Bill 23 impacts on development charges

The financial impacts of Ontario’s legislation, Bill 23 More Homes Built Faster Act, has concerning impacts for Guelph.

The Bill decreased the amount of development charges we can collect from builders of residential and commercial developments through additional exemptions, discounts, a mandatory phase-in of new rates. It also excludes some growth-related capital expenses. The estimated amount of revenue loss from these new mandatory changes is $227 million over the 10-year bylaw period.

The reduction in fees we can charge developers will force municipalities to increase property taxes and utility rates to cover the remaining costs of growth.

The financial impacts of Ontario’s legislation, Bill 23 More Homes Built Faster Act, are concerning for Guelph.

The Bill decreased the amount of development charges we can collect from builders of residential and commercial developments through additional exemptions, discounts, a mandatory phase-in of new rates, and excluding some growth-related capital expenses from eligibility for development charge funding. The estimated amount of revenue loss from these new mandatory changes is $227 million over the 10-year bylaw period.

The reduction in fees we can charge developers will require municipalities to increase property taxes and utility rates to cover the remaining costs of growth.