City Of Toronto Enacts Development Charges Bylaw

On May 1, 2018 Toronto City Council's new Development Charges bylaw (the City bylaw) came into force.  Development charges (DCs) are collected from property developers when an above grade building permit is issued.  DC revenues help governments offset the costs of new infrastructure required to provide services to new developments. The municipal power to levy DCs stems from the Development Charges, Act, 1997 (the DC Act).  Today most Ontario municipalities have a DC regime in place.

Traditionally DCs were payable at the issuance of the first above-grade building permit, but as of this new DC bylaw a major change is that they are payable as of the issuance of the first building permit. This makes the bylaw consistent with s. 26(1.1) of the DC Act which was revised to clarify that in 2015.