Community Benefits Charges: The New Section 37

The COVID-19 Economic Recovery Act, 2020 replaced the density bonusing scheme under section 37 of the Planning Act with a new regime, but with a transition to September 18, 2022.

The new section 37 permits the council of a local municipality to impose a community benefits charge (a "CBC") against land to pay for the capital costs of facilities, services and matters required because of the development. Community benefits charges may be imposed on developments or redevelopments that require:

• the passing of a zoning by-law or an amendment thereto under s.34;
• the approval of a minor variance under section 45;
• a conveyance of land to which a by-law passed under subsection 50 (7) applies;