Development Charges Bylaw

Whereas:

The council of a municipality may pass a bylaw to impose development charges against land to pay for increased capital costs required because of increased needs for services arising from development in the area to which the bylaw applies (Development Charges Act, 1997, S.O. 1997, c. 27 (the "Act"), s. 2 (1)).

Council has given notice in accordance with section 12 of the Act of its intention to pass bylaw under subsection 2 (1) of the Act.

Council has heard all persons who applied to be heard no matter whether in objection to or in support of the intended bylaw at a public meeting held on March 18. 2025.

Council had before it a report entitled "2024 Development Charges Background Study", dated December 17, 2024, as amended, prepared by Watson & Associates Economists Ltd. (the "Background Study"), wherein it is indicated that the development of any land within the City of Kingston will increase the need for services as defined herein.

Council has determined that the development or redevelopment of land, buildings or structures for residential and non-residential uses will require the provision, enlargement or expansion of the services referenced in Schedule A and council has resolved to meet the increased need for services.

On May 20, 2025, council adopted the Background Study, including its recommendations relating to the establishment of a development charge policy for the City pursuant to the Act.

Also on May 20, 2025, council determined that no additional public meeting was required.

Therefore, council enacts:

1.1 This bylaw may be cited as the Development Charges Bylaw.

1.2 In this bylaw:

Accessory means, where used to describe a use, building or structure, that the use, building or structure is naturally or normally incidental, subordinate in purpose of floor area, or both, and exclusively devoted to a principal use, building or structure;

Affordable residential unit means a residential unit that meets the criteria set out in section 4.1 of the Act;

Agricultural use means lands, buildings or structures located within an agriculture zone as determined under the zoning bylaw applicable to the property, excluding any portion thereof used as a dwelling unit, used or designed or intended for bona fide farm uses, which is not connected to the City’s water services or wastewater services, for the production of crops or the breeding, raising or maintaining of livestock or both, including:

1. the keeping of bees and uses where animals or birds are kept for grazing, breeding, raising, boarding, or training of livestock of all kinds including cattle, swine, sheep, goats, rabbits, poultry, fish, horses, ponies, mules, and fur bearing animals;
2. the tillage of soil, growing and harvesting of vegetables, fruits, field crops, mushrooms, berries, trees, flowers, sod or landscaping materials; the erection and use of greenhouses; woodlots and forest tree uses; the packing, treating, storing and sale of products produced on the farm operation; and other similar uses customarily carried on in the field of general agriculture;
3. such buildings or structures located on the farm operation property that are designed and intended to be used solely for or in connection with the production of crops or livestock including:
   1. barns and silos;
   2. buildings or structures used for the storage and repair of the farm operation’s equipment;
   3. buildings or structures used for the storage or processing of materials used in the production or maintenance of crops or livestock; or

4. buildings or structures used for the processing, packing, treating, storing or sale of the products derived from the farming operation’s production of crops or livestock, or both;

but excluding:

4. on-farm diversified uses, including but not limited to, retail sales activities, banquet facilities, hospitality facilities and gift shops;
5. services related to grooming of household pets; and
6. cannabis production facilities.

Air supported structure means a structure consisting of a pliable membrane which achieves and maintains its shape and support by internal air pressure;

Ancillary residential use means a residential dwelling that would be ancillary to a single detached dwelling, semi-detached dwelling, or rowhouse;

Apartment dwelling means any dwelling unit within a building containing more than four dwelling units where the units are connected by an interior corridor, and despite the foregoing, includes stacked townhouse dwellings;

Assessment Act means the Assessment Act, R.S.O. 1990, c. A.31;

Attainable residential unit means a residential unit that meets the criteria set out in section 4.1 of the Act;

Back-to-back townhouse dwelling means a building containing four or more dwelling units separated vertically by a common wall, including a rear common wall, that does not have a rear yard with amenity area;

Bedroom means a habitable room larger than seven square metres, including a den, study, or other similar area, but does not include a living room, dining room or kitchen;

Board of education means a board as defined in s. 1 (1) of the Education Act, R.S.O. 1990, c. E.2;

Bona fide farm uses means the proposed development that will qualify as a farm business operating with a valid farm business registration number issued by the Ontario Ministry of Agriculture, Food and Rural Affairs and be assessed in the farmland realty tax class by the Ontario Property Assessment Corporation;

Building means a building or structure consisting of a wall, a roof and floor or any of them or a structural system serving the function thereof, and includes an air supported structure, a seasonal air supported structure, tents, and an area attached to and ancillary to a retail development that is covered with a roof-like structure, but does not include a canopy and storage tanks;

Building Code Act means the Building Code Act, 1992, S.O. 1992, c. 23;

Cannabis means:

1. a cannabis plant;
2. any part of a cannabis plant, including the phytocannabinoids produced by, or found in, such a plant, regardless of whether that part has been processed or not;
3. any substance or mixture of substances that contains or has on it any part of such a plant; and
4. any substance that is identical to any phytocannabinoid produced by, or found in, such a plant, regardless of how the substance was obtained;

Cannabis plant means a plant that belongs to the genus cannabis;

Cannabis production facilities means a building or structure, or part thereof, designed, used, or intended to be used for one or more of the following: cultivation, propagation, production, processing, harvesting, testing, alteration, destruction, storage, packaging, shipment or distribution of cannabis where a licence, permit or authorization has been issued under applicable federal law but does not include a building or structure or part thereof solely designed, used, or intended to be used for retail sales of cannabis;

Canopy means a roof-like structure projecting more than 300 millimetres from the exterior face of a building or structure and includes a free-standing roof-like structure constructed on lands used for an automotive fuel station or a drive-through facility;

Capital cost means costs incurred or proposed to be incurred by the City, or a local board thereof, directly or by others on behalf of, and as authorized by, the City or local board,

1. to acquire land or an interest in land, including a leasehold interest;
2. to improve land;

3. to acquire, lease, construct or improve buildings or structures;
4. to acquire, lease, construct or improve facilities including:
   1. rolling stock with an estimated useful life of seven years or more;
   2. furniture and equipment, other than computer equipment;
   3. materials acquired for circulation, reference or information purposes by a library board as defined in the Public Libraries Act, R.S.O. 1990, c. P.44;
5. to undertake studies in connection with any of the matters referred to in clauses (a) to (d);
6. to complete the Background Study under section 10 of the Act; or
7. to pay interest on money borrowed to pay for costs in connection with any of the matters referred to in clauses (a) to (d);

required for the provision of services designated in this bylaw within or outside the City of Kingston;

City means The Corporation of the City of Kingston;

Charitable dwelling means a residential building or structure, a part of a residential building or the residential portion of a mixed-use building maintained and operated by a corporation approved under the Charitable Institutions Act, R.S.O. 1990, c. C.9, for persons requiring residential, specialized or group care and includes a children’s residence under the Child and Family Services Act, R.S.O. 1990, c. C.11, a home or a joint home under the Homes for the Aged and Rest Homes Act, R.S.O. 1990, c. H.13, an institution under the Mental Hospitals Act, R.S.O. 1990, c. M.8, a long-term care home under the Fixing Long-Term Care Act, 2021, S.O. 2021, c. 39, Sched. 1;

Commercial means any non-residential development that is not institutional or industrial;

Correctional group home means a residential building or the residential portion of a mixed-use building containing a single housekeeping unit supervised on a 24-hour basis on site by agency staff on a shift rotation basis, and funded wholly or in part by any government or its agency, or by public subscription or donation, or by any combination thereof, and licensed, approved or supervised by the Province of Ontario as a detention or correctional facility under any general or special act and amendments or replacement thereto, and may contain an office provided that the office is used only for the operation of the correctional group home in which it is located, but does not include any detention facility operated or supervised by the federal government, nor any correctional institution or secure custody and detention facility operated by the Province of Ontario;

Council means the council of the City;

Development means any activity or proposed activity in respect of land that requires one or more of the actions referred to in s. 2 of this bylaw and includes the redevelopment of land or the redevelopment, expansion, extension, or alteration of a use, building or structure;

Development charge means a charge imposed by this bylaw;

Duplex means a building comprising, by horizonal division, two dwelling units;

Dwelling unit means a room or suite of rooms used, or designed or intended for use by, one person or persons living together, in which culinary and sanitary facilities are provided for the exclusive use of such person or persons;

Existing industrial building has the meaning given to it in O. Reg. 82/98, made under the Act, but only includes buildings for which a final inspection has been conducted and passed by a City building inspector, resulting in a closed building permit;

Grade means the average level of finished ground adjoining a building or structure at all exterior walls;

Greenhouse means a building or structure that is primarily constructed of roofs and walls designed to transmit natural light for the growing of such items as flowers, bushes, shrubs, trees, plants, fruits, vegetables, and other types of nursery stock;

Gross floor area means the total floor area measured between the outside of exterior walls, or between the outside of exterior walls and the centre line of party walls dividing the building from another building, or between the centre lines of party walls, of all floors above grade;

Group home means a residential building or the residential portion of a mixed-use building containing a single housekeeping unit which may or may not be supervised on a 24-hour basis on site by agency staff on a shift rotation basis, and funded wholly or in part by any government or its agency, or by public subscription or donation, or by any combination thereof and licensed, approved or supervised by the Province of Ontario for the accommodation of persons under any general or special act and may contain an office provided that the office is used only for the operation of the group home in which it is located;

Hospice means building or portion of a mixed-use building designed and intended to provide palliative care and emotional support to the terminally ill in a home or homelike setting so that quality of life is maintained, and family members may be active participants in care;

Industrial use means uses that are limited to a building or structure used for or in connection with an activity of a class identified by NAICS codes 31–33 (manufacturing) but does not include the sale of commodities to the general public through a warehouse club or retail warehouse, or self-storage or mini-storage facilities;

Institutional means lands, buildings or structures used or designed or intended for use by an organized body, society, health care organization or religious group and includes seniors’ residences and special care/special dwellings;

Institutional development means development of a building or structure intended for use:

1. as a long-term care home under the Fixing Long-Term Care Act, 2021, S.O. 2021, c. 39, Sched. 1;
2. as a retirement home under the Retirement Homes Act, 2010;
3. by any institution of the following post-secondary institutions for the objects of the institution:
   1. a university in Ontario that receives direct, regular, and ongoing operation funding from the Government of Ontario;
   2. a college or university federated or affiliated with a university described in subclause (i); or
   3. an indigenous institute prescribed for the purposes of s. 6 of the Indigenous Institutes Act, 2017, S.O. 2017, c. 34, Sched. 20;

4. as a memorial home, clubhouse, or athletic grounds by an Ontario branch of the Royal Canadian Legion; or
5. as a hospice to provide end-of-life care;

Live-work unit means a building, or part of thereof, which contains, or is intended to contain, both a dwelling unit and non-residential unit and which is intended for both residential use and non-residential use concurrently, and shares a common wall or floor with or without direct access between the residential and non-residential uses;

Local board means a public utility commission, public library board, local board of health, or any other board, commission, committee or body or local authority established or exercising any power or authority under any general or special act with respect to any of the affairs or purposes of the City or any part or parts thereof;

Local services means those services or facilities which are under the jurisdiction of the City and are related to a plan of subdivision or within the area to which the plan relates, required as a condition of approval under s. 51 of the Planning Act or as a condition of approval under s.53 of the Planning Act;

Manufacturing means an activity of a class identified by NAICS codes 31–33;

Mixed use development means a building that is used, designed, and/or designated to be used for both residential and non-residential purposes, including a live-work unit;

Motion picture and video production means lands and buildings designed and used for production, or production and distribution of, motion pictures, videos, television programs or commercials, and is limited to lands or buildings used for or in connection with an activity of a class identified by North American Industry Classification System 51211 (motion picture and video production);

Multiple dwelling means any dwelling other than a single detached dwelling, a semi-detached dwelling and an apartment dwelling;

Municipal Act, 2001 means the Municipal Act, 2001, S.O. 2001, c.25;

means the North American Industry Classification System (NAICS) Canada 2017 Version 3.0 or any substitute thereto;

Non-industrial means any non-residential building or structure which is not an industrial use, and includes commercial and retail uses and institutional uses;

Non-profit housing development means development of a building or structure intended for use as residential premises by:

1. a corporation to which the Not-for-Profit Corporations Act, 2010, S.O. 2010, c. 15, applies, that is in good standing under that Act and whose primary object is to provide housing;
2. a corporation without share capital to which the Canada Not-for-profit Corporations Act, S.C. 2009, c. 23, applies, that is in good standing under that Act and whose primary objective is to provide housing; or
3. a non-profit housing co-operative that is in good standing under the Co-operative Corporations Act, R.S.O. 1990, c. C.35;

Non-residential uses means a building or structure used for other than a residential use, including hotels, motels, bed and breakfasts and retirement homes that are not a dwelling unit and the non-residential portion of a live/work unit;

On-farm diversified use means a use, occurring entirely and exclusively within a detached building that is secondary and subordinate to the active and principle agricultural use occurring on a property and integrated within a farm cluster of buildings which must include a dwelling, and may include uses that produce value added agricultural products or provide a service that is supportive of regional agri-business;

Owner means the owner of land or a person who has made application for an approval for the development of land upon which a development charge is imposed;

Planning Act means the Planning Act, R.S.O. 1990, c. P.13;

Place of worship means that part of a building or structure used for worship and that is exempt from taxation as a place of worship under the Assessment Act, R.S.O. 1990, c. A.31, but does not include portions of buildings used for any commercial or other institutional uses, including daycare facilities, private schools, and entertainment facilities, or for residential purposes;

Regulation means any regulation made under the Act;

Rental housing means development of a building or structure with four or more dwelling units all of which are intended for use as rented residential premises;

Residential uses means lands, buildings, structures, or portions thereof used, or designed or intended for use as a home or residence of one or more individuals, including a single detached dwelling, a semi-detached dwelling, a multiple dwelling, an apartment dwelling, and the residential portion of a mixed-use building or structure;

Research and development uses means gross floor area in a building which is not exempt from assessment and taxation under the Assessment Act and for a corporation will receive federal or provincial scientific research and experimental development income tax credits;

Retirement home or lodge means a residential building or the residential of a mixed-use building which provides accommodation primarily for retired persons or couples where each private bedroom or living accommodation has a separate private bathroom and separate entrance from a common hail but where common facilities for the preparation and consumption of food are provided, and common lounges, recreation rooms and medical care facilities may also be provided;

Rowhouse means a building divided into three or more dwelling units, each of which has a separate entrance and access to grade;

Seasonal air-supported structure means an air-supported structure that is raised or erected for a maximum of six months in any given year to allow for the use of an outdoor sports field or portion thereof during the winter season for related activities and does not include portions of the structure that are permanent, including washrooms, change rooms, canteens, and concession stands;

Seasonal structure means a building or structure placed or constructed on land and used, designed or intended for use for a non-residential purpose during a single season of the year for a maximum of four months where such building or structure is designed to be easily demolished or removed from the land at the end of the season;

Second residential unit means a separate residential dwelling unit, which is ancillary to a principal residential dwelling unit, and includes a separate, clearly defined, safe access, kitchen, washroom, and living space;

Semi-detached dwelling means a building divided vertically into two dwelling units each of which has a separate entrance and access to grade;

Services or service means those services and class of services set out in

Schedule A to this bylaw;

Single detached dwelling means a completely detached building containing only one dwelling unit;

Special care/special dwelling means a building, or part of a building, :

1. containing two or more dwelling units which units have a common entrance from street level;
2. where the occupants have the right to use, in common with other occupants, halls, stairs, yards, common rooms and accessory buildings;
3. that is designed to accommodate persons with specific needs, including independent permanent living arrangements;
4. where support services, such as meal preparation, grocery shopping, laundry, housekeeping, nursing, respite care and attendant services are provided at any one or more various levels; and
5. the residential building or the residential portion of a mixed-use building maintained and operated as a long-term care home under the Fixing Long-Term Care Act, 2021, S.O. 2021, c. 39, Sched. 1;

and includes a retirement home or lodge, a charitable dwelling, a group home, a correctional group home, a hospice and a long-term care home;

Stacked house means a building, other than a duplex, rowhouse or back-to-back townhouse, containing at least three dwelling units, each dwelling unit separated from the other vertically and/or horizontally and each dwelling unit having a separate entrance to grade;

Temporary building means a non-residential building or structure constructed or placed upon lands which is demolished or removed from the lands within three years of building permit issuance, and includes sales trailers and temporary office trailers but excludes a mobile home;

Temporary venue means a building or structure that is placed or constructed on land and is used or intended for use for a particular event where the event has a duration of one week or less and the building or structure is erected immediately before the beginning of the event and is demolished or removed from the land immediately following the end of the event;

Treasurer means the person appointed by the City as treasurer and includes the treasurer’s designate;

Warehouse use means lands, buildings or structures used or designed for the storage of goods which will be sold elsewhere or subsequently transported to another location for sale, including the storage of goods by a distributor or supplier who markets goods for retail sale at other locations, provided that the warehouse use is located within an industrial zone as defined in the Zoning Bylaw, but does not include:

1. mini warehouses for the storage of household or other articles;
2. any retail or commercial uses; and
3. locations which sell directly to the ultimate consumer of the goods; and

Zoning Bylaw means City of Kingston Bylaw Number 2022–62.

1.3 For the purposes of interpreting this bylaw:

1. a reference to any legislation, regulation, or bylaw or to a provision thereof includes a reference to any legislation, regulation or bylaw enacted, made or passed in substitution thereof or amendment thereof;
2. any reference to legislation includes all of the regulations made thereunder;
3. "include", "includes" and "including" indicate that the subsequent list is not exhaustive; and
4. "to provide" includes to furnish, to offer, to perform, and to solicit, and "providing" and "provision" have corresponding meanings.

2.1 Every owner of land in the City of Kingston must pay to the City a development charge as calculated in this bylaw whenever the owner’s lands are developed, and the development requires an approval described in s. 2. 2.

2.2 Subject to section 2. 3, development charges will be calculated and collected in accordance with the provisions of this bylaw and be imposed on land where the development requires:

1. the passing of a zoning bylaw or an amendment to the Zoning Bylaw under section 34 of the Planning Act;
2. the approval of a minor variance under section 45 of the Planning Act; a conveyance of land to which a bylaw passed under subsection 50 (7) of the Planning Act applies;
3. the approval of a plan of subdivision under section 51 of the Planning Act;
4. a consent under section 53 of the Planning Act;
5. the approval of a description under section 50 of the Condominium Act, 1998, S.O. 1998, c. 19; or
6. the issuing of a permit under the Building Code Act, 1992, in relation to a building or structure.

2.3 Section 2.1 does not apply in respect to:

1. local services installed or paid for by the owner within a plan of subdivision or within the area to which the plan relates, as a condition of approval under section 51 of the Planning Act; or
2. local services installed or paid for by the owner as a condition of approval under section 53 of the Planning Act.

3.1 Development charges against land will be imposed, calculated, and collected in accordance with the base rates set out in Schedule B which relate to the services set out in Schedule A.

3.2 The development charge applicable to land shall be calculated as follows:

1. in the case of residential development, or the residential portion of a mixed-use development, including a dwelling unit accessory to a non-residential use and, in the case of a mixed-use building or structure, on the residential uses in the mixed use building or structure, and the residential portion of a live-work unit, according to the type of residential unit, and calculated with respect to each of the services and class of services according to the type of residential use, based upon the number and type of dwelling units, in accordance with Schedule B;
2. in the case of non-residential development, or in the case of a mixed-use building or structure, on the non-residential uses in the mixed-use building or structure, and the non-residential portion of a live-work unit, and calculated with respect to each of the services and class of services, based on the gross floor area of such development, in accordance with Schedule B.

3.3 Notwithstanding clause 3.2 (b), where it is not possible for the treasurer to determine with sufficient specificity if the intended use for proposed buildings or structures or units within such buildings or structures or units thereof, for which an application for building permit has been received within an industrial use as defined under the Zoning Bylaw, the proposed use will be deemed to be a non-industrial use for purposes of calculation of the development charge.

3.4 If at the time of the approval for occupancy of such buildings or structures or units within such buildings or structures or units, it can be determined with sufficient specificity that the use falls within the definition of an industrial use, then the City will provide a refund in accordance with section 14.3 of this bylaw.

4.1 The development charges imposed under this bylaw are payable in full, subject to the exemptions herein, from the effective date of this bylaw.

4.2 Every applicant for a building permit that seeks an exemption to this bylaw must make an application in a form approved by the treasurer in which the applicant certifies that its proposed use will qualify for the exemption upon issuance of the occupancy permit and must not be materially altered in any manner such that the use would no longer qualify for the exemption granted in this bylaw for a period of three years subsequent to the issuance of the occupancy certificate and if the application is approved by the treasurer must enter into such agreements as required by the treasurer.

4.3 The treasurer will coordinate the review of applications for exemptions and the circulation of such applications, where appropriate, to other municipal departments and/or external agencies with an interest in the matter.

4.4 Upon approval by the treasurer, the requirement to pay development charges will be deferred for a period of three years subsequent to the issuance of an occupancy permit and subject to section 4.5 will at the end of that period be permanently waived and exempted.

4.5 In the event that the actual use does not conform to the use described in the application for exemption as approved and does not qualify otherwise for an exemption pursuant to this bylaw, at the time of issuance of the occupancy permit or at any time within three years subsequent to issuing of the occupancy permit, the applicant will be deemed to not qualify for the exemption and the applicant must forthwith pay all fees that were deferred pursuant to this bylaw failing which the amount unpaid will be added to the tax roll and collected in the same manner as taxes.

5.1 Subject to section 5.2, charges payable under this bylaw apply to all lands in the City of Kingston, whether or not the land or use is exempt from taxation under section 3 of the Assessment Act.

5.2 This bylaw does not apply to land that is owned by and used for the purposes of:

1. a board as defined in the Education Act, R.S.O. 1990, c. E.2;
2. any municipality or local board thereof; or
3. the County of Frontenac or a local board thereof.

Industrial Use

6.1 Subject to section 6.2, the City will exempt an industrial use from the charges payable under this bylaw where an application for exemption for a proposed industrial use has been approved pursuant to sections 4.2 to 4.5.

6.2 Development charges are exempt for the industrial use portion only and payable for the allowable non-industrial portion at permit issuance, as permitted by the Zoning Bylaw, currently at 25 per cent. Once the entire building has been occupied, the City will refund all or part of the 25 per cent allowable non-industrial portion based on confirmation of the property tax assessment by the Municipal Property Assessment Corporation.

6.3 The City will exempt motion picture and video production from the charges payable under this bylaw where an application for exemption for a proposed motion picture and video production use has been approved pursuant to sections 4.2 to 4.5.

Lands Designated as Part of a Community Improvement Area

6.4 The City may exempt lands from this bylaw where the lands are designated in the City’s Official Plan as part of the community improvement area and the City implements a Community Improvement Plan by bylaw which includes the said lands.

Rules with Respect to Exemptions for Intensification of Existing Housing

6.5 Notwithstanding article 2, no development charge will be imposed with respect to developments or portions of developments that result in:

1. an enlargement to an existing dwelling unit;
2. a second residential unit in an existing detached dwelling, semi-detached dwelling, or rowhouse on a parcel of land on which residential use, other than ancillary residential use, is permitted, if all buildings and structures ancillary to the existing detached dwelling, semi-detached dwelling or rowhouse cumulatively contain no more than one residential unit;
3. a third residential unit in an existing detached dwelling, semi-detached dwelling, or rowhouse on a parcel of land on which residential use, other than ancillary residential use, is permitted, if no building or structure ancillary to the existing detached dwelling, semi-detached dwelling or rowhouse contains any residential units;
4. one residential unit in a building or structure ancillary to an existing detached dwelling, semi-detached dwelling or rowhouse on a parcel of land, if the existing detached dwelling, semi-detached dwelling or rowhouse contains no more than two residential units and no other building or structure ancillary to the existing detached dwelling, semi-detached dwelling or rowhouse contains any residential units;
5. a second residential unit in a new detached dwelling, semi-detached dwelling or rowhouse on a parcel of land on which residential use, other than ancillary residential use, is permitted, if all buildings and structures ancillary to the new detached dwelling, semi-detached dwelling or rowhouse cumulatively contain no more than one residential unit;
6. a third residential unit in a new detached dwelling, semi-detached dwelling or rowhouse on a parcel of land on which residential use, other than ancillary residential use, is permitted, if no building or structure ancillary to the new detached dwelling, semi-detached dwelling or rowhouse contains any residential units;

7. one residential unit in a building or structure ancillary to a new detached dwelling, semi-detached dwelling or rowhouse on a parcel of land, if the new detached dwelling, semi-detached dwelling or rowhouse contains no more than two residential units and no other building or structure ancillary to the new detached dwelling, semi-detached dwelling or rowhouse contains any residential units; or
8. in an existing rental residential building, which contains four or more residential dwelling units, the creation of the greater of one residential dwelling unit or one per cent of the existing residential dwelling units.

6.6 Where an owner makes an application for a building permit for the construction of a second residential unit on an existing lot where a principal residential dwelling has already been established, no development charge will be applicable to the second residential unit provided that:

1. the second residential unit is permitted by and meets the regulations of the Zoning Bylaw; and
2. the second residential unit meets the criteria set out in the City’s Official Plan.

Rules with Respect to Exemptions for Intensification of New Housing

6.7 Where an owner makes an application for a building permit for the construction of a new single detached dwelling, semi-detached dwelling or rowhouse that is being purpose-built to contain a second residential unit, no development charge will be applicable to the second residential unit provided that:

1. the second residential unit is permitted by and meets the regulations of the Zoning Bylaw; and
2. the second residential unit meets the criteria set out the City’s Official Plan.

Other Exemptions

6.8 Development charges will not apply to lands, buildings or structures used or to be used for the purposes of:

1. the portion of lands, buildings, or structures used or intended to be used as a place of worship;

2. the portion of lands, buildings, or structures used or intended to be used for the purposes of a cemetery or burial ground exempt from taxation under the Assessment Act;
3. an agricultural use;
4. a seasonal air-supported structure, save and except any portion of the structure that is permanent, including washrooms, change rooms, canteens, and concession stands;
5. a seasonal structure;
6. a temporary venue
7. a temporary building or structure;
8. land vested in or leased to a publicly assisted university where it is intended to be occupied and used by the university that receives direct, regular, and ongoing operating funds from the Government of Ontario for the purposes of post-secondary education if the development is intended to be occupied and used by the university;
9. a non-profit housing development;
10. an affordable inclusionary residential unit;
11. an affordable residential unit;
12. an attainable residential unit.

6.9 The development of any part of a building or structure intended for use as a long-term care home, as defined in subsection 2 (1) of the Fixing Long-Term Care Home Act, 2021, is exempt from development charges.

Rules with Respect to an Industrial Expansion Exemption

6.10 Notwithstanding section 2 of this bylaw, if a development includes the enlargement of the gross floor area of an existing industrial building, the development charge that is payable will be:

1. if the existing gross floor area is enlarged by 50 per cent or less, the amount of the development charge in respect of the enlargement is zero; or

2. if the existing gross floor area is enlarged by more than 50 per cent, the development charge is payable on the amount by which the enlargement exceeds 50 per cent of the gross floor area before the enlargement.

6.11 For the purpose of this section, the terms "gross floor area" and "existing industrial building" have the meaning given to them in O. Reg. 82/98 made under the Act.

Rules with Respect to a Temporary Building or Structure Exemption

6.12 The City may exempt a temporary building or structure from the charges payable under this bylaw where an application for exemption for the proposed temporary building or structure has been approved in accordance with section 4.1 of this bylaw, subject to the following conditions:

1. that the temporary building or structure is accessory to or ancillary to a permitted use on the property;
2. that the status of the building or structure as a temporary building or structure is maintained in accordance with the provisions of this bylaw; and
3. in the event that the temporary building or structure is deemed by the City to no longer be temporary, the development charges will become immediately due and payable and will be calculated in accordance with Schedule B to this bylaw as of the date that the building or structure is deemed to no longer be temporary.

7.1 Nothing in this bylaw prevents council from requiring, as a condition of an agreement under section 51 or 53 of the Planning Act, that the owner, at their own expense, must install or pay for such local services, within the plan of subdivision or within the area to which the plan relates, as council may require.

8.1 Subject to section 8.2, where two (2) or more of the actions described in section 2.2 are required before land to which a development charge applies can be developed, only one development charge will be calculated and collected in accordance with this bylaw.

8.2 If two or more of the actions described in section 2.2 occur at different times, and if the subsequent action has the effect of increasing the need for services as set out in Schedule A, an additional development charge on the additional residential units and non-residential gross floor area will be calculated and collected in accordance with this bylaw.

9.1 The City may enter an agreement with an owner under section 38 of the Act to give the owner a credit towards the development charge applicable to the owner’s development where the agreement requires the owner to perform work that relates to a service to which this Bylaw relates. The agreement will provide that the credit will be equal to the reasonable cost to the owner of providing the services to which this bylaw relates. In no case will the agreement provide for a credit that exceeds the total development charge payable by an owner to the CIty in respect of the development to which the agreement relates.

9.2 In any agreement under section 9.1, council may also give a further credit to the owner equal to the reasonable cost of providing services in addition to, or of a greater size or capacity than, those that would otherwise be required under this bylaw.

9.3 The credit provided for in subsection 9.2 will not be charged to any development charge reserve fund.

10.1 Where all or part of a residential, non-residential, or mixed-use building or structure is demolished or redeveloped, otherwise applicable development charges will be reduced as calculated in subsection 10.2 below, provided that:

1. the residential, non-residential, or mixed-use building or structure was occupied within five years prior to the issuance of a building permit for redevelopment of the lands; and
2. in the case where the residential, non-residential, or mixed-use building or structure is demolished, a demolition permit has been issued within five years prior to the issuance of a building permit for redevelopment of the lands.

10.2 Where a residential, non-residential, or mixed-use building or structure qualifies for a reduction in otherwise applicable development charges pursuant to section 10.1 above, the amount of the charge will be reduced as follows:

1. in the case of a residential building or structure, or the residential uses in a mixed-use building or structure, which is being redeveloped for residential or non-residential purposes, the development charges will be reduced by an amount calculated by multiplying the applicable development charge under this bylaw by the number of dwelling units that have been or will be demolished or converted to another type of residential use or non-residential use, and according to the type of dwelling unit so demolished or converted; and
2. in the case of a non-residential building or structure, or the non-residential uses in a mixed-use building or structure, which is being redeveloped for residential or non-residential purposes, the development charges payable at the time of building permit issuance will be reduced by an amount calculated by multiplying the applicable development charge under this bylaw by the existing gross floor area that has been or will be converted or demolished for new residential or non-residential uses, and according to the type of non-residential floor area or use so demolished or converted. However, development charges will be imposed on all additional residential and non-residential gross floor area in excess of the existing non-residential gross floor area that has been or will be converted or demolished.

10.3 A reduction will not exceed the amount of the development charge that would otherwise be payable, and no reduction is available if the existing land use is exempt under this bylaw or a previous bylaw.

10.4 Redevelopment credits/charges will apply if the use changes or the commercial component increases.

11.1 Development charges will be calculated and payable in full in money or by provision of services as may be agreed upon, or by credit granted under the Act, on the date that the first building permit is issued in relation to a building or structure on land to which a development charge applies.

11.2 Where development charges apply to land in relation to which a building permit is required, the building permit will not be issued until the development charge has been paid in full.

11.3 Notwithstanding sections 11.1 and 11.2, council may, from time to time and at any time, enter into agreements providing for all or any part of a development charge to be paid before or after it would otherwise be payable, in accordance with section 27 of the Act.

11.4 Notwithstanding sections 11.1 and 11.2, development charges for rental housing and institutional developments are due and payable in six installments commencing with the first installment payable on the date of occupancy, and each subsequent installment, including interest at the prescribed rate as per the Act, payable on the anniversary date each year thereafter.

11.5 Notwithstanding sections 11.1 and 11.4, where the development of land results from the approval of a site plan or amendment to the Zoning Bylaw received and approved between January 1, 2020, and June 5, 2024, and the approval of the application occurred within two years of building permit issuance, the development charges under section 2 will be calculated based on the rates set out in Schedule B on the date of the planning application was made, including interest at the prescribed rate. Where both planning applications apply, development charges will be calculated on the rates set out in Schedule B, on the date of the later planning application, including interest at the prescribed rate.

11.6 Notwithstanding sections 11.1 and 11.4, where the development of land results from the approval of a site plan or amendment to the Zoning Bylaw received on or after January 1, 2020, where the approval of the application occurred on or after June 6, 2024, and the approval of the application occurred within 18 months of building permit issuance, the development charges under section 2 will be calculated based on the rates set out in Schedule B on the date of the planning application, including interest at the prescribed rate. Where both planning applications apply, development charges will be calculated on the rates set out in Schedule B, on the date of the later planning application, including interest at the prescribed rate.

11.7 Interest for the purposes of sections 11.4, 11.5, and 11.6 will be determined based on the prescribed rate in the Act, where:

1. the base rate will be equal to the average prime rate, plus one per cent on:
   1. October 15 of the previous year if the adjustment date is January 1
   2. January 15 of the same year if the adjustment date is April 1;
   3. April 15 of the same year if the adjustment date is July 1; and

4. July 15 of the same year if the adjustment date is October 1;

11.8 The average prime rate, on a particular date means, the mean, rounded to the nearest hundredth of a per cent, of the annual rates of interest announced by each of the Royal Bank of Canada, the Bank of Nova Scotia, the Canadian Imperial Bank of Commerce, the Bank of Montreal and the Toronto-Dominion Bank to be its prime or reference rate of interest in effect on that date for determining interest rates on Canadian dollar commercial loans by that bank in Canada.

12.1 The development charge payable for rental housing developments will be reduced based on the number of bedrooms in each unit as follows:

1. three or more bedrooms – 25 per cent reduction;
2. two bedrooms – 20 per cent reduction; and
3. all other bedroom quantities – 15 per cent reduction.

13.1 Monies received for the payment of development charges will be used only in accordance with the provisions of section 35 of the Act.

13.2 Monies received from payment of development charges under this bylaw will be maintained in separate reserve funds as follows:

1. services related to a highway;
2. fire protection services;
3. policing services;
4. ambulance services;
5. transit services;
6. stormwater services;
7. wastewater services;
8. water services;
9. parks and recreation services;
10. library services;
11. growth-related studies;
12. Provincial Offences Act services including bylaw enforcement; and
13. waste diversion services.

13.3 The reserve funds created by this bylaw will be maintained in separate reserve funds in accordance with the services/class of services set out in Schedule A. The development charge payments will be credited to each reserve fund in accordance with the amounts shown in Schedule B, plus interest earned thereon.

13.4 Where any development charge, or part thereof, remains unpaid after the due date, the amount unpaid will be added to the tax roll and will be collected in the same manner as municipal taxes.

13.5 Where any unpaid development charges are collected as municipal taxes under subsection 13.4, the monies so collected will be credited to the development charge reserve funds referred to in section 13.2.

13.6 The treasurer will, in each year commencing in 2025 for the 2024 year, furnish to council a statement in respect of the reserve funds established hereunder for the prior year, containing the information set out in section 12 of O. Reg. 82/98.

14.1 Where development charges have been paid on the issuance of a building permit and the building permit is subsequently cancelled, the building permit will be deemed never to have been issued and the amount of the development charge paid will be refunded to the owner by the City without any interest.

14.2 Where development charges have been paid on or prior to the issuance of a building permit and the building permit is subsequently revised resulting in an overpayment of development charges to the City, the amount of any such overpayment will be refunded to the owner by the City without any interest.

14.3 In the event that at the time of the approval for occupancy of non-residential buildings or structures or units within such buildings or structures or units, it can be determined with sufficient specificity that the use falls within the definition of an industrial use as set out in this bylaw then the City will be required to refund an amount being the difference between the development charges eligible for industrial use and the non-industrial use.

15.1 Where this bylaw or any development charge prescribed hereunder is amended or repealed either by order of the Ontario Land Tribunal or by resolution or bylaw of council, the treasurer will calculate forthwith the amount of any overpayment to be refunded as a result of said amendment or repeal.

15.2 Refunds that are required to be paid under section 15.1 will be paid with interest to be calculated as follows:

1. interest will be calculated from the date on which the overpayment was collected to the date on which the refund is paid; and
2. the Bank of Canada interest rate in effect on the date of enactment of this bylaw will be used.

15.3 Refunds that are required to be paid under section 15.1 will include the interest owed under this section.

16.1 The development charges set out in Schedule B to this bylaw will be adjusted annually without amendment to this bylaw on September 1 of each year in accordance with the first quarter year over year change in in the Statistics Canada quarterly "Construction Price Statistics (Ottawa Region)".

17.1 In the event any provision, or part thereof, of this bylaw is found by a court of competent jurisdiction to be ultra vires, such provision, or part thereof, will be deemed to be severed, and the remaining portion of such provision and all other provisions of this bylaw will remain in full force and effect.

18.1 The headings inserted in this bylaw are for convenience of reference only and will not affect the construction or interpretation of this bylaw.

19.1 A certified copy of this bylaw may be registered on title to any land to which this bylaw applies.

20.1 This bylaw may be administered by the treasurer.

21.1 The following schedules to this bylaw form an integral part of this bylaw:

1. Schedule A: Designated Services and Class of Services Under this By- Law; and
2. Schedule B: Schedule of Development Charges.

22.1 This bylaw will come into force and effect on May 20, 2025.

23.1 This bylaw will continue in full force and effect for a term of 10 years unless it is repealed by council at an earlier date.

24.1 City of Kingston Bylaw 2019–116 and City of Kingston Bylaw 2024–351 are hereby repealed effective as of the date and time of this bylaw coming into effect.

1. Services related to a highway;
2. Fire protection services;
3. Policing services;
4. Ambulance services;
5. Transit services;
6. Parks and recreation services;
7. Library services;
8. Growth-related studies (class of services);
9. Provincial Offences Act services, including bylaw enforcement;
10. Waste diversion services;
11. Stormwater services;
12. Wastewater services; and
13. Water services.

Municipal Wide Services - Residential

Municipal Wide Services - Non-Residential

Urban Services - Residential

Urban Services - Non-Residential