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HomeMy WebLinkAboutCSD-17-072 - Exempt Building Permit Fees for KW Habilitation at 108 Sydney Street South REPORT TO:Community and Infrastructure Services Committee DATE OF MEETING: August 21, 2017 SUBMITTED BY:Alain Pinard,Director of Planning,519-741-2200 ext.7319 MikeSeiling, Director of Building/CBO, 519-741-2200 ext. 7669 PREPARED BY:Della Ross,Manager ofDevelopment Review,519-741-2200 ext. 7987 Tammy Hogg, Supervisor of Permits, 519-741-2200 ext. 7821 WARD(S) INVOLVED:All DATE OF REPORT:July 31, 2017 REPORT NO.:CSD-17-072 SUBJECT:Application of Policy FIN-GRA-2007;Development Application Fees & Building Permit Fees For Affordable Rental Housing, to Exempt Building Permit Fees for KW Habilitation at 108 Sydney St. S. ___________________________________________________________________ RECOMMENDATION: That KW Habilitation be exempt from paying the building permit fees of $23,063.39 for their affordable housing development at 108 Sydney St. S.as per policy FIN-GRA-2007. BACKGROUND: Council has expressed an interest in encouraging more affordable housing development within Kitchener.To this end, earlier in 2017 Council approved policies to help incent the development of affordable housing (see report CSD-17-034). These policies were approved by Council on May 15, 2017 with an effective date of July 1,2017. REPORT: KW Habilitation is building 22 affordable housing units at 108 Sydney St. S., and qualifies under policy FIN-GRA-2007 for an exemption of building permit fees. The only issue in applying the policy is one of timing. KW Habilitation paid its building permit fees June212017, which is after Council approved the relevant policy, but before it became effective. *** This information is available in accessible formats upon request. *** Please call 519-741-2345 or TTY 1-866-969-9994 for assistance. 5 - 1 taff believe it is reasonable to apply the policy to KW Habilitation’s development, since S Council had already approved the policy, but it had yet to become effective. Staff also realizes it does not have authority to apply the policy outside of Council’s resolution, so formal Council direction is required. Future applications of the policy will not require Council approval, as they will be within the parameters set out in the policy. ALIGNMENT WITH CITY OF KITCHENER STRATEGIC PLAN: Strategic Priority:Safe and Thriving Neighbourhoods Strategy:3.4 - Facilitate and promote housing developments that provide options for a diversity of lifestyles and household types Strategic Action:NB16 Development Incentives for Affordable Housing – Phase 2 FINANCIAL IMPLICATIONS: While the recommendation of the report is to have KW Habilitation be exempt from paying building permit fees for this development, the Building Code Act requires the fees to be paid to the Building enterprise. As discussed during consideration of report CSD-17-034, the tax supported budget will pay for any exemptions granted under policy FIN-GRA-2007. The budget to fund exemptions has not yet been established (it was referred to the 2018 budget process), so this specific exemption will cause a variance in tax supported operations. It will either be funded by surpluses in other City operations (if total tax supported operations are in a surplus) or the tax stabilization reserve fund (if total tax supported operations are in a deficit). COMMUNITY ENGAGEMENT: INFORM – This report has been posted to the City’s website with the agenda in advance of the council /committee meeting. P REVIOUS CONSIDERATION OF THIS MATTER: CSD-15-085 Development Incentives for Affordable Housing CSD-17-018 Development Incentives for Affordable Housing – Phase 2 CSD-17-034 Development Incentives for Affordable Housing Implementation ACKNOWLEDGED BY: Jon Rehill, Acting DCAO, Community Services Department 5 - 2