Local builders don’t like the big increases to development charges being proposed for approval by city council.
Development charges are paid by builders to help pay for extra city services such as fire, police, and parks and recreation that become necessary because of new housing and commercial developments. The charges are invariably added to the final sale price of new construction.
“It’s completely unmanageable. I mean it’s certainly going to turn investment away but I think for those people that obviously have investments in the city and already made that commitment in good faith they’re trusting the city to make the right decision here.”
President of the Quinte Home Builders Association John Van Huizen told council that increasing the development charge by almost $10,000 on a single family house could hurt sales as the costs are simply added to the sale price of a home.
“Our development charges are in line with neighbouring communities now but this kind of increase will make it tough to be competitive and how can we be sure all of this planned capital spending by the city is actually going to occur? The consultant’s report is based on projections. Nothing in it is a certainty. We have a good thing going here. Let’s keep any increases reasonable.”
Van Huizen said bringing the charge up to $17,000 on a single family urban home would be a reasonable option.
