HomeMy WebLinkAboutFIN 26-17CCq ,/
DICKERING
Report to
Executive Committee
Report Number: FIN 26-17
Date: December 4, 2017
From: Stan Karwowski
Director, Finance & Treasurer
Subject: Establishment of the Public Benefits Reserve Fund
Recommendation:
1. That Report FIN 26-17 of the Director, Finance & Treasurer regarding the
establishment of the Public Benefits Reserve Fund, in accordance with Section 37
of the Planning Act be received;
2. That Council approve the establishment of the Public Benefits Reserve Fund;
3. That the attached By-law be enacted; and
4. That the appropriate City of Pickering officials be authorized to take the necessary
actions as indicated in this report.
Executive Summary: The passage of the Smart Growth for our Communities Act
(Bill 73) enacted changes to the Planning Act. Included in these changes is the
requirement that municipalities maintain a special account (reserve fund) for funds
collected under Section 37 of the Planning Act. On an annual basis, the Treasurer is
required to provide a financial statement on this reserve fund. _
Financia[ Implications: None
Discussion: Section 37 of the Planning Act provides that a municipality can increase
the height and density of approved development in return for the provision of certain
facilities or services. This is commonly referred to as "density bonusing". Bill 73 (the
Smart Growth for our Community Act) amended Section 37 of the Planning Act by adding
the following new subsections:
FIN 26-17 December 4, 2017
Subject: Establishment of the Public Benefits Reserve Fund Page 2
(5) Special Account - All money received by the municipality under this Section shall
be paid into a special account and spent only for facilities, services and other matters
specified in the By-law;
(6) Investments - The money in the special account may be invested in securities in
which the municipality is permitted to invest under the Municipal Act, 2001; or the City
of Toronto Act, 2006, as the case may be, and the earnings derived from the
investment of the money shall be paid into the special account, and the auditor in the
auditor's annual report shall report on the activities and status of the account.
The By-law establishes a Public Benefits Reserve Fund for the collection of contributions
under Section 37 of the Planning Act.
Upon approval of the By-law, a financial statement relating to the reserve fund will be
reported to Council.
Attachments:
1. By-law to Establish the Public Benefits Reserve Fund Pursuant to Section 37 of the
Planning Act
Prepared By:
aryn Kong, CPA, C'6-77-(-
Senior
ASenior Financial Analyst — Capital
& Debt Management
Approved / Endorsed By:
Stan Karwowski, MBA, CPA, CMA
Director, Finance & Treasurer
Recommended for the consideration
of Pickering City Council
Tony Prevedel, P.Eng.
Chief Administrative Officer
.20, 2017
ATTACHMENT #r , / TO REPORT #.r":?.
The Corporation of the City of Pickering
By-law No.
Being a by-law to establish the Public Benefits Reserve Fund
pursuant to Section 37 of the Planning Act, R.S.O. 1990, c.P.13, as
amended
Whereas the Municipal Act, S.O. 2001, c.25, as amended, authorizes municipal councils
to establish reserve funds for any purpose for which it has authority to. spend money and;
Whereas the Council for the Corporation of the City of Pickering has provided for the
establishment of reserve fund; and
Whereas Section 37 of the Planning Act, R.S.O. 1990, c.P.13, as amended, permits a
municipality to enact a zoning by-law authorizing increases in height and density of
development otherwise permitted by the by-law in return for the provision of such
facilities, services or other matters as are set out in the by-law, provided that the
municipality's Official Plan authorizes such increases in height and density; and
Now therefore the Council of the Corporation of the City of Pickering hereby enacts as
follows:
1. That the Public Benefits Reserve Fund be established;
2. That all deposits to the Public Benefits Reserve Fund are subject to the signed
agreement between the City and developer pursuant to Section 37 of the Planning
Act;
3. That the Public Benefits Reserve Fund be utilized only for funds needed and
expended pursuant to Section 37 of the Planning Act;
4. If excess funds remain after completion of any particular community benefit, project
funded pursuant to Section 37 of the Planning Act, such excess funds shall remain
in the Public Benefits Reserve fund and shall be spent only in accordance with
Section 37 of the Planning Act;
5. Interest earned on the investment of fund balances shall form part of this reserve
fund;
6. Funds collected or received pursuant to Section 37 of the Planning Act prior to the
establishment of this reserve fund shall be transferred to this reserve fund.
By-law No. Page 2
7, This By-law comes into force on the date it is passed.
By-law passed this 11th day of December, 2017.
David Ryan, Mayor
Debbie Shields, City Clerk