It could soon cost developers more to build in West Kelowna.
Council is reviewing Development Cost Charges (DCCs), with some slated to go up by 78 per cent (see table below). DCCs are charged on new developments to help finance the cost of new or upgrading existing infrastructure.
The city has heard concerns from the development community about the increases.
“We should not make any concessions at this point,” said Councillor Doug Findlater. “We’ve got a growing community that’s bursting at the seams, be it roads or sewer or water, it needs a lot of attention. We should be going for the gold on all of this.”
A staff report to council recommends the uptick in charges include a Consumer Price Index CPI increase, adjusting annually, as well as regular reviews. Councillor Rick de Jong pointed out that DCCs haven’t been adjusted in a significant way for quite a while.
“This is a relatively fair balance between the development community and residents,” said de Jong, referring to the report. “We want growth to pay for growth.”
He said he was eager to have the new DCCs move forward, and understood the concerns raised by developers.
“So we don’t get in the same position where we are today where we’re subsidizing development by thousand and thousands of dollars. I can understand the grumbling, there are some big changes here for them. But it also gives a level of understanding and stability to the development community.”
Recommended changes to the DCCs have to be approved by the province before they can be adopted by council.