Report to: Development Services Committee Report Date: May 5, 2009

SUBJECT: Toward a Markham Growth Management Strategy:

Section 37 Official Plan Policies and Guidelines

PREPARED BY: Policy and Research Division Staff

Planning and Urban Design Department

RECOMMENDATION:

THAT the Report dated May 5, 2009 entitled “Toward a Markham Growth Management Strategy: Section 37 Official Plan Policies and Guidelines” be received;

THAT a Pubic Meeting be held to consider a Town-initiated Official Plan Amendment to amend the Official Plan policies regarding use of Section 37 of the Planning Act; and

THAT Staff report back to Development Services Committee following the public meeting with appropriate recommendations;

AND THAT Staff be authorized and directed to do all things necessary to give effect to this resolution.

1. Purpose 2. Background 3. Discussion 4. Financial

5. Others (Environmental, Accessibility, Engage 21st, Affected Units) 6. Attachment(s)

EXECUTIVE SUMMARY:

Section 37 of the Planning Act authorizes local municipalities to increase zoned height and/or density of development in return for “facilities, services or matters.” The Town’s Official Plan currently includes policies that outline provisions for negotiating community benefits in relation to increased height and density (bonusing) in accordance with Section 37 of the Planning Act and allow Council to enact a zoning by-law and apply Section 37 provisions to development applications requesting height and density increases.

As the Town matures to a more urban environment, and adapts to manage growth and intensification within the current settlement area, there will be requests from the development industry for increases in height and density, over those provided for in Secondary Plans. These development applications should be considered within the context of the Town’s emerging Intensification Strategy and Growth Management Strategy. Among other things, increasing population density in intensification areas must be coupled with public infrastructure that can accommodate the increased activities of additional residents and ensure sufficient amenity space is provided.

Over the years Staff and Council have been increasingly successful in negotiating additional community benefits as part of the development application approval process. The Town can choose to engage in an application of Section 37, or not, depending on its suitability in a particular circumstance. If applied, Section 37 could assist the Town in achieving and formalizing a number of community benefits through its negotiations with the development industry, subject to adherence to good planning principles, neighbourhood compatibility and a reasonable relationship between the negotiated benefit and the proposed increase in density and/or height. In this regard, Section 37 is recognized as an important tool of the Planning Act that could benefit the Town in implementing its Intensification Strategy particularly in key identified intensification areas, such as Markham Centre and the Langstaff Gateway.

Staff are recommending that the draft policy framework and guidelines outlined in the appendices of the attached May 2009 GHK report (Appendix ‘A’) be received and that a public meeting of Development Services Committee be held to consider a Town-initiated amendment to the Official Plan to amend the Official Plan policies regarding Section 37 of the Planning Act, as outlined in the draft policy framework.

PURPOSE:

The purpose of this report to provide Development Services Committee with an outline of the Town-initiated review of the existing Official Plan policies respecting use of Planning Act Section 37 height and density bonusing. The report also recommends a new policy framework and guidelines for the use of Section 37, to assist the Town in implementing an Intensification Strategy within the context of Markham’s emerging Growth Management Strategy.

DISCUSSION:

In November of 2008, Staff retained John Gladki of GHK to conduct a review of the Town’s existing Section 37 Official Plan bonusing policies, and to make recommendations for revisions and proper protocol. Mr. Gladki has experience with bonusing and approaches to Official Plan policies in other municipalities.

At the March 10, 2009 Development Services Committee meeting, Mr. Gladki presented an overview of his review of past practices with respect to the use of Section 37 in other municipalities. His report on Section 37 Policies and Guidelines was framed around addressesing a number of issues raised by Staff including:

· Which public facilities or services should be included in return for bonus height/density and in what order of priority;

· Can a municipality apply Section 37 to address operational costs as well as capital improvement costs resulting for additional density or height;

· To which geographic areas should Section 37 provisions be applied;

· How to distinguish between development which does not include bonus density and development which includes a bonus;

· How to ensure that the achievement of “good planning and design”, which is what all development should strive for, is not the subject of bonus density provisions (ie. good planning and design continues to be secured regardless of the use (or not) of the density bonus);

· Should the amount of the bonus be prescribed ahead of time (i.e. should there be a maximum bonus density prescribed in the Official Plan);

· How to assess (place a value on) the increase in density or height;

· How does increased density and height relate to area transportation, water and sewer capacity to ensure that early developers in an area do not compromise capacity from future planned developments

· Should there be a geographic relationship between the services and facilities and the impact of the additional density or height; and

· What, if any, services and facilities and other matters should be secured though a Section 37 Agreement, over and above the services and facilities that are the result of the bonus density.

A copy of the GHK report entitled “Town of Markham Section 37 Official Plan Policies and Guidelines is attached as Appendix ‘A’ to this report. The two appendices attached to the GHK report provide a recommended policy framework for revising the Town’s Official Plan and a set of guidelines to follow in Section 37 negotiations and implementing agreements.

The following elements are included in the proposed policy framework:

· The need for a reasonable planning relationship between the proposed benefit and the increase in height and density;

· The need for good planning;

· The need for adequate infrastructure to support the increase in height and density;

· The need for the benefits to be over and above what would otherwise be secured through other provisions of the Planning Act or the Development Charges Act;

· A list of proposed benefits including:

· the conservation of cultural heritage areas or buildings, including necessary studies in support of cultural heritage conservation;

· the preservation of woodlots or environmentally significant areas and securing enhancement areas, lands which would not be protected via parkland dedication;

· substantial contribution to the urban forest on public lands;

· provision of public access to ravines and valleys;

· the provision of increased amounts of on-site open space or facilities such as day care centres, community centres, recreational facilities;

· the provision of affordable and special needs housing including housing for senior citizens;

· conservation and replacement of rental housing;

· connections to transit facilities;

· local improvements to transit facilities;

· to achieve additional road or servicing improvements;

· provision of public parking facilities;

· protection of significant views;

· public art;

· non profit cultural facilities; and

· other local improvements identified in Council initiated studies.

· The need to determine specific benefits based on community needs, intensification issues and the other objectives of the Official Plan; and

· Implementation to be by way of a site specific zoning by-law amendment and an agreement between the owner and the municipality.

The proposed guidelines address the following:

· The geographic areas to which Section 37 will apply, with a focus on areas of intensification;

· A proposed size threshold above which bonusing policies would apply;

· Need for local area studies to inform negotiations;

· A process for valuation of community benefits; and

· A protocol for negotiating Section 37 increases including role of planning staff, other departments, local Councillor and community involvement.

Staff are recommending that the proposed policy framework and guidelines outlined in the appendices of the attached May 2009 GHK report be received and that a public meeting of Development Services Committee be held to consider a Town-initiated amendment to the Official Plan to amend the current policies regarding the use of Section 37 of the Planning Act.

FINANCIAL CONSIDERATIONS:

There are no financial implications at this time.

BUSINESS UNITS CONSULTED AND AFFECTED:

The Town Solicitor has been engaged in initial discussions on the application of Section 37 policies as well as the review of material prepared by GHK regarding the proposed policy framework and guidelines for the use of Section 37 of the Planning Act.

RECOMMENDED BY:

_________________________________ __________________________________

Jim Baird, M.C.I.P., R.P.P Valerie Shuttleworth, M.C.I.P., R.P.P.

Commissioner of Development Services Director of Planning and Urban Design

ATTACHMENTS:

Appendix ‘A’- May 2009 GHK report on Town of Markham Section 37 Official Plan

Policies and Guidelines

Q:\Development\Planning\MISC\MI515 Intensification Design Study\Section 37 Policies May 5 2009 DSC