Payment of DCs may be required for residential and non-residential development when:
- constructing a new building(s);
- adding to or altering an existing building(s) which increases the total floor area (TFA) or number and/or type of residential units;
- altering an existing shell/speculative building or part of the building for a first tenant “fit-out” that is changing the use from that for which DCs were paid at the original permit; and
- redevelopment resulting in a change of use.
DCs will be calculated using the rates in effect at the time an application is made for a site plan or a zoning amendment, if submitted after December 31, 2019. If the development has both a site plan and a zoning application, the site plan date would be applicable. If the development is not proceeding by either of these planning approvals, or the planning application is made before January 1, 2020, or 2 years has passed since the zoning or site plan approval has been granted, then DCs will be calculated using the rates in effect at the time the DCs become payable (i.e., residential subdivision agreement execution), where applicable, or at the issuance of the building permit.
Note: Interest will be applied to the DC rates (at the prime lending rate of the Region's bank) from the time a zoning or site plan application is made to the date the DCs are payable.
Generally, payment is required on the date a building permit is ready to be issued, except for the following:
- All residential plans of subdivision (excluding a high density apartment dwelling being developed at a minimum of 4 storeys or containing more than 130 units per net hectare) where water, wastewater, roads and recovery components of the DCs are calculated (and payable at agreement execution) based on the proposed number and type of dwelling unit; with respect to blocks intended for future residential development, based on the maximum number of units permitted under the then applicable zoning. There are also provisions in the By-Law for either an additional payment or a refund of the water, wastewater, road, and recovery components of the DCs, as the case may be, if either greater or lesser residential units are ultimately built.
- Rental housing (that is not non-profit housing) or defined institutional development where DCs will be payable in 6 installments commencing at the earlier of an Occupancy Permit granted under the Building Code Act or actual occupancy.
- Non-profit housing developments where DCs will be payable in 21 installments commencing at the earlier of an Occupancy Permit granted under the Building Code Act, 1992, or actual occupancy.
Notwithstanding the above, the Region may require an owner to enter into an agreement, pursuant to section 27 of the Development Charges Act, 1997, providing for all or part of development charges to be paid before or after it otherwise would be payable.