Quinte West council will hear a presentation on a subject that is sure to spark lively discussion in the coming weeks at its meeting today (Wednesday).
A representative from Watson & Associates Economists Ltd. will present a development charges (DC’s) background study.
Quinte West council last undertook a review of its development charges in 2020. Provincial legislation requires the City to review its development charges every five years. In April 2023, the City engaged Watson & Associates Economists Ltd. to review the City’s current development charges.
Development charges help the city pay for increased demand for municipal services resulting from growth.
The DC’s are charged to developers to pay for municipal costs created by the development so existing taxpayers don’t pick up the tab for costs
they have nothing to do with and did not cause.
New residential/commercial developments can cause extra costs for police/fire, transit, parks and recreation, library, paramedic and garbage collection services.
The study to be reviewed by council today projects population growth and capital costs for new development over a 10 to 20 year period and anticipates costs to be recovered through DC’s at almost $245 million.
Under Quinte West’s current DC by-law, which must be renewed, the DC’s on a new single detached home is just over $15,000.
The consultants estimate the DC charge should be dramatically increased to almost $37,000 per single detached home to pay for growth.
Increases can be phased over a 5 year period and council makes any final decision on DC’s.
Following today’s presentation it’s proposed a stakeholders (home builders) meeting be held the week of July 8 to discuss the report.
A public council meeting would be held on the study July 17 and council is expected to consider and pass a new DC by-law August 14.
The entire DC background study can be seen here.
