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