HomeMy WebLinkAboutCAC Master Report Dec 7 20151
City of Maple Ridge
TO: Her Worship Mayor Nicole Read MEETING DATE: December 7, 2015
and Members of Council FILE NO:
FROM: Chief Administrative Officer MEETING: Workshop
SUBJECT: Maple Ridge Community Amenity Contribution Program Policies -
Proposed OCP Amending Bylaw No. 7188-2015
Proposed CAC Council Policy
EXECUTIVE SUMMARY:
This report provides a summary of the components of the Community Amenity Contribution Program,
based on the Resolutions passed by Council on October 19 and 27, 2015. At the October 27, 2015
meeting staff were directed to bring back further information on contribution calculations and were
also directed to bring back an Official Community Plan amending bylaw that established the CAC
program for the community utilizing a percentage of lift approach. At the October 13, 2015 Council
meeting, a brief discussion on changing the contribution approach for the CAC program occurred,
however no decisions were made on the matter.
In order to advance the CAC discussion further, this report includes a two pronged approach for
establishing a Community Amenity Contribution Program which includes:
An Official Community Plan Amending Bylaw that will establish the general components to be
included in the CAC program, noting that the specific details regarding the contribution
approach, values and application would be housed outside of the OCP in a Council Policy;
and
Two draft Council Policies have been prepared for Council’s consideration – one based on a
percentage of lift approach and the other based on a flat rate approach. The expectation is
that Council will chose the draft policy that best reflects their desired approach for
calculating contributions.
The Greater Vancouver Home Builders Association and the Urban Development Institute provided
comments to Council on the proposed components of the city-wide CAC Program prior to the October
19, 2015 Workshop meeting. In their correspondence, they have requested an opportunity for
consultation and dialogue on the Program. Given this request, the report recommends that the
proposed Official Community Plan amending Bylaw and Council policies be referred to the UDI
Liaison Committee for review. It is also recommended that the draft CAC policies be posted on the
website, along with an invitation to the public to submit comments. A summary of comments
received will then be provided to Council in a follow-up summary report. The Official Community Plan
amending bylaw will also be referred to a future public hearing.
RECOMMENDATIONS:
1. That staff be directed to obtain feedback on the Official Community Plan Amending Bylaw No.
7188-2015 and draft Council Policy and provide a summary of input to Council in a future
report.
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DISCUSSION:
a) Background Context:
Council has been provided with reports on June 15 and October 19, 2015 outlining the various
aspects and potential for establishing a city-wide community amenity contribution program. The
October 19, 2015 report included a set of legal principles regarding amenity contributions derived
from prior legal advice the City has received on establishing a community amenity contribution
program. These principles include:
i. A municipality has the authority to adopt density bonus bylaws and establish conditions
under which the density bonus is to be applied, including the payment of cash contributions;
ii. Density bonuses are the most defensible approach, should the required amenity contribution
be challenged on it’s legal basis;
iii. A community amenity contributions should be clearly tied to the impacts that are expected to
result from a zoning change;
iv. A community amenity program should be based on a ‘robust’ policy basis, rather than on a
simple decision of Council;
v. Establishing a contribution that is based on the amount of the increase in lot value could
provide a more equitable basis for the amenity program; and
vi. A site-by-site negotiated approach does not provide the clarity and consistency of application
of the program that the development industry needs, as well as potentially adding a
significant amount of time to the development approvals process.
With these principles in mind, Council was presented with a series of options for each component of
the City-wide Community Amenity Contribution Program.
At the October 19 and 27 Council Workshop meetings, the components of the CAC Program were
discussed and a Resolution passed for each. The following is a summary of the framework of the
CAC Program based on the content of the Resolutions:
1. Each CAC will be based on a percentage value of lift. [Note: A percentage value was not
included in the discussion]
2. The CAC Program will apply city-wide.
a. Those properties within the Town Centre Area Plan boundaries are exempt from the
CAC Program.
3. The Density Bonus Framework established in the Albion Area Plan will continue to apply, in
addition to the city-wide CAC Program. For developments that take advantage of the density
bonus provisions included in the Maple Ridge Zoning Bylaw for the Albion Area Plan, the
amenity contribution rate will be $3100 per lot or dwelling unit.
4. The CAC Program applies to the development of all residential dwellings1, including those
that are included in a mixed-use development (such as commercial and residential) with the
following exceptions:
a. Affordable and special needs housing that are secured through a Housing Agreement
as established in Section 905 of the Local Government Act;
1 Note: Additional exemptions from the CAC Program include:
single family residential subdivisions proposing fewer than 3 lots;
duplex dwelling units where only one building is being constructed; and
triplex dwelling units where only one building is being constructed.
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b. Rental housing units that are secured through a Housing Agreement established
under Section 905 of the Local Government Act will also be subject to a covenant
enacted under Section 219 of the Land Titles Act.
5. An Official Community Plan amending bylaw was to be prepared that includes the
components of the Community Amenity Contribution Program. Development applications that
are in process (in-stream) at the time of enactment of this Council Policy will be subject to
the provisions of the Policy unless the applicable Official Community Plan and/or Zoning
Bylaw amending bylaw has/have received Third Reading.
6. Council will establish one or more Reserve Funds and identify those amenities that may
benefit from the community amenity contributions.
b) CAC Program Examples
There are a wide variety of approaches for community amenity contribution programs in place
throughout the region. Council was provided a summary table, taken from the Amenity Zoning
Report prepared during the Albion Area Plan review in 2012. That table shows the variety of
approaches in use at that time, including density bonuses, site specific and area-wide amenity
contribution programs. In essence, the table shows that there is no one single approach in use
throughout the region. The following examples are intended to provide Council with options to
consider with respect to the components and implementation aspects of a CAC Program.
District of North Vancouver
The District of North Vancouver has implemented a CAC program that consists of a variety of
approaches for securing amenity contributions within:
Four defined OCP growth centres;
Residential developments outside of the growth centres; and
For sites where increased density is not contemplated in the OCP.
The details of the program are found within an administrative policy, which outlines the technical
aspects of when and how CAC’s will be considered as part of the development review process. The
Program incorporates three ways of collecting community amenity contributions:
1. For sites within the defined OCP growth centres, 75% of the value of the increase in land
(the lift) after rezoning.
2. For sites outside of the growth centres, CAC’s are calculated at $5 per square foot for
duplex, triplex, townhouses or similar developments and at $15 per square foot for
apartment developments.
3. For sites where an increase in residential density is not contemplated in the OCP, the CAC is
negotiated on a case by case basis, with the value of the amenity contribution to be
equivalent to 50% to 75% of the estimated increase in market value of the land after
rezoning.
The following table outlines the District of North Vancouver’s approach for calculating ‘lift’.
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Source: District of North Vancouver, Community Amenity Contributions in OCP Growth Centres
For information, the District of North Vancouver’s brochure outlining their CAC Program is attached
as Appendix C.
Coquitlam
The City of Coquitlam has introduced an area-wide contribution approach within the Burquitlam-
Lougheed Neighbourhood. The program is part of the implementation of the transit-oriented
development (TOD) strategy for the area, and applies to new residential density that is associated
with a rezoning application at a rate of $3.00 per square foot ($32.29 per square metre) of new
residential floor area, up to a maximum floor area of 2.5 times the lot area.
For information, the City of Coquitlam’s brochure on the CAC Program for the Burquitlam-Lougheed
area is attached as Appendix D.
Pitt Meadows
The City of Pitt Meadows has implemented a CAC approach based on a voluntary contribution flat
rate of $2400 per unit for single family dwellings, $1200 per unit for townhouses and $600 per
dwelling unit for Apartments.
City of North Vancouver
The City of North Vancouver endorsed their Density Bonus and Community Benefits Policy in May
2015. It contains aspects that may be of interest to Council, as it is applied within the context of
A
B
C
D
E
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OCP policies related to density bonusing, rather than a specific area as in the example from
Coquitlam. The purpose is “…to provide a greater degree of certainty regarding the purpose and
value of community benefit contributions that may occur in conjunction with development
applications.”
The framework of the program incorporates two categories:
1. Category A: Increases in density that do not exceed the density established in the OCP (on
Schedule ‘A’). The rate for these types of density increases is set at $20 per square foot of
residential floor area or a negotiated contribution; and
2. Category B: Increases in density that exceed the density established in the OCP, up to a
maximum bonus amount set out in the OCP. The rate for these bonus densities in the
Lonsdale Regional City Centre is set at $140 per square foot of residential floor area beyond
the existing zoning OR $110 per square foot of residential floor area outside of the Regional
City Centre. Category B amenity contributions can be negotiated only in unique
circumstances.
The City of North Vancouver’s Density Bonus and Community Benefits Policy has been attached as
Appendix E.
Provincial Guide for Community Amenity Contributions
In March 2014, the Provincial Ministry of Community, Sport and Cultural Development released a
guide to provided assistance for municipalities when considering the establishment of a CAC
program. It provides an overview on the legal aspects, recommended practices for CAC’s, the link
between CAC’s and affordable housing and discussion on selecting an approach for a municipality to
obtain amenities.
A summary of its contents is also included in the Guide and provides a helpful ‘snapshot’ of the
recommended practices for local governments:
1. Avoid legal risk and maintain public confidence
2. Plan ahead
3. Seek modest contributions and follow an approach that balances amenities and housing
affordability
4. Apply DCC principles to CAC’s
5. Engage the development community
6. Choose an approach to obtaining amenities that considers a variety of factors.
The lessons that can be taken from the Provincial Guide mirror the prior legal advice the City has
received with respect to:
align the impacts of increased residential density to the amount of contribution;
use density bonuses, as permitted under Section 904 of the Local Government Act as the
primary tool for securing CAC’s; and
establish a program that is consistently applied.
For information, The Short Guide – Community Amenity Contributions: Balancing Community
Planning, Public Benefits and Housing Affordability, released in March 2014 is attached to this report
as Appendix F.
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c) Amenity Zoning Analysis Information
The following is an excerpt from the Maple Ridge Amenity Strategy Case Study Analysis, part of the
Amenity Zoning: Analysis and Options report prepared by CitySpaces Consulting in November 2012.
Council was provided with a copy of that report as an attachment to the June 15, 2015 Amenity
Zoning Overview and Options report. This information is intended to be helpful for Council to see
within the context of a percentage value of lift approach and in comparison to the examples from
across the region.
Implications for Community Amenity Contributions
As noted above, the total lift identified through either a general set of analyses such as these
or through a separate analysis for a specific rezoning is typically shared between the
municipality or district and the proponent. In areas where development demand is high a
higher share of the lift would usually be sought by the municipality or district (75% or higher
in some cases), but in areas where development is slower a more equitable split is usually
made (50/50 for example).
GPRA has applied a 50/50 split to the lift identified through the case studies and illustrates
the resulting charges that could be introduced on a per unit/lot basis to collect the District’s
share:
These charges can also be converted to a fee per square foot or square metre of GBA using
estimates of average sizes of unit types in the District:
Charge Sq. Ft. @ 50%
Current RS-3 RS-1 RS-1b R-1 R-3 RM-1 RM-2 RM-6 (base)
A-2 $14.92 $4.59 $4.78 $7.65 $10.66 $7.24 $12.72 $6.13
RS-3 $0.00 $1.61 $2.30 $5.17 $8.53 $4.76 $11.89 $5.20
RS-1 $0.00 $0.00 $0.96 $3.83 $7.38 $3.42 $11.45 $4.69
RS-1b $0.00 $0.00 $0.00 $2.87 $6.56 $2.46 $11.13 $4.34
R-1 $0.00 $0.00 $0.00 $0.00 $4.10 -$0.41 $10.17 $3.26
R-3 $0.00 $0.00 $0.00 $0.00 $0.00 -$5.19 $8.58 $1.47
Typically, however, a municipality or district would not have so many discreet charges, but
will instead create a flat fee for each major rezoning type. In order to recognize the varied
results from the lift analysis and to avoid being punitive to developers GPRA would typically
recommend the fee be set at the lowest level indicated from the analyses.
Charging out fees in a manner such as this, or by GBA, or a combination thereof allows for
developers to clearly understand the expected costs for CACs when preparing to purchase
land and when determining project viability. GPRA must note, however, that additional
analysis is recommended before the District proceeds with codifying any fees into Bylaws
and implementing a CAC policy.
While the above information was prepared in 2012 as part of the Albion Area Plan Review, the
principles and results provide Council with an additional layer of information with respect to the
selection of a contribution approach for the city-wide CAC Program.
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d) Maple Ridge CAC Estimate Examples
The 2012 Albion Area Plan review included the discussion regarding amenity zoning and density
bonuses. GP Rollo and Associates partnered with CitySpaces Consulting, to undertake the financial
analysis of the Maple Ridge housing market to help determine what an appropriate contribution
amount would be for the density bonus framework. As part of that process, GP Rollo and Associates
developed a series of ‘sample’ pro formas to assist in the financial analysis.
To assist Council with an understanding of the estimated amount of contributions that could be
collected by utilizing the percentage value of lift, based on the District of North Vancouver approach
for calculating the value of lift. The following examples have been calculated using the sample pro
forma analysis prepared by GP Rollo and Associates in 2012. It is important to keep the following in
mind when reviewing this information:
The values are based on example pro formas prepared in 2012;
The estimated values contained in the example pro formas may no longer give an accurate
reflection of the local real estate market;
The estimated values are based on five case study examples from 2012; and
The analysis includes a number of assumptions that are clearly outlined in the report by GP
Rollo and Associates. Include in these are a 12% profit on total project costs for single
family projects and 15% profit on all multi-family projects. These are typical profit margins
utilized.
The estimated values based on percentage value of lift have been compared to the three flat
rate charges of $3100 (selected by Council), $5100 (proposed by the consultant) and
$7500 (additional option) discussed with Council in 2012.
The information contained in Table 1 is helpful in understanding the range in potential contribution
amounts that could be achieved for different housing forms, based on a percentage value of lift
contribution versus a flat rate.
Table 1: Maple Ridge CAC Estimated Values
Single Family Townhouse Low Rise Apt
Number of Units 82 15 80
Pro forma A) Project Revenue $51,828,000 $5,749,920 $19,782,338
B) Development Costs $43,719,391 $4,849,933 $16,685,972
C) Value After Rezoning $8,108,609 $899,987 $3,096,366
D) Value Before Rezoning $5,164,640 $740,213 $2,389,208
E) Lift Value $2,943,969 $159,774 $707,158
% Lift CAC % Rate Options
25% $735,992 $39,944 $176,790
50% $1,471,985 $79,887 $353,579
75% $2,207,977 $119,831 $530,369
Flat Rate Flat Rate $3100 $254,200 $46,500 $248,000
Flat Rate $5100 $418,200 $76,500 $408,000
Flat Rate $7500 $615,000 $112,500 $600,000
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In considering the GP Rollo noted earlier in the report, and in looking at the above table, the following
observations can be made:
Different amenity rates per unit type are justifiable;
Areas where development demand is high may support a higher lift value of 75%, while
areas with lesser demand would support a lesser lift value of 50%.
Single Family example:
The single family housing form has a far greater lift value than the townhouse or low rise
apartment forms.
The % of lift approach results in an amenity contribution that is significantly larger than a
flat rate approach.
A flat rate of $7500 per unit would be closest in value to the 25% lift value.
Townhouse example:
The townhouse form of development has a significantly lower lift value compared to the
low rise apartment or single family form.
The flat rate and % of lift approaches result in fairly similar numbers, for example 75% of
lift is $119,831 verses a $7500 flat rate which results in a contribution of $112,500.
Given that townhouse has the lowest lift value of the 3 housing forms, a more modest
value of 50% lift or $5100 flat rate could be appropriate.
Low Rise Apartment example:
The low rise apartment form of development has a modest lift value, when compared to
the single family form, but is considerably larger than the townhouse form.
The flat rate approach results in a larger contribution that the % of lift approach.
A flat rate of $5100 may be appropriate.
e) Recent Development Activity
During the Planning Department business planning presentation, Council requested that information
on recent development activity be included in this report for their information. The following table
includes information on single family lots created and housing starts for townhouse and apartment
projects, from 2011 through to the end of October 2015, excluding development in the Town
Centre2, Commercial and Industrial permits. Note the table does not include lots that are pending
approvals.
2011 2012 2013 2014 2015 to Oct Average
Single Family new lots created 225 291 250 201 255 244
Townhouse BP’s 128 23 144 195 180 134
Apartment BP’s 158 307 180 49 6 140
Based on the above averages, and using a flat rate of $7500 for Single Family, and $5100 for
townhouse and low rise apartment, the annual CAC revenues could be in the order of $3.2 million.
f) Policy Implications:
A two pronged policy approach is being proposed to establish a citywide CAC program which includes
OCP Policy amendments and an adopted Council Policy.
2 Town Centre, Commercial and Industrial building permits have been excluded based on Council Resolutions
passed at the Oct 19 and 27, 2015 Council Workshop.
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OCP Policy Amendments
The proposed Official Community Plan Amending Bylaw No. 7188-2015 (Appendix A) outlines the
general components of the city-wide CAC Program, noting that the specific details would be housed
in the Council Policy. In addition, it aligns the current policy framework within the Albion Area Plan
with the expanded scope of the program in the upper-level OCP policies.
Draft Council Policy
i. Percentage Value of Lift Approach
Pursuant with Council direction, a draft Council Policy has been prepared to reflect the percentage
value of lift approach (Appendix B1). It outlines the technical aspects of how the city-wide CAC
Program will be administered. In concert with the OCP policy amendments, this approach provides
Council with the flexibility of fine-tuning the technical aspects of the CAC Program in the future
without the need for an OCP amending process. In addition, the level of detail contained in the draft
Council Policy is not found in the OCP policies.
This approach and the method for calculating the amount of increase in land value as the result of a
rezoning (the ‘lift value’) is more detailed then the option of using a land appraisal as discussed at
the October 19, 2015 Council Workshop. By requiring more information from the developer as part
of each development application, it is felt that a more accurate lift value can be established, thereby
determining a community amenity contribution amount that is more reflective of the impacts of the
development and equitable for all developments.
ii. Flat Rate Approach
At the November 10, 2015 Regular Council meeting, a brief discussion occurred regarding
reconsidering the contribution approach Resolution passed at the October 19, 2015 Council
Workshop meeting. While Council did not make any decisions on this item, there seemed to be
some interest to continue the discussion on this item.
This option could incorporate more than one rate, based on the housing form, in keeping with the
principle that an amenity contribution should be reflective of the impacts of the additional density.
This could mean individual rates for single family, townhouses and apartment buildings. Based on
Council’s selection for the contribution approach, further analysis may be required prior to preparing
a final CAC Program Council Policy back for Council’s approval.
Alternatively, the Amenity Zoning report prepared by CitySpaces and GP Rollo & Associates included
an economic analysis for the Albion Area. At that time their recommended rate per dwelling unit was
$5100. The CAC Estimated Value Table in this report includes information on the contributions that
would result from $3100, $5100 and $7500 values.
The attached Appendix B2 is a draft Council Policy based on a flat rate approach as outlined below:
1. Each CAC will be based on a contribution rate for single family, townhouse and
apartment dwelling units as follows:
a. Single Family Residential development $_____ per dwelling unit or lot
created;
b. Townhouse development $______ per dwelling unit created.
c. Apartment development $______ per dwelling unit created.
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The value of contribution for each of the above housing forms could be established at one of
the following rates, or at a rate determined by Council:
$3100 per dwelling unit (current rate used in the Albion Area Plan area)
$5100 per dwelling unit (rate proposed by GP Rollo and Associates in 2012)
$7500 per dwelling unit (alternative rate for Council consideration in 2012)
It is noted that some municipalities have established a program based on applying a standard rate
per square foot of new residential floor area. Should Council be interested in exploring this as an
option, the table of page 6 of this report prepared by GP Rollo and Associates would provide a good
starting point for that discussion. It is recommended that if Council supports this approach, further
analysis on the current real estate/development market within the City be completed, prior to
establishing the final rate or rates.
g) Citizen/Customer Implications:
The Greater Vancouver Home Builders Association (GVHBA) and the Urban Development Institute
(UDI) provided comments to Council via email, on the proposed contents of the Maple Ridge
Community Amenity Contribution Program. They have requested that Council refer the policy back to
staff for further consultation and dialogue based on the following comments:
The GVHBA and UDI feel that it is important that development-based fees and charges be
predictable, transparent, proportional to the market in the community, and do not adversely
impact housing affordability;
There are concerns related to the quick establishment of a CAC program;
The UDI Liaison Committee feel Council has an opportunity to utilize ‘best practices’ in
establishing a city-wide CAC program.
The technical components of the CAC Program have been included in the attached draft Council
Policy (Appendix B). While not generally the subject of consultation activities, it is recommended that
the proposed policies be reviewed with the UDI Liaison Committee. It is also recognized that many
citizens will have an interest in the subject of CAC’s so it is further recommended that the draft
policies be posted on the City webpage along with an invitation for residents to provide comments.
The Communications Department have also offered to share this information via social media. All
comments received will then be provided in a follow-up report to Council. The OCP amending bylaw
will be referred to Public Hearing and the public will be provided with an opportunity to comment at
the Hearing.
When considering a change in Official Community Plan policy or Zoning Bylaw Regulations, the
generally accepted practice for in-stream development applications is that those applications that
have been presented at Public Hearing and received Third Reading would be exempt from complying
with the new policies or regulations.
h) Interdepartmental Implications:
Based on Council direction on the content and approach for the CAC Program, assistance from a
variety of City departments may be required to review the technical aspects of the Program. In
particular, assistance from the Finance Department will be required to prepare the Reserve Fund
bylaw(s), including any potential amendments to the Albion Area Plan Reserve Fund Bylaw.
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i) Business Plan/Financial Implications:
If Council prefers to establish the CAC contribution approach as a flat rate to apply for all included
developments, it is recommended that the amount/rate be reflective of the land lift value. An
economic financial analysis is the most robust and defensible approach to calculate that rate. Such
analysis would require a budget allocation not to exceed $20,000. Alternatively Council may be
comfortable in selecting a rate based on the information contained in the staff report.
CONCLUSIONS:
The lessons learned through the establishment of the Albion Area Plan Density Bonus Framework
and from recent legal advice provide a number of general principles that the components of an
amenity program should incorporate. The components of the CAC Program determined by Council on
October 19 and 27, 2015 by Resolutions, achieve the principles of a consistent and equitable
framework.
The regional examples show a variety of approaches and tools in use for securing community
amenity contributions as part of the development process. The Provincial Community Amenity
Contributions Guide provides a list of recommended practices for municipalities to consider when
establishing a CAC Program. These examples show that each municipality has the flexibility to
establish a program that is best suited to the needs of their community.
The proposed OCP policy amendment will provide greater clarity for Council and the community with
respect to why and when CAC’s will be part of the development review process. The proposed CAC
Council Policies contain the technical aspects of the program that are of a greater level of detail than
in found in the OCP. As such, any future minor adjustments to the structure of the Program will not
be subject to OCP amendments or a Public Hearing.
In keeping with the principles of an open and transparent government, it is recommended that
feedback be obtained on the Official Community Plan Amending Bylaw No. 7188-2015 and draft
Community Amenity Contributions Program Council Policies. The draft policies will be referred to the
UDI Liaison Committee and information will also be posted on the City webpage, along with an
invitation to provide comments. The results of these consultation activities would then be
summarized in a report for Council’s review and consideration prior presentation of the OCP
Amending Bylaw for first and second reading, and referral to Public Hearing.
“Original signed by Christine Carter” for
_______________________________________________
Prepared by: Jim Charlebois, MURP, MCIP, RPP
Manager of Community Planning
“Original signed by Christine Carter”
_______________________________________________
Approved by: Christine Carter, M.PL., MCIP, RPP
Director of Planning
“Original signed by Frank Quinn”
______________________________________________
Approved by: Frank Quinn, MBA, P.Eng
GM: Public Works & Development Services
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Appendix A: OCP Amending Bylaw No. 7188-2015
Appendix B1: Draft Community Amenity Contribution Program Council Policy (Percentage Value of
Lift Approach)
Appendix B2 Draft Community Amenity Contribution Program Council Policy (Contribution Rate per
Housing Type)
Appendix C: District of North Vancouver, Community Amenity Contributions brochure
Appendix D: City of Coquitlam CAC Program for the Burquitlam-Lougheed Neighbourhood
brochure
Appendix E: City of North Vancouver Density Bonus and Community Benefit Policy
Appendix F: Province of BC, Short Guide – Community Amenity Contributions, March 2014
CITY OF MAPLE RIDGE
BYLAW NO. 7188-2015
A Bylaw to amend Schedule “A” of the Official Community Plan Bylaw No. 7060-2014
_______________________________________________________________________________
WHEREAS Section 882 of the Local Government Act provides that the Council may revise the Official
Community Plan;
AND WHEREAS it is deemed expedient to amend Schedule "A" to the Official Community Plan;
NOW THEREFORE, the Municipal Council of the City of Maple Ridge enacts as follows:
1.This Bylaw may be cited for all purposes as "Maple Ridge Official Community Plan Amending
Bylaw No. 7188-2015
2.That Section 2.1.2 Compact and Unique Community be amended by repealing policies 2-7
through 2-9 and replacing them with the following:
2-7 Maple Ridge will establish a city-wide Community Amenity Program with the following
components, to provide amenities, including the provision of affordable and special
needs housing, in a sustainable and economically viable manner:
a)Contribution approach
b)Geographic area, including any portions of the City that may be excluded;
c)Approach for addressing existing density bonus policies and regulations in the
Albion Area Plan area;
d)Application of the program with respect to land uses and density;
e)Establishment of one or more Reserve Fund Bylaws, including the identification
of those potential community amenities to which the reserve funds can be
allocated;
2-8 The Community Amenity Program may also include areas within the City where
density bonus provisions apply. Where provisions apply, the density bonus will be in
addition to the city-wide program and will be integrated into the Maple Ridge Zoning
Bylaw.
2-9 A Community Amenity Contributions and density bonuses may also be considered at
Council’s discretion for all Official Community Plan and Zoning Bylaw amending
applications that are seeking a higher density than is envisioned in Schedule “A”, to
help provide a variety of amenities and facilities throughout the municipality.
3.That Section 2.1.2 Compact and Unique Community be amended by adding the following
policies in numeric order after policy 2-9:
2-10 Community Amenity Contributions which are specific for those portions of the City
where an Area Plan has been adopted, and as outlined in the subject Area Plan, may
be established at Council’s discretion.
2-11 Maple Ridge Council will establish one or more Reserve Funds for the Community
Amenity Program that will identify the type of community amenities to which the
amenity contributions will apply.
APPENDIX A
4. That Section 10.2.2 Residential Development and Community Amenity Program, Albion
Area Plan Community Amenity Program policy amended by changing the heading of the
policy section to “Albion Area Community Amenity Program and Density Bonus
Framework”.
5. That Section 10.2.2 Residential Development and Community Amenity Program, be
amended by repealing policy 10-4 and replacing it with the following:
10-4 The city-wide Community Amenity Program established in Section 2.1.2 Compact
and Unique Community will apply to the Albion Area Plan. A Density Bonus
Framework will also be permitted on lands designated Low Density Residential,
Low-Medium Density Residential and Medium Density Residential in the Albion
Area Plan.
6. That Section 10.2.2 Residential Development and Community Amenity Program policy
10- 5 be repealed and replaced with the following:
10-5 Where the density bonus option is utilized in a single-family subdivision, the
density bonus framework provisions established in the Maple Ridge Zoning Bylaw
will apply to all lots that exceed the base density permitted in the zone, in addition
to the city-wide Community Amenity Program established in Official Community
Plan Section 2.1.2 Compact and Unique Community.
7. That Section 10.2.2 Residential Development and Community Amenity Program policy
10-6 be repealed and replaced with the following:
10-6 Where the density bonus option is utilized in a multi-family development, the
density bonus framework provisions established in the Maple Ridge Zoning Bylaw
will apply to all dwelling units that exceed the base density permitted in the zone,
in addition to the city-wide Community Amenity Program established in Official
Community Plan Section 2.1.2 Compact and Unique Community.
8. That Section 10.2.4 Albion Zoning Matrix be amended by deleting the words “and Amenity
Contribution” from the notation section.
9. Maple Ridge Official Community Plan Bylaw No.7060-2014 as amended is hereby amended
accordingly.
READ A FIRST TIME the day of , 20 .
READ A SECOND TIME the day of , 20 .
PUBLIC HEARING HELD the day of , 20 .
READ A THIRD TIME the day of , 20 .
ADOPTED, the day of , 20 .
___________________________________ _____________________________
PRESIDING MEMBER CORPORATE OFFICER
Page 1 of 3 Policy
POLICY MANUAL
Title: Community Amenity Contribution Program
Policy No :
Supersedes:
Authority: Legislative Operational
Approval: Council CMT
General Manager
Effective Date:
Review Date:
Policy Statement:
The City of Maple Ridge is committed to providing a variety of amenities throughout the
municipality, including the provision of affordable and special needs housing, in a financially
sustainable manner.
The Community Amenity Contribution Program (CAC Program) is comprised of the following
components:
1.Each CAC will be based on a percentage value of lift, to be determined through a review of
each development pro forma. The value of lift will be determined in the following manner:
A. Projected development revenues – determined from the developer’s pro forma
following a review by an economic development consultant to be selected by the
City of Maple Ridge.
B. Development costs – by adding together the soft costs (such as design fees),
offsite costs (such as servicing), construction costs, developer’s profit (industry
standard of 15%).
C. Value of land after rezoning approval - is determined by subtracting the
development costs (B) (not including the land acquisition costs) from the projected
development revenues (A). This increase in value is the “lift” in the value of the
land.
D. Value of land before rezoning – the market value of the land based on the current
zoning. This is not necessarily the price the developer paid for the land.
E. Community Amenity Contribution – is determined by subtracting the lift value (C)
from the value of land before rezoning (D) and multiplied by the pre-determined
contribution percentage.
2.The contribution percentage for all CAC’s will be negotiated between 50-75% of the value
of lift.
3.The CAC Program will apply city-wide.
4.Those properties within the Town Centre Area Plan boundaries are exempt from the CAC
Program.
5.The CAC Program applies to the development of all residential dwellings, including those
that are included in a mixed-use development (such as commercial and residential) with
the following exceptions:
a.Affordable and special needs housing that are secured through a Housing
Agreement as established in Section 905 of the Local Government Act;
APPENDIX B1
Page 2 of 3 Policy
b. Rental housing units that are secured through a Housing Agreement established
under Section 905 of the Local Government Act will also be subject to a covenant
enacted under Section 219 of the Land Titles Act.
c. single family residential subdivisions proposing fewer than 3 lots;
d. duplex dwelling units where only one building is being constructed; and
e. triplex dwelling units where only one building is being constructed.
6. The Density Bonus Framework established in the Albion Area Plan will continue to apply, in
addition to the city-wide CAC Program. For developments that take advantage of the
density bonus provisions included in the Maple Ridge Zoning Bylaw for the Albion Area
Plan, the amenity contribution rate will be $3100 per lot or dwelling unit.
7. The Official Community Plan may also establish additional community amenity contribution
policies and guidelines for each Area Plan.
8. Development applications that are in process (in-stream) at the time of enactment of the
Official Community Plan Amending Bylaw No.7188-2015, will be subject to the provisions
of the Policy unless the applicable Official Community Plan and/or Zoning Bylaw amending
bylaw has/have received Third Reading.
9. Council will establish one or more Reserve Funds and identify those amenities that may
benefit from the community amenity contributions.
10. The provision of a specific amenity, rather than a cash-in-lieu contribution may also be
considered by Maple Ridge Council. If Council determines that the provision of an amenity
is more desirable, the following list is to be used as a general guide for determining the
type of community amenity:
Daycare and childcare facilities;
Public art;
Heritage conservation;
Land for the provision of:
o Affordable or special needs housing;
o Parks
o Trails
o Significant ecological features
Affordable or special needs housing units;
Park or trail construction or improvements;
Purpose:
To provide direction on the implementation of a city-wide community amenity contribution (CAC)
program, including the process to determine the contribution amount.
Definitions:
“Community Amenity” means any public amenity that provides a benefit to the residents of
the city or a specific neighbourhood as the result of increased residential density.
“Value of Lift” means the increase in the value of land following rezoning to a zone that
permits greater residential density on the site.
“Development Costs” are those costs that are reasonable project expenses associated
with the submission of an Official Community Plan and/or zone amending application,
including application fees, costs associated with a required Development Permit and
Building Permit, financing, sales and marketing costs, developer profit (established at
15%). Development costs do not include land acquisition costs.
“Land Value” means the assessed value of the land prior to rezoning, based on BC
Assessment information.
Page 3 of 3 Policy
Key Areas of Responsibility
Action to Take
Responsibility
Page 1 of 3 Policy
POLICY MANUAL
Title: Community Amenity Contribution Program
Policy No :
Supersedes:
Authority: Legislative Operational
Approval: Council CMT
General Manager
Effective Date:
Review Date:
Policy Statement:
The City of Maple Ridge is committed to providing a variety of amenities throughout the
municipality, including the provision of affordable and special needs housing, in a financially
sustainable manner.
The Community Amenity Contribution Program (CAC Program) is comprised of the following
components:
1.Each CAC will be based on a contribution rate for single family, townhouse and apartment
dwelling units as follows:
a.Single Family Residential development $_____ per dwelling unit or lot created;
b.Townhouse development $______ per dwelling unit created.
c.Apartment development $______ per dwelling unit created.
2.The CAC Program will apply city-wide.
3.Those properties within the Town Centre Area Plan boundaries are exempt from the CAC
Program.
4.The CAC Program applies to the development of all residential dwellings, including those
that are included in a mixed-use development (such as commercial and residential) with
the following exceptions:
a.Affordable and special needs housing that are secured through a Housing
Agreement as established in Section 905 of the Local Government Act;
b.Rental housing units that are secured through a Housing Agreement established
under Section 905 of the Local Government Act will also be subject to a covenant
enacted under Section 219 of the Land Titles Act.
c.single family residential subdivisions proposing fewer than 3 lots;
d.duplex dwelling units where only one building is being constructed; and
e.triplex dwelling units where only one building is being constructed.
5.The Density Bonus Framework established in the Albion Area Plan will continue to apply, in
addition to the city-wide CAC Program. For developments that take advantage of the
density bonus provisions included in the Maple Ridge Zoning Bylaw for the Albion Area
Plan, the amenity contribution rate will be $3100 per lot or dwelling unit.
6.The Official Community Plan may also establish additional community amenity contribution
policies and guidelines for each Area Plan.
7.Development applications that are in process (in-stream) at the time of enactment of the
Official Community Plan Amending Bylaw No.7188-2015, will be subject to the provisions
APPENDIX B2
Page 2 of 3 Policy
of the Policy unless the applicable Official Community Plan and/or Zoning Bylaw amending
bylaw has/have received Third Reading.
8. Council will establish one or more Reserve Funds and identify those amenities that may
benefit from the community amenity contributions.
9. The provision of a specific amenity, rather than a cash-in-lieu contribution may also be
considered by Maple Ridge Council. If Council determines that the provision of an amenity
is more desirable, the following list is to be used as a general guide for determining the
type of community amenity:
Daycare and childcare facilities;
Public art;
Heritage conservation;
Land for the provision of:
o Affordable or special needs housing;
o Parks
o Trails
o Significant ecological features
Affordable or special needs housing units;
Park or trail construction or improvements;
Purpose:
To provide direction on the implementation of a city-wide community amenity contribution (CAC)
program, including the process to determine the contribution amount.
Definitions:
“Community Amenity” means any public amenity that provides a benefit to the residents of
the city or a specific neighbourhood as the result of increased residential density.
“Value of Lift” means the increase in the value of land following rezoning to a zone that
permits greater residential density on the site.
“Development Costs” are those costs that are reasonable project expenses associated
with the submission of an Official Community Plan and/or zone amending application,
including application fees, costs associated with a required Development Permit and
Building Permit, financing, sales and marketing costs, developer profit (established at
15%). Development costs do not include land acquisition costs.
“Land Value” means the assessed value of the land prior to rezoning, based on BC
Assessment information.
Page 3 of 3 Policy
Key Areas of Responsibility
Action to Take
Responsibility
Development revenues:Development costs include: »Soft costs (e.g. design) »Offsite costs (e.g. servicing) »Construction costs »'HYHORSHUSURÀW Land costs not includedValue of land after rezoning:Development revenues minus development costs (A - B)Value of land before rezoning (current zoning value):Community Amenity Contribution: 75% of the increased market value of the land minus value of land before rezoning i.e.: (C – D) x 75%Contact informationDistrict of North Vancouver :HVW4XHHQV5RDG 1RUWK9DQFRXYHU%&911Web: www.identity.dnv.org Email: identity@dnv.orgPhone: 7+(',675,&72)1257+9$1&289(5COMMUNITY AMENITYCONTRIBUTIONS IN OCP GROWTH CENTRESA Guide to Estimating the CAC&$&VIRUVLWHVLQ2&3JURZWKFHQWUHVDUHGHWHUPLQHGWKURXJKDQHJRWLDWHGDSSURYDOEDVHGRQRIHVWLPDWHGLQFUHDVHLQPDUNHWYDOXHRIWKHODQGDULVLQJIURPUH]RQLQJDIWHUGHYHORSPHQWFRVWVDQGSURÀWPDUJLQDUHIDFWRUHGLQDQGFDQEHHVWLPDWHGYLDWKHIROORZLQJVWHSV ABCDEExplanation of key termsDevelopment revenues:DUHWKHHVWLPDWHGUHWXUQVIURPWKHVDOHRIQHZXQLWVDevelopment costs:LQFOXGHVUHDVRQDEOHSURMHFWFRVWVZKLFKPD\LQFOXGHSURSHUW\WUDQVIHUWD[DVVHPEO\FRVWVGHPROLWLRQFRVWVVRIWFRVWVÀQDQFLQJFRVWVVDOHVDQG PDUNHWLQJ FRVWV FRQVWUXFWLRQFRVWVFRQWLQJHQF\FRVWVGHYHORSPHQWFRVWFKDUJHV '&&V PXQLFLSDOWD[HVLQVXUDQFHGHYHORSPHQWDQGUH]RQLQJapplication fees, servicing fees, and ZDUUDQWLHV'HYHORSPHQWFRVWVDOVRLQFOXGHGHYHORSHUSURÀWValue of land after rezoning: is the PDUNHWYDOXHRIODQGXQGHUWKHSURSRVHGQHZ]RQLQJ7KLVILJXUHLVFDOFXODWHGE\VXEWUDFWLQJDOOHVWLPDWHGSURMHFWVcosts (not including land acquisition) DQGGHYHORSHUSURÀWIURPWKHHVWLPDWHGproject revenue. Value of land before rezoning: is the PDUNHW YDOXH XQGHU H[LVWLQJ ]RQLQJ(without considering any opportunity IRUXS]RQLQJ 1RWHWKDWWKLVGRHVQRWnecessarily reflect what the developer actually paid for the property. APPENDIX C
LVLLLCMWLynn Valley Town CentreLower Lynn Town CentreLower Capilano Marine Village CentreMaplewood Village CentreCommunity art and cultural facilitiesEnhanced public recreation facilities and servicesPublic gathering places e.g. open spaces and plazasParks, greenways, trails, playgrounds and community gardensMulti-purpose community and daycare spaceRestoration of heritage featuresOther amenities DVLGHQWLÀHGthrough community consultationWhat are Community Amenity Contributions?&RPPXQLW\DPHQLW\FRQWULEXWLRQV &$&V LQWKHIRUPRISK\VLFDODPHQLWLHVRUFDVKFRQWULEXWLRQVPD\EHSURYLGHGE\GHYHORSHUVwhen Council approves applications IRULQFUHDVHGGHQVLW\DWUH]RQLQJ&$&VDGGUHVVLQFUHDVHGGHPDQGRQFRPPXQLW\facilities and services due to growth and UHGHYHORSPHQW)RUH[LVWLQJODQGRZQHUVWKLVPHDQVWKDWthe selling price of their property should JHQHUDOO\UHÁHFWWKHFXUUHQWPDUNHWYDOXHXQGHUH[LVWLQJ]RQLQJWRHQDEOHWKHGHYHORSHUWRSURYLGHD&$&7KH'LVWULFWRI1RUWK9DQFRXYHUKDVD'LVWULFWZLGH&$&SROLF\WKDWSURYLGHVRYHUDUFKLQJGLUHFWLRQRQ&$&V7KHSXUSRVHRIWKLVJXLGHis to provide specific policy direction on GHWHUPLQLQJ&$&VLQ2&3JURZWKFHQWUHV &HQWUHV,PSOHPHQWDWLRQ3ODQVZLOORXWOLQHWKHSURSRVHGFRPPXQLW\DPHQLWLHVIRUHDFKJURZWKFHQWUHAffordable and non-market housing%HQHÀWVRI&RPPXQLW\$PHQLW\Contributions&RPPXQLW\DPHQLW\FRQWULEXWLRQVEHQHILWWKHORFDOFRPPXQLW\WKH'LVWULFWDVDZKROHDQGWKHGHYHORSPHQWSURMHFW&RPPXQLW\DPHQLWLHVFRQWULEXWHWRZDUGVFRPPXQLW\OLYHDELOLW\DQGIDFLOLWDWHWKHGHOLYHU\RIDPHQLWLHVWKDWPLJKWRWKHUZLVHQHHGWREHprovided through increased property taxes. &$&VFDQEHXVHGWRZDUGVWKHGHYHORSPHQWRIVLWHVSHFLÀFFRPPXQLW\DPHQLWLHV ZKHUHWKHVHKDYHEHHQLGHQWLÀHGWKURXJKFHQWUHVLPSOHPHQWDWLRQ SODQQLQJ RU SURYLGHGDVDFDVKLQOLHXFRQWULEXWLRQWRGHOLYHURIIVLWHFRPPXQLW\DPHQLWLHV([DPSOHVRIFRPPXQLW\DPHQLWLHVLQFOXGHEXWDUHQRWOLPLWHGWR Factors affecting the Community Amenity Contribution 7KH&$&YDOXHLVGHULYHGIURPWKHFKDQJHLQODQGYDOXHXQGHUKLJKHUGHQVLW\]RQLQJ&$&·VPD\YDU\E\SURMHFWGHSHQGLQJRQDYDULHW\RIIDFWRUVLQFOXGLQJ ORFDWLRQODQGYDOXHORWVL]HGHQVLW\DVVHPEO\FRQVWUDLQWVVHUYLFLQJFRVWRIUH]RQLQJRQVLWHDPHQLW\UHTXLUHPHQWVSDUNLQJQHHGVDQGRWKHUFRPPXQLW\DQGSODQQLQJREMHFWLYHVApproach to Determining CAC in Designated Centres7KHYDOXHRI&$&VLQGHVLJQDWHGFHQWUHVLVGHWHUPLQHGWKURXJKDQHJRWLDWHGDSSURDFKEDVHGRQRIWKHLQFUHDVHLQPDUNHWYDOXHRIWKHODQGDIWHUUH]RQLQJ7KLVDSSURDFKDOORZVIRUVRPHÁH[LELOLW\WRWDNHLQWRDFFRXQWUHOHYDQWVLWHVSHFLÀFFRQVLGHUDWLRQV'HYHORSPHQWSURSRQHQWVDUHDVNHGWRVXEPLWDGHYHORSPHQWSURIRUPDDWWKHSUHOLPLQDU\$SSOLFDWLRQVWDJH7KHSURIRUPDZLOOEHUHYLHZHGE\'LVWULFWVWDIIDQGRUDTXDOLÀHGODQGHFRQRPLVWUHWDLQHGE\WKH'LVWULFWRQDFRVWUHFRYHU\EDVLVThis will allow for an early evaluation RIWKHRYHUDOOSURMHFWDVVXPSWLRQVDQGDELOLW\WRPHHW'LVWULFWSROLFLHVDQGFRPPXQLW\REMHFWLYHVZKLOHconsidering the unique project FRQWH[W7KH&$&ZLOOEHFRQÀUPHGGXULQJWKHGHWDLOHGGHYHORSPHQWapplication stage.
Community Amenity Contribution (CAC) Program
Investing in the Future of the Burquitlam -
Lougheed Neighbourhood
The City of Coquitlam has introduced a Community Amenity Contribution (CAC) program to help fund a new
community recreation facility for the Burquitlam - Lougheed Neighbourhood.
The CAC program is a key policy in the City’s Transit-Oriented Development Strategy (TDS), which is a high-
level vision document that will guide new transit-oriented development around Evergreen Line stations.
How does the CAC Program Work?
CACs are a voluntary contribution made by an applicant at the time of rezoning, typically by a developer of
a property. The CAC program only applies to new residential density (i.e., additional building floor area) that
is associated with a rezoning application.
The CAC amount is a flat rate dollar cost per floor area for all new residential floor area proposed by a
rezoning application in the CAC area. (Area outlined in red on map on the other side.) This flat rate ensures
consistency, transparency and equity in the application of the CAC for each rezoning application.
The amount of the CAC is $32.29 per m² ($3.00 per square foot) for all new residential floor area proposed
up to a maximum floor area of 2.5 times the lot area.
Example of a CAC calculation:
A rezoning application proposes to add 10,000 m² of residential floor area as part of a new development. The
property has 1,000 m² of existing residential floor area. The existing 1,000 m² is deducted from the proposed
10,000 m² of residential floor area and the CACs are only payable on 9,000 m². (Approximately $290,600.)
Doc. # 1591098 - Dec. 2013
APPENDIX D
When do CACs not apply?
CACs will not be applied to an addition, an existing building,
new single-family residential, or for new buildings constructed
under the existing zoning. For example the CAC does not
apply to a homeowner wanting an addition to an existing
single-family residence nor a property owner building a new
single-family residence on a lot under the existing zoning.
What is a Zone?
All land in the City is assigned a zone under the City’s Zoning
Bylaw. The zone on a property determines what uses are
permitted, the dimensional requirements for lots, the height
of buildings and how far they can be setback from a property
boundary. The zone also determines the maximum density of
buildings on a property. Density is typically measured in the
City’s zones as a Floor Area Ratio (FAR).
What is FAR?
Floor Area Ratio (FAR) is the maximum amount of floor area
(building space) you are permitted to construct on your lot.
For example, if you have a lot area of 500 m² (5,382 sq. ft.) and
your maximum FAR is 0.45, then the maximum floor area you
can construct is 225 m² (2,422 sq. ft.).
500 m² lot area x 0.45 FAR = 225 m² gross floor area
What is Rezoning?
Changing the existing zone on a property to another zone is
a rezoning. The rezoning process amends the City’s Zoning
Bylaw and requires public notification to property owners
and occupants of property within 100m of the rezoning site, a
public hearing and Council’s approval.
What are Community Amenities?
Community amenities are facilities that improve the livability
of an area, and include things such as a library, community
or recreation centre, arts facility, youth centre, parkland
improvements, or space for community serving non-profit
groups. In this case, CACs collected in Burquitlam and
Lougheed will be used to fund a community recreation facility.
Austin Avenue
Rochester Avenue
Foster Avenue
Como Lake Avenue
North RoadClarke RoadEdgar AvenueGuilby StreetRobinson StreetMiller Avenue
Chapman Avenue
Smith Avenue
Lo
u
g
h
e
e
d
H
i
g
h
w
a
y
Burns
Park
Lo
Baden
Eleme
Vancouver Golf
and Country Club
Roy Stibbs
Elementary
Brookmere
Park
Coquitlam
College
Burquitlam
Park
Mountain View
Elementary
Mountain
View Park
Miller Park
Elementary
Banting
Middle
Burquitlam
Elementary
The program has been
created for the Burquitlam
- Lougheed Neighbourhood
by Coquitlam City Council
as part of implementing
the Transit-Oriented
Development Strategy
(TDS) which was adopted
by Council in July 2012, and
available to view on the City’s
website: coquitlam.ca/tds
Questions?
For further information on the program, please contact:
Planning and Development Department
Coquitlam City Hall
3000 Guilford Way, Coquitlam, BC V3B 7N2
P: 604-927-3430
E: planninganddevelopment@coquitlam.ca
Community Amenity Contribution (CAC) Program
CAC Application Area
(TDS Core and Shoulder Focus Areas)
Density Bonus and Community Benefits Policy
Endorsed: May 25, 2015
APPENDIX E
Page 2 of 7 Document: 1268321-v3
1. Introduction
This document serves as a guide for the consideration
of density bonuses within the framework of the Official
Community Plan (OCP) and Local Government Act. This
document should be read in conjunction with the OCP
and, in particular, Section 2.2 Density Bonusing, Section
2.3 Density Transfer, and the Schedule ‘A’ Land Use Map.
This guide is intended to provide a greater degree of
certainty regarding the purpose and value of community
benefit contributions that may occur in conjunction with
development applications. Contributions of this nature
help ensure that the City is able to provide amenities to
meet the needs of our growing community.
Owners and applicants are reminded that OCP and
rezoning applications are at Council’s absolute
discretion. While these guidelines provide a framework
for determining community benefits related to rezoning
applications, Council may reduce, increase or reject any
application.
2. Bonus Categories
The graphic to the right describes two types of density
bonuses. Community Benefit options applicable to each
of these bonus categories are outlined in Section 3 of
this policy.
Category 'B' Bonus:
Up to OCP Schedule 'A' Max. Bonus
An increase in density that exceeds the OCP
Schedule 'A' Densityup to the maximum
bonus amount set out in the OCP. This type
of bonus requires a rezoning, which may
include a Town Hall meeting as well as a
Public Hearing.
Category 'A' Bonus:
Up to OCP Schedule'A' Density
An increase in density that does not exceed
the OCP Schedule 'A' Density. This can include
lands that are pre-zoned with a density
bonus, as well as lands that are rezoned
through a site specific rezoning process with
a density bonus.
Outright Zoning:
The amount of density permitted on an
outright basisin the Zoning Bylaw.
Outright Zoning
OCP Schedule 'A' Density Limit
OCP Schedule 'A' Max. Bonus
Page 3 of 7 Document: 1268321-v3
3. Community Benefit Categories
Amenity Fund Contribution Secured Rental Housing Employment Generating Use Heritage Conservation
Lonsdale Regional City Centre - $140 A) 100% Rental Housing Additional Commercial Floor Area
Other Locations - $110 Conditions:
See Schedule 1 Conditions:
Conditions:
B) Non-Market Rental Housing
Conditions:
• Must be secured in perpetuity
• Not applicable for existing rental sites
C) Rental Retention
Conditions:
$20 or Negotiated Contribution Additional Commercial Floor Area
($ per sq. ft. of residential floor area
increase beyond existing zoning)Conditions:
OUTRIGHT ZONING
Maintaining Existing Rental Building with
Bonus Density Transfer to Another Site
• A recipient site for the density transfer
must be determined in advance at the
City's discretion
• A business plan must outline how the
existing building on the donor site will
be repaired and upgraded
No Amenity Fund Contribution is
suggested for Secured Rental
Housing projects
Category 'A' BonusUp to Schedule 'A' Density30% of Bonus Amount Provided As Non-
Market Rental Housing
Bonus for Restoration and
Preservation Determined
through Rezoning
• Below market req. to be determined
through Housing Action Plan (HAP)
($ per sq. ft. of residential floor area
increase beyond existing zoning)
• A portion of the rental units must be
rented at below market rates
below market / affordable rates
• Can be combined with a cash
contribution to reach 100% of
Maximum Bonus
1 sq. ft. Bonus for every 1 sq. ft. of
Commercial Floor Area provided
beyond 1.0 FSR Up to Schedule 'A' Max. BonusCategory 'B' BonusBonus for Restoration and
Preservation Determined
through Rezoning
1 sq. ft. Bonus for every 1 sq. ft. of
Commercial Floor Area provided
beyond 1.0 FSR
• Amenity Fund Contributions may be
negotiated only in unique
circumstances
• Sites with existing rental units are
not eligible for a bonus except for
Secured Rental Housing
• Sites with existing rental units are
not eligible for a bonus except for
Secured Rental Housing
Page 4 of 7 Document: 1268321-v3
4. Applying the Guidelines
These guidelines should be read in conjunction with other City policies. Please note that:
The Community Benefit options outlined in Section 3 are intended as guidelines and alternatives may be considered by Council in unique circumstances.
This could include the provision of on-site community amenities rather than a contribution to an amenity fund, for example. On-site community
amenities would be determined based on community needs and must match the value of the bonus density.
Infrastructure upgrades needed to accommodate a development or mitigate development impacts may be required in addition to public benefits or
amenity fund contributions.
All development applications must provide bylaw-required infrastructure upgrades and contributions, Development Cost Charges, and other applicable
fees.
Community Benefits for OCP amendments are negotiated on a case by case basis considering the nature and extent of the change and community
needs.
Any application which involves the displacement of existing tenants must be accompanied by a Tenant Relocation Strategy;
The guidelines are not applicable for properties designated Residential Level 1 or Residential Level 2 in the Official Community Plan.
5. Allocating Cash Community Benefit Contributions
Cash contributions for Community Benefits are to be applied to the Community Amenity Reserve Fund and Affordable Housing Reserve Fund. These funds
are used to ensure a high quality of life as the community grows. These Funds specifically provide for the following Community Benefits:
Community Amenity Reserve Fund
Contributions to this fund will be used to provide City-serving amenities. This includes, but is not limited to:
Harry Jerome Community Recreation Centre;
Waterfront Amenity Spaces;
Park and public open space improvement;
Child Care Facilities;
Museum;
Other Civic Amenities.
Affordable Housing Reserve Fund
Providing new non-market and special needs housing units.
Page 5 of 7 Document: 1268321-v3
Community Benefit Cash Contributions shall generally be allocated as indicated in the table below. These funds shall be spent at Council’s discretion as per
the terms of the Bylaws establishing these funds, as amended from time to time. These funds shall be allocated to future projects based on identified
community needs.
Percentage Public Benefits Fund
80% Civic Facilities /
Community Amenity Space
Community Amenity Reserve Fund
20% Affordable and Rental Housing Affordable Housing Reserve Fund
6. Monitoring
The Amenity Fund Contribution amounts shall be updated periodically to reflect community needs and changing market conditions. The allocation of
Amenity Fund Contribution amounts to individual reserve funds will be reviewed annually in conjunction with the City’s Financial Plan in order to ensure
alignment with Council priorities.
A summary of Amenity Fund Contributions received will be prepared and presented annually.
Page 6 of 7 Document: 1268321-v3
Schedule 1: Category B Bonus Area / Lonsdale Regional City Centre Boundary
Page 7 of 7
Document: 1268321-v3
Appendix 1: Definitions
Amenity Fund Contribution means a cash or in-kind contribution toward Community Benefits provided in return for a rezoning or
OCP Amendment.
Community Amenity is a defined physical space that provides direct or indirect Community Benefits to the community and includes,
but is not limited to, recreation facilities, child care facilities, museum, library, offices for non-profit organizations, cultural facilities,
heritage conservation, civic and institutional uses, district heating utility, community meeting space and employment-generating
offices.
Community Benefits are the wide range of benefits achieved in the public interest to support the Goals and Objectives of the OCP and
realized in part through Amenity Fund Contributions and Community Amenities achieved through rezoning or density bonusing.
Density is the Floor Space Ratio that can be achieved on a parcel, as a calculation of Gross Floor Area over site area.
Density Bonus is additional density provided in return for Community Benefits.
Floor Space Ratio (FSR) is a method of calculating density and controlling the size of building that can be built on a property. The FSR
multiplied by the lot area determines the maximum size of building.
Land Use Designation means the permitted uses and densities as outlined in Schedule ‘A’ of the Official Community Plan.
OCP Maximum Bonus means the highest Floor Space Ratio increase that can be achieved on a site through a Category ‘B’ Bonus, as per
the OCP (excludes density transfers). All such density bonuses are subject to a rezoning and enhanced public process.
OCP Schedule ‘A’ Density means the density permitted for a given Land Use Designation in the OCP, under the Schedule A Land Use
Map.
Outright Zoning means the maximum Floor Space Ratio that can be realized on a site under existing zoning through a Building Permit
without any density bonus.
March 2014
The Short Guide - Community Amenity
Contributions: Balancing Community
Planning, Public Benefits and Housing
Affordability
Ministry of Community, Sport and Cultural Development
APPENDIX F
The Short Guide - Community Amenity i Ministry of Community, Sport
Contributions: Balancing Community Planning, and Cultural Development
Public Benefits and Housing Affordability
Acknowledgements
This guide was drafted in consultation with numerous local governments, the development and building
sectors, and the legal and academic communities. The Ministry would like to thank everyone who
contributed to the development of this guide.
Ministry of Community, Sport and Cultural Development
Contact the Ministry of Community, Sport and Cultural Development for answers to questions about the
material contained in this guide or other aspects of community amenity contributions.
Ministry of Community, Sport and Cultural Development
Local Government Division
Intergovernmental Relations and Planning
PO Box 9841 Stn. Prov. Govt.
Victoria, B.C. V8W 9T2
Phone: 250 387-4037
Website: www.cscd.gov.bc.ca/lgd/contacts/department.htm
Disclaimer
The information contained in this guide is provided as general reference and, while all attempts have
been made to ensure the accuracy of the material, the guide is not a substitute for provincial legislation
and it does not constitute legal advice.
The Short Guide - Community Amenity ii Ministry of Community, Sport
Contributions: Balancing Community Planning, and Cultural Development
Public Benefits and Housing Affordability
Community Amenity Contributions: Balancing Community Planning,
Public Benefits and Housing Affordability
Table of Contents
Purpose of the Short Guide to Community Amenity Contributions 1
CACs Are Both an Opportunity and a Risk 1
CACs Can Impact Housing Affordability 1
Exhibit 1: Impact of CACs on the price developers can pay for the land 2
Exhibit 2: A simplified comparison - impact of CACs on housing prices 2
Summary of Recommended Practices for CACs 3
The Short Guide – Community Amenity 1 Ministry of Community, Sport
Contributions: Balancing Community Planning, and Cultural Development
Public Benefits and Housing Affordability
Purpose of the Short Guide to Community Amenity Contributions
When a local government rezones land, it usually increases the land’s value which provides a
financial benefit to the applicant, usually the owner or a developer. Increasingly, local
governments are seeking to capture part of that financial benefit in order to help fund new
infrastructure or provide other public benefits. While rezoning land presents an opportunity to
obtain these “community amenity contributions” (CACs), there are also some important legal and
public policy risks that need to be considered.
To help local governments appreciate the opportunities and risks of obtaining CACs, the Ministry of
Community, Sport and Cultural Development has produced a guide, “Community Amenity
Contributions: Balancing Community Planning, Public Benefits and Housing Affordability”. The
purpose of this Short Guide is to provide the highlights of the full length guide. Those interested in
more detailed information should view the full length document available on the Ministry’s
website: http://www.cscd.gov.bc.ca/lgd/intergov_relations/library/CAC_Guide_Full.pdf
CACs Are Both an Opportunity and a Risk
Growth creates demands for new or expanded infrastructure and amenities. The cost of meeting
these demands can be substantial. While provincial legislation allows local governments to require
developers to provide infrastructure, such as roads, parks, water, drainage and sewer facilities, not
all impacts of development are fully covered by the legislation. Local governments wanting to
recover the full costs of providing infrastructure and community amenities associated with growth,
such as recreation facilities or fire halls, are increasingly looking for alternative means of funding,
including CACs secured during the rezoning process.
Before deciding if and how to pursue CACs, however, local governments need to ensure that these
CACs are obtained legally, fairly and in a way that maintains public confidence in the local
government and its community plan.
Local governments do not have legal authority to require applicants for rezoning to pay CACs. They
must ensure that any CACs are obtained as part of a negotiation process. Local governments must
also not commit to pass a rezoning bylaw on the condition that CACs are provided. Council and
regional board members are legally required to remain open-minded on a proposed rezoning, until
they have heard the public’s perspectives at the public hearing.
It is important to keep in mind that zoning is intended to implement the community plan and
should not be seen as a revenue source. Being perceived to be “selling zoning” can undermine
public confidence in the community plan and the council/regional board’s commitment to the plan.
CACs Can Impact Housing Affordability
Another important consideration is the relationship between CACs and housing affordability. If not
managed carefully, CACs have the potential to decrease the supply of new housing and increase
housing prices. In a nutshell, a housing developer faced with significant CACs cannot simply
increase the selling price of the units, as the selling price is set by the market.
The Short Guide - Community Amenity 2 Ministry of Community, Sport
Contributions: Balancing Community Planning, and Cultural Development
Public Benefits and Housing Affordability
Labour, materials and other construction costs are also fixed. Choosing to reduce their return on
investment to absorb these additional costs is also not usually an option. To secure financing, a
developer needs to ensure that their pro forma shows a normal financial return. As illustrated in
Exhibit 1, the only practical option for the developer is to try and offset the cost of CACs by
reducing the amount they offer to land owners to buy the site.
Market price = construction costs + return on investment + costs of land + CACs
Exhibit 1: Impact of CACs on the price developers can pay for the land
In land markets where supply is limited, as in many of B.C.’s growing communities, large CACs leave
fewer dollars for developers to purchase land. If land owners are reluctant to sell for a reduced
price, developers do not proceed to develop, resulting in a reduction in the supply of new housing,
which in turn contributes to higher housing prices (as illustrated below in Exhibit 2).
Exhibit 2: A simplified comparison - impact of CACs on housing prices
Without CACs:
With
substantial
CACs: +
The above diagrams show that while CACs cannot directly increase the price of housing for a
particular development, if they are widely used, CACs can push up prices in the overall market.
To ensure that housing affordability is not being compromised, local governments need to ensure
that CACs are kept at a modest level. A policy of trying to maximize the amount of CACs risks
driving up housing prices.
Selling price
is fixed by
the market
Costs of
materials, labour
etc. are fixed
Return on investment
to secure financing
Without CACs, the
remaining $ goes to
buying the land
Added cost of CACs
reduces price
developers bid for land
Initial market
price for land
Developer buys
and builds
Developer
bids for land
Housing supply
meets demand
Market prices
remain stable
CACs
Developer
LOWERS bid
for land
Initial market
price for land
Reduces land
owner incentive/
willingness to sell
Housing supply
does NOT meet
demand
Market prices
INCREASE
Fewer units built
The Short Guide - Community Amenity 3 Ministry of Community, Sport
Contributions: Balancing Community Planning, and Cultural Development
Public Benefits and Housing Affordability
Summary of Recommended Practices for CACs
The following outlines recommended practices for local governments currently, or considering,
using, CACs:
1. Avoid Legal Risk and Maintain Public Confidence
Negotiate, do not impose CACs. A common misperception is that local governments have
authority to impose CACs as a condition of rezoning. In fact, the Local Government Act [s.
931(6)] prohibits this. CACs must be negotiated.
Avoid the perception that zoning is for sale. Elected officials must remain “open-minded”
during the rezoning process, and must not commit to approving a rezoning subject to
CACs. Zoning should not be considered a revenue stream. The perception of “selling
zoning” undermines public confidence in the local government and the community plan.
2. Plan Ahead
Identify potential amenities that could be partly funded through CACs when preparing or
updating the community plan, ideally identifying the priorities at the neighbourhood level.
3. Seek Modest Contributions and Follow an Approach that Balances Community
Amenities and Housing Affordability
The potential impact of CACs on housing affordability is higher where CACs are a significant
portion of the cost of the development.
Since CACs increase the cost of a project, it is important to consider who ultimately pays
for these additional costs, and how they may affect housing supply and housing prices.
This issue is of particular concern in areas where land is in short supply.
Strategies that facilitate an increase in the supply of housing have a positive effect on
affordability.
The impact of CACs will be different in different areas or circumstances, so a flexible
approach is best.
4. Apply Development Cost Charge (DCC) Principles to CACs
Ensure a direct, demonstrable link (‘nexus’) between CACs and the impacts of new
development.
Ensure CACs are proportional to the impact of the development and consistent with the
CACs made by other applicants/developers.
Be transparent about the amount of CACs and how they will be used.
Borrow the principles and practices that apply to DCCs to develop (tables of/schedules of)
estimated CAC amounts.
CACs should only be used for capital costs. Local governments should be sure that they
have the budget capacity to deal with operational and repair costs over time.
5. Engage the Development Community
Be aware of how CACs could impact projects and their viability, to avoid contributing to
higher housing prices.
The Short Guide - Community Amenity 4 Ministry of Community, Sport
Contributions: Balancing Community Planning, and Cultural Development
Public Benefits and Housing Affordability
6. Choosing an Approach to Obtaining Amenities - It is recommended that local
governments consider the following strategies (in order):
Adopt an “affordability by design” approach to writing zoning bylaws – i.e. zones that
allow for design features that reduce the costs of producing housing units and/or
encourage additional units. Examples include reducing or eliminating setbacks and parking
requirements.
Use density bonus zoning – modest levels of density bonus tied to modest contributions,
encourage new development while minimizing the impact on housing affordability.
Set targets for CACs – and be open to negotiation at time of rezoning. These targets should
be modest to minimize impact on housing affordability.
Negotiating CACs based on a “lift” approach is inconsistent with the principles set out in
this Guide, and is the approach most likely to reduce the supply of developable land and
housing, thereby contributing to higher housing costs. The CAC principles set out in this
Guide, including ‘planning ahead’, nexus and proportionality, support an approach that
clearly identifies community needs and the impacts associated with new development, and
links the CAC not to the “lift” in land value, but rather to the cost of providing a package of
amenities that makes sense given the development being proposed.
This Short Guide has outlined for B.C. local governments some of the risks, challenges and
recommended practices related to obtaining CACs. Most of the recommended principles and
practices apply equally to CAC and density bonus approaches. The guide has also described the
relationship between CACs and housing affordability, and encourages practices that do not risk
inadvertently causing housing prices to increase. Since the impact of CACs will vary, it is suggested
that BC local governments be flexible in their approach to obtaining CACs.
The Short Guide - Community Amenity 5 Ministry of Community, Sport
Contributions: Balancing Community Planning, and Cultural Development
Public Benefits and Housing Affordability
Ministry of Community, Sport and Cultural Development