On February 19 and March 25, the City of Hamilton Development Charges Stakeholder Sub-Committee met to review the proposal for exemptions and changes to the current development charges, and vote as to which changes/exemptions would be put forward for public consultation. RAHB participates within this sub-committee.

There will be a public meeting held on April 18 starting at 9:30 a.m., then recessed until 7 p.m. to ensure members of the public are able to attend and present their delegations.

If you have any objections to the below report or items carried, we encourage you to attend the meeting and provide a delegation with your argument. In order to present a delegation, please visit the City of Hamilton website at https://www.hamilton.ca/council-committee/council-committee-meetings/request-speak-committee-council and complete the required forms.

Below is the link to the full 630 page Development Charges Background Study:

2019 Development Charges Background Study – Full 630 pages

Below is the summary of the report that was presented to the sub-committee:

2019 Development Charges Background Study Summary

Below are the items voted upon and carried:

The Committee considered the staff recommendations and alternative recommendations for the following Development Charges exemption policies:

(i) Parking Structures
That the 2019 Development Charges By-law not provide an exemption for commercial parking.

(ii) Covered Sports Field
That the 2019 Development Charges By-law not provide an exemption for covered sports fields.

(iii) Small Industrial Rate
That the 2019 Development Charges By-law not provide a lower rate for small industrial developments.

(iv) Academic – Post Secondary / Not-for-Profit / Elementary/Secondary
That the 2019 Development Charge By-law continue to charge only the Transit component of the Development Charges for postsecondary academic space.

  1.  That the 2019 Development Charges By-law not provide an Academic Space exemption; and,
  2. That the 2019 Development Charges By-law require documentation from developers to support the mandatory exemption as a Crown agent.

(v) Affordable Housing
That the 2019 Development Charges By-law not provide an exemption for affordable housing.
(Note – the removal of the exemption was because the file was moved to another funding agent.)

(vi) Places of Worship
That the 2019 Development Charges By-law provide an exemption for Places of Worship, with clarification that revenue generating space is not exempt.

(vii) Public Hospitals
That the 2019 Development Charges By-law not provide exemptions for public hospitals.

(viii) Downtown Public Art Reserve Voluntary Contributions
That the 2019 Development Charges By-law maintain the current exemption for Downtown Public Art Reserve Voluntary Contributions, with an annual limit of $250,000 on the contributions that will be accepted by the City under this program.

(ix) Heritage Buildings
That the 2019 Development Charges By-law maintain the current exemption within the existing building envelope except for sections that are not covered by the Heritage designation.

(x) Redevelopment for Residential Facility
That the 2019 Development Charges By-law maintain the exemption for Redevelopment for Residential Facility.

(xi) Industrial Rate
That the 2019 Development Charges By-law maintain the current exemption, and continue with a 39% reduction, by charging 100% of the water and wastewater charges, and adjusting the percentage charged for services related to a highway component to achieve a combined reduction of 39%.

(xii) Expansion of an Existing Industrial Development
That the 2019 Development Charges By-law maintain the 50% Industrial expansion exemption as written in the 2014 Development Charges By-law, as amended.

(xiii) Transition Policy
That the 2019 Development Charges By-law maintain the Transition Policy tied to building permit applications.

(xiv) Student Residences
That the exemption for Student Residences be maintained in the 2019 Development Charges By-law until June 30, 2020.

(xv) Agriculture
That the 2019 Development Charges By-law redefine the agriculture definition to exclude cannabis growing and processing, and charge the industrial Development Charge rate.

  1. That the 2019 Development Charges By-law not provide an exemption for farm help houses; and
  2. That the 2019 Development Charges By-law require proof of a farm business registration number to receive the agriculture Development Charge exemption.

(xvi) New Non-Industrial (Commercial/Institutional) Stepped Rates
That the 2019 Development Charges By-law continue stepped rates for office, excluding medical office; continue stepped rates within the City’s CIPA (Community Improvement Plan Areas) and BIA’s (Business Improvement Areas); and, remove stepped rates for all other development.

(xvii) Expansion of Existing Non-Industrial (Commercial/Institutional)
That the 2019 Development Charges By-law only provide a 5,000 square feet exemption for office, excluding medical office; and, remove the exemption for all other non-industrial development.

(xviii) Downtown Hamilton CIPA

  1. That the 2019 Development Charges By-law continue to provide a 70% CIPA exemption for major office developments (Class A – greater than 20,000 square feet gross floor area), whether or not the development is a standalone office;
  2. That for other development within the Downtown Hamilton

 

CIPA:

July 6, 2019 – July 5, 2020 60% exemption
July 6, 2020 – July 5, 2021 50% exemption
July 6, 2021 – July 5, 2022 40% exemption
July 6, 2022 – July 5, 2023 40% exemption
July 6, 2023 – July 5, 2024 40% exemption

(iii) That the 2019 Development Charges By-law maintain the same height limits on exemption use; and,

(iv) That the 2019 Development Charges By-law add clarity that the Downtown Hamilton CIPA exemption cannot be combined/stacked with other Development Charge exemptions and that the Downtown Hamilton CIPA exemption will not be applied if other exemptions result in a lower amount payable.

(xix) Laneway Housing
That the 2019 Development Charges By-law exempt laneway housing.

(xx) Non-industrial Uses Charged Industrial Rate

  1. That the 2019 Development Charges By-law not provide the industrial rate for self-storage facilities or hotels; and,
  2. That the 2019 Development Charges By-law provide the industrial rate for film, production and artists’ studios.

(xxi) Other Development Charges Policies

  1. That the 2019 Development Charges By-law maintain the ability to offset Development Charges with an ERASE (Environmental Remediation and Site Enhancement Redevelopment Program) grant, and require security through a Development Charge Deferral Agreement; and,
  2. That the 2019 Development Charges By-law, respecting Deferral Agreements, maintain the existing policy and add:
    1. That staff be authorized to negotiate extensions of Development Charges Deferral Agreements of up to two years;
    2. That staff be authorized to enter into Development Charges Deferral Agreements related to Podium Developments to delay timing and applicable rate of Development Charge payment to the issuance of each structure permit (no time limit); and,
    3. That staff be authorized to enter into zero interest Development Charge Deferral Agreements where a developer is applying their ERASE grant to offset the Development Charges (no time limit).

If you have any questions, please contact Wendy in the RAHB office at wendys@rahb.ca or via phone at 905.529.8101 x295.