Community Benefits Charges Bylaw
This bylaw is a consolidated digital version of the official legal document. It is not an exact reproduction and is for information purposes only.
For any questions related to this bylaw contact 519-747-8785 or municipalenforcement@waterloo.ca
Bylaw number: 2022-072
Last passed by council: September 26, 2022
A bylaw of the Corporation of the City of Waterloo with respect to community benefit charges.
- Definitions
- Applicable land
- Timing of community and benefits charge payments
- In-kind contributions
- Calculations of community benefits charge
- Payment under protest and dispute resolution
- Refunds
- Review
- Transition
- Effective date
Whereas pursuant to Section 37 of the Planning Act, the Council of a local municipality may by bylaw impose community benefits charges against land to pay for the capital costs of facilities, services and matters required because of development or redevelopment in the area to which the bylaw applies;
And whereas the City, prior to the passing of this bylaw, has prepared a community benefits strategy pursuant to Subsection 37(9) of the Planning Act;
And whereas in accordance with Subsection 37(10) of the Planning Act, in the preparation of this bylaw the City has consulted with such persons and public bodies as the municipality considers appropriate.
Therefore the Municipal Council of the Corporation of the City of Waterloo enacts as follows:
1.0 Definitions
In this bylaw,
(1) "basement" means the portion of a building below the level of the first storey;
(2) "Building Code Act" means the Building Code Act, 1992, S.O. 1992, c.23, as amended from time to time or any successor thereof;
(3) "building permit" means a building permit issued by the Chief Building Official under the authority of the Building Code Act;
(4) "building permit application" means an application for issuance of a building permit submitted to and deemed complete by the Chief Building Official, which complies with all applicable requirements of the Building Code Act and the Ontario Building Code, including all applicable law as defined therein, and includes payment of all applicable fees;
(5) "Chief Building Official" means the chief building official for the City, appointed pursuant to section 3 of the Building Code Act, or their designate;
(6) “City” means The Corporation of the City of Waterloo, and where the context so applies, includes its officers, employees, servants, agents and contractors;
(7) "community benefits strategy" means a community benefits strategy prepared by the City pursuant to subsection 37(9) of the Planning Act, and adopted by Council, as amended or replaced from time to time;
(8) "Condominium Act" means the Condominium Act, 1998, S.O. 1998, c.19 as amended from time to time or any successor thereof;
(9) "development / redevelopment" means any activity or proposed activity in respect of any land, building or structure that requires:
(a) the passing of a zoning bylaw, or of an amendment to a zoning bylaw, under Section 34 of the Planning Act;
(b) the approval of a minor variance under Section 45 of the Planning Act;
(c) a conveyance of land to which a part lot control exemption bylaw passed under Subsection 50(7) of the Planning Act applies;
(d) the approval of a plan of subdivision under Section 51 of the Planning Act;
(e) a consent under Section 53 of the Planning Act;
(f) the approval of a description under Section 9 of the Condominium Act, 1998; or
(g) the issuing of a Building Permit;
(10) “Director of Planning” means the Director of Planning of the City, or their designate;
(11) “dwelling unit” means two (2) or more rooms designed or intended to be occupied by and for the use of an individual or household as a residence with cooking and sanitary facilities exclusive to and within the unit;
(12) “first storey” means the storey that has its floor closest to grade and its ceiling more than one-point-eight (1.8) metres above the average adjacent grade abutting the front yard, but shall not include the basement. For purposes of this bylaw, the first storey is deemed to be at or above ground level;
(13) “grade” means the finished ground level of the land, and when used in reference to a building or structure shall mean the finished ground level of the land adjacent to the exterior walls of the building or structure;
(14) "gross floor area" means the sum of the total area of each floor level of a building, above and below the ground, measured from the outside of the exterior wall of each floor level;
(15) "in-kind contribution" means facilities, services or matters identified in the community benefits strategy, which may be required by the City in accordance with this bylaw to be provided by an owner in relation to a development / redevelopment, either in whole or in part in lieu of payment of any community benefits charge otherwise applicable;
(16) “Ontario Building Code” means O. Reg. 332/12 made under the Building Code Act, as amended from time to time or any successor thereof;
(17) “owner” means the registered owner of land or their designate who has made application for an approval for the development / redevelopment of land upon which a community benefits charge is required pursuant to this bylaw;
(18) "phase" means a part or parts of a larger development / redevelopment for which separate building permit application(s) will be submitted;
(19) "Planning Act" means the Planning Act, R.S.O. 1990, c. P.13 as amended from time to time or any successor thereof;
(20) "residential unit" means a dwelling unit that:
(a) consists of a self-contained set of rooms located in a building or structure; and
(b) is used or intended for use as a residential premises;
(21) “Section 37 Bylaw” means a bylaw described in the repealed Subsection 37(1), as defined in Section 37.1(1) of the Planning Act;
(22) "storey" means a portion of a building between any floor and the roof or ceiling next above such floor, provided that any portion of a building partly below grade shall be deemed a storey if its ceiling height is one-point-eight metres (1.8 m) above the average adjacent grade;
(23) “valuation date” means, with respect to land that is the subject of development / redevelopment:
(a) the day before the day the building permit is issued in respect of the development / redevelopment; or
(b) if more than one Building Permit is required for the development /redevelopment, the day before the day the first permit is issued.
2.0 Applicable lands
(2) Except as otherwise set out herein:
(a) this bylaw shall apply to all lands within the geographic area of the City of Waterloo;
(b) a community benefits charge shall be imposed and payable to the City in accordance with this bylaw, in relation to all land on which development / redevelopment is proposed that meets one (1) of the following:
(i) development of a proposed building or structure with five (5) or more storeys and ten (10) or more residential units; or
(ii) redevelopment of an existing building or structure that will have five or more storeys after the redevelopment and that proposes to add ten or more residential units to an existing building or structure;
(c) For the purposes of this bylaw, a storey includes the first storey and all additional storeys, but does not include the basement.
(3) This bylaw shall not apply to land to the extent that such land is owned by and used for the purposes of:
(a) the City or any local board thereof;
(b) a Board of Education; or
(c) The Regional Municipality of Waterloo or any local board thereof.
(4) Notwithstanding Section 2 of this bylaw, no community benefits charge is payable with respect to the development / redevelopment of a building or structure, or part thereof, intended for the following uses:
(a) development / redevelopment of a building or structure intended for use as a long-term care home within the meaning of subsection 2 (1) of the Fixing Long-Term Care Act, 2021;
(b) development / redevelopment of a building or structure intended for use as a retirement home within the meaning of subsection 2 (1) of the Retirement Homes Act, 2010;
(c) development / redevelopment of a building or structure intended for use by any of the following post-secondary institutions for the objects of the institution:
i. a university in Ontario that receives direct, regular and ongoing operating funding from the Government of Ontario,
ii. a college or university federated or affiliated with a university described in subparagraph i,
iii. an Indigenous institute prescribed for the purposes of section 6 of the Indigenous Institutes Act, 2017;
(d) development / redevelopment of a building or structure intended for use as a memorial home, clubhouse or athletic grounds by an Ontario branch of the Royal Canadian Legion;
(e) development / redevelopment of a building or structure intended for use as a hospice to provide end of life care;
(f) development / redevelopment of a building or structure intended for use as residential premises by any of the following entities:
i. a corporation to which the Not-for-Profit Corporations Act, 2010 applies that is in good standing under that Act and whose primary object is to provide housing,
ii. a corporation without share capital to which the Canada Not-for-profit Corporations Act applies, that is in good standing under that Act and whose primary object is to provide housing,
iii. a non-profit housing co-operative that is in good standing under the Co-operative Corporations Act.
(5) notwithstanding Section 2 of this bylaw, a community benefits charge shall not be payable in respect of a development / redevelopment to the extent that such development / redevelopment is the subject of an in-force Section 37 bylaw.
(6) notwithstanding Section 5 of this bylaw, where development / redevelopment is proposed that exceeds the extent of development / redevelopment that is the subject of an in-force Section 37 bylaw, such additional development / redevelopment shall be subject to a community benefits charge in accordance with the provisions of this bylaw.
(7) the onus shall be on the owner of the land to produce evidence to the satisfaction of the Director of Planning establishing that any development / redevelopment of lands is entitled to an exclusion or exemption under the provisions of this bylaw.
3.0 Timing of community benefits charge payments
(8) The owner that is the subject of development / redevelopment described in Section 2 of this bylaw shall ensure that any community benefits charge payment required by this bylaw, including any in-kind contributions where permitted, have been made to the City prior to the issuance of the first building permit issued for the development / redevelopment, or in accordance with the terms of an alternative arrangement satisfactory to the City for payment or for the provision of in-kind contributions, as the case may be.
(9) In addition to and without limiting Section 8 of this bylaw, no person shall construct a building or structure on land proposed for development / redevelopment described in Section 2 of this bylaw, and no building permit shall be issued in respect thereof, unless the community benefits charge payment required in accordance with this bylaw, including any in-kind contributions where permitted, have been made to the City.
(10) The City may approve alternative arrangements for the payment of community benefits charges or the provision of in-kind contributions to the City, on terms satisfactory to the City, including without limitation a requirement to enter into an agreement to be registered on title to the land and/or to post securities, to the satisfaction of the City.
4.0 In-kind contributions
(11) The City, at its discretion, may permit an owner to provide to the City an in-kind contribution(s) as determined by the City, in lieu of a portion or all of the community benefits charges otherwise payable under this bylaw.
(12) If the City permits an owner to provide an in-kind contribution in lieu of payment of a community benefits charge, or a portion thereof, in accordance with Section 11 of this bylaw:
(a) the City shall advise the owner of the value that will be attributed to such contribution; and
(b) the community benefits charge otherwise payable for the development / redevelopment will be reduced by the value that the City has attributed to the in-kind contribution; and
(c) the City may require the owner to enter into an agreement to be registered on title to the land, post securities and/or make other arrangements for the provision of such in-kind contributions, to the satisfaction of the City.
(13) Any development / redevelopment or use that is excluded or exempted in this bylaw shall not be considered an in-kind contribution for the purposes of this bylaw or Subsection 37 (8) of the Planning Act.
5.0 Calculation of community benefit charges
(14) The amount of the community benefits charge payable shall be four percent (4%) of the value of the land that is the subject of the development / redevelopment, determined in accordance with this bylaw as of the valuation date.
(15) If a development / redevelopment is to be constructed in phases, each phase of the development / redevelopment shall be deemed to be a separate development / redevelopment for the purposes of this bylaw and the amount of the community benefits charge for each phase shall be four percent (4%) of the value of the land attributable to that phase as of the valuation date for that phase.
(16) The value of the gross floor area attributed by the City to the following uses shall be excluded from the value of the land used to determine the community benefits charge payable pursuant to this bylaw:
(a) uses set out in Section 4 of this bylaw;
(b) any lawfully existing residential unit that is not removed or demolished on the lands containing the development / redevelopment as of the valuation date; and
(c) any lawfully existing non-residential use that is not removed or demolished or converted to residential unit(s) on the lands containing the development / redevelopment as of the valuation date.
(17) The value of the land that is the subject of development / redevelopment shall be determined by the City as follows:
(a) a standard value of land as established by the City at its discretion and agreed to by the owner, multiplied by the area of the lands; or
(b) an appraisal of the value of the lands as of the valuation date, carried out:
(i) to the standards and specifications of the City; and
(ii) in accordance with generally accepted appraisal principles by an independent accredited real-estate appraiser qualified to provide an opinion of value.
6.0 Payment under protest and dispute resolution
(18) Where the owner of the land is of the opinion that the amount of the community benefits charge exceeds the amount permitted under Sections 14, 15, or 16 of this bylaw, the owner shall pay the community benefits charge under protest and notify the City that the payment is made under protest, and subsequently provide the Director of Planning with an appraisal of the value of the land as of the valuation date within 30 days of the date of the protested payment, and Subsections 37(33)-(43) of the Planning Act shall apply thereto.
7.0 Refunds
(19) Where a community benefits charge has been paid and the related building permit is subsequently cancelled or revoked by the Chief Building Official for the building or structure within seven (7) years of the issuance of the building permit without development / redevelopment having been commenced, for the purposes of this bylaw, the building permit shall be deemed never to have been issued, and the amount of the community benefits charge paid shall be refunded to the owner without interest.
(20) In addition to Section 19 of this bylaw, a refund of community benefits charges, or of a portion thereof, that has been paid to the City pursuant to this bylaw will be made by the City where:
(a) a refund is owing to the owner in accordance with Section 37 of the Planning Act;
(b) the Director or Planning determines that a clerical or factual error, including the transposition of figures, a typographical or similar error, has been made by the City with respect to the calculation of a community benefits charge which resulted in an overpayment to the City.
(21) Where a refund of community benefits charges is owing in accordance with Section 20 of this bylaw, such refund will be paid by the City, including interest at the minimum interest rate as indicated in Section 22 of this bylaw, from the day the amount to be refunded was paid to the City to the day it is refunded.
(22) The minimum interest rate as described in Section 21 of this bylaw shall be the Bank of Canada rate on the day the bylaw comes into force, and shall be updated on the first business day of every January, April, July and October to the Bank of Canada rate on that day.
(23) For greater certainty, notwithstanding any determination pursuant to Section 19 or Section 20 that a refund of a community benefits charge is owing, no refunds will be made for any administrative fees or costs incurred by the owner related to the determination of or payment of a community benefits charge.
8.0 Review
(24) Council shall review this bylaw in accordance with the Planning Act and pass a resolution declaring whether a revision to the bylaw is needed, within five (5) years of the date on which it is first passed, and within five (5) years after each previous resolution was passed.
9.0 Transition
(25) For greater clarity, this bylaw applies to development / redevelopment for which a building permit application is received by the City on or after September 26, 2022.
10.0 Effective date
(26) This bylaw shall come into force and effect on September 26, 2022.