Development Charge Background Study

Trent Lakes, Ontario · summary & facts

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Watson & Associates Economists Ltd. 905-272-3600 February 2, 2024 [email protected] 2024 Development Charges Background Study Municipality of Trent Lakes ________________________ For Public Circulation and Comment Watson & Associates Economists Ltd. H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Table of Contents Page Executive Summary ....................................................................................................... i 1. Introduction ...................................................................................................... 1-1 1.1 Purpose of this Document ....................................................................... 1-1 1.2 Summary of the Process ......................................................................... 1-2 1.3 Changes to the Development Charges Act, 1997 ................................... 1-3 1.3.1 More Homes for Everyone Act, 2022 (Bill 109) .......................... 1-3 1.3.2 More Homes Built Fast Act, 2022 (Bill 23) ................................. 1-4 2. Current Municipality of Trent Lakes D.C. Policy ........................................... 2-1 2.1 By-law Enactment ................................................................................... 2-1 2.2 Services Covered ................................................................................... 2-1 2.3 Timing of D.C. Calculation and Payment ................................................ 2-1 2.4 Indexing .................................................................................................. 2-1 2.5 Redevelopment Credits .......................................................................... 2-2 2.6 Area to Which the By-law Applies and Exemptions ................................ 2-2 3. Anticipated Development in the Municipality of Trent Lakes ...................... 3-1 3.1 Requirement of the Act ........................................................................... 3-1 3.2 Basis of Population, Household and Non-Residential Gross Floor Area Forecast ......................................................................................... 3-1 3.3 Summary of Growth Forecast ................................................................. 3-2 4. The Approach to the Calculation of the Charge ........................................... 4-1 4.1 Introduction ............................................................................................. 4-1 4.2 Services Potentially Involved .................................................................. 4-1 4.3 Increase in the Need for Service ............................................................. 4-1 4.4 Local Service Policy ................................................................................ 4-6 4.5 Capital Forecast ...................................................................................... 4-6 4.6 Treatment of Credits ............................................................................... 4-7 4.7 Eligible Debt and Committed Excess Capacity ....................................... 4-7 Table of Contents (Cont'd) Page Watson & Associates Economists Ltd. H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx 4.8 Existing Reserve Funds .......................................................................... 4-7 4.9 Deductions .............................................................................................. 4-8 4.9.1 Reduction Required by Level of Service Ceiling ........................ 4-9 4.9.2 Reduction for Uncommitted Excess Capacity ............................ 4-9 4.9.3 Reduction for Benefit to Existing Development ........................ 4-10 4.9.4 Reduction for Anticipated Grants, Subsidies and Other Contributions ............................................................................ 4-11 4.10 Municipal-Wide vs. Area Rating ............................................................ 4-11 4.11 Allocation of Development .................................................................... 4-11 5. D.C.-Eligible Cost Analysis by Service .......................................................... 5-1 5.1 Introduction ............................................................................................. 5-1 5.2 Service Levels and 10-Year Capital Costs for D.C. Calculation .............. 5-1 5.2.1 Services Related to a Highway .................................................. 5-1 5.2.2 Fire Protection Services ............................................................. 5-2 5.2.3 Parks and Recreation Services .................................................. 5-2 5.2.4 Library Services ......................................................................... 5-3 6. D.C. Calculation ............................................................................................... 6-1 7. D.C. Policy Recommendations and D.C. Policy Rules ................................. 7-1 7.1 Introduction ............................................................................................. 7-1 7.2 D.C. By-law Structure ............................................................................. 7-2 7.3 D.C. By-law Rules ................................................................................... 7-2 7.3.1 Payment in any Particular Case ................................................. 7-2 7.3.2 Determination of the Amount of the Charge ............................... 7-2 7.3.3 Application to Redevelopment of Land (Demolition and Conversion) ................................................................................ 7-3 7.3.4 Exemptions (full or partial) ......................................................... 7-4 7.3.5 Transition ................................................................................... 7-5 7.3.6 Timing of Collection ................................................................... 7-5 7.3.7 Indexing ..................................................................................... 7-5 7.3.8 D.C Spatial Applicability ............................................................. 7-6 7.4 Other D.C. By-law Provisions ................................................................. 7-7 7.4.1 Categories of Services for Reserve Fund and Credit Purposes .................................................................................... 7-7 7.4.2 By-law In-force Date .................................................................. 7-8 7.4.3 Minimum Interest Rate Paid on Refunds and Charged for Inter-Reserve Fund Borrowing ................................................... 7-8 7.5 Other Recommendations ........................................................................ 7-8 8. Asset Management Plan ................................................................................. 8-1 8.1 Introduction ............................................................................................. 8-1 Table of Contents (Cont'd) Page Watson & Associates Economists Ltd. H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx 8.2 Asset Management Plan ......................................................................... 8-3 9. By-law Implementation ................................................................................... 9-1 9.1 Public Consultation Process ................................................................... 9-1 9.1.1 Introduction ................................................................................ 9-1 9.1.2 Public Meeting of Council........................................................... 9-1 9.1.3 Other Consultation Activity ......................................................... 9-1 9.2 Anticipated Impact of the Charge on Development ................................. 9-2 9.3 Implementation Requirements ................................................................ 9-3 9.3.1 Introduction ................................................................................ 9-3 9.3.2 Notice of Passage ...................................................................... 9-3 9.3.3 By-law Pamphlet ........................................................................ 9-3 9.3.4 Appeals ...................................................................................... 9-4 9.3.5 Complaints ................................................................................. 9-4 9.3.6 Credits ....................................................................................... 9-5 9.3.7 Front-Ending Agreements .......................................................... 9-5 9.3.8 Severance and Subdivision Agreement Conditions ................... 9-5 Appendix A Background Information on Residential and Non-Residential Growth Forecast ............................................................................................. A-1 Appendix B Historical Level of Service Calculations ............................................ B-1 Appendix C Long-Term Capital and Operating Cost Examination ...................... C-1 Appendix D Proposed D.C. By-laws ....................................................................... D-1 D1. Services Related to a Highway .................................................................. D-2 D2. Fire Protection Services ........................................................................... D-20 D3. Parks and Recreation Services ................................................................ D-38 D4. Library Services ....................................................................................... D-56 Watson & Associates Economists Ltd. H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx List of Acronyms and Abbreviations Acronym Full Description of Acronym D.C. Development charge D.C.A. Development Charges Act, 1997 as amended G.F.A. Gross floor area LPAT. Local Planning Appeal Tribunal N.F.P.O.W. No Fixed Place of Work OLT. Ontario Land Tribunal O.M.B. Ontario Municipal Board O. Reg. Ontario Regulation P.O.A. Provincial Offences Act P.P.U. Persons per unit s.s. Subsection sq.m. square metre sq.ft. square feet km kilometer Development Charges Background Study Watson & Associates Economists Ltd. H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Executive Summary Watson & Associates Economists Ltd. PAGE i H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Executive Summary 1. The report provided herein represents the Development Charges (D.C.) Background Study for Municipality of Trent Lakes (Municipality) required by the Development Charges Act, 1997 (D.C.A.). This report has been prepared in accordance with the methodology required under the D.C.A. The contents include the following: - Chapter 1 - Introduction and overview of the legislative requirements of the D.C.A.; - Chapter 2 - Current Municipality of Trent Lakes D.C. policy - Chapter 3 - Summary of the residential and non-residential growth forecasts for the Municipality; - Chapter 4 - Approach to calculating the D.C.; - Chapter 5 - Review of historical service standards and identification of D.C. recoverable capital costs to service growth; - Chapter 6 - Calculation of the D.C.s; - Chapter 7 - D.C. policy recommendations and D.C. by-law rules; - Chapter 8 - Asset management plan requirements of the D.C.A.; and - Chapter 9 - By-law implementation. 2. D.C.s provide for the recovery of growth-related capital expenditures from new development. The D.C.A. is the statutory basis to recover these charges. The methodology is detailed in Chapter 4; a simplified summary is provided below: 1) Identify amount, type and location of growth; 2) Identify servicing needs to accommodate growth; 3) Identify capital costs to provide services to meet the needs; 4) Deduct: - Grants, subsidies and other contributions; - Benefit to existing development; - Amounts in excess of 15-year historical service calculation; - D.C. reserve funds; Watson & Associates Economists Ltd. PAGE ii H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx 5) Net costs are then allocated between residential and non-residential benefit; and 6) Net costs divided by growth to provide the D.C. calculation. 3. Changes to the D.C.A. were introduced since the Municipality last amended their D.C. by-law in 2022 through Bill 109, Bill 23, Bill 97, and Bill 134. The following provides a brief summary of the recent changes. Bill 109: More Homes for Everyone Act, 2022 On April 14, 2022, Bill 109 received Royal Assent. One of the changes of the Bill and Ontario Regulation (O. Reg.) 438/22 that took effect upon Royal Assent included amending the D.C.A. and O. Reg. 82/98 related to the requirements for the information which is to be included in the annual Treasurer's statement on D.C. reserve funds and the requirement for publication of the statement. Further information is provided in subsection 1.3.5. Bill 23: More Homes Built Faster Act, 2022 On November 28, 2022, Bill 23 received Royal Assent. This Act amends a number of pieces of legislation including the Planning Act and the D.C.A. Subsequently, further amendments to these provisions were made through Bills 97 and 134. The following provides a summary of the changes to the D.C.A. (further details are provided in subsection 1.3.6 of this report): - Additional residential unit exemption: Allowance of a third unit to be exempt from D.C.s in existing and new residential dwellings; - Removal of housing as an eligible D.C. service; - New statutory exemptions for affordable units, attainable units (to be in effect upon proclamation by the Lieutenant Governor); - New statutory exemptions for inclusionary zoning units, and non-profit housing developments; - Historical level of service extended to 15-year period instead of the prior 10-year period; - Capital cost definitino may be revised to prescribe services for which land or an interest in land will be restricted; - Capital cost definition has been revised to remove studies; Watson & Associates Economists Ltd. PAGE iii H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx - Mandatory reduction for new D.C. by-laws passed after November 28, 2022, as follows: o Year 1 - 80% of the maximum charge; o Year 2 - 85% of the maximum charge; o Year 3 - 90% of the maximum charge; o Year 4 - 95% of the maximum charge; and o Year 5 to expiry - 100% of the maximum charge. - D.C. by-law expiry will be 10 years after the date the by-law comes into force (unless repealed earlier); - D.C. for rental housing developments to receive a discount as follows: o Three or more bedrooms - 25% reduction; o Two bedrooms - 20% reduction; and o All other bedroom quantities - 15% reduction. - Maximum interest rate for installments and determination of charge for eligible site plan and zoning by-law amendment applications to be set at the average prime rate plus 1%; and - Requirement to allocate funds received- municipalities will be required to spend or allocate at least 60% of their reserve fund at the beginning of the year for water, wastewater, and services related to a highway. 4. The Municipality is undertaking a D.C. public process and anticipates passing a new by-law for the eligible services. The mandatory public meeting has been set for Mach 5, 2024 with adoption of the by-law anticipated for April 2, 2024 in advance of the expiry of the current by-law on April 16, 2024. 5. The growth forecast (Chapter 3) on which the Municipality-wide D.C. is based, projects the following population, housing and non-residential floor area for the 10-year (2024 to 2034), period. Watson & Associates Economists Ltd. PAGE iv H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Table ES-1 Summary of Growth Forecast by Planning Period Measure 10 Year 2024 to 2034 (Net) Population Increase 375 Residential Unit Increase 220 Non-Residential - Gross Floor Area Increase (sq.m.) 17,001 Source: Watson & Associates Economists Ltd. forecast 2024. 6. Chapter 5 herein provides, in detail and by service area, the gross capital costs for the increase in need to service new development and the respective deductions that have been made to arrive at the D.C. recoverable costs included in the calculation of the charge. The following services are calculated based on a municipal-wide 10-year forecast: - Services related to a highway (including public works facilities, fleet and equipment); - Fire protection services; - Parks and recreation services; and - Library services; A summary of the total growth-related costs is provided below in Table ES-2. Table ES-2 Summary of Expenditures Anticipated Over the Respective Forecast Periods Summary of Expenditures Anticipated Over the Life of the By-law Expenditure Amount Total Gross Capital Costs $44,975,700 Less: Benefit to Existing Development $40,717,000 Less: Post Planning Period Benefit $975,000 Less: Other Deductions $0 Less: Grants, Subsidies and Other Contributions $0 Less: Existing D.C. Reserve Funds $797,900 Net Costs to be Recovered from Development Charges $2,485,800 Watson & Associates Economists Ltd. PAGE v H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Based on the information provided in the above table, the Municiaplity intends to spend $45.0 million over the 10-year planning horizon. $2.5 million (5.5%) of the $45.0 million is recoverable from D.C.s (including $0.8 million related to D.C. reserve fund deficits). Of the net $2.5 million included in the calcualtion, $1.8 million is recoverable from residential development and $730,000 from non- residential development. Additionally, it is important to highlight that any exemptions or reductions in charges would further diminish this recovery. This report has undertaken a calculation of charges based on the anticipated development summarized in Table ES-1 and the future identified needs (presented in Table ES-2). Charges have been provided on a Municipal-wide basis for all services. The corresponding single detached unit charge is $7,584. The non-residential charge is $42.95 per sq.m. of building area. These rates would be reduced by 20% during the first year of the by-law (i.e., $6,067 per single detached unit and $34.36 per sq.m. of building area) as per the Bill 23 requirements to reduce the charge during the first four years of the by-law. The calculated schedule of charges is presented in Table ES-3 and the charges that would be imposed during the first year of the by-law are presented in Table ES-4. Watson & Associates Economists Ltd. PAGE vi H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Table ES-3 Calculated Schedule of Development Charges Table ES-4 Schedule of Development Charges (80% of maximum charge to be imposed in first year of by-law) Single and Semi-Detached Dwelling Other Multiples Apartments - 2 Bedrooms + Apartments - Bachelor and 1 Bedroom Park Model Trailers (per sq.m. of Gross Floor Area) Per 500kW Nameplate Generating Capacity (Green Energy Developments) Municipal Wide Services Services Related to a Highway 5,130 4,351 4,276 2,492 2,492 31.38 5,130 Fire Protection Services 1,820 1,544 1,517 884 884 11.13 1,820 Parks and Recreation Services 579 491 483 281 0.41 Library Services 55 47 46 27 27 0.04 Total Municipal Wide Services 7,584 6,433 6,322 3,684 3,403 42.96 6,950 RESIDENTIAL ($) Service NON-RESIDENTIAL ($) Single and Semi-Detached Dwelling Other Multiples Apartments - 2 Bedrooms + Apartments - Bachelor and 1 Bedroom Park Model Trailers (per sq.m. of Gross Floor Area) Per 500kW Nameplate Generating Capacity (Green Energy Developments) Municipal Wide Services Services Related to a Highway 4,104 3,481 3,421 1,994 1,994 25.10 4,104 Fire Protection Services 1,456 1,235 1,214 707 707 8.90 1,456 Parks and Recreation Services 463 393 386 225 - 0.33 - Library Services 44 38 37 22 22 0.03 - Total Municipal Wide Services 6,067 5,146 5,058 2,947 2,722 34.37 5,560 Service RESIDENTIAL ($) NON-RESIDENTIAL ($) Watson & Associates Economists Ltd. H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx 7. Chapter 7 outlines the D.C. by-law(s) policy recommendations and rules as summarized below: - Timing of Collection: o D.C.s to be calculated and payable at the time of building permit issuance o D.C.s for developments proceeding through Site Plan or Zoning By- law Amendment applications will be determined based on the charges in effect on the day of the application (charges to be frozen for a maximum period of two years after planning application approval) o Rental housing and institutional developments would pay D.C.s in six equal annual payments, commencing from the date of occupancy - Statutory D.C. Exemptions: o Upper/Lower Tier Governments and School Boards o Development of lands intended for use by a university that received operating funds from the Government o Existing industrial building expansions (may expand by 50% with no D.C.) o Additional residential units in existing and new residential buildings  May add up to two apartments for a single detached, semi- detached or row house (only one unit can be in an ancillary structure)  One additional unit or 1% of the units in an existing rental residential building with four or more residential units o Non-profit housing o Inclusionary zoning affordable units - D.C. Discounts for rental housing development based on dwelling unit type: o >2 bedrooms - 25% discount o 2 bedrooms - 20% discount o <2 bedrooms - 15% discount - Mandatory reduction of the charge: o Year 1 - 80% of the maximum charge o Year 2 - 85% of the maximum charge Watson & Associates Economists Ltd. H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx o Year 3 - 90% of the maximum charge o Year 4 - 95% of the maximum charge, and o Year 5 to expiry - 100% of the maximum charge - Non-Statutory Deductions: o Buildings or structures used as farm buildings; o Public Hospitals; o Institutional churches; o First 100 kW of generating capacity of a Wind Turbine System or Photovoltaic Generating Installation] o First 250 square meters of gross floor area of a new non-residential building; o Affordable housing; and o Accessory uses. - Redevelopment credits provided where building permit issuance occurs within five years for conversion or demolitions of existing structures - Charges to be inexed annually on the date the by-law(s) comes in to force, in accordance with the D.C.A. 8. Council will consider the findings and recommendations provided in the report and, in conjunction with public input, approve such policies and rates it deems appropriate. These directions will refine the draft D.C. by-laws which are appended in Appendix D. These decisions may include: - adopting the charges and policies recommended herein; - considering additional exemptions to the by-laws; and - considering reductions in the charge by class of development (e.g., obtained by removing certain services on which the charge is based and/or by a general reduction in the charge). Watson & Associates Economists Ltd. H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Chapter 1 Introduction Watson & Associates Economists Ltd. PAGE 1-1 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx 1. Introduction 1.1 Purpose of this Document This background study has been prepared pursuant to the requirements of the Development Charges Act 1997 (s.10), and accordingly, recommends new Development Charges (D.C.s) and policies for the Municipality of Trent Lakes (Municipality). The Municipality retained Watson & Associates Economists Ltd. (Watson) to undertake the D.C. study process. Watson worked with senior staff of the Municipality in preparing this D.C. analysis and the policy recommendations. This D.C. background study, containing the proposed D.C. by-law, will be distributed to members of the public in order to provide interested parties with sufficient background information on the legislation, the study's recommendations, and an outline of the basis for these recommendations. This report has been prepared, in the first instance, to meet the statutory requirements applicable to the Municipality's D.C. background study, as summarized in Chapter 4. It also addresses the forecast amount, type, and location of growth (Chapter 3), the requirement for "rules" governing the imposition of the charges (Chapter 7), and the proposed by-law(s) to be made available as part of the approval process (Appendix D). In addition, the report is designed to set out sufficient background on the legislation and the policies underlying the proposed by-law, to make the exercise understandable to interested parties. Finally, the D.C. background study addresses post-adoption implementation requirements (Chapter 9) which are critical to the successful application of the new policy. The chapters in the report are supported by appendices containing the data required to explain and substantiate the calculation of the charge. A full discussion of the statutory requirements for the preparation of a background study and calculation of a D.C. is provided herein. Watson & Associates Economists Ltd. PAGE 1-2 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx 1.2 Summary of the Process A public meeting required under Section 12 of the D.C.A. will be scheduled at least two weeks after the posting of the D.C. background study and draft D.C. by-law on the Municipality's website. Its purpose is to present the background study and draft D.C. by-law to the public and to solicit public input on the matter. The public meeting is also being held to answer any questions regarding the study's purpose, methodology and the proposed D.C. by-law for the Municipality. In accordance with the legislation, the background study and proposed D.C. by-law will be available for public review at least 60 days prior to by-law passage. The process to be followed in finalizing the report and recommendations includes: - consideration of responses received prior to, at or immediately following the public meeting; and - finalization of the report and Council consideration of the by-law subsequent to the public meeting. Table 1-1 outlines the study process to date and the proposed schedule to be followed with respect to the D.C. by-law adoption process. Table 1-1 Schedule of Key D.C. Process Dates Process Steps Dates 1. Project initiation meeting with Municipal Staff December 2023 2. Data collection and staff interviews December 2023 to January 2024 3. Presentation of draft findings and D.C. policy discussion with Municipal Staff January 29, 2024 4. D.C. Background Study and draft D.C. by-law(s) available to public February 2, 2024 5. Presentation of draft findings and D.C. policies to Council February 6, 2024 Watson & Associates Economists Ltd. PAGE 1-3 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Process Steps Dates 6. Public Meeting of Council March 5, 2024 7. D.C. By-law(s) passage (anticipated) April 2, 2024 8. Newspaper notice given of by-law(s) passage By 20 days after passage 9. Last day for by-law(s) appeal 40 days after passage 10. Municipality makes available D.C. pamphlet by 60 days after in force date 1.3 Changes to the Development Charges Act, 1997 Since the Municipality amended their D.C. by-law in 2022, changes to the D.C. legislation have occurred through the following pieces of legislation. - More Homes for Everyone Act, 2022 (Bill 109); - More Homes Built Fast Act, 2022 (Bill 23); - The Helping Homebuyers, Protecting Tenants Act, 2022 (Bill 97); and - Affordable Homes and Good Jobs Act, 2023 (Bill 134). The following provides an overview of the changes to the D.C.A. that each of these pieces of legislation provided. 1.3.1 More Homes for Everyone Act, 2022 (Bill 109) On April 14, 2022, Bill 109 received Royal Assent. One of the changes of the Bill and Ontario Regulation (O. Reg.) 438/22 that took effect upon Royal Assent included amending the D.C.A. and O. Reg. 82/98 related to the requirements for the information which is to be included in the annual Treasurer's statement on D.C. reserve funds and the requirement for publication of the statement. The following additional information must be provided for each D.C. service being collected for during the year: Watson & Associates Economists Ltd. PAGE 1-4 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx a) whether, as of the end of the year, the municipality expects to incur the amount of capital costs that were estimated, in the relevant development charge background study, to be incurred during the term of the applicable development charge by-law; b) if the answer to a) is no, the amount the municipality now expects to incur and a statement as to why this amount is expected; and c) if no money was spent from the reserve fund during the year, a statement as to why there was no spending during the year. The changes to the D.C.A. has also been amended to now require that the annual Treasurer's statement be made available to the public on the website of the municipality or, if there is no such website, in the municipal office. 1.3.2 More Homes Built Fast Act, 2022 (Bill 23) On November 28, 2022, Bill 23 received Royal Assent. This Act amends a number of pieces of legislation including the Planning Act and the D.C.A. Subsequently the proposed exemptions for affordable units was further amended through Bill 134. The following provides a summary of the changes to the D.C.A.: 1.3.2.1 Additional Residential Unit Exemption The rules for these exemptions are now provided in the D.C.A., rather than the regulations and are summarized as follows: - Exemption for residential units in existing rental residential buildings - For rental residential buildings with four or more residential units, the greater of one unit or 1% of the existing residential units will be exempt from D.C. - Exemption for additional residential units in existing and new residential buildings - The following developments will be exempt from a D.C.: o A second unit in a detached, semi-detached, or rowhouse if all buildings and ancillary structures cumulatively contain no more than one residential unit; o A third unit in a detached, semi-detached, or rowhouse if no ancillary buildings or structures contain any residential units; and o One residential unit in a building or structure ancillary to a detached, semi- detached, or rowhouse on a parcel of land, if the detached, semi- Watson & Associates Economists Ltd. PAGE 1-5 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx detached, or rowhouse contains no more than two residential units and no other buildings or ancillary structures contain any residential units. o Bill 97 (The Helping Homebuyers, Protecting Tenants Act), extended the mandatory exemption from payment of D.C.s for addition residential units new residential buildings or in existing houses to all lands versus just urban lands. 1.3.2.2 Removal of Housing as an Eligible D.C. Service Housing services are removed as an eligible service. Municipalities with by-laws that include a charge for housing services can no longer collect for this service. 1.3.2.3 New Statutory Exemptions for Affordable Units, Attainable Units, and Inclusionary Zoning Units Affordable units, attainable units, inclusionary zoning units and non-profit housing developments will be exempt from the payment of D.C.s, as follows: - Affordable Rental Units: o The rent is no greater than the lesser of, o the income-based affordable rent for the residential unit set out in the Affordable Residential Units bulletin, as identified by the Minister of Municipal Affairs and Housing in accordance with subsection (5), and o the average market rent identified for the residential unit set out in the Affordable Residential Units bulletin. - Affordable Owned Units: o The price of the residential unit is no greater than the lesser of,  the income-based affordable purchase price for the residential unit set out in the Affordable Residential Units bulletin, as identified by the Minister of Municipal Affairs and Housing in accordance with subsection (6), and  90 per cent of the average purchase price identified for the residential unit set out in the Affordable Residential Units bulletin. - Attainable Units: Excludes affordable units and rental units; will be defined as prescribed development or class of development and sold to a person who is at "arm's length" from the seller. Watson & Associates Economists Ltd. PAGE 1-6 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx o Note: for affordable and attainable units, the municipality shall enter into an agreement that ensures the unit remains affordable or attainable for 25 years. Also exemptions for affordable and attainable units will come into effect on a day to be named by proclamation of the Lieutenant Governor. - Inclusionary Zoning Units: Affordable housing units required under inclusionary zoning by-laws are exempt from a D.C. 1.3.2.4 New Statutory Exemption for Non-Profit Housing Non-profit housing development has been removed from the instalment payment section of the Act (section 26.1), as these units are now exempt from the payment of D.C.s. 1.3.2.5 Rental Housing Discount The D.C. payable for rental housing development will be reduced based on the number of bedrooms in each unit as follows: - Three or more bedrooms - 25% reduction; - Two bedrooms - 20% reduction; and - All other bedroom quantities - 15% reduction. 1.3.2.6 Historical Level of Service extended to 15-year period instead of the historical 10-year period Prior to Royal Assent of Bill 23, the increase in need for service was limited by the average historical level of service calculated over the 10-year period preceding the preparation of the D.C. background study. This average historical level of service is now extended to the historical 15-year period. 1.3.2.7 Revised Definition of Capital Costs The definition of capital costs has been revised to remove studies. Further, the regulations to the Act will prescribe services for which land or an interest in land will be restricted. As at the time of writing, no services have been prescribed for this purpose. Watson & Associates Economists Ltd. PAGE 1-7 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx 1.3.2.8 Mandatory Phase-in of a D.C. For all D.C. by-laws passed after January 1, 2022, the charge must be phased-in annually over the first five years the by-law is in force, as follows: - Year 1 - 80% of the maximum charge; - Year 2 - 85% of the maximum charge; - Year 3 - 90% of the maximum charge; - Year 4 - 95% of the maximum charge; and - Year 5 to expiry - 100% of the maximum charge. 1.3.2.9 D.C. By-law Expiry A D.C. by-law now expires ten years after the day it comes into force (unless the by-law provides for an earlier expiry date). This extends the by-law's maximum life from what was previously five years. 1.3.2.10 Maximum Interest Rate for Instalments and Determination of Charge for Eligible Site Plan and Zoning By-law Amendment Applications The Act allows interest to be charged on D.C.s calculated at the time of Site Plan or Zoning By-law Amendment applications (S.26.2 of the Act) and for mandatory installment payments (S. 26.1 of the Act). No maximum interest rate was previously prescribed, which allowed municipalities to choose the interest rate to impose. As per Bill 23, the maximum interest rate is set at the average prime rate plus 1%. This maximum interest rate provision would apply to all instalment payments and eligible site plan and zoning by-law amendment applications occurring after November 28, 2022. 1.3.2.11 Requirement to Allocate Funds Received Annually, beginning in 2023, municipalities will be required to spend or allocate at least 60% of the monies in a reserve fund at the beginning of the year for water services, wastewater services, and services related to a highway. Other services may be prescribed by the regulation. Watson & Associates Economists Ltd. H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Chapter 2 Current Municipality of Trent Lakes D.C. Policy Watson & Associates Economists Ltd. PAGE 2-1 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx 2. Current Municipality of Trent Lakes D.C. Policy 2.1 By-law Enactment The Municipality adopted by-law number B2019-041 on April 16, 2019, which provides for Municipal-wide D.C.s to be imposed in the Municipality. By-law B2019-041 was amended by by-law B2022-041 on April 5, 2022. By-law B2019-041 (as amended) will expire on April 16, 2024. The following sections review the current D.C. policies within by-law B2019-041 (as amended). 2.2 Services Covered The following Municipal-wide services are included under by-law B2019-041 as amended by by-law B2022-041: - Roads and Related Services; - Fire Services; - Parks & Recreation Services; - Library Services; and - Growth-Related Studies. 2.3 Timing of D.C. Calculation and Payment Calculation and payment of D.C.s are due and payable at the time of building permit issuance for the development. The By-law also allows the Municipality to enter into alternative payment agreements with owners. 2.4 Indexing The by-law provides for annual indexing of the charges on January 1st of each year. Table 2-1 provides the charges currently in, for residential and non-residential development types, as well as the breakdown of the charges by service. Watson & Associates Economists Ltd. PAGE 2-2 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Table 2-1 Municipality of Trent Lakes 2024 Development Charges 2.5 Redevelopment Credits D.C. credits for residential and non-residential redevelopments, are provided for demolitions/conversions of development that pre-exists five years prior to the date of payment of the D.C. 2.6 Area to Which the By-law Applies and Exemptions By-law B2019-041 (as amended) provides for the following statutory exemptions at the time of by-law passage: - The municipality or local board thereof; - A board of education; and - Industrial additions of up to and including 50% of the existing G.F.A. of the building - for industrial additions which exceed 50% of the existing G.F.A., only the portion of the addition in excess of 50% is subject to D.C.s; Through the various legislative changes discussed in Chapter 1, the Municipality also provides the following additional and revised (since by-law passage) statutory exemptions: - An enlargement to an existing dwelling unit; - Additional units in existing and new residential buildings: o May add up to two apartments for a single detached, semi-detached or row house (only one unit can be in an ancillary structure) Single and Semi- Detached Dwelling Multiples Apartments Excl. Aggregate Developments Aggregate Developments Municipal Wide Services: Roads and Related 3,764 2,660 1,635 11.48 42.84 3,764 Fire Services 1,280 905 556 3.76 14.57 1,280 Parks and Recreation 341 240 148 0.37 2.06 341 Library Services 81 57 36 0.10 0.49 81 Administration Studies 283 200 123 1.45 3.22 283 Municipal Parking Total Municipal Wide Services 5,749 4,063 2,499 17.17 63.19 5,749 Service RESIDENTIAL ($) NON-RESIDENTIAL ($) per sq.m. of Gross Floor Area Per 500kW Nameplate Generating Capacity (Green Energy Developments) Watson & Associates Economists Ltd. PAGE 2-3 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx o One additional unit or 1% of the units in an existing rental residential building with four or more residential units - Inclusionary Zoning Units; - Non-Profit Housing; - Universities; and - Affordable Units and Attainable Units (will be in effect once proclamation occurs) The D.C. by-law also provides non-statutory exemptions from payment of D.C.s with respect to: - Buildings or structures used as farm buildings; - Public Hospitals; - Institutional churches; - First 100 kW of generating capacity of a Wind Turbine System or Photovoltaic Generating Installation] - First 250 square meters of gross floor area of a new non-residential building; - Affordable housing; and - Accessory uses. Watson & Associates Economists Ltd. H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Chapter 3 Anticipated Development in the Municipality of Trent Hills Watson & Associates Economists Ltd. PAGE 3-1 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx 3. Anticipated Development in the Municipality of Trent Lakes 3.1 Requirement of the Act The growth forecast contained in this chapter (with supplemental tables in Appendix A) provides for the anticipated development for which the municipality will be required to provide services over a 2024 to 2034 time horizon. Chapter 4 provides the methodology for calculating a D.C. as per the D.C.A. Figure 4-1 presents this methodology graphically. It is noted in the first box of the schematic that in order to determine the D.C. that may be imposed, it is a requirement of subsection 5 (1) of the D.C.A. that "the anticipated amount, type and location of development, for which development charges can be imposed, must be estimated." 3.2 Basis of Population, Household and Non-Residential Gross Floor Area Forecast The D.C. growth forecast has been derived by Watson. In preparing the growth forecast, the following information sources were consulted to assess the residential and non-residential development potential for the Municipality over the forecast period, including: - County of Peterborough Official Plan, Adopted by Council June 29, 2022; - County of Peterborough Growth Analysis Report, March 28, 2022, by Hemson Consulting Ltd.; - The Official Plan of the Township of Galway-Cavendish and Harvey, Including Official Plan Amendment No. 46, August 22, 2013. - Municipality of Trent Lakes 2019 Development Charges Background Study, February 14, 2019, by Watson & Associates Economists Ltd.; - 2011, 2016 and 2021 population, household and employment Census data; - Historical residential building permit data over the 2014 to 2023 period; - Residential and non-residential supply opportunities as identified by Municipality staff; and Watson & Associates Economists Ltd. PAGE 3-2 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx - Discussions with Municipal staff regarding anticipated residential and non- residential development in the Municipality. 3.3 Summary of Growth Forecast A detailed analysis of the residential and non-residential growth forecasts is provided in Appendix A and the methodology employed is illustrated in Figure 3-1. The discussion provided herein summarizes the anticipated growth for the Municipality and describes the basis for the forecast. The results of the residential growth forecast analysis are summarized in Table 3-1 below, and Schedule 1 in Appendix A. As identified in Table 3-1 and Appendix A - Schedule 1, the permanent population in the Municipality of Trent Lakes (excluding census undercount) is anticipated to reach approximately 6,940 by mid-2034, resulting in an increase of approximately 300 persons over the 10-year forecast period. [1]The Municipality's seasonal population is forecast to increase to 10,090 persons in 2034. The Municipality's total population (permanent and seasonal population) is forecast to reach 17,030 by 2034. [1] The population figures used in the calculation of the 2024 D.C. exclude the net Census undercount, which is estimated at approximately 2.5%. Population figures presented herein have been rounded. Watson & Associates Economists Ltd. PAGE 3-3 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Figure 3-1 Population and Household Forecast Model Intensification Designated Lands Servicing Capacity Residential Units in the Development Process Employment Market by Local Municipality, Economic Outlook Local, region and Provincial Forecast of Residential Units Decline in Existing Population Net Population Increase Historical Housing Construction DEMAND SUPPLY Occupancy Assumptions Gross Population Increase Watson & Associates Economists Ltd. PAGE 3-4 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Table 3-1 Municipality of Trent Lakes Residential Growth Forecast Summary [1] Population includes the Census undercount estimated at approximately 2.5% and has been rounded. [2] Includes townhouses and apartments in duplexes. [3] Includes bachelor, 1-bedroom, and 2-bedroom+ apartment units. Notes: Numbers may not add due to rounding. Source: Derived from Peterborough County Official Plan, Adopted by County Council June 29, 2022, and County of Peterborough Growth Analysis Report, March 28, 2022, Hemson Consulting Ltd., by Watson & Associates Economists Ltd. Permanent Population[1] Institutional Population Permanent Population Excluding Institutional[1] Seasonal Population Total Permanent and Seasonal Population Singles & Semi- Detached Multiples[2] Apartments[3] Other Total Households Seasonal Households Total Households Including Seasonal Equivalent Institutional Households Mid 2011 5,233 5,105 50 5,055 10,910 16,015 2,230 5 0 5 2,240 3,047 5,287 45 2.28 3.03 Mid 2016 5,533 5,397 57 5,340 11,435 16,832 2,425 10 10 0 2,445 3,194 5,639 52 2.21 2.98 Mid 2021 6,601 6,439 54 6,385 10,015 16,454 2,915 20 10 5 2,950 2,798 5,748 49 2.18 2.86 Mid 2024 6,804 6,637 56 6,581 10,015 16,652 3,007 20 10 5 3,042 2,798 5,840 51 2.18 2.85 Mid 2034 7,114 6,940 59 6,881 10,090 17,030 3,207 20 10 5 3,242 2,818 6,060 54 2.14 2.81 Mid 2011 - Mid 2016 299 292 7 285 525 817 195 5 10 -5 205 147 352 7 Mid 2016 - Mid 2021 1,068 1,042 -3 1,045 -1,420 -378 490 10 0 5 505 -396 109 -3 Mid 2021 - Mid 2024 203 198 2 196 0 198 92 0 0 0 92 0 92 2 Mid 2024 - Mid 2034 311 303 3 300 75 378 200 0 0 0 200 20 220 3 Forecast Year Historical Excluding Census Undercount Permanent Person Per Unit (P.P.U.) Permanent + Seasonal Person Per Unit (P.P.U.) Permanent Population (Including Census Undercount) Housing Units Watson & Associates Economists Ltd. PAGE 3-5 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Figure 3-2 Municipality of Trent Lakes Annual Housing Forecast [1] [1] Growth forecast represents calendar year. Source: Historical housing activity derived from Municipality of Trent Lakes building permit data, 2014 to 2023. 44 23 46 54 31 30 29 44 26 22 22 22 22 22 22 22 22 22 22 22 0 10 20 30 40 50 60 Housing Units Years Historical Low Density Medium Density High Density Seasonal Historical Average Watson & Associates Economists Ltd. PAGE 3-6 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Provided below is a summary of the key assumptions and findings regarding the Municipality of Trent Lakes D.C. growth forecast: 1. Unit Mix (Appendix A - Schedules 1 and 4) - The housing unit mix for the Municipality was derived from a detailed review of historical development activity (as per Schedule 4), as well as active residential development applications and discussions with Municipality staff regarding anticipated development trends for the Municipality. - Based on the above indicators, the 2024 to 2034 household growth forecast for the Municipality is comprised of a unit mix of 91% low density units (single detached and semi-detached, and 9% seasonal units. 2. Planning Period - Short- and longer-term time horizons can be used for the D.C. process. The D.C.A. limits the planning horizon for transit services to a 10-year planning horizon. All other services can utilize a longer planning period if the municipality has identified the growth-related capital infrastructure needs associated with the longer-term growth planning period. 3. Population in New Units (Appendix A - Schedules 2 and 3) - The number of housing units to be constructed by 2034 in the Municipality over the forecast period is presented in Table 3-1. Over the 2024 to 2034 forecast period, the Municipality is anticipated to average approximately 22 new permanent and seasonal housing units per year. - Institutional population [1] is anticipated to increase by approximately 3 people between 2024 to 2034. - Population in new units is derived from Schedules 2 and 3, which incorporate historical development activity, anticipated units (see unit mix discussion) and average persons per unit (P.P.U.) by dwelling type for new units. [1] Institutional population largely includes special care facilities such as nursing home or residences for senior citizens. A P.P.U. of 1.100 depicts 1-bedroom and 2-or-more- bedroom units in collective households. Watson & Associates Economists Ltd. PAGE 3-7 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx - Schedule 5a summarizes the average P.P.U. assumed for new housing units by age and type of dwelling based on Statistics Canada 2021 custom Census data for the Municipality. Due to data limitations medium and high density P.P.U. data was derived from Peterborough County which includes the Municipality, and is outlined in Schedule 5b. The total calculated P.P.U. for all density types has been adjusted accordingly to account for the P.P.U. trends which has been recently experienced in both new and older units. Forecasted 15-year average P.P.U.s by dwelling type are as follows: o Low density: 2.398 o Medium density: 2.034 o High density: 1.681 o Seasonal: 3.580 4. Existing Units and Population Change (Appendix A - Schedules 2 and 3) - Existing households for mid-2024 are based on the 2021 Census households, plus estimated residential units constructed between mid- 2021 to the beginning of the growth period, assuming a minimum six- month lag between construction and occupancy (see Schedule 2). - The change in average occupancy levels for existing housing units is calculated in Schedules 2 and 3.[1] The forecast population change in existing households over the 2024 to 2034 forecast period is forecast to decline by approximately 180. 5. Employment (Appendix A - Schedules 7a and 7b) - The employment projections provided herein are largely based on the activity rate method, which is defined as the number of jobs in the Municipality divided by the number of residents. Key employment sectors include primary, industrial, commercial/population-related, institutional, and work at home, which are considered individually below. [1] Change in occupancy levels for existing households occurs due to aging of the population and family life cycle changes, lower fertility rates and changing economic conditions. Watson & Associates Economists Ltd. PAGE 3-8 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx - 2016 employment data [1],[2] (place of work) for the Municipality is outlined in Schedule 7a. The 2016 employment base is comprised of the following sectors: o 25 primary (3%) o 320 work at home employment (44%); o 53 industrial (7%); o 298 commercial/population-related (41%); and o 35 institutional (5%). - The 2016 employment by usual place of work, including work at home, is 730. An additional 160 employees have been identified for the Municipality in 2016 that have no fixed place of work (N.F.P.O.W.).[3] - Total employment, including work at home and N.F.P.O.W. for the Municipality is anticipated to reach approximately 1,270 by mid-2034. This represents an employment increase of approximately 230 for the 2024 to 2034 forecast period. - Schedule 7b, Appendix A, summarizes the employment forecast, excluding work at home employment and N.F.P.O.W. employment, which is the basis for the D.C. employment forecast. The impact on municipal services from work at home employees has already been included in the population forecast. The need for municipal services related to N.F.P.O.W. employees has largely been included in the employment forecast by usual place of work (i.e., employment and gross floor area generated from N.F.P.O.W. construction employment). Furthermore, since these employees have no fixed work address, they cannot be captured in the non-residential G.F.A. calculation. Accordingly, work at home and N.F.P.O.W. employees have been removed from the D.C.A. employment forecast and calculation. [1] 2016 employment is based on Statistics Canada 2016 Place of Work Employment dataset by Watson & Associates Economists Ltd. [2] Statistics Canada 2021 Census place of work employment data has been reviewed. The 2021 Census employment results have not been utilized due to a significant increase in work at home employment captured due to Census enumeration occurring during the provincial COVID-19 lockdown from April 1, 2021 to June 14, 2021. [2] No fixed place of work is defined by Statistics Canada as "persons who do not go from home to the same workplace location at the beginning of each shift. Such persons include building and landscape contractors, travelling salespersons, independent truck drivers, etc." Watson & Associates Economists Ltd. PAGE 3-9 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx - Total employment for the Municipality (excluding work at home and N.F.P.O.W. employment) is anticipated to reach approximately 640 by mid-2034. This represents an employment increase of approximately 170 for the forecast period. 6. Non-Residential Sq.ft. Estimates (G.F.A.), Appendix A - Schedule 7b) - Square footage estimates were calculated in Schedule 7b based on the following employee density assumptions: o 3,000 sq.ft. per employee for primary; o 1,300 sq.ft. per employee for industrial; o 510 sq.ft. per employee for commercial/population-related; and o 700 sq.ft. per employee for institutional employment. - The Municipal-wide incremental G.F.A. is anticipated to increase by 183,000 sq.ft. over the forecast period. - In terms of percentage growth, the 2024 to 2034 incremental G.F.A. forecast by sector is broken down as follows: o Primary - 3% o industrial - 78%; o commercial/population-related - 13%; and o institutional - 5%. Watson & Associates Economists Ltd. H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Chapter 4 The Approach to the Calculation of the Charge Watson & Associates Economists Ltd. PAGE 4-1 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx 4. The Approach to the Calculation of the Charge 4.1 Introduction This chapter addresses the requirements of subsection 5 (1) of the D.C.A. with respect to the establishment of the need for service which underpins the D.C. calculation. These requirements are illustrated schematically in Figure 4-1. 4.2 Services Potentially Involved Table 4-2 lists the full range of municipal services that are provided by the Municipality. A number of these services are not listed as eligible services for inclusion in a D.C. by- law as per subsection 2 (4) of the D.C.A. These are shown as "ineligible" on Table 4-2. Two ineligible costs defined in subsection 5 (3) of the D.C.A. are "computer equipment" and "rolling stock with an estimated useful life of (less than) seven years." Furthermore, studies are also no longer an eligible capital cost. In addition, local roads are covered separately under subdivision agreements and related means (as are other local services). Services which are potentially eligible for inclusion in the Municipality's D.C. are indicated with a "Yes." 4.3 Increase in the Need for Service The D.C. calculation commences with an estimate of "the increase in the need for service attributable to the anticipated development," for each service to be covered by the by-law. There must be some form of link or attribution between the anticipated development and the estimated increase in the need for service. While the need could conceivably be expressed generally in terms of units of capacity, subsection 5 (1) 3, which requires that Council indicate that it intends to ensure that such an increase in need will be met, suggests that a project-specific expression of need would be most appropriate. Watson & Associates Economists Ltd. PAGE 4-2 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Figure 4-1 The Process of Calculating a Development Charge under the Act that must be followed Watson & Associates Economists Ltd. PAGE 4-3 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Table 4-1 Categories of Municipal Services to be Addressed as Part of the Calculation - Eligibility Legend Eligibility for Inclusion in the D.C. Calculation Description Yes Municipality provides the service - service has been included in the D.C. calculation. No Municipality provides the service - service has not been included in the D.C. calculation. n/a Municipality does not provide the service. Ineligible Service is ineligible for inclusion in the D.C. calculation. Table 4-2 Categories of Municipal Services to be Addressed as Part of the Calculation Categories of Municipal Services Inclusion in the D.C. Calculation Service Components 1. Water supply services, including distribution and treatment services n/a n/a n/a n/a 1.1 Treatment plants 1.2 Distribution systems 1.3 Local systems 1.4 Vehicles and equipment1 2. Wastewater services, including sewers and treatment services n/a n/a n/a n/a 2.1 Treatment plants 2.2 Sewage trunks 2.3 Local systems 2.4 Vehicles and equipment1 3. Stormwater Drainage and Control Services No No No 3.1 Main channels and drainage trunks 3.2 Channel connections 3.3 Retention/detention ponds 1 with a 7+ year useful life Watson & Associates Economists Ltd. PAGE 4-4 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Categories of Municipal Services Inclusion in the D.C. Calculation Service Components 4. Services Related to a Highway Yes Yes Yes No Yes Yes Yes Yes Yes 4.1 Arterial roads 4.2 Collector roads 4.3 Bridges, Culverts and Roundabouts 4.4 Local municipal roads 4.5 Traffic signals 4.6 Sidewalks and streetlights 4.7 Active Transportation 4.8 Works Yard 4.9 Rolling stock1 5. Electrical Power Services n/a n/a n/a 5.1 Electrical substations 5.2 Electrical distribution system 5.3 Electrical system rolling stock1 6. Transit Services No No 6.1 Transit vehicles1 & facilities 6.2 Other transit infrastructure 7. Waste Diversion Services n/a n/a 7.1 Waste diversion facilities 7.2 Waste diversion vehicles and equipment1 8. Policing Services n/a n/a n/a 8.1 Police detachments 8.2 Police rolling stock1 8.3 Small equipment and gear 9. Fire Protection Services Yes Yes Yes 9.1 Fire stations 9.2 Fire Vehicles1 9.3 Fire Equipment and gear 10. Ambulance Services n/a n/a 10.1 Ambulance station space 10.2 Vehicles1 11. Services provided by a board within the meaning of the Public Libraries Act Yes n/a Yes 11.1 Public library space (incl. furniture and equipment) 11.2 Library vehicles1 11.3 Library materials 12. Services Related to Long- Term Care n/a n/a 12.1 Long-Term Care space 12.2 Vehicles1 1 with a 7+ year useful life Watson & Associates Economists Ltd. PAGE 4-5 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Categories of Municipal Services Inclusion in the D.C. Calculation Service Components 13. Parks and Recreation Services Ineligible Yes Yes Yes Yes 13.1 Acquisition of land for parks, woodlots and E.S.A.s 13.2 Development of municipal parks 13.3 Parks rolling stock1 and yards 13.4 Facilities, such as arenas, indoor pools, fitness facilities, community centres, etc. 13.5 Recreation vehicles and equipment1 14. Services Related to Public Health n/a n/a 14.1 Public Health department space 14.2 Public Health department vehicles1 15. Child Care and Early Years Programs and Services within the meaning of Part VI of the Child Care and Early Years Act, 2014 and any related services. n/a n/a 15.1 Childcare space 15.2 Vehicles1 16. Services related to proceedings under the Provincial Offences Act, including by-law enforcement services and municipally administered court services n/a n/a 16.1 P.O.A. space, including by-law enforcement and municipally administered court services 16.2 Vehicles1 17. Services Related to Emergency Preparedness No No 17.1 Emergency Preparedness Space 17.2 Equipment 18. Services Related to Airports n/a Ineligible 18.1 Airports (in the Regional Municipality of Waterloo) 18.2 Other Airports 19. Other Yes 19.1 Interest on money borrowed to pay for growth-related capital 1 with a 7+ year useful life Watson & Associates Economists Ltd. PAGE 4-6 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx 4.4 Local Service Policy Some of the need for services generated by additional development consists of local services related to a plan of subdivision. As such, they will be required as a condition of subdivision agreements or consent conditions. 4.5 Capital Forecast Paragraph 7 of subsection 5 (1) of the D.C.A. requires that "the capital costs necessary to provide the increased services must be estimated." The Act goes on to require potential cost reductions and the regulation sets out the way in which such costs are to be presented. These requirements are outlined below. These estimates involve capital costing of the increased services discussed above. This entails costing actual projects or the provision of service units, depending on how each service has been addressed. The capital costs include: a) costs to acquire land or an interest therein (including a leasehold interest); b) costs to improve land; c) costs to acquire, lease, construct or improve buildings and structures; d) costs to acquire, lease or improve facilities, including rolling stock (with a useful life of 7 or more years), furniture and equipment (other than computer equipment), materials acquired for library circulation, reference, or information purposes; and e) interest on money borrowed to pay for the above-referenced costs. In order for an increase in need for service to be included in the D.C. calculation, municipal Council must indicate "that it intends to ensure that such an increase in need will be met" (subsection 5 (1) 3). This can be done if the increase in service forms part of a Council-approved Official Plan, capital forecast, or similar expression of the intention of Council (O. Reg. 82/98 section 3). The capital program contained herein reflects the Municipality's approved and proposed capital budgets and master servicing/needs studies. Watson & Associates Economists Ltd. PAGE 4-7 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx 4.6 Treatment of Credits Section 8, paragraph 5, of O. Reg. 82/98 indicates that a D.C. background study must set out "the estimated value of credits that are being carried forward relating to the service." Subsection 17, paragraph 4, of the same regulation indicates that, "...the value of the credit cannot be recovered from future D.C.s," if the credit pertains to an ineligible service. This implies that a credit for eligible services can be recovered from future D.C.s. As a result, this provision should be made in the calculation, in order to avoid a funding shortfall with respect to future service needs. The Municipality has no outstanding D.C. credit obligations. 4.7 Eligible Debt and Committed Excess Capacity Section 66 of the D.C.A. states that for the purposes of developing a D.C. by-law, a debt incurred with respect to an eligible service may be included as a capital cost, subject to any limitations or reductions in the Act. Similarly, s.18 of O. Reg. 82/98 indicates that debt with respect to an ineligible service may be included as a capital cost, subject to several restrictions. In order for such costs to be eligible, two conditions must apply. First, they must have funded excess capacity which is able to meet service needs attributable to the anticipated development. Second, the excess capacity must be "committed," that is, either before or at the time it was created, Council must have expressed a clear intention that it would be paid for by D.C.s or other similar charges. For example, this may have been done as part of previous D.C. processes. 4.8 Existing Reserve Funds Section 35 of the D.C.A. states that: "The money in a reserve fund established for a service may be spent only for capital costs determined under paragraphs 2 to 8 of subsection 5(1)." There is no explicit requirement under the D.C.A. calculation method set out in s.s.5(1) to net the outstanding reserve fund balance as part of making the D.C. calculation; however, s.35 does restrict the way in which the funds are used in future. Watson & Associates Economists Ltd. PAGE 4-8 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx The Municipality's D.C. Reserve Funds balances, by service, are presented in Table 4-3 below. 2022 year-end reserve fund balances have been adjusted to account for eligible and actual reserve fund draws and commitments occurring over the 2019 to 2023 period. Furthermore, the reserve funds have also been adjusted to account for estimated 2023 D.C. revenues. These balances have been applied against future spending requirements for all services. Existing reserve funds for Growth Related Studies have not been included in the D.C. assessment as study costs are not longer eligible for recovery under a D.C. by-law. Growth-Related Studies reserve funds should be transferred to a general capital reserve and used for the same purposes as they were collected. Table 4-3 Municipality of Trent Lakes Estimated D.C. Reserve Funds Balances 4.9 Deductions The D.C.A. potentially requires that four deductions be made to the increase in the need for service. These relate to: - the level of service ceiling; - uncommitted excess capacity; - benefit to existing development; and - anticipated grants, subsidies, and other contributions. The requirements behind each of these reductions are addressed as follows: Service 2022 Year-End Reserve Fund Balance 2019-2023 Adjustment 2023 D.C. Revenue Adjusted Balance Services Related to a Highway 686,204 (100,962) 107,648 692,891 Fire Protection Services 38,358 (12,680) 26,233 51,911 Parks and Recreation Services 68,643 (58,617) 7,756 17,782 Library Services 32,232 - 3,050 35,282 Growth Related Studies 48,658 52,351 10,522 111,531 Total 874,095 (119,908) 155,209 909,396 Watson & Associates Economists Ltd. PAGE 4-9 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx 4.9.1 Reduction Required by Level of Service Ceiling This is designed to ensure that the increase in need included in 4.3 does "...not include an increase that would result in the level of service (for the additional development increment) exceeding the average level of the service provided in the Municipality over the 15-year period immediately preceding the preparation of the background study..." O. Reg. 82.98 (s.4) goes further to indicate that, "...both the quantity and quality of a service shall be taken into account in determining the level of service and the average level of service." In many cases, this can be done by establishing a quantity measure in terms of units as floor area, land area or road length per capita, and a quality measure in terms of the average cost of providing such units based on replacement costs, engineering standards or recognized performance measurement systems, depending on circumstances. When the quantity and quality factors are multiplied together, they produce a measure of the level of service which meets the requirements of the Act, i.e., cost per unit. The average service level calculation sheets for each service component in the D.C. calculation are set out in Appendix B. 4.9.2 Reduction for Uncommitted Excess Capacity Paragraph 5 of subsection 5 (1) requires a deduction from the increase in the need for service attributable to the anticipated development that can be met using the Municipality's "excess capacity," other than excess capacity which is "committed." "Excess capacity" is undefined, but in this case must be able to meet some or all of the increase in need for service, in order to potentially represent a deduction. The deduction of uncommitted excess capacity from the future increase in the need for service would normally occur as part of the conceptual planning and feasibility work associated with justifying and sizing new facilities, e.g., if a road widening to accommodate increased traffic is not required because sufficient excess capacity is already available, then widening would not be included as an increase in need, in the first instance. Watson & Associates Economists Ltd. PAGE 4-10 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx 4.9.3 Reduction for Benefit to Existing Development Section 5 (1) 6 of the D.C.A. provides that, "The increase in the need for service must be reduced by the extent to which an increase in service to meet the increased need would benefit existing development." The general guidelines used to consider benefit to existing development included: - the repair or unexpanded replacement of existing assets that are in need of repair; - an increase in average service level of quantity or quality (compare water as an example); - the elimination of a chronic servicing problem not created by growth; and - providing services where none previously existed (generally considered for water or wastewater services). This step involves a further reduction in the need by the extent to which such an increase in service would benefit existing development. The level of service cap in section 4.9.1 is related but is not the identical requirement. Sanitary, storm, and water trunks are highly localized to growth areas and can be more readily allocated in this regard than other services such as services related to a highway, which do not have a fixed service area. Where existing development has an adequate service level which will not be tangibly increased by an increase in service, no benefit would appear to be involved. For example, where expanding existing library facilities simply replicates what existing residents are receiving, they receive very limited (or no) benefit as a result. On the other hand, where a clear existing service problem is to be remedied, a deduction should be made accordingly. In the case of services such as recreation facilities, community parks, libraries, etc., the service is typically provided on a municipal-wide system basis. For example, facilities of the same type may provide different services (i.e., leisure pool vs. competitive pool), different programs (i.e., hockey vs. figure skating), and different time availability for the same service (i.e., leisure skating available on Wednesdays in one arena and Thursdays in another). As a result, residents will travel to different facilities to access the services they want at the times they wish to use them, and facility location generally does not correlate directly with residence location. Even where it does, displacing users Watson & Associates Economists Ltd. PAGE 4-11 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx from an existing facility to a new facility frees up capacity for use by others and generally results in only a very limited benefit to existing development. Further, where an increase in demand is not met for a number of years, a negative service impact to existing development is involved for a portion of the planning period. 4.9.4 Reduction for Anticipated Grants, Subsidies and Other Contributions This step involves reducing the capital costs necessary to provide the increased services by capital grants, subsidies, and other contributions (including direct developer contributions required due to the local service policy) made or anticipated by Council and in accordance with various rules such as the attribution between the share related to new vs. existing development. That is, some grants and contributions may not specifically be applicable to growth or where Council targets fundraising as a measure to offset impacts on taxes (O. Reg. 82/98, section 6). 4.10 Municipal-Wide vs. Area Rating This step involves determining whether all the subject costs are to be recovered on a uniform municipal-wide basis or whether some or all are to be recovered on an area- specific basis. Under the D.C.A., it is now mandatory to "consider" area-rating of services (providing charges for specific areas and services), however, it is not mandatory to implement area-rating. Further discussion is provided in section 7.3.8. 4.11 Allocation of Development This step involves relating the costs involved to anticipated development for each period under consideration and using allocations between residential and non-residential development and between one type of development and another, to arrive at a schedule of charges. Watson & Associates Economists Ltd. H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Chapter 5 D.C.-Eligible Cost Analysis by Service Watson & Associates Economists Ltd. PAGE 5-1 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx 5. D.C.-Eligible Cost Analysis by Service 5.1 Introduction This chapter outlines the basis for calculating eligible costs for the D.C.s to be applied on a uniform basis. In each case, the required calculation process set out in subsection 5 (1) paragraphs 2 to 7 in the D.C.A. and described in Chapter 4 was followed in determining D.C.-eligible costs. The nature of the capital projects and timing identified in this chapter reflects Council's current intention. Over time, however, Municipal projects and Council priorities change; and accordingly, Council's intentions may alter, and different capital projects (and timing) may be necessary to meet the need for services required by new growth. 5.2 Service Levels and 10-Year Capital Costs for D.C. Calculation This section evaluates the development-related capital requirements for select services over the 10-year planning period (2024-2033). Each service is evaluated on two format sheets: the average historical 15-year level of service calculation (see Appendix B), which "caps" the D.C. amounts; and the infrastructure cost calculation, which determines the potential D.C. recoverable cost. 5.2.1 Services Related to a Highway The Municipality currently provides Services Related to a Highway utilizing an inventory of 301 km of roads, 711 bridges and culverts, 32 vehicles, and six facilities. This results in a total level of investment of $10,955 per capita and employee on average over the past 15-years. When applied against the 10-year anticipated growth (i.e., 375 population and 170 employment growth, not including institutional population but including seasonal population), this results in a maximum D.C.-eligible amount of $6.0 million that could be included in the calculation of the charge. To provide service for new development over the forecast period, there is a need for capital projects totaling $21.4 million, which will focus on improving roads and providing additional public works facility space. Out of the overall gross capital costs, $18.6 million has been deducted as cost that pertain to the benefits that existing development Watson & Associates Economists Ltd. PAGE 5-2 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx will receive. $1.7 million of the net D.C.-eligible capital costs is included in the calculation of the charge after deducting $359,000 for benefits related to development beyond the 10-year forecast period and $693,000 for D.C. reserve funds already collected towards the future needs. The net D.C. recoverable costs are then attributed 69% to residential development and 31% to non-residential development based on the share of population to employment growth anticipated over the 10-year period (i.e., 375 population and 170 employment). The D.C. recoverable costs are calculated in Table 5-1 for Services Related to a Highway. 5.2.2 Fire Protection Services Fire Protection Services in the Municipality are provided through four fire halls. Included within these four fire halls are 25 vehicles and 224 items of equipment. This investment in infrastructure equates to an average per capita and employee investment of $1,120 over the historical 2009 to 2023, period. The forecast growth of 545 persons and employees over the next 10-year period result in a maximum D.C.-eligible amount that could be included in the calculation of $610,000. Capital needs to service this future growth include the fire share of the joint public works and fire facilities that the Municipality is constructing over the forecast period. The total capital program is estimated at $17.1 million from which $616,000 is deducted recognizing that the capital projects benefit to growth outside the 10 year planning horizon. Furthermore $15.8 million is deducted as a benefit to existing development in the Municipality resulting in $610 thousand being eligible to be recovered from D.C.s after deducting the existing reserve fund balance of $52,000. These costs are then attributed, in the same manner as services Related to a Highway, 69% to residential development and 31% to non-residential development based on the share of population to employment growth anticipated over the 10-year period. The D.C. recoverable costs are calculated in Table 5-2 for Fire Protection Services. 5.2.3 Parks and Recreation Services The Municipality currently provides Parks and Recreation Services through 42 acres of parkland that contain 19 park amenities. Additionally, the Municipality operates six recreation facilities, including storage and administration buildings. To assist in the Watson & Associates Economists Ltd. PAGE 5-3 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx maintenance of these assets and the provision of Parks and Recreation Services, the Municipality utilizes eight vehicle and equipment items. Over the past 15-year years, the investments in these assets equate to an average per capita level of service of $556. Based on this level of investment and the anticipated growth in the 10-year forecast period (i.e., net population growth of 375 persons), the maximum D.C.-eligible amount that could be included in the calculation of the charges is $209 thousand. The 10-year capital needs required to meet the needs of the anticipated development total $6.5 million. $345,000 of these costs are for parks and recreation space in the 49 Depot Public Works facility and $6 million of the costs are to accommodate future needs identified the Open Spaces Master Plan undertaken by the Municipality. Deducted from the $6.5 million in estimated capital costs is $6.3 million to account for the benefit to existing development and $18,000 for existing D.C. reserve funds collected towards the future increase in need for service. The net D.C. recoverable costs included in the calculation of the charge total $141,000. These costs are then allocated 95% to residential development and 5% to non- residential development as the residential population tends to be the predominant users of Parks and Recreations Services. The D.C. recoverable costs are calculated in Table 5-3 for Parks and Recreation Services. 5.2.4 Library Services The Municipality currently provides Library Services through the use of two facilities with a total of 3,049 sq.ft. of G.F.A. Library Services also provide a total of 21,009 collection materials, E-Resource Subscriptions, and Database Subscriptions valued at $316. These assets provide an average per capita level of service of $130 over the 15-year historical period. When applied against the 10-year forecast population of 375, the maximum D.C.-eligible cost that could be included in the charge is $48,800. Future capital needs identified by the Municipality to service the growth include additional collection materials and a provision for additional library facility space. The materials and facility space provision over the 10-year forecast period have a total gross capital cost of $48,800. The Municipality's library D.C. reserve fund is currently at a balance of $35,300 resulting net D.C. recoverable costs of $13,500 being included in the D.C. calculation. Watson & Associates Economists Ltd. PAGE 5-4 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx The D.C. recoverable costs are allocated to residential and non-residential on a 95%/5% split based as residents are the predominant users of Library Services. The D.C. recoverable costs are calculated in Table 5-4 for Library Services. Watson & Associates Economists Ltd. PAGE 5-5 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Table 5-1 Infrastructure Costs Covered in the D.C. Calculation - Services Related to a Highway Less: Potential D.C. Recoverable Cost Proj. No. Residential Share Non- Residential Share 2024 to 2033 69% 31% New Facilities - - - - - - - 1 49 Depot (PW Share) 2024 9,944,171 359,308 9,584,863 7,337,838 2,247,025 1,550,447 696,578 2 Buckhorn PW/Fire Facility (PW Share) 2024 3,865,467 3,865,467 3,865,467 - - - 3 Galway PW/Fire Facility (PW Share) 2028 729,333 729,333 729,333 - - - 4 Cavendish PW/Fire Facility (PW Share) 2026 1,458,667 1,458,667 1,458,667 - - - - - - - - - - 5 Hard Top Road Improvement Plan 2024-2033 5,371,000 - 5,371,000 5,204,400 166,600 114,954 51,646 - - - - - - - Reserve Fund Adjustment - - - - (692,891) (478,095) (214,796) Total 21,368,638 359,308 21,009,330 18,595,705 - 1,720,734 1,187,307 533,428 Total Increased Service Needs Attributable to Anticipated Development Timing (year) Gross Capital Cost Estimate (2024$) Post Period Benefit Net Capital Cost Benefit to Existing Development Grants, Subsidies and Other Contributions Attributable to New Development Watson & Associates Economists Ltd. PAGE 5-6 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Table 5-2 Infrastructure Costs Covered in the D.C. Calculation - Fire Protection Services Less: Potential D.C. Recoverable Cost Proj. No. Residential Share Non- Residential Share 2024 to 2033 69% 31% 1 Pumper Tanker (4) 2024-2033 2,480,000 69,117 2,410,883 2,327,600 83,283 57,465 25,818 2 Side-by-Side and Trailer 2024 55,000 10,930 44,070 30,900 13,170 9,087 4,083 3 Cargo/Transit Van - Unit 21 2024 100,000 45,353 54,647 - 54,647 37,707 16,941 4 Firefighter Equipment 2024-2033 126,500 57,371 69,129 - 69,129 47,699 21,430 - - - - - - - New Facilities - - - - - - - 5 Buckhorn PW/Fire Facility (Fire Share) 2024 6,134,533 185,537 5,948,997 5,759,491 189,506 130,759 58,747 6 Galway PW/Fire Facility (Fire Share) 2028 4,089,689 123,691 3,965,998 3,839,661 126,337 87,173 39,164 7 Cavendish PW/Fire Facility (Fire Share) 2026-2033 4,089,689 123,691 3,965,998 3,839,661 126,337 87,173 39,164 - - - - - - - Reserve Fund Adjustment - - - - (51,911) (35,818) (16,092) Total 17,075,411 615,690 16,459,721 15,797,312 - 610,498 421,244 189,254 Post Period Benefit Net Capital Cost Gross Capital Cost Estimate (2024$) Increased Service Needs Attributable to Anticipated Development Timing (year) Benefit to Existing Development Grants, Subsidies and Other Contributions Attributable to New Development Total Watson & Associates Economists Ltd. PAGE 5-7 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Table 5-3 Infrastructure Costs Covered in the D.C. Calculation - Parks and Recreation Services Proj. No. Residential Share Non- Residential Share 2024 to 2033 95% 5% 1 Tractor 2024-2033 115,500 - 115,500 113,000 2,500 2,375 125 2 49 Depot (Dedicated Mechanic's Facility) 2024-2033 345,191 - 345,191 318,600 26,591 25,261 1,330 - - - - - - - Open Spaces Master Plan - - - - - - - 3 Adam and Eve Rocks 2024-2033 8,400 - 8,400 8,200 200 190 10 4 Ode'Naang 2024-2033 607,800 - 607,800 594,700 13,100 12,445 655 5 Cavendish Community Centre 2024-2033 673,000 - 673,000 658,500 14,500 13,775 725 6 Sandy Beach Park 2024-2033 432,900 - 432,900 423,600 9,300 8,835 465 7 Trail Recommendations 2024-2033 4,300,100 - 4,300,100 4,207,400 92,700 88,065 4,635 - - - - - - - Reserve Fund Adjustment - - - - (17,782) (16,893) (889) Total 6,482,891 - 6,482,891 6,324,000 - 141,109 134,054 7,055 Gross Capital Cost Estimate (2024$) Increased Service Needs Attributable to Anticipated Development Timing (year) Post Period Benefit Net Capital Cost Less: Potential D.C. Recoverable Cost Benefit to Existing Development Grants, Subsidies and Other Contributions Attributable to New Development Total Watson & Associates Economists Ltd. PAGE 5-8 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Table 5-4 Infrastructure Costs Covered in the D.C. Calculation - Library Services Proj. No. Residential Share Non- Residential Share 2024 to 2033 95% 5% 1 Provision for Library Collection Materials 2024-2033 17,051 - 17,051 - 17,051 16,199 853 2 Provision for Library Facility Space 2024-2033 31,703 - 31,703 - 31,703 30,117 1,585 - - - - - - - Reserve Fund Adjustment - - - - (35,282) (33,518) (1,764) Total 48,754 - 48,754 - - 13,472 12,798 674 Net Capital Cost Benefit to Existing Development Grants, Subsidies and Other Contributions Attributable to New Development Gross Capital Cost Estimate (2024$) Total Less: Potential D.C. Recoverable Cost Post Period Benefit Increased Service Needs Attributable to Anticipated Development Timing (year) Watson & Associates Economists Ltd. H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Chapter 6 D.C. Calculation Watson & Associates Economists Ltd. PAGE 6-1 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx 6. D.C. Calculation Table 6-1 presents the Municipal-wide D.C. calculation for all services over the 10-year planning horizon (i.e., 2024-2033). The calculation for residential development is generated on a per capita basis and is based upon five forms of housing types (single and semi-detached, apartments 2+ bedrooms, apartment's bachelor and 1 bedroom, all other multiples, and park model trailers). Furthermore, the charge for park model trailers does not apply to Parks and Recreation Services. The non-residential D.C. has been calculated uniformly on a per sq.m. of G.F.A. basis. Special care facilities such as retirement and nursing homes are considered in the growth forecast as part of institutional development, and thus, they will be subject to non-residential D.C. charges. Green Energy developments (wind or solar) are included within the forecast of industrial development. As these developments do not produce G.F.A. similar to other industrial developments, a charging mechanism is deemed. Each wind turbine or 500 kilowatts of nameplate generating capacity for solar developments is deemed to be equivalent to a residential single detached unit, as it relates to Roads and Related and Fire Protection Services only. Table 6-2 summarizes the recommended schedule of charges, reflecting the maximum D.C.s (i.e., fully phased-in D.C.s) and year one D.C.s (i.e., 80% of the maximum charge) by residential dwelling type, per sq.m. of G.F.A. for non-residential development, per wind turbine and per 500 kW nameplate generating capacity. Table 6-3 compares the Municipality's existing charges to the charges (fully phased-in and year one charges) proposed herein (Table 6-2), for a single detached residential dwelling unit and per sq.m. of G.F.A. for non-residential development. The year one calculated charges are $6,067 for a single detached residential dwelling unit, and $34.36 per sq.m. of non-residential G.F.A. The year one residential charges for a single detached dwelling unit represent a 6% increase (+$318) over the current charges of $5,749 and the year one non-residential charges represent a 100% increase over the current charges ($17.17 per sq.m. for non-aggregate development)1. 1 The Municipality current imposes lower non-residential charges for non-aggregate developments (See Table 2-1) Watson & Associates Economists Ltd. PAGE 6-2 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Table 6-1 Municipal-Wide Services D.C. Calculation 2024-2033 Table 6-2 Schedule of Calculated D.C.s 2024$ D.C.-Eligible Cost 2024$ D.C.-Eligible Cost SERVICE/CLASS Residential Non-Residential S.D.U. per sq.m. $ $ $ $ 1. Services Related to a Highway 1,187,307 533,428 5,130 31.38 2. Fire Protection Services 421,244 189,254 1,820 11.13 3. Parks and Recreation Services 134,054 7,055 579 0.41 4. Library Services 12,798 674 55 0.04 TOTAL $1,755,402 $730,411 $7,584 $42.96 D.C.-Eligible Capital Cost $1,755,402 $730,411 10-Year Gross Population/GFA Growth (sq.m.) 555 17,001 Cost Per Capita/Non-Residential GFA (sq.m.) $3,162.89 $42.96 By Residential Unit Type P.P.U. Single and Semi-Detached Dwelling 2.398 $7,584 Other Multiples 2.034 $6,433 Apartments - 2 Bedrooms + 1.999 $6,322 Apartments - Bachelor and 1 Bedroom 1.165 $3,684 Single and Semi-Detached Dwelling Other Multiples Apartments - 2 Bedrooms + Apartments - Bachelor and 1 Bedroom Park Model Trailers (per sq.m. of Gross Floor Area) Per 500kW Nameplate Generating Capacity (Green Energy Developments) Municipal Wide Services Services Related to a Highway 5,130 4,351 4,276 2,492 2,492 31.38 5,130 Fire Protection Services 1,820 1,544 1,517 884 884 11.13 1,820 Parks and Recreation Services 579 491 483 281 0.41 Library Services 55 47 46 27 27 0.04 Total Municipal Wide Services 7,584 6,433 6,322 3,684 3,403 42.96 6,950 Total Municipal Wide Services (80% of Full Charge) 6,067 5,146 5,058 2,947 2,722 34.37 5,560 RESIDENTIAL ($) Service NON-RESIDENTIAL ($) Watson & Associates Economists Ltd. PAGE 6-3 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Table 6-3 Comparison of Current and Calculated D.C.s Service Current Calculated (2024$) Change ($) Change (%) Municipal Wide Services Services Related to a Highway 3,764 5,130 1,366 36% Fire Protection Services 1,280 1,820 540 42% Parks and Recreation Services 341 579 238 70% Library Services 81 55 (26) -32% Administration Studies 283 Total Municipal Wide Services 5,749 7,584 1,835 32% Year 1 Charge (80% of Full Charge) 5,749 6,067 318 6% Service Current Calculated (2024$) Change ($) Change (%) Municipal Wide Services Services Related to a Highway 11.48 31.38 19.90 173% Fire Protection Services 3.76 11.13 7.37 196% Parks and Recreation Services 0.37 0.41 0.04 10% Library Services 0.10 0.04 (0.06) -60% Administration Studies 1.45 Total Municipal Wide Services 17.17 42.96 25.79 150% Year 1 Charge (80% of Full Charge) 17.17 34.37 17.20 100% Residential (Single Detached) Comparison Non-Residential (per sq.m.) Comparison Watson & Associates Economists Ltd. H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Chapter 7 D.C. Policy Recommendations and D.C. Policy Rules Watson & Associates Economists Ltd. PAGE 7-1 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx 7. D.C. Policy Recommendations and D.C. Policy Rules 7.1 Introduction This chapter outlines the D.C. policy recommendations and by-law rules. Subsection 5 (1) 9 of the D.C.A. states that rules must be developed: "to determine if a development charge is payable in any particular case and to determine the amount of the charge, subject to the limitations set out in subsection 6." Paragraph 10 of the section goes on to state that the rules may provide for exemptions, phasing in and/or indexing of D.C.s. Subsection 5 (6) establishes the following restrictions on the rules: - the total of all D.C.s that would be imposed on anticipated development must not exceed the capital costs determined under subsection 5 (1) 2-7 for all services involved; - if the rules expressly identify a type of development, they must not provide for it to pay D.C.s that exceed the capital costs that arise from the increase in the need for service for that type of development; however, this requirement does not relate to any particular development; and - if the rules provide for a type of development to have a lower D.C. than is allowed, the rules for determining D.C.s may not provide for any resulting shortfall to be made up via other development. With respect to "the rules," section 6 states that a D.C. by-law must expressly address the matters referred to above re subsection 5 (1) paragraphs 9 and 10, as well as how the rules apply to the redevelopment of land. The rules provided give consideration for the changes to the D.C.A. resulting from Bills 108, 213, 197, 109, 23, 97, and 134. However, these policies are provided for Council's consideration and may be refined prior to adoption of the by-law. Watson & Associates Economists Ltd. PAGE 7-2 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx 7.2 D.C. By-law Structure It is recommended that: - The Municipality uses a uniform municipal-wide D.C. calculation for all services considered herein; - The Municipality uses individual D.C. by-laws for each eligible service to be recovered through D.C.s. 7.3 D.C. By-law Rules The following sets out the recommended rules governing the calculation, payment, and collection of D.C.s in accordance with subsection 6 of the D.C.A. 7.3.1 Payment in any Particular Case In accordance with the D.C.A., s.2(2), a D.C. be calculated, payable and collected where the development requires one or more of the following: (a) the passing of a zoning by-law or of an amendment to a zoning by-law under section 34 of the Planning Act; (b) the approval of a minor variance under section 45 of the Planning Act; (c) a conveyance of land to which a by-law passed under subsection 50 (7) of the Planning Act applies; (d) the approval of a plan of subdivision under section 51 of the Planning Act; (e) a consent under section 53 of the Planning Act; (f) the approval of a description under section 9 of the Condominium Act, 1998; or (g) the issuing of a permit under the Building Code Act, 1992 in relation to a building or structure. 7.3.2 Determination of the Amount of the Charge The following conventions be adopted: 1) Costs allocated to residential uses will be assigned to different types of residential units based on the average occupancy for each housing type constructed during the previous 15-year period. Costs allocated to non-residential uses will be assigned Watson & Associates Economists Ltd. PAGE 7-3 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx based on the amount of square feet of G.F.A. constructed for eligible uses (i.e., primary, industrial, commercial, and institutional). 2) Costs allocated to residential and non-residential uses are based upon a number of conventions, as may be suited to each municipal circumstance, as follows: - For Library Services and Parks and Recreation Services, a 5% non- residential attribution has been made to recognize use by the non-residential sector; and - For Fire Protection Services and Services Related to a Highway a 69% residential and 31% non-residential attribution has been made based on a population vs. employment growth ratio over the municipal-wide forecast period. 7.3.3 Application to Redevelopment of Land (Demolition and Conversion) If a development involves the demolition and replacement of a building or structure on the same site, or the conversion from one principal use to another, the developer shall be allowed a credit equivalent to: - the number of dwelling units demolished/converted multiplied by the applicable residential D.C. in place at the time the D.C. is payable; and/or - the G.F.A. of the building demolished/converted multiplied by the current non- residential D.C. in place at the time the D.C. is payable. The demolition credit is allowed only if the land was improved by occupied structures, and if the demolition permit related to the site was issued less than 60 months (five years) prior to the issuance of a building permit. With respect to the replacement of a building destroyed by fire or similar unintended action, the demolition credit is allowed if the land was improved by occupied structures, and if the demolition permit related to the site was issued less than 60 months (5 years) prior to the issuance of a building permit. The credit can, in no case, exceed the amount of D.C.s that would otherwise be payable. Credits are also not available where the use that was demolished/converted was not capable of being inhabited or would have been exempt under this by-law. Watson & Associates Economists Ltd. PAGE 7-4 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Furthermore, credits are not available for park model trailers if the unit being replaced was emplaced after April 16, 2019 and D.C.s were not paid. 7.3.4 Exemptions (full or partial) Statutory - The municipality or local board thereof; - A board of education; and - Industrial additions of up to and including 50% of the existing G.F.A. of the building - for industrial additions which exceed 50% of the existing G.F.A., only the portion of the addition in excess of 50% is subject to D.C.s. Exemptions will only apply to 50% of the G.F.A. that existed as at April 16, 2019. - An enlargement to an existing dwelling unit; - Additional units in existing and new residential buildings: o May add up to two apartments for a single detached, semi-detached or row house (only one unit can be in an ancillary structure) o One additional unit or 1% of the units in an existing rental residential building with four or more residential units - Non-Profit Housing; - Universities; and - Affordable Units and Attainable Units (to be in effect upon proclamation by the Lieutenant Governor) - Discounts ofr Rental Housing Development based on the number of bedrooms as follows: o >2 bedrooms - 25% discount o 2 bedrooms - 20% discount o <2 bedrooms - 15% discount Non-Statutory - Buildings or structures used as farm buildings; - Public Hospitals; - Institutional churches; - First 100 kW of generating capacity of a Wind Turbine System or Photovoltaic Generating Installation] - First 250 square meters of gross floor area of a new non-residential building; Watson & Associates Economists Ltd. PAGE 7-5 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx - Affordable housing; and - Accessory uses. 7.3.5 Transition As required by s.s. 5(8) of the D.C.A., the maximum charge shall be reduced over the first five years of the by-law as follows: - Year one - 80% of the maximum charge; - Year 2 - 85% of the maximum charge; - Year 3 - 90% of the maximum charge; - Year 4 - 95% of the maximum charge; and - Year 5 to expiry - 100% of the maximum charge. 7.3.6 Timing of Collection The D.C.s for all services and classes are payable upon issuance of a building permit for each dwelling unit, building, or structure, subject to early or late payment agreements entered into by the Municipality and an owner under s. 27 of the D.C.A. Rental housing and institutional developments will pay D.C.s in six equal annual payments commencing at occupancy. Moreover, the D.C. amount for all developments occurring within two (2) years of a Site Plan or Zoning By-law Amendment planning approval (for applications submitted after January 1, 2020), shall be determined based on the D.C. in effect on the day of the applicable Site Plan or Zoning By-law Amendment application. Installment payments and payments determined at the time of Site Plan or Zoning By- law Amendment application are subject to annual interest charges. The maximum interest rate the Municipality can impose is the average prime rate plus 1% as defined in s.s. 26.3(1) of the Act. 7.3.7 Indexing Indexing of the D.C.s shall be implemented on a mandatory basis annually on April 2 (i.e., the anticipated date of by-law passage) each year in accordance with the Statistics Watson & Associates Economists Ltd. PAGE 7-6 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Canada Quarterly, Non-Residential Building Construction Price Index (Table 18-10- 0135-01)1 for the most recent year-over-year period. 7.3.8 D.C Spatial Applicability The D.C.A. historically has provided the opportunity for a municipality to impose municipal-wide charges or area specific charges. Sections 2(7) and 2(8) of the D.C.A. provide that a D.C. by-law may apply to the entire municipality or only part of it and more than one D.C. by-law may apply to the same area. The D.C.A. now requires municipalities to consider the application of municipal-wide and area-specific D.C.s. s.10(2)(c.1) requires Council to consider the use of more than one D.C. by-law to reflect different needs from services in different areas. Most municipalities in Ontario have established uniform, municipal-wide D.C.s. When area-specific charges are used, it is generally to underpin master servicing and front-end financing arrangements for more localized capital costs. The rational for maintaining a Municipal-wide D.C. approach is based, in part, on the following: - The 15-year service level from all applicable services across the Municipality can be included to establish an upper ceiling on the amount of funds which can be collected. If a D.C. by-law applied to only a part of the municipality, the level of service cannot exceed that which would be determined if the by-law applied to the whole municipality. As such, when applied to forecast growth within the specific area, it would establish an area specific level of service ceiling which could reduce the total revenue recoverable for the municipality, potentially resulting in D.C. revenue shortfalls and impacts on property taxes. - Municipal-wide D.C.s ensures a consistent approach to financing the entire cost associated with growth-related capital projects. For example, user rates and property taxes are required to finance the share of growth-related capital projects not recoverable by D.C.s and all associated operating costs. Therefore, the use of area specific D.C.s results in a share of growth-related capital costs being 1 O. Reg. 82/98 referenced "The Statistics Canada Quarterly, Construction Price Statistics, catalogue number 62-007" as the index source. Since implementation, Statistics Canada has modified this index twice and the above-noted index is the most current. The draft by-laws provided herein refers to O. Reg. 82/98 to ensure traceability should this index continue to be modified over time. Watson & Associates Economists Ltd. PAGE 7-7 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx recovered from a specific area, with the remaining capital costs of the projects (i.e., non-D.C. recoverable share) and the associated operating costs with those new assets being recovered from uniform user rates and property taxes, applied to the entire Municipality. - Attempting to impose an area-specific D.C. potentially causes equity issues in transitioning from a municipal-wide approach to an area-specific approach. An area of a municipality that is less developed and becomes subject to an area specific D.C., could face a significant increase in D.C. rates, as the municipality will not benefit from drawing on the pool of D.C. funding and may have contributed D.C.s to fund capital required to support development in other communities of the municipality. Whereas another part of the municipality that has experienced significant growth which required substantial capital investments, benefitted from the capital investments being financed by municipal- wide D.C.s. The implementation of area specific D.C.s could result in varying D.C.s across the municipality, which may impact the ability to attract investment into parts of the community. - Services are generally available across the municipality, used often by all residents and are not restricted to one specific geographic area. The use of a municipal-wide D.C. approach reflects these system-wide benefits of service and more closely aligns with the funding principles of service provision (e.g., uniform municipal-wide property tax rates, etc.). Based on the foregoing and discussions with staff, the municipal practice of providing and funding services on a municipal-wide basis is proposed to be maintained. 7.4 Other D.C. By-law Provisions It is recommended that: 7.4.1 Categories of Services for Reserve Fund and Credit Purposes It is recommended that the Municipality's D.C. collections be contributed into four (4) separate reserve funds, including: - Services Related to a Highway; - Fire Protection Services; - Parks and Recreation Services; and Watson & Associates Economists Ltd. PAGE 7-8 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx - Library Services. 7.4.2 By-law In-force Date The by-law will come into force on the date of by-law passage or a later date as determined by Council. 7.4.3 Minimum Interest Rate Paid on Refunds and Charged for Inter- Reserve Fund Borrowing The minimum interest rate is the Bank of Canada rate on the day on which the by-laws come into force (as per s.11 of O. Reg. 82/98). 7.5 Other Recommendations It is recommended that Council: "Adopt the D.C. approach to calculate the charges on a uniform Municipal-wide basis for all services within this background study." "Approve the capital project listing set out in Chapter 5 of the D.C. Background Study dated February 2, 2024, subject to further annual review during the capital budget process." "Approve the D.C.s Background Study dated February 2, 2024." "Determine that no further public meeting is required." and "Approve the D.C. By-laws as set out in Appendix D". Watson & Associates Economists Ltd. H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Chapter 8 Asset Management Plan Watson & Associates Economists Ltd. PAGE 8-1 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx 8. Asset Management Plan 8.1 Introduction The D.C.A. (new section 10(c.2)) requires that the background study must include an Asset Management Plan (A.M.P) related to new infrastructure. Section 10 (3) of the D.C.A. provides: The A.M.P. shall, a) deal with all assets whose capital costs are proposed to be funded under the development charge by-law; b) demonstrate that all the assets mentioned in clause (a) are financially sustainable over their full life cycle; c) contain any other information that is prescribed; and d) be prepared in the prescribed manner. At a broad level, the A.M.P. provides for the long-term investment in an asset over its entire useful life along with the funding. The schematic below identifies the costs for an asset through its entire lifecycle. For growth-related works, the majority of capital costs will be funded by the D.C. Non-growth-related expenditures will then be funded from non-D.C. revenues as noted below. During the useful life of the asset, there will be minor maintenance costs to extend the life of the asset along with additional program related expenditures to provide the full services to the residents. At the end of the life of the asset, it will be replaced by non-D.C. financing sources. In 2012, the Province developed Building Together: Guide for Municipal Asset Management Plans which outlines the key elements for an A.M.P., as follows: State of local infrastructure: asset types, quantities, age, condition, financial accounting valuation and replacement cost valuation. Desired levels of service: defines levels of service through performance measures and discusses any external trends or issues that may affect expected levels of service or the municipality's ability to meet them (for example, new accessibility standards, climate change impacts). Watson & Associates Economists Ltd. PAGE 8-2 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Asset management strategy: the asset management strategy is the set of planned actions that will seek to generate the desired levels of service in a sustainable way, while managing risk, at the lowest lifecycle cost. Financing strategy: having a financial plan is critical for putting an A.M.P. into action. By having a strong financial plan, municipalities can also demonstrate that they have made a concerted effort to integrate the A.M.P. with financial planning and municipal budgeting and are making full use of all available infrastructure financing tools. The above provides for the general approach to be considered by Ontario municipalities. At this time, there is not a mandated approach for municipalities hence leaving discretion to individual municipalities as to how they plan for the long-term replacement of their assets. The asset management requirement for this D.C. Background Study has been undertaken independently of any the Municipality's A.M.P.s. Purchase Install Commission Operate Maintain Monitor (Throughout Life of Assets) (To End of Useful Life) Removal/Decommission Disposal New Assets Replacement Assets Reserves/Reserve Funds Debentures User Fees Grants Other Proceeds on Disposal Funding of Disposal / Decommissioning Costs Operating Budget Financing Methods Purchase Install Commission Operate Maintain Monitor (Throughout Life of Assets) (To End of Useful Life) Removal/Decommission Disposal Watson & Associates Economists Ltd. PAGE 8-3 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx 8.2 Asset Management Plan In recognition to the schematic in Section 8.1, the following table (presented in 2024$) has been developed to provide the annualized expenditures and revenues associated with new growth. Note that the D.C.A. does not require an analysis of the non-D.C. capital needs or their associated operating costs so these are omitted from the table below. Furthermore, as only the present infrastructure gap has been considered at this time within the A.M.P., the following does not represent a fiscal impact assessment (including future tax/rate increases) but provides insight into the potential affordability of the new assets: 1. The non-D.C. recoverable portion of the projects which will require financing from Municipality financial resources (i.e., taxation, rates, fees, etc.). This amount has been presented on an annual debt charge amount based on 20-year financing. 2. Lifecycle costs for the 2024 D.C. capital works have been presented based on a sinking fund basis. The assets have been considered over their estimated useful lives. 3. Incremental operating costs for the D.C. services (only) have been included. 4. The resultant total annualized expenditures are $3.4 million. Of this total, $3.0 million relates to the annual debt payment costs for benefit to existing development of growth-related needs and $70,000 for interim debt financing on post period capital. 5. Consideration was given to the potential new taxation and user fee revenues which will be generated as a result of new growth. These revenues will be available to finance the expenditures above. The new operating revenues are $286,000. This amount, totalled with the existing operating revenues of $14.5 million, provides annual revenues of $14.8 million by the end of the period. 6. In consideration of the above, the capital plan is deemed to be financially sustainable. Watson & Associates Economists Ltd. PAGE 8-4 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Table 8-1 Asset Management - Future Expenditures and Associated Revenues (2024$) 2033 (Total) Expenditures (Annualized) Annual Debt Payment on Non-Growth Related Capital1 $ 2,996,029 Annual Debt Payment on Post Period Capital2 $ 71,742 Lifecycle: Annual Lifecycle - Municipal-wide Services $138,438 Sub-Total - Annual Lifecycle $138,438 Incremental Operating Costs (for D.C. Services) $156,603 Total Expenditures $3,362,812 Revenue (Annualized) Total Existing Revenue3 $14,497,274 Incremental Tax and Non-Tax Revenue (User Fees, Fines, Licences, etc.) $285,953 Total Revenues $14,783,227 1 Non-Growth Related component of Projects 2 Interim Debt Financing for Post Period Benefit 3 As per Sch. 10 of FIR Watson & Associates Economists Ltd. PAGE 8-1 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Chapter 9 By-law Implementation Watson & Associates Economists Ltd. PAGE 9-1 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx 9. By-law Implementation 9.1 Public Consultation Process 9.1.1 Introduction This chapter addresses the mandatory, formal public consultation process (section 9.1.2), as well as the optional, informal consultation process (section 9.1.3). The latter is designed to seek the co-operation and participation of those involved, in order to produce the most suitable policy. Section 9.2 addresses the anticipated impact of the D.C. on development from a generic viewpoint. 9.1.2 Public Meeting of Council Section 12 of the D.C.A. indicates that before passing a D.C. by-law, Council must hold at least one public meeting, giving at least 20 clear days' notice thereof, in accordance with the Regulation. Council must also ensure that the proposed by-law and background report are made available to the public at least two weeks prior to the (first) meeting. Any person who attends such a meeting may make representations related to the proposed by-law. If a proposed by-law is changed following such a meeting, Council must determine whether a further meeting (under this section) is necessary (i.e., if the proposed by-law which is proposed for adoption has been changed in any respect, Council should formally consider whether an additional public meeting is required, incorporating this determination as part of the final by-law or associated resolution. It is noted that Council's decision, once made, is final and not subject to review by a Court or the Ontario Land Tribunal (O.L.T.). 9.1.3 Other Consultation Activity There are three broad groupings of the public who are generally the most concerned with municipal D.C. policy: Watson & Associates Economists Ltd. PAGE 9-2 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx 1. The first grouping is the residential development community, consisting of land developers and builders, who are typically responsible for generating the majority of the D.C. revenues. Others, such as realtors, are directly impacted by D.C. policy. They are, therefore, potentially interested in all aspects of the charge, particularly the quantum by unit type, projects to be funded by the D.C. and the timing thereof, and municipal policy with respect to development agreements, D.C. credits and front-ending requirements. 2. The second public grouping embraces the public at large and includes taxpayer coalition groups and others interested in public policy. 3. The third grouping is the industrial/commercial/institutional/primary development sector, consisting of land developers and major owners or organizations with significant construction plans, such as hotels, entertainment complexes, shopping centres, offices, industrial buildings, institutional buildings, and buildings on agricultural lands. Also involved are organizations such as Industry Associations, the Chamber of Commerce, the Board of Trade and the Economic Development Agencies, who are all potentially interested in Municipal D.C. policy. Their primary concern is frequently with the quantum of the charge, gross floor area exclusions such as basements, mechanical or indoor parking areas, or exemptions and phase-in or capping provisions in order to moderate the impact. 9.2 Anticipated Impact of the Charge on Development The establishment of sound D.C. policy often requires the achievement of an acceptable balance between two competing realities. The first is that high non- residential D.C.s can, to some degree, represent a barrier to increased economic activity and sustained industrial/commercial growth, particularly for capital intensive uses. Also, in many cases, increased residential D.C.s can ultimately be expected to be recovered via housing prices and can impact project feasibility in some cases (e.g., rental apartments). On the other hand, D.C.s or other municipal capital funding sources need to be obtained in order to help ensure that the necessary infrastructure and amenities are installed. The timely installation of such works is a key initiative in providing adequate service levels and in facilitating strong economic growth, investment, and wealth generation. Watson & Associates Economists Ltd. PAGE 9-3 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx 9.3 Implementation Requirements 9.3.1 Introduction Once the Municipality has calculated the charge, prepared the complete background study, carried out the public process and passed a new by-law, the emphasis shifts to implementation matters. These include notices, potential appeals and complaints, credits, front-ending agreements, subdivision agreement conditions and finally the collection of revenues and funding of projects. The sections that follow present an overview of the requirements in each case. 9.3.2 Notice of Passage In accordance with section 13 of the D.C.A., when a D.C. by-law is passed, the Municipality Clerk shall give written notice of the passing and of the last day for appealing the by-law (the day that is 40 days after the day it was passed). Such notice must be given no later than 20 days after the day the by-law is passed (i.e., as of the day of newspaper publication or the mailing of the notice). Section 10 of O. Reg. 82/98 further defines the notice requirements which are summarized as follows: - notice may be given by publication in a newspaper which is (in the Clerk's opinion) of sufficient circulation to give the public reasonable notice, or by personal service, fax, or mail to every owner of land in the area to which the by-law relates; - subsection 10 (4) lists the persons/organizations who must be given notice; and - subsection 10 (5) lists the eight items that the notice must cover. 9.3.3 By-law Pamphlet In addition to the "notice" information, the Municipality must prepare a "pamphlet" explaining each D.C. by-law in force, setting out: - a description of the general purpose of the D.C.s; Watson & Associates Economists Ltd. PAGE 9-4 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx - the "rules" for determining if a charge is payable in a particular case and for determining the amount of the charge; - the services to which the D.C.s relate; and - a description of the general purpose of the Treasurer's statement and where it may be received by the public. Where a by-law is not appealed to the O.L.T.., the pamphlet must be readied within 60 days after the by-law comes into force. Later dates apply to appealed by-laws. The Municipality must give one copy of the most recent pamphlet without charge, to any person who requests one. 9.3.4 Appeals Sections 13 to 19 of the D.C.A. set out the requirements relative to making and processing a D.C. by-law appeal and O.L.T. hearing in response to an appeal. Any person or organization may appeal a D.C. by-law to the O.L.T. by filing a notice of appeal with the Municipality Clerk, setting out the objection to the by-law and the reasons supporting the objection. This must be done by the last day for appealing the by-law, which is 40 days after the by-law is passed. The Municipality is conducting a public consultation process in order to address the issues that come forward as part of that process, thereby avoiding or reducing the need for an appeal to be made 9.3.5 Complaints A person required to pay a D.C., or his agent, may complain to the Municipality Council imposing the charge that: - the amount of the charge was incorrectly determined; - the reduction to be used against the D.C. was incorrectly determined; or - there was an error in the application of the D.C. Sections 20 to 25 of the D.C.A. set out the requirements that exist, including the fact that a complaint may not be made later than 90 days after a D.C. (or any part of it) is payable. A complainant may appeal the decision of Municipal Council to the O.L.T. Watson & Associates Economists Ltd. PAGE 9-5 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx 9.3.6 Credits Sections 38 to 41 of the D.C.A. set out a number of credit requirements, which apply where a municipality agrees to allow a person to perform work in the future that relates to a service in the D.C. by-law. These credits would be used to reduce the amount of D.C.s to be paid. The value of the credit is limited to the reasonable cost of the work which does not exceed the average level of service. The credit applies only to the service to which the work relates unless the municipality agrees to expand the credit to other services for which a D.C. is payable. 9.3.7 Front-Ending Agreements The Municipality and one or more landowners may enter into a front-ending agreement that provides for the costs of a project that will benefit an area in the Municipality to which the D.C. by-law applies. Such an agreement can provide for the costs to be borne by one or more parties to the agreement who are, in turn, reimbursed in future by persons who develop land defined in the agreement. Part III of the D.C.A. (sections 44 to 58) addresses front-ending agreements and removes some of the obstacles to their use which were contained in the Development Charges Act, 1989. Accordingly, the Municipality assesses whether this mechanism is appropriate for its use, as part of funding projects prior to Municipal funds being available. 9.3.8 Severance and Subdivision Agreement Conditions Section 59 of the D.C.A. prevents a municipality from imposing directly or indirectly, a charge related to development or a requirement to construct a service related to development, by way of a condition or agreement under section 51 or section 53 of the Planning Act, except for: - "local services, related to a plan of subdivision or within the area to which the plan relates, to be installed or paid for by the owner as a condition of approval under section 51 of the Planning Act;" and - "local services to be installed or paid for by the owner as a condition of approval under section 53 of the Planning Act." Watson & Associates Economists Ltd. PAGE 9-6 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx It is also noted that subsection 59 (4) of the D.C.A. requires that the municipal approval authority for a draft plan of subdivision under subsection 51 (31) of the Planning Act, use its power to impose conditions to ensure that the first purchaser of newly subdivided land is informed of all the D.C.s related to the development, at the time the land is transferred. In this regard, if the municipality in question is a commenting agency, in order to comply with subsection 59 (4) of the D.C.A. it would need to provide to the approval authority information regarding the applicable municipal D.C.s related to the site. If the Municipality is an approval authority for the purposes of section 51 of the Planning Act, it would be responsible to ensure that it collects information from all entities that can impose a D.C. The most effective way to ensure that purchasers are aware of this condition would be to require it as a provision in a registered subdivision agreement, so that any purchaser of the property would be aware of the charges at the time the title was searched prior to closing a transaction conveying the lands. Appendices Watson & Associates Economists Ltd. PAGE A-1 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Appendix A Background Information on Residential and Non- Residential Growth Forecast Watson & Associates Economists Ltd. PAGE A-2 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Schedule 1 Municipality of Trent Lakes Residential Growth Forecast Summary [1] Population includes the Census undercount estimated at approximately 2.5% and has been rounded. [2] Includes townhouses and apartments in duplexes. [3] Includes bachelor, 1-bedroom, and 2-bedroom+ apartment units. Notes: Numbers may not add due to rounding. Source: Derived from Peterborough County Official Plan, Adopted by County Council June 29, 2022, and County of Peterborough Growth Analysis Report, March 28, 2022, Hemson Consulting Ltd., by Watson & Associates Economists Ltd. Permanent Population[1] Institutional Population Permanent Population Excluding Institutional[1] Seasonal Population Total Permanent and Seasonal Population Singles & Semi- Detached Multiples[2] Apartments[3] Other Total Households Seasonal Households Total Households Including Seasonal Equivalent Institutional Households Mid 2011 5,233 5,105 50 5,055 10,910 16,015 2,230 5 0 5 2,240 3,047 5,287 45 2.28 3.03 Mid 2016 5,533 5,397 57 5,340 11,435 16,832 2,425 10 10 0 2,445 3,194 5,639 52 2.21 2.98 Mid 2021 6,601 6,439 54 6,385 10,015 16,454 2,915 20 10 5 2,950 2,798 5,748 49 2.18 2.86 Mid 2024 6,804 6,637 56 6,581 10,015 16,652 3,007 20 10 5 3,042 2,798 5,840 51 2.18 2.85 Mid 2034 7,114 6,940 59 6,881 10,090 17,030 3,207 20 10 5 3,242 2,818 6,060 54 2.14 2.81 Mid 2011 - Mid 2016 299 292 7 285 525 817 195 5 10 -5 205 147 352 7 Mid 2016 - Mid 2021 1,068 1,042 -3 1,045 -1,420 -378 490 10 0 5 505 -396 109 -3 Mid 2021 - Mid 2024 203 198 2 196 0 198 92 0 0 0 92 0 92 2 Mid 2024 - Mid 2034 311 303 3 300 75 378 200 0 0 0 200 20 220 3 Forecast Year Historical Excluding Census Undercount Permanent Person Per Unit (P.P.U.) Permanent + Seasonal Person Per Unit (P.P.U.) Permanent Population (Including Census Undercount) Housing Units Watson & Associates Economists Ltd. PAGE A-3 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Figure 3-2 Municipality of Trent Lakes Annual Housing Forecast [1] [1] Growth forecast represents calendar year. Source: Historical housing activity derived from Municipality of Trent Lakes building permit data, 2014 to 2023. 44 23 46 54 31 30 29 44 26 22 22 22 22 22 22 22 22 22 22 22 0 10 20 30 40 50 60 Housing Units Years Historical Low Density Medium Density High Density Seasonal Historical Average Watson & Associates Economists Ltd. PAGE A-4 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Schedule 2 Municipality of Trent Lakes Current Year Growth Forecast Mid 2021 to Mid 2024 Mid 2021 Population 16,454 Occupants of Permanent Units (2) 92 New Housing Units, multiplied by P.P.U. (3) 2.795 Mid 2021 to Mid 2024 gross population increase 257 257 Occupants of Net Seasonal Units (2) 0 New Seasonal Units multiplied by P.P.U. (3) 3.58 Mid 2021 to Mid 2024 gross population increase 0 0 Occupants of New Units 2 Equivalent Institutional Units multiplied by P.P.U. (3) 1.1 Mid 2021 to Mid 2024 gross population increase 2 2 Total Units 92 Total gross population increase 259 Decline in Housing Units (4) 2,950 Unit Occupancy, multiplied by P.P.U. decline rate (5) -0.0207 Mid 2021 to Mid 2024 total decline in population -61 -61 Population Estimate to Mid 2024 16,652 Net Population Increase, Mid 2021 to Mid 2024 198 (1) 2021 population based on Statistics Canada Census unadjusted for Census undercount. (2) (3) Average number of persons per unit (P.P.U.) is assumed to be: Singles & Semi Detached 2.79 100% 2.79 Multiples (6) 2.25 0% 0.00 Apartments (7) 1.63 0% 0.00 Total 100% 2.79 ¹ Based on 2021 Census custom database ² Based on Building permit/completion acitivty (4) 2021 households taken from Statistics Canada Census. (5) Decline occurs due to aging of the population and family life cycle changes, lower fertility rates and changing economic conditions. (6) Includes townhomes and apartments in duplexes. (7) Includes bachelor, 1 bedroom and 2 bedroom+ apartments. Estimated residential units constructed, - to the beginning of the growth period assuming a six-month lag between construction and occupancy. Total Units (Permanent and Seasonal) Population Structural Type Persons Per Unit¹ (P.P.U.) % Distribution of Estimated Units² Weighted Persons Per Unit Average Watson & Associates Economists Ltd. PAGE A-5 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Schedule 3 Municipality of Trent Lakes Growth Forecast to 2034 Mid-2024 to Mid-2034 Mid 2024 Population 16,652 Occupants of Permanent Units (2) 200 New Housing Units, multiplied by P.P.U. (3) 2.40 Mid 2024 to Mid 2034 gross population increase 480 480 Occupants of Net Seasonal Units (2) 20 New Seasonal Units multiplied by P.P.U. (3) 3.58 Mid 2024 to Mid 2034 gross population increase 75 75 Occupants of New Units 3 Equivalent Institutional Units multiplied by P.P.U. (3) 1.1 Mid 2024 to Mid 2034 gross population increase 3 3 Total Units 220 Total gross population increase 558 Decline in Housing Units (4) 3,042 Unit Occupancy, multiplied by P.P.U. decline rate (5) -0.0590 Mid 2024 to Mid 2034 total decline in population -180 -180 Population Estimate to Mid 2034 17,030 Net Population Increase, Mid 2024 to Mid 2034 378 (1) Mid 2024 Population based on: (2) Based upon forecast building permits/completions assuming a lag between construction and occupancy. (3) Average number of persons per unit (ppu) is assumed to be: Singles & Semi Detached 2.398 100% 2.40 Multiples (6) 2.034 0% 0.00 Apartments (7) 1.681 0% 0.00 one bedroom or less 1.165 two bedrooms or more 1.999 Total 100% 2.40 ¹ Persons per unit based on adjusted Statistics Canada Custom 2021 Census database. ² Forecast unit mix based upon historical trends and housing units in the development process. (4) Mid 2024 households based upon 2,950 (2021 Census) + 92 (Mid 2021 to Mid 2024 unit estimate) = 3,042 (5) Decline occurs due to aging of the population and family life cycle changes, lower fertility rates and changing economic conditions. (6) Includes townhomes and apartments in duplexes. (7) Includes bachelor, 1 bedroom and 2 bedroom+ apartments. Population Structural Type Persons Per Unit¹ (P.P.U.) % Distribution of Estimated Units² Weighted Persons Per Unit Average 2021 Population (16,454) + Mid 2021 to Mid 2024 estimated housing units to beginning of forecast period (92 x 2.795 = 257) + (2 x 1.100 = 2) + (2,950 x -0.0207 = -61) + Seasonal population ( 0 x 3.580 = 0) = 16,652 Total Units (Permanent and Seasonal) Watson & Associates Economists Ltd. PAGE A-6 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Schedule 4 Municipality of Trent Lakes Historical Residential Building Permits Years 2014 to 2023 [1] Includes townhomes and apartments in duplexes. [2] Includes bachelor, 1 bedroom and 2 bedroom+ apartments. Source: Historical housing activity derived from Municipality of Trent Lakes building permit data, 2014 to 2023, by Watson & Associates Economists Ltd. Residential Building Permits Total 2014 44 0 0 44 2015 23 0 0 23 2016 46 0 0 46 2017 54 0 0 54 2018 31 0 0 31 Sub-total 198 0 0 198 Average (2014 - 2018) 40 0 0 40 % Breakdown 100.0% 0.0% 0.0% 100.0% 2019 30 0 0 30 2020 29 0 0 29 2021 44 0 0 44 2022 26 0 0 26 2023 22 0 0 22 Sub-total 151 0 0 151 Average (2019 - 2023) 30 0 0 30 % Breakdown 100.0% 0.0% 0.0% 100.0% 2014 - 2023 Total 349 0 0 349 Average 35 0 0 35 % Breakdown 100.0% 0.0% 0.0% 100.0% Singles & Semi Detached Multiples[1] Apartments[2] Year Watson & Associates Economists Ltd. PAGE A-7 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Schedule 5a Municipality of Trent lakes Persons Per Unit by Age and Type of Dwelling (2021 Census) [1] Adjusted based on historical trends. Note: Does not include Statistics Canada data classified as "Other." P.P.U. Not calculated for samples less than or equal to 50 dwelling units and does not include institutional population. Age of Singles and Semi-Detached Dwelling < 1 BR 1 BR 2 BR 3/4 BR 5+ BR Total 15 Year Average 15 Year Average Adjusted[1] 1-5 - - - 2.800 - 2.795 6-10 - - - 2.174 - 2.033 2.414 0.154 11-15 - - - 2.342 - 2.364 2.397 2.398 16-20 - - - 2.172 - 2.194 2.347 2.398 20-25 - - - 2.118 - 1.909 2.259 2.398 25-35 - - - 1.950 - 2.176 35+ - 2.200 1.761 2.210 2.889 2.113 2.226 2.398 Total 0.769 2.200 1.847 2.246 3.053 2.180 Age of All Density Types Dwelling < 1 BR 1 BR 2 BR 3/4 BR 5+ BR Total 1-5 - - - 2.800 - 2.795 6-10 - - - 2.217 - 2.000 11-15 - - - 2.342 - 2.364 16-20 - - - 2.172 - 2.194 20-25 - - - 2.118 - 1.955 25-35 - - - 2.050 - 2.171 35+ - 1.941 1.753 2.210 2.889 2.105 Total 0.769 2.059 1.825 2.253 3.053 2.173 Watson & Associates Economists Ltd. PAGE A-8 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Schedule 5b Peterborough County Persons Per Unit by Age and Type of Dwelling (2021 Census) [1] Includes townhomes and apartments in duplexes. [2] Includes bachelor, 1 bedroom and 2 bedroom+ apartments. [3] Adjusted based on historical trends. Note: Does not include Statistics Canada data classified as "Other." P.P.U. Not calculated for samples less than or equal to 50 dwelling units and does not include institutional population Age of Multiples[1] Dwelling < 1 BR 1 BR 2 BR 3/4 BR 5+ BR Total 15 Year Average 15 Year Average Adjusted[1] 1-5 - 1.167 2.150 2.826 - 2.250 6-10 - - 1.636 2.407 - 1.881 11-15 - 1.308 1.649 2.459 - 2.033 2.055 2.034 16-20 - - 1.808 2.524 - 2.074 2.060 2.034 20-25 - - 1.688 2.406 - 2.014 2.050 2.034 25-35 - - 1.806 2.773 - 2.094 35+ 1.545 1.343 1.802 2.806 3.568 2.275 Total 1.091 1.335 1.788 2.729 3.773 2.202 Age of Apartments[2] Dwelling < 1 BR 1 BR 2 BR 3/4 BR 5+ BR Total 15 Year Average 15 Year Average Adjusted[1] 1-5 - 1.095 1.700 - - 1.625 6-10 - 1.235 1.657 - - 1.780 11-15 - 1.200 1.667 - - 1.552 1.652 1.681 16-20 - 1.067 2.000 - - 2.176 1.783 1.681 20-25 - 1.435 1.886 - - 1.797 1.786 1.681 25-35 - 1.343 1.818 - - 1.695 35+ 1.148 1.161 1.687 2.954 - 1.561 Total 1.150 1.176 1.705 3.068 - 1.595 Age of All Density Types Dwelling < 1 BR 1 BR 2 BR 3/4 BR 5+ BR Total 1-5 - 1.214 2.008 2.728 4.256 2.546 6-10 - 1.414 1.697 2.728 3.756 2.519 11-15 - 1.297 1.707 2.689 3.887 2.511 16-20 - 1.346 1.957 2.677 3.779 2.641 20-25 - 1.429 1.807 2.556 3.118 2.378 25-35 - 1.370 1.847 2.621 3.431 2.401 35+ 1.354 1.256 1.773 2.552 3.496 2.291 Total 1.317 1.272 1.790 2.582 3.570 2.346 Watson & Associates Economists Ltd. PAGE A-9 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Schedule 6 Municipality of Trent Lakes Person Per Unit Structural Type and Age of Dwelling (2021 Census) 2.79 2.03 2.36 2.19 1.91 2.18 2.11 2.25 1.88 2.03 2.07 2.01 2.09 2.27 1.63 1.78 1.55 2.18 1.80 1.69 1.56 0.00 0.50 1.00 1.50 2.00 2.50 3.00 1-5 6-10 11-15 16-20 20-25 25-35 35+ Persons Per Dwelling Age of Dwelling Singles and Semi-Detached Multiples Apartments Multiple and Apartment P.P.U.s are based on Peterborough County. Watson & Associates Economists Ltd. PAGE A-10 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Schedule 7a Municipality of Trent lakes Employment Forecast, 2024 to 2034 [1] Statistics Canada defines no fixed place of work (N.F.P.O.W.) employees as "persons who do not go from home to the same work place location at the beginning of each shift". Such persons include building and landscape contractors, travelling salespersons, independent truck drivers, etc. Note: Statistics Canada 2021 Census place of work employment data has been reviewed. The 2021 Census employment results have not been utilized due to a significant increase in work at home employment captured due to Census enumeration occurring during the provincial COVID-19 lockdown from April 1, 2021 to June 14, 2021. Source: Derived from Peterborough County Official Plan, Adopted by County Council June 29, 2022, and County of Peterborough Growth Analysis Report, March 28, 2022, Hemson Consulting Ltd., by Watson & Associates Economists Ltd. Employment Mid 2016 5,397 0.005 0.059 0.010 0.055 0.006 0.135 0.029 0.164 25 320 53 298 35 730 157 887 410 Mid 2024 6,637 0.005 0.061 0.009 0.047 0.009 0.132 0.025 0.156 33 403 63 312 63 873 163 1,036 470 Mid 2034 6,940 0.005 0.063 0.025 0.051 0.011 0.155 0.027 0.182 35 439 173 356 76 1,079 188 1,267 640 Mid 2016 - Mid 2024 1,240 0.0003 0.0014 -0.0003 -0.0081 0.0030 -0.0037 -0.0045 -0.0082 8 83 10 14 28 143 6 149 60 Mid 2024 - Mid 2034 303 0.0001 0.0025 0.0154 0.0043 0.0015 0.0238 0.0025 0.0263 2 36 111 44 13 206 25 231 170 Mid 2016 - Mid 2024 155 0.00004 0.00018 -0.00004 -0.00102 0.00038 -0.00046 -0.00057 -0.00102 1 10 1 2 4 18 1 19 8 Mid 2024 - Mid 2034 30 0.00001 0.00025 0.00154 0.00043 0.00015 0.00238 0.00025 0.00263 0 4 11 4 1 21 3 23 17 N.F.P.O.W.[1] Activity Rate Period Population Primary Work at Home Industrial Commercial/ Population Related Institutional Total Employment Primary Total Total Employment (Including N.F.P.O.W.) Institutional Total (Excluding Work at Home and N.F.P.O.W.) Incremental Change Annual Average Total Including N.F.P.O.W. N.F.P.O.W.[1] Work at Home Industrial Commercial/ Population Related Watson & Associates Economists Ltd. PAGE A-11 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Schedule 7b Municipality of Trent Lakes Employment and Gross Floor Area (G.F.A.) Forecast, 2024 to 2034 [1] Square Foot Per Employee Assumptions Primary - Non-Bona Fide Farming 3,000 Industrial 1,300 Commercial/Population-Related 510 Institutional 700 [2] Primary industry includes bona-fide, non bona-fide farming and cannabis growing operation related employment. [3] Forecast institutional employment and gross floor area has been adjusted downward to account for employment associated with special care units. *Reflects Mid-2024 to Mid-2034 forecast period. Note: Numbers may not add up precisely due to rounding. Source: Watson & Associates Economists Ltd. Mid 2016 5,397 25 53 298 35 410 75,000 68,300 163,600 24,500 331,400 Mid 2024 6,637 33 63 312 63 470 99,000 81,300 171,500 44,100 395,900 Mid 2034 6,940 35 173 356 76 640 105,000 224,900 195,800 53,200 578,900 Mid 2016 - Mid 2024 1,240 8 10 14 28 60 24,000 13,000 7,900 19,600 64,500 Mid 2024 - Mid 2034 303 2 111 44 13 170 6,000 143,600 24,300 9,100 183,000 Mid 2016 - Mid 2024 155 1 1 2 4 8 3,000 1,625 988 2,450 8,063 Mid 2024 - Mid 2034 30 0 11 4 1 17 600 14,360 2,430 910 18,300 Primary - Non- Bona Fide Farming[2] Gross Floor Area in Square Feet (Estimated)[¹] Incremental Change Commercial/ Population Related Institutional Industrial Commercial/ Population Related Period Population Employment Total Annual Average Primary Industrial Institutional Total Watson & Associates Economists Ltd. PAGE B-1 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Appendix B Historical Level of Service Calculations Watson & Associates Economists Ltd. PAGE B-2 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Table B-1 Service Standard Calculation - Fire Protection Services - Facilities Municipality of Trent Lakes Service Standard Calculation Sheet Service: Fire Protection Services - Facilities Unit Measure: sq.ft. of building area Description 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Bld'g Value ($/sq.ft.) Value/sq.ft. with land, site works, etc. Buckhorn Fire Hall #1 4,374 4,374 4,374 4,374 4,374 4,374 4,374 4,374 4,374 4,374 4,374 4,374 4,374 4,374 4,374 $547 $635 Cavendish Fire Hall #2 3,240 3,240 3,240 3,240 3,240 3,240 3,240 3,240 3,240 3,240 3,240 3,240 3,240 3,240 3,240 $547 $635 Galway Fire Hall #3 5,403 5,403 5,403 5,403 5,403 5,403 5,403 5,403 5,403 5,403 5,403 5,403 5,403 5,403 5,403 $547 $635 Oak Shores 1,055 1,055 1,055 1,055 1,055 1,055 1,055 1,055 - - - - - - - $547 $635 Nogies Creek Fire Hall #4 - - - - - - - - 11,840 11,840 11,840 11,840 11,840 11,840 11,840 $547 $635 Total 14,072 14,072 14,072 14,072 14,072 14,072 14,072 14,072 24,858 24,858 24,858 24,858 24,858 24,858 24,858 Population & Employment 16,912 16,668 16,493 16,634 16,807 16,953 17,098 17,189 17,143 17,116 17,031 16,943 16,850 16,958 17,017 Per Capita & Employee Standard 0.8321 0.8443 0.8533 0.8460 0.8373 0.8301 0.8231 0.8187 1.4500 1.4523 1.4596 1.4672 1.4752 1.4658 1.4607 15 Year Average 2009 to 2023 Quantity Standard 1.1277 Quality Standard $635 Service Standard $716 D.C. Amount (before deductions) 10 Year Forecast Population & Employment 545 $ per Capita & Employee $716 Eligible Amount $390,269 Watson & Associates Economists Ltd. PAGE B-3 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Table B-2 Service Standard Calculation - Fire Protection Services - Vehicles & Equipment Municipality of Trent Lakes Service Standard Calculation Sheet Service: Fire Protection Services - Vehicles & Equipment Unit Measure: No. of vehicles Description 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Value ($/Vehicle) Pick-Up Truck 5 5 5 6 6 6 6 7 7 7 7 7 7 8 8 $100,000 Boat/Motor/Trailer 2 2 2 2 2 2 2 2 2 2 2 2 2 2 2 $69,700 Boat/Motor 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 $64,100 ATV/Trailer 2 2 2 2 2 2 3 3 3 3 3 3 3 3 3 $30,900 Utility Trailer/Trailer 1 1 2 3 3 3 2 2 2 2 2 2 2 2 2 $5,500 Heavy Rescue Unit 2 2 2 2 2 2 2 2 2 2 2 2 2 2 2 $229,900 Mini Pumper 1 1 1 1 1 1 1 1 1 1 1 1 1 $591,900 Pumper/Tanker 6 6 6 6 6 6 6 6 6 7 7 7 7 7 7 $581,900 Total 20 20 21 23 23 23 23 24 24 25 25 25 25 25 25 Population & Employment 16,912 16,668 16,493 16,634 16,807 16,953 17,098 17,189 17,143 17,116 17,031 16,943 16,850 16,958 17,017 Per Capita & Employee Standard 0.0012 0.0012 0.0013 0.0014 0.0014 0.0014 0.0013 0.0014 0.0014 0.0015 0.0015 0.0015 0.0015 0.0015 0.0015 15 Year Average 2009 to 2023 Quantity Standard 0.0014 Quality Standard $238,007 Service Standard $333 D.C. Amount (before deductions) 10 Year Forecast Population & Employment 545 $ per Capita & Employee $333 Eligible Amount $181,599 Watson & Associates Economists Ltd. PAGE B-4 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Table B-3 Service Standard Calculation - Fire Protection Services - Small Equipment & Gear Municipality of Trent Lakes Service Standard Calculation Sheet Service: Fire Protection Services - Small Equipment and Gear Unit Measure: No. of equipment and gear Description 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Value ($/item) Equipped Firefighters 50 51 53 54 56 58 59 61 63 65 68 70 73 75 78 $11,500 SCBA Air Compressor 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 $5,800 SCBA Units 32 32 32 32 32 32 32 32 32 32 32 32 32 32 32 $9,400 SCBA Air Bottles 66 66 66 66 66 66 66 66 66 66 66 66 66 66 66 $200 ERT Suits 6 6 12 23 29 33 33 33 42 42 42 42 42 42 42 $1,900 Radio Communications 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 $8,700 Extrication Equipment (Heavy Duty) 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 $30,000 Extrication Equipment (Battery) 1 1 1 1 1 1 1 $12,700 Total 159 160 168 180 188 194 195 197 209 211 214 216 219 221 224 Population & Employment 16,912 16,668 16,493 16,634 16,807 16,953 17,098 17,189 17,143 17,116 17,031 16,943 16,850 16,958 17,017 Per Capita & Employee Standard 0.0094 0.0096 0.0102 0.0108 0.0112 0.0114 0.0114 0.0115 0.0122 0.0123 0.0125 0.0128 0.0130 0.0131 0.0132 15 Year Average 2009 to 2023 Quantity Standard 0.0116 Quality Standard $6,110 Service Standard $71 D.C. Amount (before deductions) 10 Year Forecast Population & Employment 545 $ per Capita & Employee $71 Eligible Amount $38,630 Watson & Associates Economists Ltd. PAGE B-5 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Table B-4 Service Standard Calculation - Services Related to a Highway - Roads Municipality of Trent Lakes Service Standard Calculation Sheet Service: Services Related to a Highway - Roads Unit Measure: km of roadways Description 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Value ($/km) HCB Semi-Urban 1.2 1.2 1.2 1.2 1.9 2.6 3.3 4.0 4.7 5.3 6.0 6.7 7.4 8.1 8.7 $776,620 LCB Semi-Urban 37.3 37.3 37.3 37.3 37.3 37.4 37.5 37.5 37.6 37.6 37.7 37.7 37.8 37.9 37.9 $595,340 LCB Rural 136.9 136.9 136.9 136.9 137.1 137.3 137.5 137.7 137.9 138.1 138.3 138.6 138.8 139.0 139.2 $595,340 Gravel 106.3 106.3 106.3 106.3 107.1 107.9 108.7 109.5 110.3 111.1 111.8 112.6 113.4 114.2 115.0 $494,400 Total 281.7 281.7 281.7 281.7 283.4 285.2 286.9 288.7 290.4 292.2 293.9 295.6 297.4 299.1 300.9 Population & Employment 16,912 16,668 16,493 16,634 16,807 16,953 17,098 17,189 17,143 17,116 17,031 16,943 16,850 16,958 17,017 Per Capita & Employee Standard 0.0167 0.0169 0.0171 0.0169 0.0169 0.0168 0.0168 0.0168 0.0169 0.0171 0.0173 0.0174 0.0176 0.0176 0.0177 15 Year Average 2009 to 2023 Quantity Standard 0.0171 Quality Standard $559,731 Service Standard $9,571 D.C. Amount (before deductions) 10 Year Forecast Population & Employment 545 $ per Capita & Employee $9,571 Eligible Amount $5,216,413 Watson & Associates Economists Ltd. PAGE B-6 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Table B-5 Service Standard Calculation - Services Related to a Highway - Bridges & Culverts Municipality of Trent Lakes Service Standard Calculation Sheet Service: Services Related to a Highway - Bridges, Culverts & Structures Unit Measure: Number of Bridges, Culverts & Structures Description 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Value ($/item) Bridge (Crowe's Line) 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 $424,700 Culverts <3m 557 572 591 600 605 633 655 688 696 696 697 697 697 698 704 $3,900 Culverts >3m 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 $131,000 Total 564 579 598 607 612 640 662 695 703 703 704 704 704 705 711 Population & Employment 16,912 16,668 16,493 16,634 16,807 16,953 17,098 17,189 17,143 17,116 17,031 16,943 16,850 16,958 17,017 Per Capita & Employee Standard 0.0333 0.0347 0.0363 0.0365 0.0364 0.0378 0.0387 0.0404 0.0410 0.0411 0.0413 0.0416 0.0418 0.0416 0.0418 15 Year Average 2009 to 2023 Quantity Standard 0.0390 Quality Standard $5,685 Service Standard $222 D.C. Amount (before deductions) 10 Year Forecast Population & Employment 545 $ per Capita & Employee $222 Eligible Amount $120,843 Watson & Associates Economists Ltd. PAGE B-7 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Table B-6 Service Standard Calculation - Services Related to a Highway - Public Works - Facilities Municipality of Trent Lakes Service Standard Calculation Sheet Class of Service: Public Works - Facilities Unit Measure: sq.ft. of building area Description 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Bld'g Value ($/sq.ft.) Value/sq.ft. with land, site works, etc. Buckhorn Roads Depot 6,835 6,835 6,835 6,835 6,835 6,835 6,835 6,835 6,835 6,835 6,835 6,835 6,835 6,835 6,835 $547 $607 Galway Roads Depot 3,380 3,380 3,380 3,380 3,380 3,380 3,380 3,380 3,380 3,380 3,380 3,380 3,380 3,380 3,380 $547 $607 County Road 49 Depot 4,596 4,596 4,596 4,596 4,596 4,596 4,596 4,596 4,596 4,596 4,596 4,596 4,596 4,596 4,596 $547 $607 Domes (4) 32,000 32,000 32,000 32,000 32,000 32,000 32,000 32,000 32,000 32,000 32,000 32,000 32,000 32,000 32,000 $43 $51 Sheds (4) 2,320 2,320 2,320 2,320 2,320 2,320 2,320 2,320 2,320 2,320 2,320 2,320 2,320 2,320 2,320 $130 $147 Gravel Pit/Quarry/Sand Pit (acres) 110 110 110 110 110 110 110 110 110 110 110 110 110 110 110 $1,732 $1,732 Total 49,241 49,241 49,241 49,241 49,241 49,241 49,241 49,241 49,241 49,241 49,241 49,241 49,241 49,241 49,241 Population & Employment 16,912 16,668 16,493 16,634 16,807 16,953 17,098 17,189 17,143 17,116 17,031 16,943 16,850 16,958 17,017 Per Capita & Employee Standard 2.9116 2.9543 2.9857 2.9603 2.9299 2.9046 2.8800 2.8647 2.8724 2.8769 2.8913 2.9064 2.9223 2.9037 2.8936 15 Year Average 2009 to 2023 Quantity Standard 2.9105 Quality Standard $227 Service Standard $659 D.C. Amount (before deductions) 10 Year Forecast Population & Employment 545 $ per Capita & Employee $659 Eligible Amount $359,308 Watson & Associates Economists Ltd. PAGE B-8 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Table B-7 Service Standard Calculation - Services Related to a Highway - Public Works - Vehicles & Equipment Municipality of Trent Lakes Service Standard Calculation Sheet Class of Service: Public Works - Vehicles & Equipment Unit Measure: No. of vehicles and equipment Description 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Value ($/Vehicle) Ford F550 XLT - Truck-Unit 410 - - - - - 1 1 1 1 1 1 1 1 1 1 $152,000 2019 Ford F550 - Truck-Unit 509 - - 1 1 1 1 1 1 1 1 1 1 1 1 1 $92,100 Ford 3/4 Ton - Truck-Unit 422 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 $99,500 Ford F150 - Truck-Unit 421 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 $71,800 Ford F150 - Truck-Unit 450 1 1 $71,800 Ford F150 - Truck-Unit 470 1 $71,800 Ford F250 - Truck-Unit 489 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 $110,500 Ford F250 - Truck-Unit 490 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 $100,000 Ford F150 - Truck-Unit 508 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 $70,000 Tandem Unit 8 8 8 8 9 9 9 9 9 10 10 10 10 10 10 $520,000 Tractor Mower - - - 1 1 1 1 1 1 1 1 1 1 1 1 $397,900 Grader 2 2 2 2 2 2 2 2 2 2 2 2 2 2 2 $428,300 Loader 2 2 2 2 2 3 4 5 5 5 4 4 4 4 4 $273,600 Bulldozer 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 $132,600 Sweeper 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 $414,500 Chipper 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 $69,100 Excavator - - - 1 1 1 1 1 2 2 2 2 2 2 2 $273,600 Trailer 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 $34,500 Total 21 21 22 24 25 27 28 29 30 31 30 30 30 31 32 Population & Employment 16,912 16,668 16,493 16,634 16,807 16,953 17,098 17,189 17,143 17,116 17,031 16,943 16,850 16,958 17,017 Per Capita & Employee Standard 0.0012 0.0013 0.0013 0.0014 0.0015 0.0016 0.0016 0.0017 0.0017 0.0018 0.0018 0.0018 0.0018 0.0018 0.0019 15 Year Average 2009 to 2023 Quantity Standard 0.0016 Quality Standard $314,306 Service Standard $503 D.C. Amount (before deductions) 10 Year Forecast Population & Employment 545 $ per Capita & Employee $503 Eligible Amount $274,075 Watson & Associates Economists Ltd. PAGE B-9 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Table B-8 Service Standard Calculation - Parks and Recreation Services - Parkland Development Municipality of Trent Lakes Service Standard Calculation Sheet Service: Parkland Development Unit Measure: Acres of Parkland Description 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Value ($/Acre) Sandy Beach 6.99 6.99 6.99 6.99 6.99 6.99 6.99 6.99 6.99 6.99 6.92 $71,000 Crowe's Line Beach 0.20 0.20 0.20 0.20 0.20 0.20 0.20 0.20 0.20 0.20 0.20 0.20 0.20 0.20 0.20 $413,900 White's Beach 0.75 0.75 0.75 0.75 0.75 0.75 0.75 0.75 0.75 0.75 0.75 0.75 0.75 0.75 0.75 $165,600 Ode' Naang Park 0.20 0.20 0.20 0.20 0.20 0.20 0.20 0.20 0.20 1.75 1.75 1.75 1.75 1.98 1.98 $189,200 Dettmand Park 20.93 20.93 20.93 20.93 20.93 20.93 20.93 20.93 20.93 20.93 20.93 20.93 20.93 20.93 20.93 $7,900 Adam and Eve Rocks (at Harvey) 1.48 1.48 1.48 1.48 1.48 1.48 1.48 1.48 1.48 1.48 1.48 1.48 1.48 1.48 1.48 $40,213 Cavendish Community Centre Park 9.64 9.64 9.64 9.64 9.64 9.64 9.64 9.64 9.64 9.64 9.64 9.64 9.64 9.64 9.64 $40,213 Total 33.20 33.20 33.20 33.20 40.19 40.19 40.19 40.19 40.19 41.74 41.74 41.74 41.74 41.97 41.90 Population 16,340 16,118 15,965 16,129 16,324 16,493 16,660 16,774 16,721 16,687 16,595 16,500 16,401 16,502 16,554 Per Capita 0.0020 0.0021 0.0021 0.0021 0.0025 0.0024 0.0024 0.0024 0.0024 0.0025 0.0025 0.0025 0.0025 0.0025 0.0025 15 Year Average 2009 to 2023 Quantity Standard 0.0024 Quality Standard $33,963 Service Standard $82 D.C. Amount (before deductions) 10 Year Forecast Population 375 $ per Capita $82 Eligible Amount $30,566 Watson & Associates Economists Ltd. PAGE B-10 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Table B-9 Service Standard Calculation - Parks and Recreation Services - Parkland Amenities Municipality of Trent Lakes Service Standard Calculation Sheet Service: Parkland Amenities Unit Measure: No. of parkland amenities Description 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Value ($/item) Buckhorn Sports Complex (Outdoor Arena) 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 $979,400 Kings Sports Pad (Cavendish) - 1 1 1 1 1 1 1 1 1 1 1 1 1 1 $245,700 Playground Equipment (Cavendish Community Ctr) 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 $201,900 Playground Equipment (Ode'Naang Park) 1 $112,400 Boat Launches 10 10 10 10 10 10 10 10 10 10 12 12 12 12 12 $49,700 Ball Diamond - 1 1 1 1 1 1 1 1 1 1 1 1 1 1 $124,100 Cavendish Pavillion 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 $102,200 Cevendish Rink 1 1 1 1 $157,800 Total 13 15 15 15 15 15 15 15 15 15 17 18 18 18 19 Population 16,340 16,118 15,965 16,129 16,324 16,493 16,660 16,774 16,721 16,687 16,595 16,500 16,401 16,502 16,554 Per Capita 0.0008 0.0009 0.0009 0.0009 0.0009 0.0009 0.0009 0.0009 0.0009 0.0009 0.0010 0.0011 0.0011 0.0011 0.0011 15 Year Average 2009 to 2023 Quantity Standard 0.0010 Quality Standard $134,240 Service Standard $134 D.C. Amount (before deductions) 10 Year Forecast Population 375 $ per Capita $134 Eligible Amount $50,340 Watson & Associates Economists Ltd. PAGE B-11 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Table B-10 Service Standard Calculation - Parks and Recreation Services - Recreation Facilities Municipality of Trent Lakes Service Standard Calculation Sheet Service: Recreation Facilities Unit Measure: sq.ft. of building area Description 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Bld'g Value ($/sq.ft.) Value/sq.ft. with land, site works, etc. Deer Bay Community Centre 1,618 1,618 1,618 1,618 1,618 1,618 1,618 1,618 1,618 1,618 - - - - - $375 $417 Galway Community Hall 5,403 5,403 5,403 5,403 5,403 5,403 5,403 5,403 5,403 5,403 5,403 5,403 5,403 5,403 5,403 $375 $417 Cavendish Community Hall 2,239 2,239 2,239 2,239 2,239 2,239 2,239 2,239 2,239 2,239 2,239 2,239 2,239 2,239 2,239 $375 $417 Lakehurst Community Hall 3,552 3,552 3,552 3,552 3,552 3,552 3,552 3,552 3,552 3,552 3,552 3,552 3,552 3,552 3,552 $375 $417 Parks and Recreation Administration Space 400 400 400 400 400 400 400 400 400 400 $375 $417 Storage 200 200 200 200 200 200 200 200 200 200 $130 $147 Total 12,812 12,812 12,812 12,812 12,812 13,412 13,412 13,412 13,412 13,412 11,794 11,794 11,794 11,794 11,794 Population 16,340 16,118 15,965 16,129 16,324 16,493 16,660 16,774 16,721 16,687 16,595 16,500 16,401 16,502 16,554 Per Capita 0.7841 0.7949 0.8025 0.7944 0.7849 0.8132 0.8051 0.7996 0.8021 0.8038 0.7107 0.7148 0.7191 0.7147 0.7125 15 Year Average 2009 to 2023 Quantity Standard 0.7704 Quality Standard $414 Service Standard $319 D.C. Amount (before deductions) 10 Year Forecast Population 375 $ per Capita $319 Eligible Amount $119,663 Watson & Associates Economists Ltd. PAGE B-12 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Table B-11 Service Standard Calculation - Parks and Recreation Services - Parks & Recreation Vehicles and Equipment Municipality of Trent Lakes Service Standard Calculation Sheet Service: Parks & Recreation Vehicles and Equipment Unit Measure: No. of vehicles and equipment Description 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Value ($/Vehicle) Zamboni 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 $144,400 Zero Turn Mower 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 $25,000 Dump Trailer - - - - - - - - - 1 1 1 1 1 1 $11,000 Enclosed Trailer 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 $15,900 Truck - 1/2 Ton 1 1 1 1 1 1 1 1 2 2 2 2 2 2 2 $66,300 Truck - 3/4 Ton 2 2 2 2 2 2 $82,900 Total 4 4 4 4 4 4 4 4 5 8 8 8 8 8 8 Population 16,340 16,118 15,965 16,129 16,324 16,493 16,660 16,774 16,721 16,687 16,595 16,500 16,401 16,502 16,554 Per Capita 0.0002 0.0002 0.0003 0.0002 0.0002 0.0002 0.0002 0.0002 0.0003 0.0005 0.0005 0.0005 0.0005 0.0005 0.0005 15 Year Average 2009 to 2023 Quantity Standard 0.0003 Quality Standard $71,467 Service Standard $21 D.C. Amount (before deductions) 10 Year Forecast Population 375 $ per Capita $21 Eligible Amount $8,040 Watson & Associates Economists Ltd. PAGE B-13 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Table B-12 Service Standard Calculation - Library Services - Facilities Municipality of Trent Lakes Service Standard Calculation Sheet Service: Library Services - Facilities Unit Measure: sq.ft. of building area Description 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Bld'g Value ($/sq.ft.) Value/sq.ft. with land, site works, etc. Buckhorn Library 2,490 2,490 2,490 2,490 2,490 2,490 2,490 2,490 2,490 2,490 2,490 2,490 2,490 2,490 2,490 $375 $456 Cavendish Library 560 560 560 560 560 560 560 560 560 560 560 560 560 560 560 $375 $456 Total 3,049 3,049 3,049 3,049 3,049 3,049 3,049 3,049 3,049 3,049 3,049 3,049 3,049 3,049 3,049 Population 16,340 16,118 15,965 16,129 16,324 16,493 16,660 16,774 16,721 16,687 16,595 16,500 16,401 16,502 16,554 Per Capita 0.1866 0.1892 0.1910 0.1891 0.1868 0.1849 0.1830 0.1818 0.1824 0.1827 0.1838 0.1848 0.1859 0.1848 0.1842 15 Year Average 2009 to 2023 Quantity Standard 0.1854 Quality Standard $456 Service Standard $85 D.C. Amount (before deductions) 10 Year Forecast Population 375 $ per Capita $85 Eligible Amount $31,703 Watson & Associates Economists Ltd. PAGE B-14 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Table B-13 Service Standard Calculation - Library Services - Collection Materials Municipality of Trent Lakes Service Standard Calculation Sheet Service: Library Services - Collection Materials Unit Measure: No. of library collection items Description 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Value ($/item) Collections Materials 20,532 20,532 20,532 20,532 20,217 20,336 20,429 20,825 20,882 20,882 20,907 20,933 20,958 20,984 21,009 $36 E-Resource subscriptions 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 $2,359 Database Subscriptions 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 $316 Total 20,534 20,534 20,534 20,534 20,219 20,338 20,431 20,827 20,884 20,884 20,909 20,935 20,960 20,986 21,011 Population 16,340 16,118 15,965 16,129 16,324 16,493 16,660 16,774 16,721 16,687 16,595 16,500 16,401 16,502 16,554 Per Capita 1.2567 1.2740 1.2862 1.2731 1.2386 1.2331 1.2264 1.2416 1.2490 1.2515 1.2600 1.2688 1.2780 1.2717 1.2692 15 Year Average 2009 to 2023 Quantity Standard 1.2585 Quality Standard $36 Service Standard $45 D.C. Amount (before deductions) 10 Year Forecast Population 375 $ per Capita $45 Eligible Amount $17,051 Watson & Associates Economists Ltd. PAGE C-1 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Appendix C Long-Term Capital and Operating Cost Examination Watson & Associates Economists Ltd. PAGE C-2 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Appendix C: Long-Term Capital and Operating Cost Examination As a requirement of the D.C.A. under subsection 10(2)(c), an analysis must be undertaken to assess the long-term capital and operating cost impacts for the capital infrastructure projects identified within the D.C. As part of this analysis, it was deemed necessary to isolate the incremental operating expenditures directly associated with these capital projects, factor in cost savings attributable to economies of scale or cost sharing where applicable and prorate the cost on a per unit basis (i.e., sq.ft. of building space, per vehicle, etc.). This was undertaken through a review of the Municipality's 2022 Financial Information Return. In addition to the operational impacts, over time the initial capital projects will require replacement. This replacement of capital is often referred to as lifecycle cost. By definition, lifecycle costs are all the costs which are incurred during the life of a physical asset, from the time its acquisition is first considered, to the time it is taken out of service for disposal or redeployment. The method selected for lifecycle costing is the sinking fund method which provides that money will be contributed annually and invested, so that those funds will grow over time to equal the amount required for future replacement. Table C-1 depicts the annual operating impact resulting from the proposed gross capital projects at the time they are all in place. It is important to note that, while municipal program expenditures will increase with growth in population, the costs associated with the new infrastructure (i.e., facilities) would be delayed until the time these works are in place. Table C-1 Operating and Capital Expenditure Impacts for Future Capital Expenditures ANNUAL LIFECYCLE EXPENDITURES ANNUAL OPERATING EXPENDITURES TOTAL ANNUAL EXPENDITURES 1. Services Related to a Highway 90,239 69,399 159,638 2. Fire Protection Services 37,677 73,520 111,197 3. Parks and Recreation Services 6,808 6,357 13,165 4. Library Services 3,714 7,327 11,041 Total 138,438 156,603 295,041 SERVICE/CLASS Watson & Associates Economists Ltd. PAGE D-1 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Appendix D Proposed D.C. By-laws Watson & Associates Economists Ltd. PAGE D-2 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx D1. Services Related to a Highway CORPORATION OF THE MUNICIPALITY OF TRENT LAKES BY-LAW 2024-XX BEING A BY-LAW TO ESTABLISH A DEVELOPMENT CHARGE FOR SERVICES RELATED TO A HIGHWAY WHEREAS the Council of the Corporation of the Municipality of Trent Lakes (hereinafter referred to as "the Council") anticipates that the Corporation of the Municipality of Trent Lakes (hereinafter called "the Municipality") will experience additional development, including redevelopment throughout the Municipality in the next ten years and Council further anticipates that this development will increase the need for 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; AND WHEREAS the Council of The Corporation of the Municipality of Trent Lakes has given notice of and held a public meeting on the 5th of March, 2024 in accordance with the Act and the regulations thereto; AND WHEREAS Council desires to ensure that the capital cost of meeting growth- related demands for, or burden on, municipal services does not place a financial burden on the Municipality or its existing taxpayers; NOW THEREFORE THE MUNICIPAL COUNCIL OF THE CORPORATION OF THE MUNICIPALITY OF TRENT LAKES HEREBY ENACTS AS FOLLOWS: DEFINITION AND USES: 1. In this By-law, unless a contrary intention appears, a term has the same meaning as that which exists in the Act or any Regulation made pursuant to Section 68 of the Act, both as amended from time to time. 2. In this By-law: Watson & Associates Economists Ltd. PAGE E-3 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx a. "Act" means the Development Charges Act, as amended, or any successor thereof; b. "accessory" means where used to describe a use, building, or structure that the use, building or structure is naturally and normally incidental, subordinate in purpose or floor area or both, and exclusively devoted to a principal use, building or structure; c. "agricultural use" means lands, buildings, or structures, excluding any portion thereof used as a dwelling unit, used, designed or intended to be used for the purpose of a bona fide farming operation including, but not limited to, animal husbandry, bee keeping, dairying, fallow, field crops, fish farming, forestry, fruit farming, horticulture, livestock, market gardening, pasturage, poultry keeping, the growing, raising, packing, treating, storing, and sale of produce produced on the premises, and other activities customarily carried on in the field of agriculture; d. "bedroom" means a habitable room larger than seven square metres, including a den, study or other similar area, but does not include a bathroom, living room, dining room or kitchen; e. "board" means a board of education, public school board, secondary school board, Catholic school board, Protestant school board, or a board as defined in Subsection 1(1) of the Education Act, R.S.O. 1990, c.E.2, as amended; f. "building or structure" means a structure occupying an area greater than ten square metres consisting of a wall, roof, and floor or any of them or a structural system serving the function thereof including an air-supported structure, excluding a farm building; g. "Building Code Act" means the Building Code Act, S.O. 1992, c.23, as amended, and all Regulations thereto including the Ontario Building Code, 1997, as amended; h. "capital cost" means costs incurred or proposed to be incurred by the municipality or a local board thereof directly or by others on behalf of and as authorized by the municipality or local board, i. to acquire land or an interest in land, including a leasehold interest, ii. to improve land, Watson & Associates Economists Ltd. PAGE E-4 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx iii. to acquire, lease, construct or improve buildings and structures, iv. to acquire, construct or improve facilities including, 1. furniture and equipment other than computer equipment, and 2. material acquired for circulation, reference or information purposes by a library board as defined in the Public Libraries Act, R.S.O. 1990, Chap. P.44, as amended, or any successor thereof; and 3. rolling stock with an estimated useful life of seven years or more, and v. including interest on borrowing for those expenditures under clauses I to iv above that are growth related i. "Council" means the Council of the Municipality; j. "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 has the effect of increasing the size thereof and includes preparation for such building activity and redevelopment; k. "Development Charge" means a charge calculated in accordance with the rules set out in the Development Charges Act, 1997 and imposed against development in the Municipality as set out in this By-law; l. "Dwelling Unit" means one or more habitable rooms designed or intended to be used together as a single and separate housekeeping unit by one or more persons, containing its own culinary facilities; m. "existing" means the number, use and size that existed as of April 16, 20219 ; n. "Farm Building" means any part of a building which is not used for residential purposes and which building is located on 3 or more hectares of land and which building is used solely for farm and farm related activities carried out on the same farm and includes barns, implement sheds, seasonal roadside stands and silos but does not include processing or wholesale or retail facilities such as restaurants, dedicated farm shops, banquet facilities, hospitality and accommodation facilities, gift Watson & Associates Economists Ltd. PAGE E-5 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx shops, services related to grooming, boarding or breeding of household pets, and marijuana and alcohol processing or production facilities. o. "Grade" means the average level of finished ground adjoining a building or structure at all exterior walls; p. "Green Energy" means lands, buildings or structures that that are not of an accessory use and that: i. form, support or accommodate a system or utility used, designed or intended to convert wind or solar energy into electricity and feed it into the general power grid, and includes such systems or utilities that are subject to the Green Energy Act or are participating or intended to participate in the Independent Electricity System Operator's Feed-In Tariff Program, or successor thereof, or similar program; q. "Gross Floor Area" means the sum total of the total areas of all floors in a building or structure, whether at, above, or below-grade, measured between the exterior faces of the exterior walls of the building or structure or from the centre line of a common wall separating two uses, or from the outside edge of a floor where the outside edge of the floor does not meet an exterior or common wall, and; i. includes the floor area of a mezzanine and air-supported structure and the space occupied by interior walls partitions; ii. excludes any parts of the building or structure used for the parking and loading of vehicles; and iii. where a building or structure does not have any walls, the gross floor area of the building or structure shall be the total of the area of all floors, including the ground floor, that are directly beneath the roof of the building or structure; r. "industrial building" means a building used for or in connection with, i. manufacturing, producing, processing, storing or distributing something; ii. research or development in connection with manufacturing, producing or processing something; Watson & Associates Economists Ltd. PAGE E-6 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx iii. retail sales by a manufacturer, producer or processor of something they manufactured, produced or processed, if the retail sales are at the site where the manufacturing, production, or processing takes place; or iv. office or administrative purposes, if they are; 1. carried out with respect to manufacturing, producing, processing, storage or distributing of something, and; 2. in or attached to the building or structure used for that manufacturing, producing, processing, storage or distribution; s. "institutional development" means development of a building or structure intended for use: i. as a long-term care home within the meaning of Subsection 2 (1) of the Long Term Care Homes Act, 2007; ii. as a retirement home within the meaning of Subsection 2(1) of the Retirement Homes Act, 2010; iii. By any institution of the following post-secondary institutions for the objects of the institution: 1. a university in Ontario that receives direct, regular and ongoing operation funding from the Government of Ontario; 2. a college or university federated or affiliated with a university in Ontario that receives direct, regular and ongoing operation funding from the Government of Ontario; or 3. an Indigenous Institute prescribed for the purposes of section 6 of the Indigenous Institute Act, 2017. iv. as a memorial home, clubhouse or athletic grounds by an Ontario branch of the Royal Canadian Legion; or v. as a hospice to provide end of life care. t. "Non-profit housing development" means development of a building or structure intended for use as residential premises by: Watson & Associates Economists Ltd. PAGE E-7 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx i. a corporation to which the Not-for-Profit Corporations Act, 2010 applies, that is in good standing under that Act and whose primary object is to provide housing; ii. a corporation without share capital to which the Canada Not-for- profit Corporations Act applies, that is in good standing under that Act and whose primary object is to provide housing; or iii. a non-profit housing co-operative that is in good standing under the Co-operative Corporations Act. u. "non-residential development" means development other than residential development as defined herein, and includes development for commercial, farm, industrial, institutional, hunt camp, and Green Energy uses; v. "Owner" means the owner of land or any person authorized by such owner to make one or more applications described in Section 7 of this By-law for the development of such land; w. "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.5.0., 1990, as amended; x. "regulation" means any regulation made pursuant to the Act y. "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. z. "residential" means designed, adopted or used as a home or residence of one or more individuals who reside or dwell there permanently or seasonally and includes: i. an "apartment building" means a residential building, consisting of four or more dwelling units where access to each residential unit is obtained through a common entrance or entrances from the street level and the residential units are connected by an interior corridor. Notwithstanding the foregoing, an apartment unit includes a stacked townhouse dwelling unit; ii. a "duplex dwelling" means a residential building that is divided horizontally into two dwelling units; Watson & Associates Economists Ltd. PAGE E-8 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx iii. "multiple dwellings" means all dwellings other than single-detached, semi-detached, and apartment unit dwellings; iv. a "row dwelling or townhouse" means a residential building containing not less than three units with each unit separated by a common or party wall or walls with a separate outside entrance to each unit; v. a "Park Model Trailer" means a trailer conforming to National Standard of Canada CAN CSA-Z241 .0-92 or similar standard that is up to a maximum size of 50 square metres and designed to facilitate relocation from time to time; vi. a "seasonal dwelling" means a single detached dwelling occupied on a non-permanent basis, the owner(s), occupant(s), having another permanent address, but does not include nursing homes, hotels, motels, tourist homes, bed & breakfast establishments, student residences, barracks, or any other development of an institutional nature and included in the Municipality's Zoning By-law as a non- residential use. vii. a "semi-detached dwelling" means a residential building that is divided vertically into two dwelling units, each dwelling unit having one vertical wall, but no other parts attached to another structure; viii. "senior Apartment" means an apartment building or unit that is occupied by one or more individuals who require accessibility modifications or provincially-funded support services in order to live independently in the community.; ix. a "single detached dwelling" means a residential building consisting of one dwelling unit and not attached to another structure; x. "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; aa. "Use" means occupation and utilization for a particular purpose, practice or benefit; and Watson & Associates Economists Ltd. PAGE E-9 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx bb. "Wind Turbine" means a rotary engine that extracts energy from the flow of wind, converts it to mechanical energy by causing a bladed rotor to rotate, and further converts it to electrical energy through an electrical generator. 3. Pursuant to Section 2 of the Act, all uses of any land, buildings or structures upon which Development Charges are imposed within the Municipality are: a. a residential development; b. a non-residential development. 4. The Development Charge with respect to the use of any land, buildings or structures shall be calculated as follows: a. in the case of residential development, or the residential portion of a mixed-use development, based upon the number of dwelling units; b. in the case of non-residential development or the non-residential portion of a mixed-use development based upon the Gross Floor Area devoted to the use. LANDS AFFECTED 5. Pursuant to Section 2 (7) of the Act, this By-law applies to all lands within the geographic limits of the Corporation of the Municipality, whether or not the land or use is exempt from taxation under Section 3 of the Assessment Act, R.S.O., 1990. DESIGNATED SERVICES 6. The category of service for which development charges are imposed under this By-law is Services Related to a Highway DEVELOPMENT CHARGES IMPOSED 7. Development Charges as hereinafter provided shall be imposed upon, and shall be applied, calculated and collected in accordance with the provisions of this By-law in connection with the development of all land within the Municipality for residential uses and non-residential uses where, a. the development of the land will increase the need for services, and b. the development requires, Watson & Associates Economists Ltd. PAGE E-10 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx i. the passing of a Zoning By-law or of an amendment thereto under section 34 of the Planning Act, R.S.O., 1990, ii. the approval of a minor variance under section 45 of the Planning Act, R.S.O., 1990, iii. a conveyance of land to which a By-law passed under subsection 50 (7) of the Planning Act, R.S.O., 1990, iv. the approval of a plan of subdivision under section 51 of the Planning Act, R.S.O., 1990, v. a consent under section 53 of the Planning Act, R.S.O., 1990, vi. the approval of a description under section 9 of the Condominium Act, or vii. the issuing of a permit under the Building Code Act, in relation to a building or structure DEVELOPMENT CHARGES - AMOUNTS 8. Residential - The amount of the Residential Development Charge payable with respect to lands which are the subject of any approvals mentioned in Section 7, above shall be calculated in accordance with Schedule "A", subject to any exemption hereinafter provided. 9. Non-residential - The amount of the Non-Residential Development Charge payable with respect to lands which are the subject of any approvals mentioned in Section 7 above shall be calculated in accordance with Schedule "A", subject to any exemptions hereinafter provided. 10. Development charges described in Schedule A to this by-law shall be imposed on non-residential Green Energy uses of lands, with respect to the number of wind turbines for Wind Turbine developments and the kilowatts of nameplate generating capacity for Solar Energy developments EXEMPTIONS 11. The following categories of use are hereby designated as being exempt from the payment of development charges: Watson & Associates Economists Ltd. PAGE E-11 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx a. land, buildings or structures owned by and used for the purposes of a municipality and exempt from taxation under Section 3 of the Assessment Act, R.S.O. 1990, c.A.31, as amended; b. lands, buildings or structures owned by and used for the purposes of a board and exempt from taxation under Section 3 of the Assessment Act, R.S.O. 1990, c.A.31; c. buildings or structures used as public hospitals governed by the Public Hospitals Act, R.S.O. 1990, c.P.40, as amended; d. land, buildings or structures used for institutional church use and exempt from taxation under the Assessment Act, R.S.O. 1990, c.A.31, as amended; e. the development of non-residential farm buildings constructed for bona fide farm uses, which qualify as a farm business, being that which operates with a valid Farm Business Registration Number and is assessed in the Farmland Realty Tax Class; f. affordable housing. Council may also waive a development charge for a related use upon request (i.e. Non-profit agency); g. for the first 100 kW of generating capacity of a Wind Turbine System or Photovoltaic Generating Installation (Solar Farm); h. the first 250 sq.m. of gross floor area of a new non-residential building; i. accessory uses; j. land 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 in respect of which development charges would otherwise be payable is intended to be occupied and used by the university; k. non-profit housing development; l. Residential units that are affordable housing units required to be included in a development or redevelopment pursuant to a by-law passed under section 34 of the Planning Act to give effect to the policies described in subsection 16 (4) of that Act Watson & Associates Economists Ltd. PAGE E-12 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx 12. 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. a second 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 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. 13. 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. A second 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 Watson & Associates Economists Ltd. PAGE E-13 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx 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 14. 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. a. 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: b. notwithstanding section 13 a) if the gross floor area is enlarged by more than 50 percent (50%), development charges shall be payable and collected and the amount payable shall be calculated in accordance with s.4(3) of the Act. c. 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 that existed on the later of April 16, 2019 or the date before the first enlargement for which an exemption from the payment of development charges was granted pursuant to this by-law or its predecessor. d. for greater certainty in applying the exemption herein, the gross floor area of an existing industrial building is enlarged where there is a bona fide increase in the size of the existing building and the enlarged area is attached to existing industrial building and is used for or in connection with an industrial purpose as set out in Subsection 1(1) of O.Reg. 82/98. Without limiting the generality of the foregoing, the exemption in this Section shall not apply where the enlarged area is attached to the existing industrial building by means only of a tunnel, bridge, canopy, corridor or Watson & Associates Economists Ltd. PAGE E-14 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx other passageway, or through a shared below grade connection such as a service tunnel, foundation, footing or a parking facility. 15. Notwithstanding any other provision of this by-law, development charges for rental housing development shall be reduced in accordance with the following: a. A development 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; b. A development 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. A development charge for a residential unit intended for use as a rented residential premises not referred to in subsection (a) and (b) shall be reduced by 15 per cent. SPECIAL PROVISIONS 16. Development Charges are hereby imposed upon all lands that are developed for residential, non-residential and institutional uses, in accordance with Sections 8, 9, and 10, respectively, above insofar as; a. the growth-related net capital costs are attributable development; and b. Where two or more of the actions described in Section 7(b) are applicable only one Development Charge shall be calculated and collected in accordance with the provisions of this By-law. c. Notwithstanding Subsection (c), if two or more of the actions described in Section 7(b) occur at difference times, and if the subsequent action has the effect of increasing the need for municipal services as designated in Schedule "A", an additional Development Charge on the additional residential units and/or non-residential gross floor area shall be calculated and collected in accordance with the provision of this By-law. CREDITS/ANNUAL ADJUSTMENTS 17. Credit for previous Development Charge Payments and lot levies: A credit shall be applied to the Development Charge calculated in Sections 8, 9, and Watson & Associates Economists Ltd. PAGE E-15 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx 10 above for any previous Development Charge or lot levy payment. The onus shall be upon the owner/applicant to provide proof of earlier payments. 18. Development charges imposed pursuant to this By-law shall be adjusted annually, without amendment to this By-law, on April 2nd of each year, in accordance with the prescribed index in the Act. TIMING AND CALCULATION OF PAYMENT 19. Development charges imposed under this By-law are calculated, payable, and collected upon issuance of a building permit for the development. 20. Despite Section 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. 21. Notwithstanding Sections 19 and 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. 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 Section 8, 9, and 10 may 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 Sections 8, 9, and 10 may be calculated on the rates, including interest, set out in Schedule "A" on the date of the later planning application. 23. Interest for the purposes of Sections 21 and 22 shall be determined as the base rate plus 1% 24. The base rate shall be equal to the average prime rate on: a. October 15 of the previous year, if the adjustment date is January 1, b. January 15 of the same year, if the adjustment date is April 1, c. April 15 of the same year, if the adjustment date is July 1, and Watson & Associates Economists Ltd. PAGE E-16 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx d. July 15 of the same year, if the adjustment date is October 1. 25. 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. REDUCTION OF DEVELOPMENT CHARGES FOR REDEVELOPMENT 26. where there is a redevelopment, conversion, demolition or change of use of a building or structure or part thereof, the Development Charges payable by the new or proposed development shall be credited by the amount to which the previous use of the building or structure was subject to Development Charges at the time this By-law was passed. 27. A credit shall not be warranted where a building or structure or part thereof was demolished and no building permit has been issued within 5 years from the date of issuance of the demolition permit. 28. The credit with respect to a redevelopment, conversion, demolition, or change of use of a building or structure or part thereof shall not exceed the amount of the Development Charges payable with respect to new or proposed development. 29. No credit shall be given with respect to the redevelopment, conversions, demolition, or change of use of a building or structure or part thereof where the existing building or structure or part thereof would have been exempt from Development Charges in accordance with this By-law. 30. No credit shall be given with respect to the redevelopment, conversions, demolition, or change of use of a building or structure or part thereof where the existing building or structure would have been inhabitable in the sole opinion of the Municipality's Chief Building Official. PAYMENT BY MONEY OR THE PROVISION OF SERVICES: 31. Payment of Development Charges to the Municipality shall be by; a. cash or by cheque. Watson & Associates Economists Ltd. PAGE E-17 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx b. In the alternative to payment by the means provided in subsection (a), the Municipality may, by an agreement entered into with the owner, accept the provision of services in full or partial satisfaction of the Development Charge otherwise payable. BUILDING PERMIT ISSUANCE: 32. Where Development Charges apply to land in relation to which a building permit is required, unless an agreement is entered into pursuant to Section 31(b) above, the building permit shall not be issued until the Development Charge has been paid in full. DEVELOPMENT CHARGE RESERVE FUNDS: 33. All payments received by the Municipality pursuant to this By-law, including income on investments of the reserve funds, shall be apportioned among the reserve funds in accordance with Schedule "A" and paid into the respective reserves. WITHDRAWL FROM RESERVE FUNDS: 34. That no monies be withdrawn from the said Reserve Funds except: a. refunds, including interest, if applicable, as hereinafter set out, and b. to meet growth related net capital costs for which the Development Charge was imposed, as set out in the Municipality's Development Charges Background Study, subject to any modifications to project definition, budget priority and phasing, as may occur as part of the Municipality's annual Capital Budget process, or amendments to this By- law. Council may withdraw funds from the Municipal Services Reserve Fund based on project definition, budget priority and phasing as aforesaid. REFUNDS: 35. Notwithstanding the foregoing, if a Development Charge is paid at the time a building permit is issued and no building proceeds pursuant to the said permit and the building permit has expired, the registered owner may apply to the Treasurer of the Municipality for a refund of the Development Charge paid at the time the building permit was issued within one year of payment to the Municipality provided the building permit is surrendered. Watson & Associates Economists Ltd. PAGE E-18 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Where this By-law or any Development Charge prescribed under this Bylaw is amended or repealed either by order of the Ontario Land Tribunal or by resolution of the Council, the Treasurer shall forthwith calculate and refund the amount of any overpayment as a result of such amendment or repeal. Upon issuing a refund, the Municipality will retain an administrative fee of $150.00 per building application. 36. Refunds that are required to be paid under Section 35 shall be paid with interest to be calculated from the date on which the overpayment was collected to the date on which the refund is paid. The interest rate shall be the Bank of Canada rate on the day the by-law comes into force, updated on the first business day of every January, April, July and October. FULL FORCE AND EFFECT 37. This By-law, known as the "Development Charges By-law, 2024", shall come into force and effect on April 2, 2024. 38. This By-law shall continue in force and effect until ten years from the date of adoption by Council, unless it is repealed at an earlier date. READ A FIRST TIME THIS 2nd DAY OF APRIL, 2024. READ A SECOND TIME THIS 2nd DAY OF APRIL, 2024. READ A THIRD TIME AND FINALLY PASSED THIS 2nd DAY OF APRIL, 2024. ____________________ ______________, Mayor ____________________ _______________, Clerk Watson & Associates Economists Ltd. PAGE E-19 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Schedule "A" to By-law 2024-XX Schedule of Development Charges - Services Related to a Highway Single and Semi-Detached Dwelling Other Multiples Apartments - 2 Bedrooms + Apartments - Bachelor and 1 Bedroom Park Model Trailers (per sq.m. of Gross Floor Area) Per 500kW Nameplate Generating Capacity (Green Energy Developments) Services Related to a Highway 5,130 4,351 4,276 2,492 2,492 31.38 5,130 Service RESIDENTIAL ($) NON-RESIDENTIAL ($) Watson & Associates Economists Ltd. PAGE D-20 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx D2. Fire Protection Services CORPORATION OF THE MUNICIPALITY OF TRENT LAKES BY-LAW 2024-XX BEING A BY-LAW TO ESTABLISH A DEVELOPMENT CHARGE FOR FIRE PROTECTION SERVICES WHEREAS the Council of the Corporation of the Municipality of Trent Lakes (hereinafter referred to as "the Council") anticipates that the Corporation of the Municipality of Trent Lakes (hereinafter called "the Municipality") will experience additional development, including redevelopment throughout the Municipality in the next ten years and Council further anticipates that this development will increase the need for 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; AND WHEREAS the Council of The Corporation of the Municipality of Trent Lakes has given notice of and held a public meeting on the 5th of March, 2024 in accordance with the Act and the regulations thereto; AND WHEREAS Council desires to ensure that the capital cost of meeting growth- related demands for, or burden on, municipal services does not place a financial burden on the Municipality or its existing taxpayers; NOW THEREFORE THE MUNICIPAL COUNCIL OF THE CORPORATION OF THE MUNICIPALITY OF TRENT LAKES HEREBY ENACTS AS FOLLOWS: DEFINITION AND USES: 1. In this By-law, unless a contrary intention appears, a term has the same meaning as that which exists in the Act or any Regulation made pursuant to Section 68 of the Act, both as amended from time to time. 2. In this By-law: Watson & Associates Economists Ltd. PAGE E-21 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx a. "Act" means the Development Charges Act, as amended, or any successor thereof; b. "accessory" means where used to describe a use, building, or structure that the use, building or structure is naturally and normally incidental, subordinate in purpose or floor area or both, and exclusively devoted to a principal use, building or structure; c. "agricultural use" means lands, buildings, or structures, excluding any portion thereof used as a dwelling unit, used, designed or intended to be used for the purpose of a bona fide farming operation including, but not limited to, animal husbandry, bee keeping, dairying, fallow, field crops, fish farming, forestry, fruit farming, horticulture, livestock, market gardening, pasturage, poultry keeping, the growing, raising, packing, treating, storing, and sale of produce produced on the premises, and other activities customarily carried on in the field of agriculture; d. "bedroom" means a habitable room larger than seven square metres, including a den, study or other similar area, but does not include a bathroom, living room, dining room or kitchen; e. "board" means a board of education, public school board, secondary school board, Catholic school board, Protestant school board, or a board as defined in Subsection 1(1) of the Education Act, R.S.O. 1990, c.E.2, as amended; f. "building or structure" means a structure occupying an area greater than ten square metres consisting of a wall, roof, and floor or any of them or a structural system serving the function thereof including an air-supported structure, excluding a farm building; g. "Building Code Act" means the Building Code Act, S.O. 1992, c.23, as amended, and all Regulations thereto including the Ontario Building Code, 1997, as amended; h. "capital cost" means costs incurred or proposed to be incurred by the municipality or a local board thereof directly or by others on behalf of and as authorized by the municipality or local board, i. to acquire land or an interest in land, including a leasehold interest, ii. to improve land, Watson & Associates Economists Ltd. PAGE E-22 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx iii. to acquire, lease, construct or improve buildings and structures, iv. to acquire, construct or improve facilities including, 1. furniture and equipment other than computer equipment, and 2. material acquired for circulation, reference or information purposes by a library board as defined in the Public Libraries Act, R.S.O. 1990, Chap. P.44, as amended, or any successor thereof; and 3. rolling stock with an estimated useful life of seven years or more, and v. including interest on borrowing for those expenditures under clauses I to iv above that are growth related i. "Council" means the Council of the Municipality; j. "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 has the effect of increasing the size thereof and includes preparation for such building activity and redevelopment; k. "Development Charge" means a charge calculated in accordance with the rules set out in the Development Charges Act, 1997 and imposed against development in the Municipality as set out in this By-law; l. "Dwelling Unit" means one or more habitable rooms designed or intended to be used together as a single and separate housekeeping unit by one or more persons, containing its own culinary facilities; m. "existing" means the number, use and size that existed as of April 16, 20219 ; n. "Farm Building" means any part of a building which is not used for residential purposes and which building is located on 3 or more hectares of land and which building is used solely for farm and farm related activities carried out on the same farm and includes barns, implement sheds, seasonal roadside stands and silos but does not include processing or wholesale or retail facilities such as restaurants, dedicated farm shops, banquet facilities, hospitality and accommodation facilities, gift Watson & Associates Economists Ltd. PAGE E-23 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx shops, services related to grooming, boarding or breeding of household pets, and marijuana and alcohol processing or production facilities. o. "Grade" means the average level of finished ground adjoining a building or structure at all exterior walls; p. "Green Energy" means lands, buildings or structures that that are not of an accessory use and that: i. form, support or accommodate a system or utility used, designed or intended to convert wind or solar energy into electricity and feed it into the general power grid, and includes such systems or utilities that are subject to the Green Energy Act or are participating or intended to participate in the Independent Electricity System Operator's Feed-In Tariff Program, or successor thereof, or similar program; q. "Gross Floor Area" means the sum total of the total areas of all floors in a building or structure, whether at, above, or below-grade, measured between the exterior faces of the exterior walls of the building or structure or from the centre line of a common wall separating two uses, or from the outside edge of a floor where the outside edge of the floor does not meet an exterior or common wall, and; i. includes the floor area of a mezzanine and air-supported structure and the space occupied by interior walls partitions; ii. excludes any parts of the building or structure used for the parking and loading of vehicles; and iii. where a building or structure does not have any walls, the gross floor area of the building or structure shall be the total of the area of all floors, including the ground floor, that are directly beneath the roof of the building or structure; r. "industrial building" means a building used for or in connection with, i. manufacturing, producing, processing, storing or distributing something; ii. research or development in connection with manufacturing, producing or processing something; Watson & Associates Economists Ltd. PAGE E-24 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx iii. retail sales by a manufacturer, producer or processor of something they manufactured, produced or processed, if the retail sales are at the site where the manufacturing, production, or processing takes place; or iv. office or administrative purposes, if they are; 1. carried out with respect to manufacturing, producing, processing, storage or distributing of something, and; 2. in or attached to the building or structure used for that manufacturing, producing, processing, storage or distribution; s. "institutional development" means development of a building or structure intended for use: i. as a long-term care home within the meaning of Subsection 2 (1) of the Long Term Care Homes Act, 2007; ii. as a retirement home within the meaning of Subsection 2(1) of the Retirement Homes Act, 2010; iii. By any institution of the following post-secondary institutions for the objects of the institution: 1. a university in Ontario that receives direct, regular and ongoing operation funding from the Government of Ontario; 2. a college or university federated or affiliated with a university in Ontario that receives direct, regular and ongoing operation funding from the Government of Ontario; or 3. an Indigenous Institute prescribed for the purposes of section 6 of the Indigenous Institute Act, 2017. iv. as a memorial home, clubhouse or athletic grounds by an Ontario branch of the Royal Canadian Legion; or v. as a hospice to provide end of life care. t. "Non-profit housing development" means development of a building or structure intended for use as residential premises by: Watson & Associates Economists Ltd. PAGE E-25 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx i. a corporation to which the Not-for-Profit Corporations Act, 2010 applies, that is in good standing under that Act and whose primary object is to provide housing; ii. a corporation without share capital to which the Canada Not-for- profit Corporations Act applies, that is in good standing under that Act and whose primary object is to provide housing; or iii. a non-profit housing co-operative that is in good standing under the Co-operative Corporations Act. u. "non-residential development" means development other than residential development as defined herein, and includes development for commercial, farm, industrial, institutional, hunt camp, and Green Energy uses; v. "Owner" means the owner of land or any person authorized by such owner to make one or more applications described in Section 7 of this By-law for the development of such land; w. "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.5.0., 1990, as amended; x. "regulation" means any regulation made pursuant to the Act y. "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. z. "residential" means designed, adopted or used as a home or residence of one or more individuals who reside or dwell there permanently or seasonally and includes: i. an "apartment building" means a residential building, consisting of four or more dwelling units where access to each residential unit is obtained through a common entrance or entrances from the street level and the residential units are connected by an interior corridor. Notwithstanding the foregoing, an apartment unit includes a stacked townhouse dwelling unit; ii. a "duplex dwelling" means a residential building that is divided horizontally into two dwelling units; Watson & Associates Economists Ltd. PAGE E-26 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx iii. "multiple dwellings" means all dwellings other than single-detached, semi-detached, and apartment unit dwellings; iv. a "row dwelling or townhouse" means a residential building containing not less than three units with each unit separated by a common or party wall or walls with a separate outside entrance to each unit; v. a "Park Model Trailer" means a trailer conforming to National Standard of Canada CAN CSA-Z241 .0-92 or similar standard that is up to a maximum size of 50 square metres and designed to facilitate relocation from time to time; vi. a "seasonal dwelling" means a single detached dwelling occupied on a non-permanent basis, the owner(s), occupant(s), having another permanent address, but does not include nursing homes, hotels, motels, tourist homes, bed & breakfast establishments, student residences, barracks, or any other development of an institutional nature and included in the Municipality's Zoning By-law as a non- residential use. vii. a "semi-detached dwelling" means a residential building that is divided vertically into two dwelling units, each dwelling unit having one vertical wall, but no other parts attached to another structure; viii. "senior Apartment" means an apartment building or unit that is occupied by one or more individuals who require accessibility modifications or provincially-funded support services in order to live independently in the community.; ix. a "single detached dwelling" means a residential building consisting of one dwelling unit and not attached to another structure; x. "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; aa. "Use" means occupation and utilization for a particular purpose, practice or benefit; and Watson & Associates Economists Ltd. PAGE E-27 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx bb. "Wind Turbine" means a rotary engine that extracts energy from the flow of wind, converts it to mechanical energy by causing a bladed rotor to rotate, and further converts it to electrical energy through an electrical generator. 3. Pursuant to Section 2 of the Act, all uses of any land, buildings or structures upon which Development Charges are imposed within the Municipality are: a. a residential development; b. a non-residential development. 4. The Development Charge with respect to the use of any land, buildings or structures shall be calculated as follows: a. in the case of residential development, or the residential portion of a mixed-use development, based upon the number of dwelling units; b. in the case of non-residential development or the non-residential portion of a mixed-use development based upon the Gross Floor Area devoted to the use. LANDS AFFECTED 5. Pursuant to Section 2 (7) of the Act, this By-law applies to all lands within the geographic limits of the Corporation of the Municipality, whether or not the land or use is exempt from taxation under Section 3 of the Assessment Act, R.S.O., 1990. DESIGNATED SERVICES 6. The category of service for which development charges are imposed under this By-law is Fire Protection Services DEVELOPMENT CHARGES IMPOSED 7. Development Charges as hereinafter provided shall be imposed upon, and shall be applied, calculated and collected in accordance with the provisions of this By-law in connection with the development of all land within the Municipality for residential uses and non-residential uses where, a. the development of the land will increase the need for services, and b. the development requires, Watson & Associates Economists Ltd. PAGE E-28 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx i. the passing of a Zoning By-law or of an amendment thereto under section 34 of the Planning Act, R.S.O., 1990, ii. the approval of a minor variance under section 45 of the Planning Act, R.S.O., 1990, iii. a conveyance of land to which a By-law passed under subsection 50 (7) of the Planning Act, R.S.O., 1990, iv. the approval of a plan of subdivision under section 51 of the Planning Act, R.S.O., 1990, v. a consent under section 53 of the Planning Act, R.S.O., 1990, vi. the approval of a description under section 9 of the Condominium Act, or vii. the issuing of a permit under the Building Code Act, in relation to a building or structure DEVELOPMENT CHARGES - AMOUNTS 8. Residential - The amount of the Residential Development Charge payable with respect to lands which are the subject of any approvals mentioned in Section 7, above shall be calculated in accordance with Schedule "A", subject to any exemption hereinafter provided. 9. Non-residential - The amount of the Non-Residential Development Charge payable with respect to lands which are the subject of any approvals mentioned in Section 7 above shall be calculated in accordance with Schedule "A", subject to any exemptions hereinafter provided. 10. Development charges described in Schedule A to this by-law shall be imposed on non-residential Green Energy uses of lands, with respect to the number of wind turbines for Wind Turbine developments and the kilowatts of nameplate generating capacity for Solar Energy developments EXEMPTIONS 11. The following categories of use are hereby designated as being exempt from the payment of development charges: Watson & Associates Economists Ltd. PAGE E-29 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx a. land, buildings or structures owned by and used for the purposes of a municipality and exempt from taxation under Section 3 of the Assessment Act, R.S.O. 1990, c.A.31, as amended; b. lands, buildings or structures owned by and used for the purposes of a board and exempt from taxation under Section 3 of the Assessment Act, R.S.O. 1990, c.A.31; c. buildings or structures used as public hospitals governed by the Public Hospitals Act, R.S.O. 1990, c.P.40, as amended; d. land, buildings or structures used for institutional church use and exempt from taxation under the Assessment Act, R.S.O. 1990, c.A.31, as amended; e. the development of non-residential farm buildings constructed for bona fide farm uses, which qualify as a farm business, being that which operates with a valid Farm Business Registration Number and is assessed in the Farmland Realty Tax Class; f. affordable housing. Council may also waive a development charge for a related use upon request (i.e. Non-profit agency); g. for the first 100 kW of generating capacity of a Wind Turbine System or Photovoltaic Generating Installation (Solar Farm); h. the first 250 sq.m. of gross floor area of a new non-residential building; i. accessory uses; j. land 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 in respect of which development charges would otherwise be payable is intended to be occupied and used by the university; k. non-profit housing development; l. Residential units that are affordable housing units required to be included in a development or redevelopment pursuant to a by-law passed under section 34 of the Planning Act to give effect to the policies described in subsection 16 (4) of that Act Watson & Associates Economists Ltd. PAGE E-30 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx 12. 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. a second 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 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. 13. 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. A second 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 Watson & Associates Economists Ltd. PAGE E-31 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx 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 14. 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. a. 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: b. notwithstanding section 13 a) if the gross floor area is enlarged by more than 50 percent (50%), development charges shall be payable and collected and the amount payable shall be calculated in accordance with s.4(3) of the Act. c. 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 that existed on the later of April 16, 2019 or the date before the first enlargement for which an exemption from the payment of development charges was granted pursuant to this by-law or its predecessor. d. for greater certainty in applying the exemption herein, the gross floor area of an existing industrial building is enlarged where there is a bona fide increase in the size of the existing building and the enlarged area is attached to existing industrial building and is used for or in connection with an industrial purpose as set out in Subsection 1(1) of O.Reg. 82/98. Without limiting the generality of the foregoing, the exemption in this Section shall not apply where the enlarged area is attached to the existing industrial building by means only of a tunnel, bridge, canopy, corridor or Watson & Associates Economists Ltd. PAGE E-32 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx other passageway, or through a shared below grade connection such as a service tunnel, foundation, footing or a parking facility. 15. Notwithstanding any other provision of this by-law, development charges for rental housing development shall be reduced in accordance with the following: a. A development 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; b. A development 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. A development charge for a residential unit intended for use as a rented residential premises not referred to in subsection (a) and (b) shall be reduced by 15 per cent. SPECIAL PROVISIONS 16. Development Charges are hereby imposed upon all lands that are developed for residential, non-residential and institutional uses, in accordance with Sections 8, 9, and 10, respectively, above insofar as; a. the growth-related net capital costs are attributable development; and b. Where two or more of the actions described in Section 7(b) are applicable only one Development Charge shall be calculated and collected in accordance with the provisions of this By-law. c. Notwithstanding Subsection (c), if two or more of the actions described in Section 7(b) occur at difference times, and if the subsequent action has the effect of increasing the need for municipal services as designated in Schedule "A", an additional Development Charge on the additional residential units and/or non-residential gross floor area shall be calculated and collected in accordance with the provision of this By-law. CREDITS/ANNUAL ADJUSTMENTS 17. Credit for previous Development Charge Payments and lot levies: A credit shall be applied to the Development Charge calculated in Sections 8, 9, and Watson & Associates Economists Ltd. PAGE E-33 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx 10 above for any previous Development Charge or lot levy payment. The onus shall be upon the owner/applicant to provide proof of earlier payments. 18. Development charges imposed pursuant to this By-law shall be adjusted annually, without amendment to this By-law, on April 2nd of each year, in accordance with the prescribed index in the Act. TIMING AND CALCULATION OF PAYMENT 19. Development charges imposed under this By-law are calculated, payable, and collected upon issuance of a building permit for the development. 20. Despite Section 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. 21. Notwithstanding Sections 19 and 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. 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 Section 8, 9, and 10 may 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 Sections 8, 9, and 10 may be calculated on the rates, including interest, set out in Schedule "A" on the date of the later planning application. 23. Interest for the purposes of Sections 21 and 22 shall be determined as the base rate plus 1% 24. The base rate shall be equal to the average prime rate on: a. October 15 of the previous year, if the adjustment date is January 1, b. January 15 of the same year, if the adjustment date is April 1, c. April 15 of the same year, if the adjustment date is July 1, and Watson & Associates Economists Ltd. PAGE E-34 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx d. July 15 of the same year, if the adjustment date is October 1. 25. 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. REDUCTION OF DEVELOPMENT CHARGES FOR REDEVELOPMENT 26. where there is a redevelopment, conversion, demolition or change of use of a building or structure or part thereof, the Development Charges payable by the new or proposed development shall be credited by the amount to which the previous use of the building or structure was subject to Development Charges at the time this By-law was passed. 27. A credit shall not be warranted where a building or structure or part thereof was demolished and no building permit has been issued within 5 years from the date of issuance of the demolition permit. 28. The credit with respect to a redevelopment, conversion, demolition, or change of use of a building or structure or part thereof shall not exceed the amount of the Development Charges payable with respect to new or proposed development. 29. No credit shall be given with respect to the redevelopment, conversions, demolition, or change of use of a building or structure or part thereof where the existing building or structure or part thereof would have been exempt from Development Charges in accordance with this By-law. 30. No credit shall be given with respect to the redevelopment, conversions, demolition, or change of use of a building or structure or part thereof where the existing building or structure would have been inhabitable in the sole opinion of the Municipality's Chief Building Official. PAYMENT BY MONEY OR THE PROVISION OF SERVICES: 31. Payment of Development Charges to the Municipality shall be by; a. cash or by cheque. Watson & Associates Economists Ltd. PAGE E-35 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx b. In the alternative to payment by the means provided in subsection (a), the Municipality may, by an agreement entered into with the owner, accept the provision of services in full or partial satisfaction of the Development Charge otherwise payable. BUILDING PERMIT ISSUANCE: 32. Where Development Charges apply to land in relation to which a building permit is required, unless an agreement is entered into pursuant to Section 31(b) above, the building permit shall not be issued until the Development Charge has been paid in full. DEVELOPMENT CHARGE RESERVE FUNDS: 33. All payments received by the Municipality pursuant to this By-law, including income on investments of the reserve funds, shall be apportioned among the reserve funds in accordance with Schedule "A" and paid into the respective reserves. WITHDRAWL FROM RESERVE FUNDS: 34. That no monies be withdrawn from the said Reserve Funds except: a. refunds, including interest, if applicable, as hereinafter set out, and b. to meet growth related net capital costs for which the Development Charge was imposed, as set out in the Municipality's Development Charges Background Study, subject to any modifications to project definition, budget priority and phasing, as may occur as part of the Municipality's annual Capital Budget process, or amendments to this By- law. Council may withdraw funds from the Municipal Services Reserve Fund based on project definition, budget priority and phasing as aforesaid. REFUNDS: 35. Notwithstanding the foregoing, if a Development Charge is paid at the time a building permit is issued and no building proceeds pursuant to the said permit and the building permit has expired, the registered owner may apply to the Treasurer of the Municipality for a refund of the Development Charge paid at the time the building permit was issued within one year of payment to the Municipality provided the building permit is surrendered. Watson & Associates Economists Ltd. PAGE E-36 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Where this By-law or any Development Charge prescribed under this Bylaw is amended or repealed either by order of the Ontario Land Tribunal or by resolution of the Council, the Treasurer shall forthwith calculate and refund the amount of any overpayment as a result of such amendment or repeal. Upon issuing a refund, the Municipality will retain an administrative fee of $150.00 per building application. 36. Refunds that are required to be paid under Section 35 shall be paid with interest to be calculated from the date on which the overpayment was collected to the date on which the refund is paid. The interest rate shall be the Bank of Canada rate on the day the by-law comes into force, updated on the first business day of every January, April, July and October. FULL FORCE AND EFFECT 37. This By-law, known as the "Development Charges By-law, 2024", shall come into force and effect on April 2, 2024. 38. This By-law shall continue in force and effect until ten years from the date of adoption by Council, unless it is repealed at an earlier date. READ A FIRST TIME THIS 2nd DAY OF APRIL, 2024. READ A SECOND TIME THIS 2nd DAY OF APRIL, 2024. READ A THIRD TIME AND FINALLY PASSED THIS 2nd DAY OF APRIL, 2024. ____________________ ______________, Mayor ____________________ _______________, Clerk Watson & Associates Economists Ltd. PAGE E-37 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Schedule "A" to By-law 2024-XX Schedule of Development Charges - Fire Protection Services Single and Semi-Detached Dwelling Other Multiples Apartments - 2 Bedrooms + Apartments - Bachelor and 1 Bedroom Park Model Trailers (per sq.m. of Gross Floor Area) Per 500kW Nameplate Generating Capacity (Green Energy Developments) Fire Protection Services 1,820 1,544 1,517 884 884 11.13 1,820 Service RESIDENTIAL ($) NON-RESIDENTIAL ($) Watson & Associates Economists Ltd. PAGE D-38 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx D3. Parks and Recreation Services CORPORATION OF THE MUNICIPALITY OF TRENT LAKES BY-LAW 2024-XX BEING A BY-LAW TO ESTABLISH A DEVELOPMENT CHARGE FOR PARKS AND RECREATION SERVICES WHEREAS the Council of the Corporation of the Municipality of Trent Lakes (hereinafter referred to as "the Council") anticipates that the Corporation of the Municipality of Trent Lakes (hereinafter called "the Municipality") will experience additional development, including redevelopment throughout the Municipality in the next ten years and Council further anticipates that this development will increase the need for 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; AND WHEREAS the Council of The Corporation of the Municipality of Trent Lakes has given notice of and held a public meeting on the 5th of March, 2024 in accordance with the Act and the regulations thereto; AND WHEREAS Council desires to ensure that the capital cost of meeting growth- related demands for, or burden on, municipal services does not place a financial burden on the Municipality or its existing taxpayers; NOW THEREFORE THE MUNICIPAL COUNCIL OF THE CORPORATION OF THE MUNICIPALITY OF TRENT LAKES HEREBY ENACTS AS FOLLOWS: DEFINITION AND USES: 1. In this By-law, unless a contrary intention appears, a term has the same meaning as that which exists in the Act or any Regulation made pursuant to Section 68 of the Act, both as amended from time to time. 2. In this By-law: Watson & Associates Economists Ltd. PAGE E-39 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx a. "Act" means the Development Charges Act, as amended, or any successor thereof; b. "accessory" means where used to describe a use, building, or structure that the use, building or structure is naturally and normally incidental, subordinate in purpose or floor area or both, and exclusively devoted to a principal use, building or structure; c. "agricultural use" means lands, buildings, or structures, excluding any portion thereof used as a dwelling unit, used, designed or intended to be used for the purpose of a bona fide farming operation including, but not limited to, animal husbandry, bee keeping, dairying, fallow, field crops, fish farming, forestry, fruit farming, horticulture, livestock, market gardening, pasturage, poultry keeping, the growing, raising, packing, treating, storing, and sale of produce produced on the premises, and other activities customarily carried on in the field of agriculture; d. "bedroom" means a habitable room larger than seven square metres, including a den, study or other similar area, but does not include a bathroom, living room, dining room or kitchen; e. "board" means a board of education, public school board, secondary school board, Catholic school board, Protestant school board, or a board as defined in Subsection 1(1) of the Education Act, R.S.O. 1990, c.E.2, as amended; f. "building or structure" means a structure occupying an area greater than ten square metres consisting of a wall, roof, and floor or any of them or a structural system serving the function thereof including an air-supported structure, excluding a farm building; g. "Building Code Act" means the Building Code Act, S.O. 1992, c.23, as amended, and all Regulations thereto including the Ontario Building Code, 1997, as amended; h. "capital cost" means costs incurred or proposed to be incurred by the municipality or a local board thereof directly or by others on behalf of and as authorized by the municipality or local board, i. to acquire land or an interest in land, including a leasehold interest, ii. to improve land, Watson & Associates Economists Ltd. PAGE E-40 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx iii. to acquire, lease, construct or improve buildings and structures, iv. to acquire, construct or improve facilities including, 1. furniture and equipment other than computer equipment, and 2. material acquired for circulation, reference or information purposes by a library board as defined in the Public Libraries Act, R.S.O. 1990, Chap. P.44, as amended, or any successor thereof; and 3. rolling stock with an estimated useful life of seven years or more, and v. including interest on borrowing for those expenditures under clauses I to iv above that are growth related i. "Council" means the Council of the Municipality; j. "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 has the effect of increasing the size thereof and includes preparation for such building activity and redevelopment; k. "Development Charge" means a charge calculated in accordance with the rules set out in the Development Charges Act, 1997 and imposed against development in the Municipality as set out in this By-law; l. "Dwelling Unit" means one or more habitable rooms designed or intended to be used together as a single and separate housekeeping unit by one or more persons, containing its own culinary facilities; m. "existing" means the number, use and size that existed as of April 16, 20219 ; n. "Farm Building" means any part of a building which is not used for residential purposes and which building is located on 3 or more hectares of land and which building is used solely for farm and farm related activities carried out on the same farm and includes barns, implement sheds, seasonal roadside stands and silos but does not include processing or wholesale or retail facilities such as restaurants, dedicated farm shops, banquet facilities, hospitality and accommodation facilities, gift Watson & Associates Economists Ltd. PAGE E-41 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx shops, services related to grooming, boarding or breeding of household pets, and marijuana and alcohol processing or production facilities. o. "Grade" means the average level of finished ground adjoining a building or structure at all exterior walls; p. "Green Energy" means lands, buildings or structures that that are not of an accessory use and that: i. form, support or accommodate a system or utility used, designed or intended to convert wind or solar energy into electricity and feed it into the general power grid, and includes such systems or utilities that are subject to the Green Energy Act or are participating or intended to participate in the Independent Electricity System Operator's Feed-In Tariff Program, or successor thereof, or similar program; q. "Gross Floor Area" means the sum total of the total areas of all floors in a building or structure, whether at, above, or below-grade, measured between the exterior faces of the exterior walls of the building or structure or from the centre line of a common wall separating two uses, or from the outside edge of a floor where the outside edge of the floor does not meet an exterior or common wall, and; i. includes the floor area of a mezzanine and air-supported structure and the space occupied by interior walls partitions; ii. excludes any parts of the building or structure used for the parking and loading of vehicles; and iii. where a building or structure does not have any walls, the gross floor area of the building or structure shall be the total of the area of all floors, including the ground floor, that are directly beneath the roof of the building or structure; r. "industrial building" means a building used for or in connection with, i. manufacturing, producing, processing, storing or distributing something; ii. research or development in connection with manufacturing, producing or processing something; Watson & Associates Economists Ltd. PAGE E-42 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx iii. retail sales by a manufacturer, producer or processor of something they manufactured, produced or processed, if the retail sales are at the site where the manufacturing, production, or processing takes place; or iv. office or administrative purposes, if they are; 1. carried out with respect to manufacturing, producing, processing, storage or distributing of something, and; 2. in or attached to the building or structure used for that manufacturing, producing, processing, storage or distribution; s. "institutional development" means development of a building or structure intended for use: i. as a long-term care home within the meaning of Subsection 2 (1) of the Long Term Care Homes Act, 2007; ii. as a retirement home within the meaning of Subsection 2(1) of the Retirement Homes Act, 2010; iii. By any institution of the following post-secondary institutions for the objects of the institution: 1. a university in Ontario that receives direct, regular and ongoing operation funding from the Government of Ontario; 2. a college or university federated or affiliated with a university in Ontario that receives direct, regular and ongoing operation funding from the Government of Ontario; or 3. an Indigenous Institute prescribed for the purposes of section 6 of the Indigenous Institute Act, 2017. iv. as a memorial home, clubhouse or athletic grounds by an Ontario branch of the Royal Canadian Legion; or v. as a hospice to provide end of life care. t. "Non-profit housing development" means development of a building or structure intended for use as residential premises by: Watson & Associates Economists Ltd. PAGE E-43 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx i. a corporation to which the Not-for-Profit Corporations Act, 2010 applies, that is in good standing under that Act and whose primary object is to provide housing; ii. a corporation without share capital to which the Canada Not-for- profit Corporations Act applies, that is in good standing under that Act and whose primary object is to provide housing; or iii. a non-profit housing co-operative that is in good standing under the Co-operative Corporations Act. u. "non-residential development" means development other than residential development as defined herein, and includes development for commercial, farm, industrial, institutional, hunt camp, and Green Energy uses; v. "Owner" means the owner of land or any person authorized by such owner to make one or more applications described in Section 7 of this By-law for the development of such land; w. "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.5.0., 1990, as amended; x. "regulation" means any regulation made pursuant to the Act y. "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. z. "residential" means designed, adopted or used as a home or residence of one or more individuals who reside or dwell there permanently or seasonally and includes: i. an "apartment building" means a residential building, consisting of four or more dwelling units where access to each residential unit is obtained through a common entrance or entrances from the street level and the residential units are connected by an interior corridor. Notwithstanding the foregoing, an apartment unit includes a stacked townhouse dwelling unit; ii. a "duplex dwelling" means a residential building that is divided horizontally into two dwelling units; Watson & Associates Economists Ltd. PAGE E-44 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx iii. "multiple dwellings" means all dwellings other than single-detached, semi-detached, and apartment unit dwellings; iv. a "row dwelling or townhouse" means a residential building containing not less than three units with each unit separated by a common or party wall or walls with a separate outside entrance to each unit; v. a "Park Model Trailer" means a trailer conforming to National Standard of Canada CAN CSA-Z241 .0-92 or similar standard that is up to a maximum size of 50 square metres and designed to facilitate relocation from time to time; vi. a "seasonal dwelling" means a single detached dwelling occupied on a non-permanent basis, the owner(s), occupant(s), having another permanent address, but does not include nursing homes, hotels, motels, tourist homes, bed & breakfast establishments, student residences, barracks, or any other development of an institutional nature and included in the Municipality's Zoning By-law as a non- residential use. vii. a "semi-detached dwelling" means a residential building that is divided vertically into two dwelling units, each dwelling unit having one vertical wall, but no other parts attached to another structure; viii. "senior Apartment" means an apartment building or unit that is occupied by one or more individuals who require accessibility modifications or provincially-funded support services in order to live independently in the community.; ix. a "single detached dwelling" means a residential building consisting of one dwelling unit and not attached to another structure; x. "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; aa. "Use" means occupation and utilization for a particular purpose, practice or benefit; and Watson & Associates Economists Ltd. PAGE E-45 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx bb. "Wind Turbine" means a rotary engine that extracts energy from the flow of wind, converts it to mechanical energy by causing a bladed rotor to rotate, and further converts it to electrical energy through an electrical generator. 3. Pursuant to Section 2 of the Act, all uses of any land, buildings or structures upon which Development Charges are imposed within the Municipality are: a. a residential development; b. a non-residential development. 4. The Development Charge with respect to the use of any land, buildings or structures shall be calculated as follows: a. in the case of residential development, or the residential portion of a mixed-use development, based upon the number of dwelling units; b. in the case of non-residential development or the non-residential portion of a mixed-use development based upon the Gross Floor Area devoted to the use. LANDS AFFECTED 5. Pursuant to Section 2 (7) of the Act, this By-law applies to all lands within the geographic limits of the Corporation of the Municipality, whether or not the land or use is exempt from taxation under Section 3 of the Assessment Act, R.S.O., 1990. DESIGNATED SERVICES 6. The category of service for which development charges are imposed under this By-law is Parks and Recreation Services DEVELOPMENT CHARGES IMPOSED 7. Development Charges as hereinafter provided shall be imposed upon, and shall be applied, calculated and collected in accordance with the provisions of this By-law in connection with the development of all land within the Municipality for residential uses and non-residential uses where, a. the development of the land will increase the need for services, and b. the development requires, Watson & Associates Economists Ltd. PAGE E-46 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx i. the passing of a Zoning By-law or of an amendment thereto under section 34 of the Planning Act, R.S.O., 1990, ii. the approval of a minor variance under section 45 of the Planning Act, R.S.O., 1990, iii. a conveyance of land to which a By-law passed under subsection 50 (7) of the Planning Act, R.S.O., 1990, iv. the approval of a plan of subdivision under section 51 of the Planning Act, R.S.O., 1990, v. a consent under section 53 of the Planning Act, R.S.O., 1990, vi. the approval of a description under section 9 of the Condominium Act, or vii. the issuing of a permit under the Building Code Act, in relation to a building or structure DEVELOPMENT CHARGES - AMOUNTS 8. Residential - The amount of the Residential Development Charge payable with respect to lands which are the subject of any approvals mentioned in Section 7, above shall be calculated in accordance with Schedule "A", subject to any exemption hereinafter provided. 9. Non-residential - The amount of the Non-Residential Development Charge payable with respect to lands which are the subject of any approvals mentioned in Section 7 above shall be calculated in accordance with Schedule "A", subject to any exemptions hereinafter provided. 10. Development charges described in Schedule A to this by-law shall be imposed on non-residential Green Energy uses of lands, with respect to the number of wind turbines for Wind Turbine developments and the kilowatts of nameplate generating capacity for Solar Energy developments EXEMPTIONS 11. The following categories of use are hereby designated as being exempt from the payment of development charges: Watson & Associates Economists Ltd. PAGE E-47 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx a. land, buildings or structures owned by and used for the purposes of a municipality and exempt from taxation under Section 3 of the Assessment Act, R.S.O. 1990, c.A.31, as amended; b. lands, buildings or structures owned by and used for the purposes of a board and exempt from taxation under Section 3 of the Assessment Act, R.S.O. 1990, c.A.31; c. buildings or structures used as public hospitals governed by the Public Hospitals Act, R.S.O. 1990, c.P.40, as amended; d. land, buildings or structures used for institutional church use and exempt from taxation under the Assessment Act, R.S.O. 1990, c.A.31, as amended; e. the development of non-residential farm buildings constructed for bona fide farm uses, which qualify as a farm business, being that which operates with a valid Farm Business Registration Number and is assessed in the Farmland Realty Tax Class; f. affordable housing. Council may also waive a development charge for a related use upon request (i.e. Non-profit agency); g. for the first 100 kW of generating capacity of a Wind Turbine System or Photovoltaic Generating Installation (Solar Farm); h. the first 250 sq.m. of gross floor area of a new non-residential building; i. accessory uses; j. land 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 in respect of which development charges would otherwise be payable is intended to be occupied and used by the university; k. non-profit housing development; l. Residential units that are affordable housing units required to be included in a development or redevelopment pursuant to a by-law passed under section 34 of the Planning Act to give effect to the policies described in subsection 16 (4) of that Act Watson & Associates Economists Ltd. PAGE E-48 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx 12. 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. a second 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 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. 13. 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. A second 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 Watson & Associates Economists Ltd. PAGE E-49 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx 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 14. 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. a. 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: b. notwithstanding section 13 a) if the gross floor area is enlarged by more than 50 percent (50%), development charges shall be payable and collected and the amount payable shall be calculated in accordance with s.4(3) of the Act. c. 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 that existed on the later of April 16, 2019 or the date before the first enlargement for which an exemption from the payment of development charges was granted pursuant to this by-law or its predecessor. d. for greater certainty in applying the exemption herein, the gross floor area of an existing industrial building is enlarged where there is a bona fide increase in the size of the existing building and the enlarged area is attached to existing industrial building and is used for or in connection with an industrial purpose as set out in Subsection 1(1) of O.Reg. 82/98. Without limiting the generality of the foregoing, the exemption in this Section shall not apply where the enlarged area is attached to the existing industrial building by means only of a tunnel, bridge, canopy, corridor or Watson & Associates Economists Ltd. PAGE E-50 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx other passageway, or through a shared below grade connection such as a service tunnel, foundation, footing or a parking facility. 15. Notwithstanding any other provision of this by-law, development charges for rental housing development shall be reduced in accordance with the following: a. A development 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; b. A development 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. A development charge for a residential unit intended for use as a rented residential premises not referred to in subsection (a) and (b) shall be reduced by 15 per cent. SPECIAL PROVISIONS 16. Development Charges are hereby imposed upon all lands that are developed for residential, non-residential and institutional uses, in accordance with Sections 8, 9, and 10, respectively, above insofar as; a. the growth-related net capital costs are attributable development; and b. Where two or more of the actions described in Section 7(b) are applicable only one Development Charge shall be calculated and collected in accordance with the provisions of this By-law. c. Notwithstanding Subsection (c), if two or more of the actions described in Section 7(b) occur at difference times, and if the subsequent action has the effect of increasing the need for municipal services as designated in Schedule "A", an additional Development Charge on the additional residential units and/or non-residential gross floor area shall be calculated and collected in accordance with the provision of this By-law. CREDITS/ANNUAL ADJUSTMENTS 17. Credit for previous Development Charge Payments and lot levies: A credit shall be applied to the Development Charge calculated in Sections 8, 9, and Watson & Associates Economists Ltd. PAGE E-51 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx 10 above for any previous Development Charge or lot levy payment. The onus shall be upon the owner/applicant to provide proof of earlier payments. 18. Development charges imposed pursuant to this By-law shall be adjusted annually, without amendment to this By-law, on April 2nd of each year, in accordance with the prescribed index in the Act. TIMING AND CALCULATION OF PAYMENT 19. Development charges imposed under this By-law are calculated, payable, and collected upon issuance of a building permit for the development. 20. Despite Section 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. 21. Notwithstanding Sections 19 and 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. 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 Section 8, 9, and 10 may 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 Sections 8, 9, and 10 may be calculated on the rates, including interest, set out in Schedule "A" on the date of the later planning application. 23. Interest for the purposes of Sections 21 and 22 shall be determined as the base rate plus 1% 24. The base rate shall be equal to the average prime rate on: a. October 15 of the previous year, if the adjustment date is January 1, b. January 15 of the same year, if the adjustment date is April 1, c. April 15 of the same year, if the adjustment date is July 1, and Watson & Associates Economists Ltd. PAGE E-52 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx d. July 15 of the same year, if the adjustment date is October 1. 25. 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. REDUCTION OF DEVELOPMENT CHARGES FOR REDEVELOPMENT 26. where there is a redevelopment, conversion, demolition or change of use of a building or structure or part thereof, the Development Charges payable by the new or proposed development shall be credited by the amount to which the previous use of the building or structure was subject to Development Charges at the time this By-law was passed. 27. A credit shall not be warranted where a building or structure or part thereof was demolished and no building permit has been issued within 5 years from the date of issuance of the demolition permit. 28. The credit with respect to a redevelopment, conversion, demolition, or change of use of a building or structure or part thereof shall not exceed the amount of the Development Charges payable with respect to new or proposed development. 29. No credit shall be given with respect to the redevelopment, conversions, demolition, or change of use of a building or structure or part thereof where the existing building or structure or part thereof would have been exempt from Development Charges in accordance with this By-law. 30. No credit shall be given with respect to the redevelopment, conversions, demolition, or change of use of a building or structure or part thereof where the existing building or structure would have been inhabitable in the sole opinion of the Municipality's Chief Building Official. PAYMENT BY MONEY OR THE PROVISION OF SERVICES: 31. Payment of Development Charges to the Municipality shall be by; a. cash or by cheque. Watson & Associates Economists Ltd. PAGE E-53 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx b. In the alternative to payment by the means provided in subsection (a), the Municipality may, by an agreement entered into with the owner, accept the provision of services in full or partial satisfaction of the Development Charge otherwise payable. BUILDING PERMIT ISSUANCE: 32. Where Development Charges apply to land in relation to which a building permit is required, unless an agreement is entered into pursuant to Section 31(b) above, the building permit shall not be issued until the Development Charge has been paid in full. DEVELOPMENT CHARGE RESERVE FUNDS: 33. All payments received by the Municipality pursuant to this By-law, including income on investments of the reserve funds, shall be apportioned among the reserve funds in accordance with Schedule "A" and paid into the respective reserves. WITHDRAWL FROM RESERVE FUNDS: 34. That no monies be withdrawn from the said Reserve Funds except: a. refunds, including interest, if applicable, as hereinafter set out, and b. to meet growth related net capital costs for which the Development Charge was imposed, as set out in the Municipality's Development Charges Background Study, subject to any modifications to project definition, budget priority and phasing, as may occur as part of the Municipality's annual Capital Budget process, or amendments to this By- law. Council may withdraw funds from the Municipal Services Reserve Fund based on project definition, budget priority and phasing as aforesaid. REFUNDS: 35. Notwithstanding the foregoing, if a Development Charge is paid at the time a building permit is issued and no building proceeds pursuant to the said permit and the building permit has expired, the registered owner may apply to the Treasurer of the Municipality for a refund of the Development Charge paid at the time the building permit was issued within one year of payment to the Municipality provided the building permit is surrendered. Watson & Associates Economists Ltd. PAGE E-54 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Where this By-law or any Development Charge prescribed under this Bylaw is amended or repealed either by order of the Ontario Land Tribunal or by resolution of the Council, the Treasurer shall forthwith calculate and refund the amount of any overpayment as a result of such amendment or repeal. Upon issuing a refund, the Municipality will retain an administrative fee of $150.00 per building application. 36. Refunds that are required to be paid under Section 35 shall be paid with interest to be calculated from the date on which the overpayment was collected to the date on which the refund is paid. The interest rate shall be the Bank of Canada rate on the day the by-law comes into force, updated on the first business day of every January, April, July and October. FULL FORCE AND EFFECT 37. This By-law, known as the "Development Charges By-law, 2024", shall come into force and effect on April 2, 2024. 38. This By-law shall continue in force and effect until ten years from the date of adoption by Council, unless it is repealed at an earlier date. READ A FIRST TIME THIS 2nd DAY OF APRIL, 2024. READ A SECOND TIME THIS 2nd DAY OF APRIL, 2024. READ A THIRD TIME AND FINALLY PASSED THIS 2nd DAY OF APRIL, 2024. ____________________ ______________, Mayor ____________________ _______________, Clerk Watson & Associates Economists Ltd. PAGE E-55 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Schedule "A" to By-law 2024-XX Schedule of Development Charges - Parks and Recreation Services Single and Semi-Detached Dwelling Other Multiples Apartments - 2 Bedrooms + Apartments - Bachelor and 1 Bedroom Park Model Trailers (per sq.m. of Gross Floor Area) Per 500kW Nameplate Generating Capacity (Green Energy Developments) Parks and Recreation Services 579 491 483 281 - 0.41 - Service RESIDENTIAL ($) NON-RESIDENTIAL ($) Watson & Associates Economists Ltd. PAGE J-56 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx D4. Library Services CORPORATION OF THE MUNICIPALITY OF TRENT LAKES BY-LAW 2024-XX BEING A BY-LAW TO ESTABLISH A DEVELOPMENT CHARGE FOR LIBRARY SERVICES WHEREAS the Council of the Corporation of the Municipality of Trent Lakes (hereinafter referred to as "the Council") anticipates that the Corporation of the Municipality of Trent Lakes (hereinafter called "the Municipality") will experience additional development, including redevelopment throughout the Municipality in the next ten years and Council further anticipates that this development will increase the need for 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; AND WHEREAS the Council of The Corporation of the Municipality of Trent Lakes has given notice of and held a public meeting on the 5th of March, 2024 in accordance with the Act and the regulations thereto; AND WHEREAS Council desires to ensure that the capital cost of meeting growth- related demands for, or burden on, municipal services does not place a financial burden on the Municipality or its existing taxpayers; NOW THEREFORE THE MUNICIPAL COUNCIL OF THE CORPORATION OF THE MUNICIPALITY OF TRENT LAKES HEREBY ENACTS AS FOLLOWS: DEFINITION AND USES: 1. In this By-law, unless a contrary intention appears, a term has the same meaning as that which exists in the Act or any Regulation made pursuant to Section 68 of the Act, both as amended from time to time. 2. In this By-law: Watson & Associates Economists Ltd. PAGE F-57 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx a. "Act" means the Development Charges Act, as amended, or any successor thereof; b. "accessory" means where used to describe a use, building, or structure that the use, building or structure is naturally and normally incidental, subordinate in purpose or floor area or both, and exclusively devoted to a principal use, building or structure; c. "agricultural use" means lands, buildings, or structures, excluding any portion thereof used as a dwelling unit, used, designed or intended to be used for the purpose of a bona fide farming operation including, but not limited to, animal husbandry, bee keeping, dairying, fallow, field crops, fish farming, forestry, fruit farming, horticulture, livestock, market gardening, pasturage, poultry keeping, the growing, raising, packing, treating, storing, and sale of produce produced on the premises, and other activities customarily carried on in the field of agriculture; d. "bedroom" means a habitable room larger than seven square metres, including a den, study or other similar area, but does not include a bathroom, living room, dining room or kitchen; e. "board" means a board of education, public school board, secondary school board, Catholic school board, Protestant school board, or a board as defined in Subsection 1(1) of the Education Act, R.S.O. 1990, c.E.2, as amended; f. "building or structure" means a structure occupying an area greater than ten square metres consisting of a wall, roof, and floor or any of them or a structural system serving the function thereof including an air-supported structure, excluding a farm building; g. "Building Code Act" means the Building Code Act, S.O. 1992, c.23, as amended, and all Regulations thereto including the Ontario Building Code, 1997, as amended; h. "capital cost" means costs incurred or proposed to be incurred by the municipality or a local board thereof directly or by others on behalf of and as authorized by the municipality or local board, i. to acquire land or an interest in land, including a leasehold interest, ii. to improve land, Watson & Associates Economists Ltd. PAGE F-58 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx iii. to acquire, lease, construct or improve buildings and structures, iv. to acquire, construct or improve facilities including, 1. furniture and equipment other than computer equipment, and 2. material acquired for circulation, reference or information purposes by a library board as defined in the Public Libraries Act, R.S.O. 1990, Chap. P.44, as amended, or any successor thereof; and 3. rolling stock with an estimated useful life of seven years or more, and v. including interest on borrowing for those expenditures under clauses I to iv above that are growth related i. "Council" means the Council of the Municipality; j. "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 has the effect of increasing the size thereof and includes preparation for such building activity and redevelopment; k. "Development Charge" means a charge calculated in accordance with the rules set out in the Development Charges Act, 1997 and imposed against development in the Municipality as set out in this By-law; l. "Dwelling Unit" means one or more habitable rooms designed or intended to be used together as a single and separate housekeeping unit by one or more persons, containing its own culinary facilities; m. "existing" means the number, use and size that existed as of April 16, 20219 ; n. "Farm Building" means any part of a building which is not used for residential purposes and which building is located on 3 or more hectares of land and which building is used solely for farm and farm related activities carried out on the same farm and includes barns, implement sheds, seasonal roadside stands and silos but does not include processing or wholesale or retail facilities such as restaurants, dedicated farm shops, banquet facilities, hospitality and accommodation facilities, gift Watson & Associates Economists Ltd. PAGE F-59 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx shops, services related to grooming, boarding or breeding of household pets, and marijuana and alcohol processing or production facilities. o. "Grade" means the average level of finished ground adjoining a building or structure at all exterior walls; p. "Green Energy" means lands, buildings or structures that that are not of an accessory use and that: i. form, support or accommodate a system or utility used, designed or intended to convert wind or solar energy into electricity and feed it into the general power grid, and includes such systems or utilities that are subject to the Green Energy Act or are participating or intended to participate in the Independent Electricity System Operator's Feed-In Tariff Program, or successor thereof, or similar program; q. "Gross Floor Area" means the sum total of the total areas of all floors in a building or structure, whether at, above, or below-grade, measured between the exterior faces of the exterior walls of the building or structure or from the centre line of a common wall separating two uses, or from the outside edge of a floor where the outside edge of the floor does not meet an exterior or common wall, and; i. includes the floor area of a mezzanine and air-supported structure and the space occupied by interior walls partitions; ii. excludes any parts of the building or structure used for the parking and loading of vehicles; and iii. where a building or structure does not have any walls, the gross floor area of the building or structure shall be the total of the area of all floors, including the ground floor, that are directly beneath the roof of the building or structure; r. "industrial building" means a building used for or in connection with, i. manufacturing, producing, processing, storing or distributing something; ii. research or development in connection with manufacturing, producing or processing something; Watson & Associates Economists Ltd. PAGE F-60 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx iii. retail sales by a manufacturer, producer or processor of something they manufactured, produced or processed, if the retail sales are at the site where the manufacturing, production, or processing takes place; or iv. office or administrative purposes, if they are; 1. carried out with respect to manufacturing, producing, processing, storage or distributing of something, and; 2. in or attached to the building or structure used for that manufacturing, producing, processing, storage or distribution; s. "institutional development" means development of a building or structure intended for use: i. as a long-term care home within the meaning of Subsection 2 (1) of the Long Term Care Homes Act, 2007; ii. as a retirement home within the meaning of Subsection 2(1) of the Retirement Homes Act, 2010; iii. By any institution of the following post-secondary institutions for the objects of the institution: 1. a university in Ontario that receives direct, regular and ongoing operation funding from the Government of Ontario; 2. a college or university federated or affiliated with a university in Ontario that receives direct, regular and ongoing operation funding from the Government of Ontario; or 3. an Indigenous Institute prescribed for the purposes of section 6 of the Indigenous Institute Act, 2017. iv. as a memorial home, clubhouse or athletic grounds by an Ontario branch of the Royal Canadian Legion; or v. as a hospice to provide end of life care. t. "Non-profit housing development" means development of a building or structure intended for use as residential premises by: Watson & Associates Economists Ltd. PAGE F-61 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx i. a corporation to which the Not-for-Profit Corporations Act, 2010 applies, that is in good standing under that Act and whose primary object is to provide housing; ii. a corporation without share capital to which the Canada Not-for- profit Corporations Act applies, that is in good standing under that Act and whose primary object is to provide housing; or iii. a non-profit housing co-operative that is in good standing under the Co-operative Corporations Act. u. "non-residential development" means development other than residential development as defined herein, and includes development for commercial, farm, industrial, institutional, hunt camp, and Green Energy uses; v. "Owner" means the owner of land or any person authorized by such owner to make one or more applications described in Section 7 of this By-law for the development of such land; w. "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.5.0., 1990, as amended; x. "regulation" means any regulation made pursuant to the Act y. "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. z. "residential" means designed, adopted or used as a home or residence of one or more individuals who reside or dwell there permanently or seasonally and includes: i. an "apartment building" means a residential building, consisting of four or more dwelling units where access to each residential unit is obtained through a common entrance or entrances from the street level and the residential units are connected by an interior corridor. Notwithstanding the foregoing, an apartment unit includes a stacked townhouse dwelling unit; ii. a "duplex dwelling" means a residential building that is divided horizontally into two dwelling units; Watson & Associates Economists Ltd. PAGE F-62 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx iii. "multiple dwellings" means all dwellings other than single-detached, semi-detached, and apartment unit dwellings; iv. a "row dwelling or townhouse" means a residential building containing not less than three units with each unit separated by a common or party wall or walls with a separate outside entrance to each unit; v. a "Park Model Trailer" means a trailer conforming to National Standard of Canada CAN CSA-Z241 .0-92 or similar standard that is up to a maximum size of 50 square metres and designed to facilitate relocation from time to time; vi. a "seasonal dwelling" means a single detached dwelling occupied on a non-permanent basis, the owner(s), occupant(s), having another permanent address, but does not include nursing homes, hotels, motels, tourist homes, bed & breakfast establishments, student residences, barracks, or any other development of an institutional nature and included in the Municipality's Zoning By-law as a non- residential use. vii. a "semi-detached dwelling" means a residential building that is divided vertically into two dwelling units, each dwelling unit having one vertical wall, but no other parts attached to another structure; viii. "senior Apartment" means an apartment building or unit that is occupied by one or more individuals who require accessibility modifications or provincially-funded support services in order to live independently in the community.; ix. a "single detached dwelling" means a residential building consisting of one dwelling unit and not attached to another structure; x. "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; aa. "Use" means occupation and utilization for a particular purpose, practice or benefit; and Watson & Associates Economists Ltd. PAGE F-63 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx bb. "Wind Turbine" means a rotary engine that extracts energy from the flow of wind, converts it to mechanical energy by causing a bladed rotor to rotate, and further converts it to electrical energy through an electrical generator. 3. Pursuant to Section 2 of the Act, all uses of any land, buildings or structures upon which Development Charges are imposed within the Municipality are: a. a residential development; b. a non-residential development. 4. The Development Charge with respect to the use of any land, buildings or structures shall be calculated as follows: a. in the case of residential development, or the residential portion of a mixed-use development, based upon the number of dwelling units; b. in the case of non-residential development or the non-residential portion of a mixed-use development based upon the Gross Floor Area devoted to the use. LANDS AFFECTED 5. Pursuant to Section 2 (7) of the Act, this By-law applies to all lands within the geographic limits of the Corporation of the Municipality, whether or not the land or use is exempt from taxation under Section 3 of the Assessment Act, R.S.O., 1990. DESIGNATED SERVICES 6. The category of service for which development charges are imposed under this By-law is Library Services DEVELOPMENT CHARGES IMPOSED 7. Development Charges as hereinafter provided shall be imposed upon, and shall be applied, calculated and collected in accordance with the provisions of this By-law in connection with the development of all land within the Municipality for residential uses and non-residential uses where, a. the development of the land will increase the need for services, and b. the development requires, Watson & Associates Economists Ltd. PAGE F-64 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx i. the passing of a Zoning By-law or of an amendment thereto under section 34 of the Planning Act, R.S.O., 1990, ii. the approval of a minor variance under section 45 of the Planning Act, R.S.O., 1990, iii. a conveyance of land to which a By-law passed under subsection 50 (7) of the Planning Act, R.S.O., 1990, iv. the approval of a plan of subdivision under section 51 of the Planning Act, R.S.O., 1990, v. a consent under section 53 of the Planning Act, R.S.O., 1990, vi. the approval of a description under section 9 of the Condominium Act, or vii. the issuing of a permit under the Building Code Act, in relation to a building or structure DEVELOPMENT CHARGES - AMOUNTS 8. Residential - The amount of the Residential Development Charge payable with respect to lands which are the subject of any approvals mentioned in Section 7, above shall be calculated in accordance with Schedule "A", subject to any exemption hereinafter provided. 9. Non-residential - The amount of the Non-Residential Development Charge payable with respect to lands which are the subject of any approvals mentioned in Section 7 above shall be calculated in accordance with Schedule "A", subject to any exemptions hereinafter provided. 10. Development charges described in Schedule A to this by-law shall be imposed on non-residential Green Energy uses of lands, with respect to the number of wind turbines for Wind Turbine developments and the kilowatts of nameplate generating capacity for Solar Energy developments EXEMPTIONS 11. The following categories of use are hereby designated as being exempt from the payment of development charges: Watson & Associates Economists Ltd. PAGE F-65 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx a. land, buildings or structures owned by and used for the purposes of a municipality and exempt from taxation under Section 3 of the Assessment Act, R.S.O. 1990, c.A.31, as amended; b. lands, buildings or structures owned by and used for the purposes of a board and exempt from taxation under Section 3 of the Assessment Act, R.S.O. 1990, c.A.31; c. buildings or structures used as public hospitals governed by the Public Hospitals Act, R.S.O. 1990, c.P.40, as amended; d. land, buildings or structures used for institutional church use and exempt from taxation under the Assessment Act, R.S.O. 1990, c.A.31, as amended; e. the development of non-residential farm buildings constructed for bona fide farm uses, which qualify as a farm business, being that which operates with a valid Farm Business Registration Number and is assessed in the Farmland Realty Tax Class; f. affordable housing. Council may also waive a development charge for a related use upon request (i.e. Non-profit agency); g. for the first 100 kW of generating capacity of a Wind Turbine System or Photovoltaic Generating Installation (Solar Farm); h. the first 250 sq.m. of gross floor area of a new non-residential building; i. accessory uses; j. land 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 in respect of which development charges would otherwise be payable is intended to be occupied and used by the university; k. non-profit housing development; l. Residential units that are affordable housing units required to be included in a development or redevelopment pursuant to a by-law passed under section 34 of the Planning Act to give effect to the policies described in subsection 16 (4) of that Act Watson & Associates Economists Ltd. PAGE F-66 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx 12. 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. a second 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 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. 13. 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. A second 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 Watson & Associates Economists Ltd. PAGE F-67 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx 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 14. 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. a. 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: b. notwithstanding section 13 a) if the gross floor area is enlarged by more than 50 percent (50%), development charges shall be payable and collected and the amount payable shall be calculated in accordance with s.4(3) of the Act. c. 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 that existed on the later of April 16, 2019 or the date before the first enlargement for which an exemption from the payment of development charges was granted pursuant to this by-law or its predecessor. d. for greater certainty in applying the exemption herein, the gross floor area of an existing industrial building is enlarged where there is a bona fide increase in the size of the existing building and the enlarged area is attached to existing industrial building and is used for or in connection with an industrial purpose as set out in Subsection 1(1) of O.Reg. 82/98. Without limiting the generality of the foregoing, the exemption in this Section shall not apply where the enlarged area is attached to the existing industrial building by means only of a tunnel, bridge, canopy, corridor or Watson & Associates Economists Ltd. PAGE F-68 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx other passageway, or through a shared below grade connection such as a service tunnel, foundation, footing or a parking facility. 15. Notwithstanding any other provision of this by-law, development charges for rental housing development shall be reduced in accordance with the following: a. A development 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; b. A development 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. A development charge for a residential unit intended for use as a rented residential premises not referred to in subsection (a) and (b) shall be reduced by 15 per cent. SPECIAL PROVISIONS 16. Development Charges are hereby imposed upon all lands that are developed for residential, non-residential and institutional uses, in accordance with Sections 8, 9, and 10, respectively, above insofar as; a. the growth-related net capital costs are attributable development; and b. Where two or more of the actions described in Section 7(b) are applicable only one Development Charge shall be calculated and collected in accordance with the provisions of this By-law. c. Notwithstanding Subsection (c), if two or more of the actions described in Section 7(b) occur at difference times, and if the subsequent action has the effect of increasing the need for municipal services as designated in Schedule "A", an additional Development Charge on the additional residential units and/or non-residential gross floor area shall be calculated and collected in accordance with the provision of this By-law. CREDITS/ANNUAL ADJUSTMENTS 17. Credit for previous Development Charge Payments and lot levies: A credit shall be applied to the Development Charge calculated in Sections 8, 9, and Watson & Associates Economists Ltd. PAGE F-69 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx 10 above for any previous Development Charge or lot levy payment. The onus shall be upon the owner/applicant to provide proof of earlier payments. 18. Development charges imposed pursuant to this By-law shall be adjusted annually, without amendment to this By-law, on April 2nd of each year, in accordance with the prescribed index in the Act. TIMING AND CALCULATION OF PAYMENT 19. Development charges imposed under this By-law are calculated, payable, and collected upon issuance of a building permit for the development. 20. Despite Section 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. 21. Notwithstanding Sections 19 and 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. 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 Section 8, 9, and 10 may 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 Sections 8, 9, and 10 may be calculated on the rates, including interest, set out in Schedule "A" on the date of the later planning application. 23. Interest for the purposes of Sections 21 and 22 shall be determined as the base rate plus 1% 24. The base rate shall be equal to the average prime rate on: a. October 15 of the previous year, if the adjustment date is January 1, b. January 15 of the same year, if the adjustment date is April 1, c. April 15 of the same year, if the adjustment date is July 1, and Watson & Associates Economists Ltd. PAGE F-70 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx d. July 15 of the same year, if the adjustment date is October 1. 25. 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. REDUCTION OF DEVELOPMENT CHARGES FOR REDEVELOPMENT 26. where there is a redevelopment, conversion, demolition or change of use of a building or structure or part thereof, the Development Charges payable by the new or proposed development shall be credited by the amount to which the previous use of the building or structure was subject to Development Charges at the time this By-law was passed. 27. A credit shall not be warranted where a building or structure or part thereof was demolished and no building permit has been issued within 5 years from the date of issuance of the demolition permit. 28. The credit with respect to a redevelopment, conversion, demolition, or change of use of a building or structure or part thereof shall not exceed the amount of the Development Charges payable with respect to new or proposed development. 29. No credit shall be given with respect to the redevelopment, conversions, demolition, or change of use of a building or structure or part thereof where the existing building or structure or part thereof would have been exempt from Development Charges in accordance with this By-law. 30. No credit shall be given with respect to the redevelopment, conversions, demolition, or change of use of a building or structure or part thereof where the existing building or structure would have been inhabitable in the sole opinion of the Municipality's Chief Building Official. PAYMENT BY MONEY OR THE PROVISION OF SERVICES: 31. Payment of Development Charges to the Municipality shall be by; a. cash or by cheque. Watson & Associates Economists Ltd. PAGE F-71 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx b. In the alternative to payment by the means provided in subsection (a), the Municipality may, by an agreement entered into with the owner, accept the provision of services in full or partial satisfaction of the Development Charge otherwise payable. BUILDING PERMIT ISSUANCE: 32. Where Development Charges apply to land in relation to which a building permit is required, unless an agreement is entered into pursuant to Section 31(b) above, the building permit shall not be issued until the Development Charge has been paid in full. DEVELOPMENT CHARGE RESERVE FUNDS: 33. All payments received by the Municipality pursuant to this By-law, including income on investments of the reserve funds, shall be apportioned among the reserve funds in accordance with Schedule "A" and paid into the respective reserves. WITHDRAWL FROM RESERVE FUNDS: 34. That no monies be withdrawn from the said Reserve Funds except: a. refunds, including interest, if applicable, as hereinafter set out, and b. to meet growth related net capital costs for which the Development Charge was imposed, as set out in the Municipality's Development Charges Background Study, subject to any modifications to project definition, budget priority and phasing, as may occur as part of the Municipality's annual Capital Budget process, or amendments to this By- law. Council may withdraw funds from the Municipal Services Reserve Fund based on project definition, budget priority and phasing as aforesaid. REFUNDS: 35. Notwithstanding the foregoing, if a Development Charge is paid at the time a building permit is issued and no building proceeds pursuant to the said permit and the building permit has expired, the registered owner may apply to the Treasurer of the Municipality for a refund of the Development Charge paid at the time the building permit was issued within one year of payment to the Municipality provided the building permit is surrendered. Watson & Associates Economists Ltd. PAGE F-72 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Where this By-law or any Development Charge prescribed under this Bylaw is amended or repealed either by order of the Ontario Land Tribunal or by resolution of the Council, the Treasurer shall forthwith calculate and refund the amount of any overpayment as a result of such amendment or repeal. Upon issuing a refund, the Municipality will retain an administrative fee of $150.00 per building application. 36. Refunds that are required to be paid under Section 35 shall be paid with interest to be calculated from the date on which the overpayment was collected to the date on which the refund is paid. The interest rate shall be the Bank of Canada rate on the day the by-law comes into force, updated on the first business day of every January, April, July and October. FULL FORCE AND EFFECT 37. This By-law, known as the "Development Charges By-law, 2024", shall come into force and effect on April 2, 2024. 38. This By-law shall continue in force and effect until ten years from the date of adoption by Council, unless it is repealed at an earlier date. READ A FIRST TIME THIS 2nd DAY OF APRIL, 2024. READ A SECOND TIME THIS 2nd DAY OF APRIL, 2024. READ A THIRD TIME AND FINALLY PASSED THIS 2nd DAY OF APRIL, 2024. ____________________ ______________, Mayor ____________________ _______________, Clerk Watson & Associates Economists Ltd. PAGE F-73 H:\Trent Lakes\2023 DC\Report\Trent Lakes 2024 Development Charge Background Study - FINAL.docx Schedule "A" to By-law 2024-XX Schedule of Development Charges - Library Services Single and Semi-Detached Dwelling Other Multiples Apartments - 2 Bedrooms + Apartments - Bachelor and 1 Bedroom Park Model Trailers (per sq.m. of Gross Floor Area) Per 500kW Nameplate Generating Capacity (Green Energy Developments) Library Services 55 47 46 27 27 0.04 - Service RESIDENTIAL ($) NON-RESIDENTIAL ($)