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The Corporation of the City of Cornwall
Regular Meeting of Council
By-law 2023-027
Department: Financial Services
Division: Finance
By-law Number: 2023-027
Report Number: 2023-38-Financial Services
Meeting Date: March 27, 2023
Subject: By-Law 2023-027 for the Imposition of City-Wide Development
Charges
WHEREAS the City of Cornwall will experience growth through development and re-
development;
AND WHEREAS development and re-development requires the provision of physical
and social services by the City of Cornwall;
AND WHEREAS Council desires to ensure that the capital cost of meeting growth-
related demands for or burden on municipal services does not place an excessive
financial burden on the City of Cornwall or its existing ratepayers while at the same time
ensuring new ratepayers contribute no more than the net capital cost attributable to
providing the current level of municipal services;
AND WHEREAS the Development Charges Act, 1997 (the "Act") provides that the
council of a municipality may by by-law impose development charges against land to
pay for increased capital costs required because of increased needs for services;
AND WHEREAS a development charge background study has been completed in
accordance with the Act;
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AND WHEREAS the Council of The Corporation of the City of Cornwall has given
notice of and held a public meeting on the 27th day of February, 2023 in accordance
with the Act and the regulations thereto;
NOW THEREFORE THE COUNCIL OF THE CORPORATION OF THE CITY OF
CORNWALL ENACTS AS FOLLOWS:
1. INTERPRETATION
1.1. In this By-law the following items shall have the corresponding meanings:
"Act" means the Development Charges Act, as amended, or any successor
thereof;
"agricultural use" means a bona fide farming operation, including sod farm, the
breeding and boarding of horses, and greenhouses;
"apartment unit" means a building containing 4 or more dwelling units which have
a common entrance from the street level, and the occupants of which have the
right to use common elements, including units defined as Assisted Care Dwelling
Units, Despite the foregoing, an apartment dwelling includes stacked townhouse
dwellings;
"assisted care dwelling unit" means a unit in a residential building not otherwise
defined in this bylaw containing self-contained dwelling units which may include
culinary facilities that are designed to accommodate persons with specific needs
and where meals are provided within a common eating area;
"bedroom" means a room which can be used as a sleeping quarters but does not
include a kitchen, bathroom, living room or dining room, but does include a den
or study;
"board of education" has the same meaning as set out in the Education Act,
R.S.O. 19990, Chap. E.2, as amended, or any successor thereof,
"Building Code Act" means the Building Code Act, S.O. 1992, as amended, or
any successor thereof:
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"capital cost" means costs incurred or proposed to be incurred by the City or a
local board thereof directly or by others on behalf of and as authorized by the
City or local board,
(a) to acquire land or an interest in land, including a leasehold interest,
(b) to improve land,
(c) to acquire, lease, construct or improve buildings and structures,
(d) to acquire, construct or improve facilities including,
(i) furniture and equipment other than computer equipment, and
(ii) material acquired for circulation, reference or information purposes
by a library board within the meaning of the Public Libraries Act;
(iii) rolling stock with an estimated useful life of seven years or more;
and
(iv) including interest on borrowing for those expenditures under
clauses (a) to (d) above that are growth-related;
"commercial" means any use of land, structures or buildings for the purposes of
buying or selling commodities and services, but does not include industrial or
agricultural uses, but does include hotels, motels, motor inns and boarding,
lodging and rooming houses;
"Council" means the Council of the City of Cornwall;
"City" means the area within the geographic limits of the City of Cornwall:
"development" means the construction, erection or placing of one or more
buildings or structures on land or the making of an addition or alteration to a
building or structure that the effect of increasing the size of usability thereof, and
includes redevelopment;
"development charge" means a charge imposed with respect to this By-law;
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"dwelling unit" means one or more rooms used, designed or intended to be used
as a residence and which has access to culinary and or sanitary facilities;
"existing" means the number, use and size that existed as of the date this by-law
was passed;
"farm building" means that part of a bona fide farming operation encompassing
barns, silos and other ancillary development to an agricultural use, but excluding
a residential use;
"gross floor area" means:
(a) in the case of a residential building or structure, the total area of all floors
above grade of a dwelling unit measured between the outside surfaces of
exterior walls or between the outside surfaces of exterior walls and the
centre line of party walls dividing the dwelling unit from any other dwelling
unit or other portion of a building; and
(b) in the case of a non-residential building or structure, or in the case of a
mixed-use building or structure in respect of the non-residential portion
thereof, the total area of all building floors above or below grade measured
between the outside surfaces of the exterior walls, or between the outside
surfaces of exterior walls and the centre line of party walls dividing a non-
residential use and a residential use, except for:
(i) a room or enclosed area within the building or structure above or
below that is used exclusively for the accommodation of heating,
cooling, ventilating, electrical, mechanical or telecommunications
equipment that service the building:
(ii) loading facilities above or below grade; and
(ili) a part of the building or structure below grade that is used for the
parking of motor vehicles or for storage or other accessory use;
"industrial" means lands, buildings or structures used or designed or intended for
use for manufacturing, processing, fabricating or assembly of raw goods,
warehousing or bulk storage of goods, distribution centres, and includes office
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uses and the sale of commodities to the general public where such uses are
accessory to an industrial use but does not include the sale of commodities to the
general public through a warehouse club;
"institutional development" means development of a building or structure
intended for use,
(a) asa long-term care home within the meaning of subsection 2 (1) of the
Long-Term Care Homes Act, 2007:
(6) as aretirement home within the meaning of subsection 2 (1) of the
Retirement Homes Act, 2010;
(c) by any of the following post-secondary institutions for the objects of the
institutions:
(i) a university in Ontario that receives direct, regular and ongoing
operating funding from the Government of Ontario;
(ii) A college or university federated or affiliated with a university
described in subclause 1.19.3.2; or
(iii) An Indigenous Institute prescribed for the purposes of section 6 of
the Indigenous Institutes Act, 2017;
(d) asamemorial home, clubhouse or athletic grounds by an Ontario branch
of the Royal Canadian Legion; or
(e) asa hospice to provide end of life care.
"Local Board" means a school board, public utility, commission, transportation
commission, public library board, board of park management, local board of
health, board of commissioners of police, planning board, or any other board,
commission, committee, body or local authority established or exercising any
power or authority under any general or special Act with respect to any of the
affairs or purposes, including school purposes, of the City of Cornwall or any part
or parts thereof;
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"local services" means those services, facilities or things which are under the
jurisdiction of the City of Cornwall and are related to a plan of subdivision or
within the area to which the plan relates in respect of the lands under sections
41, 51 or 53 of the Planning Act, R.S.O. 19990, Chap. P.13, as amended, or any
successor thereof;
"multiple dwellings" means all dwellings other than single-detached, semi-
detached and apartment unit dwellings;
"City" means the Corporation of the City of Cornwall:
"Non-profit housing development" means development of a building or structure
intended for use as residential premises by,
(a) acorporation without share capital to which the Corporations Act, 2010
applies, that is in good standing under that Act and whose primary
objective is to provide housing;
(b) | acorporation without share capital to which the Canada Not-for-profit
Corporations Act applies, that is in good standing under that Act and
whose primary objective is to provide housing; or
(c) anon-profit housing co-operative that is in good standing under the Co-
operative Corporations Act.
"non-residential use" means a building or structure of any kind whatsoever used,
designed or intended to be used for other than a residential use;
"Official Plan" means the Official Plan adopted for the City, as amended and
approved;
"Owner" means the owner of land or a person who has made application for an
approval for the development of land upon which a development charge is
imposed'
"place of worship" means that part of a building or structure that is exempt from
taxation as a place of worship under the Assessment Act, R.S.O. 1990, Chap.
A.31, as amended, or any successor thereof;
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"Rate" means the interest rate established weekly by the Bank of Canada based
on Treasury Bills having a term of 91 days;
"regulation" means any regulation made pursuant to the Act;
"rental housing" means development of a building or structure with four or more
dwelling units all of which are intended for use as rented residential premises;
"residential use" means the use of a building or structure or portion thereof for
one or more dwelling units. This also includes a dwelling unit on land that is
used for an agricultural use;
"row dwelling" means a building containing three or more attached dwelling units
in a single row, each of which dwelling units has an independent entrance from
the outside and is vertically separated from any abutting dwelling unit;
"semi-detached dwelling" means a dwelling unit in a residential building
consisting of two dwelling units having one vertical wall or one horizontal wall, but
not other parts, attached or another dwelling unit where the residential unit are
not connected by an interior corridor;
"service" means a service designated in section 2.1 of this By-law, and "services"
shall have a corresponding meaning;
"servicing agreement" means an agreement between a landowner and the City
relative to the provision of municipal services to specified land within the City;
"single detached dwelling unit" means a residential building consisting of one
dwelling unit and not attached to another structure;
"stacked townhouse" means a building, other than a duplex, row dwelling, or
back-to-back townhouse, containing at least 3 dwelling units; each dwelling unit
separated from the other vertically and/or horizontally and each dwelling unit
having a separate entrance to grade;
"special care dwelling unit" means a building not otherwise defined herein
containing more than four dwelling units: where the occupants have the right to
use in common, halls, stairs, yards, common room and accessory buildings;
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which dwelling units may or may not have exclusive sanitary and/or culinary
facilities; that is designed to accommodate individuals with specific needs, where
meals are provided within the development on a regular basis and includes a
bedroom, student residence, retirement home and lodge, nursing home, granny
flat, accessory dwelling and group home.
2. DESIGNATION OF SERVICES
2.1.' The categories of services for which development charges are imposed under
this By-law are as follows:
(a) | Services Related to a Highway;
(b) Fire Protection Services;
(c) Parks and Recreation Services;
(d) Library Services;
(e) Ambulance Services;
(f) Waste Diversion Services;
(g) Water Services:
(h) Wastewater Services; and
(i) Transit Services.
3. APPLICATION OF BY-LAW RULES
3.1. Development charges shall be payable in the amounts set out in this By-law
where:
(a) the development of the lands requires any of the approvals set out in
subsection 3.4 (a).
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Area to Which By-law Applies
3.2 Subject to section 3.3, this by-law applies to all lands in the City of Cornwall
whether or not the land or use thereof is exempt from taxation under section 13
or the Assessment Act.
3.3. | Notwithstanding section 3.2 above, this by-law shall not apply to lands that are
owned by and/or used for the purposes of:
(a) the City or a local board thereof:
(6) aboard of education;
(c) the Corporation of the County of Stormont, Dundas and Glengarry or a
local board thereof; or
(d) Landed vested in or leased to a university that receives regular and
ongoing operating funds from the government for the purposes of post-
secondary education if the development is intended to be occupied and
used by the university.
3.4 Approvals for Development
(a) | Development charges shall be imposed on all lands, buildings or
structures that are developed for residential or non-residential uses if the
development requires:
(i) the passing of a zoning by-law or of an amendment to a zoning
by-law under section 34 of the Planning Act;
(ii) the approval of a minor variance under section 45 of the Planning
Act;
(iii) @ Conveyance of land to which a by-law passed under subsection
50 (7) of the Planning Act applies;
(iv) the approval of a plan of subdivision under section 51 of the
Planning Act;
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(v) aconsent under section 53 of the Planning Act;
(vi) the approval of a description under section 50 of the
Condominium Act, R.S.O. 1990, Chap. C.26, as amended, or any
successor thereof; or
(vii) the issuing of a permit under the Building Code Act in relation to a
building or structure.
(b) No more than one development charge for services designated in section
2.1 shall be imposed upon any lands, buildings or structures to which this
By-law applies even though two or more of the actions described in
subsection 3.4 (a) are required before the lands, buildings or structures
can be developed.
(c) Despite subsection 3.4 (b), if two or more of the actions described in
subsection 3.4 (a) occur at different times, additional development
charges shall be imposed if the subsequent action has the effect or
increasing the need for services.
Exemptions
Exemptions for Residential Units
3.5 Notwithstanding the provisions of this By-law, development charges shall not be
imposed with respect to:
(a) an enlargement to an existing dwelling unit:
(b) | asecond residential unit in an existing detached house, semi-detached
house or rowhouse on a parcel of land on which residential use, other
than ancillary residential use, is permitted, if all buildings and structures
ancillary to the existing detached house, semi-detached house or
rowhouse cumulatively contain no more than one residential unit;
(c) a third residential unit in an existing detached house, semi-detached
house or rowhouse on a parcel of land on which residential use, other
than ancillary residential use, is permitted, if no building or structure
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ancillary to the existing detached house, semi-detached house or
rowhouse contains any residential units;
(d) one residential unit in a building or structure ancillary to an existing
detached house, semi-detached house or rowhouse on a parcel of urban
residential land, if the existing detached house, semi-detached house or
rowhouse contains no more than two residential units and no other
building or structure ancillary to the existing detached house, semi-
detached house or rowhouse contains any residential units; or
(e) in an existing rental residential building, which contains four or more
residential units, the creation of the greater of one residential unit or one
per cent of the existing residential units.
3.6 Notwithstanding the provisions of this By-law, development charges shall not be
imposed with respect to the creation of additional dwelling units in proposed new
residential buildings, including structures ancillary to dwellings, subject to the
following restrictions:
(a) Asecond residential unit in a new detached house, semi-detached house
or rowhouse on a parcel of land on which residential use, other than
ancillary residential use, is permitted, if all buildings and structures
ancillary to the new detached house, semi-detached house or rowhouse
cumulatively will contain no more than one residential unit;
(b) A third residential unit in a new detached house, semi-detached house or
rowhouse on a parcel of land on which residential use, other than ancillary
residential use, is permitted, if no building or structure ancillary to the new
detached house, semi-detached house or rowhouse contains any
residential units; or
(c) One residential unit in a building or structure ancillary to a new detached
house, semi-detached house or rowhouse on a parcel of urban residential
land, if the new detached house, semi-detached house or rowhouse
contains no more than two residential units and no other building or
structure ancillary to the new detached house, semi-detached house or
rowhouse contains any residential units.
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Exemption for Industrial Development:
3.7 Notwithstanding any other provision of this by-law, no development charge is
payable with respect to an enlargement of the gross floor area of an existing
industrial building where the gross floor area is enlarged by 50 percent or less.
3.8 -- If the gross floor area of an existing industrial building is enlarged by greater than
50 percent, the amount of the development charge payable in respect of the
enlargement is the amount of the development charge that would otherwise be
payable multiplied by the fraction determined as follows:
(a) determine the amount by which the enlargement exceeds 50 percent of
the gross floor area before the enlargement;
(b) divide the amount determined under subsection (a) by the amount of the
enlargement.
3.9 For the purpose of section 3.9 herein, "existing industrial building" is used as
defined in the Regulation made pursuant to the Act.
3.10 The exemption for an existing industrial building provided by this section shall be
applied to a maximum of fifty percent (50%) of the gross floor area before the first
enlargement for which an exemption from the payment of development charges
was granted pursuant to this by-law or predecessor.
Other Exemptions
3.11 Notwithstanding any other provision of this by-law, development charges shall
not be imposed with respect to:
(a) Bona fide farm uses;
(b) Places of worship;
(c) Hospitals; and
(d) -- Infill development within a priority area of the Heart of the City Community
Improvement Policy Area.
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3.12 Brownfield Community Improvement Policy Area:
(a) For the development or redevelopment of land located within the
Brownfields Community Improvement Policy Area as per Schedule C the
reimbursement of the development charge may be requested in whole or
in part under a City approved Brownfields Application through the
Brownfields Rehabilitation Grant Program (tax increment grant) as an
eligible cost. Under section 28 of the Planning Act, grants are limited to a
maximum of the cost of the environmental remediation.
Other Reductions
3.13 Notwithstanding any other provision of this by-law, development charges for
rental housing development shall be reduced in accordance with the following:
(a) Adevelopment charge for a residential unit intended for use as a rented
residential premises with three or more bedrooms shall be reduced by 25
per cent;
(6) Adevelopment charge for a residential unit intended for use as a rented
residential premises with two bedrooms shall be reduced by 20 per cent;
and
(c) Adevelopment charge for a residential unit intended for use as a rented
residential premises not referred to in paragraph 1 or 2 shall be reduced
by 15 per cent.
3.14 Notwithstanding any other provision of this by-law, development charges shall be
reduced in accordance with the following:
(a) development charges imposed during the first year the by-law is in force
shall be reduced to 80 per cent of the maximum development charge that
could otherwise be imposed by the by-law.
(b) development charges imposed during the second year the by-law is in
force shall be reduced to 85 per cent of the maximum development charge
that could otherwise be imposed by the by-law.
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(c) development charges imposed during the third year the by-law is in force
shall be reduced to 90 per cent of the maximum development charge that
could otherwise be imposed by the by-law.
(d) development charges imposed during the fourth year the by-law is in force
shall be reduced to 95 per cent of the development charge that would
otherwise be imposed by the by-law.
Amount of Charges
Residential
3.15 The development charges set out in Schedule "A" shall be imposed on residential
uses of lands, buildings or structures, including a dwelling unit accessory to a
non-residential use and, in the case of a mixed-use building or structure, on the
residential uses in the mixed-use building or structure, according to the type of
residential unit, and calculated with respect to each of the services according to
the type of residential use.
Non-Residential
3.16 The development charges described in Schedule "A" to this by-law shall be
imposed on non-residential uses of lands, buildings or structures, and, in the
case of a mixed-use building or structure, on the non-residential uses in the
mixed-use building or structure, and calculated with respect to each of the
services according to the total floor area of the non-residential use.
Reduction of Development Charges for Redevelopment
3.17 Despite any other provisions of this by-law, where, as a result of the
redevelopment of land, a building or structure existing on the same land within 60
months prior to the date of payment of development charges in regard to such
redevelopment was, or is to be demolished, in whole or in part, or converted from
one principal use to another principal use on the same land, in order to facilitate
the redevelopment, the development charges otherwise payable with respect to
such redevelopment shall be reduced by the following amounts:
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(a) inthe case of a residential building or structure, or in the case of a mixed-
use building or structure, the residential uses in the mixed-use building or
structure, an amount calculated by multiplying the applicable development
charge under subsection 3.5 by the number, according to type, of dwelling
units that have been or will be demolished or converted to another
principal use; and
(6) in the case of a non-residential building or structure or, in the case of
mixed-use building or structure, the non-residential uses in the mixed-use
building or structure, an amount calculated by multiplying the applicable
development charges under subsection 3.16, by the gross floor area that
has been or will be demolished or converted to another principal use;
provided that such amounts shall not exceed, in total, the amount of the
development charges otherwise payable with respect to the redevelopment.
3.18 Notwithstanding subsection 3.17, development charges shall not be reduced in
accordance with subsection 3.17 where the redevelopment involves the
demolition or conversion of a development is listed on the City's Vacant Building
Registry.
Time of Payment of Development Charges
3.19 Development charges imposed under this By-law are calculated, payable, and
collected upon issuance of a building permit for the development.
3.20 Despite subsection 3.19, Council from time to time, and at any time, may enter
into agreements providing for all or any part of a development charge to be paid
before or after it would otherwise be payable, in accordance with section 27 of
the Act.
3.21 Notwithstanding subsections 3.19 and 3.20, development charges for rental
housing and institutional developments are due and payable in 6 installments
commencing with the first installment payable on the date of occupancy, and
each subsequent installment, including interest, payable on the anniversary date
each year thereafter.
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3.22 Where the development of land results from the approval of a Site Plan or Zoning
By-law Amendment received on or after January 1, 2020, and the approval of the
application occurred within 2 years of building permit issuance, the Development
Charges under subsections 3.15 and 3.16 shall be calculated on the rates set out
in Schedule "A" on the date of the planning application, including interest. Where
both planning applications apply, Development Charges under subsections 3.15
and 3.16 shall be calculated on the rates, including interest, set out in Schedule
"A" on the date of the later planning application.
3.23 Interest for the purposes of subsections 3.21 and 3.22 shall be determined as the
base rate plus 1%
(a) The base rate shall be equal to the average prime rate on:
(i) October 15 of the previous year, if the adjustment date is January 1,
(ii) January 15 of the same year, if the adjustment date is April 1,
(iii) April 15 of the same year, if the adjustment date is July 1, and
(iv) July 15 of the same year, if the adjustment date is October 1.
(b) The average prime rate, on a particular date means, the mean, rounded to
the nearest hundredth of a percentage point, of the annual rates of interest
announced by each of the Royal Bank of Canada, The Bank of Nova
Scotia, the Canadian Imperial Bank of Commerce, the Bank of Montreal
and The Toronto-Dominion Bank to be its prime or reference rate of
interest in effect on that date for determining interest rates on Canadian
dollar commercial loans by that bank in Canada.
4. PAYMENT BY SERVICES
4.1 Despite the payment required under subsections 3.15 and 3.1 6, Council may, by
agreement, give a credit towards a development charge in exchange for work
that relates to a service to which a development charge relates under this By-law.
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5. INDEXING
5.1 Development charges imposed pursuant to this By-law shall be adjusted
annually, without amendment to this By-law, on April 10, in accordance with the
prescribed index in the Act. .
6. SCHEDULES
6.1. The following schedules shall form part of this By-law:
(a) Schedule "A" -- Residential and Non-Residential Development Charges
(b) | Schedule "B" -- Map of Priority Areas within the Heart of the City
Community Improvement Policy Area
(c) Schedule "C" -- Map of Brownfield Community Improvement Policy Area
ce CONFLICTS
7.1. Where the City and an owner or former owner have entered into an agreement
with respect to land within the area to which this By-law applies, and a conflict
exists between the provisions of this By-law and such agreement, the provisions
of the agreement shall prevail to the extent that there is a conflict.
7.2 Notwithstanding subsection 7.1, where a development which is the subject of an
agreement to which subsection 7.1 applies, is subsequently the subject of one or
more of the actions described in subsection 3.4 (a), an additional development
charge in respect of the development permitted by the action shall be calculated,
payable and collected in accordance with the provisions of this By-law if the
development has the effect of increasing the need for services, unless such
agreement provides otherwise.
8. SEVERABILITY
8.1 If, for any reason, any provision of this By-law is held to be invalid, it is hereby
declared to be the intention of Council that all the remainder of this By-law shall
continue in full force and effect until repealed, re-enacted, amended or modified.
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9. DATE BY-LAW IN FORCE
9.1 This By-law shall come into effect at 12:01 AM on April 10, 2023.
10. DATE BY-LAW EXPIRES
10.1 This By-law will expire at 12:01 AM on April 10, 2032 unless it is repealed by
Council at an earlier date.
That the Mayor and Clerk be and are hereby authorized to execute all documents
to complete this matter.
Read, signed, and sealed in open Council this 27th day of March, 2023.
Manon L. Levesque ZF sustin Towndale a
City Clerk Mayor A WN
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SCHEDULE A
SCHEDULE OF DEVELOPMENT CHARGES
RESIDENTIAL Non-Residential
ge at cea Ree cae terete lsu eal ah pero fee 1 Other Multiples CarelSpeci ye
Bedroom Dwelling Units Area)
Municipal Wide Services
Services Related to a Highway 7,803 5,257 3,976 7,412 3,559 2.47
Fire Protection Services 594 400 303 564 271 0.46
Parks and Recreation Services 2,539 1,711 1,294 2,412 1,158 0.06
Library Services 390 263 199 370 178 0.01
Ambulance Services 132 89 67 125 60 0.04
Waste Diversion Services 129 87 66 123 59 0.00
Transit Services 59 40 30 56 27 0.02
Total Municipal Wide Services | tt,gae| = 7.ga7| 5095] tt.oez| 8.312] 3.06 |
Urban Services
Water Services 2,002 1,349 1,020 1,902 913 0.74
Total Urban Services | us| tga] tite] tra | toa | |
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SCHEDULE B
MAP OF PRIORITY AREAS WITHIN THE HEART OF THE CITY COMMUNITY
IMPROVEMENT POLICY AREA
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SCHEDULE C
BROWNFIELD COMMUNITY IMPROVEMENT POLICY AREA
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