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# Development Cost Charges (DCCs) Bylaw Update
## Development Cost Charges (DCCs)
Development Cost Charges (DCCs) are fees that municipalities charge developers of subdivisions or new buildings, these fees help fund the infrastructure required to support the new development. The fees are placed in reserve funds to contribute to future capital projects identified within the Town's DCC Program.
DCCs help facilitate development by providing a method to finance some of the capital projects needed to keep up with growth.
* + Help ensure growth pays for growth;
+ Meet the beneficiary pay principal (developers are charged in proportion to how much the development benefits);
+ Provide greater certainty to developers;
+ Fairly distribute growth costs across developments;
+ Help communities save for growth-related infrastructure; and
+ Reduce the potential for tax burden on residents.
* + Water
+ Sanitary sewer
+ Storm drainage
+ Transportation
+ Parkland and limited park development
+ Solid waste and recycling facilities
+ Fire halls and police stations
+ Option in a Resort Region: Employee housing
## Background: DCCs in Golden
The Town's *current Development Cost Charges Bylaw No. 1304*was adopted in 2012, and includes DCCs for water and sewer.
* The reports below appropriately contain either Class C or D cost estimates that have been prepared based on high-level conceptual planning only. The contingency allowance carried in all report estimates is 35% with a 15% factor identified for engineering.
The Association for Professional Engineers and Geoscientists of BC states the following with respect to these types of cost estimates:
*Class C estimate (±25-40%): An estimate prepared with limited site information and based on probable conditions affecting the project. It represents the summation of all identifiable project elemental costs and is used for program planning, to establish a more specific definition of client needs and to obtain preliminary project approval.*
*Class D estimate (±50%): A preliminary estimate which, due to little or no site information, indicates the approximate magnitude of cost of the proposed project, based on the client's broad requirements. This overall cost estimate may be derived from lump sum or unit costs for a similar project. It may be used in developing long term capital plans and for preliminary discussion of proposed capital projects.*
Cost estimates provided for the water booster stations are based on full station replacements vs renovations that may provide for increase pumping capacity.
**View the full staff report presented to Council on April 15, 2025.**
###### **To better inform the Town and the development community the following studies have been completed and will inform the new DCC bylaw:**
* Golden Transportation Plan (April 26, 2023)
* Active Transportation Network Plan (March 31, 2023)
* Sanitary Sewer Model and Master Plan (June 2025)
* Sewage Treatment Plant Upgrades Feasibility Study (February 18, 2025 Council meeting - recording available on YouTube)
* Integrated Water Strategy (May 2025)
The DCC bylaw update will continue to include DCCs for water and sewer and it is anticipated the new bylaw will also include new DCC categories: transportation and parks.
Based on these plans and studies, the Town anticipates significant increases in its DCCs rates.
###### The following materials have been presented to Council related to the DCC process:
* DCC Bylaw: Rate Review Presentation (February 25, 2025 Standing Committee Meeting on Finance - recording available on YouTube)
* DCC Bylaw: Rate Review Presentation Part 2 (May 6, 2025 Standing Committee Meeting on Finance - recording available on YouTube)
* MEMO: 12th St S Lift station, pipes, Latecomer and DCCs (circulated July 8, 2025 to be included in July 15 Council Regular Open Council Agenda)
* Staff report - 12th St. S Lift Station Pumps and Pipes Capacity Increase Front-ending (October 2025)
* Staff report - DCC What We Heard Report and Direction (April 7, 2026)
* DCC Presentation and Council Resolution - DCC scenario and rates selected (June 25, 2026)
* **Latest news:** Staff report - Bylaw 1517, 2026 Development Cost Charges for 1st and 2nd reading (July 21, 2026) Readings were given by Council and next step the Province is conducting a preliminary review of the bylaw.
* + On January 19, a stakeholder session was held for developers and builders. This session included a presentation, Q&A and opportunity to provide feedback on the proposed changes.
- View the presentation.
- View the recorded meeting.
+ From January 19 to February 2, residents were invited to take the online DCC survey to provide input on how growth costs are shared between development and existing taxpayers. Council reviewed the What We Heard Report on April 7, 2026 and provided staff direction to bring back scenarios with the following adjustments:
- Reduce DCC fees by deferring sewage treatment plant projects, which totaled $16,523,000 by $5 million and $10 million; and
- Options to consider a per square meter residential rate (rather than the proposed flat fee rate structure).
**In-stream application protection**
Legislation protects in-stream applications which include:
* Subdivision applications **or** building permit applications; and
* Precursor applications (rezoning or development permit);
To qualify for in-stream protection (i.e. paying the current 2012 rates) the developer must:
1. Submit a complete application to the Town, with fees paid, **before** the adoption of the new DCC bylaw (the new DCC rates will not be in effect until Q3 2025 or later); **and**
2. Within one year of bylaw adoption:
1. final subdivision approval must occur; or
2. building permit issuance must occur.
## DCC Bylaw Timeline
The Town of Golden is currently working on an updated DCC Bylaw. The following timeline is a tentative schedule, subject to change.
* **Phase 1 - Background**
**September - February 2025**
+ Review Master Plans
+ Prepare DCC Program Capital Projects
+ Prepare the funding approach
**Phase 2 - DCC Calculation**
**March - April 2025**
+ Prepare a DCC financial model and draft rates and present to Council (occurred February 25).
+ Return to Council in mid-March - April.
+ Prepare a backgrounder report.
**Phase 3 - Consultation and Engagement**
**January - July/August 2026**
+ Stakeholder consultation and engagement.
- This will include information on other development-related infrastructure projects.
+ Prepare what we heard report
+ Review/Revise DCC rates
+ Prepare Bylaw for consideration of Town Council readings.
**Phase 4 - Provincial Approvals**
**August - September/October 2026**
+ Approval by the Inspector of Municipalities
+ Town Council Adoption
## Related Links
* News Release: Town of Golden working on updates to the Development Cost Charge ...