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DC increase may drive away developers, say companies The Canadian Champion, Tuesday, May 25, 2004-3 rf 3y KIM A~RNO- opc vitu1ne tnaîpÎon Rising development charge rates could make Milton unattractive to commercial and industrial devel- opers, town counicillors were wamed last week. The charges, assessed agamnst new developments to help the Town cover growth-related costs, are proposed to rise at the begin- ning of June when counicil estab- lishes a new development charge bylaw. Non-residential development charges, assessed against commer- cial and industrial projects, are set to nise from $2.31 per square foot to $3.04 per square foot. An addi- tional surcharge of .12 per square foot will apply to future develop- ments in the Sherwood Survey area to hielp pay for the monitoring of storm water management ponds. Lawyer Lyn Townsend Renaud, who spoke to council as the repre- sentative for three companies own- mng undeveloped industrial land on the north side of Hwy. 40 1, said the jump in rates is too much. While she said hier clients are prcpared to pay their fair share toward building the infrastructure the town will need to acconsino- date impcnding growth, Ms Townsend Renaud suggested resi- dential developers need to hc fond- ing more of the total cost. Residential developers will sec [i. , )CI IIL ia lideci theiL ieCV hylaw, with an additional surcharge of $40 per unit in the Sherwood Survey area. Development charges are estah- lished hy totalling the expected cost of necessary new infrastruc- ture such as expanded roads, water and sewer infrastructure, fire serv- ice and parkland, then using a for- mula to alocate those costs to resi- dential and non-residential growth. Town staff are suggesting a split that would see 60 per cent of eligi- ble costs allocated to thse residential sector and 40 per cent allocated to the industrial sector. But Ms Townsend Renaud said ber clients believe a 70-30 spliî would be more accurate given the type and location of growth expect- ed ini Milton over the next five years. She also noted that the develop- ers also have to pay a -very signif- icant" development charge imposed hy Halton Region, on top of the Town's charge. 'he total of the charges, along with the educational development charges levied against non-residen- lial developruent. adds up tii $1276 per square foot l'or nion-res- idential developirents. IThe Halton charge) will Single- handedly take Milton and other communities off the map in ternis of heing ahle to compete in non- Rcîîaud. ,I laitoil s jus olit tise scale in terms of anything we've seen elsewhere." A lawyer representmng develop- ers in the Sherwood Survey, where development is expected to be pni- marily residential, urged council- lors to retain thse current 60-40 Split. However. he suggested council could discount development charges to attract non-residential development. Under provincial legislation, mumecipalities can choose to dis- count development charges, which would shift a portion of the cost of necessary capital costs onto thse property tax base. However, one resident asked counicillors not to consider dis- counting any developmnent charges, noting that thse ares offered many competitive advantages outside of costs. "I don't really understand why people wouldn't be willing to pay thse cosi of locating in an excellent area like Milton and i-lton region," he said. Although thse Town's administra- tion and plannsing committee approved the development charge report at the meeting last week, it also asked staff to continue to meet with interested parties prior to the issue appearing hefore town coun- cil June 7. 204 bm x C 204 .1 kRndzou I W Biy SOe aI Gardon Centre frencNOW OPEN! rea due cLl lm V J7i.1 ij7 2W I f A E 7 i 912 204MIl Rg Ïk» e IFS379'4- si 2004 Buntire Sporte4 2004 Buick RMI Ls