Development Cost Charges Cash in Lieu of Parklands

Year
2007
Number
B38
Sponsor(s)
North Okanagan RD

WHEREAS under the provisions of Section 935 Use of development cost charges of the Local Government Act, these charges may be used only for specific activities within the limitations of the legislation; and under Section 941 Provision of park land, a local government may take 5 of lands being subdivided for park lands or cash-in-lieu as set forth in the legislation, and these funds or lands can only be used for specific activities as set forth in the legislation; AND WHEREAS local governments are charged with the responsibility of providing recreational facilities and, in many instances, the capital improvements to these facilities to meet the requirements of the BC Safety Code, or to maintain the facilities in good working condition for their residents and to practice good risk management; AND WHEREAS many of the facilities in smaller communities could not be replaced at todays cost of construction: THEREFORE BE IT RESOLVED that the provincial government review the legislation relating to Development Cost Charges and Cash-in-Lieu of Park Lands, with the view of amending the legislation to increase the activities these funds may be used for, such as upgrading recreational facilities.

Provincial Response

MINISTRY OF COMMUNITY SERVICES The purpose of Development Cost Charges DCCs is to help offset the capital costs of infrastructure required by new development sewer, water, drainage, roads and parks. DCCs are based on the principle of user pay that infrastructure should be paid by those who use and benefit from it. Similarly, the parkland dedication provisions in the legislation seek to ensure that developers of new subdivisions contribute green space within the neighborhood or contribute cash in lieu for future parkland needs. The Ministry of Community Services chairs the Development Finance Review Committee DFRC, which has discussed this issue and believes that the scope of these provisions should not be expanded. Legislative changes are not planned to extend DCCs or the parkland dedication provisions to a wider range of services, such as upgrading recreational facilities, the cost of which should be shared by all property owners as there is a greater community benefit. However, local governments have other financial tools, such as density bonusing, to use for community amenities.

Convention Decision
Endorsed