Bylaw 1531/21 Sturgeon Valley Area Off-Site Levy Bylaw
Sturgeon County, Alberta
· No. 1531/21
· adopted 2021-04-27
· summary & facts
This is the exact embedded text of the captured official document.
Snapshot f8b31f8bb3f1 · verified 2026-10-22 ·
original document ·
archived snapshot ·
unofficial consolidation, the official version is held by the municipal clerk.
BYLAW 1531/21
STURGEON VALLEY AREA OFF-SITE LEVY BYLAW
STURGEON COUNTY, ALBERTA
A BYLAW OF STURGEON COUNTY, IN THE PROVINCE OF ALBERTA, FOR THE PURPOSE OF
ESTABLISHING OFF-SITE LEVIES FOR LAND THAT IS TO BE SUBDIVIDED OR DEVELOPED WITHIN THE
STURGEON VALLEY AREA STRUCTURE PLAN
WHEREAS, section 648 of the Municipal Government Act, RSA 2000, c M-26, as amended (the
MGA), provides that a Council of a municipality may enact a bylaw to provide for the imposition and
payment of Off-Site Levies in respect to lands that are to be developed or subdivided and to
authorize agreements to be entered into in respect of the payment of those levies;
AND WHEREAS, Council deems it necessary to establish Off-Site Levies to pay for the capital costs
of new and expanded roads, for new or expanded water and wastewater facilities, and for new or
expanded stormwater facilities, and the land required in connection with those facilities, all of
which will be required as a result of anticipated subdivision and development within the Sturgeon
Valley Area;
AND WHEREAS, Sturgeon County has and continues to consult in good faith with affected
landowners and representatives of the development industry in order to address and define
existing and future infrastructure and facility requirements within the Sturgeon Valley Area and the
benefit to new development from such infrastructure and facilities;
AND WHEREAS, Council has received advice and reports respecting existing and future
infrastructure and facility requirements within the Sturgeon Valley Area and the benefit to new
development from such infrastructure and facilities, which advice and reports set out a fair and
equitable calculation of Off-Site Levies in relation to benefit, in accordance with the purpose of the
MGA and the principles of the Off-Site Levies Regulation, Alta Reg 187/2017;
AND WHEREAS, notice of intention to pass this bylaw has been given in accordance with the MGA;
NOW THEREFORE, the Council of Sturgeon County, in the Province of Alberta, duly assembled,
hereby enacts as follows:
PART I: BYLAW TITLE
1. This bylaw may be cited as the "Sturgeon Valley Area Off-Site Levy Bylaw".
PART II: DEFINITIONS
2. For the purposes of this bylaw the following words will have the following meanings:
a. "Act" or "MGA" means the Municipal Government Act, RSA 2000, c M-26, as amended.
BYLAW 1531/21 PAGE 2
b. "Benefitting Area" means each of the 32 areas within the Off-Site Levy Area that will
benefit from Off-Site Infrastructure, as more specifically identified in Schedule "A" to
this bylaw.
c. "Bylaw" means this Off-Site Levy Bylaw.
d. "County Commissioner" means the Chief Administrative Officer of Sturgeon County.
e. "County" means Sturgeon County.
f. "Council" means the Council of Sturgeon County.
g. "Construction Cost" means the capital cost, incurred or as estimated and adjusted
annually by the Engineer, to complete the construction of the Off-Site Infrastructure and
all necessary improvements forming part of the Off-Site Infrastructure. Construction
costs shall include design, engineering, land costs, surveying costs, contingency costs
and carrying costs. Estimated Construction Costs and Actual Construction Costs must be
verified to the satisfaction of the Engineer.
h. "Developable Land" means the area of land, in hectares, within the Off-Site Levy Area
being developed or subdivided, excluding land designated as municipal reserve,
environmental reserve, school reserve, road right-of-way for arterial roadways, and any
land owned by a school board that is to be developed for a special building project
within the meaning of the Education Act, SA 2012, c E-0.3.
i. "Development Agreement" means an agreement entered into as a condition of
subdivision approval or a development permit between the County and the applicant for
subdivision approval or a development permit that provides for the construction of
municipal improvements required to service the lands and to allow development to
proceed.
j. "Development Permit" means a permit issued in accordance with the Sturgeon County
Land Use Bylaw by a Development Authority for the County or the Subdivision and
Development Appeal Board.
k. "Engineer" means the County Commissioner or their delegate.
|. "Off-Site Infrastructure" means:
i. |Newor expanded facilities for the storage, transmission, treatment, or supplying
of water;
ii. | Newor expanded facilities for the treatment, movement, or disposal of
wastewater;
iii. | New or expanded stormwater drainage facilities;
BYLAW 1531/21 PAGE 3
iv. |New or expanded roads required for or impacted by a subdivision or
development; and
v. Land required for or in connection with any of the above described facilities.
m. "Off-Site Levy" means the levy imposed on lands within the Off-Site Levy Area payable
to the County upon entering into a Development Agreement as a contribution towards
the Construction Cost of the Off-Site Infrastructure;
n. "Off-Site Levy Area" means those lands within the Sturgeon Valley Area as shown in
Schedule "A" to this bylaw.
o. "Off-Site Levy Regulation" means the Off-Site Levies Regulation, Alta Reg 187/2017, as
amended or repealed and replaced from time to time;
p. "Sturgeon Valley" means the area of the County located within the Sturgeon Valley Area
Structure Plan Bylaw 882/99, as amended or repealed and replaced from time to time.
PART III: APPLICATION
3. An Off-Site Levy is hereby imposed and shall be collected in respect of all Developable Land
within the Off-Site Levy Area as shown in Schedule "A" to this bylaw, which lands
respectively benefit from one or more of the Off-Site Infrastructure facilities installed or to
be installed by the County.
4. The Off-Site Levy payable shall be the sum of all the Off-Site Levies imposed upon the
Developable Land within the relevant Benefitting Area for each of the following Off-Site
Infrastructure facilities:
a. Transportation Infrastructure;
b. Water Infrastructure;
c. Sanitary (Wastewater) Infrastructure; and
d. Stormwater Infrastructure
multiplied by the area of Developable Land, in hectares, using the Off-Site Levy rates set out
in Schedule "B" to this bylaw.
5. Off-Site Levies are deemed imposed whether or not the imposition of Off-Site Levies is
made a specific condition of subdivision approval or the development permit.
6. Applicants for subdivision approval or the issuance of a development permit in relation to
lands within the Off-Site Levy Area shall be required to enter into a Development
Agreement with the County as a condition of subdivision approval or the development
permit requiring, among other things, payment of the Off-Site Levy.
BYLAW 1531/21 PAGE 4
7. The Developable Land in respect of which the Off-Site Levy is being imposed and collected
shall be identified in the subdivision approval or development permit.
8. The supporting technical information which identifies the impact of proposed subdivision
and development within the Off-Site Levy Area and each Benefitting Area, estimates the
Construction Costs of the Off-Site Infrastructure and identifies how the Off-Site Levy is
calculated is contained in the Sturgeon Valley 2021 Off-Site Levy Update, dated March 1,
2021 prepared by Corvus Business Advisors, attached hereto as Schedule "C" to this bylaw.
9. On or before May 31 in each calendar year, the County shall prepare a written report, which
report shall be made publicly available in its entirety, on the Off-Site Levies and shall include
in the report the details of all Off-Site Levies received and utilized for each of the Off-Site
Infrastructure facilities within the Off-Site Levy Area and each Benefitting Area, including:
a. Off-Site Infrastructure constructed during the previous calendar year;
b. Construction Costs of the Off-Site Infrastructure;
c. Amounts paid from the Off-Site Levies towards Construction Costs for the Off-Site
Infrastructure and details as to whom the payments have been made;
d. Estimated Construction Costs for the Off-Site Infrastructure yet to be constructed and
an explanation as to any adjustments to the estimates since the previous annual report;
e. Details as to the amounts collected in Off-Site Levies;
f. The total value of Off-Site Levies held by the County which are yet to be expended,
including the amount of interest earned and information regarding any commitments
made for the expenditure of Off-Site Levies that have not yet been paid out; and
g. Information regarding any changes to the assumptions related to the staging or timing
of development and the projected construction date for the Off-Site Infrastructure.
10. Any Off-Site Levies collected under this bylaw, and any interest earned from the investment
of such Off-Site Levies, shall be accounted for separately for each of the Off-Site
Infrastructure facilities and must be used only for the specific type of Off-Site Infrastructure
facility for which it was collected or for land required for or in connection with that purpose.
11. The County shall review the Off-Site Infrastructure and the Off-Site Levy rates every three
years after the year this bylaw is adopted or as otherwise determined by the Engineer. After
the review has been completed, Council may amend the bylaw to update the Off-Site
Infrastructure and the Off-Site Levy rates.
12. Except as otherwise provided herein, each Development Agreement entered into by the
County with respect to any subdivision approval or development permit shall make
BYLAW 1531/21 PAGE 5
provision for payment of all Off-Site Levies imposed by this bylaw within the times specified
by County policy or guideline, as amended from time to time.
13. In the event that any of the Off-Site Levies imposed by this bylaw are not paid at the time
specified in a Development Agreement, the County Commissioner is hereby authorized to
take whatever action deemed necessary to collect the unpaid Off-Site Levies.
14. No Off-Site Levies shall be required to be paid where Off-Site Levies have been previously
collected in respect of the Developable Lands for the same type of Off-Site Infrastructure
facility.
15. Except as otherwise provided herein, a Development Agreement entered into by the County
with respect to any subdivision approval or development permit may require the applicant
to fund the entire Construction Cost of an Off-Site Infrastructure facility to be funded by the
Off-Site Levy, subject to terms and conditions agreed to by both parties, including but not
limited to, provisions for the reimbursement of the cost incurred or payment made in
excess of the applicant's proportional benefit of the Off-Site Infrastructure, together with
interest calculated at a rate fixed by the County for the amount of the cost of the Off-Site
Infrastructure, until all land in the Benefitting Area for the specific Off-Site Infrastructure is
developed or subdivided.
16. Council may from time to time adopt policies or guidelines for the assistance and direction
of County Administration in determining when an applicant for subdivision approval or a
development permit may be required to fund the entire Construction Cost of an Off-Site
Infrastructure facility to be funded by the Off-Site Levy.
17. Nothing contained in this bylaw precludes the County from imposing such further or other
charges, costs, fees or levies as may be lawfully authorized.
PART IV: SEVERABILITY
18. If at any time any provision of this bylaw is declared or held to be illegal, invalid or ultra
vires, in whole or in part, then that provision shall not apply and the remainder of this bylaw
shall continue in full force and effect and shall be construed as if it had been enacted
without the illegal, invalid or ultra vires provision.
19. If any clause in this bylaw is found to be invalid, it shall be severed from the remainder of
the bylaw and shall not invalidate the whole bylaw.
PART V: ENACTMENT
20. This Bylaw shall repeal Bylaw 1446/19.
BYLAW 1531/21 PAGE 6
21. This Bylaw shall come into force and take effect upon being passed.
Read a first time this 13" day of April, 2021.
Read a second time this 27" day of April, 2021.
Read a third time this 27" day of April, 2021.
"Original Signed"
Alanna Hnatiw
MAYOR
"Original Signed"
Reegan McCullough
COUNTY COMMISSIONER (CAO)
April 27, 2021
DATE SIGNED
BYLAW 1531/21 PAGE 7
ann
Schedule "A"
Sturgeon Valley Benefiting Areas aan
urgeon
20190115 rd
is | ry a | wee) oe ee A Se =m
[. oe Jk = g, mare a ] i -- pe
Of | aly j \ eT akon REESE ) be a J u di
iY ae sf] | q Se SS CI yy, 4 awa! f |
| eee eee py SS -- = i aL] | _. ea anes |
A a f ' --ferk | \ * \\ oy f | } -- J
j | i | | A4iluinintines ee Tape ern --f- K--\\__ --< eo), Sn |
| | | OS eT ass Soeee Sot 2S 8 eee SS BE 3 Vin
Ea ae A) NS, ) ele IN ees | Joey | is Se ee
| 4 ; LJ Th ' SES) STS WS | a L eo ND
Lar A ee i Se teen ey eh ee Ce omy Garter Wy bat: E 1 \ |
choy bdo CW py adore, Vee Puaharees SW aie -- -- ' 7 | | | \ y
Tacs Yas tonto to ph oe wie se Senay pi Cay Sopp Naoussa es
Document Pe GAGS, RledMaps tad MADALand Puning Surpeamasey\Sonarg.SeomendSawanfisdmsoiniztioas bee Isa85 es A eidvddwauaaacs
Base Map compe rom the Proves Take Mapping Digital Base 10TH Projection 115 Degree Cantat Meridian, NAD &3 Datum Land Ommership dered from Land Tites a sore | ccosresbte etoonesien tostea]
Spot Ota Wordnnss i. Serguon County 2018 A hs Recereed Nat tobe copied hrchoteo pot :
BYLAW 1531/21 PAGE 8
Schedule "B"
Summary of Offsite Levy Rates by Ares (Per Net Hectare)
Pre] oe [oe [ee
Levies Levies Levies
1.0 $ 25,084 $ 38,237 $ 29,089 $ o$ 92,410
20 §$ 25,084 §$ 38,237 $ 29,089 $ 0 $ 92,410
3.0 $ 25,084 $ 38,237 $ 29,089 $ - $ 92,410
40 $§ 25,084 §$ 38,237 $ 29,089 $ - § 92,410
5.0 $ 25,084 $ 38,237 $ 29,089 $ 0. $ 92,410
6.0 $ 25,084 $ 38,237 $ 20,089 $ - $§ 92,410
70 § 25,084 §$ 38,237 $ 20,089 $ - $ 92,410
8.0 $ 25,084 §$ 38,237 $ 20,089 $ - $§ 92,410
9.0 $ 25,084 $ 38,237 $ 28,089 $ - $ 92,410
10.0 §$ 25,084 §$ 38,237 $ 29.089 $ o$ 92,410
11.0 § 25,084 §$ 38,237 $ 32,952 $ - $§ 96,273
120 § 25,084 §$ 38,237 $ - $ - $ 63,321
13.0 $ 25,084 $ 38,237 $ - $ - $ 63,321
14.0 $ 25,084 $ 38,237 $ 24.272 $ - $ 87,593
15.0 § 25,084 §$ 38,237 $ 24.272 $ - $§ 87,593
16.0 § 25,084 §$ 38,237 $ 24.272 $ - $ 87,593
17.0 § 25,084 §$ 38,237 $ 16.009 $ - § 79,420
18.0 § 25,084 §$ 38,237 $ - §$ - $§ 63,321
19.0 § 25,084 §$ 38,237 $ 8.758 $ - $ 72,079
20.0 $§$ 25,084 §$ 38,237 $ - $ - $§ 63,321
210 § 25,084 $ 38,237 $ 8.758 $ - $ 72,079
22.0 $ 25,084 $ 38,237 $ 8.758 $ - $ 72,079
23.0 $ 25,084 $ 38,237 $ 8.758 $ - § 72,079
24.0 §$ 25,084 §$ 38,237 $ - $ o$ 63,321
25.0 $ 25,084 $ 38,237 $ - $ os 63,321
26.0 $ 25,084 §$ 38,237 $ 8.758 $ - § 72,079
27.0 $ 25,084 $ 38,237 $ . $ 0 $ 63,321
23.0 $ 25,084 §$ 38,237 $ - $ - $ 63,321
20.0 $ 25,084 §$ 38,237 $ - $ - $ 63,321
30.0 §$ 25,084 §$ 38,237 $ - $ - § 63,321
31.0 $ 25,084 $ 38,237 $ - $ - $ 63,321
32.0 $ 25,084 $ 38,237 $ - $ - $ 63,321
Bylaw 1531/21 Page 9 of 69
SCHEDULE "C"
Win A Avinore
Sturgeon Valley:
2021 Offsite Levy Update
March 15', 2021
Prepared by:
Greg Weiss, President
CORVUS Business Advisors
9670 -- 95 Avenue
Edmonton, AB T6C 2A4
(780) 428-4110
[email protected]
www.corvusbusinessadvisors.com
Bylaw 1531/21 Page 10 of 69
March 1§, 2021
Sturgeon County
9613 -- 100 Street
Morinville, Alberta
T8R 1L9
RE: Sturgeon Valley 2021 Offsite Levy Update
Enclosed is our report in support of the Sturgeon Valley 2021 offsite levy rate update. If you
have any questions do not hesitate to contact me.
Sincerely,
Greg Weiss
President
Bylaw 1531/21 Page 11 of 69
Version
Number | Revision Date Summary of Changes and Author
March 1%, 2021 FINAL. Created by CORVUS Business Advisors.
Bylaw 1531/21 Page 12 of 69
2 CONTENTS
APPENDIX A: OFFSITE LEVY AREAS AND LAND STAGING..........:cccseceseeceseeeeeseesseeeeseeesseeeesteeeee 11
APPENDIX F: OFFSITE INFRASTRUCTURE DEFINITIONS ..........:cccseeesseeeesseeeeseeeseeeesseeenseeeseseeeee OL
Bylaw 1531/21 Page 13 of 69
3 INTRODUCTION
3.1 Overview
Bylaw 1446-19, established by Sturgeon County ("the County") in 2019 defines offsite levy
charges for transportation, water, sanitary, and stormwater offsite infrastructure in the
Sturgeon Valley. The County wishes to update this bylaw, amending offsite infrastructure
included in the bylaw in alignment with the County's recent actual expenditures, receipts,
latest capital/master plans, and ensuring updated costs and development forecasts are
reflected fairly and equitably in new rates, thereby ensuring a financially sustainable
community.
This report outlines the methodology and information used in establishing updated
transportation, water, sanitary, and stormwater offsite levy rates for the Sturgeon Valley.
3.2 Methodology
The County has various infrastructure capital/master plans, and these plans have been used
by County staff as a start point for developing key information for this offsite levy review.
County staff reviewed existing plans and verified offsite projects for roads, water, sanitary,
and drainage infrastructure'. The County's review also included verification of benefits to
existing development, future development, and benefiting areas.
Support provided by CORVUS Business Advisors ("CORVUS") included:
« Update of the offsite levy model--configuration, priming, and data loading.
« Incorporation of area measurements and land development forecasts (provided by
County staff).
« Incorporation of infrastructure costs and allocation percentages for existing
development, new development, and other parties (provided by County staff).
«Reconciliation of reserve opening balances (historical reconciliation details provided
by County staff).
« Determination of roads, water, sanitary, and drainage levy rates.
« Presentation of results to Administration.
Offsite levy rates within the CORVUS model are forecast using a rolling 25-year review
period. During this review, a cut-off date of December 31®', 2020 was established, and so
the review period stems from 2021 to 2045. The cut-off date coincides with the County's
most recent year-end when the project started. Project expenditures, receipts etc. were
gathered as "actuals" from the County's financial records up to the cut-off date. Beyond the
cut-off date, all financial details are estimates. When the County completes its next rate
update, information from January 1%, 2021 up to the new cut-off date will be converted from
' It was not within CORVUS' scope of work to review the County's capital/master plans. Plans were reviewed
and refined by County staff.
Bylaw 1531/21 Page 14 of 69
estimates to actuals, and the rolling 25-year review period will move further out.
Costs that benefit development prior to and within the 25-year review period are included in
rates. Costs that benefit development beyond the review period (called "financial
oversizing") are excluded from rates. In future years, when rates are updated and the rolling
25-year period moves further out, offsite infrastructure costs beyond 2045 will gradually be
included in rates.
4 KEY FINDINGS
The following provides a summary of key findings pertaining to the updating of Sturgeon
Valley offsite levy rates:
Offsite Infrastructure Costs. Offsite infrastructure costs to be included in the offsite levy
bylaw total approximately $263.15 million. An overview of offsite infrastructure costs and
maps is provided in Appendices B1 (Transportation), C1 (Water), D1 (Sanitary), and E1
(Stormwater); and a definition of each offsite infrastructure type is provided in Appendix F.
Before determining how the infrastructure costs will be allocated to parties that benefit (e.g.,
existing/residual development, future development, other municipalities etc.), financing
provided by way of special ear-marked grants and other contributions are deducted from
offsite infrastructure costs. For this review, the County has identified approximately $1.64
million in ear-marked grants and contributions. An overview of ear-marked grants and
contributions and resulting net costs is provided in Appendices B2, C2, D2, and E2.
The share of costs which benefits existing/residual development (the County's share) is
$60.61 million; and, the share of costs which benefits other stakeholders (e.g.,
neighbouring municipalities) is $0.08.
The share of costs which benefits future development totals approximately $200.81 million
($158.03 million + $42.78 million) and is based on the allocations shown in Appendices
B4, C4, D4, and E4. However, $158.03 million of the cost which benefits future
development is beyond the 25-year review period (called "financial oversizing"). Financial
oversizing is determined based on the anticipated year of construction (construction staging)
which is provided in Appendices B3, C3, D3, and E3.
Of the $263.15 million in total offsite infrastructure costs which benefits future development,
the portion that is within the 25-year review period and included in rates today (the offsite
levy share) is approximately $42.78 million, as shown in the table below. This is an
increase of approximately 33% since the last update. An increase in costs puts upward
pressure on rates, all other things being equal. A complete summary of offsite infrastructure
net cost "flow-thru" is provided in Appendices B6, C6, D6, and E6.
Bylaw 1531/21 Page 15 of 69
Summary of Infrastructure Costs & Allocations
eee tantra RE a |
& Contributions Costs Share of Costs (Financial (In Rates)
Oversizing)
Transportation $ - $ 52,866,316 $ - $ 102,048,057 $ 14,545,986 $ 169,460,359
Water $ 15,000 $ 5,038,059 $ - $ 8,733,784 $ 18,823,303 $ 32,610,146
Sanitary $ 1,627,200 $ 2,709,428 $ 76,453 $ 10,499,549 $ 9,414,422 $ 24,327,052
Stormwater $ - $ - $ - $ 36,748,387 $ - $ 36,748,387
Total $ 1,642,200 $ 60,613,803 $ 76,453 $ 158,029,777 $ 42,783,711 $ 263,145,944
Offsite Levy Collections. Before allocating infrastructure costs to benefitting lands, offsite
levy costs must be reduced by the total levies collected to date. Up to December 315, 2020,
the County collected approximately $15.05 million in offsite levies as summarized in the
table below. Details associated with levy collections are shown in Appendices B5, C5, D5,
and E5.
Summary of Levies Collected to Date
Levies Collected To Date
Transportation $ 7,199,323
Water $ 5,303,034
Sanitary $ 2,550,025
Stormwater $ -
Total $ 15,052,382
Offsite Levy Areas and Forecast Development. To facilitate the allocation of infrastructure
costs to those lands that benefit from the infrastructure, the Sturgeon Valley is parsed into
32 offsite levy areas. The area boundaries, numbering schema, and area measurements are
described in Appendix A along with an offsite levy map. An overview of offsite infrastructure
allocations to each benefitting area is provided in Appendices B7, C7, D7, and E7.
To calculate offsite levy rates, it is necessary to forecast the amount of land that will develop
during the 25-year review period. Land development forms the denominator of the rate
calculation. A larger denominator reduces rates but could potentially result in under-
collection thereby placing an increased burden on tax payers. A smaller denominator
increases rates but could potentially result in over-collection thereby placing an increased
burden on future development. Accordingly, land development forecasts need to be: (a)
reasonable and reflect current planning assumptions including the current pace of
development in the community, and (b) updated regularly.
For this review, the County is forecasting development of approximately 297 ha. during the
25-year review period (the land development forecast is shown in Appendix A). This is an
increase of approximately 12% since the last update. An increase in land development puts
downward pressure on rates, all other things being equal.
Bylaw 1531/21 Page 16 of 69
Offsite Levy Reserves. The County is currently managing offsite levy receipts and
withdrawals in the Sturgeon Valley via four accounts (i.e., one account for each
infrastructure type), and this in alignment with MGA requirements. The reason the MGA
stipulates the requirement for separate accounts is because offsite levies can only be used
for the type of infrastructure for which they were collected (e.g., water levies can only be
used to construct water offsite infrastructure, not sanitary infrastructure etc.). In addition to
account updates, during this review County staff identified several amendments to historic
account information. Accordingly, the County's offsite levy account balances require
amendment as discussed further below and shown in Appendices B8, C8, D8, and E8.
Interest. Offsite levy account balances (both actual and forecast) are impacted by interest.
Actual reserve inflows and forecast reserve balances that are in a positive/surplus position
earn interest (as required by the MGA). Actual reserve outflows and forecast reserve
balances that are in a negative/deficit position are charged interest (forecast balances that
are negative indicate the requirement for front-ending). During this review, several
amendments to interest calculations were identified. An overview of account adjustments is
discussed further below, and interest rates and forecast balances over the 25-year review
period are shown in Appendices B9, C9, D9, and EY.
Front-ending Approach. Front-ending is an extremely important concept that underpins
rigorous management of offsite levies. Front-ending represents monies owed by future
development to the front-ending party (municipality or developer) for past construction
undertaken on behalf of future develooment--i.e., a front-ending party will often pay for its
share of an offsite infrastructure project in addition to that portion of the project _which
benefits future development when offsite levy reserve balances are insufficient.
There are 2 alternatives for repaying front-ending debts to claimants: (1) the First-In First-
Out (FIFO) approach, and (2) the Average Outstanding Claim (AOC) approach. The FIFO
approach can create: (a) stagnation of development, and (b) increased pressure on the
municipality (i.e., taxpayers) to front-end. Accordingly, in 2017 the County adopted the AOC
approach as part of its broader offsite levy policy framework.
Under the AOC approach, claimants share distributions based on their proportionate share
of outstanding claims. For example, Developer A fronts a $1 million piece of infrastructure in
2016. Developer B front-ends a $0.5 million piece of infrastructure in 2017. And Developer C
is contemplating front-ending a $0.5 million piece of infrastructure in the future. Using the
AOC approach, offsite levy collections are shared between Developer A (66.6% of
distributions) and Developer B (33.3% of distributions) until fully repaid'. If Developer C
chooses to front-end in the future, then future claim reimbursements would be shared
amongst Developer A (50% of distributions) and Developer B (25% of distributions) and
Developer C (25% of distributions) until repaid®. This approach is preferred, as it ensures
2 $1,000,000 / ($1,000,000 + $500,000) = 66.6%. $500,000 / ($1,000,000 + $500,000) = 33.3%.
3 $1,000,000 / ($1,000,000 + $500,000 + $500,000) = 50%. $500,000 / ($1,000,000 + $500,000 + $500,000) =
25%.
Bylaw 1531/21 Page 17 of 69
regular positive cash flow to all claimants, and therefore no disincentive to future front-
ending.
In the Sturgeon Valley, it is our understanding that the County is the only front-ending party
currently. As such, all excess cash in reserve accounts should always be used to pay-down
the County's front-ending debt (described below).
Offsite Levy Account Adjustments. At end 2020, County records for the transportation
account reflected a surplus balance of $2,335,289. However, after adjustments and front-
ending claim repayments, the balance in the transportation account should be amended to
reflect a surplus of approximately $1,884,671 at end 2020. A complete reconciliation of the
transportation account balance is provided in Appendix B8.
At end 2020, County records for the water account reflected a surplus balance of
$1,447,430. However, after adjustments and front-ending claim repayments, the balance in
the water account should be amended to a deficit of approximately $(3,449,056) at end
2020. A complete reconciliation of the water account balance is provided in Appendix C8.
At end 2020, County records for the sanitary account reflected a surplus balance of
$773,734. However, after adjustments and front-ending claim repayments, the balance in
the sanitary account should be amended to a deficit of approximately $(2,013,342) at end
2020. A complete reconciliation of the sanitary account balance is provided in Appendix D8.
At end 2020, County records for the stormwater account reflected a surplus balance of
$119,061. However, after adjustments and front-ending claim repayments, the balance in
the stormwater account should be amended to a surplus of approximately $118,956 at end
2020. A complete reconciliation of the stormwater account balance is provided in Appendix
E8.
5 RATE UPDATES
For future development to pay for its share of the $263.15 million offsite infrastructure costs
contained in the County's capital plans for the Sturgeon Valley, rates are approximately
$82,794 per net hectare on a weighted average basis, as shown in the tables below. A
comparison of rates to other municipalities is shown in Appendix G.
Rates are increasing from an average of approximately $67,814 per net hectare (contained
in the current bylaw) to an average of $82,794 per net hectare. The primary reason for the
increase in rates is the 33% increase in costs outlined in the capital plan.
Bylaw 1531/21 Page 18 of 69
Offsite Levy Rates (Per Net Hectare): High, Low, & Averages4
Levies
High TS 5084 |S 88,2371 $ ~--32,952/$ sO $96,273 |
low 5084S 8B,237/$ = SC S83, 321 |
[Weighted Average|$ 25,084 |$ ----38,237/$ = 19,472/$ = | $82,794 |
Summary of Offsite Levy Rates by Area (Per Net Hectare)
Levies Levies Levies Levies
1.0 $ 25,084 $ 38,237 $ 29,089 $ 0 $ 92,410
2.0 $ 25,084 $ 38,237 $ 29,089 $ 0 $ 92,410
3.0 $ 25,084 $ 38,237 $ 29,089 $ - $ 92,410
4.0 $ 25,084 $ 38,237 $ 29,089 $ - $ 92,410
5.0 $ 25,084 $ 38,237 $ 29,089 $ 0 $ 92,410
6.0 $ 25,084 $ 38,237 $ 29,089 $ - $ 92,410
7.0 $ 25,084 $ 38,237 $ 29,089 $ - $ 92,410
8.0 $ 25,084 $ 38,237 $ 29,089 $ - $ 92,410
9.0 $ 25,084 $ 38,237 $ 29,089 $ - $ 92,410
10.0 $ 25,084 $ 38,237 $ 29,089 $ 0 $ 92,410
11.0 $ 25,084 $ 38,237 $ 32,952 $ - $ 96,273
12.0 $ 25,084 $ 38,237 $ - $ - $ 63,321
13.0 $ 25,084 $ 38,237 $ - $ - $ 63,321
14.0 $ 25,084 $ 38,237 $ 24,272 $ - $ 87,593
15.0 $ 25,084 $ 38,237 $ 24,272 $ - $ 87,593
16.0 $ 25,084 $ 38,237 $ 24,272 $ - $ 87,593
17.0 $ 25,084 $ 38,237 $ 16,099 $ - $ 79,420
18.0 $ 25,084 $ 38,237 $ - $ - $ 63,321
19.0 $ 25,084 $ 38,237 $ 8,758 $ - $ 72,079
20.0 $ 25,084 $ 38,237 $ - $ - $ 63,321
21.0 $ 25,084 $ 38,237 $ 8,758 $ - $ 72,079
22.0 $ 25,084 $ 38,237 $ 8,758 $ - $ 72,079
23.0 $ 25,084 $ 38,237 $ 8,758 $ - $ 72,079
24.0 $ 25,084 $ 38,237 $ - $ 0 $ 63,321
25.0 $ 25,084 $ 38,237 $ - $ 0 $ 63,321
26.0 $ 25,084 $ 38,237 $ 8,758 $ - $ 72,079
27.0 $ 25,084 $ 38,237 $ - $ 0 $ 63,321
28.0 $ 25,084 $ 38,237 $ - $ - $ 63,321
29.0 $ 25,084 $ 38,237 $ - $ - $ 63,321
30.0 $ 25,084 $ 38,237 $ - $ - $ 63,321
31.0 $ 25,084 $ 38,237 $ - $ - $ 63,321
32.0 $ 25,084 $ 38,237 $ - $ - $ 63,321
4 Highs, Lows, and Averages are shown for information purposes only. Developers pay the actual rate applicable
to their specific development area.
Bylaw 1531/21 Page 19 of 69
6 RECOMMENDATIONS
In addition to implementing the offsite levy rates outlined in Section 5, CORVUS
recommends the following:
1. Undertake a detailed a review and reconciliation of a historic projects in the Sturgeon
Valley including expenditures, grants, contributions, and account withdrawals, similar
to the review recently undertaken for the Sturgeon Industrial Park.
2. Assuming there are no significant amendments stemming from the review of historic
projects (see item 1 above), amend the County account records and balances to
align with the account balances in the offsite levy model and described in
Appendices B8, C8, D8, and E8; and in so doing, withdraw excess funds to pay
down front-ending claims, or top-up account shortfalls as required. If significant
amendments are forthcoming from the review of historic projects (See item 1 above),
complete next year's model and rate update before aligning County records to the
account balances in the model.
3. Establish a formal and regular communication and documentation process between
the Finance, Planning, and Engineering departments to enable the accurate
documentation of offsite levy expenditure and front-ending details.
4. Limit future withdrawals from offsite levy accounts to only that portion of project cost
for which future development _is responsible (i.e., Project Cost X Developer Share
%).
5. During the reconciliation account balances in the future, ensure the interest earning
and charge rates that underpin the offsite levy bylaw for that time period are used to
determine reserve interest impacts.
6. Changes to the MGA in 2017 enable municipalities to charge offsite levies for
recreation, fire, police, library, and interchange facilities. County Administration and
Council should consider whether it wishes to adopt such levies in the future and, if
so, begin developing the necessary supporting documentation that will be needed to
support such levies. Support documentation requirements for these new levies are
more stringent (see MGA Section 648 and Regulation AR 187/2017).
Bylaw 1531/21 Page 20 of 69
7 ACKNOWLEDGEMENTS
CORVUS Business Advisors would like to thank all Sturgeon County staff from Engineering,
Planning, and Finance who supported the work of this review.
8 DISCLAIMER
CORVUS Business Advisor has relied upon Sturgeon County and its advisors to provide all
of the data and information used to construct the offsite levy model and create the rates,
such as planning data and assumptions, development forecasts and assumptions,
infrastructure costs and costs estimates, allocations to benefitting parties, allocation to
benefitting areas, and other assumptions etc. As such, CORVUS Business Advisors makes
no guarantee as to the accuracy of the input data and information provided by these groups
or the results that stem from this data and information.
Offsite levy rates are not intended to stay static; they are based upon assumptions and the
best available information of the day. Planning assumptions, cost estimates etc. can change
each year. Accordingly, the Municipal Government Act requires that offsite levy rates be
updated with the most available information on a regular basis (usually annually). When
information changes, it will be reflected in a future update, and rates adjusted accordingly.
Bylaw 1531/21 Page 21 of 69
APPENDIX A: OFFSITE LEVY AREAS AND LAND STAGING
The Sturgeon Valley is parsed into 32 offsite levy areas, as shown in the map below. Areas take into consideration the
intersection points of existing/planned infrastructure basins (e.g., water and sanitary basins), and also various natural and
man-made barriers (e.g., rivers, highways, etc.). All offsite levy infrastructure costs are allocated to one or more areas.
Offsite Levy Areas
Stur, Valley Benefiting Areas --__-->
20190110 County
H eT \p 1 f | \\ & go \\ ee we Ph warp isd
<4] I CO | eer? eae | Gael bs Xe]
Bylaw 1531/21 Page 22 of 69
Total net development area, the amount of land available for development in all offsite levy
areas, is approximately 4113 ha. In calculating net development area, allowances have
been made for environmental reserves, municipal reserves, and arterial road right of way.
Offsite Levy Net Development Area®
Net
pone] omen | te pm st] ne | mat [a
[| 1.3 |SeeMap CCSCSC*dResidetid$ = CT ODT 86.09 | GT 7.14] 697.34 |
[| 23 |SeeMap CC"'CSCC#*dCRsideticd$ = 77.69 |
[3.3 [SeeMap Residential 4 Tae a Tae ea [30.32] 353.46 |
[| 5.3 |SeeMap CCSC*C*dRsidetid$ ST B.BB 53.33] 85.33]. 285.69 |
[| 63 |SeeMap C'"'C'*dCSResideticd$ = P97] 20.97 |
[| 7.3 |SeeMap CC"'C*dCSResideticd$ aa a 8.03] 87.01 |
[83 [SeeMap Residential 0B 0.08 PTB 25.27 |
[| 123 |SeeMap C'CSC*dCResideticd$ SGT BGT 8G] 25.22 |
[133 [SeeMap Residential 04.04 Tone PT
[142 [SeeMap TT incustriph tet 86.19]
[ 163 |SeeMap CC'CSC*dResideticd = AAT TG | 6858.28] 53.83 |
[17.3 [SeeMap CResidential tA Tt. T1836 20.60] 144.67 |
[| 19.3 |SeeMap CCSCSC*dResideticd$ =O OT 7.06] 83.62 |
[| 20.3 |SeeMap CC'C*dCResideticd$ =A OG | 8B] 24.75 |
[ 213 [SeeMap CC*C*dRsideticd$ =O tO 7] 1.97
[223 |SeeMap Residential OMA 0 aT 18.08 |
[233 [SeeMap CResidentipl B78 83.23]
[| 243 |[SeeMap CSC*C*C*dResideticd$ SBT ABB] 458.92 |
[| 25.3 |SeeMap CC~CSC*dRsidetipd$ ST TS 8B]. |
[| 26.3 |SeeMap CCS*C*dRsideticd$ set 4.70]
[27.3 |SeeMap Residential 8A 2a a 5.16 |
[| 30.3 |SeeMap CC~CSC*dRsidetipd$ STG 2] 10.88 |
[ 313 |SeeMap CCSCSC*C*dResideticd$ tet tori | 0.72 BT 92.67 |
[323 [SeeMap Residential AT 4 Tea 02 | 55.68 |
Totall 5,331.27] 262.03] 5,069.24[ 479.23] 476.99] 4,113.01 |
Summary of Offsite Levy Net Development Area
Description ha
Gross Development Area 5,331.27
Less Environment Reserve 262.03
Less Municipal Reserve 479.23
Less ROW Allowance 476.99
Net Development Area 4,113.01
"Note: 1 Hectare (ha.) = ~2.47 Acres
Net development area definitions will be applied in determining offsite levy obligations of
developers on application for subdivision or development within Sturgeon County. Net
development area is defined as follows:
e Gross Area -- The area of lands to be developed in hectares that have not previously
paid an offsite levy.
o Less: Any environmental reserves contained within the development area
Including environmental reserves and environmental easements.
o Less: A 10% allowance for Municipal Reserves.
o Less: The measurement of arterial road right of way that bisects the
5 Area measurements were provided by County staff.
Bylaw 1531/21 Page 23 of 69
development lands.
e Equals: Net Developable Area, which is the area subject to offsite levies.
A rate planning period of 25 years underpins the offsite levy model and rate calculations.
Many municipalities use this planning period as it provides a reasonable timeframe to
recoup the costs associated with offsite levy infrastructure construction, and it aligns with the
timeframes of many municipal capital planning and construction cycles.
Of the 4113 ha. of net land available across all offsite levy areas, approximately 563 ha.
(14%) have been developed to date, and planners estimate that approximately 297 ha. (7%)
will develop during the next 25-years (the rate planning period) as shown in the tables
below.
Summary of Anticipated Development during the 25 Year Rate Planning Period
Developed to Date 562.86 13.7%
Developed In Next 25 Years 297.10 7.2%
Developed Beyond 25 Years 3,253.05 79.1%
Net Development Area 4,113.01
Bylaw 1531/21 Page 24 of 69
Anticipated Development during the 25 Year Rate Planning Period
Area Developed
Area in Next 25
Ref. # years 2027 2037
(Net ha.)
(EP PT PP (ET (ET (S(T PP (PTT PP (PT (PT
Lag EEE EES EE SE aE SESE SE SESE SESE SES ES ES ESSE
Fs (EP (EL (ET (ES (PS (ES (PS (EP (PS (PT
Pia [oo fe Pe Te
par [oo - fe Pe te ee
pa2 t,o - [| - f - fT - ft - pe pe pe pe ee
pas [oo - | - ft - fT. te pe pe pe ee
Xs (EE (ET (ET (ES (P(E (S(T P(N (ETS PS P(N (PT
(ET P(E PP (TE (PSE (PS (S(T (PS PP (PS (PT PP (PS (PT
A (EP (LE PP (ET (ES (P(E (PS (ET PP (PS (PT LP PS (PE (PS
[33 | e7i30[ - | - | 301] 307| 307[ 301] 301] 30r[ 301] 301, 301] 301] sorf aor] aor] - | - | - | - | - | - | - |eeoo[ - | ~- |
Ss (EE P(E (ES (PS (ES (PS (PT | (P(E
Par [oo fe Pe ee
p42; - [| - [ - fT - te pe pe te pe
p43 [oo - [| - fT - t-te pe pe pe ee
WYN Se oe Ie ID Ce I I Ie Ie I I I Ie I I I I I I I I I I
(ET P(E (PT SP (ET (ES [P(E (S(T PP (PS (ET (SP S(T (PT
A (EP (PT (TE (ET [P(N (PS (PS PP (PS (PT PS (PT (PS
Xs (EE P(E (ET (ET (ET [PP (PS (PS PP (PS (PTS PS PS (PT (PS
FC (P(E (ET (ET (P(E (S(T (P(E
fer [oo - [| - f - t-te pe pe pe ee
fe2 |, - [ - | - fT - ft - P - T - t ep et te pe
[63 | 13040[ - [ - [ 326] - [ 326] - | a26{ - [ sae] - | - | - | - | - | - f - | - pP - P - t- p - pe te pe
MYM Ie Ie De I I oe Ie I I I Ie I I I I I I I I I I
AMM Ie I Ie I I Oe Ie I I IL Ie I I I I I I I I I I
2 (EE P(E (ET (ES [P(E (SE (ES PS P(E (TS PS (PT (PT
A N-T E " S E E L S (ES P P (PS (T P PS( (PS
2 (EE P(E LE (ET (ET (P(E (PS (SP (PS (ET P| PS (PT (PT
(EP ET (ET (ES (PS (ES PS (ET (PP (P(E
fe2,- | - f - fT - f - P ep te pe pe te
Pes | - | - f - fT - ft - pe pe pe pe pe te
fea to - | - ft - fT ete Pe pe pe pe ee
IMME Se Le Ie ID Ie I I Ie Ie I I IL I I I I I I I I I I Ie
YM ee Ie I Ce I I Oe Ie I I IL Ie I I I I Ie I I I Ie Id
[es | e4too, - | - | - | - | - |taos| - | - | - [voy - | -|-/-);-{-|]-|]-/-|-|-|-|/-|/-|-|
F(T P(E LE (ET (ES (P(E (ET PP (PS (PT (PS PS (PT (PS
SE (EP (P(E (ET (ES (PS (SP (S(T | (P(E
fio2 [oT Pe ee
[ios [oT PT Pe Te
fio4 [oo Te ee
RIMM oe Ie ID Ie I I Ie Ie I I I Ie I I I I I I I I I Ie
IMME I Ie Ie I I I Oe I I I IL Ie Oe I I I I I I I I I Id
[a3 [ 2025, - | - | -|-|- |-|-|- mm -[-|[-|-~/- [mol -|[-|[-)-;-|/-|-/-/-l|-|
LS (EE (ELT (TE (ES [PS (SES (PS (PT SP P(E (PT
SS (P(E (TP (ET (ES [P(E (PS (ES PP (PS (PT LS PS P(E (PS
x CE (P(E (T(E (PS (SP (S(T SP P(E (PSE
fias3 [oo Te
[ia4 [oo Te
fist [oo Te
BRM ce Le De De oe I I Ie Ie I I I I Ie I I Ie I I I I Ie I
EMEP I Ie Ie Ie I I Oe I I I IL I Ie I I Ie I I I I Ie I Id
Ee (P(E (ET (TE (ES [P(E (SE (SE PS PS (SE (PT PS PS (PSE
LS (EL (SE (SP (ET P(E (ESE [PS (PS (PS (SE PS PS (PS (PT P| P(E (PT
(P(E (ET (ET (PS (SE PS (TL P(E (PS
[143 | 7o90{ 2tof - [ - [| a99f - [To - | - fT - fT - J - pT - P - p ep Pe pe pe
Liga [oo Te
fist [oo Te Pe
[i2[ -.;-{,-i]-)]-/-{,]-]-]-/-/-;-{[-|]-/;-;/;-|[-][-|]-/-|]-|]-|]-]/-/-T- |
[i3[ -1-{,-1]-1]-/-,-]/-]-]/-/;-;-|-]-/,-;-|-|]|-]|-/,-|-|]-]|-]/-|/-|- |
[i4[ -1-1{,]-]-]-)/-,-]/-]-]/-/;-;-|-|]-/,-;-|[-|]|-|]-/,-|-|-|-|/-|/-|-|
SE (P(E (TE (SE (PS (S(T (SE PS P(E (TE (PS S(T (PS
FE (PP LE (ES (PE (ES (SP (PS (ES PS P(E (PS
[ies | saat - [ - [ - | - [| - tT - t - fiov7t = ft - ftov7t = tov7] = to7] = tors
Lie4 [TE Te
Bylaw 1531/21 Page 25 of 69
|Area Developed)
Area in Next 25 2027 2037
Ref. # years
(Net ha.)
paza foo UT TP | T - P
paza fo dT TP
fi7z3 [ toooof - [ - [| - [| - [ - [ - [ - f - f - ff fp - P - tooo
piza fo TP
pia fo PPP
pia fo |
[ie3 [| s3o00f - [ - [ - [ - fT - fT - ft - fT - f - fT - fp Pf 5307 5307 5307 530f 530[ 530[ 530] 530] 530] 530[ - [ - |
Pie4 Po PT
Piga Po PT
Pig2 [oP
[i93 | ivesof - [ - [| - [ - [ - [ - fT - [ - [4637 3007 3.007 3.00] 300f ao2f - fF - fo - fF - P - P PT - P - P - T
Pi94 To Pe
f2oi fo PT
fao2 fo fT PP
faos fo fT TP
faoa fo TTP
para fo PP
para fo fT TP
fais {730 - [| - | - | - [ ses{ - [ seef - [| - [| - [ - [ - f - P - P - P pp
para fo PP
pear fo PP
Laaa fo |
[223 [ isogof - [ - [ - fir, - [ = feast - fT - fT - p - P P
[e224 Po PT
Peat Po PT
pega fo PT
fag fo PT
[234 [oP
Paar Po PP
243 [2s es 1s 1s 1s 1s Ts es Is Ns 1s Ws 1s es Is ss Ns 1s 1s ss Is es 1s)
[243 fo |
peaa fo TP
pasa fo fT TP
pasa fo | TP
pass fo | | PP PP
pasa fo TP PP
peer fo TP PP
Lae2 fo | fT
[263 [ 4e90f - [ - [ - [ - fT - fT - ft 4eof = fT - fp PT
[264 [oP
Pert Po PT
pera to PT
Pers fo PT
fara [oP
Paar fo PT
f2g2 fo PT
faas fo fT PP
faaa fo TTP
peor fo PP
faoa2 fo fT TP
feos fo fT TP
faoa fo TPP
faor fo fT PP
fao2 fo fT PP
f3o3 [oT PP
[304 [oo PT
Psia Po
ps2;
Pais Po
Psi4 Po
Paar fo PT
[s22 [PT
faas fo TT
paa4 fo TP PP
pasa fo TP
pase fo TTP
pass fo PT PP
pasa fo TP
pasa fo PP
faze fo PP PP
pa4a3 fo PP
[344 [oo PT
P35t Po PT
[352 [oP
[353 [PT
L364 [TT
LL 297.10] 210 - | 6.27] 19.75 | 9.92 | 15.06 | 20.95 | 13.78 | 22.08 | 18.06 | 16.78 | 6.01 | 6.01 | 20.10 | 18.33] 5.30 16.07 |_5.30[_5.30| 26.05[ 5.30] 5.30] 3330] - [| - J
Bylaw 1531/21 Page 26 of 69
APPENDIX B: TRANSPORTATION
B1. Transportation Offsite Infrastructure
To support future growth, transportation offsite infrastructure is required. The estimated cost
of this infrastructure is based upon: (a) actual construction costs to the cut-off date, (b)
future debenture interest associated with financing, and (c) future cost estimates. Total cost
is approximately $155.76 million as outlined in the table below. Actual costs, debenture
interest (if any), and cost estimates were provided by County staff. It is important to note that
these costs represent "gross" costs, of which only a portion will go to support development
during the 25-year review period. The remainder of this section outlines how the "net" costs
for development are determined.
Summary of Transportation Offsite Infrastructure
Esti id Ci f
met an RE re
Completed
[1 |Starkey Road N of Bridge (Sturgeon River to Estates Way) SubGrade CdS t896,798/§ SS 1,896,738 |
[2 |Starkey Road N of Bridge (Sturgeon River to Estates Way)-Pave (dS 1.0817 § S$ 1,681,017]
[3 |Starkey Road S of Bridge (Sturgeon Road to Sturgeon River)- Road Widening & Sub Grade [$ 365,189/§ --- ~*'([$ - ~+'($ 365,189]
|_"4|Starkey Road § of Bridge (Sturgeon Road to Sturgeon River)-Pave S79 § SS 897,189 |
[5 _|Starkey Road (Station 2-400 toHighway 37) SS 80057897 [$20,057,897 |
[6 _ |Twp. 542 (Range Road 250 to Range Road 251) SCSC~C<'iS SSCS «dS (S$ «748.073 $ 1,748,073 |
|_7 |Sturgeon Road @ RR 250 (Roundabout - Access Management) | $$ $897,021 $ 1,897,021 |
[8 |Range Road 251 (Railway Trestle toTwp.542) dT SSS 2097,6261$ 2,097,626 |
[9 ]ia7SiestStaget Cd SCS S86, 859,967 [$96,859,967 |
[10 |127SteetStage2AOSC--SSC"';CSTTTTTCUd TTT dS CdS 58674 $24,554,674 |
[11 }i27SiretStage2B Cd S20, 088.458 1 § 29,488,458 |
[12127 Street StageS_ Cd SS 15,248,042 $15,243,042 |
[13 |127SweetStage4OOCOC--SOSOCOCC"'SN C*dLS~--~--~SCSCSCS «dS ($10,852,450 [$10,352,450 |
[14 |Sturgeon Road and Starkey Road Traffic Calming (Roundabout) SSG SOS (257,965
[15 [Bellerose Dive Cd S87 BESTS ODES dS 5,509,967 |
[16 [Trestle Ridge Road C*d SOAS S SS 179,543 |
[17 |Sturgeon Road and StarkeyRoad--SOS--C--SCSC'C;';C;S™SSC*dC SCC SITS dS ($19,817
[18 |Range Road 250 (Trestle RidgetoTwp.644a) TS SAO 583,402 |
[19 [Township Road 544 (Coal mine Road toHwy 2) SS 8781283 $2,731,283 |
[20 |Coal Mine Road (Neil Ross Connection) Cd SSC «(S$ ($6,800,000 $ 6,300,000 |
[21 |Starkey Road & Highway 37 Roundabout SSS 2,000,000 $ 2,000,000 |
[22 |Range Road 252 -- Highway 37 to CoalMingRoad dT S$ $2,400,000 1 $ 2,400,000 |
[100 |Unallocated Offsite Levies Collected to Dec 31,2018 SC--"--~--"'"'<;73DSSC«dT TTC TTC CdS Cid
[s 13,773,521 [$33,004 / $ 156,73,634 | $ 169,460,359 |
*Past expenditures include past financing expenditures (interest) if any.
"Costs estimates provided by County staff.
***Estimates include engineering and contingencies.
****Unallocated levies to end-2018 (if any) were set-up as an individual project (#100) and credited 100% to
future development and to all offsite levy areas (see Section B5).
"Offsite infrastructure definitions are contained in Appendix F.
Bylaw 1531/21 Page 27 of 69
Sturgeon Valley Off Site Levies § ----
Transportation Infrastructure turgeon
County
MN SX Al
ae
; "he : w =
Tor oY ee ree 2 es a yet ) DP
' 9 -, 4 x rath g a ag ) se
De cer SE a
> a 2 eee 7 Ga |
ey ie < A ; . are re o
Te nen ee Y-TT) ||
2 Staeany Raa Wot Bridge Faring 2127 Some Stage * 10 Tome Mutge Raat yee a
Document Path: GAG5S_FlenMsps and MXDsiLand Planning Sturgeonvailey TransporationDM202 10226 7d A ap" parseee county
B2. Transportation Offsite Infrastructure Grants & Contributions to Date
The MGA enables the County to allocate the costs of offsite infrastructure to development,
other than those costs that have been provided by way of special ear-marked grant or
contribution (i.e., contributed infrastructure). Sturgeon County has/will receive $0.00 in
special ear-marked grants or contributions for transportation offsite levy infrastructure as
shown in the table below (note, if the County receives other ear-marked grants or
contributions in the future, it will be reflected in one of the annual updates and rates adjusted
accordingly). The result is that the total reduced project estimated cost is $169.46 million.
Bylaw 1531/21 Page 28 of 69
Special Grants and Contributions for Transportation Offsite Infrastructure
. _-- . Special Provincial ORT ES Other Reduced Project
Project Description Total Project Cost Qin Agreement Contributions Cost
Contributions
[1 |Siarkey Road N of Bridge (Sturgeon River to Estates Way) SubGrade «dS 8GGB|S OS SS 896,798 |
[2 |Siarkey Road N of Bridge (Sturgeon River toEsiatesWay)Pave SRLS IS SS 1681.07]
[3 |Siarkey Road S of Bridge (Sturgeon Road to Sturgeon River)- Road Widening & Sub Grade |$ _-365,189/$--- ~*(|$ Ss SSS «dS (85180 |
[47 Siarkey Road S of Bridge (Sturgeon Road to SturgeonRiver|- Pave StS CS SCS 897,180
[ "5 |Siarkey Road (Station 2+400toHighway 37) «dS 8077S CdS CSS 280,057,897|
[6 |Twp. 542 (Range Road 250to Range Road 251) Stars IS SCS 748,073
[7 Siurgeon Road @ BR 250 (Roundabout - Access Managemen) SSC SC BOTODTTS dS SS 4897021 |
[8 |Range Road 251 (Raiway TrestletoTwp.542) CdS or RSTS CdS CS «dS «2.097.626
[~eha7SietSiaget CC~C"'"S*S*~"'"'"~*~*~*rSSC"' RS BSG. CdSCSCSCCSSSCSCSCSC*S (88859, 967|
[10 t27SeetSiage2@A CSCS STATS IS SOS 554674 |
[11 }a7 SrestSiage2@BOC"SCSCSCSC~'SC BATS dS SS 058 |
[12 hia7SireetSiageS OCSCSCSCSCSC~dS AaB SS «S15. 248.048 |
[13127 SiestSiaged OO OO™C~C~CSSCSC"'C*dSS~C*'NSBV.ABOT GC SC SS 10,952,450 |
[14 |Siurgeon Road and Starkey Road Traffic Calming Roundabout) ----SSSSC«d SSS CdS SCS 57,9685
[15 [Bellerose Drive SCSC*dSCSOETS SC CSCS 8 509,367 |
[16 |TrestleRidge Road C*dS tas OS SCS 9,543 |
[17 "Sturgeon Road and StarkeyRoadSCSC~*~dSS tS OS SS 15 17 |
[18 |Range Road 250 (Trestle RidgetoTwp. 544A) SCSCSC"'"*~dSSCSC*COTS OSC SCS (888.400|
[19 TTownship Road 544 (Coal mine RoadtoHwy 2) C«d StS SSCS 78288 |
[20 |Coal Mine Road (Neil Ross Connection) dS 00D SC CdS CS «TS 6,300,000 |
[21 Starkey Road & Highway 37 Roundabout SSCSCSC~'"'"~*'*'*'"*~'~rSSCSC*"' OOOO GCC CdS CS «PS -2,000,000|
[22 |Range Road 252 -- Highway $7 to CoalMineRoadSSCSC~"'*~iSSCSC' ON GCCC*dSC CS «TS 2,400,000
[100 |Unallocated Offsite Levies Collected io Dec31,2018 CdS OS COCdSCOC SC CSC
[sieoacozso[s OS SSS (16,060,950 |
B3. Year of Construction
The timing of construction is used to determine the impact of inflation on cost, the impact of
forecast reserve balances, and the estimate of financial oversizing (described in the Section
that follows). The County anticipates construction of offsite infrastructure as outlined in the
table below. Note, if this schedule is adjusted in the future, it will be reflected in one of the
'
County's annual rate/bylaw updates.
Forecast Year of Construction
meee
Year
|__ 6 |Twp. 542 (Range Road 250toRangeRoad 251) TOT
|__8 [Range Road 251 ( Railway TrestletoTwp.542) LT
| 9 [127SteetStaget1 2050
"The share of projects constructed beyond the 25-year review period are not included in rates today (see
financial oversizing in next section).
*"Project costs are inflated by 2% per annum to 2022 and 3% per annum thereafter to the year of construction.
Bylaw 1531/21 Page 29 of 69
B4. Transportation Offsite Infrastructure Benefiting Parties
The transportation offsite infrastructure previously outlined will benefit various parties to
varying degrees. Three potential benefiting parties were identified including:
1. Sturgeon County -- a portion of the transportation infrastructure which is required to
service existing residents. This residual benefit is determined at the point in time
when the project is added to the bylaw (i.e., it does not fluctuate from year-to-year).
2. Other Stakeholders -- other municipalities that benefit from the infrastructure.
3. Future Development:
o Financial Oversizing -- that portion of cost (i.e., levyable transportation
infrastructure costs) which benefits future development beyond the 25-year
review period.
o In Rates --- that portion of cost (i.e., levyable transportation
infrastructure costs) which benefits future development within the 25-
year review period.
The table below outlines the allocation of transportation offsite levy infrastructure costs to
benefiting parties.
Allocation of Transportation Infrastructure to Benefiting Parties
, Developer Share
Project Description Ses Muni Share % Other Spagenolder eosinancial nea
Oversizing %)
[1 _ [Starkey Road N of Bridge (Sturgeon River to Estates Way)- SubGrade------SC=~ S806, 708 | wOO% | «dT SO | am
[2 Starkey Fload N of Bridge (Sturgeon River to Estates Way)-Pave «S$ 1,681,017 [80.0% | id 0% | 200% |
[3 _ Starkey Road S of Bridge (Sturgeon Road to Sturgeon Fiver)- Road Widening & Sub Grade [$365,169 60.0% | ----*+| 0.0% | 200% |
[ "4 ~|Starkey Froad S of Bridge (Sturgeon Road to SturgeonFiver)-Pave TS 87.89 [600% | i 0% | 200% |
[5 Starkey Road (Station 2-400 toHighway $7) «S087 [80.0% | ------~dY OO_
[6 -- Fiwp. 542 (Range Road 250 to Range Road 267) iS t,rt.073 [200% | CY 19
[7 Sturgeon Road @ RF 250 (Roundabout - Access Managemert)____--------~*$ 1,897,021 [ 750% | ------~+ 2% | a8 |
[a [Range Road 251 (Raiway Trestle to Twp.642) SS 2097626 [20.0% | CY 8
[9 fier StestSiaget SS SSSS*dS 859,967 [20.0% | iY OO
[to fia7 Strest Stage 2A SSSSC~*S 854,674 [20.0% | YOO
[11 fia7 Street Stage 28 iS 8,488,458 20.0% | CY 8 CO
[12 fra7 StrestSiage3 iS 15,243,082 [20.0% | 80.0% 0.0% |
[13__fia7StrestStage4 ($10,552,450 20.0% | iY 8 Cd
[14 Sturgeon Road and Starkey Road Traffic Calming (Roundaboud) --------S--SSCSCSC~C~--S 965 [250% | m8 |
[15 [BeleroseOrve iS S867 [SBOP OO
[16 Firestle Ridge Road iS 179,543 58.0% | 0% tO
[17 [Sturgeon Road and Starkey Road iS .rt9,t7 [580% | Om AO
[18 |Range Road 250 (Trestle Fidge to Twp 544A) 8402 [200% | Yt
[19 FTownship Road 644 (Coal mine Road to Hwy 2) S$ 7,203 [20.0% | CY OOO
[20 ~ [Goal Mine Fad (Nell Ross Connection) «$6,300,000 20.0% | i 88
[21 [Starkey Road & Highway 37 Roundabout S$ 2,000,000 20.0% | ----*dY--%m_--
[22 |Range Road 252 -- Highway 37 to Coal Mine Road ----------SSSSSSSSS* S$ 2,400,000 20.0% | i Om) 8
[100 [Unallocated Offsite Levies Collected to Dec 31,208 ST dP i 0% 000% |
"Allocations were determined by County staff.
**Financial oversizing is determined by separating out the pro rata portion of developer cost beyond the 25-year
review period, in comparison with the anticipated year of construction. As the years move forward and rates are
updated, these additional developer costs will be included in rate calculations. For example, a project which is
slated to be constructed in year 20 of the 25-year review period will have 20% (5/25) of its costs in rates today,
and 80% (20/25) of its costs will sit beyond the 25-year review period.
B5. Existing Receipts & Adjusted Levy Cost
Using the offsite levy share percentages shown in the previous section and applying those
percentages to project costs results in an offsite levy cost of approximately $14.55 million.
Bylaw 1531/21 Page 30 of 69
However, prior to allocating these costs to benefiting areas, existing offsite levy receipts
collected from developers (if any) need to be considered in determining the residual/net
costs to developers. County staff have advised that $7.20 million in transportation levies
have been applied/collected as shown in the table below. This results in an adjusted offsite
levy cost of approximately $7.35 million.
Offsite Levy Funds Applied to Date
r Offsite Levy 7
, - OSL / Devel Offsite Levy Funds Collected Adjusted
= Project Description Cost oper toDec 31,2018 Sta ing an . Peveloper (Levy)
[1 |Starkey Road N of Bridge (Sturgeon River to Estates Way SubGrade «dS 867,948 /§ 367,948/$ OS
[2 |Starkey Road N of Bridge (Sturgeon River to Estates Way)-Pave «dS --~--«86,203/§ ---936,203/$ OS ----i
| 3 |Starkey Road S of Bridge (Sturgeon Road to Sturgeon River)- Road Widening & Sub Grade [$73,088 /$ --73038/$ ----(O$ ---- ay
[4 |Starkey Road S of Bridge (Sturgeon Road to Sturgeon River)-Pave S948 | § tt948/$ SO
[5 Starkey Road (Station 2-400 toHighway 37) SS ZY
[6 |Twp. 542 (Range Road 250 to Range Road 251) SSCSC~C<C~SCSC'CWB| GC «CdS SCAT 1,085,707 |
[7 |Sturgeon Road @ RR 250 (Roundabout Access Management) S695 /$ S577 $425,738 |
[8 |Range Road 251 (Railway Trestle toTwp.542) dS 75S CS «08H GS 1,249,901 |
[9 |ig7SwetStaget OC--CSCOC'<;SNTC*dSCOOCTCT d$TCTTCTCT Cd TTC Cd C*"'
IRS SS SN
[11 }i7SiretStage2B ST
[12 ]127 Street StageS dS Sd
[13 |127SweetStage4OOC--SSC"(<~;73XRTCTTTTCtdShTTTTLTT Ld $TTTTTCT CdS Cd ZT Ci"
[14 |Sturgeon Road and Starkey Road Traffic Calming (Roundabou) S74 GS 88B LS 189,507 |
["15 [Bellerose Dive CdS 18.984 TG OSES OS 259,368 |
[16 |TrestieRidgeRoad --OC--"--~S*S*s*~s~"';S*S*~C~'~'"'<;<;<;<;<«da Sal §$ a5408ts $C
[17 |Sturgeon Road and StarkeyRoad Seo Geto |S OS
[18 |Range Road 250 (Trestle Ridge toTwp. 644A) CdS OKT CS COOLS 905,258 |
[19 [Township Road 544 (Coal mine Road toHwy 2) SS SIRS (48,732)]
[20 |Coal Mine Road (Neil Ross Connection) SS SCSC~C~SCS~dS SCBA G CC CSC SC*dS «888,400 |
[21 |Starkey Road & Highway 37 Roundabout
[22 |Range Road 252 -- Highway 37 to CoalMingRoad CdS 1000 | CSS 1,920,000]
[100 |Unallocated Offsite Levies Collected to Dec 31,2018 SSSC<"~'"'"'<;72;CS*dSSS «8 OTS CdS 2,907,985)
B6. Summary of Transportation Offsite Levy Cost Flow-through
As shown in the figure below, the total cost for transportation infrastructure that forms the
basis of the rate is approximately $7.35 million. The cost allocations to each benefitting
party are based on the benefitting percentages shown in previous section. The offsite levy
balance (due from developers) is allocated to various benefitting areas (as described in the
next section).
Bylaw 1531/21 Page 31 of 69
Total Transportation Offsite Levy Costs
= Future Less: Levy = Off-site
(OSL Share) Receipts Balance*
are 7.20M
$14.56M $ $7.35M
= Future
Development
"Financial
Oversizing"
$102.05M
- Less: Special
Project Grants & = Project = Other
Costs Contributions Balance Share
$169.46M $0.00M $169.46M $0.00M
= Existing
Development
(Muni Share)
$52.87M
Bylaw 1531/21 Page 32 of 69
B7. Transportation Infrastructure Benefiting Areas
Net developer costs for each project have been allocated to multiple benefiting offsite levy area (see tables below).
Allocations are denoted with a "1" below applicable area numbers. Benefiting areas were determined by County staff. The
lands anticipated to develop over the 25-years in each offsite levy benefitting area are used to determine rates.
Transportation Allocations to Benefitting Areas
[tem] ----~--~S~S~S*«Sroject Description ------SSSCSCSC*~*~S~ A | | Vw | A [BT OB] om | ot | GO] GO| Sa [ar [4a] 45 | aa [ oi [sa sa [sa or [oa] eal ea [ra] 72 |r| ra] er] ea] os] oa]
[1 [Starkey Road N of Bridge (Sturgeon River to Estates Way SubGrade tT ttt at iat tata tapas ta tata tft fff ff fff [|
[2 [Starkey Road N of Bridge (Sturgeon RivertoEstatesWay-Pae TA [ 4 | 4) aia f{a{a{a[t[aiaia{a|[sia[t{[s{s[4[si[s[a[tiai[s[4 [tis ia[s [so]
[73 [Starkey Road S of Bridge (Sturgeon Road to Sturgeon River)- Road Widening & Sub Grade {1 [1]4)4[4{[s[a{a[a[aia[afe[aia [sta [a ts [esis [iss [f(s [sf
[4 [Starkey Road S of Bridge (Sturgeon RoadtoSturgeonRiver)-Pave tT 1144 [4 [state(s [siais is [sis [sis [s is [sis isis [sss [iss [ss
[75 [Starkey Road (Station 2+400 to Highway 37) ttt tf fst [ff
[6 [Twp. 542 (Range Road 250 to Range Road 251) Pt tt [tft tates ts [se [s is [sis [s [sis [i [|
[-7_ [Sturgeon Road @ RR 250 (Roundabout - Access Management) SCs AP A | 4] 4[/ 4} 4]4{a[4|a)4]4]4]ai4[t]a]s]4[t][s[4]4]4]4/4[t]s][a/4[o] 4]
[8 [Range Road 251 (Ralway TrestletoTwp.542) Pt tt [ff pp tft [ft
[9 [e7steetStaget OCS ff a
[Ho [127 Street Stage 2A a a
RSS OO OO
[12 [a7 Street Stage Se a a
[13 fe7streetStages OOS ff afe[ss[
["14_[Sturgeon Road and Starkey Road Traffic Calming (Roundabout) tft tt [ata ta ta [spat [etait [ff ff [|
[15 [Bellerose Drive SS Aff sts [fs [sf |
[16 [Trestie Ridge Road a a
[17 [Sturgeon Road and Starkey Road SSCS Sd iP tft [at f[ a [ata [ti[ spats fs i[sis [sis [s ts [sis [sf iss is [iss [sf [|
[18 [Range Road 250 (Trestle Ridge toTwp 544A) Pt tt ff fata [ft
[19 [Township Road 544 (Coal mine Road to Hwy 2) Pt] 4 [a4 [a[a [a {ait i[ spats fs i[sia [tis i[s[s [sis is [isis [sisi [ols [s [|
[20 [Goal Mine Road (Neil Ross Connection) tf gg
[21 [Starkey Road & Highway 37 Roundabout Pt tt [ffi [ft
[ 22 [Range Road 252 -- Highway 37 to CoalMineRoad CPt] 4) 4 [4 [a[a{a[ti[sia{afti[sia[tfs[s[4[ti[s[s [sis i[s[4 [tis i[s[s [sis]
[100 [Unallocated Offsite Levies Colected to Dec 31,2018 ttt ttt tata tats
[_1_ [Starkey Road N of Bridge (Sturgeon River to Estates Way)-SubGrade TAT 1 ft ft [a] a [ a a] a |
[2 [Starkey Road N of Bridge (Sturgeon Fiver to Estates Way)-Pave tt (4 [ota tala [statis [sais ifs [ sists [fs [oo
[-3_[Starkey Road S of Bridge (Sturgeon Road to Sturgeon River)- Road Widening & SubGrade [41 |4{/4[+1]1]1/4|/1]1]4{/4/4]4|4|4]4]4/4/4]4]|41 4/4] 4]4/4/ 4] 4] 4] 4/4] 4]
[4 [Starkey Road S of Bridge (Sturgeon Roadto Sturgeon River Pave tat [tata ia [ota ta ifs [s sift tft [ffl [
[5 [Starkey Road (Station 2+400 to Highway 7) SSSC«d AT] {4} a {aia [ots {a[ aft i[si[sitfti[sis[sfti[sis is {ti[sis [4 [s[s[s [so]
[6 [Twp. 542 (Range Road 250 10 Range Road 25) ttt [fafa [ota tat ff ff
[-7_ [Sturgeon Road @ RR 250 (Roundabout - Access Management) ~<A Tt] 4 {4} 4]a{a[4]a{ai4]4]a[a[4]4][ai4{4]tl[si4[4]t][si4[41]4[s]a/o]o]
[8 [Range Road 251 (Ralway TrestletoTwp.542) at ff a [fat
[9 [1e7StreetSiaget a
[10 [127 Street Stage 2A SSS da fff [ota
[11 fre7 Street Stage 2B a a a
[12 [127 Street StageS SSS Cd a off fot
[13 [127 Street Stage 4 a a a
[14 [Sturgeon Road and Starkey Road Traffic Calming (Roundabout) ------------S--SSS<d AT {4 { 4} a {aia [4ia{a[4[4][a[a[4[ti[ai4{t[tl[sia[t{ti[a[a [ot {4 [4 [4/o [4]
[15 [Bellerose Drive a a a a
[16 [Trestle Ridge Road SSO Cd af fa [sf [ff of
[17 [Sturgeon Road and Starkey Road
[18 [Range Road 250 (Trestle Ridge toTwp. 5448) dA T(t [4 [a {aia fata {a[a[ti[si[s(4fti[sis[sfti[sis[s{ti[sit [4 {s [sist] s [os]
[19 [Township Road 544 (Coal mine Road to Hwy 2) aa a of of
[ 20 [Coal Mine Road (NeilRoss Connection) Sd TPA Pt} a {aia [ois {a [af ei[s [sia fsi[sis [sft i[sis [sis is (sis [s is [s [sf oy]
[21 [Starkey Road & Highway 37 Roundabout at ff ff
[ 22 [Range Road 252 - Figiway 37 to Coal Mine Road Cd AT] 4 {4} a{a[a fata {a[a[ti[si[si4[ti[sia{+fti[sia[t{ti[si4 [4 {st[s{o/s [os]
[100 [Unallocated Offsite Levies Collected to Dec 31,2018 aa ea Pte ft a
Bylaw 1531/21 Page 33 of 69
ne rkey Feral Brae Shae ene eee nage pag ae ets ise tgs sett osa foe] eal ins [a ene.ats| ant| ata [ate] re [ats at] sea [aes aet zea ane] melas [aerfesalais. a
| 1 [Starkey Road N of Bridge (Sturgeon River to Estates Way) SubGrade fF At tf tf aft fafa [ati]
|_2 [Starkey Road Nof Bridge (Sturgeon River toEstatesWay)Pave Tt tT tt ta ata fat tata fa tata fa ta ta a aa faa aa a ata ta fafa
| 3 [Starkey Road S of Bridge (Sturgeon Road to Sturgeon River)- Road Widening & SubGrade_ | 1 [1] 4a[a}afatafatata[atafafatatatafatatatafatatata tata t ata tata a]
|_4 [Starkey Road S of Bridge (Sturgeon Roadto Sturgeon River)-Pave Tt tT ttt aa ta fata tata tata fa ta ta aa at a aa a a a ata at a a i
| 5 [Starkey Road (Station 2+400toHighway 37) tt at at fa fat fata fata fa fata fata a tata pata ata fa pata fafa fafa [a]
| 6 [Twp. 542 (Range Road 250toRangeRoad 251) tt tt att at pata ata aa a a ta a a a aa a a a at a at a at i
| 7 [Sturgeon Road @ RR 250 (Roundabout - Access Management) TAT tT aT tT a fat ta pata tata tata fata fata ta tata fata tata ta fata t ata tata [a
| 8 [Range Road 251 (Railway TrestletoTwp.542) tt tt a at a at a a a a a a a a a a ata a a a at a it a i i
[9 |127SteetStaget a a a a a a a a a a a a a a a i i i a a a a a a a i i i ft
[10 [i27StreetStage2A tt a a a ta a a a a a a a a a a a a a a it fa a fi ft
[41 [i27SteetStage 2B a a a a a a a a a a a i a a i a a a a a i a i i a i
[12 [i27SweetStage3 tt a a a a a a a a a a a a a a a a a a a i ft fa fi fi ft
[13 [i27SteetStage4 at a aa a a a a a a a a a i a a i a a a i i i i i i i i
| 14 [Sturgeon Road and Starkey Road Traffic Calming (Roundabout) Tt tT ttt fat fafa fafa tata tata fafa fa tata ta fa fafa papa fa fafa fafa fafa]
[15 [BelleroseDrve at a a a a a a a a a a a a a a i a a a i i a i i i i
[16 [TrestleRidgeRoad at at a tat pa fa pata ata pata faa pa faa fafa fa fifa
[17 [SturgeonRoadandStarkeyRoad tt at a at a at a a a a a a a a a a a a a a a a a a i i i i
| 18 [Range Road 250 (Trestle RidgetoTwp. 544A) tt at Pat fa fat fata fata ta fata fata ata fafa fata fa pata faa tata {a
[19 [Township Road 544 (CoalmineRoadtoHwy2) tt tt at a at a at fa a a a a a a a aa a a at a it a i i
| 20 [Coal Mine Road (NeilRoss Connection) tat at a atta fafa tata fata fata a tata pata pata ta aaa fa fafa [a
[21 [Starkey Road & Highway 37 Roundabout tt at a at a at a at a a a a a a a a a a a a i a a i a i i
| 22 [Range Road 252-Highway 37toCoalMineRoad at Pat fa fat fata fa tata fata fata fa tata pata fata ta faa fafa tata]
[100 [Unallocated Offsite Levies CollectedtoDec 31,2018 tt tt at a ata aa aa a a a a a a aa a a a a a at a a i
| 1 [Starkey Road N of Bridge (Sturgeon River to Estates Way)-SubGrade | AL tt [ft [a | | 1 |
|_2 [Starkey Road N of Bridge (Sturgeon RivertoEstatesWay) Pave fA tT ttt fafa tata ta tata fata faa ta a faa a aa a a a fa a [|
| 3 [Starkey Road $ of Bridge (Sturgeon Road to Sturgeon River)- Road Widening &SubGrade | 1 [1 [a[a[afatafatatatatatatatatatatatatatatatatatafatafatafatia{ ia]
|_4 [Starkey Road $ of Bridge (Sturgeon Road to SturgeonRiver) Pave tT tT ttt fat fa fa fata tata aa faa faa aa a a aa a a fa a [|
[_5 [Starkey Road (Station 2+400toHighway 37) at a att faa aaa a a a a at a i it a a a it ft it
| 6 [Twp. 542 (Range Road 250toRangeRoad251) tt tt ft ft fa fata fata fata fata fata fafa faa fata fafa fafa fafa fa fat]
[_7 [Sturgeon Road @ RR 250 (Roundabout -AccessManagement) Pt tT ttt ft fa fafa tata tata a faa ta a aa aa a a a a a [|
Po fiers Segoe ee ee er eee pe eee
[10 [127SweetStage2A ta at a a a a a a a a a a a a a a i a a a a a i a i i i i i
[11 [127SteetStage2B 00 tt at fa at at a pa fa fa pa a fa fa fafa]
[12 [i27SweetStage3 ta at a a a a a a a a a a a a a a a a a i i i a i i i
[13 |127SteetStage4 a a a a a a a a a a a a a a a a a i i a a i i i it
| 14 [Sturgeon Road and Starkey Road Traffic Calming (Roundabout) fA AP tT tpt fafa fata tata tata fata tata tata tata tata tata fata fata fata]
[15 [Bellerose Drive ta at a a a a a a a a a a a a a a a a i i i i i i i
[16 |TrestleRidgeRoad a a a a a a a a a a a a a a a a a i i a a a it i it
[17 [Sturgeon RoadandStarkeyRoad Ct tt tt at fa a fa a a a aaa fata fa a ta a a fa fafa fafa fafa [i]
[18 [Range Road 250 (Trestle RidgetoTwp.544a) tt tt tat at a a at a tat a a aa a a a a i a i a i i i
| 19 [Township Road 544 (Coal mine RoadtoHwy 2) tt ttt fa ft fata fata fata fata tata fata tata pata ata fafa fafa fafa [ia]
| 20 [Coal Mine Road (Neil Ross Connection) Ct tt ft ft ft fata fata fata aa aa faa faa fa a aa fafa faa fa [i]
| 21 [Starkey Road &Highway 37 Roundabout tt tt at a at a at at a a a a aa a a a a i a i i i i i
| 22 [Range Road 252--Highway 37toCoalMineRoad tt ttt fat fata fata fata fata fata fata tata pata tata fafa fafa fata]
[100 [Unallocated Offsite Levies CollectedtoDec 31,2018 tt tt at fat aa a at at aa a a a a a a a a a a i
Bylaw 1531/21 Page 34 of 69
B8. Reserve Balance
At December 31*, 2020 the transportation reserve balance was in a surplus of
$1,884,670.84. This amount takes into consideration expenditures and _ front-ending
repayments up to end-2020. This balance assumes that all remaining cash (if any) in the
reserve is withdrawn and used to pay down front-ending obligations owed to the County.
Transportation Offsite Levy Reserve Balance
Description Dr Cr Balance
Offsite Levy Expenditures (incl loan interest if any) to December 31, 2018 $ 4,392,304.34 $ (4,392,304.34)
Allocated Receipts to December 31, 2018 $ 4,168,199.90 $ (224,104.44)
Unallocated Receipts to December 31, 2018 $ 2,161,596.17 $ 1,937,491.73
Closing Balance 2018 $ 1,937,491.73
2019 $ 1,937,491.73
Interest on Opening Balance "¢$ 19,374.92% $ 1,956,866.65
Withdrawals/Applied to OSL Projects $ - $ 1,956,866.65
Net Project Expenditures (OSL Share) In Addition to Withdrawals Applied to Projects 5 $ 11,843.74 $ 1,945,022.91
OSL Receipts $ 121,448.00 $ 2,066,470.91
Other Receipts '$ - $ 2,066,470.91
Debenture Interest Expenditures 1 $ - "$ 2,066,470.91
Interest on Project Expenditures $ 96.23% $ 2,066,374.68
Interest on Offsite Levy Receipts $ 607.24 * $ 2,066,981.92
Interest on Other Receipts $ - $ 2,066,981.92
Interest on Debenture Expenditure $ - _\$ 2,066,981.92
2020 $ 2,066,981.92
Interest on Opening Balance \$ 20,669.82 % $ 2,087,651.74
Withdrawals/Applied to OSL Projects $ - $ 2,087,651.74
Net Project Expenditures (OSL Share) In Addition to Withdrawals Applied to Projects 5 $ 203,029.91 $ 1,884,621.83
OSL Receipts $ 1,690.18 $ 1,886,312.01
Other Receipts '$ - $ 1,886,312.01
Debenture Interest Expenditures 5 $ - "$ 1,886,312.01
Interest on Project Expenditures $ 1,649.62% $ 1,884,662.39
Interest on Offsite Levy Receipts $ 8.45 * $ 1,884,670.84
Interest on Other Receipts $ - 4) $ 1,884,670.84
Interest on Debenture Expenditure $ - _\ $ 1,884,670.84
B9. Development and Transportation Infrastructure Staging Impacts
Transportation offsite infrastructure will be constructed in staged fashion over the 25-year
review period. We have reviewed the availability of offsite levy funds to meet these
construction requirements and found that offsite levy reserve funds will not be sufficient to
pay for construction of transportation infrastructure from time to time--front ending of
infrastructure will be required. A front-ender is the party that constructs and pays up front for
infrastructure that benefits other parties.
To compensate parties for capital they provide in front-ending offsite infrastructure
construction, a 2.09%° interest allowance has been charged to the reserve when it is
forecast to be in a negative balance. Further, a 1.00%' interest credit has been provided to
the reserve when it is forecast to be in a positive balance. The graph and table below outline
6 The 20-year debenture rate at the Alberta Capital Finance Authority at the time of writing was ~2.09%. Historic
charge rates used in the model are 3.25% (2019-2020).
7 Historic earning rates used in the model are 1.00% (2019-2020).
Bylaw 1531/21 Page 35 of 69
the forecast transportation levy reserve balances over the 25-year development period.
If necessary, an interest staging adjustment has been applied to rates (slightly positive or
slightly negative) to ensure that the forecast reserve balance at the end of the 25-year
review period always returns to break-even (i.e., developers are not charged too much
thereby providing a windfall to the County, nor are they charged too little thereby placing an
unequitable burden on taxpayers).
Anticipated Transportation Offsite Levy Reserve Balances
Transportation Reserve
i
$-
too no ee op WW
i. seooocn, | bee
$(5,000,000) Ae mm
$(8,000,000)
Year
Bylaw 1531/21 Page 36 of 69
Anticipated Transportation Offsite Levy Reserve Balances
Reserve Balance
Year Receipts Expenditure Interest Balance
2021 $ 52,677 $ 1,920,000 $ 173 $ 17,521
2022 $ - $ 4,935,168 $ (102,779) $ (5,020,425)
2023 $ 163,633 $ 453,942 $ (110,994) $ (5,421,729)
2024 $ 530,893 $ - $ (102,218) $ (4,993,055)
2025 $ 274,656 $ 432,725 $ (107,658) $ (5,258, 783)
2026 $ 429,476 $ - $ (100,933) $ (4,930,239)
2027 $ 615,369 $ 2,426,829 $ (140,902) $ (6,882,601)
2028 $ 416,785 §$ - $ (135,136) $ (6,600,952)
2029 $ 687,902 $ - $ (123,583) $ (6,036,633)
2030 $ 579,670 $ - $ (114,051) $ (5,571,014)
2031 $ 554,611 $ - $ (104,843) $ (5,121,245)
2032 $ 204,650 $ - $ (102,757) $ (5,019,352)
2033 $ 210,790 $ 371,515 $ (108,264) $ (5,288,340)
2034 $ 725,975 $ - $ (95,353) $ (4,657,719)
2035 $ 682,043 $ - $ (83,092) $ (4,058, 768)
2036 $ 203,124 §$ - $ (80,583) $ (3,936,226)
2037 $ 634,207 $ - $ (69,012) $ (3,371,031)
2038 $ 215,495 §$ - $ (65,951) $ (3,221,487)
2039 $ 221,960 $ - $ (62,690) $ (3,062,218)
2040 $ 1,123,681 $ - $ (40,515) $ (1,979,052)
2041 $ 235,477 $ - $ (36,441) $ (1,780,016)
2042 $ 242,541 §$ - $ (32,133) $ (1,569,608)
2043 $ 1,569,608 $ - $ 0 $ 0
2044 $ - $ - $ 0 $ 0
2045 $ - $ - $ 0 $ 0
Bylaw 1531/21 Page 37 of 69
APPENDIX C: WATER
Ci. Water Offsite Infrastructure
In order to support future growth, water offsite infrastructure is required. The estimated cost
of this infrastructure is based upon: (a) actual construction costs to the cut-off date, (b)
future debenture interest associated with financing, and (c) future cost estimates. Total cost
is approximately $32.61 million as outlined in the table below. Actual costs, debenture
interest (if any), and cost estimates were provided by County staff. It is important to note that
these costs represent "gross" costs, of which only a portion will go to support development
during the 25-year review period. The remainder of this section outlines how the "net" costs
for development are determined.
Summary of Water Offsite Infrastructure
mms) cm
Completed
[1 [Alin Ridge New Pump (EpansionProjec) dS 2B SOS BGO YS «dS (9,084,546 |
[2 [Alin Ridge Reservoir Expansion Project) id $8.02 77S 130,844 --*+L S$ 3.173.021 |
[3 [Upper Manor Pointe (East) - Starkey Road Water Looping Comection----+(|$_-276950/$ --- '[$ [$276,950]
[4 |Summerorook Reservoir Pump Station Improvements (Interion) dS TS (S$ 1808 5B TS 1,525,546 |
[5 [Alin Ridge Reservoir to Tuscany Hills and Regency Estates (Watermain Looping for Fire Protection) | $§-|$ _- |$_1,019.222[$ 1,010,220 |
[6 [Upper Vicount Estates to Lower Vicount Estates and StugeonHeighis | SS (S$ 1,992,188 $1,992,188 |
[7 [Goal Mine Road from Summerbrook Reservoir to FiymmWay i $$ (S$ 85a TS 825,410
[8 |Summerorook Reservoir to Southwest Summerbrook Estates SS (S$ 783.888 $783,888 |
[9 [Watermain to Noroneal via Crozier Avenue SS ($049,442 $1,049,442 |
[10 --_|Noroncal Water and Fire Serving dS $$ t7a3.910 [$1,783,910 |
[11 [Sturgeon Heights Fire Serving $$ $ret [$476,171 |
[12 |PRV improvements Cd SS 87H TS 81.748 |
[13 [127th Street Reservoir and Pumphouse (Alin Ridge iniial construction of Resewon) ------~+(|$ _eiaaaig «tS SS s*d Sa t.684|
[14 [127th Street Water Supply Line (Alin Ridge supply ine fromEPCOR) CL Sa TBTS «TS «dS 280 6 18 |
[15 [Sturgeon Road Pressure Reducing Vave CS STG CS «dS 88283 |
[16 East River Crossing SSC~S TS SiS 0882
[17 __|Summerorook Reservor Exterior improvements S$ ($21 a7 TS 915,927 |
[18 [Alin Ridge Reservoir Expansion#1 Cd S$ P $ _2,000,000 $2,000,000 |
[19 [Alin Ridge Reservoir Expansion#2 Td S$ ($6,200,001 [$6,200,001 |
[20 [Twinning Alin Ridge Supply Lined $$ $3,200,001 [$3,200,001 |
[100 [Unallocated Offsite Levies Collected S$ SZ ZS
[S___to119,907/$ 266,388 $ 92,003,851 $ 32,610,126 |
*Past expenditures include past financing expenditures (interest) if any.
*"Costs estimates provided by County staff.
***Estimates include engineering and contingencies.
****Unallocated levies to end-2018 (if any) were set-up as an individual project (#100) and credited 100% to
future development and to all offsite levy areas (see Section C5).
""""Offsite infrastructure definitions are contained in Appendix F.
Bylaw 1531/21 Page 38 of 69
Sturgeon Valley Off Site Levie: S -
Water Infrastructure tur geon
County
fi j 3
go BN SB 7 |
NG ie wae 7k
sia ; v4 Pex Bp 13] :
i SF. tl £7 --_ 5 D2] Tt
h iD 'i~ I ) | f
a 3c) oN . a faswe a 7 2a = -- i c - = 3
PN le Ad Ne Pans ae:
Teenaeececane "cee temonenae secpesmumunnene eae = | = vil
Alle Ridge Rasaresr Exparmer B Norctcal Waterman 16. Eat River Cooaning | Yad ii
Lentini See Cee eee | VEE
7-Cisa Mine lca {4 127m Bonet Vater Supply Line (Ale Ridge} 20-AmS Ridge Sasely Line D csaeisios a ia 2 eee ay
Document Fath: G\GiS_Fleraps and MxDs'Land Panning. Sturgeonvaleyi2021OPste Levy Surgeon valeyOSL_FrojectapaWater2021 mad A Ba Sturgeon County
C2. Water Offsite Infrastructure Grants & Contributions to Date
The MGA enables the County to allocate the costs of offsite infrastructure to development,
other than those costs that have been provided by way of special ear-marked grant or
contribution (i.e., contributed infrastructure). The County has/will receive approximately
$0.02 million in special ear-marked grants and contributions for water offsite levy
infrastructure as shown in the table below (note, if the County receives other ear-marked
grants or contributions in the future, it will be reflected in one of the annual updates and
rates adjusted accordingly). The result is that the total reduced project estimated cost is
$32.60 million.
Bylaw 1531/21 Page 39 of 69
Special Grants and Contributions for Water Offsite Infrastructure
Project Description Total Project Special Provincial ee Other Reduced Project
Estimated Cost Grants Contributions Contributions Estimated Cost
[1 [Allin Ridge New Pump (Expansion Project) CS GTS SS S084, 546 |
[2 [Allin Ridge Reservoir (ExpansionProject) CS BOATS SS 8,173,021 |
[3 [Upper Manor Pointe (East) - Starkey Road Water Looping Connection S90 SS 276,950]
[4 [Summerbrook Reservoir Pump Station Improvements (Interior) S525 SAG TS SS 1 525,546 |
[5 [Allin Ridge Reservoir to Tuscany Hills and Regency Estates (Watermain Looping for Fire Protection) [$ 1,019,222/$ | [SS 019,222]
[6 [Upper Vicount Estates to Lower Vicount Estates and SturgeonHeights SBR TS TS 1 992,188 |
[7 [Coal Mine Road from Summerbrook ReservoirtoFlyynWay SHIT SSS 825,410]
[8 _|Summerbrook Reservoir to Southwest SummerbrookEstates_ S78 B8B TS SS 783,888]
[9 [Watermain to Noroncal viaCrozierAverue CS eS 1,049,442 |
[10 |Noroncal Water andFire Servicing Se IOS SS 1,783,910 ]
[11 |SturgeonHeights Fire Servicing, ES 476,177 |
[12 |PRVimprovements ATS 512,746 |
[13 [127th Street Reservoir and Pumphouse (Allin Ridge initial construction of Reservoir) TS 81B8GB4 TS 50TH TS 814,934]
[14 [127th Street Water Supply Line (Allin Ridge supply line fromEPCOR) CS 42GB TS 75O/$ SS 2,398,868 |
[15 |SturgeonRoadPressureReducing Valve SBT SHOTS TS S513]
[16 |EastRiverCrossing, IBS HOTS TS 621463 |
[17 |Summerbrook Reservoir Exterior Improvements, CSS BATTS SS 915,327 |
[18 [AllinRidge Reservoir Expansion #1 CS 00.000] SS 2,000,000 ]
[19 [Allin Ridge Reservoir Expansion#2 CS 2OO00TTS SS 6,200,007 |
[20 [Twinning Allin Ridge SupplyLine CS OO00T TS 8,200,007
[__100 [Unallocated Offsite Levies Collected
[si a2610146 [$100 $= SS |
C3. Year of Construction
The timing of construction is used to determine the impact of inflation on cost, the impact of
forecast reserve balances, and the estimate of financial oversizing (described in the Section
that follows). The County anticipates construction of offsite infrastructure as outlined in the
table below. Note, if this schedule is adjusted in the future, it will be reflected in one of the
County's annual rate/bylaw updates.
Forecast Year of Construction
mee
[6 [Upper Vicount Estates to Lower Vicount Estates and Sturgeon Heights 2027
[8 __|Summerbrook Reservoir to Southwest SummerbrookEstates------S 202
[9 [Watermain to Noroncal via Crozier Avenue S20
"The share of projects constructed beyond the 25-year review period are not included in rates today (see
financial oversizing in next section).
*"Project costs are inflated by 2% per annum to 2022 and 3% per annum thereafter to the year of construction.
C4. Water Offsite Infrastructure Benefiting Parties
The water offsite infrastructure previously outlined will benefit various parties to varying
degrees. Three potential benefiting parties were identified including:
1. Sturgeon County -- a portion of the water infrastructure which is required to service
Bylaw 1531/21 Page 40 of 69
existing residents. This residual benefit is determined at the point in time when the
project is added to the bylaw (i.e., it does not fluctuate from year-to-year).
2. Other Stakeholders -- other municipalities that benefit from the infrastructure.
3. Future Development:
o Financial Oversizing -- that portion of cost (i.e., levyable water infrastructure
costs) which benefits future development beyond the 25-year review period.
co In Rates -- that portion of cost (i.e., levyable water infrastructure costs)
which benefits future development within the 25-year review period.
The table below outlines the allocation of water offsite levy infrastructure costs to benefiting
parties.
Allocation of Water Infrastructure to Benefiting Parties
Developer Share
Project Description Reduced Project | yuri share % | ther Stakeholder] Beyond 25 vrs, / OSI. Developer
Oversizing %)
[| 4 [Allin Ridge New Pump (Expansion Project) aT 0% 100.0%
[| 2 [Allin Ridge Reservoir (Expansion Project) 87.021 PP 0% 100.0%
[| 3 [Upper Manor Pointe (East) - Starkey Road Water Looping Connection TS 276,950[ 70.3% PH 20.7%
[4 [Summerbrook Reservoir Pump Station Improvements (Interior) TS 1525,546 [25.0% 8.0% 72.0%
[5 [Allin Ridge Reservoir to Tuscany Hills and Regency Estates (Watermain Looping for Fire Protection) [$ 1,019,222[ 25.0% [| Tt 540%
[| 6 [Upper Vicount Estates to Lower Vicount Estates and SturgeonHeights TS 992,188] 25.0% | 18.0% 57.0%
[7 [Coal Mine Road from Summerbrook ReservoirtoFlyynWay 825.410 | 25.0% 0% 69.0%
[| 8 [Summerbrook Reservoir to Southwest Summerbrook Estates CS 783,888] 5.0% | 80H 6%
[9 [Watermain to Noroncal via Crozier Avenue 049,442 [25.0% 0% 69.0%
[10 |Noroncal Water andFire Servicing 783,910] 25.0% OH 69.0%
[| 11 [Sturgeon Heights Fire Servicing GAT 50% 18.0% 57.0%
[12 |PRV Improvements TAB 00% 100.0%
[| 13 [127th Street Reservoir and Pumphouse (Allin Ridge initial construction of Reservoir) $814,934 3.8% TH 96. YF
[| _14 [127th Street Water Supply Line (Allin Ridge supply line fromEPCOR) TS 2 38,868f 0% 100.0%
[15 [Sturgeon Road PressureReducing Valve SP 0% 100.0%
[| 16 |EastRiver Crossing ates 0% 100.0%
[17 |Summerbrook Reservoir Exterior Improvements 995,327 20.0% 0% 80.0%
[| 18 [Allin Ridge Reservoir Expansion #1 2,000,000 20.0% Pt 88.4%
[19 [Allin Ridge Reservoir Expansion #2 200,001 | 20.0% 78.6% TAH
[20 [Twinning Allin Ridge SupplyLine 200,001 20.0% 78%
[100 [Unallocated Offsite Levies Collected 00.0%
*Allocations were determined by County staff.
"Financial oversizing is determined by separating out the pro rata portion of developer cost beyond the 25-year
review period, in comparison with the anticipated year of construction. As the years move forward and rates are
updated, these additional developer costs will be included in rate calculations. For example, a project which is
slated to be constructed in year 20 of the 25-year review period will have 20% (5/25) of its costs in rates today,
and 80% (20/25) of its costs will sit beyond the 25-year review period.
C5. Existing Receipts & Adjusted Levy Cost
Using the offsite levy share percentages shown in the previous section and applying those
percentages to project costs results in an offsite levy cost of approximately $18.82 million.
However, prior to allocating these costs to benefiting areas, existing offsite levy receipts
collected from developers need to be considered in determining the residual/net costs to
developers. County staff have advised that approximately $5.30 million in water levies have
been applied/collected as shown in the table below. This results in an adjusted offsite levy
cost of approximately $13.52 million.
Bylaw 1531/21 Page 41 of 69
Offsite Levy Funds Applied to Date
. Offsite Levy .
Offsite L Adjusted
Project Description aaron Sut eau' sland coleciea bebe (Levy)
os to Dec 31, 2018 a a Cost
[3 [Upper Manor Pointe (East) - Starkey Road Water Looping Connection ----=--=S~C~CS~SC~CS*C«CH GATS COTS
[6 [Upper Vicount Estates to Lower Vicount Estates and SturgeonHeighis Sf SC,t0,947/$ --- *([$ ----~--i2BB TS 1,099,059 |
[8 _|Summerbrook Reservoir to Southwest Summerbrook Estates ------SSSSC~d SCOTS «S86 S_--514,004 |
[9 [Watermain to Noroncal via Crozier Avetue CdS |S «SOB 719,980 |
[13 [127th Street Reservoir and Pumphouse (Alin Ridge iniial construction of Reservor) ----*«([$ ----7ea.sei|$ veassi[s--- ~«[S Si
[15 [Sturgeon Road Pressure Reducing Vave SS SC«dSSCS|GS CI SIS[S COSCO
[100 [Unallocated Offsite Levies Collected ZS SZ TT
C6. Summary of Water Offsite Levy Cost Flow-through
As shown in the figure below, the total cost for water infrastructure that forms the basis of
the rate is approximately $13.52 million. The cost allocations to each benefitting party are
based on the benefitting percentages shown in previous section. The offsite levy balance
(due from developers) is allocated to various benefitting areas (as described in the next
section).
Total Water Offsite Levy Costs
= Future Less: Levy = Off-site
(OSL Share) Receipts Balance*
are $5.30M
$18.82M $13.52M
= Future
Development
"Financial
Oversizing"
$8.73M
Less: Special
Project Grants & = Project | = Other
Costs Contributions Balance Share
$32.61M $0.02M $32.60M $0.00M
= Existing
Development
(Muni Share)
$5.04M
Bylaw 1531/21 Page 42 of 69
C7. Water Infrastructure Benefiting Areas
Net developer costs for each project have been allocated to multiple benefiting offsite levy area (see tables below).
Allocations are denoted with a "1" below applicable area numbers. Benefiting areas were determined by County staff. The
lands anticipated to develop over the 25-years in each offsite levy benefitting area are used to determine rates.
Water Allocations to Benefitting Areas
poe fe fe fe fe eo) [eee eee eer
[1 {Alin Ridge New Pump (Expansion Project) ttt tt tt ttt [ [se [ sf [tf ff fff
[2 [alin Ridge Reservoir (Expansion Project) ;+}+{+}tr}ri[s}rtr{[s[sfsi[s[s[si[s[s[4i4 {a {s isis [s [sss [s [sls] [oo]
[3 [Upper Manor Pointe (East) - Starkey Road Water Looping Comection _------S<d tf 41 {+t +{ai{at{ata{af[afa][a]a[a][s[41[4[4{a{a[a [aia [as [ sls [slo] o fo]
[4 _[Summerbrook Reservoir Pump Station Improvements (inierio) SSS «tft tt {ti} a {sata [a i[afa isis [sis {4[4ia{a{a [aia [a [ss [sls [os [ol] o fo]
[5 [Alin Ridge Reservoir o Tuscany Hils and Regency Estates (Watermain Looping for Fie Protection) | 1 [1 |1|1|1|1|1]4|4][4]1]4][4|[4|4]1/4/4]4{4[4[4[4]4 [4 [4/4 / 4/4/49 ][4 [7]
[6 [Upper Vicount Estates to Lower Vicount Estates and SturgeonHeighs ST tT 4 | 4} 4} aia {a{a[af[af{a][a][a[a]a[s1[4[4{a{a[a[a [alfa [s [sls [sls] of]
[7 [Coal Wine Road from Summerbrook Reservoir toFiymmWay Sd APA tA { 4} 4 [4 [ata [af[ ats i[sf[s[s{s{s4i4ia{a{a [aia [a [asl [ a fs [sls [of]
[8 [Summerorook Reservoir to Southwest Summerbrook Estates --------SSSSSSSSSSSSC«d APA | 4 {4} 4{ 4 {ata i[ sists is [a[s{s{4i4(4a{afa[a [a {a [a [ sla [ a fs [also fo]
[78 [Watermain to Noroncal iaGrozerAverue tt ttt ttt tt tf
[710 [Noroncal Water and Fire Servicing i ef
[71 {Sturgeon Heights Fire Servicing a a
[2 TPRV improvements a a
[1s_[127ih Street Reservoir and Pumphouse (Alin Fidge intial construction of Reservar) | +[+/+1]+]+)1]4]414][4]4]4][4[4]4]41414]4[4[4[ 414] 4 [414/49 [4 [4/4] 1 [7]
[14_[127th Street Water Supply Line (Alin Fidge supply tinefromEPCOR) ttt tt [ttt it[s {sissies [sist [sists iiss is [ss sls [loo]
[15 [Sturgeon Road Pressure Reducing Vave tft ft
[16 feast River Crossing a a
[17 [Summerbrook Reservor Ewerior Improvements (Pt tt tt ttt [tosis fois isis is [sis is {a (s isis (s [oss] [sls] [oo]
[18 [alin Ridge Reservoir Expansion#1 SSS YA Pt ttf [tt [ata a [as [s [sss [ ssf [a iif [ll [of [fo]
[19 [Allin Ridge Reservoir Expansion#2 dP ttt tt tata ta [aa [a [sss [ safe fii [[l[o [ [o[fo
[ 20 [Twinning alin Ridge Supply Line SSSSSSSC*d Pfft tft [fafa [fff ff ff ff
[100 [Unalocated Offsite Levies Colected SSS CP APA Pt} [tpt [a tata [a t[s[s[s[s[s[s [sists isis ists fs islstl ls [sss fo
fem] ramon fo fess [> [ne mine [nisi en
[1 {Alin Ridge New Pump (Expansion Project) SSSSSCS~d CE A Tt tt ft [a fafa [at [ a [aaa [st [s[s[ si aia iat ata fafa fei ais i[ sisi si sis]
[2 {alin Ridge Reservoir (Expansion Project) tt ttt ft fa fat ft
[73 [Upper Manor Pointe (East) - Starkey Road Water Looping Connections ttt [tts [spe [s [ais is [eis [s [sissies [ff [ff |
[4 _[Summerbrook Reservoir Pump Station Improvements (Interion) it ttt [tts [a pe [s [ais ts [effi [sss sill [fff [|
[5 [Alin Ridge Reservoir to Tuscany Hil and Regency Estates (Watermain Looping for Fire Protection' | +[1[111]1]+ [4141111] 4]4+]4[414[4[41414(41 4] 4/4] 4] 4] 4] 4] 4] 4] 414174]
[6 [Upper Vicount Estates to Lower Vicount Estates and SturgeonHeights tL 1] 4] [ apo [a [ais {sis [t tsi sis [sss isis isis [sls [sis [sis [iss
[7 [Coal Wine Road from Summerbrook Resenvoirto Fiym Way ttt ptt [tpt [a fait [eff [fff |
[8 _[Summerbrook Reservoir to Southwest Summerbrook Estates ttt ttt fpf [atts [ff
[-8 [Watermain to Noroncal via Crozier Ave SSSSSSS~d iT Pt [tft [ tf [ofa [a [tie fs [sis fais isis [s(t [sf [fs [fois [ssi]
[10 [Noroncal Water and Fie Servicing SSCS' Ad AT tf [a [of fafa fa [aff aff ff [|
ems EW COT SECTUESETOESET COS EPSEET SUES SGETErTaETSGETEGETEGTaEEGETED
[13 [127th Street Reservoir and Pumphouse (Alin Ridge iil construction of Resewvor) ------*+|+{4+{4{4{4{4{[ala{1{s]{4]{+]{4[t[s][s]4i4{4[a{aia[a [tft [tis [s isis sis]
[14 [127th Street Water Supply Line (Alin Ridge supply ine from EPCOR) «ALA {414 [4 [afala{a {a {aft ft[s[s[s[si4(4[a{ata [sf [s isis [sis [si sis]
[15 [Sturgeon Road Pressure Reducing Valve Cd ATA a [a [ofa { a {a [ aft fs [sis i[si[sis [aia {atl [sft is isis [sis is]
[16 [east River Crossing a
[17 [Summerbrook Reservar Exterior Improvements ttt fof
[18 [alin Ridge Reservoir Expansion #t i
[19 [Allin Ridge Reservoir Expansion #2 tt
[20 [Twinning Alin Ridge Supply Ling a
[100 [Unallocated Offsite Levies Collected i
Bylaw 1531/21 Page 43 of 69
a Cl
[ 4 Allin Ridge New Pump (Expansion Project) a tt a ata a fafa fafa pa a a fa pa a fa aa a a fata]
[2 Allin Ridge Reservoir (Expansion Project) a ttt att ta faa at fa ata a fa ata a Pa tt i tt ft
| 3 [Upper Manor Pointe (East) - Starkey Road Water Looping Connection At Pt tft Patt Pata ta fata pata ta tata ta fata fafa a faa Pa aa faa fafa]
| 4 |Summerbrook Reservoir Pump Station Improvements (Interior) dE AT tT tT at] tt at Pat fata tata fafa fata fata fata aa a a i i i fa fi fa fafa
[_5 [Allin Ridge Reservoir to Tuscany Hills and Regency Estates (Watermain Looping for Fire Protection) | 4 [1 [4]4]4/4[/41[/a[a[/afa[a{afatatatatatatatatatatata tat at at ata [iti]
| 6 [Upper Vicount Estates to Lower Vicount Estates and SturgeonHeights PF A tT tT tt Pat Pata fa fafa fafa ta tata tata ta pata pa fata pa aa fat pata]
[_7 [Coal Mine Road from Summerbrook ReservoirtoFlyynWay tt ttt fat Pata fata at faa pata a fa ata fa a a a tat ft ft
| 8 |Summerbrook Reservoir to Southwest SummerbrookEstates A ttt ttt Pata ta fafa pata ta tata ta faa pa a pa fat Pa af faa fata]
[_9 |WatermaintoNoroncal viaCrozierAverue a ttt att ta fata at fa at a a at a a i at a i tt ft
[ 10 |NoroncalWaterandFireServicng a a a a aa a a Pa a fa Pa a Pa a a a tt fa ft
[11 [SturgeonHeights Fire Servicing a ta at ta aa at a at a a at i a i a i tt at
[12 |PRVImprovements a a a a a a a a a a a a a i a i a i a a i tt ft at |
[13 [127th Street Reservoir and Pumphouse (Allin Ridge initial construction of Reservoir) TF AT 1 Tat at fata t a fata ta fata fafa ta tata ta fata pata a faa aaa faa fai]
[| 14 [127th Street Water Supply Line (Alin Ridge supply linefromEPCOR) At Pt tt tata Pata ta fafa fafa tata ta faa pa fa a fata papa fata]
[15 [Sturgeon Road PressureReducing Valve a tt at tat fata fafa ata a a at a i a tt i tt ft
[16 |EastRiverCrossing a a a a a a a a a a a i a i i a i i i i it i it
[ 17 |Summerbrook Reservoir Exterior Improvements at pata fafa pat aa aa pa faa pa aa faa apa a at pata]
[18 [Allin Ridge Reservoir Expansion#1 a tt a at ta ata ta at a a a i a i ta i ft it ft
[ 19 [Allin Ridge Reservoir Expansion#2 a a a a ata aa a a Pa a Pa a a fa a a a ta fa |
[20 [Twinning Allin Ridge Supply Line a ta a at ta a aa at a at a a a i a i a i i it i at
[100 [Unallocated Offsite Levies Collected a a a a aa a a a a a a a a a a a a a fa
fp 'la en oo ne ae oe oe ooo ev ov ofan
[1 |Allin Ridge New Pump (Expansion Project) a tt aa pata aa a a a ta fa it a a a i i ft ft
[ 2 Allin Ridge Reservoir (Expansion Project) a a tt Pa fa Pa fa a faa a pa a faa Pa a a a fa fa fa ff |
[_3 [Upper Manor Pointe (East) - Starkey Road Water Looping Connection tT tT tt Pt fafa fata ta fata tata aa faa aa a a ft fa fa fas |
[ 4 |Summerbrook Reservoir Pump Station Improvements (Interior) at tt Pt fa fa fafa ta fafa pa fata ta pata faa a Pa a ta pa fa faa fa taf |
[_5 [Allin Ridge Reservoir to Tuscany Hills and Regency Estates (Watermain Looping for Fire Protection) | 41 [4] 4/4] 4[4[1[a[a]afai[atatatatatatatatatatatatatata ta tata tat ad is |
| 6 [Upper Vicount Estates to Lower Vicount Estates and SturgeonHeights Pt tt Pat fafa Pata ta fafa pa fata ta tata faa a Pa a a pa fa fafa fa fad |
[_7 [Coal Mine Road from Summerbrook ReservoirtoFlyynWay ttt Patt fata a faa aaa aa pata Pa a a fa fa ft a |
| 8 |Summerbrook Reservoir to Southwest SummerbrookEstates at Pt a Pata fa tata tata ta tata aaa at pa fafa ta fafa |
[| 9 |Watermainto Noroncal via Crozier Avenue a a tt Pat a Pa a a pa a a a pa aa a a fa fa a ff |
[10 [NoroncalWaterandFire Servicing a tt a a a a a a at at at i a a i a i a a i i ia
[11 [SturgeonHeights Fire Servicing a a aa a aa a a a a aa Pa a a a a i i at |
[42 [PRVImprovements a a a a aa a a a a a a a a a a i i a i i a i i a
[| 13 [127th Street Reservoir and Pumphouse (Allin Ridge initial construction of Reservoir) | AL AT At a tata fa tata tata tata tata ta tata pata ta pata fa aa fa fafa fa fafa |
[14 [127th Street Water Supply Line (Allin Ridge supply line fromEPCOR) Tt Tt tt Pat tata fata ta fata afta tata pata Pa a a fa Pa ft fa |
[ 15 |SturgeonRoad PressureReducing Valve a tt ata a at faa papa aaa aa a at pa faa fa fafa |
[16 |EastRiverCrossing a a a a a at a a a a a i a i i i i i a i i a
[17 [Summerbrook Reservoir Exterior Improvements a ta aa pata tata fata fata pa aa fa fa a fat a a a i i ft 7 |
[ 18 [Allin Ridge Reservoir Expansion#i a a a a a a a aa a a a a aa Pa a a a a a i i it |
[19 [Allin Ridge Reservoir Expansion#2_ a a tt ata a aa at a tat at i a i i a i i a i it a
[ 20 [Twinning Allin Ridge Supply Line a a a a a aa a aa a a a a aa Pa a a i a a i i i
[100 [Unallocated Offsite LeviesCollected a tt aa a a a a a a a a a a a a a a i a a
Bylaw 1531/21 Page 44 of 69
C8. Reserve Balance
At December 31, 2020 the water reserve balance was in a deficit of $(3,449,056.39). This
amount takes into consideration expenditures and front-ending repayments up to end-2020.
A negative balance indicates the presence of front-ending--i.e., this amount is owed to the
County from the levy account via future collections. The County's ledgers should be
amended to reflect this balance as it includes expenditures to date. This balance assumes
that_all remaining cash in the account is withdrawn and used to pay down a portion of front-
ending obligations owed to the County.
Water Offsite Levy Reserve Balance
Description Dr Cr Balance
Offsite Levy Expenditures (incl loan interest if any) to December 31, 2018 $ 9,782,045.78 $ (9,782,045.78)
Allocated Receipts to December 31, 2018 $ 5,223,604.71 $ (4,558,441.07)
Unallocated Receipts to December 31, 2018 $ 1,339,133.25 $ (3,219,307.82)
Closing Balance 2018 $ (3,219,307.82)
2019 $ (3,219,307.82)
Interest on Opening Balance ' $ 104,627.50" $ (3,323,935.32)
Withdrawals/Applied to OSL Projects $ - $ (3,323,935.32)
Net Project Expenditures (OSL Share) In Addition to Withdrawals Applied to Projects 5 $ 50,067.18 $ (3,374,002.50)
OSL Receipts $ 71,028.00 $ (3,302,974.50)
Other Receipts '$ - $ (3,302,974.50)
Debenture Interest Expenditures ' $ - \ $(3,302,974.50)
Interest on Project Expenditures $ 406.80. $ (3,303,381.30)
Interest on Offsite Levy Receipts $ 355.14" $ (3,303,026.16)
Interest on Other Receipts $ -_\ $ (3,303,026.16)
Interest on Debenture Expenditure $ - \$ (3,303,026.16)
2020 $ (3,303,026.16)
Interest on Opening Balance h $ 107,348.35% $ (3,410,374.51)
Withdrawals/Applied to OSL Projects $ - $ (3,410,374.51)
Net Project Expenditures (OSL Share) In Addition to Withdrawals Applied to Projects h $ 46,745.24 $ (3,457,119.75)
OSL Receipts $ 8,401.16 $ (3,448,718.59)
Other Receipts '¢ - $ (3,448,718.59)
Debenture Interest Expenditures ' $ - \ $ (3,448,718.59)
Interest on Project Expenditures $ 379.81. $ (3,449,098.40)
Interest on Offsite Levy Receipts $ 42.01% $ (3,449,056.39)
Interest on Other Receipts $ - $ (3,449,056.39)
Interest on Debenture Expenditure $ - \$ (3,449,056.39)
C9. Development and Water Infrastructure Staging Impacts
Water offsite infrastructure will be constructed in staged fashion over the 25-year review
period. We have reviewed the availability of offsite levy funds to meet these construction
requirements and found that offsite levy reserve funds will not be sufficient to pay for
construction of water infrastructure from time to time--front ending of infrastructure will be
required. A front-ender is the party that constructs and pays up front for infrastructure that
benefits other parties.
To compensate parties for capital they provide in front-ending offsite infrastructure
construction, a 2.09%°® interest allowance has been charged to the reserve when it is
8 The 20-year debenture rate at the Alberta Capital Finance Authority at the time of writing was ~2.09%. Historic
charge rates used in the model are 3.25% (2019-2020).
Bylaw 1531/21 Page 45 of 69
forecast to be in a negative balance. Further, a 1.00%° interest credit has been provided to
the reserve when it is forecast to be in a positive balance. The graph and table below outline
the forecast water levy reserve balances over the 25-year development period.
If necessary, an interest staging adjustment has been applied to rates (slightly positive or
slightly negative) to ensure that the forecast reserve balance at the end of the 25-year
review period always returns to break-even (i.e., developers are not charged too much
thereby providing a windfall to the County, nor are they charged too little thereby placing an
unequitable burden on taxpayers).
Anticipated Water Offsite Levy Reserve Balances
Water Reserve
$2,000,000
i
$(10,000,000)
Year
° Historic earning rates used in the model are 1.00% (2019-2020).
Bylaw 1531/21 Page 46 of 69
Anticipated Water Offsite Levy Reserve Balances
Opening Balance
Year Receipts Expenditure Interest Balance
2021 $ 80,297 $ 1,245,008 $ (96,428) $ (4,710,194)
2022 $ - $ 1,120,361 $ (121,859) $ (5,952,414)
2023 $ 249,430 $ 2,626,537 $ (174,087) $ (8,503,608)
2024 $ 809,256 §$ 554,416 $ (172,399) $ (8,421,166)
2025 $ 418,666 §$ - $ (167,252) $ (8,169,752)
2026 $ 654,664 $ - $ (157,065) $ (7,672,154)
2027 $ 938,026 $ 1,607,479 $ (174,340) $ (8,515,946)
2028 $ 635,318 §$ 663,818 $ (178,579) $ (8,723,026)
2029 $ 1,048,590 $ - $ (160,396) $ (7,834,831)
2030 $ 883,609 $ - $ (145,281) $ (7,096,503)
2031 $ 845,411 $ - $ (130,648) $ (6,381,739)
2032 $ 311,955 $ - $ (126,859) $ (6,196,643)
2033 $ 321,313 $ - $ (122,794) $ (5,998, 124)
2034 $ 1,106,626 §$ 1,106,041 $ (125,349) $ (6,122,888)
2035 $ 1,039,659 $ - $ (106,239) $ (5,189,468)
2036 $ 309,629 $ - $ (101,989) $ (4,981,828)
2037 $ 966,742 $ - $ (83,915) $ (4,099,001)
2038 $ 328,485 $ - $ (78,804) $ (3,849,319)
2039 $ 338,340 $ - $ (73,379) $ (3,584,359)
2040 $ 1,712,862 §$ - $ (39,114) $ (1,910,611)
2041 $ 358,945 §$ - $ (32,430) $ (1,584,096)
2042 $ 369,713 §$ - $ (25,381) $ (1,239,763)
2043 $ 2,392,602 $ - $ 11,528 $ 1,164,367
2044 $ - $ 1,164,367 $ - $ (0)
2045 $ - § - $ - § (0)
Bylaw 1531/21 Page 47 of 69
APPENDIX D: SANITARY
D1. Sanitary Offsite Infrastructure
In order to support future growth, sanitary offsite infrastructure is required. The estimated
cost of this infrastructure is based upon: (a) actual construction costs to the cut-off date, (b)
future debenture interest associated with financing, and (c) future cost estimates. Total cost
is approximately $24.33 million as outlined in the table below. Actual costs, debenture
interest (if any), and cost estimates were provided by County staff. It is important to note that
these costs represent "gross" costs, of which only a portion will go to support development
during the 25-year review period. The remainder of this section outlines how the "net" costs
for development are determined.
Summary of Sanitary Offsite Infrastructure
Estimated Cost of
, a Cost of Future Debenture Total Project
meen dit aS RR,
ompleted
| _1 [Rivers Gate Gravity SewerEng TSOTSI 8120 |
| __2 [Rivers Gate Southwest Lift Station TS 2.495.925 SB 495,325 |
|__3 [Sturgeon Road Gravity Sewer (450mm) Diameter [| $ [SS 8,926,213 $ 3,926,213 |
| 4 [Upgrade Tuscany Hills Lift Station SBS 496.011 [496,017 |
|__5 [Bellerose Gravity Sewer andForceMain [ST 724,181[$ = S724, 181 |
| 6 [Bellerose Lift Station BATH S88, 164 |
|___7 _|Summerbrook / Upper Manor Sewer Design [S$ 1,703,653)$ [SS 1,703,653 |
|__8 [Upper Manor Gravity Trunk 778,252 | S778, 252 |
|_9 [Forcemain Twinning to St Albert S898 HS 429,558 |
|_10 [Sturgeon Road Forcemain Upgrade 186,748 TS 186,748 |
|__11 [Bellerose Lift Station Upgrade 908278 | 790,827
a Ac
Start Line
2
Gate (West Trunk)
| 14 |SVEastCFBEdmontonTrunk SCS CS 2,000,000 $ 2,000,000 |
| 15 [SV East/CFB Edmonton Lift StationtoSTART' dT STS TS 4,000,000] $ 4,000,000 |
|_100 [Unallocated Offsite Levies Collected SS
[$s 7,404827/$ TS 16,922,225 $ 24,327,052 |
*Past expenditures include past financing expenditures (interest) if any.
*"Costs estimates provided by County staff.
***Estimates include engineering and contingencies.
****Unallocated levies to end-2018 (if any) were set-up as an individual project (#100) and credited 100% to
future development and to all offsite levy areas (see Section D5).
"Offsite infrastructure definitions are contained in Appendix F.
Bylaw 1531/21 Page 48 of 69
Sturgeon Valley Off Site Levies A --_
Sewer Infrastructure turgeon
; County
a i a i
a Ae N wa yi.)
\ wx
I< BY i io" Ws
OS \vfis AN Sea i jr
eee a) A
AOD? mre om
ef Aa: A CN OED: oA al Pree. ae pia eee
Ebeleroce Utsition {3 Stugeon Valey Gravty Man Shageon Helgns fo Rivers Gate (est Tunk]| | i |
E Upper Manor Gravdy Tuk $e: SV EastCe Eomonton Lit sion to START p
|_Flesiaps ing Sturpeonvaley 202 Levy\StugeonvsieyOSL_Frojectiap: A By" Sturgeon County
D2. Sanitary Offsite Infrastructure Grants & Contributions to Date
The MGA enables the County to allocate the costs of offsite infrastructure to development,
other than those costs that have been provided by way of special ear-marked grant or
contribution (i.e., contributed infrastructure). Sturgeon County has/will receive approximately
$1.63 million in special ear-marked grants and contributions for sanitary offsite levy
infrastructure as shown in the table below (note, if the County receives additional ear-
marked grants or contributions in the future, it will be reflected in one of the annual updates
and rates adjusted accordingly). The result is that the total reduced project estimated cost is
$22.70 million.
Bylaw 1531/21 Page 49 of 69
Special Grants and Contributions for Sanitary Offsite Infrastructure
. Developer .
. nai Total Project . Other Reduced Project
| meen th eee) S| ast
ontributions
[1 [RiversGate Gravity SewerEng. SOG CSC CdGSCC"'"C*S C8120
| _2 [Rivers Gate Southwest Lift Station [$495,325 $ GS 2,495,325 |
|_3_[Sturgeon Road Gravity Sewer (450mm) Diameter | S$ 3,926,.213/$ SS 8,926,213 |
| 4 [Upgrade Tuscany Hills Lift Staion SG HG 496,071 |
| 5 [Bellerose Gravity Sewer andForceMain |S 72481 HS 724,181 |
[6 [Belleroselift Station CSAS CdSCCSCdCSSC*C"'CONSC"$C*C'S~SC~C*« BB, TGA |
| _7 _|Summerbrook/ Upper Manor Sewer Design [$1,703,653 /$ 509,236 /$ 1,117,964)$ = [$76,453 |
| 8 [Upper Manor Gravity Trunk 778,252 HS 778,252 |
[9 |Forcemain Twinning to St. Albert CdS 5B SC CSCC" SC*dSSC"'(CSCSC"C*CS'~C~C*«éDOA«SSV
| 10 [Sturgeon Road ForcemainUpgrade S86 74S GS 186,748 |
| 11 [Bellerose Lift Station Upgrade 90827 $ | 790,827 |
OR Ac lL
Start Line
a eee
Gate (West Trunk
| 14 [SVEast/CFBEdmontonTrunk TS 000000 $ | GS SS 2,000,000 |
[15 |SVEast/CFB Edmonton Lift StationtoSTART! «(|S --«4.000,000/$ --- ~*'|$ - *|$ ~~ '([$ 4,000,000]
| 100 [Unallocated Offsite Levies Collected ST SG
[$24,327,052 |$ 509,236 /$ 1,117,964/$ = | $22,699,852 |
D3. Year of Construction
The timing of construction is used to determine the impact of inflation on cost, the impact of
forecast reserve balances, and the estimate of financial oversizing (described in the Section
that follows). The County anticipates construction of offsite infrastructure as outlined in the
table below. Note, if this schedule is adjusted in the future, it will be reflected in one of the
County's annual rate/bylaw updates.
Forecast Year of Construction
mf neem |
| _6 [Bellerose Lift Station CE 2008
| 8 [Upper Manor GravityTrunk 2005
| 9 _|Forcemain Twinning to St. Albert | 20085
2 feces sescenseene |
Start Line 2050
no
Gate (West Trunk' 2050
"The share of projects constructed beyond the 25-year review period are not included in rates today (see
financial oversizing in next section).
*"Project costs are inflated by 2% per annum to 2022 and 3% per annum thereafter to the year of construction.
D4. Sanitary Offsite Infrastructure Benefiting Parties
The sanitary offsite infrastructure previously outlined will benefit various parties to varying
Bylaw 1531/21 Page 50 of 69
degrees. Three potential benefiting parties were identified including:
1. Sturgeon County -- a portion of the sanitary infrastructure which is required to service
existing residents. This residual benefit is determined at the point in time when the
project is added to the bylaw (i.e., it does not fluctuate from year-to-year).
2. Other Stakeholders -- other municipalities that benefit from the infrastructure.
3. Future Development:
o Financial Oversizing -- that portion of cost (i.e., levyable sanitary
infrastructure costs) which benefits future development beyond the 25-year
review period.
o In Rates -- that portion of cost (i.e., levyable sanitary infrastructure
costs) which benefits future development within the 25-year review
period.
The table below outlines the allocation of sanitary offsite levy infrastructure costs to
benefiting parties.
Allocation of Sanitary Infrastructure to Benefiting Parties
Developer Share
Oversizing %)
| 1 [Rivers Gate GravitySewerEng SOT 0.00% 10.00%
[2 |Rivers Gate Southwest Lift Station SS 495,925 PT 000% «100.0% --*S
| 3 [Sturgeon Road Gravity Sewer (450mm) Diameter [$3,926,213] | 400% 96.00%
| 4 [Upgrade Tuscany Hills Lift Staion aot | 0.00% 10.00%
[5 [Bellerose Gravity Sewer andForceeMain «| $724,181] 126% | 00% SCRA
| 6 [Bellerose Lift Station C8814 | 17.26% | 000% | 82.74%
|__7 __[Summerbrook/ Upper Manor Sewer Design [$76,453] | 100.00% | 0.00% | 0.00%
[8 |Upper Manor Gravity Trunk SS 778,252 | OHTA
| 9 [ForcemainTwinningto St. Albert S458] 17.26% TT 000% 82.74%
[10 |Sturgeon Road Forcemain Upgrade CS 186,748 [17.26% [000% BTA
| _11 [Bellerose Lift Station Upgrade 790,827] 17.26% | 000% | 82.74%
ce errenitieseseusnine | soeen| vee [ene | oon
Start Li
BR
Gate (West Trunk
[14 |SVEastiCFBEdmontonTrunk SS 2000000] ive | C*idSC('éWDM| OOH C
| 15 [SV East/CFB Edmonton Lift StationtoSTART* [$4,000,000] 17.26% | 874% 0.00%
[100 [Unallocated Offsite LeviesColected NS «100.06 |
*Allocations were determined by County staff.
"Financial oversizing is determined by separating out the pro rata portion of developer cost beyond the 25-year
review period, in comparison with the anticipated year of construction. As the years move forward and rates are
updated, these additional developer costs will be included in rate calculations. For example, a project which is
slated to be constructed in year 20 of the 25-year review period will have 20% (5/25) of its costs in rates today,
and 80% (20/25) of its costs will sit beyond the 25-year review period.
D5. Existing Receipts & Adjusted Levy Cost
Using the offsite levy share percentages shown in the previous section and applying those
percentages to project costs results in an offsite levy cost of approximately $9.41 million.
However, prior to allocating these costs to benefiting areas, existing offsite levy receipts
collected from developers need to be considered in determining the residual/net costs to
developers. County staff have advised that approximately $2.55 million in sanitary levies
Bylaw 1531/21 Page 51 of 69
have been applied/collected as shown in the table below. This results in an adjusted offsite
levy cost of approximately $6.86 million.
Offsite Levy Funds Applied to Date
, Offsite Levy .
ee ae eae
Project Description Funds Collected + Developer (Levy)
Cost Starting Jan 1,
to Dec 31, 2018 Cost
2019
| _1 [Rivers Gate Gravity SewerEng SOUS St S800 |
|___3 [Sturgeon Road Gravity Sewer (450mm) Diameter [$$ 3,769,165[$ = TS 18,138] $ 3,751,027 |
| 4 [Upgrade Tuscany Hills Lift Station SG OTT GS 496,0171 |
| 6 [Bellerose Lift Station 888,427 (G52 EBT S522 $185,252 |
| __7 __|Summerbrook/ Upper Manor Sewer Design [SS Bs
|__8 [Upper Manor GravityTrunk SABRE GST OSES 92,870 |
| 9 |ForcemainTwinningto St. Albert 855,416 |G G2 5B7[ HTS 92,619 |
|_10 [Sturgeon Road Forcemain Upgrade TS 154.515 [GH t54520/$
a A
Start Line
a
Gate (West Trunk)
| 14 |SVEastCFBEdmontonTrunk
| 15 [SV East/CFB Edmonton Lift StationtoSTART' TS
| _100 [Unallocated Offsite Levies Collected SG
D6. Summary of Sanitary Offsite Levy Cost Flow-through
As shown in the figure below, the total costs for sanitary infrastructure that forms the basis of
the rate is approximately $6.86 million. The cost allocations to each benefitting party are
based on the benefitting percentages shown in the previous section. The offsite levy
balance (due from developers) is allocated to various benefitting areas (as described in the
next section).
Bylaw 1531/21 Page 52 of 69
Total Sanitary Offsite Levy Costs
= Future Less: Levy = Off-site
(OSL Share) Receipts Balance*
are 2.56M
$9.42M $ $6.86M
= Future
Development
"Financial
Oversizing"
$10.50M
- Less: Special
Project Grants & = Project = Other
Costs Contributions Balance Share
$24.33M $1.63M $22.70M $0.08M
= Existing
Development
(Muni Share)
$2.71M
Bylaw 1531/21 Page 53 of 69
D7. Sanitary Infrastructure Benefiting Areas
Net developer costs for each project have been allocated to multiple benefiting offsite levy area (see tables below).
Allocations are denoted with a "1" below applicable area numbers. Benefiting areas were determined by County staff. The
lands anticipated to develop over the 25-years in each offsite levy benefitting area are used to determine rates.
Sanitary Allocations to Benefitting Areas
fem| reper ecriion | sa | | sa | a as | 2a | 2a | 2 | as | | | | as || | [os [|e [oe [on [ca [to [oo [rn [v2 | 70 | 74 | os [ne [oo |
| 1 [Rivers GateGravitySewerEng tt tt tt ta ft fata tata tata fa ta tat ta ta fat tt ta fa tt ta a ft fat ff
| 2 [Rivers Gate Southwest Lift Station Pat Pt fat afta fata ta fata at a pa pata ta faa at a a aa a fa fa fat aa afi
|_3 [Sturgeon Road Gravity Sewer (450mm) Diameter | 1 | 1 [a] ata ta fata ta tata ta tata tata ta tata fa ta fa fa ta fa af fat fa fi
| 4 [Upgrade Tuscany Hils LiftStation TT
| 5 [Bellerose Gravity Sewer andForceMain sf At tT tt ata ta fata tata tata fata tata ta tat a ta fa fa ta fa ta fat fat [ati
| 6 [Bellerose Litt Staion a ttt at at at tt a fat a a a a a a a at a a a a a a at a a fa
|_7 |Summerbrook/ Upper ManorSewerDesign | | | | CT | TT CE CT CT
| 8 [UpperManorGravityTrunk TE
|-9 |ForcemainTwinningto St. Albert dP at aaa fata pa tata fafa tata tata ta a pa a aaa fa fata fa fafa [|
| 10 [SturgeonRoadForcemainUpgrade | TE CT CT TE CT CT
| 11 [Bellerose Lift StationUpgrade a tt tt at fa Pat pa tata fata tata fa ta a pa aaa ta fa fata faa fa taf |
ae Oe RR RR
Start Line
ad Sar ec
Rivers Gate (West Trunk)
| 14 |SVEast/CFBEdmontonTrunk dT tt tat ft fata tata tata fata tata ta tata tat fT tT ty tT tT tt
| 15 [SV East/CFB Edmonton Lift StationtoSTART" | AT tata tata tata tata tata tata tata ta tata tat fT tT tT tT tT tf ft te ft et
[100 [Unallocated Offsite Levies Collected A tt fata tata ta fata tata ata tata tata ta tata tata fata tata tata fata [|
coleman eee flee fafole lalallala foolala elas
| 1 [Rivers Gate GravitySewerEng ttt tt tat tata tata tata tat TT tT PT TT Pa a ft i i a it i i i
| 2 [Rivers Gate Southwest Lift Station ft tt Pa Pata fata tata fata Tt Pat a a at a a a a a i a
|_3 [Sturgeon Road Gravity Sewer (450mm) Diameter | 1 [4 [a tat atatatatatatatat | tT ot ot ty tT ft pata tata tata ta tata fa fats]
| 4 [Upgrade Tuscany Hills Lift Station TT
| 5 [Bellerose Gravity Sewer andForceMain TATA Tt tata t ata tatatatatat | fT | tT tT tf tT tT tf ft ty et te tt tt
| 6 [Bellerose Lift Station tt a Pata tata fata tata PP
|_7 |Summerbrook/ Upper Manor SewerDesign | | TT Pt tat ta tata tata tat | tT tT tT tT tf tT tT te tt
|-8 Upper Manor GravityTrunk TT a a a
| 9 |ForcemainTwinningtoSt.Albert tata Pat ta pata tata tata To tt EP
| 10 [Sturgeon Road ForcemainUpgrade | TTT a a
| 11 [Bellerose Lift StationUpgrade tt a a tat fata tata fata Tt at a a at a a a at i a a
PP lsartre emer PeweGaelhSetore atest stat eatstsieists] | | ET TTT PT ET PE TE | TT
Start Line
["[rercacmestung "Late [statsts[statsts [sts] | | | tT | | TTT | TT TT TT
Rivers Gate (West Trunk)
[14 |SVEast/CFBEdmontonTrunk TT
| 15 |SV East/CFB Edmonton Lift StationtoSTART™ [| | TT TT CT TT
[100 [Unallocated Offsite Levies Collected fA a Pa tata ta fata tata tata ta aaa ta fa tata ata ta a ata ta fat
Bylaw 1531/21 Page 54 of 69
SC En EEE
|_1 [RiversGateGravitySewerEngy | TT
|_2 [Rivers Gate Southwest LiftStaion TT CT CT CT TT
|_3 [Sturgeon Road Gravity Sewer (450mm) Diameter | 1] 1, a[1]{ | [ | | | tT | fT tT tT tT ft tT ft tT fT ft tf tT ft ft te te tt
| 4 [Upgrade Tuscany Hills Lift Station TTT Ta i ta a i a i a a a ft fat
|_5 [Bellerose Gravity SewerandForceMain | | OT OT CT CT CT TT
| 6 [Bellerose LiftStaion CT
|_7 |Summerbrook/UpperManorSewerDesign sss | S| S| CT CT CT CT CE CT CT CT CT
|_8 [Upper ManorGravityTrnk TCE TT TT
|_9 [Forcemain Twinning to St. Albert | CT CT CT CT CT TE CT TP
|_10 [Sturgeon Road ForcemainUpgrade | CT | | CT CT CT | CT CT
|_11 [Bellerose Lift StationUpgrade | CT | | CT CT CT CT TT
PEt ttt tT ttt Ty ty
ats PT ttt tt tT tt tT tt ty yy
SVroscamertay TL TdT dT dT TT dTTP TP Pc PP EE TT TT TE ET TTT Tf
Rivers Gate (West Trunk'
[14 |SVEast(CFBEdmontonTrunk TT att fata ft Tt a i a i a i a i a i a
| 15 [SV East/CFB Edmonton Lift StationtoSTART" | TT OT Pt Pa fata 7 tT fT tT tT a i a i a i a i a i fa |
[100 [Unallocated Offsite Levies Collected tT tT ttt Pata fata fata tata ata a ta fa fat a a ap a fa fi fas |
fen] wn fff ne rae [nn ns va nme avai fo
|_1 |RiversGateGravitySewerEng TT ET CT
|_2 [Rivers Gate Southwest LiftStation TT CT CT TT
|_3 [Sturgeon Road Gravity Sewer (450mm) Diameter | [| | OT OT CT CT CT CT TT
| 4 [Upgrade Tuscany Hills Lift Station TT CTT lt fa fa tat fT fT ft TT
|_5 [Bellerose Gravity SewerandForceMain | S| CT CT CT CT | CT CT CT TT PT
|_6 [Bellerose Lift Station
|_7 |Summerbrook/ Upper Manor Sewer Design | | | CT CT CT UT CT CT
|_8 [Upper ManorGravityTrunk TE
|_9 |Forcemain Twinning to St.Albert dT CT CT CT CT CT
|_10 [Sturgeon Road ForcemainUpgrade | CT TT TT
|_11 [Bellerose Lift Station Upgrade TT
oF
aati Pit} tt tee ee eT TT ETE EEE EE TT EE TT TT
Slrscacdvestuy eT TT TT TT TP PPP PP PP PP PP PP TP TT TT
Rivers Gate (West Trunk)
[14 |SVEasv/CFBEdmontonTrunk Etat tat fa fa tata fafa tata tata ta tt fa ta tt fa fa fa fa fi fit |
|_15 [SV East/CFB Edmonton Lift StationtoSTART™ | 7 [a [ata t afta fata tat ata tata tata tata tata ata ta fata fa a fat fa fi [iad |
[100 [Unallocated Offsite Levies Collected Tt a Tt Tata fata tata ata ata ta tata ta a fa fa fa fa fi fas |
Bylaw 1531/21 Page 55 of 69
D8. Reserve Balance
At December 31%', 2020 the sanitary reserve balance was at a deficit of $(2,013,341.82).
This amount takes into consideration expenditures and front-ending repayments up to end-
2020. A negative balance indicates the presence of front-ending--i.e., this amount is owed
to the County from the levy account via future collections. The County's ledgers should be
amended to reflect this balance as it includes expenditures to date. This balance assumes
that_all remaining cash in the account is withdrawn and used to pay down a portion of front-
ending obligations owed to the County.
Sanitary Offsite Levy Reserve Balance
Description Dr Cr Balance
Offsite Levy Expenditures (incl loan interest if any) to December 31, 2018 $ 5,140,472.25 $ (5,140,472.25)
Allocated Receipts to December 31, 2018 $ 2,503,537.91 $ (2,636,934.34)
Unallocated Receipts to December 31, 2018 $ 711,885.12 $ (1,925,049.22)
$ (1,925,049.22)
Closing Balance 2018 $ (1,925,049.22)
2019 $ (1,925,049.22)
Interest on Opening Balance h $ 62,564.10" $ (1,987,613.32)
Withdrawals/Applied to OSL Projects $ - $ (1,987,613.32)
Net Project Expenditures (OSL Share) In Addition to Withdrawals Applied to Projects' $ 8,774.00 $ (1,996,387.32)
OSL Receipts $ 39,256.00 $ (1,957,131.32)
Other Receipts '$ - $ (1,957,131.32)
Debenture Interest Expenditures 5 $ - ' $(1,957,131.32)
Interest on Project Expenditures $ 74.29" $ (1,957,202.61)
Interest on Offsite Levy Receipts $ 196.28 * $ (1,957,006.33)
Interest on Other Receipts $ - $ (1,957,006.33)
Interest on Debenture Expenditure $ - __* $ (1,957,006.33)
2020 $ (1,957,006.33)
Interest on Opening Balance 5 $ 63,602.71" $ (2,020,609.03)
Withdrawals/Applied to OSL Projects $ - $ (2,020,609.03)
Net Project Expenditures (OSL Share) In Addition to Withdrawals Applied to Projects 5 $ - $ (2,020,609.03)
OSL Receipts $ 7,231.06 $ (2,013,377.97)
Other Receipts '$ - $ (2,013,377.97)
Debenture Interest Expenditures 4 $ - " $ (2,013,377.97)
Interest on Project Expenditures $ - " $ (2,013,377.97)
Interest on Offsite Levy Receipts $ 36.16% $ (2,013,341.82)
Interest on Other Receipts $ - $ (2,013,341.82)
Interest on Debenture Expenditure $ - \$ (2,013,341.82)
D9. Development and Sanitary Infrastructure Staging Impacts
Sanitary offsite infrastructure will be constructed in staged fashion over the 25-year
development period. We have reviewed the availability of offsite levy funds to meet these
construction requirements and found that offsite levy reserve funds will not be sufficient to
pay for construction of sanitary infrastructure from time to time--front ending of
infrastructure will be required. A front-ender is the party that constructs and pays up front for
infrastructure that benefits other parties.
To compensate parties for capital they provide in front-ending offsite infrastructure
construction, a 2.09%'° interest allowance has been charged to the reserve when it is
10 The 20-year debenture rate at the Alberta Capital Finance Authority at the time of writing was ~2.09%. Historic
charge rates used in the model are 3.25% (2019-2020).
Bylaw 1531/21 Page 56 of 69
forecast to be in a negative balance. Further, a 1.00%"' interest credit has been provided to
the reserve when it is forecast to be in a positive balance. The graph and table below outline
the forecast water levy reserve balances over the 25-year development period.
If necessary, an interest staging adjustment has been applied to rates (slightly positive or
slightly negative) to ensure that the forecast reserve balance at the end of the 25-year
review period always returns to break-even (i.e., developers are not charged too much
thereby providing a windfall to the County, nor are they charged too little thereby placing an
unequitable burden on taxpayers).
Anticipated Sanitary Offsite Levy Reserve Balances
Sanitary Reserve
ok 8 8 8 8 @ 2 wy
- + N fo) oO i<e) op) N
N N N N N N N q
$(3,000,000)
° A
R
comm Lowe
$(7,000,000)
Year
"| Historic earning rates used in the model are 1.00% (2019-2020).
Bylaw 1531/21 Page 57 of 69
Anticipated Sanitary Offsite Levy Reserve Balances
Opening Balance
Year Receipts Expenditure Interest Balance
2021 $ 50,971 $ - $ (41,014) $ (2,003,384)
2022 $ - $ 3,844,548 $ (122,222) $ (5,970,154)
2023 $ 189,757 $ 516,050 §$ (131,596) $ (6,428,042)
2024 $ 333,899 §$ - $ (127,368) $ (6,221,511)
2025 $ 236,598 §$ - $ (125,085) $ (6,109,997)
2026 $ 498,044 $ - $ (117,290) $ (5,729,243)
2027 $ 364,129 $ - $ (112,131) $ (5,477,246)
2028 $ 420,776 $ - $ (105,680) $ (5,162,149)
2029 $ 729,910 $ - $ (92,634) $ (4,524,873)
2030 $ 594,173 $ - $ (82,152) $ (4,012,852)
2031 $ 494,423 $ - $ (73,535) $ (3,591,964)
2032 $ 154,527 $ - $ (71,842) $ (3,509,280)
2033 $ 159,163 $ - $ (70,017) $ (3,420,134)
2034 $ 515,295 $ - $ (60,711) $ (2,965,551)
2035 $ 619,661 $ - $ (49,029) $ (2,394,919)
2036 $ - $ - $ (50,054) $ (2,444,973)
2037 $ 411,227 $ - $ (42,505) $ (2,076,250)
2038 $ - $ - $ (43,394) $ (2,119,644)
2039 $ - $ - $ (44,301) $ (2,163,945)
2040 $ 725,532 $ - $ (30,063) $ (1,468,476)
2041 $ - $ - $ (30,691) $ (1,499,167)
2042 $ - $ - $ (31,333) $ (1,530,500)
2043 $ 1,530,500 $ - $ - $ 0
2044 $ - $ - $ - $ 0
2045 $ - $ - $ - $ 0
Bylaw 1531/21 Page 58 of 69
APPENDIX E: STORMWATER
E1. Stormwater Offsite Infrastructure
In order to support future growth, stormwater offsite infrastructure is required. The
estimated cost of this infrastructure is based upon: (a) actual construction costs to the cut-off
date, (b) future debenture interest associated with financing, and (c) future cost estimates.
Total cost is approximately $36.75 million as outlined in the table below. Actual costs,
debenture interest (if any), and cost estimates were provided by County staff. It is important
to note that these costs represent "gross" costs, of which only a portion will go to support
development during the 25-year review period. The remainder of this section outlines how
the "net" costs for development are determined.
Summary of Stormwater Offsite Infrastructure
Estimated Cost of .
Project Description ee re aos sananeeeaielina Work Yet to be cetaate Teost
Completed
|_1 [Sturgeon West Stormwater Drainage Sytem | STS OS 21356846] $ 21,356,846 |
|_2 [Sturgeon East Stormwater Drainage System | STS 12,340,541 [$12,340,541 |
| 3 [SVEast1.5kmTrunk 8,057,000] $ 3,057,000 |
| 100 [Unallocated Offsite Levies CollectedtoDec 31,2018 | $ TS
[se TS 36,748,387] $36,748,387 |
*Past expenditures include past financing expenditures (interest) if any.
*"Costs estimates provided by County staff.
***Estimates include engineering and contingencies.
***Unallocated levies to end-2018 (if any) were set-up as an individual project (#100) and credited 100% to
future development and to all offsite levy areas (see Section E5).
"Offsite infrastructure definitions are contained in Appendix F.
Bylaw 1531/21 Page 59 of 69
Sturgeon Valley Off Site Le ie a
Stormwater and Drainage Infrastructure i Sturgeon
County
: 47
*\ oe 5 Le 4 we fd
ae ae ay A > \
Subdivision Boundary
2- Sturgeon Valley East Basin Drainage Infrustructure (Option 2) fu i
2 Sturgeon Valley East and CFB Edmonton Proposed Stormwater Network l \
sci a-ring" a amen A aay Sturgeon Gounty
E2. Stormwater Offsite Infrastructure Grants & Contributions to Date
The MGA enables the County to allocate the costs of offsite infrastructure to development,
other than those costs that have been provided by way of special ear-marked grant or
contribution (i.e., contributed infrastructure). Sturgeon County has/will receive approximately
$0.00 in special ear-marked grants and contributions for stormwater offsite levy
infrastructure as shown in the table below (note, if the County receives other ear-marked
grants or contributions in the future, it will be reflected in one of the annual updates and
rates adjusted accordingly). The result is that the total reduced project estimated cost is
$36.75 million.
Bylaw 1531/21 Page 60 of 69
Special Grants and Contributions for Stormwater Offsite Infrastructure
Project Di _-- Total Project Special Provincial pexeloner Other Reduced Project
polecicscl buon Estimated Cost Grants coe Contributions Estimated Cost
ontributions
| 1 [Sturgeon West Stormwater Drainage Sytem TS 21,356,846/$ | TS 1,356,846 |
| 2 [Sturgeon East Stormwater Drainage System [$12,340,541 $ SB 12,340,541 |
[3 |SvEastt.5kmTrunk 8051 OOOH | | 8,051,000 |
[100 [Unallocated Offsite Levies CollectedtoDec 31,2018 [S$ TS
[s36,74,387/$ TS 36,748,387 |
E3. Year of Construction
The timing of construction is used to determine the impact of inflation on cost, the impact of
forecast reserve balances, and the estimate of financial oversizing (described in the Section
that follows). The County anticipates construction of offsite infrastructure as outlined in the
table below. Note, if this schedule is adjusted in the future, it will be reflected in one of the
County's annual rate/bylaw updates.
Forecast Year of Construction
| meme |
"The share of projects constructed beyond the 25-year review period are not included in rates today (see
financial oversizing in next section).
*"Project costs are inflated by 2% per annum to 2022 and 3% per annum thereafter to the year of construction.
E4. Stormwater Offsite Infrastructure Benefiting Parties
The stormwater offsite infrastructure previously outlined will benefit various parties to varying
degrees. Three potential benefiting parties were identified including:
1. Sturgeon County -- a portion of the stormwater infrastructure which is required to
service existing residents. This residual benefit is determined at the point in time
when the project is added to the bylaw (i.e., it does not fluctuate from year-to-year).
2. Other Stakeholders -- other municipalities that benefit from the infrastructure.
3. Future Development:
o Financial Oversizing -- that portion of cost (i.e., levyable stormwater
infrastructure costs) which benefits future development beyond the 25-year
review period.
o In Rates -- that portion of cost (i.e., levyable stormwater infrastructure
costs) which benefits future development within the 25-year review
period.
The table below outlines the allocation of stormwater offsite levy infrastructure costs to
benefiting parties.
Bylaw 1531/21 Page 61 of 69
Allocation of Stormwater Infrastructure to Benefiting Parties
, Developer Share
Oversizing %)
| 1 [Sturgeon West Stormwater Drainage Sytem [$21,356,846 100.0% | 00%
| 2 [Sturgeon East Stormwater Drainage System [$12,340,547 100.0% 00%
[3 |SvEast1.5kmTrunk 8051000 100% 00%
[100 [Unallocated Offsite Levies CollectedtoDec 31,2018 {S$ 100.0%
*Allocations were determined by County staff.
**Financial oversizing is determined by separating out the pro rata portion of developer cost beyond the 25-year
review period, in comparison with the anticipated year of construction. As the years move forward and rates are
updated, these additional developer costs will be included in rate calculations. For example, a project which is
slated to be constructed in year 20 of the 25-year review period will have 20% (5/25) of its costs in rates today,
and 80% (20/25) of its costs will sit beyond the 25-year review period.
E5. Existing Receipts & Adjusted Levy Cost
Using the offsite levy share percentages shown in the previous section and applying those
percentages to project costs results in an offsite levy cost of $0.00. However, prior to
allocating these costs to benefiting areas, existing offsite levy receipts collected from
developers need to be considered in determining the residual/net costs to developers.
County staff have advised that $0.00 in stormwater levies have been applied/collected as
shown in the table below. This results in an adjusted offsite levy cost of $0.00.
Offsite Levy Funds Applied to Date
. Offsite Levy .
Proj 7 OSL / Developer EO Funds Collected fae EN
roject Description Funds Collected Developer (Levy)
Cost Starting Jan 1,
to Dec 31, 2018 2019 Cost
|_1 [Sturgeon West Stormwater Drainage Sytem SS
|_2 [Sturgeon East Stormwater Drainage System TS Ss
| 3 |SVEast1.S5kmTrunk
| 100 [Unallocated Offsite Levies CollectedtoDec 31,2018 [S$ TS
ES
E6. Summary of Stormwater Offsite Levy Cost Flow-through
As shown in the figure below, the total cost for stormwater infrastructure that forms the basis
of the rate is $0.00. The cost allocations to each benefitting party are based on the
benefitting percentages shown in previous section. The offsite levy balance (due from
developers) is allocated to various benefitting areas (as described in the next section).
Bylaw 1531/21 Page 62 of 69
Total Stormwater Offsite Levy Costs
= Future Less: Levy = Off-site
(OSL Share) Receipts Balance*
are
0.00M
$0.00M $ $0.00M
= Future
Development
"Financial
Oversizing"
$36.75M
Less: Special
Project Grants & = Project = Other
Costs Contributions Balance Share
$36.75M $0.00M $36.75M $0.00M
= Existing
Development
(Muni Share)
$0.00M
Bylaw 1531/21 Page 63 of 69
E7. Stormwater Infrastructure Benefiting Areas
Net developer costs for each project have been allocated to multiple benefiting offsite levy area (see tables below).
Allocations are denoted with a "1" below applicable area numbers. Benefiting areas were determined by County staff. The
lands anticipated to develop over the 25-years in each offsite levy benefitting area are used to determine rates.
Stormwater Allocations to Benefitting Areas
SN deeded) dN ad 0 nae EE
| 1 |Sturgeon West Stormwater Drainage Sytem fT tt Patt a tata tata PT TP TP TP fata a a
| 2 [Sturgeon East Stormwater Drainage System | | | CT CT CT CE TT TT TP
|.3 [SvEastt.skmTunk
100 [Unallocated Offsite Levies Collectedto Dec 31,2018 [1 [1[1[a1[afitatiftatiftatatatatatatatatatata tata tata tata tata ta titi]
ten] romain [0 |v on wm enn nals a el ne msn an fai
|_1 |Sturgeon West Stormwater Drainage Sytem | | TT Pt Pat tat ta TT TT
| 2 [Sturgeon East Stormwater Drainage System | | | CT CT CT CT ET
[3 [Sveast1.5kmTunk
| 100 [Unallocated Offsite Levies CollectedtoDec 31,2018 [a afafatafatatatatatatatatatatatsa tata tata tsa fata fa fafa fafa ti |
tem] eon [vv vl ve nel nnn wl el nan [anes nanan nan
|_1 |Sturgeon West Stormwater Drainage Sytem | | TT
|_2 [Sturgeon East Stormwater Drainage System | | TT Pt fat tat fat TP TT a a a
| 3 [SvEast1.SkmTrunk EC i i i
| 100 [Unallocated Offsite Levies Collectedto Dec 31,2018 | 1/1] afaia}aftatatasfatatayatatafatatafata fata ta fata tata tata fads fa |
ten[ nmin [os [ln nanan [nanan sane seal
|_1 |Sturgeon West Stormwater Drainage Sytem | CT CT CT CT
|_2 [Sturgeon East Stormwater Drainage System | 11 4 Tata | | fT Pata fata fT oT fT ft tT tT ft |
|.3 |SvEast1.SkmTrunk tt tt | | TT tt aft tt fT
| 100 [Unallocated Offsite Levies Collected to Dec 31,2018 | 1/4 /a[afafafaftatafafatatafatatafatatatata ta fatat ata fata ta fafa fa |
Bylaw 1531/21 Page 64 of 69
E8. Reserve Balance
At December 31°', 2020 the stormwater reserve balance was $118.955.57. This amount
takes into consideration expenditures and front-ending repayments up to end-2020. This
balance assumes that cash in the reserve is excess of this amount is withdrawn and used to
pay down front-ending obligations owed to the County.
Stormwater Offsite Levy Reserve Balance
Description Dr Cr Balance
Offsite Levy Expenditures (incl loan interest if any) to December 31, 2018 $ - $ -
Allocated Receipts to December 31, 2018 $ - $ -
Unallocated Receipts to December 31, 2018 $ 116,611.68 $ 116,611.68
$ 116,611.68
Closing Balance 2018 $ 116,611.68
2019 $ 116,611.68
Interest on Opening Balance '$ 1,166.12™ $ 117,777.79 |
Withdrawals/Applied to OSL Projects $ - $ 117,777.79
Net Project Expenditures (OSL Share) In Addition to Withdrawals Applied to Projects 5 $ - $ 117,777.79 |
OSL Receipts $ - $ 117,777.79
Other Receipts "$ - $ 117,777.79
Debenture Interest Expenditures N $ - "$117,777.79
Interest on Project Expenditures $ - "$117,777.79
Interest on Offsite Levy Receipts $ - $ 117,777.79
Interest on Other Receipts $ - | $ 117,777.79
Interest on Debenture Expenditure $ - "\$ 117,777.79
2020 $ 117,777.79
Interest on Opening Balance '¢§ 1,177.78% $ 118,955.57 |
Withdrawals/Applied to OSL Projects $ - $ 118,955.57
Net Project Expenditures (OSL Share) In Addition to Withdrawals Applied to Projects hi $ - $ 118,955.57 |
OSL Receipts $ - $ 118,955.57
Other Receipts '$ - $ 118,955.57
Debenture Interest Expenditures bh $ - "$ 118,955.57
Interest on Project Expenditures $ - "$118,955.57
Interest on Offsite Levy Receipts $ -_\ $ 118,955.57
Interest on Other Receipts $ - 4 $ 118,955.57
Interest on Debenture Expenditure $ - \$ 118,955.57
E9. Development and Stormwater Infrastructure Staging Impacts
Stormwater offsite infrastructure will be constructed in staged fashion over the 25-year
development period.
To compensate parties for capital they provide in front-ending offsite infrastructure
construction, a 2.09%"? interest allowance has been charged to the reserve when it is
forecast to be in a negative balance. Further, a 1.00%"* interest credit has been provided to
the reserve when it is forecast to be in a positive balance. The graph and table below outline
the forecast water levy reserve balances over the 25-year development period.
If necessary, an interest staging adjustment has been applied to rates (slightly positive or
slightly negative) to ensure that the forecast reserve balance at the end of the 25-year
12 The 20-year debenture rate at the Alberta Capital Finance Authority at the time of writing was ~2.09%. Historic
charge rates used in the model are 3.25% (2019-2020).
13 Historic earning rates used in the model are 1.00% (2019-2020).
Bylaw 1531/21 Page 65 of 69
review period always returns to break-even (i.e., developers are not charged too much
thereby providing a windfall to the County, nor are they charged too little thereby placing an
unequitable burden on taxpayers) '*.
Anticipated Stormwater Offsite Levy Reserve Balances
Storm Reserve
$180,000
$160,000
$140,000
$100,000
° $80,000
$60,000
$40,000
$20,000
$-
s & && 8 vr 8 8 ¢ &
xa a & & A A KR Aa A
14 In this case, the stormwater account cannot reach zero at the end of the 25-year review period because there
are no projects within the 25-year review period and, therefore, no rates currently.
Bylaw 1531/21 Page 66 of 69
Anticipated Stormwater Offsite Levy Reserve Balances
Opening Balance
Year Receipts Expenditure Interest Balance
2021 $ - $ - $ 1,190 $ 120,145
2022 $ - $ - $ 1,201 $ 121,347
2023 $ - $ - $ 1,213 $ 122,560
2024 $ - $ - $ 1,226 $ 123,786
2025 $ - $ - $ 1,238 $ 125,024
2026 $ - $ - $ 1,250 $ 126,274
2027 $ - $ - $ 1,263 $ 127,536
2028 $ - $ - $ 1,275 $ 128,812
2029 $ - $ - $ 1,288 $ 130,100
2030 $ - $ - $ 1,301 $ 131,401
2031 $ - $ - $ 1,314 $ 132,715
2032 $ - $ - $ 1,327 $ 134,042
2033 $ - $ - $ 1,340 $ 135,383
2034 $ - $ - $ 1,354 $ 136,736
2035 $ - $ - $ 1,367 $ 138,104
2036 $ - $ - $ 1,381 $ 139,485
2037 $ - $ - $ 1,395 $ 140,880
2038 $ - $ - $ 1,409 $ 142,288
2039 $ - $ - $ 1,423 $ 143,711
2040 $ - $ - $ 1,437 $ 145,148
2041 $ - $ - $ 1,451 $ 146,600
2042 $ - $ - $ 1,466 $ 148,066
2043 $ - $ - $ 1,481 $ 149,547
2044 $ - $ - $ 1,495 $ 151,042
2045 $ - $ - $ 1,510 $ 152,552
Bylaw 1531/21 Page 67 of 69
APPENDIX F: OFFSITE INFRASTRUCTURE DEFINITIONS
F1. Roadways
Sturgeon County maintains a roadway classification system consistent with the definition of
arterial, collector, and local roads contained in the Transportation Association of Canada's
Manual of Geometric Design Standards for Canadian Roads.
Arterial Roadways are typically designed as free flowing, with controlled intersection spacing
and providing connectivity to the Provincial highway network therefore, Arterials are
considered a benefit to the County at large. The cost of such facilities is then assessed
proportionately against all benefiting lands through an offsite levy charge.
Collector roads are intended to address interregional travel demands, as secondary
connections to the Provincial highway network and origin -- destinations. These roadways
are typically the second highest volume of traffic which is usually between 200 vehicles per
day and 500 vehicles per day and are typically paved. Collectors are considered a benefit to
the County at large. The cost of such facilities is then assessed proportionately against all
benefiting lands through an offsite levy charge.
Local roads are any roadway which is not classified as either an Arterial, or Collector. Local
roads within new development area are constructed by developers, at their cost, in
conjunction with the developments.
F2. Water
Sturgeon County's philosophy regarding its waterworks system improvements is that
development is responsible, at their cost, for the construction of all new distribution mains up
to and including 300 mm diameter in size. Primary feeder mains (water mains larger then
300 mm diameter), treated water, storage reservoirs, pumping facilities and water quality
monitoring stations benefit the entire water distribution system and thus, the cost of such
facilities is then assessed proportionately against all benefiting lands through an offsite levy
charge.
Capital improvements to the water supply system are the responsibility of EPCOR. The cost
of such improvements are assessed proportionately against the County through the
Commission's water utility rate structure and these costs are not included in the County's
offsite levy charge.
F3. Sanitary
The sanitary sewage collection system in Sturgeon County provides wastewater servicing to
its residential and non-residential customers through local collection, conveyance, and
treatment via wastewater lagoons, or through the Alberta Capital Region Wastewater
Commission (ACRWC) infrastructure. The communities / locations serviced by the ACRWC
include: Cardiff, Sturgeon Valley, Sturgeon Industrial Park, and the Alberta Industrial
Heartland.
Sanitary Sewer systems typically have a hierarchical classification based primarily upon the
Bylaw 1531/21 Page 68 of 69
size of diameter of pipe and the area they serve. In the case of the sanitary sewer system in
Sturgeon County, laterals (locals) are typically 200 mm and 250 mm diameter in size,
collectors are 300 mm and 375 mm diameter in size, and trunks are sewer pipe systems
greater than 375 mm in diameter.
Trunks, forcemains, and lift stations, benefit the entire sanitary collection system. The cost of
such facilities is then assessed proportionately against all benefiting lands through an offsite
levy charge.
Development shall be fully responsible for the construction of lateral and collectors for the
sanitary sewer system at their entire cost.
Capital improvements to the Regional Treatment Plant and Transmission Line are the
responsibility of the ACRWC of which Sturgeon County is a member. The cost of such
capital improvements are assessed proportionately against Sturgeon County through the
ACRWC sewage utility rate structure and are not included in the Sturgeon County offsite
levy charge.
F4. Stormwater
Sturgeon County's storm drainage networks primarily consists of a system of drainage
ditches, swales and culverts. The networks also includes sewer pipes in some residential
subdivisions, and a few stormwater management facilities. Most drainage from the Sturgeon
Valley flows into the Sturgeon River, and the majority of the existing residential
developments rely on road ditches, drainage channels and natural swales to convey runoff
to the River.
Storm drainage networks have a hierarchical classification based primarily upon the size of
diameter of pipe. Sturgeon County storm drainage networks consist of laterals between 300
mm and 1050 mm diameter in size which discharges into a trunk line. Trunk lines are
greater than 1200 mm in diameter (or equivalent to in capacity, e.g. 2 x 600 mm) and
discharge into an outfall. Outfalls can be any structure (man-made or natural) where
stormwater is discharged into a river.
Trunks, forcemains, lift stations, and outfalls benefit the entire collection system and the cost
of such facilities are assessed proportionately against all benefiting land through an offsite
levy charge.
Development shall be fully responsible for the construction of laterals for the storm sewer
system at their entire cost.
For rural cross-sections that utilize overland ditching, drainage corridors will be established
and the cost of certain rural ditches will be funded by offsite levy charge. Development shall
be fully responsible for the construction of other ditches, ponds, etc for the storm sewer
system at their entire cost.
Bylaw 1531/21 Page 69 of 69
APPENDIX G: COMPARISON OF RATES
The table below compares the new Sturgeon Valley offsite levy rates to residential rates in
other municipalities.
Strathcona County" (roads, water, sewer, storm) $9,600 -- 73,700 (2018)
City of Beaumont* Residential (roads, water, sewer) $53,900 - $77,600 (2019)
City of Fort Saskatchewan (West Park) (roads, water, sewer, storm) $62.900 - $76,700 (2017)
Town of Stony Plain (roads, water, sewer, recreation) In Process (2021)
Parkland County* (roads, water, sewer, storm) $82,500 (2018)
Sturgeon County -- Sturgeon Valley* (roads, water, sewer) $82,794
City of Spruce Grove* (roads, water, sewer) $83,000 (2020)
Town of Calmar* (roads, water, sewer) $95,700 (2020)
City of Fort Saskatchewan (South Fort) (roads, water, sewer, storm) $104,100 (2017)
Leduc County* - Nisku (roads, water, sewer) $109,000 (2017)
Town of Devon* (roads, water, sewer) $119,900 (2019)
Town of High River (roads, water, sewer) $130,000 (2013)
City of Leduc* (roads, water, sewer) $133,100 (2020)
City of St. Albert* (roads, water, sewer, storm) +$300,000 (2020)
City of Edmonton (roads, water, sewer, storm) +$300,000
City of Calgary (roads, water, sewer, storm, rec, stabilization) +$350,000
*CORVUS clients
*"Information adapted from online sources as at Jan 1°, 2021.