WESTLOCK — Continuing a proactive approach to incentivize development, the Town of Westlock has provided more incentive for developers with a new, simplified off-site levy bylaw.
At the July 10 regular meeting, councillors voted unanimously 6-0 (Coun. Abby Keyes was absent) to pass the proposed off-site levy bylaw 2023-10, which includes a new rate for water, sanitary and stormwater infrastructure projects.
At the June 19 committee of the whole (COW) meeting, planning and development manager Danielle Pougher detailed some of the changes and some of the challenges of the current off-site levy bylaw.
“We’ve had a few, I would say, ‘road bumps’ with implementing the current off-site levy bylaw, which was adopted in (February) 2017,” said Pougher. “It currently has multiple development areas, high rates in terms of our comparators and the model is fairly complex. It’s difficult for us to update in house.”
The Municipal Government Act allows municipalities to establish levies which are used to pay for all, or part, of the capital cost of new or expanded infrastructure including stormwater, water, sanitary, transportation and community facilities. Off-site levies are paid as a condition of a subdivision or development approval.
The proposed bylaw has been in the works since January when administration began working with McEhlanney Ltd.to create a new version with associated rates, which includes a simplified development area and a new rate, that will consider recent increases in construction costs and inflation, she noted, pointing out the proposed, town-wide, single levy rate of $75,996.08 per hectare, while the town’s current bylaw has an average rate of $100,218 per hectare with individual rates ranging between $82,438 to $142,212 over 26 development areas.
At the June 19 meeting, Pougher noted the proposed rate was calculated based on a reduced, built-out area and provided some details on each one including water distribution, sanitary, and stormwater and noted projects in each (infrastructure) area under the new levy rate with updated project costs.
“There is no transportation levy in the new bylaw and that is because in the reduced build-out area there is no transportation projects noted,” explained Pougher, adding that should they need to adjust it, if development expands, they can add transportation projects later via an amendment.
Pougher said the proposed bylaw allows for the CAO to exempt all, or part, of a levy where in their opinion the development or subdivision would not pose a significant burden on the existing infrastructure system.
The proposed off-site levy bylaw is deemed a capital project in the 2023 capital budget and has a built-in review period of five years, which will allow the bylaw and its associated rates to be adjusted for inflation and completed projects. The first review is scheduled for 2028 and in addition, annual reports will be provided to councillors on the collection of levies and usage.
At the July 10 meeting Coun. Jon Kramer spoke of the importance of reviewing and updating off-site levies regularly, while Coun. Murtaza Jamaly said it will have a positive impact for the future.
“An off-site levy bylaw does not exist for anybody sitting here today potentially, it exists for our kids. It is this reality that we need to put money into infrastructure for our growth,” said Jamaly. “Hopefully 100 years from now we planned well enough that we aren’t in a massive infrastructure deficit and this is the missing piece.”
Mayor Ralph Leriger pointed out the proposed bylaw was the “third thing on tonight’s agenda that is significantly attempting to incentivize development.”
“It’s a big part of our strategic plan and I’m pretty happy to see this all in front of us tonight.”
