City would consider off-site levies bylaw

Summary#

The Executive Committee approved recommendations to Council on the report “Off-site Levies and Growth Infrastructure Funding”; Council’s decision is still the next step. The recommendations would have Council receive the report, direct City staff to bring a proposed Off-site Levies Bylaw to Council’s March 2027 public hearing, and request information by November 24, 2026, on possible Bill 28 impacts. The report’s stated goal is to inform the future bylaw update; this decision does not change levy rates.

• The committee’s final recommendation was carried 9–0. Councillors Kelly and Pantazopoulos voted against an earlier amendment to add the March 2027 public-hearing direction; that direction was included in the final recommendation.
• If Council adopts the recommendations, City staff would bring the proposed bylaw directly to the March 2027 public hearing.
• If Council adopts them, City staff would provide Council information, where possible, on Bill 28’s estimated effects on off-site levies and tax-base exposure during the upcoming four-year budget cycle.
• The current bylaw remains in place unless Council later changes it. Off-site levies help fund eligible growth-related infrastructure; the report says those funds are restricted to their authorized purpose.

What it means for you#

• Developers: No levy amount or payment rule changes under this committee decision. The report says developers pay levies toward their share of eligible infrastructure serving more than one development.
• Taxpayers and utility customers: No change to property taxes or utility rates was approved. The report says those sources cover remaining infrastructure costs.
• Residents: The committee has not approved a new bylaw or infrastructure plan. Any future bylaw change would come to a Council public hearing if Council adopts this recommendation.
• Council and City staff: Council must still decide whether to adopt the committee’s recommendations. The committee has not itself directed staff to take these steps.

Money#

The report says it has no operating or capital budget impact; it gives no cost estimate for the future bylaw update.

• The report says infrastructure costs have risen and current levies may not recover the intended share of growth-related costs.
• It does not estimate future levy rates, City funding needs, or any effect on taxes or utility rates.

What is unclear#

• Whether Council will adopt the committee’s recommendations.
• What levy rates, infrastructure categories, or other rules the proposed bylaw would change.
• What Bill 28’s impacts will be; the requested information is to outline estimates “where possible.”
• What the future bylaw update will cost or how the City would fund any resulting infrastructure shortfall.

Case for#

• City staff say levies help fund infrastructure needed for new communities and reduce reliance on property taxes and utility rates.
• Staff say a bylaw update is needed because construction costs have risen and infrastructure needs and provincial legislation have changed.
• Bringing the proposed bylaw to a public hearing would give Council a formal opportunity to consider it before deciding whether to approve it.

Case against#

• City staff warn that levies set too high could affect the timing, affordability, or viability of housing and business projects.
• Staff also say a new bylaw could be appealed, delaying use of levy funds and infrastructure delivery.
• Councillors Kelly and Pantazopoulos opposed the amendment directing staff to bring the bylaw to the March 2027 hearing. The minutes do not give their reasons.