outside of Seaton Lands
Transportation 1 10,516 8,490 6,644 4,706 2.96
Total Services Outside of Seaton Lands 10,516 8,490 6,644 4,706 - 2.96
Seaton 11,171 9,022 7,058 5,001 50,815 1.47
Rest of Pickering 21,687 17,512 13,702 9,707 4.43
Service/Class
RESIDENTIAL
1. Subject to a separate agreement outside of the Development Charges Act concerning the provision of Transportation requirements in addition to other funding contributions
2. Does not apply to prestige employment development in Seaton, as that development is subject to the per net Ha land area charge instead.
Attachment #4 to Report FIN 12-22July 12 2022
Seaton Lands
Financial Impact Agreement (FIA) Article 5 **
Per Residential Dwelling Unit by Type Non-Residential Charges
July 1,2021-July 11,
2022
Single and
Semi-
Detached
Dwelling
Apartments
- 2
Bedrooms
+
Apartments -
Bachelor
and 1
Bedroom
Other
Multiples
Non-Residential
per ft² of Total
Floor Area 2
(per net Ha of
Prestige
Employment
Land in
Seaton)
Service Category
Total Soft Services*
Non Indexed:
Municipal Buildings
Community Uses
897
189
300
409
86
137
409
86
137
710
150
238
0.104
n/a
n/a
0.104
n/a
n/a
Total SLG FIA 1,386 632 632 1,098 0.104 0.104
July 12, 2022 - June 30,
2023
Indexed at
17.3%
Total Soft Services*
Non Indexed:
Municipal Buildings
Community Uses
1,052
189
300
480
86
137
480
86
137
833
150
238
0.122
n/a
n/a
0.122
n/a
n/a
Total SLG FIA 1,541 703 703 1,221 0.122 0.122
* This contribution is to be indexed with the construction price index prescribed by the DC Act. Per FIA s4.2
** FIA dated Nov. 26, 2015 subsection 5.1 and 5.2 permits the City to charge an additional charges to compensate
for the 10% soft services deduction.
Watson & Associates Economists Ltd.
905-272-3600
May 20, 2022 (Updated June 23, 2022) info@watsonecon.ca
Attachment #5 to Report FIN 12-22
Community Benefits Strategy
City of Pickering
________________________
For Public Circulation and Comment
Watson & Associates Economists Ltd.
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Table of Contents
Page
Executive Summary ....................................................................................................... i
1.Introduction ...................................................................................................... 1-1
1.1 Purpose of this Document ....................................................................... 1-1
1.2 Legislative Context ................................................................................. 1-2
1.2.1 Bill 197 - COVID-19 Economic Recovery Act, 2020 ................... 1-2
1.3 Current Policies ...................................................................................... 1-4
1.4 Summary of the Process ......................................................................... 1-5
2.Anticipated Development................................................................................ 2-1
2.1 Requirement of the Act ........................................................................... 2-1
2.2 Basis of Population, Household and Employment Forecast ................... 2-1
2.3 Summary of Growth Forecast ................................................................. 2-2
2.4 Land Valuation ...................................................................................... 2-11
3.The Approach to the Calculation of the Charge ........................................... 3-1
3.1 Introduction ............................................................................................. 3-1
3.2 Anticipated Development and Redevelopment ....................................... 3-2
3.3 Services Potentially Involved .................................................................. 3-2
3.4 Increase in the Need for Service ............................................................. 3-2
3.5 Capital Forecast ...................................................................................... 3-3
3.6 Deductions .............................................................................................. 3-3
3.6.1 Reduction for Excess Capacity .................................................. 3-4
3.6.2 Reduction for Benefit to Existing Development .......................... 3-4
3.6.3 Reduction for Anticipated Grants, Subsidies and Other
Contributions .............................................................................. 3-5
3.7 Municipal-wide vs. Area Rating ............................................................... 3-5
3.8 Land Valuation Analysis .......................................................................... 3-6
3.9 Calculation of the Community Benefit Charge ........................................ 3-6
4.C.B.C.-Eligible Cost Analysis ......................................................................... 4-1
Table of Contents (Cont’d)
Page
Watson & Associates Economists Ltd.
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4.1 Introduction ............................................................................................. 4-1
4.2 Allocation of Costs to C.B.C.-eligible Development ................................ 4-1
4.3 C.B.C.-eligible Cost Analysis .................................................................. 4-2
5.C.B.C. Calculation ........................................................................................... 5-1
5.1 Anticipated Funding Recovery ................................................................ 5-1
6.C.B.C. Policy Recommendations and C.B.C. By-law Rules ......................... 6-1
6.1 C.B.C. Policies ........................................................................................ 6-1
6.2 C.B.C. By-law Rules ............................................................................... 6-1
6.2.1 Payment in any Particular Case ................................................. 6-1
6.2.2 Maximum Amount of the Community Benefit Charge ................ 6-2
6.2.3 Exemptions (full or partial) ......................................................... 6-2
6.2.4 Timing of Collection ................................................................... 6-3
6.2.5 In-kind Contributions .................................................................. 6-4
6.2.6 The Applicable Areas ................................................................. 6-4
6.2.7 Special Account ......................................................................... 6-4
6.2.8 Credits ....................................................................................... 6-5
6.2.9 By-law In-Force Date ................................................................. 6-5
6.3 Recommendations .................................................................................. 6-5
7.By-law Implementation ................................................................................... 7-1
7.1 Introduction ............................................................................................. 7-1
7.2 Public Consultation Process ................................................................... 7-1
7.2.1 Required Consultation ............................................................... 7-1
7.2.2 Interested Parties to Consult ...................................................... 7-1
7.3 Implementation Requirements ................................................................ 7-2
7.3.1 Introduction ................................................................................ 7-2
7.3.2 Notice of Passage ...................................................................... 7-2
7.3.3 Appeals ...................................................................................... 7-3
7.3.4 In-Kind Contributions ................................................................. 7-3
7.4 Anticipated Impact of the Charge on Development ................................. 7-5
7.5 Ongoing Application and Collection of C.B.C. funds ............................... 7-5
7.5.1 Introduction ................................................................................ 7-5
7.5.2 Overview of Process and Appraisals ......................................... 7-5
7.5.3 Special Reserve Fund Account .................................................. 7-6
7.6 Transitional Matters ................................................................................ 7-9
7.6.1 Existing Reserves and Reserve Funds ...................................... 7-9
7.6.2 Credits under Section 38 of the Development Charges Act ....... 7-9
7.6.3 Continued Application of Previous Section 37 Rules ................. 7-9
Appendix A Background Information on Residential and Non-Residential
Growth Forecast ............................................................................................. A-1
Table of Contents (Cont’d)
Page
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Appendix B Proposed C.B.C. By-law ...................................................................... B-1
Watson & Associates Economists Ltd.
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List of Acronyms and Abbreviations
Acronym Full Description of Acronym
B.U.A. Built-Up Area
C.B.C.Community Benefits Charge
C-I-L Cash-in-lieu
D.C.Development charge
D.C.A.Development Charges Act, 1997, as amended
N.F.P.O.W.No fixed place of work
OLT Ontairo Land Tribunal
O.Reg.Ontario Regulation
P.P.U.Persons per unit
sq.ft.square foot
sq.m square metre
Executive Summary
Watson & Associates Economists Ltd. PAGE i
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Executive Summary
1. The report provided herein represents the Community Benefits Charge (C.B.C.)
Strategy for the City of Pickering required by the Planning Act, as amended. This
report has been prepared in accordance with the methodology required under the
Planning Act. The contents include the following:
• Chapter 1 –Introduction and overview of the legislative requirements of the
Act;
• Chapter 2 – Summary of the residential and non-residential growth forecasts
for the City;
• Chapter 3 – Approach to calculating the C.B.C.;
• Chapter 4 – Review of eligible capital costs;
• Chapter 5 – Calculation of the C.B.C.;
• Chapter 6 – C.B.C. policy recommendations and rules; and
• Chapter 7 – By-law implementation.
2. The Planning Act is the statutory basis to recover these charges. C.B.C.s can be
imposed to recover the costs for:
• land for parks or other public recreational purposes in excess of lands
conveyed or funded by cash-in-lieu of parkland payments under sections 42
and 51 of the Planning Act;
• capital costs for services under subsection 2 (4) of the Development Charges
Act (D.C.A.) that are not intended to be funded under a development charges
(D.C.) by-law; and
• capital costs for municipal services ineligible for inclusion in a D.C. by-law.
In accordance with the Planning Act, capital costs included under a development
charges by-law or parkland funded through a cash-in-lieu (C.I.L.) of parkland by-
law cannot be recovered from C.B.C.s. Furthermore, the act places restrictions on
the application of the charges, i.e., a C.B.C. may not be imposed with respect to:
• development or redevelopment of fewer than 10 residential units, and in
respect of buildings or structures with fewer than five storeys;
• a building or structure intended for use as a long-term care home;
• a building or structure intended for use as a retirement home;
Watson & Associates Economists Ltd. PAGE ii
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• a building or structure intended for use by a university, college, or an
Indigenous Institute;
• a building or structure intended for use as a memorial home, clubhouse or
athletic grounds by an Ontario branch of the Royal Canadian Legion;
• a building or structure intended for use as a hospice to provide end-of-life
care; or
• not-for-profit housing.
3. O. Reg. 509/20 specifies that a maximum charge of 4% of the value of land at the
time of building permit issuance may be imposed. A municipality must undertake a
C.B.C. strategy and follow the required public procedure to enact and C.B.C. by-
law. The C.B.C. by-law is appealable to the Ontario Land Tribunal (OLT).
4. The methodology is detailed in Chapter 4; a simplified summary is provided below.
1) Identify amount, type and location of eligible growth.
2) Identify servicing needs to accommodate growth.
3) Identify capital costs to provide services to meet the needs.
4) Deduct:
• Excess capaicty;
• Grants, subsidies and other contributions; and
• Benefit to existing development.
5) Net costs are then allocated between eligible and ineligible development
types.
6) Net costs compared to 4% of land value to inform the amount of the charge
i.e. rationalize if the maximum C.B.C. rate can be imposed.
5. The City is undertaking a C.B.C. public process and anticipates passing a new by-
law on July 11, 2022. A stakeholder consultation meeting was held on June 1,
2022 to consult with the development industry stakeholders and receive input on
the matter followed by a public meeting of Council on the matter on June 20, 2022.
6. The growth forecast (Chapter 2) on which the City-wide C.B.C. is based, projects
80% of the population in high density developments will live in C.B.C.-eligible units.
Average land values of $3.9 million per hectare were determined based on
historical appraisals received for C.I.L. of parkland purposes. Based on the
Watson & Associates Economists Ltd. PAGE iii
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anticipated number of C.B.C. eligible dwelling units and assumed density, a total
forecast land value of $321.9 million was esitmated.
Residential High
Density
Gross Residential
Population Growth
% of Gross
Population in High-
Density Units
Eligible High Density 14,423 80%
Ineligible High Density 3,595 20%
Total Residential
High-Density
Forecast
18,018 100%
7.The study considered needs relating to Arts, Culture, and Museum Services,
Animal Adoption Services, and Adminstration Services. The study also considered
costs relating to parkland acquistion beyond what can be conveyed under the
Planning Act, however, the CIty will be further examing those needs before
considering their inclusion in a future C.B.C. strategy and by-law.
In total, the gross capital costs of the needs being considered in the C.B.C. is
$101.3 million of which the C.B.C. eligible cost is $7.4 million
8.Table ES-1 summarizes the calculation of the C.B.C. The C.B.C. calculation
shows a maximum amount of 2.3% of land value would be necessary to fund the
increase in need for services. It is recommended that the charge be implemented
on a per unit basis, consistent with the City’s D.C. structure for apartments of 2
bedrooms and greater and 1 bedroom and bachelor. The per unit charge structure
will also assist with the ease of administration and implementation of the charges.
The proposed C.B.C. would be $1,070 per unit for apartments of two bedrooms
and greater and $657 for less than one bedroom and bachelor apartment units.
Watson & Associates Economists Ltd. PAGE iv
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Table ES-1
Summary of Growth-Related Capital Costs
9.Considerations by Council – This Strategy represents the service needs arising
from growth over the forecast period and the costs that can be recovered from
C.B.C.s.
Council will consider the findings and recommendations provided in the report and,
in conjunction with public input, approve such policies and rate it deems
appropriate. These directions will refine the draft C.B.C. by-law which is appended
in Appendix B. These decisions may include:
•adopting the charges and policies recommended herein; and
•considering additional exemptions to the by-law.
Benefit to
Existing
Development
Grants,
Subsidies and
Other
Contributions
Attributable to
New
Development
Non-C.B.C.
Eligible Share
C.B.C. Eligible
Share
Arts, Culture, and Museum Services 80,727,932 44,846,824 1,980,057 28,022,240 5,878,810
Animal Adoption Services 2,831,400 459,590 2,038,443 333,368
Administration Services 17,746,000 9,780,669 6,725,449 1,239,882
A Total 101,305,332 55,087,083 1,980,057 36,786,132 7,452,060
B Anticipated C.B.C. Residential Dwelling Units (2022-2039)8,144
C Density Assumption (units per hectare)100
D (B/C)Land Area for Residential Dwelling Unit Forecast (hectares)81
E Estimated Average Land Value ($/hectare)3,952,000
F (D*E)Total Estimated Land Value 321,850,880
G (F*4%)Maximum Prescribed Value (4% of Land)12,874,035
H (A/F)Total C.B.C. Required to Fund Needs (% of Land Value)2.3%
Total Proposed C.B.C.
I Gross Population in New C.B.C. Eligible Development 14,423
J (A/I)Cost Per Capita 517
By Residential Unit Type P.P.U.
Apartments - 2 Bedrooms +2.071 1,070
Apartments - Bachelor and 1 Bedroom 1.271 657
Less:Growth-Related Capital Cost
Gross Capital
Cost Estimate
(2022$)
Description
Report
Watson & Associates Economists Ltd.
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Chapter 1
Introduction
Watson & Associates Economists Ltd. PAGE 1-1
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1. Introduction
1.1 Purpose of this Document
This strategy report has been prepared pursuant to the requirements of the Planning
Act, 1990, (section 37) and, accordingly, recommends the imposition of a Community
Benefits Charge (C.B.C.) and associated policies for the City of Pickering (City).
The City retained Watson & Associates Economists Ltd. (Watson), to undertake the
C.B.C. strategy process. Watson worked with City staff preparing the C.B.C. analysis
and policy recommendations contained within this strategy.
The C.B.C. strategy report, containing the proposed C.B.C. by-law, will be distributed to
members of the public to provide interested parties the background information on the
legislation, the recommendations contained herein, and an outline of the basis for these
recommendations.
This report has been prepared, in the first instance, to meet the statutory requirements
applicable to the City’s C.B.C. strategy, as summarized in Chapter 3. It also addresses
the requirement for “rules” (contained in Chapter 6) and the proposed by-law to be
made available as part of the approval process (included as Appendix C).
In addition, the report is designed to set out sufficient background on the legislation
(Chapter 3) and the policies underlying the proposed by-law, to make the exercise
understandable to those who are involved.
Finally, the report addresses post-adoption implementation requirements (Chapter 7)
which are critical to the successful application of the new policy.
The chapters in the strategy report are supported by Appendices containing the data
required to explain and substantiate the calculation of the charge. A full discussion of
the statutory requirements for the preparation of a strategy and calculation to support
the C.B.C. rate is provided herein.
Watson & Associates Economists Ltd. PAGE 1-2
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1.2 Legislative Context
1.2.1 Bill 197 - COVID-19 Economic Recovery Act, 2020
The COVID-19 Economic Recovery Act received Royal Assent on July 21, 2020.
Schedule 17 of the Act amends the Planning Act with respect to the provisions of
community benefits and parkland dedication. These amendments were proclaimed and
came into effect on September 18, 2020. Municipalities with agreements for community
benefits have two years after the date of proclamation (i.e., September 18, 2022) to
transition to the new rules under s.37 of the Planning Act. Eligible municipalities also
have the ability to impose a C.B.C. under this authority.
Single-tier and lower-tier municipalities may adopt a by-law to impose a C.B.C. against
land to pay for the capital costs of facilities, services and matters required because of
development or redevelopment in the area to which the by-law applies. The capital
costs to be recovered through a C.B.C. may include:
•land for parks or other public recreational purposes in excess of lands conveyed
or funded by cash-in-lieu of parkland payments under sections 42 and 51 of the
Planning Act;
•capital costs for services under subsection 2 (4) of the D.C.A. that are not
intended to be funded under a D.C. by-law; and
•capital costs for municipal services ineligible for inclusion in a D.C. by-law.
There are restrictions on the application of the charges. A C.B.C. may be imposed only
with respect to development or redevelopment that requires:
•the passing of a zoning by-law or of an amendment to a zoning by-law under
section 34;
•the approval of a minor variance under section 45;
•a conveyance of land to which a by-law passed under subsection 50 (7) applies;
•the approval of a plan of subdivision under section 51;
•a consent under section 53;
•the approval of a description under section 9 of the Condominium Act, 1998; or
•the issuing of a permit under the Building Code Act, 1992 in relation to a building
or structure.
Watson & Associates Economists Ltd. PAGE 1-3
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As discussed later, the regulations limit the charge relative to the value of land at the
time of building permit issuance thus, imposing the charge at the time of development
requiring the issuance of a building permit would be prudent.
The Planning Act limits the imposition of the C.B.C. to certain types of development.
Under subsection 37 (3), a C.B.C. may not be imposed with respect to:
• development or redevelopment of fewer than 10 residential units, and in respect
of buildings or structures with fewer than five storeys;
• a building or structure intended for use as a long-term care home;
• a building or structure intended for use as a retirement home;
• a building or structure intended for use by a university, college, or an Indigenous
Institute;
• a building or structure intended for use as a memorial home, clubhouse or
athletic grounds by an Ontario branch of the Royal Canadian Legion;
• a building or structure intended for use as a hospice to provide end-of-life care;
or
• not-for-profit housing.
Before adopting a C.B.C. by-law a municipality must prepare a C.B.C. Strategy that
identifies the facilities, services and matters that will be funded with the charges. The
municipality must consult with such persons and public bodies as the municipality
considers appropriate while preparing the Strategy. Further, Ontario Regulation 509/20
specifies the methodology that must be followed in the Strategy. This includes:
1. An estimate of the anticipated amount, type and location of development and
redevelopment with respect to which community benefits charges will be
imposed;
2. Estimates of the increase in the need for facilities, services and matters
attributable to the anticipated development and redevelopment to which the
C.B.C. by-law would relate;
3. For the facilities, services, and matters included above, an identification of
excess capacity and estimates of the benefit to existing development;
4. Estimates of the capital costs necessary to provide the facilities, services and
matters; and
Watson & Associates Economists Ltd. PAGE 1-4
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5.Identification of any capital grants, subsidies and other contributions made to the
municipality or that the council of the municipality anticipates will be made in
respect of the capital costs.
Once the by-law is passed, the municipality must give notice of passage in accordance
with the regulations and the by-law may be appealed to the Ontario Land Tribunal (OLT)
within 40 days of by-law passage.
The amount of the charge can not exceed an amount equal to the prescribed
percentage of the value of the land on the date of building permit issuance. At present,
the prescribed value is set by regulation at 4% of land value. Moreover, if the
landowner is of the view that the amount of the C.B.C. exceeds the prescribed value,
the landowner may pay the charge under protest. In this circumstance there is an
obligation of the landowner to provide an appraisal. If the municipality disputes the
value of the land identified in the landowner’s appraisal, the municipality must also
provide the owner with an appraisal within the prescribed time period. Moreover, there
is a requirement that the municipality maintains a registry of at least three land
appraisers.
A municipality may allow the landowner to provide in-kind contributions towards the
facilities, services or matters in lieu of paying a C.B.C.
Revenue collected under a C.B.C. by-law must be maintained in a special account and
used for the purposes that the charge was imposed. A municipality must report on the
activity of the special account annually.
1.3 Current Policies
Historically, the City has imposed charges related to community benefits under the prior
Planning Act section 37 provisions. The charges were typically levied to provide for
park improvements and other community services in response to increased
intensification and density allowances. At the time of writing, all financial commitments
relating to prior section 37 agreements have been fulfilled.
Watson & Associates Economists Ltd. PAGE 1-5
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1.4 Summary of the Process
Prior to passing a C.B.C. by-law, subsection 37 (10) of the Planning Act requires the
City to consult with the public and such persons and public bodies as the City considers
appropriate. As such, a meeting has been set for June 1, 2022 with representatives
from the development industry to present the strategy and allow for feedback on the
strategy. The meeting is also being held to present the strategy’s purpose, approach,
and proposed C.B.C. by-law.
Figure 1-1 provides an outline of the schedule to be followed with respect to the C.B.C.
strategy and by-law adoption and implementation process.
Figure 1-1
City of Pickering
Schedule of Key Dates in the C.B.C. Strategy Process
Item Date
1. Data collection, land valuation analysis,
growth forecast development, capital
needs assessment
December 2021 to April 2022
2. Presentation of draft and final CBC
calculations and policies to City Staff,
study process, and preliminary growth
projections to Development Industry
Stakeholders
April 2022 to May 2022
3. Release of C.B.C. Strategy Report and
proposed by-law May 20, 2022
4. Presentation of CBC Strategy and by-law
to Development Industry Stakeholders June 1, 2022
5. Public Meeting of Council June 20, 2020
6. Updated C.B.C. Strategy Report and
proposed by-law June 23, 2022
7. Council considers adoption of C.B.C.
strategy and passage of by-law July 11, 2022
8. Notice given of by-law passage No later than 20 days after passage
9. Last day for by-law appeal 40 days after passage
Watson & Associates Economists Ltd.
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Chapter 2
Anticipated Development in
the City of Pickering
Watson & Associates Economists Ltd. PAGE 2-1
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2. Anticipated Development
2.1 Requirement of the Act
Chapter 3 provides the methodology for calculating a C.B.C. as per the Planning Act.
Figure 3-1 presents this methodology schematically. It is noted in the first box of the
schematic that in order to determine the C.B.C. that may be imposed, it is a requirement
of subsection 37 (9) of the Planning Act and O. Reg. 509/20 that “the anticipated
amount, type and location of development and redevelopment, for which a C.B.C. can
be imposed, must be estimated.”
The growth forecast contained in this chapter (with supplemental tables in Appendix A)
provides for the anticipated development for which the City will be required to provide
services over a 17-year (mid-2022 to mid-2039) time horizon.
2.2 Basis of Population, Household and Employment
Forecast
The C.B.C. growth forecast has been derived by Watson. The growth forecast provided
herein builds on growth assumptions established in the Durham Region Growth
Management Strategy (ongoing) and the Region of Durham Regional Transit
Development Charge Background Study (2022). In addition to the Regional
Development Charge Background Study, the following information sources were
consulted:
• City of Pickering Official Plan (Edition 8);
• Durham Region Growth Management Strategy Technical Reports (2021);
• 2006, 2011 and 2016 population, household and employment Census data;
• 2021 population and household Census data;
• Historical residential and non-residential building permit data over the 2012 to
2021 period;
• Residential supply opportunities as provided by the City of Pickering; and
• Discussions with City staff regarding anticipated residential and non-residential
development in the City of Pickering, and specifically the Seaton Community.
Watson & Associates Economists Ltd. PAGE 2-2
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2.3 Summary of Growth Forecast
A detailed analysis of the residential and non-residential growth forecasts is provided in
Appendix A and the methodology employed is illustrated in Figure 2-1. The discussion
provided herein summarizes the anticipated growth for the City and describes the basis
for the forecast. The results of the residential growth forecast analysis are summarized
in Table 2-1 below, and Schedule 1 in Appendix A.
As identified in Table 2-1 and Appendix A, Schedule 1, permanent population in
Pickering is anticipated to reach approximately 189,200 by mid-2039, resulting in an
increase of approximately 82,100 persons, respectively over the longer-term forecast
period.1 2
1 The population figures used in the calculation of the 2022 D.C. include the net Census
undercount, which is estimated at approximately 3.8%.
2 The 2031 Region of Durham Official Plan population target of 225,670 for Pickering,
less the growth allocation for Northeast Pickering of approximately 36,500 persons,
results in an Official Plan population target for Pickering of 189,200 by Mid-2039.
Watson & Associates Economists Ltd. PAGE 2-3
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Figure 2-1
Household and Population Forecast Model
Watson & Associates Economists Ltd. PAGE 2-4
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Table 2-1
City of Pickering
Residential Growth Forecast Summary
Population Institutional
Population4
Population
Excluding
Institutional
Population
Singles &
Semi-
Detached
Multiple
Dwellings2 Apartments3 Other Total
Households
91,160 87,838 573 87,265 20,255 4,850 3,085 25 28,215 3.113
92,080 88,721 806 87,915 20,744 5,381 3,190 15 29,330 3.025
95,240 91,771 776 90,995 21,130 6,060 3,695 30 30,915 2.968
102,940 99,186 839 98,347 22,425 6,805 4,165 30 33,425 2.967
107,100 103,191 876 102,315 22,774 7,622 4,559 30 34,985 2.950
189,200 182,297 1,314 180,983 31,908 18,001 14,733 30 64,672 2.819
920 883 233 650 489 531 105 -10 1,115
3,160 3,050 -30 3,080 386 679 505 15 1,585
7,700 7,415 63 7,352 1,295 745 470 0 2,510
4,160 4,005 37 3,968 349 817 394 0 1,560
82,100 79,106 438 78,668 9,134 10,379 10,174 0 29,687
¹ Census undercount estimated at approximately 3.8%. Note: Population including the undercount has been rounded.
² Includes townhouses and apartments in duplexes.
³ Includes bachelor, 1-bedroom and 2-bedroom+ apartments.
4 Institutional includes special care facilities such as nursing home or residences for senior citizens.
Mid 2006 - Mid 2011
Mid 2011 - Mid 2016
Mid 2006
Mid 2011
Mid 2016
Mid 2022
Mid 2021 - Mid 2022
Hi
s
t
o
r
i
c
a
l
Mid 2039Fo
r
e
c
a
s
t
In
c
r
e
m
e
n
t
a
l
Mid 2021
Mid 2016 - Mid 2021
Population
(Including
Census
Undercount)¹
Year
Excluding Census Undercount Housing Units Person Per Unit
(P.P.U.): Total
Population/
Total
Households
Source: Derived from Durham Region Growth Management Strategy (ongoing) and the Region of Durham Regional Transit Development Charge Background Study (2022), by Watson & Associates
Economists Ltd., 2022.
Mid 2022 - Mid 2039
Note: The 2031 Official Plan population target of 225,670, less the growth allocation for Northeast Pickering of approximately 36,500 persons, results in an Official Plan population target of 189,200 by
Mid 2039
Watson & Associates Economists Ltd. PAGE 2-5
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Figure 2-2
City of Pickering
Annual Housing Forecast[1]
Source: Building permit data from 2011 to 2013 and 2021 from Statistics Canada. Building permits between 2014 and 2020 from the City of Pickering. Figure by Watson & Associates Economists Ltd., 2022.
1 Growth forecast represents calendar year.
283
425
303
379 346
540
1,262
510
573
1,560
1,925 1,925 1,925 1,925
1,805 1,805 1,805 1,805 1,805
1,660 1,660 1,660 1,660 1,660
1,544 1,544 1,544
0
500
1,000
1,500
2,000
2,500
Ho
u
s
i
n
g
U
n
i
t
s
Years
Historical Low Density Medium Density High Density Historical Average
Watson & Associates Economists Ltd. PAGE 2-6
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Provided below is a summary of the key assumptions and findings regarding the City of
Pickering C.B.C. growth forecast:
1.Housing Unit Mix (Appendix A – Schedules 1 and 5)
•The housing unit mix for the City was derived from the Region of Durham
Regional Transit Development Charge Background Study (2022)
•Based on the above indicator, the longer-term household growth forecast for the
City is comprised of a unit mix of 31% low density units (single-detached and
semi-detached), 35% medium density (multiples except apartments) and 34%
high density (bachelor, 1-bedroom and 2-bedroom apartments).
2.C.B.C.-Eligible Units
•Subsection 37 (4) of the Planning Act establishes the criteria for a development
to be C.B.C. eligible. A C.B.C. may be imposed if:
o Development of a proposed building or structure has five or more storeys
at or above ground and has 10 or more residential units;
o Redevelopment of an existing building or structure that will have five or
more storeys at or above ground after redevelopment and proposes to
add 10 or more residential units to an existing building or structure; or
o Such types of development or redevelopment as prescribed. 2020, c. 18,
Sched. 17, section 1.
•The C.B.C.-eligible unit forecast is derived based on the established criteria
above and a detailed review of historical Census housing trends, historical
development activity (as per Schedule 5), active residential development
applications and discussions with City staff regarding anticipated C.B.C.-eligible
developments.
•Based on the above indicators, the City is forecast to accommodate 8,144
C.B.C.-eligible household units over the 17-year forecast period. This translates
to 80% of all high-density units, including accessory apartments, being C.B.C.
eligible from mid-2022 to mid-2039. Table 2-2 and Schedule 2 summarizes the
anticipated amount, type, and location of development for the City by
development location.
3.Geographic Location of C.B.C.-Eligible Residential Development (Appendix A –
Schedule 2)
Watson & Associates Economists Ltd. PAGE 2-7
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• Schedule 2 summarizes the anticipated amount, type, and location of
C.B.C.-eligible development by area for the City.
• In accordance with forecast demand and available land supply, the
amount and percentage of forecast C.B.C.-eligible housing growth
between mid-2022 and mid-2039 by development location is summarized
in Table 2-2.
Table 2-2
City of Pickering
Residential High-Density Growth by Development Area
Development Location
Total High-
Density
Housing
Growth,
mid-2022 to
mid-2039[1]
C.B.C.-
Eligible
Share
C.B.C.-
Eligible
Housing
Growth,
mid-2022 to
mid-2039
Seaton 4,871 80% 3,897
Rest of Pickering 5,303 80% 4,247
Total City of Pickering 10,174 80% 8,144
[1] High density includes accessory apartments, bachelor, 1-bedroom and 2-bedroom+
apartments.
Source: Watson & Associates Economists Ltd.
4. Planning Period
• A 17-year planning horizon has been used, recognizing the anticipated timing of
when the current Regional Official Plan population target for Pickering for 2031
would be achieved.
5. Population in New Units (Appendix A – Schedules 3 and 4)
• The number of new housing units to be constructed in the City of Pickering
during the 17-year planning period is presented in Figure 2-2. Over the 17-year
forecast period, the City is anticipated to average 1,746 new housing units per
year.
Watson & Associates Economists Ltd. PAGE 2-8
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•Institutional population 1 is anticipated to increase by approximately 440 people
between 2022 and 2039.
•Population in new units is derived from Schedules 3 and 4, which incorporate
historical development activity, anticipated units (see unit mix discussion) and
average persons per unit (P.P.U.) by dwelling type for new units.
•Schedule 6 summarizes the average P.P.U. assumed for the new housing units
by age and type of dwelling based on a 2016 custom Census data for the City of
Pickering. The total calculated P.P.U. for all density types represents a 25-year
forecast average. Average P.P.U.s by dwelling type are as follows:
o Low density:3.561
o Medium density: 2.743
o High density 2:1.771
6.Existing Units and Population Change (Appendix A – Schedules 3 and 4)
•Existing households for mid-2022 are based on the 2021 Census households,
plus estimated residential units constructed in 2021, assuming a 6-month lag
between construction and occupancy (see Schedule 3).
•The decline in average occupancy levels for existing housing units is calculated
in Schedules 3 to 4, by aging the existing population over the forecast period.
The forecast population decline in existing households over the 2022 to 2039
forecast period is approximately 350.
7.Employment (Appendix A – Schedule 7)
•The employment projections provided herein are derived from the Region of
Durham Regional Transit Development Charge Background Study (2022) and
based on the activity rate method, which is defined as the number of jobs in a
City divided by the number of residents. Key employment sectors include
primary, industrial, commercial/population-related, institutional, and work at
home, which are considered individually below.
1 Institutional includes special care facilities such as nursing home or residences for
senior citizens. A P.P.U. of 1.100 depicts 1-bedroom and 2- or more bedroom units in
these special care facilities.
2 Includes bachelor, 1-bedroom and 2- or more bedroom apartments.
Watson & Associates Economists Ltd. PAGE 2-9
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• 2016 employment data 1 (place of work) for the City of Pickering is outlined in
Schedule 10a. The 2016 employment base is comprised of the following sectors:
o 140 primary (less than 1%);
o 3,225 work at home employment (10%);
o 11,840 industrial (36%);
o 12,670 commercial/population related (39%); and
o 4,885 institutional (15%).
• The 2016 employment by usual place of work, including work at home, is
approximately 32,760. An additional 4,690 employees have been identified for
the City in 2016 that have no fixed place of work (N.F.P.O.W.).2
• Total employment, including work at home and N.F.P.O.W. for the City is
anticipated to reach approximately 70,700 by mid-2039. This represents an
employment increase of approximately 30,450 over the forecast period.3
• Schedule 7, Appendix A, summarizes the employment forecast, excluding work
at home employment and N.F.P.O.W. employment, which is the basis for the
C.B.C. employment forecast. The impact on municipal services from work at
home employees has already been included in the population forecast. The
need for municipal services related to N.F.P.O.W. employees has largely been
included in the employment forecast by usual place of work (i.e., employment
and gross floor area generated from N.F.P.O.W. construction employment).
• Total employment for the City of Pickering (excluding work at home and
N.F.P.O.W. employment) is anticipated to reach approximately 55,450 by mid-
2039. This represents an employment increase of approximately 23,680 over the
forecast period.
Based upon the above information, the following summaries are provided for use in the
calculations presented in chapter 4, as follows:
1 2016 employment is based on Statistics Canada 2016 Place of Work Employment
dataset by Watson & Associates Economists Ltd.
2 No fixed place of work is defined by Statistics Canada as "persons who do not go from
home to the same work place location at the beginning of each shift". Such persons
include building and landscape contractors, travelling salespersons, independent truck
drivers, etc.
3 The 2031 Official Plan employment target of 71,800 is forecast to be achieved after
2039. An additional 4,900 jobs would be assumed for Northeast Pickering, in
accordance with the Official Plan.
Watson & Associates Economists Ltd. PAGE 2-10
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• The services to be provided are either of a primarily residential benefit and have
been allocated a nominal 5% non-residential cost share or are of a benefit to
both residential and non-residential development and have been allocated a 23%
non-residential cost share (Table 2-3).
• Of the residential portion of the costs, 23% of the population is forecast to reside
in high-density residential units (Table 2-4).
• Of those whose reside in high density residential units, 80% are forecast to
reside in units to which the C.B.C. may be imposed (Table 2-5).
Table 2-3
Residential and Non-Residential Growth Share Based on Incremental Growth in
Population and Employment Over the Mid-2022 to Mid-2039 Forecast Period
Residential Population and Non-Residential
Employment Growth
Population/
Employment
Growth
Residential/
Non-
Residential
Growth %
Residential Net Population Growth 78,668 77%
Employment Growth (net of Work at Home &
N.F.P.O.W.) 23,680 23%
Total Population & Employment Growth 102,348 100%
Table 2-4
Low/Medium-Density Growth and High-Density Growth Share
Over the Mid-2022 to Mid-2039 Forecast Period
Residential Density Gross Residential
Population Growth
% of Gross Population
in New Units
Low/Medium Density 60,996 77%
High Density 18,018 23%
Total Residential Forecast 79,014 100%
Watson & Associates Economists Ltd. PAGE 2-11
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Table 2-5
C.B.C. Eligible and Ineligible High-Density Growth Share
Over the Mid-2022 to Mid-2039 Forecast Period
Residential High Density Gross Residential
Population Growth
% of Gross Population
in High-Density Units
Eligible High Density 14,423 80%
Ineligible High Density 3,595 20%
Total Residential High
Density Forecast 18,018 100%
2.4 Land Valuation
As the C.B.C. rate is applied against the value of land the day before a building permit is
issued, average land values are required to be assessed in various locations throughout
the City where the anticipated development and redevelopment is anticipated. These
land values assist in calculating the eligible C.B.C. rate, which can not exceed the
maximum 4% prescribed rate.
Table 2-2 demonstrates that the majority of the forecast C.B.C.-eligible high-density
development will be located outside of the Seaton Lands. Average land values for this
area were estimated based on the City’s historical cash-in-lieu parkland appraisals of
$3.95 million per hectare. Based on an assumed density of 100 units per hectare this
development would produce an equivalent land valuation of $321.9 million (8,144units /
100 units per hectare = 81.44 hectares x $3.95 million/hectare).
Watson & Associates Economists Ltd.
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Chapter 3
Approach to the Calculation
Watson & Associates Economists Ltd. PAGE 3-1
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3. The Approach to the Calculation of the Charge
3.1 Introduction
This chapter addresses the requirements of subsection 37 (9) of the Planning Act and
sections 2 and 3 of O. Reg. 509/20 with respect to the establishment of the need for
service which underpins the C.B.C. calculation. These requirements are illustrated
schematically in Figure 3-1.
Figure 3-1
The Process of Calculating a Community Benefits Charge under the Planning Act
Anticipated
Development &
Redevelopment 1.
Estimated Increase in Need for Service
C.B.C. Eligible Capital Costs By Service
Less: Excess Capacity
Less: Benefit To Existing Development
Less: Grants, Subsidies and Other Contributions
C.B.C. By-law
Spatial
Applicability
Net Costs Recoverable
from C.B.C. Charge
Amount of the
Charge
Financing and
Investment
Considerations
3.
6.
7.
10.
13.
8.
9.
4.
5.
Analysis of Municipal Services & Needs 2.
Eligible Services/
Needs
Ineligible Services/
Needs
Tax Base, User
Rates, etc.
A.Historical s. 37
Capital Services
B.Non-D.C.-Eligible
Services
C.Parkland Development in Excess of What is Provided Through Parkland Dedication/C.I.L.
C.B.C. Maximum
Allowable Amount Test
(4% of Land Value)11.
Land Valuation
Analysis
D.Possible D.C.-Eligible Services Not Included in the D.C.
C.B.C.-Eligible Growth
12.
Watson & Associates Economists Ltd. PAGE 3-2
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3.2 Anticipated Development and Redevelopment
The anticipated development and redevelopment forecast is provided in chapter 2 (with
supplemental tables in Appendix A). This chapter provides for the anticipated overall
growth within the City over a 17-year (mid-2022 to mid-2039) time horizon and then
estimates the residential units eligible to be considered as per subsection 37 (4) of the
Planning Act.
3.3 Services Potentially Involved
As per subsection 37 (5) of the Planning Act, a C.B.C. may be imposed for services that
do not conflict with services or projects provided under a municipality’s D.C. by-law or
parkland dedication by-law. Hence, the service provided under the C.B.C. would be
defined as follows:
(a) land for parks or other public recreational purposes in excess of lands conveyed
or funded by cash-in-lieu of parkland payments under sections 42 and 51 of the
Planning Act;
(b) capital costs for services under subsection 2 (4) of the D.C.A. that are not
intended to be funded under a D.C. by-law; and
(c) capital costs for municipal services ineligible for inclusion in a D.C. by-law.
Examples of services not provided by a D.C. or Parkland Dedication by-law include (but
are not limited to) capital facilities and equipment for municipal parking, airports,
municipal administration building expansions, museums, arts centres, public art,
heritage preservation, landfill, public realm improvements, community gardens, space
for non-profits, etc.
3.4 Increase in the Need for Service
The C.B.C. calculation commences with an estimate of “the increase in the need for
service attributable to the anticipated development,” for eligible services to be covered
by the by-law. There must be some form of link or attribution between the anticipated
development and the estimated increase in the need for service. While the need could
Watson & Associates Economists Ltd. PAGE 3-3
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potentially be expressed generally in terms of units of capacity, a project-specific
expression of need would appear to be most appropriate.
3.5 Capital Forecast
Subsection 37 (2) of the Planning Act provides that, “The council of a local municipality
may by by-law impose C.B.C.s against land to pay for the capital costs of facilities,
services and matters.” The Act does not define what capital costs may be included
within the charge. The Act provides that the C.B.C. charge could include capital costs
for eligible D.C. services that are not intended to be funded under a municipal D.C. by-
law. This provision suggests that capital costs may be defined in an equivalent manner
as the Development Charges Act (D.C.A.). Hence, based on this relationship with the
D.C.A., capital costs may include:
(a)costs to acquire land or an interest therein (including a leasehold interest);
(b)costs to improve land;
(c)costs to acquire, lease, construct or improve buildings and structures;
(d)costs to acquire, lease or improve facilities, including rolling stock (with a useful
life of 7 or more years), furniture and equipment (other than computer
equipment), materials acquired for library circulation, reference, or information
purposes;
(e)interest on money borrowed to pay for the above-referenced costs;
(f)costs to undertake studies in connection with the above-referenced matters; and
(g)costs of the C.B.C. Strategy study.
3.6 Deductions
The section 2 of O. Reg. 509/20 potentially requires that three deductions be made to
the capital costs estimates. These relate to:
•excess capacity;
•benefit to existing development; and
Watson & Associates Economists Ltd. PAGE 3-4
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•anticipated grants, subsidies, and other contributions.
The requirements behind each of these reductions are addressed below.
3.6.1 Reduction for Excess Capacity
Subsection 2 (c) of O. Reg. 509/20 requires the identification of the excess capacity that
exists in relation to the facilities, services and matters referred to in clause 2 (b)
suggesting the need for a potential deduction to the capital. “Excess capacity” is
undefined, but in this case, the excess capacity must be able to meet some or all of the
increase in need for service, in order to potentially represent a deduction. The
deduction of excess capacity from the future increase in the need for the service would
normally occur as part of the conceptual planning and feasibility work associated with
justifying and sizing new facilities, e.g., if a new landfill site to accommodate increased
solid waste generated by the new growth is not required because sufficient excess
capacity is already available, then a landfill site expansion would not be included as an
increase in need, in the first instance.
3.6.2 Reduction for Benefit to Existing Development
Subsection 2 (c) of O. Reg. 509/20 of the D.C.A. provides that the capital estimates
identify extent to which an increase in a facility, service or matter referred to in clause 2
(b) of the regulation would benefit existing development. The general guidelines used
to consider benefit to existing development included:
•the repair or unexpanded replacement of existing assets;
•the elimination of a chronic servicing problem not created by growth; and
•providing services where none previously existed (for example, extending
garbage pickup to the rural area which previously did not receive the municipal
services).
Where existing development has an adequate service level which will not be tangibly
increased by an increase in service, no benefit would appear to be involved. For
example, where expanding existing garbage collection vehicles for future development
simply replicates what existing residents are receiving, the existing developments
receive very limited (or no) benefit as a result.
Watson & Associates Economists Ltd. PAGE 3-5
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In the case of services such as cultural facilities, the service is typically provided on a
municipal-wide system basis. For example, facilities of the same type may provide
different services (i.e., visual art vs. performance art), different programs (i.e., art
classes vs. acting classes), and different time availability for the same service (i.e., art
classes available on Wednesdays in one facility and Thursdays in another). As a result,
residents will travel to different facilities to access the services they want at the times
they wish to use them, and facility location generally does not correlate directly with
residence location. Even where it does, displacing users from an existing facility to a
new facility frees up capacity for use by others and generally results in only a very
limited benefit to existing development. Further, where an increase in demand is not
met for a number of years, a negative service impact to existing development is
involved for a portion of the planning period.
3.6.3 Reduction for Anticipated Grants, Subsidies and Other
Contributions
This step involves reducing the capital costs by capital grants, subsidies, and other
contributions made or anticipated by Council and in accordance with various rules such
as the attribution between the share related to new vs. existing development. That is,
some grants and contributions may not specifically be applicable to growth or where
Council targets fundraising as a measure to offset impacts on taxes.
Although specific grants, subsidies and/or other contributions may not be currently
identified and reduced in the calculations, due diligence will be undertaken by municipal
staff during the annual budget process to net off any future identified funding from these
other sources.
3.7 Municipal-wide vs. Area Rating
This step involves determining whether all the subject costs are to be recovered on a
uniform municipal-wide basis or whether some or all are to be recovered on an area-
specific basis. There is no mandatory requirement to consider area rating of services
(i.e., providing charges for specific areas and services); however, the legislation does
not prohibit area rating. There may be instances where Council may consider varying
rates to align with other policies or possible incentives in the development area.
Watson & Associates Economists Ltd. PAGE 3-6
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Through the C.B.C. strategy process, discussions with municipal staff took place related
to structuring the charge on a municipal-wide vs. area specific basis. As the services
being provided in the strategy are not restricted to one specific area and are anticipated
to be used by all residents within the municipality, the charges have been provided on a
municipal-wide basis. Although the charges are to be calculated and imposed on a
municipal-wide basis, consideration of location of the projects will take place through the
annual budget process.
3.8 Land Valuation Analysis
To facilitate the rate calculation provided in section 3.9, an estimate of the market value
of the land related to the anticipated applicable development/redevelopment presented
in section 3.2, needs to be undertaken. It is noted that the land values may vary based
on a number of factors including location, zoning density, parcel size, etc., however,
these values should estimate the land value the day before building permit issuance.
This data may be available from municipal resources, or the municipality may consider
engaging the assistance of a professional land appraiser.
3.9 Calculation of the Community Benefit Charge
Subsection 37 (32) of the Planning Act provides that the amount of the Planning Act
provides that the maximum charge which can be imposed is prescribed by the
regulations. O. Reg. 509/20, section 3, provides that the maximum charge is to be 4%.
To calculate the rate, the net capital cost (as provided by netting the deductions set out
in section 3.6 from the capital presented in section 3.5) are divided by the land values
related to the anticipated applicable development/redevelopment. This calculation
produces a percentage of the capital cost relative to the land value of development.
This rate can not exceed the maximum prescribed rate of 4% of land value.
Alternatively, a municipality may choose to impose a rate on another basis. For
example, the charge could be calculated on a per dwelling unit basis similar to a
development charge (D.C.). This calculation would be facilitated by dividing the net
capital cost by the forecast incremental gross population growth to arrive at a C.B.C. per
capita. This rate would then be applied to the person per unit occupancy assumptions
for high-density residential dwelling units to determine the charge. Moreover, the
Watson & Associates Economists Ltd. PAGE 3-7
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charge could be denominated based on land area, where the net capital costs would be
divided by the amount of land anticipated to be occupied by the forecast residential
dwelling units constructed over the forecast period.
Watson & Associates Economists Ltd.
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Chapter 4
C.B.C.-Eligible Cost Analysis
Watson & Associates Economists Ltd. PAGE 4-1
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4.C.B.C.-Eligible Cost Analysis
4.1 Introduction
This chapter outlines the basis for calculating eligible costs to be recovered through a
C.B.C. by-law, which are to be applied on a uniform municipal-wide basis. In each
case, the required calculation process set out in O. Reg. 509/20 subsections 2 (a)
through 2 (f) to the Planning Act and described in Chapter 3 was followed in determining
C.B.C.-eligible costs.
In undertaking the C.B.C. Strategy, following services was considered:
•Anticipated capital costs of parkland acquisition beyond those available under the
provisions of the Planning Act;
•Administrative Services, including growth-related studies not eligible under the
D.C.A. and corporate services technology;
•Animal Adoptions Services; and
•Arts, Culture, and Museum Services
While the City does anticipate capital costs of parkland acquisition beyond those
available under the provisions of the Planning Act, the City will be undertaking a parks
needs assessment in the near future to better understand those requirements before
including those costs for recovery in a C.B.C. Strategy.
4.2 Allocation of Costs to C.B.C.-eligible Development
To determine the C.B.C.-eligible capital costs for the City, the gross capital costs were
estimated based on the City’s capital budget and forecast and discussions with City
staff. Having estimated the capital costs for each project, deductions related to excess
capacity, benefit to existing development, and grants, subsidies, or other contributions
were assessed. The resultant net growth-related costs were then allocated to the
C.B.C.-eligible share of the anticipated development based on the following:
•Net capital costs for Animal Adoptions Services and Administrative Services
were apportioned between residential (77%) and non-residential development
(23%) based on the incremental population and employment growth over the
Watson & Associates Economists Ltd. PAGE 4-2
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forecast period (Table 2-3). The net capital costs for Arts, Culture, and Museum
Services were allocated 95% residential development and 5% non-residential
development, reflective of the increase in need for service from these types of
development. This allocation approach between residential and non-residential
development is consistent with the City’s practice within its D.C. background
study.
• The net capital costs associated with residential development were subsequently
allocated between low-density and medium-density development types (77%)
and high-density development (23%) over the forecast period, based on the
respective population growth forecast for these dwelling unit types (Table 2-4).
• Finally, the net capital costs assigned to high-density development were
apportioned to the C.B.C.-eligible development, i.e., buildings with a minimum of
five storeys and at least 10 residential dwelling units. As summarized in Table 2-
5, this type of development accounts for 80% of all high-density residential
dwelling units over the forecast period.
Based on the foregoing, for services allocated between the total population and
employment growth over the forecast period, the net capital cost share attributable to
C.B.C.-eligible development is 14.6%. For Arts, Culture, and Museum Services, the
cost share attributable to C.B.C.-eligible development is approximately 16.3%. The
costs related to undertaking the C.B.C. Strategy Study are 100% attributable to the
C.B.C.-eligible development.
4.3 C.B.C.-eligible Cost Analysis
This section provides for the evaluation of development-related capital requirements
over a 2022 to 2039 planning horizon. The capital cost related to the increase in need
for service are summarized in Table 4-1 and as follows:
• Arts, Culture, and Museum Services – The City’s capital budget identifies a
new Performing Arts Centre as part of the City Centre development and
Museum space within the Pickering Heritage and Community Centre. Further
additional costs for Public Art have also been included. The gross capital costs
of these projects totals $80.7 million. $44.8 million has been deducted for the
benefit to existing development and $2.0 has been deducted for possible grants,
subsidies and other contributions towards the capital costs, resulting in $33.9
Watson & Associates Economists Ltd. PAGE 4-3
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million net growth-related costs. After accounting for the benefit of these needs
to non-residential development (i.e. $1.7 million), low/medium density residential
development (i.e. $24.9 million), and ineligible high density residential
development (i.e. $1.5 million), the potential C.B.C. recoverable costs total $5.9
million.
•Administration Services – The City’s Capital Budget and Forecast identify
growth related study costs that are not eligible for inclusion within the D.C.
background study, costs of undertaking the C.B.C. strategy and future updates,
corporate services technology costs related to the City’s financial system, and
growth-related renovations to the Civic Complex. The total costs of the needs
are $17.7 million. After deducting the share of the costs that are a benefit to
existing development and non-CBC eligible development, $1.2 million has been
considered within the calculation of the charge.
•Animal Adoption Services – The City is constructing a new Animal shelter that
will primarily be utilized in relation to municipal by-law enforcement but will also
contain space related to Animal Adoptions Services. The share of the capital
costs related to Animal Adoptions Services is $2.8 million. Of those costs,
$459,600 has been deducted as benefit to existing development based on the
replacement of the existing animal adoptions facility space. Of the growth-
related costs of $2.4 million, $333,400 is related to the CBC eligible
development after accounting for the non-residential share and non-CBC eligible
residential share of the growth-related costs.
Based on the calculations and allocations to C.B.C.-eligible high-density growth, the
City has identified $7.4 million in eligible net growth-related costs to be included within
the C.B.C. calculations.
Watson & Associates Economists Ltd. PAGE 4-4
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Table 4-1
Capital Costs to be Recovered through Community Benefit Charges
Total Low / Medium
Density Residential
Total High Density
Residential
Ineligible High
Density Residential
Eligible High
Density Residential
2022-2039 % $ % $77%23%20%80%
Arts, Culture, and Museum Services
1 Performing Arts Centre 66,422,932 36,899,961 29,522,971 5% 1,476,149 95% 28,046,823 21,651,090 6,395,733 1,276,129 5,119,604
2
Museum
(Part of Pickering Heritage and Community Centre)10,555,000 5,863,624 1,980,057 2,711,319 5% 135,566 95% 2,575,753 1,988,384 587,369 117,197 470,172
3 Public Art 3,750,000 2,083,239 - 1,666,761 5%83,338 95% 1,583,423 1,222,343 361,080 72,046 289,034
Total - Arts, Culture, and Museum Services 80,727,932 44,846,824 1,980,057 33,901,051 1,695,053 32,205,998 24,861,816 7,344,182 1,465,371 5,878,810
Animal Adoption Services
4 Animal Shelter - Adoption Space 2,831,400 459,590 2,371,810 23% 545,516 77% 1,826,294 1,409,830 416,464 83,096 333,368
Total - Animal Adoption Services 2,831,400 459,590 - 2,371,810 545,516 1,826,294 1,409,830 416,464 83,096 333,368
Administration Services
5 Community Benefits Strategy (2022)35,000 - 35,000 0%- 100% 35,000 - 35,000 35,000
6 Community Benefit Strategy (2027)35,000 - 35,000 0%- 100% 35,000 - 35,000 35,000
7 Community Benefit Strategy (2032)35,000 - 35,000 0%- 100% 35,000 - 35,000 35,000
8 Community Benefit Strategy (2037)35,000 - 35,000 0%- 100% 35,000 - 35,000 35,000
9 South Pickering Heritage Inventory 62,600 34,776 27,824 23%6,399 77% 21,424 16,539 4,886 975 3,911
10
Community Improvement Plans for Durham Live Lands and for
City Centre Lands 174,000 96,662 77,338 23% 17,788 77% 59,550 45,970 13,580 2,710 10,870
11 Seaton Corporate Energy Plan Update 58,000 32,221 25,779 23%5,929 77% 19,850 15,323 4,527 903 3,623
12 Pickering Climate Adaption Plan 174,000 96,662 77,338 23% 17,788 77% 59,550 45,970 13,580 2,710 10,870
13 Natural Capital Asset Evaluation 87,000 48,331 38,669 23%8,894 77% 29,775 22,985 6,790 1,355 5,435
14 Fair Minded Pricing Policy 70,400 39,109 31,291 23%7,197 77% 24,094 18,600 5,494 1,096 4,398
15
Geographic Information Systems (GIS) Corporate Strategic
Plan: 89,000 49,442 39,558 23%9,098 77% 30,459 23,514 6,946 1,386 5,560
16
New Financial System -SAP HR System-Recruiting &
Onboard Module-Phs 2 480,000 266,655 213,345 23% 49,069 77% 164,276 126,815 37,461 7,475 29,987
17
New Financial System - SAP HR System-Learning Mgmt
Module-Phs 3 290,000 161,104 128,896 23% 29,646 77% 99,250 76,617 22,633 4,516 18,117
18 New Financial System-SAP Fleet Module 475,000 263,877 211,123 23% 48,558 77% 162,565 125,494 37,071 7,397 29,674
19 New Financial System-SAP Budget & Salary Module 600,000 333,318 266,682 23% 61,337 77% 205,345 158,519 46,826 9,343 37,483
20 Integrated Community Sustainability Plan 35,000 19,444 15,556 23%3,578 77% 11,978 9,247 2,732 545 2,187
21 Measuring Sustainability Report 41,000 22,777 18,223 23%4,191 77% 14,032 10,832 3,200 638 2,561
22 5-year Capital and Operating Cost Financial Impact Analysis 35,000 19,444 15,556 23%3,578 77% 11,978 9,247 2,732 545 2,187
23 Civic Complex Rennovations 14,935,000 8,296,847 - 6,638,153 23% 1,526,775 77% 5,111,378 3,945,791 1,165,587 232,567 933,019
Total - Administration Services 17,746,000 9,780,669 - 7,965,331 1,799,826 6,165,505 4,651,463 1,514,042 274,160 1,239,882
Total 101,305,332 55,087,083 1,980,057 44,238,192 4,040,395 40,197,797 30,923,109 9,274,688 1,822,628 7,452,060
Prj.
No
Potential C.B.C. Recoverable Cost
Residential ShareNon-Residential
Share
Net Growth-Related Cost Net Residential Cost Share
Increased Service Needs Attributable to Anticipated
Development
Gross Capital
Cost Estimate
(2022$)
Less:
Benefit to
Existing
Development
Grants, Subsidies
and Other
Contributions
Attributable to New
Development
Watson & Associates Economists Ltd.
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Chapter 5
C.B.C. Calculation
Watson & Associates Economists Ltd. PAGE 5-1
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5. C.B.C. Calculation
5.1 Anticipated Funding Recovery
To summarize the calculation of the charge, the following has been undertaken:
1) Anticipated Development: As presented in Chapter 2, the 17-year growth
forecast provides for 8,144 eligible high-density units (i.e., in buildings containing
a minimum of five storeys and a minimum of 10 residential units).
2) Land Valuation: Estimated land values were based on land appraisals for
payment in lieu of parkland.
3) Identification of a Services: A number of services were considered including
Arts, Culture, and Museum, Animal Adoptions, and Administration Services.
4) C.B.C.-eligible Costs: Capital needs related to the identified services were
provided by City staff and through the City’s capital budget. Gross costs of the
capital projects were assessed for the portion of the projects that would benefit
the existing community versus the future growth. The growth-related costs were
then allocated amongst all types of growth to calculate the amount that is
associated with the C.B.C.-eligible high-density units.
5) Total Land Value: Based on the growth forecast (section 2.4), density
assumptions, and land valuation assessment, the total land value for C.B.C.-
eligible high-density units was calculated to equal approximately $321.9 million.
6) Maximum C.B.C.: As per the Planning Act, the maximum a municipality can
impose for a C.B.C. is equal to 4% of the land value of a property, the day before
building permit issuance. Based on the total land value, the estimated maximum
potential C.B.C. recovery for the City equates to $12.9 million for the 17-year
forecast period.
The City has identified capital costs attributable to eligible high-density growth of $7.4
million which are within the calculated maximum allowable amount of $12.9 million.
Watson & Associates Economists Ltd. PAGE 5-2
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Table 5-1 provides the calculated charges on a per unit basis. The calculation is
generated on a per capita basis and is based upon two forms of housing types
(apartments 2+ bedrooms and apartments bachelor and 1-bedroom). The per unit
charge structure aligns with the City’s D.C. structure for apartment dwelling units and
will assist with the ease of administration and implementation of the charges. The
proposed C.B.C. would be $1,070 per unit for apartments of two bedrooms and greater
and $657 for less than one bedroom and bachelor apartment units.
Table 5-1
Summary of C.B.C. Calculation
Benefit to
Existing
Development
Grants,
Subsidies and
Other
Contributions
Attributable to
New
Development
Non-C.B.C.
Eligible Share
C.B.C. Eligible
Share
Arts, Culture, and Museum Services 80,727,932 44,846,824 1,980,057 28,022,240 5,878,810
Animal Adoption Services 2,831,400 459,590 2,038,443 333,368
Administration Services 17,746,000 9,780,669 6,725,449 1,239,882
A Total 101,305,332 55,087,083 1,980,057 36,786,132 7,452,060
B Anticipated C.B.C. Residential Dwelling Units (2022-2039)8,144
C Density Assumption (units per hectare)100
D (B/C)Land Area for Residential Dwelling Unit Forecast (hectares)81
E Estimated Average Land Value ($/hectare)3,952,000
F (D*E)Total Estimated Land Value 321,850,880
G (F*4%)Maximum Prescribed Value (4% of Land)12,874,035
H (A/F)Total C.B.C. Required to Fund Needs (% of Land Value)2.3%
Total Proposed C.B.C.
I Gross Population in New C.B.C. Eligible Development 14,423
J (A/I)Cost Per Capita 517
By Residential Unit Type P.P.U.
Apartments - 2 Bedrooms +2.071 1,070
Apartments - Bachelor and 1 Bedroom 1.271 657
Less:Growth-Related Capital Cost
Gross Capital
Cost Estimate
(2022$)
Description
Watson & Associates Economists Ltd.
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Chapter 6
C.B.C. Policy
Recommendations and C.B.C.
By-law Rules
Watson & Associates Economists Ltd. PAGE 6-1
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6.C.B.C. Policy Recommendations and C.B.C. By-
law Rules
6.1 C.B.C. Policies
Planning Act, section 37 and O. Reg. 509/20 outline the required policies that must be
considered when adopting a C.B.C. by-law. The following subsections set out the
recommended policies governing the calculation, payment and collection of C.B.C.s in
accordance with the legislation.
6.2 C.B.C. By-law Rules
6.2.1 Payment in any Particular Case
In accordance with the Planning Act, subsection 37 (3), a C.B.C. may be imposed only
with respect to development or redevelopment that requires one of the following:
(a)“the passing of a zoning by-law or of an amendment to a zoning by-
law under section 34 of the Planning Act;
(b)the approval of a minor variance under section 45 of the Planning
Act;
(c)a conveyance of land to which a by-law passed under subsection 50
(7) of the Planning Act applies;
(d)the approval of a plan of subdivision under section 51 of the Planning
Act;
(e)a consent under section 53 of the Planning Act;
(f)the approval of a description under section 9 of the Condominium
Act, 1998; or
(g)the issuing of a permit under the Building Code Act, 1992 in relation
to a building or structure.”
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6.2.2 Maximum Amount of the Community Benefit Charge
Subsection 37 (32) of the Planning Act states that the amount of a C.B.C. payable in
any particular case shall not exceed an amount equal to the prescribed percentage of
the value of the land as of the valuation date.
Based on section 3 of O. Reg. 509/20, the prescribed percentage is 4%.
6.2.3 Exemptions (full or partial)
The following exemptions are provided under subsection 37 (4) of the Planning Act and
section 1 of O. Reg. 509/20:
•Development of a proposed building or structure with fewer than five storeys at or
above ground;
•Development of a proposed building or structure with fewer than 10 residential
units;
•Redevelopment of an existing building or structure that will have fewer than five
storeys at or above ground after the redevelopment;
•Redevelopment that proposes to add fewer than 10 residential units to an
existing building or structure;
•Such types of development or redevelopment as are prescribed:
o Development or redevelopment of a building or structure intended for use
as a long-term care home within the meaning of subsection 2 (1) of the
Long-Term Care Homes Act, 2007.
o Development or redevelopment of a building or structure intended for use
as a retirement home within the meaning of subsection 2 (1) of the
Retirement Homes Act, 2010.
o Development or redevelopment of a building or structure intended for use
by any of the following post-secondary institutions for the objects of the
institution:
i.a university in Ontario that receives direct, regular and ongoing
operating funding from the Government of Ontario,
ii.a college or university federated or affiliated with a university
described in subparagraph i,
iii.an Indigenous Institute prescribed for the purposes of section 6 of
the Indigenous Institutes Act, 2017.
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o Development or redevelopment of a building or structure intended for use
as a memorial home, clubhouse or athletic grounds by an Ontario branch
of the Royal Canadian Legion.
o Development or redevelopment of a building or structure intended for use
as a hospice to provide end-of-life care.
o Development or redevelopment of a building or structure intended for use
as residential premises by any of the following entities:
i. a corporation to which the Not-for-Profit Corporations Act, 2010
applies that is in good standing under that Act and whose primary
object is to provide housing,
ii. a corporation without share capital to which the Canada Not-for-
profit Corporations Act applies, that is in good standing under that
Act and whose primary object is to provide housing,
iii. a non-profit housing co-operative that is in good standing under the
Co-operative Corporations Act.
In addition to the exemptions noted above, the C.B.C. will not apply to buildings or
structures owned by and used for the purposes of any municipality, local board, or
Board of Education.
6.2.4 Timing of Collection
The C.B.C.s imposed are calculated, payable, and collected upon issuance of a building
permit for eligible development or redevelopment.
Notwithstanding the forgoing, the new C.B.C. rates proposed herein shall not apply to
building permit applications received prior to July 1, 2022, provided:
• the permit application is complete in terms of the applicant's submission
requirements set out in the building code and the City's Building By-law;
• applicable law approvals prescribed in the building code have been obtained or
applied for; and
• the building permit or a conditional building permit is issued for all or part of the
building by August 15, 2022.
Watson & Associates Economists Ltd. PAGE 6-4
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6.2.5 In-kind Contributions
A municipality that has passed a C.B.C. by-law may allow the landowner to provide to
the municipality: facilities, services, or matters required because of development or
redevelopment in the area to which the by-law applies.
Prior to providing these contributions, the municipality shall advise the landowner of the
value that of the in-kind contributions that will be attributed to them. This value shall be
deducted from the amount the landowner would otherwise be required to pay under the
C.B.C. by-law.
6.2.6 The Applicable Areas
The C.B.C. by-law will apply to all lands within the City.
6.2.7 Special Account
All money received by the municipality under a C.B.C. by-law shall be paid into a
special account. The money contained within the special account:
• may be invested in securities in which the municipality is permitted to invest
under the Municipal Act, 2001, and the earnings derived from the investment of
the money shall be paid into a special reserve fund account; and
• must have at least 60 percent of the funds spent or allocated at the beginning of
the year.
In addition to the monies collected under a C.B.C. by-law, transitional rules for
transferring existing reserve funds are provided in subsection 37 (51) of the Planning
Act. These rules apply for any existing reserve funds related to a service that is not
listed in subsection 2 (4) of the D.C.A., as well as reserve funds established under
section 37 of the Planning Act prior to Bill 197.
1. If the municipality passes a C.B.C. by-law under this section before the specified
date, the municipality shall, on the day it passes the by-law, allocate the money in
the special account or reserve fund to the special account referred to in subsection
(45) of the Planning Act.
2. If the municipality has not passed a C.B.C. by-law under this section before the
specified date, the special account or reserve fund is deemed to be a general
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capital reserve fund for the same purposes for which the money in the special
account or reserve fund was collected.
3.Despite paragraph 2, subsection 417 (4) of the Municipal Act, 2001 (a provision
which requires the funds raised for a reserve fund must only be used for the
intended purpose) and any equivalent provision of do not apply with respect to the
general capital reserve fund referred to in paragraph 2.
4.If paragraph 2 applies and the municipality passes a C.B.C. by-law under this
section on or after the specified date, the municipality shall, on the day it passes the
by-law, allocate any money remaining in the general capital reserve fund referred to
in paragraph 2 to the special account referred to in subsection (45) of the Planning
Act.
Based on the above, there are not existing D.C. reserve funds that would be transferred
to the C.B.C. special account.
6.2.8 Credits
Subsection 37 (52) of the Planning Act indicates that any credits that were established
under section 38 of the D.C.A. and that are not related to a service that is listed in
subsection 2 (4) of the D.C.A., may be used by the holder of the credit with respect to a
charge that the holder is required to pay under a C.B.C. by-law.
6.2.9 By-law In-Force Date
A C.B.C. by-law comes into force on the day it is passed, or the day specified in the by-
law, whichever is later.
6.3 Recommendations
It is recommended that Council:
“Adopt the C.B.C. approach to calculate the charges on a uniform City-wide
basis;”
“Approve the capital project listing set out in Chapter 4 of the C.B.C. Strategy
dated June 10, 2022, subject to further annual review during the capital budget
process;”
Watson & Associates Economists Ltd. PAGE 6-6
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“Create a special reserve fund account which will contain all C.B.C. monies
collected;”
“Use C.B.C.s collected to fund Parkland Acquisition and C.B.C. Strategy needs
only;”
“Impose the C.B.C. of $1,070 per 2 bedroom and greater apartment dwelling unit
and $657 per bachelor and one bedroom apartment dwelling unit on the day
before a building permit is issued;”
“Approve the C.B.C. Strategy dated May 20, 2022 as updated on June 23, 2022;"
and
“Approve the C.B.C. By-law as set out in Appendix B”
Watson & Associates Economists Ltd.
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Chapter 7
By-law Implementation
Watson & Associates Economists Ltd. PAGE 7-1
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7.By-law Implementation
7.1 Introduction
This chapter addresses the public consultation process and by-law implementation
requirements for the imposition of a C.B.C. by-law. Figure 7-1 provides an overview of
the process.
7.2 Public Consultation Process
7.2.1 Required Consultation
In establishing the policy for which a C.B.C. strategy and by-law will be based,
subsection 37 (10) of the Planning Act requires that:
“In preparing the community benefits strategy, the municipality shall
consult with such persons and public bodies as the municipality considers
appropriate.”
As there is no specific guidance as to which parties the municipality shall consult with,
municipalities may establish their own policy for public consultation. The policy for
public consultation should be designed to seek the co-operation and participation of
those involved, in order to produce the most suitable policy. Municipalities may
consider a public meeting, similar to that undertaken for D.C. study processes
(however, this is not a mandated requirement). This could also include a presentation
to Council and the public (including development industry stakeholder) on the findings of
the C.B.C. strategy, advanced notice of the meeting, and consideration for delegations
from the interested parties.
7.2.2 Interested Parties to Consult
There are three broad groupings of the public who are generally the most concerned
with municipal C.B.C. policy.
1.The first grouping is the residential development community, consisting of land
developers and builders, who will typically be responsible for generating the majority
of the C.B.C. revenues. Others, such as realtors, are directly impacted by C.B.C.
policy. They are, therefore, potentially interested in all aspects of the charge,
Watson & Associates Economists Ltd. PAGE 7-2
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particularly the percentage applicable to their properties, projects to be funded by
the C.B.C. and the timing thereof, and municipal policy with respect to development
agreements and in-kind contributions.
2. The second public grouping embraces the public at large and includes taxpayer
coalition groups and others interested in public policy.
3. The third grouping is the non-residential mixed-use development sector, consisting
of land developers and major owners or organizations with significant construction
plans for mixed use developments. Also involved are organizations such as
Industry Associations, the Chamber of Commerce, the Board of Trade, and the
Economic Development Agencies, who are all potentially interested in municipal
C.B.C. policy. Their primary concern is frequently with the percentage charge
applicable to their lands, exemptions, and phase-in or capping provisions in order to
moderate the impact.
As noted in section 1.4, through the C.B.C. strategy process, the City’s consultation
process includes meetings with the development community and Council.
7.3 Implementation Requirements
7.3.1 Introduction
Once the City has calculated the charge, prepared the complete strategy, carried out
the public process, and passed a new by-law, the emphasis shifts to implementation
matters.
These include notices, potential appeals and complaints, in-kind contributions, and
finally the collection of revenues and funding of projects.
The sections that follow provide an overview of the requirements in each case.
7.3.2 Notice of Passage
In accordance with subsection 37 (13) of the Planning Act, when a C.B.C. by-law is
passed, the clerk of the municipality shall give written notice of the passing and of the
last day for appealing the by-law (the day that is 40 days after the day it was passed).
Watson & Associates Economists Ltd. PAGE 7-3
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Such notice must be given no later than 20 days after the day the by-law is passed (i.e.,
as of the day of newspaper publication or the mailing of the notice).
Section 4 of O. Reg. 509/20 further defines the notice requirements which are
summarized as follows:
•notice shall be given by publication in a newspaper which is (in the clerk’s
opinion) of sufficient circulation to give the public reasonable notice, or by
personal service, fax or mail to every owner of land in the area to which the by-
law relates;
•subsection 4 (2) lists the persons/organizations who must be given notice; and
•subsection 4 (5) lists the seven items that the notice must cover.
7.3.3 Appeals
Subsections 37 (13) to 37 (31) of the Planning Act set out the requirements relative to
making and processing a C.B.C. by-law appeal as well as an OLT hearing in response
to an appeal. Any person or organization may appeal a C.B.C. by-law to the OLT by
filing a notice of appeal with the clerk of the municipality, setting out the objection to the
by-law and the reasons supporting the objection. This must be done by the last day for
appealing the by-law, which is 40 days after the by-law is passed.
The municipality is carrying out a public consultation process, in order to address the
issues that come forward as part of that process, thereby avoiding or reducing the need
for an appeal to be made.
7.3.4 In-Kind Contributions
Subsections 37 (6) to 37 (8) provide the rules for in-kind contributions. An owner of land
may provide the municipality facilities, services, or matters required because of
development or redevelopment in the area to which the by-law applies. Prior to
providing these contributions, the municipality shall advise the owner of the land of the
value that will be attributed to the contributions. The value of the contributions shall be
deducted from the amount the owner of the land would otherwise have to pay under the
C.B.C. by-law.
Watson & Associates Economists Ltd. PAGE 7-4
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Figure 7-1
The Process of Required for Passing a Community Benefits Charge By-law under the Planning Act
Watson & Associates Economists Ltd. PAGE 7-5
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7.4 Anticipated Impact of the Charge on Development
The establishment of sound C.B.C. policy often requires the achievement of an
acceptable balance between two competing realities. The first is that increased
residential development fees (such as a C.B.C.) can impact project feasibility in some
cases (e.g., rental apartments). Secondly, C.B.C.s or other municipal capital funding
sources need to be obtained in order to help ensure that the necessary infrastructure
and amenities are installed. The timely installation of such works is a key requirement
in providing adequate service levels and in facilitating strong economic growth,
investment, and wealth generation.
7.5 Ongoing Application and Collection of C.B.C. funds
7.5.1 Introduction
Once the municipality passes a C.B.C. by-law, development or redevelopment that
meets the requirements of the C.B.C. by-law will pay a C.B.C. based on the value of
their land. The following sections describe the overall process and discusses the
approach to appraisals and use of the special account as set out in the Planning Act.
7.5.2 Overview of Process and Appraisals
Figure 7-2 provides an overview of the process for application of the C.B.C. by-law and
collection of C.B.C. funds.
Once the C.B.C. by-law is in place, as development or redevelopment that meets the
eligibility criteria proceeds (i.e., prior to issuance of a building permit), the municipality
collects C.B.C.s based on the per unit charge as set out in the by-law and C.B.C.
strategy.
If the landowner is of the view that the amount of the C.B.C. exceeds the prescribed
value of 4% of their land value on the day before building permit issuance, the
landowner may pay the charge under protest. In this circumstance there is an
obligation of the landowner to provide an appraisal. If the municipality disputes the
value of the land identified in the landowner’s appraisal, the municipality must also
provide the owner with an appraisal within the prescribed time period.
Watson & Associates Economists Ltd. PAGE 7-6
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If the City agrees with the landowner’s appraised value, then the owner pays their
C.B.C.s based on 4% of the land value to the City and the funds will then be deposited
into the special account.
If the City does not agree with the appraisal provided by the owner, the City has 45 days
to provide the owner of the land with their own appraisal value. Then:
• If no appraisal is provided to the owner within 45 days, the owner’s appraisal is
deemed accurate and the difference in the amounts shall be refunded to the
owner.
• If the municipality’s appraisal is within 5% of the landowner’s appraisal, the
landowner’s appraisal is deemed accurate, and the municipality shall refund the
difference in the amounts to the owner.
• If the appraisal is more than 5% higher than the landowner’s appraisal, the
municipality shall request an appraisal be undertaken by an appraiser, selected
by the landowner, from the list of approved appraisers provided by the
municipality. This must be undertaken within 60 days. This final appraisal is
deemed accurate for the purposes of calculating the applicable C.B.C.
• In regard to the last bullet, subsection 37 (42) and 37 (43) require the
municipality to maintain a list of at least three persons who are not employees of
the municipality or members of Council and have an agreement with the
municipality to perform appraisals for the above. This list is to be maintained
until the C.B.C. by-law is repealed or the day on which there is no longer any
refund that could be required (whichever is later).
7.5.3 Special Reserve Fund Account
All funds collected under the C.B.C. by-law are to be deposited into a special account.
Subsections 37 (45) to 37 (48) of the Planning Act outline the rules with respect to the
special reserve fund account. As noted in subsection 6.2.7, these rules are as follows:
• All money received under a C.B.C. by-law shall be paid into a special account;
• The money in the special account may be invested in securities (as permitted
under the Municipal Act) and the interest earnings shall be paid into the special
account;
• In each year, a municipality shall spend or allocate at least 60 percent of the
monies that are in the special account at the beginning of the year; and
Watson & Associates Economists Ltd. PAGE 7-7
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•The municipality shall provide reports and information as set out in section 7 of
O.Reg. 509/20
•In regard to the third bullet, it is suggested that the annual capital budget for the
City directly list the works which are being undertaken and/or to which monies
from this fund are being allocated toward.
As per this C.B.C. strategy, the growth-related services (as outlined in Chapter 4), form
the anticipated capital needs required to service growth over the 17-year forecast
period. Other services, however, may be considered by Council in the future and are
subject to approval by resolution and inclusion in the annual budget process.
Furthermore, any additional services approved and funded from C.B.C. revenue in the
future will be reported on through an annual C.B.C. reserve fund statement, which will
form part of the City’s overall year-end statements.
During the annual budget process, the use of C.B.C. funding will be reviewed, and the
capital costs associated with each eligible service and capital project will be confirmed
and identified for approval of Council.
Watson & Associates Economists Ltd. PAGE 7-8
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Figure 7-2
City of Pickering
Community Benefits Charge Application and Calculation Process
Building Permit Issuance
Collect C.B.C.s
Payment Under Protest.
If the land owner disputes the C.B.C.s
exceed the 4% of land value, the land
owner is to provide the municipality with
an appraisal within 30 days.
No Refund Required
Appraisal Provided?
No
Yes
Yes
Municipal
Consideration of
Appraisal
Agree
Municipality to Undertake Appraisal
Within 45 Days
Disagree
Land Owner and
Municipal Appraisals
Within 5%?
Yes
No
The land owner shall select a person
from a list of appraisers to perform
a final appraisal within 60 days,
third appraisal (binding).
Determination of the Community
Benefits Charge (C.B.C.)
Deposit Funds into Special Account
No
Notify the Land Owner
The municipality shall immediately
refund the difference in C.B.C.s
as a result of appraisal, if any.
Watson & Associates Economists Ltd. PAGE 7-9
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7.6 Transitional Matters
7.6.1 Existing Reserves and Reserve Funds
The Planning Act, subsection 37 (49) to subsection 37 (51) provides transitional
provisions for:
1.A special account established under the previous section 37 rules; and
2.A D.C. reserve fund for which services are no longer eligible.
With respect to item 1, funds collected under previous s.37 agreements have been
spent or are committed against the needs they were collected for and there are no
further financial obligations. With respect to item 2, the service areas for which the
City’s existing D.C. reserve funds apply continue to be eligible for inclusion within a D.C.
by-law.
7.6.2 Credits under Section 38 of the Development Charges Act
The Planning Act (subsection 37 (52)) provides that, if a municipality passes a C.B.C.
by-law before September 18, 2022, any credits held for services that are no longer D.C.
eligible, may be used against payment of a C.B.C. by the landowner. The City does not
currently hold credits related to the services which are no longer D.C. eligible, therefore,
there are no adjustment against future payments of a C.B.C. to apply.
7.6.3 Continued Application of Previous Section 37 Rules
Subsection 37.1 of the Planning Act provides for transitional matters regarding previous
section 37 rules. Any charges that are currently in place under the previous rules, may
remain in place until the municipality passes a C.B.C. by-law or September 18, 2022,
whichever comes first.
Appendices
Watson & Associates Economists Ltd. PAGE A-1
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Appendix A
Background Information on
Residential and Non-
Residential Growth Forecast
Watson & Associates Economists Ltd. PAGE A-2
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Schedule 1
City of Pickering
Residential Growth Forecast Summary
Population Institutional
Population
Population
Excluding
Institutional
Population
Singles &
Semi-
Detached
Multiple
Dwellings2 Apartments3 Other Total
Households
91,160 87,838 573 87,265 20,255 4,850 3,085 25 28,215 3.113
92,080 88,721 806 87,915 20,744 5,381 3,190 15 29,330 3.025
95,240 91,771 776 90,995 21,130 6,060 3,695 30 30,915 2.968
102,940 99,186 839 98,347 22,425 6,805 4,165 30 33,425 2.967
107,100 103,191 876 102,315 22,774 7,622 4,559 30 34,985 2.950
189,200 182,297 1,314 180,983 31,908 18,001 14,733 30 64,672 2.819
920 883 233 650 489 531 105 -10 1,115
3,160 3,050 -30 3,080 386 679 505 15 1,585
7,700 7,415 63 7,352 1,295 745 470 0 2,510
4,160 4,005 37 3,968 349 817 394 0 1,560
82,100 79,106 438 78,668 9,134 10,379 10,174 0 29,687
¹ Census undercount estimated at approximately 3.8%. Note: Population including the undercount has been rounded.
² Includes townhouses and apartments in duplexes.
³ Includes bachelor, 1-bedroom and 2-bedroom+ apartments.
Mid 2006 - Mid 2011
Mid 2011 - Mid 2016
Mid 2006
Mid 2011
Mid 2016
Mid 2022
Mid 2021 - Mid 2022
Hi
s
t
o
r
i
c
a
l
Mid 2039Fo
r
e
c
a
s
t
In
c
r
e
m
e
n
t
a
l
Mid 2021
Mid 2016 - Mid 2021
Population
(Including
Census
Undercount)¹
Year
Excluding Census Undercount Housing Units Person Per Unit
(P.P.U.): Total
Population/
Total
Households
Source: Derived from Durham Region Growth Management Strategy (ongoing) and the Region of Durham Regional Transit Development Charge Background Study (2022), by Watson & Associates
Economists Ltd., 2022.
Mid 2022 - Mid 2039
Note: The 2031 Official Plan population target of 225,670, less the growth allocation for Northeast Pickering of approximately 36,500 persons, results in an Official Plan population target of 189,200 by
Mid 2039
Watson & Associates Economists Ltd. PAGE A-3
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Figure A-1
City of Pickering
Annual Housing Forecast[1]
Source: Building permit data from 2011 to 2013 and 2021 from Statistics Canada. Building permits between 2014 and 2020 from the City of Pickering. Figure by Watson & Associates Economists Ltd., 2022.
1 Growth forecast represents calendar year.
283
425
303
379 346
540
1,262
510 573
1,560
1,925 1,925 1,925 1,925
1,805 1,805 1,805 1,805 1,805
1,660 1,660 1,660 1,660 1,660
1,554 1,554 1,554
0
500
1,000
1,500
2,000
2,500
Ho
u
s
i
n
g
U
n
i
t
s
Years
Historical Low Density Medium Density High Density Historical Average
Watson & Associates Economists Ltd. PAGE A-4
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Schedule 2
City of Pickering
Estimate of the Anticipated Amount, Type and Location of
Residential Development for Which Community Benefits Charges Can Be Imposed
Seaton 2022 - 2039 6,229 7,163 974 3,897 4,871 23,134 50,458 -12 50,446 0 50,446
Rest of Pickering 2022 - 2039 2,905 3,216 1,056 4,247 5,303 16,727 28,557 -335 28,222 438 28,660
2022 - 2039 9,134 10,379 2,030 8,144 10,174 29,687 79,015 -347 78,668 438 79,106
1 Includes townhouses and apartments in duplexes.
2 Includes accessory apartments, bachelor, 1-bedroom and 2-bedroom+ apartments.
Note: Numbers may not add to totals due to rounding.
Development Timing Single & Semi-
Detached Multiples1 Total
Location Residential Units In New Units Population
Change
Gross Population Existing Unit
Net Population
Increase,
Excluding
Institutional
Institutional
Population
Net Population
Including
Institutional
Source: Derived from Durham Region Growth Management Strategy (ongoing) and the Region of Durham Regional Transit Development Charge Background Study (2022), by Watson & Associates Economists Ltd., 2022.
City of Pickering
Apartments2
Units in C.B.C.
Ineligble
Buildings
Units in C.B.C.
Eligble Buildings
Total Apartment
Buildings
Watson & Associates Economists Ltd. PAGE A-5
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Schedule 3
City of Pickering
Current Year Growth Forecast
Mid 2021 to Mid 2022
Mid 2021 Population 99,186
Occupants of Units (2)1,560
New Housing Units,multiplied by P.P.U. (3)2.710
Mid 2021 to Mid 2022 gross population increase 4,227 4,227
Occupants of New Units 33
Equivalent Institutional Units,multiplied by P.P.U. (3)1.100
Mid 2021 to Mid 2022 gross population increase 36 36
Decline in Housing Units (4)33,425
Unit Occupancy,multiplied by P.P.U. decline rate (5)-0.008
Mid 2021 to Mid 2022 total decline in population -258 -258
Population Estimate to Mid 2022 103,191
Net Population Increase, Mid 2021 to Mid 2022 4,005
(1)2016 and 2021 population based on Statistics Canada Census unadjusted for Census undercount.
(2)
(3)Average number of persons per unit (P.P.U.) is assumed to be:
Singles & Semi Detached 3.904 22%0.873
Multiples (6)2.882 52%1.509
Apartments (7)1.294 25%0.327
Total 100%2.710
¹ Based on 2016 Census custom database
² Based on Building permit/completion activity
(4)2016 and 2021 households taken from Statistics Canada Census.
(5)Decline occurs due to aging of the population and family life cycle changes, lower fertility rates and changing economic conditions.
(6)Includes townhouses and apartments in duplexes.
(7)Includes bachelor, 1-bedroom and 2-bedroom+ apartments.
Note:Numbers may not add to totals due to rounding.
Estimated residential units constructed, Mid-2021 to the beginning of the growth period assuming a six-month lag between construction
and occupancy.
Population
Structural Type Persons Per Unit¹
(P.P.U.)
% Distribution of
Estimated Units²
Weighted Persons
Per Unit Average
Watson & Associates Economists Ltd. PAGE A-6
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Schedule 4
City of Pickering
Growth Forecast
Mid 2022 to Mid 2039
Mid 2022 Population 103,191
Occupants of Units (2)29,687
New Housing Units,multiplied by P.P.U. (3)2.662
Mid 2022 to Mid 2039 gross population increase 79,014 79,014
Occupants of New Units 399
Equivalent Institutional Units,multiplied by P.P.U. (3)1.100
Mid 2022 to Mid 2039 gross population increase 439 439
Decline in Housing Units (4)34,985
Unit Occupancy,multiplied by P.P.U. decline rate (5)-0.010
Mid 2022 to Mid 2039 total decline in population -347 -347
Population Estimate to Mid 2039 182,297
Net Population Increase, Mid 2022 to Mid 2039 79,106
(1)Mid 2022 Population based on:
(2)Based upon forecast building permits/completions assuming a lag between construction and occupancy.
(3)Average number of persons per unit (P.P.U.) is assumed to be:
Singles & Semi Detached 3.561 31%1.096
Multiples (6)2.743 35%0.959
Apartments (7)1.771 34%0.607
one bedroom or less 1.271
two bedrooms or more 2.071
Total 100%2.662
¹ Persons per unit based on Statistics Canada Custom 2016 Census database.
² Forecast unit mix based upon historical trends and housing units in the development process.
(4)Mid 2022 households based upon 30,915 (2016 Census) + 1,560 (Mid 2016 to Mid 2022 unit estimate) = 34,985
(5)Decline occurs due to aging of the population and family life cycle changes, lower fertility rates and changing economic conditions.
(6)Includes townhouses and apartments in duplexes.
(7)Includes bachelor, 1-bedroom and 2-bedroom+ apartments.
Note:Numbers may not add to totals due to rounding.
Weighted Persons
Per Unit AverageStructural Type Persons Per Unit¹
(P.P.U.)
% Distribution of
Estimated Units²
2016 Population (91,771) + Mid 2016 to Mid 2022 estimated housing units to beginning of forecast period (1,560 x = 4,086) + (30,915 x
0.2372 = 7,334) = 103,191
Population
Watson & Associates Economists Ltd. PAGE A-7
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Schedule 5
City of Pickering
Historical Residential Building Permits
Years 2012 to 2021
Residential Building Permits
Total
2012 237 46 0 283
2013 148 274 3 425
2014 180 98 25 303
2015 162 24 193 379
2016 286 54 19 359
Sub-total 1,013 496 240 1,749
Average (2012 - 2016)203 99 48 350
% Breakdown 57.9%28.4%13.7%100.0%
2017 202 114 30 346
2018 138 373 29 540
2019 278 727 257 1,262
2020 167 297 46 510
2021 130 51 392 573
Sub-total 915 1,562 754 3,231
Average (2017 - 2021)183 312 151 646
% Breakdown 28.3%48.3%23.3%100.0%
2012 - 2021
Total 1,928 2,058 994 4,980
Average 193 206 99 498
% Breakdown 38.7%41.3%20.0%100.0%
1 Includes townhouses and apartments in duplexes.
2 Includes bachelor, 1 bedroom and 2 bedroom+ apartments.
Singles &
Semi
Detached
Multiples 1 Apartments 2
Year
Source: Building permit data from 2011 to 2013 and 2021 from Statistics Canada. Building permits between
2014 and 2020 from the City of Pickering. Figure by Watson & Associates Economists Ltd., 2022.
Watson & Associates Economists Ltd. PAGE A-8
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Schedule 6
City of Pickering
Person Per Unit by Age and Type of Dwelling
(2021 Census)
Age of Singles and Semi-Detached
Dwelling < 1 BR 1 BR 2 BR 3/4 BR 5+ BR Total 25 Year Average Adjusted
1-5 - - - 3.834 5.269 3.904
6-10 - - - 3.453 4.957 3.739 0.143
11-15 - - - 3.431 4.552 3.513 3.561
16-20 - - 1.933 3.337 4.154 3.399 3.561
20-25 - - - 3.272 4.574 3.484 3.561
25-35 - - 2.438 3.073 4.173 3.211
35+-1.500 1.942 2.795 4.066 2.835 3.561
Total -1.556 2.114 3.086 4.303 3.188
Age of Multiples1
Dwelling < 1 BR 1 BR 2 BR 3/4 BR 5+ BR Total 25 Year Average Adjusted
1-5 - - 1.750 2.968 - 2.882
6-10 - - 1.500 2.952 - 2.667 (0.166)
11-15 - - 1.706 2.654 - 2.566 2.743
16-20 - - 1.944 2.703 - 2.565 2.743
20-25 - - 1.647 3.026 - 2.832 2.743
25-35 -0.929 2.267 3.020 3.914 2.995
35+-1.211 2.000 2.666 3.966 2.605 2.743
Total -1.200 1.869 2.810 3.912 2.719
Age of Apartments2
Dwelling < 1 BR 1 BR 2 BR 3/4 BR 5+ BR Total 25 Year Average Adjusted
1-5 -1.135 1.519 - - 1.294
6-10 -1.083 1.571 2.933 - 2.116 0.065
11-15 -1.286 1.435 3.667 - 1.893 1.771
16-20 -1.250 1.660 3.000 - 1.901 1.771
20-25 -1.179 1.697 2.310 - 1.714 1.771
25-35 -1.275 1.679 2.627 - 1.908
35+-1.226 1.786 2.602 - 2.179 1.771
Total -1.212 1.655 2.636 3.706 1.899
Age of All Density Types
Dwelling < 1 BR 1 BR 2 BR 3/4 BR 5+ BR Total
1-5 -1.211 1.659 3.469 4.967 3.138
6-10 -1.154 1.824 3.175 5.160 3.088
11-15 -1.273 1.702 3.198 4.303 2.983
16-20 -1.316 1.788 3.200 4.188 3.005
20-25 -1.234 1.884 3.175 4.610 3.034
25-35 -1.259 1.932 3.053 4.093 3.072
35+-1.261 1.989 2.744 3.989 2.729
Total 1.400 1.253 1.876 3.005 4.230 2.944
2 Includes bachelor, 1 bedroom and 2 bedroom+ apartments.
3 Adjusted based on 2001-2016 historical trends.
Note: Does not include Statistics Canada data classified as 'Other'
P.P.U. Not calculated for samples less than or equal to 50 dwelling units, and does not include institutional population.
1 Includes townhouses and apartments in duplexes.
Watson & Associates Economists Ltd. PAGE A-9
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Schedule 7
City of Pickering
Employment Forecast, Mid-2022 to Mid-2039
Mid 2006 87,838 0.001 0.034 0.145 0.136 0.048 0.365 0.084 0.450 75 3,015 12,743 11,988 4,245 32,065 7,421 39,486
Mid 2011 88,721 0.001 0.034 0.134 0.144 0.056 0.368 0.074 0.443 75 2,995 11,903 12,763 4,940 32,675 6,592 39,267
Mid 2016 91,771 0.002 0.035 0.129 0.138 0.053 0.357 0.051 0.408 140 3,225 11,843 12,668 4,885 32,760 4,694 37,454
Mid 2022 103,191 0.001 0.035 0.122 0.133 0.051 0.343 0.047 0.390 140 3,604 12,619 13,757 5,254 35,373 4,884 40,257
Mid 2039 182,297 0.001 0.032 0.123 0.129 0.051 0.336 0.052 0.388 140 5,860 22,399 23,576 9,335 61,309 9,394 70,703
Mid 2006 - Mid 2011 883 0.000 -0.001 -0.011 0.007 0.007 0.003 -0.010 -0.007 0 -20 -840 775 695 610 -829 -219
Mid 2011 - Mid 2016 3,050 0.0007 0.0014 -0.0051 -0.0058 -0.0024 -0.0113 -0.0232 -0.0345 65 230 -60 -95 -55 85 -1,898 -1,813
Mid 2016 - Mid 2022 11,420 -0.0002 -0.0002 -0.0068 -0.0047 -0.0023 -0.0142 -0.0038 -0.0180 0 379 776 1,089 369 2,613 190 2,803
Mid 2022 - Mid 2039 79,106 -0.0006 -0.0028 0.0006 -0.0040 0.0003 -0.0065 0.0042 -0.0023 0 2,256 9,780 9,819 4,081 25,936 4,510 30,446
Mid 2006 - Mid 2011 177 0.00000 -0.00011 -0.00218 0.00148 0.00147 0.00065 -0.00204 -0.00139 0 -4 -168 155 139 122 -166 -44
Mid 2011 - Mid 2016 610 0.0001 0.0003 -0.0010 -0.0012 -0.0005 -0.0023 -0.0046 -0.0069 13 46 -12 -19 -11 17 -380 -363
Mid 2016 - Mid 2022 1,903 0.0000 0.0000 -0.0011 -0.0008 -0.0004 -0.0024 -0.0006 -0.0030 0 63 129 182 62 436 32 467
Mid 2022 - Mid 2039 4,653 -0.00003 -0.00016 0.00003 -0.00023 0.00002 -0.00038 0.00025 -0.00013 0 133 575 578 240 1,526 265 1,791
Source: Derived from Durham Region Growth Management Strategy (ongoing) and the Region of Durham Regional Transit Development Charge Background Study (2022), by Watson & Associates Economists Ltd., 2022.
Note: The 2031 Official Plan employment target of 71,800 is forecast to be achieved after 2039. An additional 4,900 jobs would be assumed for Northeast Pickering, in accordance with the Official Plan.
¹ Statistics Canada defines no fixed place of work (N.F.P.O.W.) employees as "persons who do not go from home to the same work place location at the beginning of each shift". Such persons include building and landscape contractors, travelling salespersons, independent truck drivers, etc.
N.F.P.O.W.1
Activity Rate
Period Population Primary Work at
Home Industrial Commercial/
Population Related Institutional Total
Employment
Primary Total
Total Employment
(Including
N.F.P.O.W.)
Institutional
Incremental Change
Annual Average
Total
Including
NFPOW
N.F.P.O.W.1Work at
Home Industrial
Commercial/
Population
Related
Watson & Associates Economists Ltd. PAGE B-1
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Appendix B
Proposed C.B.C. By-law
Watson & Associates Economists Ltd. PAGE B-2
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The City of Pickering
By-law Number ____/22
A By-Law to Establish Community Benefits Charges for the City of Pickering and
herby establish the Community Benefits Charges Reserve Fund
WHEREAS The City of Pickering (the “City”) will experience growth through development
and re-development;
AND WHEREAS Council desires to impose Community Benefits Charges against land to
pay for the capital costs of facilities, services and matters required because of
development or redevelopment in the area to which the by-law applies;
AND WHEREAS the Planning Act, 1990 (the “Act”) provides that the council of a
municipality may by by-law impose Community Benefits Charges against higher density
residential development or redevelopment;
AND WHEREAS a Community Benefits Charge strategy report, dated May 20, 2022 and
updated on June 23, 2022, has been completed which identifies the facilities, services and
matters that will be funded with Community Benefits Charges and complies with the
prescribed requirements;
AND WHEREAS the City has consulted with the public and such persons and public
bodies as the City considers appropriate;
AND WHEREAS on July 11, 2022, Council for the City of Pickering approved Report No.
FIN-2022-XXXX, dated June XX, 2022, in which certain recommendations were made
relating to the Community Benefits Strategy and By-law.
The Council of the City enacts as follows:
1.INTERPRETATION
1.1 In this By-law, the following items shall have the corresponding meanings:
“Act” means the Planning Act, R.S.O. 1990, CHAPTER P.13;
“Apartment” means a dwelling unit in an apartment building;
"Apartment Building" means a residential building or the residential portion of a
mixed-use building consisting of more than 3 dwelling units, which dwelling units
have a common entrance to grade, but does not include a triplex, duplex, or
townhouse. Notwithstanding the forgoing an Apartment Building includes a
Stacked Townhouse;
Watson & Associates Economists Ltd. PAGE B-3
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“Bedroom” means any room used, or designed or intended for use, as sleeping
quarters
“Building” means any structure or building as defined in the Ontario Building Code
(O Reg 332/12 under the Building Code Act, but does not include a vehicle;
“Building Code Act” means the Building Code Act, 1992, SO 1992, c 23 as
amended;
“Capital Costs” means growth-related costs incurred or proposed to be incurred by
the City or a Local Board thereof directly or by others on behalf of, and as
authorized by, the City or Local Board,
(a)to acquire land or an interest in land, including a leasehold interest,
(b)to improve land,
(c)to acquire, lease, construct or improve buildings and structures,
(d)to acquire, construct or improve facilities including,
(i)furniture and equipment, and;
(ii)rolling stock;
(e)to undertake studies in connection with any of the matters referred to in
clauses (a) to (d) above, including the Community Benefits Charge strategy
study,
required for the provision of Services designated in this By-law within or outside the
City, including interest on borrowing for those expenditures under clauses (a) to (e)
above;
“City” means The City of Pickering or the geographic area of the municipality, as the
context requires;
“Community Benefits Charge” means a charge imposed pursuant to this By-law;
“Council” means the Council of the City of Pickering;
“Development” means the construction, erection, or placing of one or more
Buildings or structures on land or the making of an addition or alteration to a
building or structure that has the effect of increasing the size or usability thereof or
any development requiring any of the actions described in subsection 2.4 (a), and
includes Redevelopment;
"Dwelling Unit" means a room or suite of rooms used, or designed or intended for
use by one person or persons living together, in which culinary and sanitary
facilities are provided for the exclusive use of such person or persons;
Watson & Associates Economists Ltd. PAGE B-4
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“Grade” means the average level of proposed or finished ground adjoining a
building at all exterior walls;
“Land” (or “Lot”) means, for the purposes of this By-law, the lesser of the area
defined as:
(a)The whole of a parcel of property associated with the Development or
Redevelopment and any abutting properties in which a person holds the fee or
equity of redemption in, power or right to grant, assign or exercise a power of
appointment in respect of, or;
(b)The whole of a lot or a block on a registered plan of subdivision or a unit within
a vacant land condominium that is associated with the Development or
Redevelopment;
But not including any hazard lands, natural heritage features, or ecological buffers
identified in the City’s Official Plan, an approved Secondary Plan, or through an
environmental impact study accepted by the City.
“Owner” means the owner of Land or a person who has made application for an
approval for the Development of land for which a Community Benefits Charge may
be imposed;
“Prescribed” means prescribed in the regulations made under the Act;
“Redevelopment” means the construction, erection or placing of one or more
Buildings on Land where all or part of a Building on such Land has previously been
demolished, or changing the use of a Building from a Non-Residential Use to a
Residential Use, or changing a Building from one form of Residential Use to another
form of Residential Use and including any development or redevelopment requiring
any of the actions described in subsection 2.4 (a);
“Residential Unit” means a room or suite of rooms used, or designed or intended for
use by one person or persons living together, in which culinary and sanitary
facilities are provided for the exclusive use of such person or persons;
“Residential Use” means lands, buildings or structures used, or designed or intended
for use as a home or residence of one or more individuals, and shall include, but is
not limited to, a single detached dwelling, a semi detached dwelling, a townhouse, a
plex, a stacked townhouse, an apartment building, a mobile home, a retirement
residence and a residential dwelling unit accessory to a non-residential use;
“Service” means a service designated in subsection 1.3, and “Services” shall have a
corresponding meaning;
“Stacked Townhouse” means a building, other than a duplex, triplex, townhouse, or
apartment building, containing at least 3 dwelling units, each dwelling unit
Watson & Associates Economists Ltd. PAGE B-5
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separated vertically and/or horizontally and each dwelling unit having a separate
entrance to grade;
“Storey” means the portion of a building, excluding roof top enclosure space used
for no other purpose than roof top access, and/or elevators and other building
service equipment, that is:
(a)that is situated between the top of any floor and the top of the floor next above
it, or
(b)that is situated between the top of the floor and the ceiling above the floor, if
there is no floor above it.
“Valuation date” means, with respect to land that is the subject of development or
redevelopment,
(a)the day before the day the building permit is issued in respect of the
development or redevelopment, or
(b)if more than one building permit is required for the development or
redevelopment, the day before the day the first permit is issued.
“Zoning By-Law” means any by-laws enacted by the City under section 34 of the
Planning Act.
1.2 The reference to any applicable statute, regulation, by-law, or to the Official Plan in
this Community Benefits Charge By-law shall be deemed to refer to the statute,
regulation, by-law, and/or Official Plan as they may be amended from time to time
and shall be applied as they read on the date on which Community Benefits
Charges are due to the City.
DESIGNATION OF SERVICES
1.3 A Community Benefits Charge may be imposed in respect of the following:
(a)Land for park or other public recreational purposes in excess of lands
dedicated or cash-in-lieu payments made under section 42 or subsection 51.1
of the Planning Act.
(b)Services not provided under subsection 2 (4) of the Development Charges Act.
(c)As per the May 20, 2022, Community Benefits Charges Strategy, the City
intends to recover Capital Costs relating to the following services through this
by-law::
(i)Arts, Culture, and Museum
(ii)Animal Adoptions; and
(iii)Administration
Watson & Associates Economists Ltd. PAGE B-6
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2.PAYMENT OF COMMUNITY BENEFITS
2.1 Community Benefits Charges shall be payable by the Owner of Land proposed for
Development in the amounts set out in this By-law where:
(a)the Land proposed for Development is located in the area described in
subsection 3.2; and
(b)the proposed Development requires any of the approvals set out in subsection
2.4 (a).
Area to Which By-law Applies
2.2 Subject to subsection 2.3, this By-law applies to all lands in the City.
2.3 This By-law shall not apply to lands that are owned by and used for the purposes of:
(a)The City or a Local Board thereof;
(b)a Board of Education;
(c)The Region of Durham, or a Local Board thereof.
Approvals for Development
2.4
(a)A Community Benefits Charge shall be imposed only with respect to
Development that requires one or more of the following approvals:
(i)the passing of a Zoning By-Law or of an amendment to a Zoning By-Law
under section 34 of the Planning Act;
(ii)the approval of a minor variance under section 45 of the Planning Act;
(iii)a conveyance of land to which a by-law passed under subsection 50 (7) of
the Planning Act applies;
(iv)the approval of a plan of subdivision under section 51 of the Planning Act;
(v)a consent under section 53 of the Planning Act;
(vi)the approval of a description under section 9 of the Condominium Act,
1998, SO 1998, c 19, as amended, or any successor thereof; or
(vii)the issuing of a permit under the Building Code Act, 1992 in relation to a
building or structure.
(b)Despite subsection 2.4 (a) above, a Community Benefits Charge shall not be
imposed with respect to:
Watson & Associates Economists Ltd. PAGE B-7
H:\Pickering\2022 DC and CBC\Report\CBC By-law - Draft-Updated.docx
(i)Development of a proposed building or structure with fewer than five
storeys at or above ground;
(ii)Development of a proposed building or structure with fewer than 10
residential units;
(iii)Redevelopment of an existing building or structure that will have fewer
than five storeys at or above ground after the redevelopment;
(iv)Redevelopment that proposes to add fewer than 10 residential units to an
existing building or structure; or
(v)such types of Development or Redevelopment as are prescribed.
(c)For the purposes of this section, the first Storey at or above ground is the
Storey that has its floor closest to Grade and its ceiling more than 1.8m above
Grade.
Exemptions
2.5 Notwithstanding the provisions of this By-law, Community Benefits Charges shall
not be imposed with respect to:
(a)Development or Redevelopment of a building or structure intended for use as a
long-term care home within the meaning of subsection 2 (1) of the Long-Term
Care Homes Act, 2007
(b)Development or Redevelopment of a building or structure intended for use as a
retirement home within the meaning of subsection 2 (1) of the Retirement
Homes Act, 2010;
(c)Development or Redevelopment of a building or structure intended for use by
any of the following post-secondary institutions for the objects of the institution:
(i)a university in Ontario that receives direct, regular and ongoing operating
funding from the Government of Ontario;
(ii)a college or university federated or affiliated with a university described in
subparagraph (i);
(iii)an Indigenous Institute prescribed for the purposes of section 6 of the
Indigenous Institutes Act, 2017.
(d)Development or Redevelopment of a building or structure intended for use as a
memorial home, clubhouse or athletic grounds by an Ontario branch of the
Royal Canadian Legion.;
(e)Development or Redevelopment of a building or structure intended for use as a
hospice to provide end-of-life care;
Watson & Associates Economists Ltd. PAGE B-8
H:\Pickering\2022 DC and CBC\Report\CBC By-law - Draft-Updated.docx
(f)Development or Redevelopment of a building or structure intended for use as
residential premises by any of the following entities:
(i)a corporation to which the Not-for-Profit Corporations Act, 2010 applies,
that is in good standing under that Act and whose primary object is to
provide housing;
(ii)a corporation without share capital to which the Canada Not-for-profit
Corporations Act applies, that is in good standing under that Act and
whose primary object is to provide housing;
(iii)a non-profit housing co-operative that is in good standing under the
Co-operative Corporations Act.
Amount of Charge
2.6 The amount of a Community Benefits Charge payable in any particular case shall
be determined based on the charges set out in Schedule “A” to this by-law.
In-Kind Contributions
2.7 The City may, at its discretion, allow an Owner of Land to provide to the City
facilities, services or matters required because of Development or Redevelopment
in the area to which the By-law applies in lieu, or partially in lieu of a Community
Benefits Charge that would otherwise be payable.
2.8 For in-kind contributions pursuant to the preceding subsection to be considered, an
application for consideration of in-kind contributions must be submitted to the City
with supporting documentation as to the suggested value thereof no less than 180
days prior to the first building permit being granted for the proposed Development or
Redevelopment.
2.9 In-kind contributions pursuant to subsection 2.7 shall only be accepted as if the
same are approved by resolution of Council. The determination of Council as to
whether in-kind contributions shall be accepted in full or partial satisfaction of
Community Benefits Charges shall be final and binding.
2.10 The value attributed to an in-kind contribution under subsection 2.7 shall be as
determined by Council, based on one or more third-party valuations to the
satisfaction of Council. Council’s determination of the value to be attributed to any
in-kind contribution shall be final and binding.
Time of Payment of Community Benefits Charges
2.11 Community Benefits Charges imposed under this By-law shall be payable prior to
the issuance of any building permit for the proposed Development or
Redevelopment.
Watson & Associates Economists Ltd. PAGE B-9
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2.12 Notwithstanding subsection 2.11, Community Benefit Charges shall not apply to
building permit applications received prior to July 1, 2022, provided:
(a)the permit application is complete in terms of the applicant's submission
requirements set out in the building code and the City's Building By-law;
(b)applicable law approvals prescribed in the building code have been obtained or
applied for; and
(c)the building permit or a conditional building permit is issued for all or part of the
building by August 15, 2022.
Interest on Refunds
2.13 If it is determined that a refund is required, the City shall pay interest on a refund in
accordance with subsections 37 (28) and 37 (29) of the Act at a rate not less than
the prescribed minimum interest rate, from the day the amount was paid to the
municipality to the day it is refunded.
Indexing
2.14 The Community Benefits Charges referred to in Section 2.6 shall be adjusted
annually, without amendment to this By-law, as of July 1 each year.
(a)The rates in Schedule “A” shall be adjusted annually in accordance with the
change in the index for the most recently available annual period ending March
31 for the Statistics Canada Non-Residential Building Construction Price Index
for Toronto.
(b)The indexed Community Benefits Charges effective July 1 each year shall not
apply to building permit applications received prior to the July 1 effective date,
provided:
(i)the permit application is complete in terms of the applicant's submission
requirements set out in the building code and the City's Building By-law;
(ii)applicable law approvals prescribed in the building code have been
obtained or applied for; and
(iii)the building permit or a conditional building permit is issued for all or part
of the building by the date set out in the Region of Durham’s annual report
on the indexing of Development Charges.
3.SEVERABILITY
3.1 If, for any reason, any provision of this By-law is held to be invalid, it is hereby
declared to be the intention of Council that all the remainder of this By-law shall
continue in full force and effect until repealed, re-enacted, amended or modified.
Watson & Associates Economists Ltd. PAGE B-10
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DATE BY-LAW IN FORCE
3.2 This By-law shall come into effect at 12:01 A.M. on July 12, 2022.
Passed this 11th day of July 2022.
MAYOR
CITY CLERK
Watson & Associates Economists Ltd. PAGE B-11
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Schedule “A”
Schedule of Community Benefits Charges
Apartments - 2
Bedrooms +
Apartments -
Bachelor and
1 Bedroom
C.B.C. by Dwelling Unit Type 1,070 657
Description
Residential
Attachment #6A to Report FIN 12-22
June 24, 2021 City Development Department
City of Pickering
One The Esplanade
Pickering, ON, L1V 6K7
Attn: Kyle Bentley
Director, City Development & CBO
RE: Proposed Community Benefits Charge Strategy and By-law – Universal City
F-4920-016 and L-2000-011
City of Pickering
We are the planning agents representing Unique AT Holding Corporation, Universal City One
Developments Inc., Universal City Two Developments Inc., Universal City Three Developments
Inc., Universal City Six Developments Inc., and Universal City Seven Developments Inc.
(collectively “Chestnut Hill Developments”) the registered owner of the lands municipally
identified as 1480 Bayly Street (UC1), 1435 Celebration Drive (UC2), 1455 Celebration Drive
(UC3), 1470 Bayly Street (UC4-UC5), 1010 Sandy Beach Road (UC6), and Part Lot 21,
Concession 1 (UC7), (collectively “Universal City”) in the City of Pickering.
We have reviewed the proposed Community Benefits Charge Strategy and the proposed
Community Benefits Charge By-law (the “CBC”), as well as Council Report PLN 32-22 presented
at the Special Meeting of Council held on June 20, 2022 with respect to this matter and have
concerns with the lack of transition policies that should be applicable to existing, well advanced
development applications that have secured various development approvals and have undergone
a lengthy review and approvals process.
The opportunity for municipalities to enact and apply a CBC was granted through Bill 197 as
referenced in the CBC Strategy and staff report; however, the precursor and concept for a CBC
was originally conceived of in Bill 108, the More Homes, More Choices Act (2019). One of the
primary purposes of this legislation was to enact amendments to the Planning Act that would
ensure stability and certainty for the development industry in the calculation and application of
development levies for cost forecasting purposes, among addressing other provincial priorities.
Although we do not oppose the general intent and purpose of the CBC, nor a municipality’s right
to utilize such revenue tools as may be available to them, we do have concerns that the current
draft of the CBC lacks appropriate transition regulations.
We would be happy to engage in further discussions with City staff regarding the implementation
of the CBC. We request to be notified of all future meetings, reports and decisions regarding this
matter, and reserve the right to provide further comments as it relates to the CBC.
2
Please do not hesitate to contact the undersigned at extension 252 or Ryan Guetter at extension
241 if you require any additional information.
Yours truly,
Weston Consulting
Per:
Michael A. Vani, BURPI, MCIP, RPP
Associate
c.Chestnut Hill Developments
Friedman Law Professional Corporation
Attachment #6B to Report FIN 12-22
The Corporation of the City of Pickering
By-law No. 7954/22
Being a By-law to Establish Community Benefits Charges for
the City of Pickering and hereby establish the Community
Benefits Charges Reserve Fund.
Whereas the City of Pickering (the “City”) will experience growth through development
and re-development; and
Whereas Council desires to impose Community Benefits Charges against land to pay
for the capital costs of facilities, services and matters required because of development
or redevelopment in the area to which the by-law applies; and
Whereas the Planning Act, 1990 (the “Act”) provides that the council of a municipality
may by by-law impose Community Benefits Charges against higher density residential
development or redevelopment; and
Whereas a Community Benefits Charge Strategy report, dated May 20, 2022, and
updated June 23, 2022, has been completed which identifies the facilities, services and
matters that will be funded with Community Benefits Charges and complies with the
prescribed requirements; and
Where as the City has consulted with the public and such persons and public bodies as
the City considers appropriate; and
Whereas on July 11, 2022, Council for the City of Pickering approved Report FIN 12-22,
dated July 11, 2022, in which certain recommendations were made relating to the
Community Benefits Strategy and By-law; and
Whereas the Municipal Act, SO, 2001, as amended, section 417 (1), the Council of the
Corporation of the City of Pickering may establish and maintain a reserve fund for any
purpose for which it has authority to expend funds;
Now therefore the Council of the Corporation of the City of Pickering hereby enacts as
follows:
1.Interpretation
In this By-law, the following items shall have the corresponding meanings:
“Act” means the Planning Act, R.S.O. 1990, Chapter P.13;
“Apartment” means a dwelling unit in an apartment building;
Attachment #7 to Report FIN 12-22
By-law No. 7954/22 Page 2
“Apartment Building” means a residential building or the residential portion of a
mixed-use building consisting of more than 3 dwelling units, which dwelling units
have a common entrance to grade, but does not include a triplex, semi-detached
duplex, semi-detached triplex, and townhouse. Notwithstanding the foregoing, for
the purpose of applying the Community Benefits Charges, an Apartment Building
includes a Stacked Townhouse;
“Bedroom” means any room used, or designed or intended for use, as sleeping
quarters;
“Building” means any structure or building as defined in the Ontario Building Code
(O Reg. 332/12 under the Building Code Act, but does not include a vehicle;
“Building Code Act” means the Building Code Act, 1992, SO 1992, c 23 as
amended;
“Capital Costs” means growth-related costs incurred or proposed to be incurred by
the City or a Local Board thereof directly or by others on behalf of, and as
authorized by, the City or Local Board:
(a)to acquire land or an interest in land, including a leasehold interest;
(b)to improve land;
(c)to acquire, lease, construct or improve buildings and structures;
(d)to acquire, construct or improve facilities including;
(i)furniture and equipment; and
(ii)rolling stock;
(e)to undertake studies in connection with any of the matters referred to in
clauses (a) to (d) above, including the Community Benefits Charge strategy
study;
required for the provision of Services designated in this By-law within or outside the
City, including interest on borrowing for those expenditures under clauses (a) to (e)
above;
“City” means The City of Pickering or the geographic area of the municipality, as the
context requires;
“Community Benefits Charge” means a charge imposed pursuant to this By-law;
“Council” means the Council of the City of Pickering;
“Development” means the construction, erection, or placing of one or more
Buildings or structures on land or the making of an addition or alteration to a
building or structure that has the effect of increasing the size or usability thereof or
any development requiring any of the actions described in subsection 2.4 (a), and
includes Redevelopment;
By-law No. 7954/22 Page 3
"Dwelling Unit" means a room or suite of rooms used, or designed or intended for
use by one person or persons living together, in which culinary and sanitary
facilities are provided for the exclusive use of such person or persons;
“Grade” means the average level of proposed or finished ground adjoining a
building at all exterior walls;
“Land” (or “Lot”) means, for the purposes of this By-law, the lesser of the area
defined as:
(a)The whole of a parcel of property associated with the Development or
Redevelopment and any abutting properties in which a person holds the fee or
equity of redemption in, power or right to grant, assign or exercise a power of
appointment in respect of; or
(b)The whole of a lot or a block on a registered plan of subdivision or a unit within
a vacant land condominium that is associated with the Development or
Redevelopment;
but not including any hazard lands, natural heritage features, or ecological buffers
identified in the City’s Official Plan, an approved Secondary Plan, or through an
environmental impact study accepted by the City;
“Owner” means the owner of Land or a person who has made application for an
approval for the Development of land for which a Community Benefits Charge may
be imposed;
“Prescribed” means prescribed in the regulations made under the Act;
“Redevelopment” means the construction, erection or placing of one or more
Buildings on Land where all or part of a Building on such Land has previously been
demolished, or changing the use of a Building from a Non-Residential Use to a
Residential Use, or changing a Building from one form of Residential Use to
another form of Residential Use and including any Development or Redevelopment
requiring any of the actions described in subsection 2.4 (a);
“Residential Unit” means a room or suite of rooms used, or designed or intended for
use by one person or persons living together, in which culinary and sanitary
facilities are provided for the exclusive use of such person or persons;
“Residential Use” means lands, buildings or structures used, or designed or intended
for use as a home or residence of one or more individuals, and shall include, but is
not limited to, a single detached dwelling, a semi-detached dwelling, a townhouse, a
plex, a stacked townhouse, an apartment building, a mobile home, a retirement
residence and a residential dwelling unit accessory to a non-residential use;
“Service” means a service designated in subsection 1.3, and “Services” shall have
a corresponding meaning;
By-law No. 7954/22 Page 4
“Stacked Townhouse” means a building, other than a duplex, triplex, townhouse, or
apartment building, containing at least 3 dwelling units, each dwelling unit
separated vertically and/or horizontally and each dwelling unit having a separate
entrance to grade;
“Storey” means the portion of a building, excluding roof top enclosure space used
for no other purpose than roof top access, and/or elevators and other building
service equipment:
(a)that is situated between the top of any floor and the top of the floor next above
it, or
(b)that is situated between the top of the floor and the ceiling above the floor, if
there is no floor above it;
“Valuation date” means, with respect to land that is the subject of Development or
Redevelopment;
(a)the day before the day the building permit is issued in respect of the
Development or Redevelopment, or
(b)if more than one building permit is required for the Development or
Redevelopment, the day before the day the first permit is issued;
“Zoning By-Law” means any by-law enacted by the City under section 34 of the
Planning Act.
1.2 The reference to any applicable statute, regulation, by-law, or to the Official Plan in
this Community Benefits Charge By-law shall be deemed to refer to the statute,
regulation, by-law, and/or Official Plan as they may be amended from time to time
and shall be applied as they read on the date on which Community Benefits
Charges are due to the City.
Designation of Services
1.3 A Community Benefits Charge may be imposed in respect of the following:
(a)Land for park or other public recreational purposes in excess of lands
dedicated or cash-in-lieu payments made under section 42 or subsection 51.1
of the Planning Act;
(b)Services not provided under subsection 2 (4) of the Development Charges
Act;
(c)As per the June 20, 2022, and updated June 23, 2022 Community Benefits
Charges Strategy, the City intends to recover Capital Costs relating to the
following services through this by-law:
(i)Arts, Culture, and Museum;
(ii)Animal Adoptions; and
(iii)Administration.
By-law No. 7954/22 Page 5
2.Payment of Community Benefits
2.1 Community Benefits Charges shall be payable by the Owner of Land proposed for
Development in the amounts set out in this By-law where:
(a)the Land proposed for Development is located in the area described in
subsection 3.2; and
(b)the proposed Development requires any of the approvals set out in
subsection 2.4 (a).
Area to Which By-law Applies
2.2 Subject to subsection 2.3, this By-law applies to all lands in the City.
2.3 This By-law shall not apply to lands that are owned by and used for the purposes
of:
(a)The City or a Local Board thereof;
(b)a Board of Education;
(c)The Region of Durham, or a Local Board thereof.
Approvals for Development
2.4 (a) A Community Benefits Charge shall be imposed only with respect to
Development that requires one or more of the following approvals:
(i)the passing of a Zoning By-Law or of an amendment to a Zoning By-Law
under section 34 of the Planning Act;
(ii)the approval of a minor variance under section 45 of the Planning Act;
(iii)a conveyance of land to which a by-law passed under subsection 50 (7)
of the Planning Act applies;
(iv)the approval of a plan of subdivision under section 51 of the Planning Act;
(v)a consent under section 53 of the Planning Act;
(vi)the approval of a description under section 9 of the Condominium Act,
1998, SO 1998, c 19, as amended, or any successor thereof; or
(vii)the issuing of a permit under the Building Code Act, 1992 in relation to a
building or structure.
(b)Despite subsection 2.4 (a) above, a Community Benefits Charge shall not be
imposed with respect to:
By-law No. 7954/22 Page 6
(i)Development of a proposed building or structure with fewer than five
storeys at or above ground;
(ii)Development of a proposed building or structure with fewer than 10
residential units;
(iii)Redevelopment of an existing building or structure that will have fewer
than five storeys at or above ground after the redevelopment;
(iv)Redevelopment that proposes to add fewer than 10 residential units to an
existing building or structure; or
(v)such other types of Development or Redevelopment as are prescribed by
Regulation.
Exemptions
2.5 Notwithstanding the provisions of this By-law, Community Benefits Charges shall
not be imposed with respect to:
(a)Development or Redevelopment of a building or structure intended for use as
a long-term care home within the meaning of subsection 2 (1) of the
Long-Term Care Homes Act, 2007;
(b)Development or Redevelopment of a building or structure intended for use as
a retirement home within the meaning of subsection 2 (1) of the Retirement
Homes Act, 2010;
(c)Development or Redevelopment of a building or structure intended for use by
any of the following post-secondary institutions for the objects of the institution:
(i)a university in Ontario that receives direct, regular and ongoing operating
funding from the Government of Ontario;
(ii)a college or university federated or affiliated with a university described in
subparagraph (i);
(iii)an Indigenous Institute prescribed for the purposes of section 6 of the
Indigenous Institutes Act, 2017.
(d)Development or Redevelopment of a building or structure intended for use as
a memorial home, clubhouse or athletic grounds by an Ontario branch of the
Royal Canadian Legion;
(e)Development or Redevelopment of a building or structure intended for use as
a hospice to provide end-of-life care;
(f)Development or Redevelopment of a building or structure intended for use as
residential premises by any of the following entities:
By-law No. 7954/22 Page 7
(i)a corporation to which the Not-for-Profit Corporations Act, 2010 applies,
that is in good standing under that Act and whose primary object is to
provide housing;
(ii)a corporation without share capital to which the Canada Not-for-profit
Corporations Act applies, that is in good standing under that Act and
whose primary object is to provide housing;
(iii)a non-profit housing co-operative that is in good standing under the
Co-operative Corporations Act.
Amount of Charge
2.6 The amount of a Community Benefits Charge payable in any particular case shall
be determined based on the charges set out in Schedule “A” to this by-law.
In-Kind Contributions
2.7 The City may, at its discretion, allow an Owner of Land to provide to the City
facilities, services or matters required because of Development or Redevelopment
in the area to which the By-law applies in lieu, or partially in lieu of a Community
Benefits Charge that would otherwise be payable.
2.8 For in-kind contributions pursuant to the preceding subsection to be considered, an
application for consideration of in-kind contributions must be submitted to the City
with supporting documentation as to the suggested value thereof no less than 180
days prior to the first building permit being granted for the proposed Development
or Redevelopment.
2.9 In-kind contributions pursuant to subsection 2.7 shall only be accepted if the same
are approved by resolution of Council. The determination of Council as to whether
in-kind contributions shall be accepted in full or partial satisfaction of Community
Benefits Charges shall be final and binding.
2.10 The value attributed to an in-kind contribution under subsection 2.7 shall be as
determined by Council, based on one or more third-party valuations, to the
satisfaction of Council. Council’s determination of the value to be attributed to any
in-kind contribution shall be final and binding.
Time of Payment of Community Benefits Charges
2.11 Community Benefits Charges imposed under this By-law shall be payable prior to
the issuance of any building permit for the proposed Development or
Redevelopment.
Interest on Refunds
2.12 If it is determined that a refund is required, the City shall pay interest on a refund in
accordance with subsections 37 (28) and 37 (29) of the Act at a rate not less than
the prescribed minimum interest rate, from the day the amount was paid to the
municipality to the day it is refunded.
By-law No. 7954/22 Page 8
Indexing
2.13 The Community Benefits Charges referred to in Section 2.6 shall be adjusted
annually, without amendment to this By-law, as of July 1 each year as follows:
(a)The rates in Schedule “A” shall be adjusted annually in accordance with the
change in the index for the most recently available annual period ending
March 31 for the Statistics Canada Non-Residential Building Construction
Price Index for Toronto;
(b)The indexed Community Benefits Charges effective July 1 each year shall not
apply to building permit applications received prior to the July 1 effective date,
provided:
(i)the permit application is complete in terms of the applicant's submission
requirements set out in the building code and the City's Building By-law;
(ii)applicable law approvals prescribed in the building code have been
obtained or applied for; and
(iii)the building permit or a conditional building permit is issued for all or part
of the building by the date set out in the Region of Durham’s annual
report on the indexing of Development Charges.
3.Administration
3.1 That the Community Benefits Charge Reserve Fund be established in pursuant to
subsections 37 (45) to 37 (48) of the Planning Act.
3.2 Interest earned on the investment of fund balances shall form part of this reserve
fund.
3.3 Monies received for the payment of Community Benefits Charges may be invested
in securities (as permitted under the Municipal Act) and the interest earnings shall
be paid into the special account.
3.4 The monies contained in the reserve funds established under this Section shall be
invested in securities (as permitted under the Municipal Act), with any income
received credited to the Community Benefits Charge reserve funds, in relation to
which the investment income applies.
3.5 In each year, the municipality shall spend, or allocate, at least 60 percent of the
monies that are in the special account at the beginning of the year.
3.6 The municipality shall provide reports and information as set out in section 7 of
O.Reg. 509/20 under the Planning Act.
3.7 Community Benefits Charges are payable by electronic funds transfer or certified
cheque, at the applicable rates, or as otherwise may be approved by Council.
By-law No. 7954/22 Page 9
4.Severability
4.1 If, for any reason, any provision of this By-law is held to be invalid, it is hereby
declared to be the intention of Council that all the remainder of this By-law shall
continue in full force and effect until repealed, re-enacted, amended or modified.
Date By-law In Force
4.2 This By-law shall come into effect at 12:01 am on September 30, 2022.
Passed this 11th day of July 2022.
___________ _____________________
David Ryan, Mayor
___________ _____________________ Susan Cassel, City Clerk
By-law No. 7954/22 Page 10
Schedule “A” Schedule of Community Benefits Charges
Residential
Description Apartments – 2 Bedrooms +
Apartments –
Bachelor and
1 Bedroom
C.B.C. by Dwelling Unit Type 1,070 657
Attachment #8 to Report FIN 12-22
Attachment #9 to Report FIN 12-22
Attachment #10 to Report FIN 12-22
Toronto
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Osler, Hoskin & Harcourt LLP
Box 50, 1 First Canadian Place
Toronto, Ontario, Canada M5X 1B8
416.362.2111 MAIN
416.862.6666 FACSIMILE
Error! AutoText entry not defined. June 22, 2022
Sent By Electronic Mail
Paul Wirch
City of Pickering
1 The Esplanade S, Pickering, ON L1V 6K7
Dear Mr. Wirch:
Proposed Changes to the Parkland Conveyance By-law
We act on behalf of Pickering Developments Inc., the owners of properties located north
of Bayly Street, east of Squires Beach Road, south of the 401 and west of Church Street
South (the “Subject Properties”).
The Subject Properties are the location of the Durham Live entertainment and tourist
district. In addition to the existing hotel and casino, the Subject Properties are zoned
through a Minister’s Zoning Order for a range of uses including high density residential,
film studios and office and other employment uses.
Our client has a direct interest in ensuring that the City’s proposed parkland conveyance
by-law not only reflects the requirements of the Planning Act, but also is consistent with
and conforms to the broader planning policy regime in Ontario, and we make the following
submissions on its behalf.
It is our client’s submission that providing parkland is an important element of ensuring
quality of life for residents, visitors and employees in Pickering, and is also an important
part of the review and approval of development applications. However, the conveyance of
parkland cannot be at the expense of ensuring that development is affordable both to
potential homeowners as well as businesses looking to come to Pickering.
The proposed by-law simply reflects the requirements of the Planning Act, and does not
provide for any ability for either the City or landowners to provide flexibility in the delivery
of parkland or cash in lieu in order to ensure adequate park facilities are provided while
not jeopardizing affordability.
A number of approaches can be taken to provide for flexibility and cost certainty. In
particular, our client submits that the following tools should be used by the City in the
parkland by-law:
•A broad definition of what can be included in providing parks, and for which credit
is given. The delivery of strata parks, Privately Owned Public Space (POPS),
smaller (sometimes called “pocket” parks) as well as the dedication of woodlands
LEGAL_1:74998393.1
Page 2
with recreational trails all serve to provide for a broad range of park and recreational
facilities. The City should be including in the by-law a broad definition of what
kinds of dedications qualify for full credit;
• Fixed rates based on units and unit types. Where cash in lieu is provided, the setting
of reasonable fixed rates (as opposed to imposing the maximum rates available
under the Act) will give landowners certainty, while at the same time ensuring that
maximum rates.
• A percentage cap consistent with the recent changes to the Planning Act, with a
10% cap for sites less than 5 ha and 15% for sites larger than 5 ha.
Our client urges the City to examine all possible tools to ensure that parkland is delivered
in a cost effective manner.
We look forward to seeing the report to Council with a revised version of the by-law.
Yours truly,
Chris Barnett
Partner
CB:s
c: Pickering Developments Inc.
LEGAL_1:74998393.1
Attachment #11 to Report FIN 12-22
The Corporation of the City of Pickering
By-law Number 7955/22
Being a By-law to require the conveyance of land for park or
other public recreational purposes as a condition of
development or redevelopment, or the subdivision of lands.
Whereas Sections 42, 51(25), 51.1, and 53 of the Planning Act, R.S.O. 1990, chapter
P.13, provide that the Council of a local municipality may by by-law require that land be
conveyed to the municipality for park or other public recreational purposes as a
condition of development or redevelopment or the subdivision of lands;
Whereas Sections 42 and 51.1 of the Planning Act, R.S.O. 1990, chapter P.13,
provide for an alternate parkland rate for residential purposes of one hectare for each
300 dwelling units proposed for development provided the municipality has an official
plan that contains specific policies dealing with the provision of lands for park or other
public recreational purposes at such a rate;
Whereas Sections 42 and 51.1 of the Planning Act, R.S.O. 1990, chapter P.13, provide
that municipalities may require payment in lieu of land for park or other public
recreational purposes at an alternate rate of one hectare for each 500 dwelling units
proposed for development provided the municipality has an official plan that contains
specific policies dealing with the alternate rate for the provision of lands for park or other
public recreational purposes.
Whereas the use of an alternate parkland rate for conveyance (1 hectare: 300 dwelling
units) and an alternate rate for payment in lieu (1 hectare: 500 dwelling units) will
provide the City with increased versatility in providing parkland that efficiently serves the
needs of the community;
Whereas the City’s Parkland Conveyance By-law 7341/14 will expire on September 18, 2022,
and a new Parkland Conveyance By-law is required;
Now therefore the Council of The Corporation of the City of Pickering hereby enacts as
follows:
1.For the purposes of interpretation of this by-law, the following definitions shall
apply:
(a)“Development” means the construction, erection or placing or one or more
buildings or structures on land or the making of an addition or alteration to
a building or structure that has the effect of substantially increasing the
size or usability thereof;
By-law No. 7955/22 Page 2
(b)“Redevelopment” has the same meaning as Development;
(c)“Subdivision” means the process referred to in Section 50 of the Planning
Act, R.S.O. 1990, chapter P.13.
2.This By-law shall apply to the whole City of Pickering.
3.As a condition of Development or Redevelopment of lands for any purpose other
than commercial or industrial, Council shall require that land be conveyed to the
City, free and clear of all liens and encumbrances, for park or other public
recreational purposes in the amount of five percent (5%) of the land for such
Development.
4.As a condition of subdivision of lands for any purpose other than commercial or
industrial, Council shall require that land be conveyed to the City, free and clear
of all liens and encumbrances, for park or other public recreational purposes in
the amount of five percent (5%) of the land proposed for such development.
5.As an alternative to Sections 3 and 4 above, as a condition of Development or
Redevelopment or in the case of subdivision of land as a condition of approval of
subdivision of lands for development in High Density Residential Areas and
Mixed Use Areas in accordance with the City of Pickering Official Plan, Council
may require that land be conveyed to the City for park or other public recreational
purposes at a rate of one hectare for each 300 dwelling units proposed.
However, in no case shall the parkland dedication be less than that required in
Sections 3 and 4 above.
6.As an alternative to Section 5 above, Council may require a payment in lieu of a
portion or all of the land otherwise to be conveyed under this by-law, calculated
by using a rate of one hectare for each 500 dwelling units proposed.
7.As a condition of Development or Redevelopment of lands for commercial or
industrial purposes, Council shall require that land be conveyed to the City, free
and clear of all liens and encumbrances, for park or other public recreational
purposes in the amount of two percent (2%) of the land proposed for such
development.
8.As a condition of subdivision of lands for commercial or industrial purposes,
Council shall require that land be conveyed to the City, free and clear of all liens
and encumbrances, for park or other public recreational purposes in the amount
of two percent (2%) of the land proposed for such development.
9.As an alternative to Sections 3, 4, 7 and 8 above, Council may require a payment
in lieu of the land otherwise to be conveyed under this by-law, or such
combination of land and money as Council may require.
By-law No. 7955/22 Page 3
10.This by-law shall at all times be subject to the provisions of Section 42, 51.1,
51(25), and 53 of the Planning Act, R.S.O. 1990, chapter P.13, as amended from
time-to-time, or any successor thereto.
11.By-law 7341/14 of the Corporation of the City of Pickering being a by-law “To
require that land be conveyed to the City for park or other public recreational
purposes as a condition of development or redevelopment, or the subdivision of
lands” is hereby repealed.
12.This By-law shall come into effect as 12:01 am on July 12, 2022.
By-law passed this 11th day of July, 2022.
________________________________
David Ryan, Mayor
___________ _____________________ Susan Cassel, City Clerk