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HomeMy WebLinkAboutFIN 22/99 ,,-.. ~'" OF PIC ~O!fl.-" \ J: ~~ Z f- Gl ~ REPORT TO COUNCIL ~ FROM: Gillis A. Paterson Director of Finance & Treasurer DATE: August 13, 1999 REPORT NUMBER: FIN 22-99 SUBJECT: 1999 Development Charges Study for the Town of Pickering RECOMMENDATIONS: Il is recommended to Council that: 1. 2. .' f \ - \ l \ 3. the Development Charges Background Study as updated to July 5, 1999 be adopted, as required under Section 10(1) of the Development Charges Act, 1997; the Capital Works Forecasts contained in the Background Study be indicative of Council's intcntion to ensure that the capital expenditures required to meet the increase in nced for services related to the forecasted development will be met, as required under Paragraph J of Sub-Section 5( 1) of the Development Charges Act, 1997; a) the Residential Development Charges for the unit types as included in Table 1 (A) below be approved to be imposed on a uniform Town-wide basis effective September I, 1999: .- TABLE I (A) TOWN OF PICKERING RESIDENTIAL DEVELOPMENT CHARGES Pcr Hcsidcnlial Dwclling Unit Effcctin Scntcmber I, 1999 APARTMENTS SINGLE & ALL OTHER TWO BEDRM ONE BEDRM SEMI- DWELLING & LARGER & SMALLER DETACHED UNITS General Government Studies 98 80 54 41 Fire Protection - Buildings 58 48 32 24 Vehicles & Equipment 95 78 53 40 Transportation Roads Related/Storm Drainage 3,036 2,488 1,687 1,265 Transit 135 III 75 56 Transit Vehicles & Equipment 43 35 24 18 Parks & Recreation Major Recreation Facilities 1,086 890 603 453 Parkland Development & Trails 1,023 838 568 426 Library Facilities 192 157 107 80 Materials 161 132 89 67 TOTAL 5,927 4,857 3,292 2,470 Report to Council FIN22-99 Date: August 13, 1999 - Subject: 1999 Development Charges Study for the Town of Pickering Page 2 3 b) the Residential Development Charges for the unit types as included in Table 1 (B) below be approved to be imposed on a uniform Town-wide basis effective January 1, 2000: I. - TABLE 1 (B) TOWN OF PICKERING RESIDENTIAL DEVELOPMENT CHARGES per Residential Dwelling Unit Effective Januarv 1, 2000 AP ARTMENTS SINGLE & ALL OTHER TWO BEDRM ONE BEDRM SEMI- DWELLING & LARGER & SMALLER DETACHED UNITS General Government Studies 98 80 54 41 Fire Protection - DlIildings 58 48 32 24 Vehicles & Equipment 95 78 53 40 Transportation Roads Related/Storm Drainage 3,112 2,550 1,729 1,297 Transit 212 174 118 88 Transit Vehicles & Eauioment 43 35 24 18 Parks & Recreation Major Recreation Facilities 1,207 989 671 503 Parkland Development & Trails 1,129 925 627 470 Library Facilities 192 157 107 80 Materials 161 132 89 67 TOTAL 6,307 5,168 3,504 2,628 4. the Non-Residcntial (Commercial, Industrial and Institutional) Development Chargc be imposed on a uniform Town-wide basis effective September 1, 1999 at the rate of $11.00 per square metre ($1.02 per square foot). 5. the Pickering Hydro Development Charge for all development types be discontinued effective September 1, 1999; INDEXING 6. residential and non residential (commercial, industrial and institutional) development charges be indexed annually on July 1 each year by applying the annual change in the Statistics Canada Quarterly "Construction Price Statistics" to March 31 of each year; EXEMPTIONS 7. all exemptions and exceptions be as required under the Development Charges Act, 1997 including residential building pem1its not resulting in the creation of an additional dwelling unit; all non-residential building pem1its not resulting in the creation of additional commercial, industrial or institutional gross floor area; seniors housing; and, charitable organizations as defined in By-Law 5546/99; ",.... COLLECTION POLICY 8. Development Charges for the Town of Pickering be payable by cash or certified cheque at the rates in effect at the time of payment upon issuance of the building pem1it(s) or as othClwise may be approved by Council; I Report to Council FIN22-99 Date: August 13, 1999 """'" Subject: 1999 Development Charges Study for the Town of Pickering Page 3 ,.._.~-_:~ ...... 9. Council may consider allowing a person to perform work that relates to a service to which the Development Charge By-Law relates and if it agrees shall give the person a credit towards a development charge otherwise payable in exchange for the related work; GENERAL 10. Reserve Funds for which the Development Charges are collected under the attached by-law be established for each service and that the residential and non-residential components be separately identified; 11. Reserve Funds be established for the Town's share, ie. the nondevelopment 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; 12. the existing Reserve Funds for services no longer eligible to be financed from development charges be separately maintained, with applications or withdrawals being as approved in the 1999 and prior year's Capital Budgets, and future Capital Budgets or reports to Council subject to Section 63(3) of the Development Charges Act, 1997; 13. the originally proposed by-law has been changed since the second public tneeting on July 20, 1999, but no further public meeting under the Development Charges Act, 1997 (S.12) is necessary; ,,- 14. the Director of Finance and Treasurer and other appropriate staff be authorized to continue working towards a Master Servicing and Financing Plan for the Town of Pickering; 15. the Clerk of the Town of Pickering be instructed to undertake the notification provisions under the Development Charges Act, 1997 and Ontario Regulation 82/98; 16. the By-Law attached to this Report be read three times and approved at this meeting of Council; 17. the appropriate staff of the Town of Pickering be authorized to give effect thereto. ORIGIN: Director of Finance & Treasurer AUTHORITY: Development Charges Act, 1997 FINANCIAL IMPLICATIONS: "",... Approval of the Recommendations contained in this Report together with the information contained in the Background Study should provide for the provision of services and the financing thereof as will be required for new development. However, the effect on future years' property taxes will continue to be reviewed. The loss of Provincial Conditional Grants otherwise payable for similar projects in past years has a significant effect on the revised development charge and future years tax revenue requirements. Report to Council FIN22-99 Date: August 13, 1999 -_...--~- - --- Subject: 1999 Development Chargcs Study for the Town of Pickering Page 4 EXECUTIVE SUMMARY: As required under thc Development Charges Act, 1997 a complete review of dcvelopmcnt forecasts, servicing necds, 1inancial implications and 1inancing requiremcnts has been undertakcn by the consultant, C.N. Watson & Associates and staff of the Town 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 Town of Pickering. Financing for thcse projects will come from development charges for the development related portion and the tax levy, or other sources ofrevenue as may be available, for the portions attributable to existing development or increases in the level of service. The revised development charges stipulated in Recommendation 3 (a) this repOli will become effective for all building permits issued on or after September 1, 1999. In accordance with the Town's past practices, however, a transition practice will be applied to permit applications currently being processed, and other applications received prior to September 1, which may not be issued prior to that date. Accordingly, any bona-fide and complete pem1it application received prior to the effective date of this by-law, which could, given sufficient time and resources, be issued by the Town, will be subject to the present development charges. This practice is essential for the orderly review and issuance of building pCllllits during the development charge transition period. Provision for this has been included in the by-law. The same will apply to the development charges implemented on January 1, 2000 under Recoll1ll1cmlation 3 (b). - It is important to note that the Chief Administrative Officer, the Directors and staff of all Departments providing scrvices for the new dcvelopment and for which charges will apply, have been involved in this study and concur with this report and its recommendations. In addition thc by-law has been reviewed as to fom1 by the Town Solicitor. BACKGROUND: Reference is made to the Development Charges Background Study, July 5, 1999, for complete details of the study and the calculation ofthe Development Charges. AREAS 15 AND 16 At its meeting of June 28, 1999 Council passed the following motion: "I. that the Director of Finance report back to Council at the August 3, 1999 mecting, but no later than August 23, 1999 on the results of thc analysis of including the costs of servicing Area 15 with those of Areas 1 to 14 to produce a Town wide uniform development charge levy for Areas I to 15 and a separate development charge for Area 16; 2. that the results of the analysis under Recommendation I above be considered by Council in conjunction with the analysis of: (a) Town wide uniform development charge; and (b) A developmcnt charge for Areas 1 to 14 and Areas 15 and 16 combined as has been presented at the meeting of Council on August 3, 1999; ,.... 3. that given there has been two public meeting of the Council of the Town of Pickering to consider the various scenarios put forth and given that the analysis proposed under Recommendation I above is just a variation of that which has already been presented to the public and considcrcd by Council it is not necessary to hold another public meeting beyond that at which Council will consider all aspects of the development' charge no later than August 23, 1999." Report to Council FIN22-99 Date: August 13, 1999 ...... Subject: 1999 Development Charges Study for the Town of Pickering Page 5 The analysis was undertaken resulting in the following development charges for single and semi- detached units: Neighbourhoods I - 15 Neighbourhood 16. $6,317 $6,273 These results were very similar to the originally studied unifonn, Town wide levy of $6,307 for a single or semi detached unit as contained in the July 5 version ofthe Development Charges Study (the Study) by C.N. Watson & Associates Ltd and presented at the public meeting of Council on July 20, 1999. As a result, staff concluded that this levy should be recommended. '" NON-RESIDENTIAL DEVELOPMENT CHARGES The Study identified a potential non-residential development charge of $20.24 per square metre ($1.88 per square foot). It was felt that a charge of this magnitude had the potential to adversely affect non-residential development in the Town, especially when taken together with the recently implemented Regional charge and any that may be imposed by the Boards of Education. During the course of the Study it was detennined that Pickering Hydro would no longer be able to collect its charge ($11.03 per square metre) under Provincial Legislation governing deregulation of electrical utilities and their incorporation. As a result it is being recommended that the charge for Town purposes be set at approximately the same level ($11.00 per square metre or $1.02 per square foot) as the fonner hydro charge so that there is no new or increased financial impact upon such development. At a rate of $20.24 per square metre, the Study forecast was for approximately $15 million to be raised from the non-residential development charge. At a rate of $11 per square metre some $8 million will be raised. The revenue shortfall of $7 million resulting from the lower charge will have to be made up from future taxes or any other source of revenue available at the time. TAX IMPACT All projects included in the Study are prompted by the need to service new development. This need may be more as in the newer developing, less serviced areas or less as in the older areas of the Town. The more a project benefits development the more of the costs that can be recovered via development charges. It is the projects in the older, more developed parts of the Town that produce the most significant impacts on the tax levy as, in many instances, much of the financing Illust cOllle from the tax levy. On the other hand the size and number of projects in the newer areas produces a significant tax impact in total. In other instances the level of service per capita has decreased since the last capital expenditures and/or the 1991 Study. For example the Recreation Complex, built in 1983, has not been duplicated even though the population has increased approximately 70 percent thereby lower the per capita level of service. This results in less cost for the next complex being recoverable from future development charges and more from the tax levy. Finally, the loss of Provincial Conditional Grants has resulted in increased pressures on the development charges and the tax levy. As much as a "guesstimated" $17.5 million in provincial funding might have been received under old grants programs of which half or more would have benefitted the development charge with the remainder benefitting the tax levy. - Since the last public meeting of July 20, the potential future tax levy impact has been again reviewed regarding the overall affordability of the proposed program and its effect on future property taxes. Staff reviewed the projects with an emphasis on those in the roads category which includes local roads, bridges, sidewalks, street lights and traffic signals. The review resulted in a number of roads or bridges that could be considered for defeITal from the Study to be included in the annual Capital Budget of the Works Department. They may be found in the attached Appendix A. DefeITal of these projects to the annual Capital Budget produces a number of effects: Report to Council FIN22-99 Date: August 13, 1999 ~ Subject: 1999 Development Charges Study for the Town of Pickering Page 6 . The impact on the tax levy is reduced by approximately $27.6 million, decreasing the total tax increase originally forecasted to assist in financing the program; . The uniform Town wide development charges for a single or semi detached unit is decreased from $6,307 to $5,807 or only 4.7 percent higher than that currently in effect. If the deferral of the projects is approved by Council- no phasing should be required; '\ . The total non-residential (commercial, industrial, institutional) development charge resulting from the Study are reduced from $20.44 per square metre to approximately $18; . When these projects are eventually approved, the entire cost will be borne by the tax levy as approximately $8.5 million in potential development charge revenue will have been foregone. In summary, up to approximately $28 miIlion in roads projects may be deferred, reducing the tax impact by approximately $19 million. The total estimated tax impact is therehy reduced Irom approximately $55 million to $36 million over the 20 years. At the same time, approximately $8.5 million in potential development charge revenue wiIl have been foregone. In other words d~ferral of these projects from the development charges study to the annual capital budget is the equivalent of moving 70 cent tax dollars that are committed to 100 cent tax dollars that are uncommitted. ,.... CAI'ITAL LEVY In 1999 approximately $600,000 in such expenditures has been funded from the taxes as a "capital levy". If, for example I percentage point of the total annual assessment growth of 2 to 3 percentage points was a dedicated capital levy and added to the $600,000 already in place, sufficient financing should be in place in approximately six years, to be maintained for the balance of the study period. The foregoing will be subject to continued review, be a major component of the Master Servicing and Financing Plan and be a part of the annual budget deliberations. GENERAL Recommendation No. 7 provides for exemptions only as provided under the Development Charges Act, 1997. This means that any other arguments put forth for an exemption such as for seniors housing or charitable organizations must be considered and approved by Council, including any resultant effects on the tax levy. Recommendation No. II provides for the establishment of a Reserve Fund(s) into which contributions may be made, most likely from the tax levy. The objective is that funds will be accumulated, desirably on an annual basis, to be available to pay the non-development charge share of the costs (Town's share) at the time the project is approved by Council. This should help avoid undue upward pressure on the tax levy that can occur with uneven expenditure requirements. It is the intention to undertake an overview of the Study, the development charges and all sources of financing each year in conjunction with the preparation of the annual budgets. A Master Servicing and Financing Plan, when successfully completed, will complement this exercise and provide Coul1cil with infomlation it requires for future capital plarming. A complete, intensive development charge study will be undertakenl10 later than five years hence. .- .....--;::-". ./ - ""..... ""..... Report to Council FIN22-99 Date: August 13, 1999 Subject: 1999 Development Charges Study for the Town of Pickering Page 7 A IT ACHMENTS: , 1999 Development Charges Study Roads Project By- Law No. 5546/99 \ GAP:vw Attachments Copy: Thomas J. Quinn, Chief Administrative Officer Bruce Taylor, Town Clerk Department Heads Tim Moore, Chief Building Official Recommended for the consideration of Pickering Town Council Thomas J. Quinn, Chief Administrative Officer Prepared / Approved / Endorsed By: ~~- '-Giilis Paterson, Director of Finance & Treasurer < ~ .... Q Z ~ .... U ,<lJ O. .. p.. II) "0 ~ o c::: > ,,;Ii.' ,... 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II 'I Ii :1 II I I I ij Ii ,I Ii il Ii Ii " Being a by-law regarding Development Charges WHEREAS, pursuant to the provisions of section 2( I) 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 because of increased needs for servicing arising from development oftlle area to which the by-law applies; and WHEREAS the Council of the Corporation of the Town of Pickering, approved the Town of Pickering Development Charge Background Study, dated June 1, 1999, as updated on July 5, 1999, prepared by C.N. Watson & Associates Ltd., Economists; AND WHEREAS the Council has made the Background Study and proposed DC by-law available to the public at least two weeks prior to the public meetings and has given Notice in accordance with Section 12 of the Development Charges Act, 1997 of its development charges proposal and public meetings held on June 16, 1999 and July 20, 1999; AND WI IEREAS the Council has heard all persons who applied to be heard in objection to, or in support of, the proposed development charge by-law proposal at such public meetings, and provided a subsequent period for written communications to be made; AND WHEREAS the Council in adopting the Development Charge Background Study on August 16, 1999 directcd that developmcnt charges be imposed on land under development or redevelopment within the geographical limits of the municipality as hereinafler provided. NOW THEREFORE the Council of The Corporation of the Town of Pickering hereby ENACTS AS FOLLOWS: PART I APPLICATION I. (I) Subject to subsection (2), this by-law applies to all lands in the Town of Pickering, 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 for the 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; (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; t (e) development where, by comparison with the land at any time within five ycars previous to the imposition of the charge: (i) no additional dwelling units are being created; (ii) no additional non-residcntial gross floor area is bcing added. (3) An owner who has obtained a demolition pennit and demolished existing dwelling units or non-residential area in accordance with the provisions of the Building Code Act shall not bc subjeclto the devclopmcnt chargc under subscction (I) with respect to the development being replaced, provided that the building peonit for the replacement residential units or non-residential area is issued not more than 5 years after the date of demolition and provided that 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 section 6 and 11, respectively. (4) Council may agree to grant a full or partial exemption from development charges for group homes, nursing homes, retirement homes, non-profit housing and registered charitable organizations. 2. (I) 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 ofland 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; (c) a conveyance ofland 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 ofa description under Section 50 of the Condominium Act; or (g) the issuing of a pemlit under the Building Code Act, in relation to a building or structure. (2) Subsection (I) 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 thc owncr as a condition of approval undcr 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) Subsection (1) shall not apply with respect to only bona fide and complete permit applications received prior to the etTective date of this by-Jaw. ......, .~ '*' ii II II II r I I. j! 1\ Ii I - 3. (I) 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 (I) above, 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( I) occur at diOcrcnttimcs, and if thc subscqucnt action has the elrcct of incrcasing 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. PART II RESIDENTIAL DEVELOPMENT CHARGES 4. In this part, (a) "apartment" means a building or part of a building containing one or more dwelling units, none of which is a single-detached dwelling, a single-attached dwelling or a semi-detached dwelling; I II II II (b) "bedroom" means any habitable 1'00111 that allows for the use of one or more persons, including but not limited to, a den and family room, but does not include a room clearly designed as a kitchen, living room, dining room or bathroom; (c) "development charge" means residential development charge; (d) "dwelling unit" means a suite operating as a housekeeping unit, used or intended to be used as a domicile by one or more persons and usually containing cooking, eating, living, sleeping and sanitary facilities; (e) "garden suite" means a small one bedroom accessory suite in a separate building in the rear yard of a principal residence; (f) "grade" means the average level of finished ground adjoining a dwelling at all exterior walls; (g) "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 Ooors above the average level of finished ground adjoining the building at its exterior walls. (h) "semi-detached dwelling" means one of a pair of dwelling units attached together horizontally above or below grade or both above and below grade; (i) "single-attached dwelling" means one of a group of not less than three adjacent dwelling units attached together horizontally by above grade common walls; I I (j) "single-detached dwelling" means a single dwelling unit which is free-standing, separate and detached from any other building or structure. // 5. Development charges against land to be developed for residential use shall be based upon the tallowing designated services provided by the Town: ".... (a) development-related capital studies; (b) fire stations and equipment and services related thereto; (c) storm drainage and management works and equipment and services related thereto; (d) transportation, including roads, sidewalks, streetlights, traffic signals, works yards and equipment and services related thereto; (e) transit and equipment and services related thereto; (t) parkland development and trail development and equipment and services related thereto; (g) major indoor recreational facilities and equipment and services related thereto; and (h) libraries and furnishings and (non-computer) equipment and services related thereto, including circulating and non-circulating materials generaily provided to library users by public libraries. ,- 6. Subject to the provisions of this Part and this by-law, development charges against land to be developed for residential use shall be calculated, paid and collected at the following rates, with phasing in portions of this schedule of residential per unit charges as follows: TABLE 1 (A) EFFECTIVE SEPTEMBER 1, 1999 TYPE OF DWELLING UNIT TOWN WIDE CHARGE PER UNIT Single-detached dwelling, or semi-detached dwelling $5,927 Apaliment dwelling, two or more bedrooms $3,292 Apartment dwelling, less than two bedrooms (inclusive $2,470 of senior citizen apartment units) All other dwelling units $4,857 ,- TABLE 1 (B) EFFECTIVE JANUARY 1,2000 TYPE OF DWELLING UNIT TOWN wmE CHARGE PER UNIT Single-detached dweIling, or semi-detached dwelling $6,307 Apartment dwelling, two or more bedrooms $3,504 , Apaliment dwelling, less than two bedrooms (inclusive $2,628 of senior citizen apartment units) All other dwelling units $5,168 , i ,I -I II I I "".. 7. (I) Subject to subsections (2) and (3), section 6 shall not apply in respect of a renovation or nddition which involves the creation of: (a) one or two additional dwelling units in an existing single-detached dwelling; or (b) an additional dwelling unit in any other existing residential building; (c) garden suites. (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 (l)(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; ,- (b) in the case of any other residential building, the gross floor area of the smallest dwelling unit contained in the residential building. 8. 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 as part of constructing the non-residential space being converted. PART 1II NON-RESIDENTIAL DEVELOPMENT CHARGES 9. In this part, (a) "development charge" means non-residential development charge; (b) "grade" means the average level of finished ground adjoining a building at all exterior walls; (c) "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) I . I. retaIl sales by a manufacturer, producer or processor of somethmg they manufactured, produced or processed, if the retail sales are at the site where the manufacturing, production or processing takes place, - - ~ (iv) office or administrative purposes, if they are: (I) carried out with respect to manufacturing, producing, processlllg, storage or distributing or something, and (2) in or attached to the building or structure used for that manufacturing, I producing, processing, storage or distribution. (d) "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. (e) "non-residential" means designed, adapted or used for any purpose other than a dwelling or dwellings. (I) "total 0001' area" means the sum total of the areas of (he 110m wht:ther ahove 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 (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 following designated services provided by the Town: (a) transportation, including roads, sidewalks, streetlights, traffic signals, works yards and equipment and services related thereto; I\. ( I) Subject to the provisions of this Part and this by-law, development charges against land to be developed for non-residential use shall be calculated, paid and collected at the following rate: $11.00 per square metre of total floor area for the first year this by-law is in force; (2) lfa development includes the enlargement of the gross /loor area oLIJl existing industrial building, the amount of the development chaI ge that is payable in respect of the enlargement will be determined as follows: (a) if the gross floor area is enlarged by 50 percent or less, the amollnt 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 tht: amounl or the development charge that would otherwise be payable multiplied by the fraction determined as follows: (i) determine the amount by which the enlargement in b'TOSS floor area exceeds 50 percent of the gross floor area lawliJlly constructcd all!ll: time of building permit application; and - (ii) divide the amount determined under paragraph 1 by the amount of the I' enlargement. I 12. Where'residential floor space is to be converted to non-residential space, no development charge shall be paid. PARTlY ADMINISTRA nON 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 he developed lor residenlial use shall be calculated, paid and collected on a per dwelling unit or residential IIse basis in accordance with Part II of this by-law; (2) Council directs the Municipal Treasurer to divide the reserve funds created hereunder into the separate sub-accounts in accordance with the services set out in sections 5 and 10, to which the development charge payments shall be credited in accordance with the amounts shown, plus interest earned thereon. (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. The development charges referred to in sections 6 and 11 may be adjusted annually, without amendment to this by-law, as of July 1 each year, in accordance with the change in the index for the most recently available annual period ending March 31 for the Statistics Canada Quarterly, Construction Price Statistics, Catalogue Number 62-007. 17. This by-law shall be administered by the Finance Department and applied by the Chief Building Official. 18. This by-law shall come into force and effect on September 1, 1999 for a tenn not to exceed five years from the date of its enactment, unless it is repealed at an earlier date. 19. By-law No. 3854-91 (as amended) shall be repealed as of the date this by-law comes into force. - BY-LA W read a first, second and third time and finally passed this 16'h day of August, 1999. \' Wayne Arthurs, Mayor Bmce Taylor, Clerk -