When the Ontario government passed Bill 23 last fall, it cut the overall amount of development charges that municipalities can levy.

Among the changes, municipalities cannot charge more than ten percent of property value for parkland dedication fees when developments are being constructed on five hectares or less. [42(3.3)(a)]

On November 28, 2022, this new rule invalidated Hamilton’s previous development charges bylaw.

Effort Trust argues its 64 residential condo unit development at 71 Main Street in Dundas should pay a post-Bill 23 fee of $190,000 because the final building permit was issued on December 6, 2022.

The City of Hamilton is charging the pre-Bill 23 fee of $836,416.

The difference is $646,416.

Multiple Building Permits: What is the Effective Date?

Building permits for large projects are often issued in phrases.

The shoring permit was issued on May 10, 2022. The final building permit for above-ground construction was issued on December 6, 2022.

The OLT will decide on the wording and intent of the Act regarding fees and phased permits.

Construction Began Before Permits

Adding more complexity to the hearing, the file states the City issued a 25 percent surcharge penalty of $119,392.59 on November 30, stating some of the work completed before this date was beyond the scope of the shoring permit.

Case Management Conference on May 5

A case management conference will be conducted on May 5, 2023 to scope out the issues and set dates for the contested hearing.

Production Details
v. 1.0.0
Published: March 20, 2023
Last edited: March 20, 2023
Author: Joey Coleman
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OLT File Number: OLT-22-004846

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