About Development Charges

Video: The World of Development Charges (MFOA)

Which developments involve a charge?

Development charges may apply if you are:

• constructing a new building.
• making an addition or alteration to an existing building which increases the total floor area or number of units.
• re-developing a property or properties which results in a change of use.
• making interior alterations that result in a change of use to all or part of a building or unit.

Why are development charges collected?

Development charges assist in financing costs associated with growth and development within the city of Vaughan. Every development application is evaluated to determine whether and to what extent development charges apply. Fees collected are used solely for city-building purposes.

What do development charges pay for?

Development charges help fund the increased need for the following services:

• Engineering services
• Public works (garbage, recycling, park maintenance, etc.)
• Community services (swimming, camps, fitness centres, etc.)
• Library services
• Fire and rescue services
• General government
   

When is a development charge payment due?

A development charge is calculated and due on the date a building permit is issued for the land to which a development charge applies (unless otherwise specified by the City). For residential development of a subdivision, the engineering service portion and area-specific development charges are due immediately at the time of entering a subdivision agreement – the balance of the charges is due when the building permit is issued.

Development charges are adjusted semi-annually, without amendment to the current by-laws, as of the first day of January and the first day of July in each year. This is in accordance with the most recent change in Statistics Canada Quarterly, Construction Price Statistics.