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Development Cost Charges
# **Development Cost Charges and Amenity Cost Charges**
Development Cost Charges (DCCs) are a finance tool that help a municipality recover the costs of infrastructure needed for development and population growth. DCCs help a municipality recover costs related to sewer, water, drainage, parks, roads, solid waste, recycling, fire protection and police facilities. DCCs are based on the principle of sharing the costs of infrastructure between existing taxpayers and new developments. For more background information about DCCs please visit the Province of British Columbia's DCC webpage.
Amenity Cost Charges (ACCs) help a municipality recover the costs of amenities that provide social, cultural, heritage, recreational, or environmental benefits to a community. The amenity projects must benefit current and future users, and must be needed to accommodate development and population growth. For more background information about ACCs please visit the Province of British Columbia's ACC webpage.
In general, DCC and ACC fees are paid by development applicants at the time of subdivision approval or the issuance of a building permits.
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## Current City DCC Bylaw
* ### Development Cost Charge Bylaw No. 7252
"Development Cost Charge Bylaw 2017 No. 7252" is the City's current DCC bylaw. An information sheet about Bylaw No. 7252 is available at this link.
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## Applicable RDN DCC Bylaws
* ### RDN Solid Waste and Recycling Facilities Development Cost Charge Bylaw No. 1927
On 2026-SEP-08 the Regional District of Nanaimo (RDN) adopted the "Regional District of Nanaimo Solid Waste and Recycling Facilities Development Cost Charge Bylaw No. 1927, 2025". This bylaw imposes DCC fees at the time of subdivision approval and building permit issuance in the Regional District, including all properties in the City of Nanaimo.
Please see Bylaw No. 1927 to review the applicable DCC fees.
For more information about Bylaw No. 1927, please contact the Regional District of Nanaimo: [email protected]
**Is there 'in-stream' protection for applications once a new DCC bylaw is adopted?**
Section 568 of the *Local Government Act* provides for in-stream protection from DCC increases for a period of 12 months following adoption of a DCC Bylaw. The in-stream protection applies to complete applications for building permits, development permits, or rezonings that are already in process at the time of adoption of the DCC Bylaw. To be considered in-stream a building permit, development permit or rezoning application must include all required items and applicable fees paid. Also, the application cannot already be approved (or rezoning bylaw adopted) by the date of adoption of the DCC Bylaw.
* ### RDN Southern Community Sewer Service Area Development Cost Charge Bylaw No. 1547
New development in the City of Nanaimo can also be subject to the Regional District of Nanaimo (RDN) "Southern Community Sewer Service Area Development Cost Charges Bylaw No. 1547, 2009".
The Bylaw No. 1547 applies a DCC rate at the time of subdivision approval for new single family lots and mobile home park lots. Also, Bylaw No. 1547 applies a DCC rate at the time of building permit issuance for residential, commercial, industrial, campground and institutional development.
For more information about Bylaw No. 1547, please contact the Regional District of Nanaimo: [email protected]
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## Future City DCC/ACC Bylaws
* ### Development Cost Charge Bylaw No. 7438
Council has given three readings to "City of Nanaimo Development Cost Charges Bylaw 2026, No. 7438", and will consider final reading of this bylaw in 2027-JAN. This means that after 2027-JAN the rates in DCC Bylaw No. 7438 may apply to your subdivision or building permit application.
**Why does the City need a new DCC Bylaw?**
City Plan (Official Community Plan) anticipates growth of 40,000 people over the next 25 years; growth which relies on infrastructure and City services. The City's DCC bylaw was last updated seven years ago, and the revenue collected falls short of what is needed to build the necessary infrastructure to maintain service delivery in Nanaimo. More information about the project can be found at this link.
* ### South Nanaimo Area Development Cost Charge Bylaw No. 7439
On 2026-APR-20 Council gave three readings to "South Nanaimo Area-specific Transportation Development Cost Charge Bylaw 2026, No. 7439", and Council will consider final reading of this bylaw in 2027-JAN. This means that after 2027-JAN the rates in DCC Bylaw No. 7439 may be an additional charge at the time of subdivision approval or building permit issuance.
* ### Development Cost Charge Reduction Bylaw No. 7449
On 2026-APR-20 Council gave three readings to "City of Nanaimo Development Cost Charge Reduction
Bylaw 2026, No. 7449", and Council will consider final reading of this bylaw in 2027-JAN. When adopted, the DCC Reduction Bylaw No. 7449 provides the opportunity to reduce the total DCC fee by 50% for each not-for-profit rental dwelling unit and supportive housing unit that meets the following eligibility criteria:
+ The not-for-profit rental dwelling unit or supportive housing unit must be owned or leased by a government agency or a registered non-profit society.
+ The not-for-profit rental dwelling unit or supportive housing unit must be rented for a monthly rate that is less than the current average market rent rate (for a comparable size unit) published by the Canada Mortgage and Housing Corporation for the City of Nanaimo.
+ An operating agreement must be in place to manage the not-for-profit rental dwelling unit and supportive housing unit, and the agreement must be with a government agency or registered non-profit society.
+ The commitment to the not-for-profit rental dwelling unit and supportive housing unit must be for a minimum of sixty (60) years.
+ A covenant under section 219 of the *Land Title Act*, and a housing agreement under section 483 of the *Local Government Act*, must be registered on the title of the land, and must have conditions to secure the eligibility criteria listed above. For information about how to enter into a housing agreement with the City, go to this link.
* ### Amenity Cost Charge Bylaw No. 7440
On 2026-MAY-04 Council adopted the "City of Nanaimo Amenity Cost Charges Bylaw 2026,
No. 7440". Effective **2029-JAN-01**, an Amenity Cost Charge will be required to be paid at the time of subdivision approval or the issuance of a building permit.
ACC Bylaw No. 7440 authorizes the City to use the ACC reserve funds collected for the following amenities:
+ Improvements and expansions as outlined in the Beban Park Master Plan;
+ Improvements and expansions in the Stadium District; and,
+ A community recreation facility in the South Gate Urban Centre.
**Is there 'in-stream' protection for applications once a new DCC bylaw is adopted?**
Section 568 of the *Local Government Act* provides for in-stream protection from DCC increases for a period of 12 months following adoption of a DCC Bylaw. The in-stream protection applies to complete applications for building permits, development permits, or rezonings that are already in process at the time of adoption of the DCC Bylaw. To be considered in-stream a building permit, development permit or rezoning application must include all required items and applicable fees paid. Also, the application cannot already be approved (or rezoning bylaw adopted) by the date of adoption of the DCC Bylaw.
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