Development Charges

Development Charges (DC's) are one-time fees paid by developers to help cover the upfront costs of extending municipal services to new developments — including roads, bridges, storm sewers, community centres, parks, and other public facilities.

The principle behind Development Charges is that growth should pay for growth. These fees help ensure that the cost of growth-related infrastructure does not fall entirely on existing taxpayers through higher property taxes.

On June 12, 2024, Council passed an updated Development Charges By-law No. 2024-034 under Section 2 of the Development Charges Act. This by-law came into effect on July 4, 2024, and applies to all new residential and non-residential development. Rates are indexed annually based on the most recent twelve-month change in Statistics Canada’s Non-Residential Building Construction Price Index for Toronto.

Please note that Development Charges also include separate District of Muskoka development charges, which the Town collects on behalf of the District of Muskoka. For more information on District charges, please visit the District of Muskoka Development Fees and Charges webpage.
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Development Charge Payment Options

Following the recent passing of Bill 17, Development Charges associated with residential or institutional projects, may now be paid at the time of building occupancy.

Please submit the Development Charge Deferral Acknowledgment Form, along with your building permit application for further information, and to indicate your preferred payment option. This form is required to be uploaded with your permit application submitted through Cloudpermit.

Residential Development Charges

Item Current Rate

Single Detached, Duplex and Semi Detached (per unit) $8,316

Multiples (per unit) $6,807

Apartments – 2 or More Bedrooms (per unit) $5,846

Apartments – 1 or Less Bedrooms (per unit) $4,488

Non-Residential Development Charges

Item Current Rate

Commercial, and Institutional $3.93 / square metres

Background

The Development Charges Act, 1997 provides municipalities with the authority to pass by-laws to impose Development Charges. The Act and Ontario Regulation 82/98 require that, prior to passing a Development Charges by-law, municipalities must prepare a Development Charges Background Study that includes the following elements:

  • The forecasted amount, type and location of future development;
  • The average service levels provided in a municipality over the 15-year period immediately preceding the preparation of the background study;
  • Capital cost calculations for each eligible Development Charge service; and
  • An examination of the long-term capital and operating costs for the infrastructure required to service the forecasted development.