Committee approves $4,700-$6,200 hike in fees on new homes built in Ottawa
Building a new home in the City of Ottawa will cost homebuyers an extra $4,700 to $6,200 in fees, as the city increases charges to help pay for new roads, water and sewer infrastructure, transit and parks.
The planning and housing committee approved the new 2024 Development Charges Bylaw Update, which covers the one-time fees levied on new residential and non-residential properties to help pay for capital infrastructure. Council will vote later this month on the plan.
Under the new bylaw, the development charges on single and semi-detached homes inside the Greenbelt will increase from $43,494 to $48,265, while they will increase from $51,376 to $57,596 on homes built outside the Greenbelt.
- Sign up now for daily CTV News Ottawa newsletters
- The information you need to know, sent directly to you: Download the CTV News App
The new development charge fees will be transitioned in over 90 days.
The original plan called for a $12,000 increase in development charges, but staff say the updated increase of $4,700 and $6,200 is due to a recalculation of the number of homes expected to be built in Ottawa.
The Greater Ottawa Home Builders Association raised concerns about the increase in development charges after people had already signed contracts to build new homes. Executive director Jason Burggraaf also suggested development charges should not cover certain projects, like aquatic facilities.
"There are many projects in the background study that arguably don't belong in the background study," Burggraaf said. "They disproportionately are costing to future home buyers as opposed to the general population overall."
The co-founder of Making Housing Affordable told the committee the higher fees could create a "bigger hole" in Ottawa's budget.
"We're driving urban sprawl, we're driving people out of the city with the high cost of housing in Ottawa, especially young families. It's really crushing our economy and our city budget," Dean Tester said.
City staff shared statistics showing how Ottawa's development charges compare to other cities in Ontario. Development charges cost homebuyers $145,361 in Vaughan, $132,839 in Markham, $124,876 in Brampton, $118,308 in Mississauga and $97,041 in Toronto. The graphic shows development charges in London are $44,076.
Ottawa's current Development Charges Act expires on May 22.
CTVNews.ca Top Stories
Iran President Ebrahim Raisi still missing after helicopter accident in mountains
A helicopter carrying Iranian President Ebrahim Raisi, the country's foreign minister and other officials apparently crashed in the mountainous northwest reaches of Iran on Sunday, sparking a massive rescue operation in a fog-shrouded forest as the public was urged to pray.
What do we know so far about the mysterious crash of the helicopter carrying Iran's president?
The apparent crash of a helicopter carrying Iran's president and foreign minister on Sunday sent shock waves around the region.
'A horrible way to start the summer': 3 killed in serious boat crash on lake north of Kingston, Ont.
Three people were killed and five others were injured Saturday night following a boat crash on the Buck Bay area of Bobs Lake, north of Kingston, Ont., the Ontario Provincial Police (OPP) said.
Walmart, Costco refusing to sign grocery code of conduct 'untenable': industry minister
Industry Minister Francois-Philippe Champagne says it's 'untenable' for 'smaller players' like Walmart and Costco to delay signing on to the government- and industry-led grocery code of conduct, now that industry giant Loblaw has agreed to do so.
Ottawa driver who appeared to be racing another vehicle on Highway 416 facing charges
The Ontario Provincial Police (OPP) says an Ottawa driver is facing charges after being caught going 187 km/h on Highway 416.
Ex-partner charged with first-degree murder after 55-year-old woman killed in Montreal
Less than 24 hours after Montreal's 12th homicide investigation began, Montreal police confirmed that a 55-year-old woman's death in St. Michel is the island's 13th homicide. The woman's ex-spouse has been charged with first-degree murder.
VIDEO Born without front legs, this dog has been inspiring the world for 3 years: Dresden farm owner
A sanctuary dedicated to animals with disabilities is celebrating the third birthday of one of its most popular residents.
Canadian immigration asks medical worker fleeing Gaza if he treated Hamas fighters
Lawyers are questioning Canada’s approach to screening visa applications for people in Gaza with extended family in Canada after one applicant, a medical worker, was asked whether he had treated members of Hamas.
Diddy admits beating ex-girlfriend Cassie, says he's sorry, calls his actions 'inexcusable'
Sean 'Diddy' Combs admitted Sunday that he beat his ex-girlfriend in a hotel hallway in 2016 after CNN released video of the attack, saying in a video apology he was 'truly sorry' and his actions were 'inexcusable.'