
Report to:
Development Services Date Report: October 6, 2009
SUBJECT: Proposed Amendments to Development Fee, Building Fee and Town Wide Fee
By-laws
Development Services Commission
PREPARED BY: John Wright, Director of Building Standards, ext. 4712
Jamie
Bosomworth, Manager of Strategy and Innovation, ext 2180
RECOMMENDATION:
1)
THAT the Report titled “Proposed Amendments to
Development Fee, Building Fee and Town Wide
Fee By-laws, Development Services Commission” dated October 6, 2009 be
received:
2)
And that the proposed amendments be referred to a
public meeting of Development Services Committee, to be held on November 3, 2009;
3)
And that Staff be authorized and directed to do all
things necessary to give effect to this resolution.
PURPOSE:
The purpose of this report is to propose amendments to Development
Fee By-law 211-83 respecting development applications, Building Fee By-law 2008-258 for building permit applications
and Fee By-law 2002-276 for general services and documents. The by-laws set
fees to be paid by direct users of Town development services, and are reviewed
and updated on an annual basis. This
report is to refer the proposed amendments for 2010 to a public meeting of
Development Services Committee, to be held on November 3,
2009.
BACKGROUND:
The
Development Fee By-law and the Building By-law are amended each year to recover
the reasonable costs associated with the administration of both development
applications and Building services related to the delivery of Ontario Building Code and Planning Act provisions. The adjustments fall into one or more
categories:
- overall adjustments driven by a
moving average of indirect and direct costs and changes to the consumer
price index.
- Refinements of existing fees to
better reflect actual and anticipated costs of providing the related
services
- New fees to capture new or
previously underfunded services
OPTIONS/ DISCUSSION:
Increased fees are required in 2010 to cover the projected increase in
costs over the 2009 base. These
increases are a result of projected 2010 salary and benefit increases and
general inflation and are calculated based on the past 5-year average volume development
activity. The proposed 2010 general rate
increase for Planning/Urban Design component of the Development Fee is 2.7%, for the Engineering component of the Development Fee is
4.0% and for the Building Fee is 6.0%. Adjustments to the
categories within each fee by-law are also being proposed.
Development Fee By-law
Within the Development Fee By-law, staff are proposing to maintain the
fees for minor variances and heritage applications at current levels, as
generally the applicants are local home owners and further increases may become
a deterrent to filing of applications and potentially result in construction
activity without proper permits and by-law compliance. The fees associated with percentages of
cost of works e.g. design and engineering fees for site plans and subdivisions
and residential service connections, will also remain the same.
In addition to the flat rate increase of 2.7% for Planning and Urban Design and 4.0% for Engineering activities, Staff are also recommending
the following adjustments to the existing categories within the Development Fee
By-law:
- Create a new section to cover
General Fees associated with all activities, for example; additional
public meetings or Council Committee reports, recirculation of drawings, and
deterrent fees for 3 or more reviews of drawings and 3 or more
inspections.
- Increase
the base and one time fees by approximately 10% of major applications
(e.g. Official Plan Amendments, Zoning Amendments, Subdivisions, Site
Plans, Condominiums and Consents) to cover increased staff time for pre-consultation
requests, attending additional public meetings and more detailed
discussions with applicants, due to increased complexity and consultations
associated with of these applications. (Note:
these fees are also being increased by the flat rate of 2.7%)
Activity
|
2009 Fees
|
Proposed 2010 Fees
|
OPA Minor
|
$9,130
|
$10,290
|
OPA Major
|
$24,270
|
$27,350
|
Zoning Minor
|
$8,470
|
$9,550
|
Zoning Major
|
$17,040
|
$19,200
|
Site Plan Base
|
$4,070
|
$4,480
|
Subdivision Base
|
$13,380
|
$14,718
|
Condominium
|
$12,250
|
$13,800
|
Consent Base
|
$2,300
|
$2,530
|
- Include a new fee for Common
Element and Vacant Land Condominiums as these types of applications
require a public meeting. Staff
are suggesting the existing fee be increased by the general rate ($3,090) required
for additional public meetings
- Add news fees for large scale
major studies associated with a new Secondary Plan, major Official Plan
Amendment/Secondary Plan Amendment, Major Zoning or Major Site Plan
application on a large scale complex site. Studies may include but not limited to
Community Design Plan, Precinct Plan,
Master Transportation Plan, Master Environmental Servicing Plan, etc. and
two categories are recommended; update of an existing study or a new
study.
Study Type
|
Fee
|
Update Existing Major Planning Study
|
$10,000/study
|
New Major Planning Study
|
$25,000/study
|
Update Existing Major Engineering Study
|
$
5,000/study
|
New Major Engineering Study
|
$15,000/study
|
- Revise
the minor site plan application fee into two categories to better reflect
the Staff time connected with each application. Staff are proposing one fee of $1,000
specific to changes to existing parking lots and outdoor patios and
another fee of $2,000 for all other minor applications not associated with
residential or ICI applications (e.g. new parking lots, façade changes or
changes to approved plans).
- Waive
the fee for By-law variances (Committee of Adjustment), in Heritage
Districts or for Heritage Properties where Heritage Staff or Heritage
Markham have requested the implementation of a historic condition or
feature.
- Revise the calculation for
urban design fees for subdivisions to cap the per unit calculation so for
larger subdivisions the percentage of cost of landscape works is used as
the final fee.
- Other minor adjustments, including
Sales Trailer agreements to be included in the Site Plan section, reduce
the amount for revisions to draft approved plans as Staff have determined
that time spent on these applications are not as originally calculated, add
a new ICI fee for Heritage buildings less then 50m² and add a new design fee for
short form agreements for buildings between 50m² and 100m².
Building By-Law
The body of the new by-law
remains substantively unchanged but will include the following fee increases:
1. An increase in the fees for interior
alterations to recover costs of plan review and inspections of mechanical and
fire protection systems;
2. An increase in the fees for
electromagnetic locking devices to $200 each;
3. An increase in the minimum fees for
non-residential permits from $100 to $500 to recover the costs of plan review
and inspections for minor non-residential works;
4. An increase in the administrative
fees for the issuance of Orders to Comply.
Town Wide Fee By-law
Staff are proposing to make some
minor wording changes to clarify our reasoning for charging a fee. Staff are proposing to change the wording of
Planning research to also capture research and
investigations by other departments within Development Services. Staff are also proposing to revise the
wording for capital projects and studies to ensure the it includes those
projects not related to any particular Planning Act application.
Public Consultation
The Ontario
Building Code Act Reg. 350/06 requires the
Town to hold at least one public meeting at which any person who attends has an
opportunity to make representations with respect to any changes in fees. Notice must be given to the general public
and interested parties 21 days prior to the meeting. It is recommended that notice be placed in
the Markham Economist and Sun and the Thornhill Liberal, and be mailed to the
Urban Development Institute, Toronto Home Builders Association, and development
industry representatives listed on the Town’s “Developers Round Table”
distribution list. Staff are recommending that the public meeting be held on November
3, 2009, as
part of the regular Development Services Committee Public Meeting scheduled for
that date.
FINANCIAL CONSIDERATIONS
AND TEMPLATE: (external link)
The Finance Department has been working closely with Development Services Commission staff to ensure proper direct and
indirect cost recovery and to incorporate the results into the proposed 2010
operating budget. Increased fees are
required in 2010 to cover the projected increase in costs over the 2009 base. These increases are a result of adjustments
based on the 5-year average volume of development activity, projected 2010
salary and benefit increases and general inflation.
BUSINESS UNITS CONSULTED
AND AFFECTED:
Development Services
Commission Departments and Finance Department
were consulted.
ATTACHMENTS:
Attachment “A” Draft
of amendment to Development Fee By-law 211-83
RECOMMENDED BY:
Jim Baird, M.C.I.P., R.P.P.
Commissioner
of Development Services
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Q:\Development\Strategy\Fees\Reports\2010
Preliminary Report 1.doc