Bylaw 669 Off-Site Levy (Town of Grande Cache)

Municipal District of Greenview No. 16, Alberta · No. 669 · summary & facts

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I THE TOWN OF GRANDE CACHE BY.LAW NO. 669 BEING A BY.LAW OF THE TOWN OF GRANDE CACHE !N THE PROVINCE OF ALBERTA, FOR THE PURPOSE OF PROVIDING FOR THE IMPOSITION OF A LEVY, TO BE KNOWN AS AN "OFF-SITE LEVY", IN REPSECT OF LAND THAT IS TO BE SUBDIVIDED, DEVELOPED OR IS TO UNDERGO A CHANGE IN USE OR INTENSITY OF USE WHEREAS the Atberta Municipat Government Act, RSA 2OOO, Chapter M-26, as amended, provides as follows: Section 648(1) For the purposes referred to in subsection (2), a council may by by-law (a) provide for the imposition and payment of a !evy, to be known as an 'Off-Site levy', in respect of land that is to be developed or subdivided, and (b) authorize an agreement to be entered into in respect of the payment of the levy. AND WHEREAS new residential, commercial and industrial sites within the Town of Grande Cache have required and will continue to require new construction or expansion of certain water and sanitary sewer facilities or land in connection with such facilities; AND WHEREAS Counci! for the Town of Grande Cache deems it desirable that subdivisions, developments and redevelopments should bear a fair and reasonable portion of the cost of constructing or expanding such facilities; NOW THEREFORE the Council of the Town of Grande Cache, duly assembled, hereby enacts as follows: 1. TITLE This By-Law shall be known and referred to as the "Off-Site Levy By-LaW'. 2. DEFINITIONS: ln this By-Law, the following terms shall have the meanings indicated: a) "Act" means the Alberta Municipal Government Act, RSA 2000, Chapter M-26, and all regulations enacted thereunder, all as amended from time to time; b) 'CAO' means the Chief Administrative Officer of the Town of Grande Cache as defined in the Act; c) "Development" means "development" as defined in the Act; d) "Development Area" means those areas of lands within the Town boundaries, as adjusted from time to time, as set out in Section 3 and Map 1 in Appendix A of the Town of Grande Cache Off-Site Levy Rate Study; e) "Off-Site Levies" means the Off-Site levies imposed pursuant to this By-Law underthe authority of the Act; 0 "Study" means the Town of Grande Cache Off-Site Levy Rate Study, dated August 2008, prepared by Corvus Business Advisors, attached hereto as Schedule "A"; g) "Subdivision" means "subdivision" as defined in the Act; h) "Town" means the Town of Grande Cache. ) Off-Site Levy By-Law No. 669 Town of Grande Cache Page2 3. PURPOSE AND INTENT This By-Law is intended to: a) impose and provide forthe payment of levies, to be known as Off-Site Levies in respect of land within the Town that is to be subdivided, developed, redeveloped, or undergo a change in use or intensity of use; b) authorize agreements to be entered into in respect of payment of Off-Site Levies to ensure that the developer of each parcel of land that is to be subdivided, developed, redeveloped, or undergo a change in use or intensity of use, pays a proportionate share of the costs to provide new or expanded infrastructure required for the Development Area within which such land is located. 4. ADMINISTRATION AND ENFORCEMENT Council hereby delegates to the CAO the duty and authority to enforce and administer this By-Law and to execute on behalf of the municipality, written agreements with owners of land that is to be subdivided, developed, redeveloped, or undergo a change in use or intensity of use, providing for the payment of Off-Site Levies imposed hereunder. 5. IMPOSITION OF OFF.SITE LEVIES The Off-Site Levies, calculated using the rates set forth in Table 13 of the Study, are hereby imposed, on the terms specified in this By-Law, in respect of land to be subdivided, developed, redeveloped, or undergo a change in use or intensity of use, and the owners of such land shall, as a condition of subdivision or development approval, enter into an agreement to pay to the Town the Off-Site Levies so imposed. 6. DIVISION INTO AREAS For the purposes of imposing the Off-Site Levies in accordance with the Act, the Town is divided into Development Areas as set forth in Map 1 of Appendix A of the Study. 7. OBJECT OF THE LEVIES The object of the Off-Site Levies is to reimburse the Town for past, present and future capital costs associated with the following: a) neworexpanded facilities forthe storage, transmission, treatmentorsupplying of water, including without limitation, for fire suppression; b) new or expanded facilities for the treatment, movement or disposal of sanitary sewage. 8. DETERMINATION OF OFF.SITE LEVIES The Off-Site Levies of this By-Law were determined in accordance with the calculations set forth in the Study. The applicable projects, their associated costs, benefiting Development Areas are considered in the Study. 9. PAYMENT Where the owner of land is subject to an Otf-Site Levy under this By-Law fails, neglects or refuses to pay the Off-Site Levy, or to provide security for its payment, the Town: a) may commence proceedings in court for recovery of the Off-Site Levy as a debt due to the Municipality; or ,/ \ Off-Site Levy By-Law No. 669 Town of Grande Cache Page 3 b) may refuse to consent to the registration of a subdivision plan or issue a Development Permit until the owner has paid the Off-Site Levy in full, or provided security satisfactory to the CAO for its payment. 10. OFF.SITE LEVY FUNDS The Town shallestablish and maintain a separate Off-Site Levyfund in respect of each facility in respect of which the Off-Site Levies are collected. Each such fund shal! be kept separate from the General Account or any other account of the Town. 11. ANNUAL REVIEW Each calendar year the CAO shall provide a report to Council setting forth the Off-Site Levies imposed pursuant to this By-Law, collections thereof, and expenditures made in the previous year, including uncollected Off-Site Levies, the amount in each Off-Site Levyfund established pursuant to Section 10, the amount of any grants or other contributions, and the estimated costs or the actual costs incurred in respect of each such facility; and Council may amend this By-Law to update any one or more of the Off-Site Levy rates. 12. OTHER LEVIES Nothing in this By-Law precludes the Town from imposing further or different Off-Site levies, duly enacted by By-Law, on any land in respect of which the Town has not collected the Off-Site Levies imposed hereunder. 13. MISCELLANEOUS Schedule "A" is hereby incorporated into and forms and integral part of this By-Law. Off-Site Levy By-Law No. 653 is hereby rescinded. This By-Law shalltake effect on the date it is passed. Read a first time this 1Oth day of September, 200E AD AND ADVERTISED the 16th day of September, 2008 AND the 23'd day of September,2008 in the Grande Cache Mountaineer. PUBLTC HEARING held the 24th day of September,2008. Read a second time this 24th day of September, 2008 AD Read a third and final time this 24rh day of September, 2008 AD DONE AND PASSED as a By-Law of the Town nde Cache this 24th day ot September,2008. Mayor Chief Administrative ^/ Town of Grande Cache Off-site Levy Rate Study August 2008 CORVIJS* \ Town of Grande Cache Off-site Levy Rate Study Table of Contents 1. INTRODUCTION 2. REVTEW METHODOLOGY......... .................2 3. OFF-SITE LEVY DEVELOPMENT LANDS ....................4 4. WATER OFF-S|TE |NFRASTRUCTURE....... ................. s 5. WATER INFRASTRUGTURE GRANTS & THIRD PARW CONTRIBUTIONS......................6 6. WATER OFF.SITE INFRASTRUCTURE BENEFITING PARTIES .......................6 7. DEVELOPMENTANDWATERSTAGING !MPACTS... ....................7 8. WATEROFFSrTELEVYRATES.................... 9. SANITARYOFF.SITEINFRASTRUCTURE 10. SANITARY OFF.SITE INFRASTRUCTURE BENEFITING PARTIES 10 11. DEVELOPMENT AND SANITARY STAGING IMPACTS ..........1I 12. SANTTARY OFFSTTE LEVY RATES....... ..................12 13. SUMMARY OF OFFSITE LEVY RATES l3 14. SUMMARY OF RATE DEVELOPMENT ASSUMPTIONS .........14 APPENDIX A 9 9 l5 CORVUS* Town of Grande Cache Off-site Levy Rafe Study 1. Introduction On March 13, 2008, the Town of Grande Cache retained Corvus Business Advisors for the provision of services related to the development of Off-site Levy Rates. The Town of Grande Cache had not previously established offsite levy rates but rather acted as the primary developer of the community. ln this development capacity the Town undertook fronting ending of off-site levy infrastructure and other development costs and passed on costs in the price of sold serviced lots. The Town has received interests from various developers who wish to develop lands within the Town and the Town now needs a mechanism of charging and collecting developer contributions toward the cost of off-site levy infrastructure that will serve development lands. The Town wishes to ensure that the off-site levy rates that are developed for the community are fair and reasonable and that they comply with legislative and regulatory requirements. The establishment of Off-site Levy Rates also provides the Town with an opportunity to understand the cost of infrastructure required to support development, the grants and other contributions that may be anticipated in defraying infrastructure costs and infrastructure cost assignment to benefiting parties. This report outlines the methodology used in establishing water and sanitary off-site levy rates for the Town of Grande Cache. 2. Review Methodology To support the establishment of new Off-site Levy Rates the Town of Grande Cache had undertaken two Master Plan studies to determine water and sanitary infrastructure requirements and costs. The town also has considered future development plans and land uses. Support provided by the Corvus Business Advisors project team included: . Establishing processes that would be used in the overall development, review, approval and administrative management of offsite levies for the Town. . feviewing and updating off-site infrastructure costs as required. ISL Engineering I I Town of Grande Cache Off-site Levy Rafe Study and Land Services Ltd. supported Corvus Business Advisors with this undertaking. . Determining the potential development areas of the Town, potential land uses within these development areas as well as the off-site infrastructure benefit derived by each area. ISL Engineering and Land Services Ltd also supported these tasks. . Development of water and sanitary sewer off-site levy rates for the Town's development area. . Development of processes to be used in collecting, administering and updating Town offsite levies in the future. . Gathering of benchmark information from sunounding communities regarding offsite levy rates and levy calculation parameters. . Presentation of off-site levy rate and background information to invited developers. The Off-site Levy Rate review was undertaken in a collaborative fashion with the Town Administration including the Town's CAO and Planning and Development Services. The following illustration outlines the macro level work plan undertaken for the study. CORVUS. Town of Grande Cache Off-site Levy Rate Study 3. Off-site Levy Development Lands The Town of Grande Cache's off-site levy development area is defined by the corporate boundaries of the community and by a review of Town lands that are suitable for development. Map 1 in Appendix A outlines the based development area employed in off-site levy rate calculations. The net development area used in development of off-site levy rates is outlined in the Table 1, Off-site Levy Net Development Area, below. ln developing the net development area calculations we have considered only those remaining lands within the Town that are suitable to development (areas with severe side slopes and other environmental considerations have been excluded). We have further made allowances in net development area calculations for environmental reserves, arterial road right of way and municipal reserves. 274.42 Sub total 274.42 Municipal Reserves 27.44 totatT4?i-56- Net development area definitions will be applied in determining off-site levy obligations of Developers on application for subdivision or development within the Town of Grande Cache. Net development area is defined as follows: . Gross Area - The area of lands to be developed in hectares. . Less: Any development areas that have previously paid an off-site levy. . Less: Any environmental reserves contained within the development area lncluding environmental reserves, environmental easements and areas deemed undevelopable due to environmentalfactors such as severe sideslopes. . Less: A 10o/o allowance for Municipal Reserves. r Less: The measurement of arteria! road right of way / highway right of way that bisects the development lands. Equals: Net Developable Area, which is the area subject to off-site levies. Table 1 - Off-site Levy Net Development Area Gross Area Environmental Reserve Town of Grande Cache Off-site Levy Rafe Study We have further classified net development areas according to anticipated land use. Land use classifications may be considered at some future point in considering whether there exist differential demand for / benefit from offsite infrastructure. Currently all land uses are considered to benefit in equivalent fashion from off-site levy infrastructure. Table 2, Net Development Area by Anticipated Land Use, below, outlines development area by land use. Table 2 -Net Development Area by Anticipated Land Use Comm / lndustrial Med Density Res. Residential 128.36 118.62 total ---74636- 4. Water Off-site lnfrastructure !n order to support Town growth two off-site infrastructure investments are required including: . New Fire Pump - This facility is an upgrade of the existing system and is necessary to improve fire flows in Zone 1 (East of Highway 40), and in the commercial and institutional areas near the Town Centre area. . New Water Reservoir - the Town will require a second reservoir when the population of the community reaches approximately 6,450 people. The new reservoir will have a capacity of approximately 1,897 m3. A summary of off-site levy water costs by facility type is provided in Table 3 Off-site Levy Water Costs by Type, below. $ 0.52 $ 6.27 $ 6.79 Table 3 - Offsite Levy Water Costs by Type Fire Pumps Reservoir The costs associated with each off-site water element are expressed in 2007 dollars. Water cost estimates have been developed by ISL Engineering and Land Services Ltd. In discussion with various Engineering Consulting firms and other municipalities we have determined that there has not been any appreciable change in prices between 2007 and Town of Grande Cache Off-site Levy Rate Study 2008. We are therefore of the opinion that 2007 cost estimates can be applied in 2008. 5. Water lnfrastructure Grants & Third Party Contributions Offsite levy rate calculations do not reflect any special grants or other third party contributions. Should these amounts be rec,eived they would reduce the off-site infrastructure cost burden on benefiting parties. We believe that the Town may be able to attract Alberta Water and Wastewater Partnerchip funding for the new water reservoir in the future. However no provision has been included for this potential at this time. We have advised the Town to consider a future reduction of off-site levy costs at such time as a water grant application is submitted and approved by Alberta Transportation or other granting agency. 6. Water Off-site lnfrastructure Benefiting Parties The off-site water infrastructure previously outlined will benefit various parties to varying degrees. During our review we have identified two benefiting parties for this infrastructure including : . The Town of Grande Cache - for a portion of Fire Pump costs. Fire Pump infrastructure, in part, upgrades fire flow protection to existing residents. . Town of Grande Cache Developers - Both the Fire Pump and new Water Reservoir support groMh. Developer share of costs relate to that share of infrastructure costs that support groMh. Table 4 Water lnfrastructure Benefiting Parties, below outlines the allocation of off-site levy road infrastructure costs to benefiting parties. Percentage allocations have been determined in consultation with lSL Engineering and Land Services Ltd. Table 4 -Water lnfrastructure Benefiting Parties Town of Grande Cache Off-site Levy Rate Study The percentage split of benefit pertaining to the New Fire Pump is based upon proportionate share of area (existing and yet to be developed) benefiting from the Pump. The resulting allocation of water infrastructure costs is outlined in Table 5 Allocation of Water Costs to Benefiting Parties Table 5 Allocation of Water Costs to Benefiting Parties Developers 7. Development and Water Staging lmpacts Water off-site infrastructure will be constructed in staged fashion over a twenty-five year development period. We have reviewed the availability of off-site levy funds to meet construction requirements and found at times that funding will not be sufficient to fund water off-site infrastructure construction expenditures. While off-site levy rates have been set to ultimately fully recover infrastructure construction costs and carrying costs of front ending parties the Town should recognize that it will likely be required to front end some infrastructure construction in 2009 and later in 2019 when the new water reservoir is required. ln order to compensate front ending parties for their likely cost of capital we have established a 4.600/o interest charge when infrastructure costs exceed reserve funds available and a 3.75o/o interest credit for interest earned on positive off-site levy reserve balances. The graph and table below outlines water levy reserve balances over the twenty-five year development period. Town of Grande Cache Off-site Levy Rate Study Graph 1 Anticipated Water Off-site Levy Reserve Balances Water Reserve $6,000,000 $4,000,000 $2,000,000 $- $(2,000,000) $(4,ooo,ooo) $(6,000,000) Year / ^-F w"' 9ttNE (o@o, 5oooo {N$t6tGl ii .j aixa o,l -S!^.$f o L{ Table 6 Water Off-site Levy Reserve Cash Flow, below, outlines anticipated receipts and disbursements to the water off-site levy reserve. Table 6 Water Off-site Levy Reserve Cash FIow $ 9,20e,46s $ (219,770) $(4,ee7,37s) 209,2371 $(4,757,876) 218,862) $(4,e76,739) 181,312) $(4,122,869) 167,369) $(3,80s,826) 175,068) $(3,980,894) 157,611) $(3,583,e32) 164,861) $(3,748,793) 'r71,011) $(3,888,649) (113,304) $(2,576,441) (118,516) $(2,6s4,e57) 1,365 $ 37,760 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 $ 34.160 $ $ 263,847 $ $ 163,725 $ $ 11,570 $ $ 588,7,14 $ $ 153,780 $ $ 249,09e $ $-$ $ 334,446 $ $ 247,668 $ $ 631,808 $ $ (11,1e7) $ (254,616) $ 3.t6 $ 9,577 $ 6,499 $ 179,800 $ 7,176 $ 198,s47 $ 29,523 $ 816,814 $ 36,397 $ 1,006,991 $ 47,103 $ 1,303,193 $ 48,870 $ 1,352,063 $ 63,2'14 $ 1,749,753 $ 74,903 $ 2,072,324 $ 101,405 $ 2,80s,537 2021 2022. 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 $ 593,936 $ 448,736 $- $ 1,03s,182 $ ,184,411 $- $ 554,573 $$ 31,155 $ 1,425,s12 $- $ 2,731,353 $-$ $-$ $-$ $-s $-$ $-$ $-$ $-$ $-$ $-$ $-$ Table 7 Summary of Water Off-site Levies 1.1, 5.1, 6.1, 6.2, 7.1, 7.2, 8.2, .2, 11.1, 12.1, 13.1, 14.1, 15.1, 16.1 , 17.1, & 18.1 .1, 3.1 , 3.3, 3.4, 4.1, 9.1 , 9.3, Town of Grande Cache Off-site Levy Rate Study 8. Water Offsite Levy Rates Table 7 Summary of Water Offsite Levies, below outlines off-site levy rates associated with construction of water offsite levy infrastructure for each development area. Differences in rates reflect the differentia! benefit accruing to the development area. 9. Sanitary Off-site lnfrastructure ln order to support future community growth, it has been determined that sanitary off-site infrastructure is required. The estimated costs of this infrastructure based upon 2007 cost estimates and 2008 closed tender prices are provided in Table 8 Summary of Sanitary Off-site lnfrastructure below. Table 8 Summary of Sanitary Off-site lnfrastructure Town Site 2 Trunk Town Site 2 Diversion West Bench Trunk The costs associated with Town Site 2 Diversion and West Bench Trunk are expressed in 2007 dollars. Water cost estimates have been developed by ISL Engineering and Land Services Ltd. ln discussion with various Engineering Consulting firms and other municipalities we have determined that there has not been any appreciable change in prices between 2007 and 2008. We are therefore of the opinion that 2007 cost 1.63 0.26 2.80 4"69 Town of Grande Cache Off-site Levy Rate Study estimates can be applied in 2008. Cost estimates for the Town Site 2 Trunk are based upon 2008 tender prices. 10. Sanitary Off-site lnfrastructure Benefiting Parties The sanitary off-site infrastructure previously outlined will benefit various parties to varying degrees. During our review we have identified two benefiting parties including: . The Town of Grande Cache - for sanitary transmission through the Town Site 2 Trunk and related Diversion. . Town of Grande Cache Developers - for sanitary transmission through the Town Site 2 Trunk and related Diversion and for sanitary transmission through the West Bench Trunk. The Table 9 Allocation of Sanitary lnfrastructure to Benefiting Parties, below, outlines the allocation of sanitary off-site levy infrastructure costs to benefiting parties. Table 9 Allocation of Sanitary lnfrastructure to Benefiting Parties Allocation of benefit between existing and future development is based upon flow information for contributing areas. Table 10 Allocation of Sanitary lnfrastructure Costs, below outlines the cost allocation resulting from the percentage allocations outlined above. Table 10 Allocation of Sanitary lnfrastructure Gosts xisting Town 0.56 4.13 10 Town of Grande Cache Off-site Levy Rate Study 11. Development and Sanitary Staging Impacts Sanitary off-site infrastructure will be constructed in staged fashion over the twenty-five year development period. We have reviewed the availability of off-site levy funds to meet these construction requirements and found that funding will not be sufficient to fund sanitary construction infrastructure through most of the twenty-five year review period- front ending of infrastructure by the Town of Grande Cache will be required. ln order to compensate the Town for the capital outlay associated with front-ending off- site infrastructure construction, we have created a 4.600/o interest allowance in off-site levy rate calculations. Further, a 3.75o/o interest credit has provided to reduce off-site levy rates for interest earned on positive reserve balances. The graph and table below outline sanitary levy reserve balances over the twenty-five year development period. Graph 2 Anticipated Sanitary Off-site Levy Reserve Balances Sanitary Reserve $1,000,000 $- $(1,oo0,ooo) $(2,000,000) $(3,000,000) $(4,000,000) $(5,000,000) if=;-+r; ; e e,J )-ooo \t6tN6l ooorx9L <rl c{r{ N o / / (' *Reserve Balance Year ll Town of Grande Cache 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 49,210 $ 63,792 $ $ 353,616 $ $ 247,374 $ $ 20,401 $ $ 166,199 $ $ 55,919 $ $ 80,696 $ $$ $ '172,954 $ $ 55,112 $ $ 285,099 $ s 843,728 $ $ 472,320 $ $ 348,813 $ $$ $ 979,904 $ $ 602,913 $ $-$ $ 690,238 $ $-$ $ 7,934 $ $ 526,135 $ $-$ $ 695,566 $ 402,535 994,457 . 3,875,855 - - l 12. Sanitary Offsite Lely Rates Table 12 Summary of Sanitary Offsite Levies, below outlines off-site levy rates associated with construction of sanitary offsite levy infrastructure for each development area. Differences in rates reflect the differential benefit accruing to development area from off-site levy infrastructure being provided. Off-site Levy Rate Study 1,845 $ $ (13,234) $ (43,321) $ (33,935) $ (34,ss7) $ (28,502) $ (27,2401 $ (24,7821 $ (25,921) $ (19,158) $ (17,504) $ (183,484) $ (153,113) $ (138,429) $ (128,752) $ (134,674) $ (e5,7e4) $ (72,466) $ (75,800) $ (47,536) $ (49,722) $ (51,644) $ (29,818) $ (31,190) $ (628) $ (300,922 $ (985,083 $ (771,644 $ (785,801 $ (648,104 $ (619,425 $ (563,511 $ (589,432 $ (435,636 $ (398,029) $(4,172,269) $(3,481,654) $(3,147,763) $(2,927,702) $(3,062,376) $(2,178,266) $(1,647,820) $(1,723,620) $(1,080,917) $(1,130,640) $ (1,174,350) $ (678,033) $ (709,223) $ (14,285) Table 11 Anticipated Sanitary Off-site Levy Reserve Balances t2 Town of Grande Cache Off-site Levy Rate Study Table 12 Summary of Sanitary Off-site Levies 13. Summ ary of Offsite Levy Rates The table below outlines off-site levy rates associated with construction of water and sewer offsite levy infrastructure for each development area within the Town of Grande Cache. Differences in rates reflect the differential benefit accruing to the development area. Table 13 Summary of Off-site Levies 1.1 $ 32.206.24 40.084.84 72.291.O8 2.1 4.651.44 14.059.11 18.710.55 3.1 4.651.44 8.201.64 12.853.08 3.2 s s- 3.3 $ 4.651.44 s 14.059.11 $ 18.710.55 3.4 $ 4.651.44 $ 8.201.64 $ 12.8s3.08 4.1 4.651.44 $ 8.201.64 $'t2.853.08 4.2 $ 36,8s7.69 8,201.64 45.059.32 5.1 s 32.206.24 8.201.64 40.407.88 6.1 32.206.24 40.084.84 72.291.O8 6.2 32.206.24 40.084.84 72.291.O8 7.1 7.2 32,206.24 32.206.24 40,084.84 40.084.84 $ 72,291.08 $ 72.291.08 8.1 s- s B 8.2 $ 32.206.24 8.201.64 40.407.88 9.1 s 4.651.44 8.201.64 $ 12.853.08 9.2 $ 32.206.24 8.201.64 $ 40.407.88 9.3 $ 4.651.44 8.201.64 $ 12.853.08 10.1 s 4.651.44 8.201.64 $ 12.853.08 11.1 $ 32.206.24 40.084.84 $ 72.291.08 12.1 s 32.206.24 $ 8.201.64 $ 40,407.88 13.1 s 3220624 s 8 201"64 40.407.44 14.'.| $ 32.206.24 8.201.64 40.407.88 1s.1 32.206_24 40.084.84 72.291.O8 16.1 32.206.24 8.201.64 40.407.88 17.1 32.206.24 s 8.201.64 s 40.407.88 18.1 $ 32.206.24 s 8.201.64 $ 40.407.88 2.1, & 3.3 3.1, 3.4, 4.1, 4.2, 5.1, 8.2,9.2, 9,3, 10.1 , 12.1, 13.1, 14.1, 16.1.17.1. & 18.1 CORVUS. 13 .4. Town of Grande Cache Off-site Levy Rate Study 14. Summary of Rate Development Assumptions The following is a summary of off-site levy rate development assumptions. . The net development area of lands within the Town of Grande Cache is 246.98 ha. . The total 2007 cost of offsite water facilities is $6.79M . Water off-site infrastructure will benefit existing and future development areas. . Grants have not been included in water off-site levy calculations as application and approvals are outstanding. Grant impacts will be considered in the future given the approval of the water reservoir project by Alberta Transportation or other appropriate grant funding agencies. . The total 2007 cost and 2008 tender prices for offsite sanitary facilities is $4.69M . Staging of off-site levy infrastructure may from time to time result in positive offsite levy reserve balances. Positive reserve balances will earn interest at 3.75o/o. lnterest earned on reserves will serve to reduce off-site levy rate calculations. . Staging of off-site levy infrastructure may from time to time result in front ending requirements. Front ending debts will earn interest al 4.600/o. lnterest expenses associated with front ending debts will result in additional costs and with thereby increase off-site levy rate calculations. . Off-site levy rates will pay for off-site levy infrastructure and result in off-site levy reserves balances approximating a zero dollar balance in 2032. t4 Town of Grande Cache Off-site Levy Rate Study Appendix A 15 rc*frf Grande Cache Off-site Levy Rate Study Map 1 - Town of Grande Cache Off-site Levy Development Area TOWN OF GRANDE CACHE Offrl1r4,tu€.. CORVUS-" t6