Development Cost Charges Update 2022

Background

The City of Maple Ridge is proposing a revised series of Development Cost Charges (DCCs). These DCCs will help pay for transportation, water, sewer, drainage, park acquisition and some park development projects which are necessary to service the community due to growth.

Current status

After receiving feedback from the Province, calculations have been updated to better fit the parameters of a minor DCC Bylaw amendment.  The capital projects and inflation factors updates resulted in a higher DCC than previously proposed.  The Municipal Assist Factor, the amount contribution that other funding sources make to help pay for the capital projects related to new development, has been increased to offset.  This has resulted in the exact same rates initially proposed.  The updated project listing and Municipal Assist Factors can be found under Current DCC Project Listing.   

What is a development cost charge?

Per the Local Government Act, DCCs are levied on new development to pay for the costs expanding and upgrading infrastructure to meet the needs of growth. The can be used for roads, sewers, drainage and water works as well as parkland acquisition and park development. DCCs allow the City to fairly distribute growth related costs across development. 

Who pays DCCS?

DCCs are paid by applicants for:

  • subdivision approval to create single family lots; and
  • building permits to construct multi-family, commercial, industrial, and institutional development.

Note: developments are exempt from DCCs when the value of work authorized at building permit does not exceed $50,000 as per the DCC Bylaw. The Local Government Act specifies additional provisions for DCC exemptions. See the Planning and Development front counter staff for details.

What kind of projects are DCCS used to fund?

DCCs are used to fund growth-related infrastructure:

  • transportation: new roads and bridges, road widening, capacity improvements, bridge replacement, pedestrian/bike overpasses, sidewalk and street improvements, turning bays and signalization;
  • water: new and upgraded water mains, new water pump stations and new reservoirs;
  • sewer: new trunk sewer mains, new sanitary pump stations and sewer upgrades;
  • drainage: water quality ponds, culvert upgrades, new storm pump stations, stream erosion control works and storm sewer upgrades; and,
  • parks: acquiring parkland for neighbourhood parks, community parks, city parks, linear parks, trails and greenways throughout the City and completing park improvements

What are DCCS not used for?

DCCs do not fund infrastructure that services existing residents and businesses, nor do they fund operation and maintenance costs for roads, water, sanitary and storm infrastructure, and parks. DCCs cannot be used to fund ice sheets or arenas, pools or recreation centres, civic facilities or parking lots. Some types of park improvements, such as tennis courts, basketball courts and synthetic fields are not eligible.

What are DCCS proposed to be changed?

In Maple Ridge, the last DCC rate adjustment was done in 2017, based on 2016 capital costs. The City is proposing to undertake a minor amendment at this time as the costs of land and construction have increased significantly over the past six years. After infrastructure master plans and development assumptions are amended a major DCC bylaw amendment will be needed.

How are DCC projects and growth projections determined?

Using the following tools:

  • growth statistics and projections based on the Metro Vancouver Regional Growth Strategy and the City of Ridge's Official Community Plan;
  • capital projects from existing infrastructure Master Plans such as the Strategic Transportation Plan and the Parks, Recreation & Culture Master Plan;
  • capital costs from existing studies and costs from recent capital project tenders; and
  • the portion of the capital cost related to servicing growth is used in the DCC calculation.

DCC Bylaw Amendment 

  • Project costs updated and new DCCs calculated;
  • First reading of the DCC Bylaw;
  • Second and third readings of the DCC Bylaw;
  • Inspector of Municipalities approval;
  • Council gives the DCC Bylaw fourth and final reading; and
  • New rates in effect for new applications - instream applications have 12 months to complete under old rates.

How are DCCs calculated?

The following steps outline the basic DCC calculation:

  • Land use and growth projections are established by the City planning documents; growth statistics and various growth rates are reviewed;
  • Capital infrastructure plans are costed;
  • The cost of works that benefit growth (DCC Recoverable Costs) are then divided by the projected growth.

 View the current DCC project listing

What are the proposed DCC rates?

DEVELOPMENT TYPEDCC RATE
Single Family Residential/Duplex$41,012 per unit
Townhouse$241 per square metre
Townhouse Street$217 per square metre
Apartment Low to Medium Density$236 per square metre
Apartment High Density$192 per square metre
Apartment Affordable Below Market$213 per square metre
Apartment Social Housing, Non-for-Profit Rental Below Market or Affordable Rental-Seniors$90 per square metre
Commercial$90 per square metre
Industrial$49 per square metre
Institution — Non-Municipal$26.75 per square metre
$52,268 per hectare

New DCC's will be effective at bylaw adoption; however, provincial legislation provides one-year in-stream protection for building permit, subdivision and precursor (re-zoning and development permit) applications that are complete and received prior to adoption of the new bylaw. See the Planning and Development front counter staff for details.

Contact us 

For more information and any comments, please contact the Finance Department at 604-467-7472 or email budget@mapleridge.ca

The Council Report and Bylaw can be found as item 1151 of the July 19 Committee of the Whole agenda package located at this link July 19, 2022 Committee of the Whole Agenda and Reports.

The video of the presentation for the DCC Bylaw can be found at 03:21:10 of the video at this link City of Maple Ridge - All Presentations - Committee of the Whole - July 19 2022