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HomeMy WebLinkAboutFIN-09-078 - 2009 Development Charges Background1 KiTR Financial Services ILREPORT REPORT TO: Councillor B. Vrbanovic, Chair, and Members of the Finance and Corporate Services Committee DATE OF MEETING: June 22, 2009 SUBMITTED BY: Dan Chapman, General Manager of Financial Services and City Treasurer PREPARED BY: John Sonser, Senior Financial Analyst WARD(S) INVOLVED: All DATE OF REPORT: June 17, 2009 REPORT NO.: FIN 09 -078 SUBJECT: 2009 DEVELOPMENT CHARGES BACKGROUND STUDY AND BY -LAW RECOMMENDATION: THAT the increase in the need for services attributable to anticipated development in the City of Kitchener be met, subject to sufficient development charge revenues being generated and other City affordability criteria being met; THAT the Development Charge Background Study dated June 1, 2009 and the capital forecasts prepared in conjunction with the Study in accordance with Section 10 of the Development Charges Act, 1997, be adopted; THAT future excess capacity identified in the Development Charge Background Study, dated June 1, 2009, be paid for by development charges or other similar charges; THAT the non - residential development charges rates calculated as at January 1, 2009 be maintained until December 31, 2009 and the new non - residential development charge rates calculated in the Development Charge Background Study, dated June 1, 2009 be deferred until January 1, 2010, in accordance with non - residential rate phase -in option #3 as set out in report FIN 09 -078; THAT the proposed Development Charge By -law in the form attached to Report FIN 09 -078, subject to Schedule B to the By -law being in accordance with non - residential rate phase -in option #3 as set out in report FIN 09 -078, be approved. THAT the costs over the term of the new Development Charge By -law associated with the maintenance of the Downtown Core Area exemption ($2,734,883 — Table 2) and the phase -in of the non - residential rate increase ($981,310 — Table 3) be funded from the Economic Development Investment Fund; THAT staff be directed to report back in advance of the 2010 capital budget process with policies for Council consideration related to the issues outlined in the Development Charges Policy and Practices Whitepaper; AND FURTHER THAT staff be directed to engage stakeholders in a review of the draft policies prior to bringing them forward for Council consideration BACKGROUND: The purpose of the City's Development Charges By -law is to recovery, to the extent permissible, growth - related capital costs from those segments of the community (namely residential and non - residential development) which give rise to the need for additional growth - related capital works. Council passed the current Development Charge By -law with an effective date of July 1, 2004 and the current By -law will expire on June 30, 2009. Before passing a new Development Charge By -law, a municipality is required to prepare a Background Study. The City of Kitchener's Background Study was prepared in accordance with the provisions of the Development Charges Act (DCA) and Regulation. The calculated maximum permissible rates are established by projecting growth, determining the increase in capital infrastructure necessary to service that growth (taking into account service standard constraints and existing capacity), estimating the cost of that infrastructure, apportioning the costs between residential and non - residential development, and determining the unit charges which must be recovered from development to provide the necessary revenue to finance the growth - related expenditures. The process was a highly consultative one, involving City staff, Hemson Consulting Ltd. and various stakeholder groups. The process began on November 27, 2008 and culminated with the statutory public meeting held on June 15, 2009. The purpose of this report is to provide the calculated Development Charge rates, to respond to issues raised by the Stakeholders during the public meeting, to discuss a non - residential rate phase -in strategy and to ultimately seek approval of a new By -law. Policy issues outlined in the Whitepaper previously presented to Council will be brought forward in advance of the 2010 capital budget process. REPORT: 2009 Development Charae Rates As a result of the 2009 Background Study, the single detached residential rates for the Central Neighbourhoods have been calculated to be $5,852, a 4% decline from the current $6,069 rate, while the Suburban rate decreases by 2% to $9,887 from the current $10,051 rate. Non - residential rates have increased substantially. The Central Neighbourhoods rate per m2 increases from the current $15.84 to $21.43, representing a 35% increase. The Suburban rate increases by 193% to $49.66/m2 from $16.97/ m2. The increase in the non - residential development charge rates is the result of significant increases in both the number and costs of capital projects which are necessary to support growth. Another factor in the increase is the change to the growth forecasts and the allocation of a greater benefit to the non - residential sector than was in the prior study. Refer to Table 1 for details on these rates Stakeholder issues arisina out of the Public Meetin Throughout the development charge study process stakeholders were invited to submit their concerns, issues and recommendations, including at the public meeting held on June 15, 2009. While many issues were addressed prior to the public meeting, a few issues were raised at the public meeting and staff committed to provide a response on June 22, 2009. The comments from the meeting and the staff responses are included below: 1. Justify the inclusion of parking as growth- related infrastructure Parking is an eligible service under the DCA. At the time of the 2004 Development Charge Background Study the City had no plans to construct growth - related capital infrastructure that would justify a Parking development charge. The City now intends to expand its capital infrastructure for parking to meet the needs of growth over the next ten years and to maintain its ten year historic average service level. The City has established a historic level of service by providing downtown parking facilities, and the projects anticipated in the new Background Study represent a continuation of the established level of service. All new development (residential and non - residential; downtown and non - downtown) is required to meet zoning regulations for parking, and the City's parking facilities provide additional parking to respond to demands of growth. It is foreseeable that future demands may result in City parking facilities being provided outside of the downtown as well. Because Parking is considered a City -wide service, development in the downtown is included in the Parking development charge calculation. The DCA does not allow the City to make up the revenue loss from its downtown core exemption by charging development outside the downtown core higher development charges. The DCA permits the City to designate the areas within which development charges will be imposed. Parking facilities, although presently located in the central neighbourhood areas of the City, are intended for use by all City residents; all residents have access to all facilities. For this reason the City considers it appropriate to apportion the growth - related capital costs of the Parking service over all growth anticipated in Kitchener, regardless of its location. The basis of the allocation of costs between residential and non - residential development for Parking is the ratio of growth in population in new units (47,500) over growth in employment (17,173) in the City over the next ten years (73 %/27 %). Regarding non - Kitchener Resident and Business Use of Parking Structures, it is reasonable to anticipate that visitors from outside of Kitchener will access new parking structures. That said, residential and non - residential growth within the City is the driver of increased visits and usage. This is not unique to Parking and would apply to other service categories as well. For example, the road network is not restricted to only residents of Kitchener and an increase in visits from those outside of Kitchener would be expected as growth is experienced in the residential and non - residential sectors. Regarding the assertion that the City Hall Garage should be excluded from the historic service standard calculation as it represents part of an Administrative Headquarters, the City Hall garage is in fact a public parking facility and is open to and accessible to all City residents. No spaces in the garage are reserved for the exclusive use of City staff. To that extent it functions in exactly the same way as any other City owned public parking facility. The fact that City staff use the facility some of the time has no bearing on its eligibility for inclusion in the historic service level calculations for Parking. 2. Consider advancing Strasburg Road phase 2 The construction of the extension of Strasburg Road is planned in two phases; from its current terminus to Robert Ferrie Drive and from Robert Ferrie Drive to New Dundee Road. It is anticipated that the project schedule will be as follows (refer to Appendix 1 for map): • Class EA and Preliminary Design — from the current terminus to New Dundee Road (2009 — 2010) • Detailed Design and Land acquisition — from the current terminus to Robert Ferrie Drive (2011 — 2012) • Construction (Phase 1) — from the current terminus to Robert Ferrie Drive (2012 — 2014) • Detailed Design and Land Acquisition — from Robert Ferrie Drive to New Dundee Road (2015 — 2016) • Construction (Phase 11) — from Robert Ferrie Drive to New Dundee Road (2017 — 2019) Cash flow constraints projected in the DC Reserve Fund do not permit the advancement of Phase 2. This timing will be subject to review annually as part of the capital budget process. Additionally, this project may be considered as a potential project for a credit /refund agreement should a developer be willing to front -end it, subject to this approach fitting with the policy to be developed in 2009 governing credits and refunds. 3. Consider implementing a non - residential rate phase -in While residential DC rates are forecast to decline modestly upon passing of the new DC By -law, non - residential rates are forecast to increase significantly, primarily in the suburban area. A range of options for phasing in the newly calculated non - residential rate is presented below for Council's consideration, including the following: 1. Implement the fully calculated rate (Table 1) 2. Implement 50% of the increase on July 1, 2009 and delay implementation of the full rate to January 1, 2010. 3. Maintain the current rate for the whole of 2009 and defer implementation of the full rate increase to January 1, 2010 4. Maintain the current rate for the whole of 2009, implement 50% of the increase on January 1, 2010, and delay implementation of the full rate increase to July 1, 2010 5. Defer implementation of the full rate increase to July 1, 2010 6. Phase -in the new rate increase by 20% of the increase each year over the five - year term of the by -law, starting July 1, 2009. If a decision is made to implement a deferral or phase -in of the new non - residential rate the cost shortfall must be made up from the property tax base if the growth - related projects are to be constructed as set out in the Background Study. To that end, Table 3 estimates the cost shortfall for each of the rate implementation options. It should be noted that annual indexing of the DC rate would apply regardless of any phase -in scenario. By implementing the fully calculated non - residential rate Council would uphold the principle that "growth pays for growth ". On the other hand, phasing in the non - residential rate would respond to stakeholder input, recognize the difficulties created by the current recession, align with the City's economic development priorities and provide relief to developments that are well advanced in their planning phases. In view of these considerations, staff recommends that Council implement option 3 — maintain the current rate for the whole of 2009 and defer implementation of the full rate increase to January 1, 2010. This option has a cost of $981,310 and mirrors the phase - in recently adopted by the Regional Municipality of Waterloo. 4. Consider changing the inputs to the charge to recognize net population growth and not gross population growth Using population in new units to calculate the maximum allowable funding envelope is consistent with the provisions of the DCA. Section 5(1) 2 of the DCA states that, "The increase in the need for service attributable to the anticipated development must be estimated for each service to which the development charge by -law would relate." In the view of staff and Hemson consulting, the increase in need for services is clearly related to the anticipated development in new housing units. This is, of course, subject to section 5 (1) 4 of the DCA which states that "the estimate under paragraph 2 must not include an increase that would result in the level of service exceeding the average level of that service provided in the municipality over the 10 -year period immediately preceding the preparation of the background study... ". There is no requirement under the DCA to calculate service levels based on population figures (whether total or `net' population or population in new units). Nor is there a requirement that service level calculations account for any infrastructure capacity that might be created by the decline in population in the existing base in the future. In any case, it is not equitable to attribute the benefit of this theoretical capacity to growth. Establishing the development charges maximum funding envelopes based on the population in new units ensures that the City has the ability to recover sufficient development charge monies to provide services in new development areas at the prevailing ten -year historic service levels — consistent with the DCA. The City's method used in 2004 was a "net /net" method, which is effectively the same method used now. To that extent there is less of a change in methodology in Kitchener than there is in other jurisdictions that have recently employed a population in new units methodology. The funding envelope is only one of the limiting factors under the DCA. Council must also express its intent to undertake a capital program that will provide services at or above the ten -year historic service level. The City may not utilize the full maximum permissible funding envelope for any or all services merely because it has provided a particular level of service historically. Moreover, using an approach based on population in new units still obligates the City to account for any uncommitted excess capacity for a particular service in order to comply with Section 5(1) 5 of the DCA. The background study addresses this requirement where appropriate. 5. Consider changing contingencies on road projects back to 12% from the proposed 20% Staff can confirm that roads projects were in fact previously budgeted with 20% contingencies in the 2004 Background Study and not at a rate of 12 %. That said, in 2004, Engineering costs were budgeted at 12% and are now costed at a rate of 20 %. The justification for this increase follows below. Firstly, there has been an increase in the overall engineering costs for all infrastructure projects due to their increasing complexity both from a technical and public involvement perspective. Another cost driver is the scarcity of available resources with an increasing volume of work due to many competing infrastructure capital priorities in Kitchener. The City uses a 16% engineering fee component for non -DC infrastructure reconstruction projects (replacement of existing road, sewer and watermain). These projects are typically well defined and scoped out. The work includes geotechnical, detailed design, tender preparation, contract administration and commissioning of the infrastructure. As far as the DC charge project is concerned, the increase from 16% to 20% is justified because City does not have detailed information. Class Environmental Study or servicing study were not undertaken for these projects and hence we do not have clear understanding on the detailed project requirements and scope of work for the consultant and other related costs to complete the project. However, the typical engineering fee estimate includes the following components which support a 20% provision (in some cases the actual costs have reached as high as 40 %): Basic Consultant fees: Preliminary design, detailed design, tender documentation, contract administration and full time inspection Additional consultant fees: • Detailed Geotechnical and Hydrogelogical Investigation • Traffic Analysis and Roundabout Design (Road projects) • Stage 2 -4 Archaeological Assessment and obtain approvals from Agencies (Stage 1 Archaeological assessments will be completed during the Class Environmental Assessment process) • Property appraisal (if required) • If any Hydro lands required - Complete a Schedule B Class EA in accordance with Ontario Realty Corporation requirements • Detailed Heritage assessment (if required) • Hydraulic Modeling (Water & Sewer Projects) • Bridge Structure — Hydraulic analysis • Detailed tree Inventory • Flood Control Structures — Dam /embankment structural stability analysis /earthquake analysis etc • Other unforeseen works Environmental Monitoring during construction — Some projects may need to have Environmental officer to monitor the project Material testing during construction Review fees /Permit fees: • Agencies City cost: • Staff cost (Project Management, Design review and Inspection), advertisement, facility booking for the public meetings, printing cost and any other cost required to administer the project The consultant fees and City cost to administer the DC charge projects cannot be recovered from the site plan process and subdivision process. A specific developer is not responsible for these costs because the DC charge projects benefit to all the developments within the City of Kitchener. The DC Charge projects are specific projects identified to support development and are planned, initiated (including development of the project scope and request for proposal) and managed by City staff. Therefore considering all the facts highlighted above 20% engineering fees are considered reasonable. 6. Consider restoring the growth /non - growth project splits where the growth allocation was lower in the 2004 Background Study City staff and Hemson Consulting re- evaluated the growth shares for each project as part of the DC process. Changes in growth allocations are the result of better information about future growth patterns and the extent to which the infrastructure will service that growth than was available in 2004. As such, no further changes are warranted. 7. Are the proposed charges funding new infrastructure or dealing with deferred maintenance? Development charges fund growth - related capital costs from those segments of the community (namely residential and non - residential development) which give rise to the need for additional growth - related capital works and do not contribute to funding the costs of deferred maintenance. 8. Will rates be adjusted to account for infrastructure funding? Two City projects referenced in the DC Background Study were recently approved for partial funding through the Federal Infrastructure Stimulus Fund — McLennan Park Phase 4 and the Consolidated Maintenance Facility. The net municipal cost for McLennan Park has been reduced by $2 million consistent with the grant received. This will significantly reduce the DC allocation to the project. The grant for the Consolidated Maintenance Facility will not have an impact on calculated rates as it relates to costs which do not form part of the current project budget and are therefore not included in the background study (e.g., LEED certification and the solar roof). 9. Maintain current credit /refund provisions as well as letter of credit provisions The recommendations of the DC Policy and Practices Whitepaper will be subject to further review and discussion with Council and stakeholders prior to any policy change being made. Draft policies will be prepared in 2009 in advance of 2010 capital budget deliberations. 10. Consider reductions to the capital program to reduce the rate In general, the soft service projects identified in the Background Study reflect projects approved in Council's ten -year capital forecast, many of which have been contemplated for several years. The hard service projects are required to facilitate the development of lands identified in the City's approved Growth Management Plan. Any reduction to the capital program would therefore significantly hamper the development and servicing of lands identified as priorities in the Growth Management Plan. 11. Advance the Ottawa/Trussler Sewage Pumping Station and Forcemain from 2019 to 2012 The City is planning to undertake a City -wide wastewater modeling and capacity analysis study to gain a comprehensive understanding of the current sewer network and the implications of the Kitchener Growth Management Plan (KGMP). Until this study has been completed, the availability of system capacity is not fully understood. As a result, City staff propose to complete the City -wide modelling and capacity analysis study and commence the Ottawa /Trussler facility Class EA over the next three years. Further, cash flow constraints projected in the DC Reserve Fund do not permit the advancement of this project at this time. This timing will be subject to review as part of the capital budget process upon the completion of the wastewater modeling and capacity analysis study and the Class EA. This project may be considered as a potential project for a credit/refund agreement should the developer be willing to front -end it, subject to this approach fitting with the policy to be developed in 2009 governing credits and refunds. Development Charge By -law The proposed Development Charge By -law is attached to this report and contains the following sections: • Part 1 — Application and Exemptions (includes Downtown Core Area Exemption) • Part 2 — Residential Development Charges • Part 3 — Non - Residential Development Charges • Part 4 — Mixed Use • Part 5 — Administration • Part 6 — General • Schedule "A" — Services • Schedule "B" — Development Charge Rates • Schedule "C" — Downtown Core Area • Schedule "C1" — Central Neighbourhoods • Schedule "C2" — Suburban Area • Schedule "D" — Guidelines for Enlargement of an Existing Dwelling Unit or Creation of up to Two Additional Dwelling Units The By -law generally follows the form and structure of the 2004 By -law. FINANCIAL IMPLICATIONS: As outlined in the DC Background Study. The anticipated cost of the Downtown Core Area exemption and the recommended non- residential rate phase -in is $3,725,193. These costs cannot be recovered through development charges and therefore it is recommended that they be funded through the Economic Development Investment Fund. CONCLUSION: The proposed Development Charges By -law will permit the City to recovery, to the extent permissible, growth - related capital costs from those segments of the community (namely residential and non - residential development) which give rise to the need for additional growth - related capital works. The City has employed a consultative approach to preparing the Background Study and By -law and has resolved most stakeholder issues and concerns through the process. For the issues that remain in dispute between the City and stakeholders, staff and Hemson Consultants are satisfied that the City's position is both appropriate and defensible as outlined in this report. The proposed non - residential rate phase -in responds to the current economic situation and stakeholder input, providing temporary relief from the rate increase in an effort to further provide local economic stimulus. ATTACHMENTS: • Table 1 — Comparison of Current and Calculated Development Charges • Table 2 — Estimate of Revenue Loss Due to Downtown Core Exemption 2009 -2013 • Table 3 — Estimated Cost of Deferral of Calculated Non - Residential DC Rate • Appendix 1 — Strasburg Road Proposed Phasing of Construction • Proposed Development Charge By -law ACKNOWLEDGED BY: Dan Chapman, General Manager of Financial Services and City Treasurer TABLE 1 CITY OF KITCHENER 2009 DEVELOPMENT CHARGES BACKGROUND STUDY COMPARISION OF CURRENT AND CALCULATED DEVELOPMENT CHARGES Residential Non - Residential Current Calculated % Current Charge Charge Difference Charge % Difference (1 Jan (1 Jan Calculated 2009 ) 2009 ) Charge ($ /sdu)' ($ /sdu) ($ /m2) ($ /mz) Service LIBRARY $314 $846 169% $0.00 $0.00 n/a FIRE PROTECTION $433 $173 -60% $3.09 $1.18 -62% INDOOR RECREATION $2,541 $1,972 -22% $0.00 $0.00 n/a OUTDOOR RECREATION $615 $689 12% $0.00 $0.00 n/a PUBLIC WORKS - BUILDINGS AND FLEET $478 $502 5% $3.57 $3.40 -5% PARKING $0 $1,129 n/a $0.00 $8.58 n/a GROWTH- RELATED STUDIES $27 $102 272% $0.19 $0.78 312% SANITARY $2,743 $1,720 -37% $3.77 $12.17 223% STORM/WATERCOURSE $99 $128 -29% $1.98 $2.47 25% WATERMAINS $368 $133 -64% $2.01 $0.94 -53% ENGINEERING STUDIES $189 $117 -38% $1.35 $0.83 -39% ROADS Central Neighbourhoods $296 $0 - 100% $0.92 $0.00 - 100% Suburban Areas $2,244 $2,378 -6% $1.01 $19.31 1821% INTENSIFICATION ALLOWANCE $2,355 $1,114 -53% $14.74 $12.07 -18% TOTAL DEVELOPMENT CHARGE Central Neighbourhoods $6,069 $5,852 -4% $15.84 $21.43 35% Suburban Areas $10,051 $9,887 -2% $16.97 $49.66 193% 1. sdu = single detached unit TABLE 2 ESTIMATE OF REVENUE LOSS DUE TO DOWNTOWN CORE EXEMPTION 2009 -2013 RESIDENTIAL Assumptions Downtown population growth 2009 -2013 Central Neighbourhoods growth 2009 -2013 Downtown growth 2009 -2013 Calculated Central Neighbourhoods Apartment DC Estimated revenue loss 2009 -2013 Estimated annual revenue loss NON - RESIDENTIAL Assumptions Downtown GFA growth 2009 -2013* of Central Neighbourhoods 50% growth 719 apartments 459 apartments $3,316 per unit $1,522,134 $304,427 of Central Neighbourhoods 82% growth Central Neighbourhoods growth 2009 -2013 69,014 sq.m. Downtown growth Calculated Central Neighbourhoods Non - Residential DC Estimated revenue loss 2009 -2013 Estimated annual revenue loss 56,591 sq.m. $21.43 per sq.m. $1,212,749 $242,550 * Based on ratio of downtown GFA to Central Neighbourhood GFA added 2004 -2007. TOTAL ESTIMATED REVENUE SHORTFALL 2009 -2013 $2,734,883 Annual $546,977 TABLE 3 CITY OF KITCHENER 2009 DEVELOPMENT CHARGES BACKGROUND STUDY ESTIMATED COST OF DEFERRAL OF CALCULATED NON - RESIDENTIAL DC RATE NON - RESIDENTIAL DC REVENUE Growth in m2 2009 -2013 (City) 2009 2010 2011 2012 2013 Total 72,699 74,162 75,656 63,296 64,728 350,541 Growth in m2 2009 -2013 (Suburban Areas) 57,426 58,650 59,903 52,192 53,356 281,527 Growth in m2 2009 -2013 (Central Neighbourhoods) 15,274 152512 15,753 11104 11,371 692014 Revenue at Full Calculated Rate' $2,197,765 $3,244,968 $3,312,379 $2,829,805 $2,893,368 $14,478,285 Revenue at Deferred Rates 50% increase on 1 Jul, 2009; full rate at 1 Jan, 2010 $1,647,742 $3,244,968 $3,312,379 $2,829,805 $2,893,368 $13,928,262 Deferral to 1 Jan, 2010 $1,216,455 $3,244,968 $3,312,379 $2,829,805 $2,893,368 $13,496,975 50% increase on 1 Jan, 2010; full rate at 1 Jul, 2011 $1,216,455 $2,683,421 $3,312,379 $2,829,805 $2,893,368 $12,935,428 Deferral to 1 Jul, 2011 $1,216,455 $2,242,984 $3,312,379 $2,829,805 $2,893,368 $12,494,991 Equal Annual Phase in to 2013 $1,306,497 $1,652,562 $1,652,562 $2,229,820 $2,688,926 $10,028,959 Revenue Loss No Deferral or Phase -in $0 $0 $0 $0 $0 $0 50% increase on 1 Jul, 2009; full rate at 1 ($550,023) $0 $0 $0 $0 ($550,023 ) Jan, 2010 Deferral to 1 Jan, 2010 ($981,310) $0 $0 $0 $0 ($981,310) 50% increase on 1 Jan, 2010; full rate at ($981,310) ($561,547) $0 $0 $0 ($1,542,857) 1 Jul, 2011 Deferral to 1 Jul, 2011 ($981,310) ($1,001,984) $0 $0 $0 ($1,983,294) Equal Annual Phase in to 2013 ($891268) ($1,592,406) ($1,161,325) ($599,885) ($170,928) ($4,449,326) Note: 1. Revenue in 2009 estimated at 112 year at current rate and 112 year at full calculated rate. Appendix 1 — Strasburg Road Proposed Phasing of Construction r , GU) � „I_,. a waa�r'a�!' y .° � 4 .. .. a9 s � `*a. • - W ,N ¢� � s,c TIrlter3ection knpmuements Strasburg Rd. at New Dundee Rd. BY -LAW NUMBER OF THE �K�I�Z��7_: �f�l� [�]�11.��I�f111•[�7�:�C�1�1��� 7 (Being a by -law to establish development charges for the City of Kitchener and to repeal Development Charge By -law No. 2004 -156 as amended by By -law No. 2006 -243) WHEREAS the City will experience growth through development and redevelopment of land which will increase the need for services to be provided by the City; AND WHEREAS section 2(1) of the Development Charges Act, 1997, S.O. 1997, c. 27 (the "Development Charges Act ") enables the Council to pass by -laws for the imposition of development charges against land to pay for increased capital costs required because of increased needs for services arising from the development or redevelopment of land; AND WHEREAS Council wishes to ensure that the capital cost of meeting growth related demands for services is met but does not place a financial burden upon the City's existing taxpayers, and also that new taxpayers bear no more than the net. capital cost attributable to providing the current level of services; AND WHEREAS the City has undertaken a Development Charges Background Study, dated June 1, 2009, to forecast, to the year 2031 for engineering services and to the year 2018 for all other services, growth within the municipality through development and redevelopment, to determine the need for services at specified service standards resulting from growth and to calculate the net capital costs of services attributable to growth (the "Study "); AND WHEREAS Council, in accordance with section 12 of the Development Charges Act and section 9 of Ontario Regulation 82/98, gave notice on May 15, 2009 of a public meeting to consider the passing of a development charges by -law, made available before and at the public meeting sufficient information to enable the public to understand generally the development charges proposal, held the public meeting on June 15, 2009 and heard representations from all persons who applied to be heard whether in objection to or in support of the proposal; AND WHEREAS Council, by resolution dated June 22, 2009, has indicated that it intends to ensure that the increase in the need for services attributable to the anticipated development will be met, subject to sufficient development charge revenues being generated and other City affordability criteria being met; AND WHEREAS Council, by resolution dated June 22, 2009, has indicated its intent that the future excess capacity identified in the Study shall be paid for by the development charges or other similar charges; AND WHEREAS Council, by resolution dated June 22, 2009, adopted the capital forecasts prepared in conjunction with the Development Charges Background Study for the City of Kitchener dated June 1, 2009; AND WHEREAS Council, having reviewed the Study and the proposed by -law and having considered all of the representations made at the public meeting, directed that this by -law be enacted; NOW THEREFORE the Council of The Corporation of the City of Kitchener enacts as follows: Definitions 1. In this by -law, (a) "accessory use" means a use, including a building, which is commonly incidental, subordinate and exclusively devoted to the main use or main building situate on the same lot; (b) "agricultural use" means the use of land and buildings for apiaries, fish farming, animal husbandry or the cultivation of trees, shrubs, flowers, grains, sod, fruits, vegetables and other crops or ornamental plants ( "agricultural products ") but shall not include any building or structure where agricultural products are displayed for sale in more than twenty -five per cent of the gross floor area of such building or structure; (c) "capital cost" means costs incurred or proposed to be incurred by the City or a local board thereof directly or by others on behalf of, and as authorized by, the City or a local board thereof, i) to acquire land or an interest in land, including a leasehold interest and land for an enclosed structure used throughout the year for public recreation and land that is necessary for the structure to be used for that purpose, including parking and access to the structure, ii) to improve land, iii) to acquire, lease, construct or improve buildings and structures, iv) to acquire, lease, construct or improve facilities including, 1. rolling stock with an estimated useful life of seven years or more, furniture and equipment other than computer equipment, and 2. materials acquired for circulation, reference or information purposes by a library board as defined in the Public Libraries Act, R.S.O. 1990, c.P.44, and V) to undertake studies in connection with any of the matters in clauses i) to iv), and the development charge background study required under section 10 of the Development Charges Act, required for the provision of services designated in this by -law within or outside the City, including interest on borrowing for those expenditures under clauses i), ii), iii) and iv); (d) "development" includes redevelopment; (e) "development charge" means a charge imposed with respect to growth - related net capital costs against land under this by -law; (f) "duplex" means a dwelling or residential building divided predominantly horizontally into two dwelling units; (g) "dwelling unit" means a room or suite of rooms which: i) is located in a building (including a non - residential building), ii) is occupied or designed to be occupied by a household as a single, independent and separate housekeeping establishment, iii) contains both a kitchen and bathroom for the exclusive common use of the occupants thereof, and iv) has a private entrance leading directly from outside the building or from a common hallway or stairway inside the building; (h) "excess capacity" means uncommitted excess capacity but excludes uncommitted excess capacity if, either before or at the time the excess capacity was created, the Council of the City expressed a clear intention that the excess capacity would be paid for by development charges or other similar charges; (i) "existing industrial building" means a building or buildings existing on a site in the City of Kitchener on January 1, 1999 or the first building or buildings constructed and occupied on a vacant site pursuant to site plan approval under Section 41 of the. Planning Act, R.S.O. 1990, c.P.13 (the "Planning Act ") subsequent to January 1, 1999 for which full development charges were paid, and is used for or in connection with, (i) the production, compounding, processing, packaging, crating, bottling, packing or assembling of raw or semi - processed goods or materials in not less than seventy -five per cent of the total gross floor area of the building or buildings on a site ( "manufacturing ") or warehousing; (ii) research or development in connection with manufacturing in not less than seventy -five percent of the total gross floor area of the building or buildings on a site; (iii) retail sales by a manufacturer, if the retail sales are at the site where the manufacturing is carried out, such retail sales are restricted to goods manufactured at the site, and the building or part of a building where such retail sales are carried out does not constitute greater than twenty -five per cent of the total gross floor area of the building or buildings on the site; or (iv) office or administrative purposes, if they are, (1) carried out with respect to manufacturing or warehousing; and (2) in or attached to the building or structure used for such manufacturing or warehousing; 0) "floor area" means the area of floors of a building or structure measured between the outside surfaces of exterior wails or between the outside surfaces of exterior walls and the centre line of party walls, and in the case of a dwelling unit includes only those floor areas above grade. This shall not include any area which is specifically designed for parking and is not being used for the repair or sale of vehicles; (k) "grade" means the average level of finished ground adjoining a dwelling unit at all exterior walls; (1) "gross floor area" means the total floor area of a building or structure; (m) "growth - related net capital cost" means the portion of the net capital cost of services that is reasonably attributable to the need for such net capital cost that results or will result from the anticipated development in all or a defined part of the City less the City's excess capacity and the extent to which an increase in service to meet the increased need will benefit existing development within the City; (n) "home business" means a vocational use, as permitted by the applicable City zoning by -law, conducted in a dwelling unit which is secondary to the use of the dwelling unit as a private residence; (o) "hospital" means a hospital as defined in the Public Hospitals Act, R.S.O. 1990, c. P.40; (p) "household" means one or more persons living together as a single non - profit, housekeeping unit, sharing all areas of the dwelling unit and may, in addition, be designed to accommodate lodging units containing less than four residents; (c) "local board" means a municipal service board, transportation commission, public library board, board of health, police services board, planning board or any other board, commission, committee, body or local authority established or exercising any power under any Act with respect to any of the affairs or purposes of the City or the Regional Municipality of Waterloo (the "Region ") or any part or parts thereof, excluding a school board, a conservation authority and any other board excluded under any general or special Act; (r) "local services" means services related to a plan of subdivision or within the area to which the plan relates, to be installed or paid for by the owner as a condition of approval under section 51 of the Planning Act, or as a condition of approval under section 53 of the Planning Act; (s) "lodging house" means a dwelling or residential building containing one or more lodging units designed to accommodate four or more residents. The residents may share common areas of the dwelling other than the lodging utiits, and do not appear to function as a household. This shall not include a group home, nursing home, hospital or any residential care facility licensed, approved, or supervised under any general or specific Act, or a hotel or motel. This shall include but not be limited to student residences, convents, unlicensed nursing homes and tourist homes; (t) "lodging unit" means a room or set of rooms located in a lodging house designed or intended to be used for sleeping and living accommodation, which: i) is designed for the exclusive use of the resident or residents of the unit; ii) is not normally accessible to persons other than the resident or residents of the unit; and iii) may contain either a bathroom or kitchen but does not contain both for the exclusive use of the resident or residents of the unit; (u) "multiple dwelling" means a dwelling or residential building containing three or more dwelling units, but shall not include townhouse or street townhouse dwellings; (v) "net capital cost" means the capital cost less capital grants, subsidies and other contributions made to the City or that the Council of the City anticipates will be made but only to the extent that the grant, subsidy or other contribution is clearly intended by the person making it to benefit new development and includes conveyances or payments under sections 42, 51.1 and 53 of the Planning Act, in respect of the capital cost; (w) "non - residential use" means the use of land, building or structures for a use other than residential use, including all commercial, industrial and institutional uses and excluding agricultural uses; (x) "owner" means the owner of land or a person who has made application for an approval for the development or redevelopment of land upon which a development charge is imposed; (y) "residential use" means the use of land, buildings or structures for one or more single detached, semi- detached, townhouse, street townhouse dwelling, multiple dwelling or duplex dwelling units and lodging houses; (z) "semi- detached dwelling" means a dwelling or residential building divided predominantly vertically into two dwelling units; (aa) "services" means services designated in Schedule "A" attached to this by -law; (bb) "single- detached dwelling" means a dwelling or residential building consisting of one dwelling unit and not attached to another residential structure, and shall include a mobile home located on a foundation; (cc) "site" means a parcel of land which can be legally conveyed pursuant to section 50 of the Planning Act and includes a development having two or more lots consolidated under one identical ownership; (dd) "townhouse or street townhouse" means a dwelling or residential building divided predominantly vertically into three or more attached dwelling units, each of which has a separate entrance from the outside; and (ee) "warehousing" means a building or buildings on a site having not less than seventy -five per cent of the total gross floor area of such building or buildings used for the storage or distribution of goods or materials. PART 1: APPLICATION and EXEMPTIONS 2.(1) Subject to subsection (2), this by -law applies to all lands within the City of Kitchener and any lands outside the City of Kitchener to which services are provided by the City, whether or not the land or use thereof is exempt from taxation under section 3 of the Assessment Act, R.S.O. 1990, c.A.31. (2) This by -law does not apply to land owned by and used for the purposes of: (a) a board of education as defined by subsection 1(1) of the Education Act,. R.S.O. 1990, c.E.2; (b) the City of Kitchener or any local board thereof; (c) the Region or any local board thereof; (d) any area municipality within the Region; and (e) the Crown in right of Ontario or the Crown in right of Canada. (3) Notwithstanding subsection 3(1), all lands within the Downtown Core Area, the boundary of which is shown on Schedule "C ", shall be exempt from the payment of development charges. 3.(1) Subject to subsections (2) to (7) inclusive, development charges shall apply on land to be developed or redeveloped for residential and non- residential use, where: (a) the development or redevelopment of the land will increase the need for services; and (b) the development or redevelopment requires one or more of the approvals which follow: (i) the passing of a zoning by -law or of an amendment thereto under section 34 of the Planning Act; (ii) the approval of a minor variance under section 45 of the Planning Act; (iii) a conveyance of land to which a by -law passed under subsection 50(7) of the Planning Act applies; (iv) the approval of a plan of subdivision under section 51 of the Planning Act; (v) a consent under section 53 of the Planning Act; (vi) the approval of a description under section 9 of the Condominium Act, S.O. 1998, c.C. 19; or (vii) the issuing of a permit under the Building Code Act, 1992, S.O. 1992, c.23 (the "Building Code "), in relation to a building or structure. (2) Subsection (1) shall not apply in respect of, (a) local services; or (b) local connections to water mains, sanitary sewers and storm drainage facilities installed at the expense of the owner including amounts imposed under a by -law passed under section 326 of the Municipal Act, 2001, c. 25, as amended. (3) Where two or more of the actions described in subsection (1) are required before the land to which a development charge applies can be developed or redeveloped, only one development charge shall be imposed, calculated and collected in accordance with the provisions of this by -law. (4) Despite subsection (3), if two or more of the actions described in subsection (1) occur at different times and if the subsequent action or actions has the effect of increasing the need for services as designated in this by -law, additional development charges shall be imposed, calculated and collected in accordance with the provisions of this by -law. (5) Despite subsection (1), any subdivision agreement or development agreement made under section 51 or section 53 of the Planning Act or any predecessor thereof, which provides for the payment of a lot levy, development charge, capital contribution or other charge shall remain in full force and effect, be enforceable according to its terms and prevail to the extent that there is any conflict with this by -law. This subsection, however, shall not apply with respect to any lot or block which is further subdivided by a new plan of subdivision or consent. (C) Where there is a conflict between the charge specified in an agreement set out in subsection (5) or in a condition of draft plan approval for a plan of condominium and the development charge specified in this by -law, the lower charge shall apply. (7) Subsection (1) shall not apply to: (a) a temporary use permitted under a zoning by -law enacted under sections 39 or 39.1of the Planning Act; (b) an accessory use to residential uses; (c) a home business; (d) an agricultural use; (e) temporary erection of a building without foundation as defined in the Building Code for a period not exceeding six consecutive months and not more than six months in any one calendar year on a site for which development charges or lot levies have previously been paid; and (f) the enlargement of an existing dwelling unit or the creation of up to two additional dwelling units as prescribed by Ontario Regulation 82198 and set out in Schedule "D" attached hereto, and as such Regulation may be amended from time to time, provided that: (i) the number of dwelling units created in the renovated or enlarged residential building does not exceed the applicable maximum number of additional dwelling units set out in Schedule "D" attached hereto, and the total gross floor area of the additional dwelling units does not exceed the applicable maximum gross floor area provisions set out in Schedule "D" attached hereto; and (ii) no more than one or two additional dwelling units in accordance with this subsection may ever be created without the imposition of development charges. 4. Development charges as set out in Parts H and III of this by -law shall apply to all lands that are developed or redeveloped for residential and non - residential use in accordance with this by -law, but only insofar as, (a) the growth- related net capital costs of services are attributable to residential or non- residential use, as the case may be; and (b) the growth- related net capital cost of each service is attributable to the anticipated development and at standards no higher than the average level of each such service provided by the .City over the ten year period immediately preceding the preparation of the Study. 5. The rates set out in Schedule "B" attached hereto shall be determined so as to reflect a ten per cent reduction to the growth - related net capital costs, except that there shall be no percentage reduction for the following growth - related net capital costs: (a) water supply services, including distribution and treatment services; (b) waste water services, including sewers and treatment services; (c) storm water drainage and control services; (d) services related to a highway as defined in section 26 of the Municipal Act, 2001, c. 25 as amended; and (e) fire protection services. PART IL RESIDENTIAL DEVELOPMENT CHARGES 6. Development charges against land to be developed or redeveloped for residential use shall be based upon the services to be provided by the City which are designated in Schedule "A" attached hereto 7. (a) Subject to the provisions of this by -law, development charges are hereby imposed against land to be developed or redeveloped for residential use located within the Suburban Area the boundary of which is shown on Schedule "C -2" attached hereto and shall be calculated and collected at the rates set out in Schedule "B" attached hereto. (b) Subject to the provisions of this by -law, development charges are hereby imposed against land to be developed or redeveloped for residential use located within the Central Neighbourhoods the boundary of which is shown on Schedule "C -1" attached hereto and shall be calculated and collected at the rates set out in Schedule "B" attached hereto. (c) Subject to the provisions of this by -law, development charges against land to be developed or redeveloped for mixed residential use shall be the aggregate of the amount applicable for each dwelling unit according to its type as set forth in Schedule "B" attached hereto. PART III: NON - RESIDENTIAL DEVELOPMENT CHARGES 8. Development charges against land to be developed or redeveloped for non - residential use shall be based upon the services to be provided by the City which are designated in Schedule "A" attached hereto. 9. Subject to the provisions of this by -law, development charges are hereby imposed against land to be developed or redeveloped for non - residential use located in the Suburban Area the boundary of which is shown on Schedule "C -2" attached hereto and shall be calculated and collected at the rate set out in Schedule "B" attached hereto. 10. Subject to the provisions of this by -law, development charges are hereby imposed against land to be developed or redeveloped for non - residential use in the Central Neighbourhoods the boundary of which is shown on Schedule "C -1" attached hereto and shall be calculated and collected at the rate set out in Schedule "B" attached hereto. 11. (a) Despite anything in this by -law, there shall be an exemption from the payment of development charges for one or more enlargements of an existing industrial building on its site, whether attached or separate from the existing industrial building, up to a maximum of fifty per cent of the gross floor area before the first enlargement for which an exemption from the payment of development charges was granted pursuant to the Development Charges Act or this subsection. Development charges shall be imposed in accordance with Schedule `B" with respect to the amount of floor area of an enlargement that results in the gross floor area of the industrial building being increased by greater than fifty per cent of the gross floor area of the existing industrial building. (b) For the purpose of this section, despite any new sites created which result in an existing industrial building being on a site separate from its enlargement or enlargements for which an exemption was granted under this section, further exemptions, if any, pertaining to the existing industrial building shall be calculated in accordance with subsection 10(a) on the basis of its site prior to any division. 12. Despite anything in this by -law, there shall be an exemption from the payment of development charges in respect of any enlargement of a hospital. PART N: MIXED USE 13. Subject to the provisions of this by -law, development charges against land to be developed or redeveloped for mixed residential and non - residential use shall be the aggregate of the amount applicable to the residential component and the amount applicable to the gross floor area of the non - residential component. PART V: ADMINISTRATION Payment 14. All development charges required to be paid to the City pursuant to this by -law shall be paid by cash or certified cheque and directed to the City's Chief Building Official. Calculations 15.(1) Subject to the provisions of this part, development charges shall be calculated and payable in full on the date that a building permit is issued in relation to a building or structure on land to which a development charge applies. (2) Where development charges apply to land where a building permit is required, no building permit shall be issued until the development charge is paid in full. 16. Despite section 13, the City may require that development charges applicable with respect to the services described in subsections 5(a) to (d) inclusive of this by -law ( "Engineering Services "), be calculated as set forth in Schedule "B" hereto and payable immediately upon the execution of a subdivision agreement under section 51 of the Planning Act or a consent agreement under section 53 of the Planning Act with respect to the lands to which such agreement, as the case may be, relates. Credits 17.(1) The City may by agreement permit the owner of land to which development charges apply to provide services for development or redevelopment of that land in lieu of the payment of all or any portion of a development charge, including services additional to or of a greater size or capacity than is required under this by -law ( "services in lieu "). (2) Upon proof of the installation or construction of services in lieu to the satisfaction of the City's Engineer, a credit, without interest, shall be applied against development charges payable for an amount equal to the reasonable cost to the owner of providing services in lieu, as determined by the City's Engineer, not to exceed the total amount of the development charges otherwise payable. (3) Any unused credit may be applied, upon proof satisfactory to the City's Chief Building Official, to any subsequent development charge payable with respect to the same land as referred to in subsection (1), or transferred and applied to any development charge payable with respect to other land owned by the same owner to be developed or redeveloped with the consent of the City on terms satisfactory to the City Solicitor. Redevelopment Allowances 18.(1) Subject to the provisions of this section, where any redevelopment or re -use of land replaces or changes a former or existing development and, in the case of demolition upon proof of issuance of a demolition permit for the land being provided, the development charge applicable to the redevelopment or re -use shall be reduced by a redevelopment allowance, without interest, not to exceed an amount equal to the total of: (a) the number and types of legally established residential units in the former or existing development; and (b) the legally established non - residential gross floor area of the former or existing development, as determined by the City's General Manager of Development and Technical Services and Chief Building Official at the rates applicable to such units or gross floor area at the time the first building permit for the re- development is issued. (2) No redevelopment allowance shall be made in excess of the development charge payable for a redevelopment; however, the redevelopment allowance may be carried forward and applied, upon proof satisfactory to the City's Chief Building Official, to any subsequent development charge payable with respect to the same land as referred to in subsection (1). Reserve Funds 19.(1) Monies received from payment of development charges shall be maintained in a separate reserve fund or funds, and shall be used only to meet the growth- related net capital costs for which the development charge was imposed under this by -law. (2) Income received from investment of the development charge reserve fiord or funds shall be credited to the development charge reserve fund or funds in relation to which the investment income applies. (3) Where any development charge, or part thereof, remains unpaid after the due date, the amount unpaid shall be added to the tax roll and shall be collected as taxes. (4) Where any unpaid development charges are collected as taxes under subsection (3), the monies so collected shall be credited to the development charge reserve fund or funds referred to in subsection (1). PART VI: GENERAL 20. This by -law shall be administered by the City's General Manager of Development and Technical Services, General Manager of Financial Services and City Treasurer and Chief Building Official. Annual Adiustment 21. The development charges set out in sections 7, 9 and Schedule "B" attached hereto shall be adjusted annually, without amendment to this by -law, as of the 1st day of January in each year, commencing on January 1, 2010, in accordance with the index prescribed by Ontario Regulation 82198 and as such Regulation may be amended from time to time. 22. The minimum interest rate that the City shall pay under subsection 18(3) and 25(2) of the Development Charges Act in relation to a development charges by -law shall be the Bank of Canada interest rate on the day the by -law comes into force and thereafter as such rate is adjusted on the first business day of every January, April, July and October of each year. Term 23.(1) This by -law shall come into force and effect on July 1, 2009. (2) This by -law shall continue in force and effect for a term not to exceed five years from the date of its coming in to force and effect unless it is repealed or replaced at an earlier date by a subsequent by -law. 24. Nothing in this by -law shall be construed so as to commit or require the City or its Council to authorize or proceed with any specific capital project at any specific time. 25. Each and every provision of this by-law is severable and, if any provision or provisions of this by -law should, for any reason, be declared invalid by any court, it is the intention of Council that each and every of the then remaining provisions of this by -law shall remain in full force and effect. 26. The Clerk is hereby directed to make this by -law a part of The City of Kitchener Municipal Code as Chapter 315 by adding it to the Concordance and arranging and numbering it so as to fit within the scheme of the Code. 27. By- law,No. 2005 -156 as amended by By -law No. 2006 -243 and the contents of Chapter 315 of The City of Kitchener Municipal Code, as amended, are hereby repealed effective at midnight on June 30, 2009. 28. This by -law may be cited as the Development Charges By -law. PASSED at the Council Chambers in the City of Kitchener this day of , A.D. 2009. Mayor Clerk SCHEDULE "A" SERVICES DESIGNATION Residential/Non- residential 1. Sanitary Servicing 2. Roads and Related 3. Watermains d. Engineering Studies S. Intensification Allowance 6. Storm/Watercourse Residential/Non- residential 7. Public Works 8. Fire Protection Residential 9. Indoor Recreation 10. Library 11. Outdoor Recreation Residential/Non- residential 12. Parking 13. Growth - Related Studies SCHEDULE B DEVELOPMENT CHARGE RATES Full Full Partial Partial Services Services Services Services Central Neighbourhoods Suburban Area Suburban Area Suburban Area (no sanitary sewer) (no sanitary sewer or water services) Residential Development (effective July 1, 2009) Single detached $ 5,852.01 $ 9,887.47 $ 8,167.61 $ 8,034.93 or semi- detached per dwelling unit per dwelling unit per dwelling unit per dwelling unit dwelling Townhouses or $ 4,042.36 $ 6,829.92 $ 5,641.90 $ 5,550.25 street townhouse per dwelling unit per dwelling unit per dwelling unit per dwelling unit dwelling Multiple or $ 3,316.20 $ 5,603.00 $ 4,628.39 $ 4,553.21 duplex dwelling per dwelling unit per dwelling unit per dwelling unit per dwelling unit Lodging house $ 1,755.40 $ 2,965.90 $ 2,450.00 $ 2,410.20 per lodging unit per lodging unit per lodging unit per lodging unit Non - Residential Development (effective July 1, 2009, to December 31, 2009) Gross floor area $ 15.84 $ 16.97 $ 13.20 $ 11.18 of building per square metre per square metre per square metre per square metre $ 1.46 $ 1.58 $ 1.21 $ 1.04 per square foot per square foot per square foot per square foot Non - Residential Development (effective January 1, 2010) Gross floor area $ 21.43 $ 49.66 $ 37.49 $ 36.55 of building per square metre per square metre per square metre per square metre $ 1.99 $ 4.61 $ 3.48 $ 3.40 per square foot per square foot per square foot per square foot Note. All rates in this schedule are subject to annual indexing as per section 21 of this by -law. Z v 0 e � U y T) rt • V A\ 3 3 8 L� U Z 0 g . c � Uos W 0 � m W T U UYV 4— O �d o �? s1ss .m 4) rn S� D S N L O U LL c C (o U N c 1 N rR 07 m � � c N E O_ O �- QI N SCHEDULE 'CV City of Kitchener Central Neighbourhoods Boundary of Central Neighbourhoods 1 KrracR Development & Technical Services May 21, 2004 ,• Sources: Railways: Strategic Services - I.T. (Nov. 2002); Street Network: Strategic Services - LT. - GIS (Current to date of printing): . z Municipal Boundary: Region of Waterloo - Planning (2001) g H k{ �GL� a`�aa�,ay � • CIO. cOGRa. NG SrF t�a� 13 1 G2 �O F. 011 AW A 51 S GO �O 'PO �O 5� 5 64ENOS Ro la�SNM5 IF 60 e Sq 51 At y0 IPO 20 1-6 w\ SrF F AtiRW A`� Rp 5 . t, � z ,v � o C SCHEDULE 'CT City of Kitchener Suburban Area Boundary of Suburban Area \3T � Te J KMMR Development & Technical Services April 13, 2004 I Ah, 10 SOURCES: Surface Water: Strategic Services - I.T. - G IS (April 2000 ) Municipal Bound ,ry: ldegion or WaI.Q- Planning 2000) Municipal Street Network: Strategic Servica'- I.T. - GIS (Current Io date of printing) Railways: Strategic Services - I.T. (Nov. 2002) SCHEDULE "D" NAME OF DESCRIPTION MAXIMUM RESTRICTIONS CLASS OF OF CLASS OF NUMBER OF RESIDENTIAL RESIDENTIAL ADDITIONAL BUILDING BUILDINGS DWELLING UNITS Single detached Residential Two The total gross floor dwellings Buildings, each of area of the additional which contains a single dwelling unit or units dwelling unit, that are must be less than or not attached to other equal to the gross floor buildings. area of the dwelling unit already in the building. Semi- detached Residential buildings, One The gross floor area of dwellings or street each of which contains a the additional dwelling townhouse dwellings single dwelling unit, that unit must be Iess than or have one or two vertical equal to the gross floor walls, but no other parts, area of the dwelling unit attached to other already in the building. buildings. Other residential A residential building One The gross floor area of buildings not in another class of the additional dwelling residential building unit must be less than or described in this table equal to the gross floor area of the smallest dwelling unit already in the building.