{"id":27431,"date":"2017-02-23T11:11:11","date_gmt":"2017-02-23T16:11:11","guid":{"rendered":"https:\/\/huntsville.dopperonline.ca\/?p=27431"},"modified":"2017-02-23T11:11:11","modified_gmt":"2017-02-23T16:11:11","slug":"huntsvilles-development-charges-are-on-the-rise","status":"publish","type":"post","link":"https:\/\/doppleronline.ca\/huntsville\/huntsvilles-development-charges-are-on-the-rise\/","title":{"rendered":"Huntsville’s development charges are on the rise"},"content":{"rendered":"

Huntsville\u2019s development charges are set to increase March 22, 2017. That means if you are contemplating building a single detached home, your local development charge will go from $2,570 to $3,052 and those charges are expected to increase steadily in the coming years. Still, Huntsville\u2019s development charges remain slightly below those charged by Bracebridge and slightly above those of Gravenhurst.<\/p>\n

<\/broadstreet-zone><\/strong><\/div>\n

\u201cIt\u2019s kind of been Huntsville\u2019s policy to be a little bit lower than Bracebridge and Gravenhurst if we can,\u201d according to Huntsville Mayor Scott Aitchison. \u201cIt\u2019s kind of a symbolic gesture to say we want to be more competitive in this area than those other two communities, because we\u2019re competing to some degree against them.\u201d<\/p>\n

But development charges are just one tool municipalities will use to guide growth and development. According to Aitchison, there are a host of other tools municipalities use to try and attract more economic development. \u201cThere\u2019s our tax rate, there\u2019s the services that we offer even right down to little things like the ability to get things done at Town Hall. I mean is it an easier place to deal with? Are they more helpful in there? All of those things add up to whether people want to develop here [along with] the competitive climate, the vibrancy of our community.\u201d<\/p>\n

Aitchison said Huntsville is a vibrant community and its councils have made some good decisions through the years. \u201cThe theatre was one of the best ones. Keeping our Town Hall downtown and adding that theatre on there. In the summer months, particularly on the main street of Huntsville at 10 p.m., there\u2019s people there, whereas in Bracebridge and Gravenhurst that\u2019s not the case. So it all adds up. What community groups do and how engaged this community is, it all adds up to I think a pretty positive experience and a draw for people to purchase here and invest here.\u201d<\/p>\n

In the last few years, the Town has pulled in roughly $140,000 in development charges per year, but in 2016 it saw a major spike.<\/p>\n

Our average collection of DCs is approximately $140,000. In 2016 we collected around $460,000. This is mainly due to an increase in larger developments such as Deerhurst (new condos), multiple new industrial and commercial buildings. Julia McKenzie, Manager of Finance\/Treasurer<\/cite><\/p><\/blockquote>\n

Municipalities can only use development charges for growth-related projects. \u201cIn general, they\u2019re another tool the province has given municipalities so that new development pays for growth-related infrastructure. So if you need to expand a road because there\u2019s that many more people living there, it shouldn\u2019t be the people that live there for 30 years that have to pay for all of that,\u201d added Aitchison.<\/p>\n

But finding a strictly growth-related roads projects isn\u2019t always easy. The Town has now turned its sights to using development charge funds to service the debt associated with the growth-related expansion of the Canada Summit Centre.<\/p>\n

\u201cWe\u2019re not going to have to four-lane any of our streets any time soon but we\u2019ve got a huge expense into the Summit Centre,\u201d said Aitchison, adding that it will offset some of the borrowing costs associated with the expansion of the Summit Centre.<\/p>\n

It\u2019s another way that it\u2019s not coming out of the taxpayer\u2019s pocket. It\u2019s coming out of the developer\u2019s pocket. Huntsville Mayor Scott Aitchison about development charges<\/cite><\/p><\/blockquote>\n

The District of Muskoka also levies development charges. For a single detached home, its charges currently sit at $3,427 in rural areas, or $9,444 if you are building in an urban or serviced area of Muskoka. Still, the charges are significantly lower than the charges it could have charged as per its development charge background study.<\/p>\n

\u201cThe discussion around the table was that they felt that they could incentivize development,\u201d explained District Commissioner of Corporate Services Julie Stevens of District Council\u2019s decision to charge about half of what they could as per their latest development charge study. Municipalities are required to conduct a development charge background study every five years and councils can decide whether to levy the full or partial amount based on that study.<\/p>\n

In 2010, the Township of Lake of Bays charged $5,289 for a single detached residential home. In 2015, its rate went down to $2,127, making it among the lowest of lower-tier municipalities in Muskoka.<\/p>\n

\u201cOur concern was they were getting way too high when you added ours together with the District\u2019s,\u201d explained Lake of Bays Mayor Bob Young. \u201cIt makes it so punitive when you\u2019re building a house.\u201d<\/p>\n

He said his council has tried to encourage sustainable and well planned development. \u201cCertain kinds are prevented because we don\u2019t have sewer and water but with our OP (Official Plan) changes we were trying to make it a little easier for people to buy land and make it less costly although we didn\u2019t succeed very much because we had some strong lobbying from people like Lake of Bays Association, who really don\u2019t want to see any development, anywhere, of any kind \u2013 it\u2019s the land of NIMBY and we were trying to fight that. And the other thing I felt when I came in, was Lake of Bays was the Township of no\u2026 we had this horrendous negativity about us, which I think over the past six years we\u2019ve broken down and said \u2018no, you come and talk to us and as long as you\u2019re willing to work within our rules and within our concepts, we\u2019d be happy to support your development,\u201d said Young, referring mostly to residential development as there\u2019s very little commercial development in the township.<\/p>\n

Likewise, he said the municipality did not want to make its development charge punitive. \u201cThey\u2019re a revenue source. You don\u2019t have to use them but you have to review them every five years.\u201d<\/p>\n

He said he\u2019s felt a lot of resistance from those who would rather not see any further development in the township. \u201cI mean LOBA is fighting us on OP changes that would make it easier and a little cheaper for people to buy land, for example, on back lots. They fought us on making rural lots smaller so that people could actually afford to buy a piece of land and build their own little house. They fought us so hard that council agreed not to proceed with that change to the OP. So, I feel like I\u2019m under the gun if you will from the Nimbyism and protectionism all the time,\u201d he lamented.<\/p>\n

You can find Huntsville’s full development charges effective March 22, 2017 here<\/a><\/span> (PDF) and the District development charges here<\/a><\/span> (PDF).<\/p>\n

Don\u2019t miss out on Doppler! Sign up for our free, twice-weekly newsletter here<\/u>.<\/a><\/strong><\/p>\n

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Huntsville\u2019s development charges are set to increase March 22, 2017. 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