City Finances

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Development Charges

The information contained herein is intended only as a guide to the City of Toronto's policy with respect to development charges. Interested parties should review the applicable development charge by-law or consult with the Toronto Building Division to determine charges that may apply for specific land development proposals.

Development charges are fees collected from developers at the time a building permit is issued.

The fees help pay for the cost of infrastructure required to provide municipal services to new development, such as roads, transit, water and sewer infrastructure, community centres and fire and police facilities.

Most municipalities in Ontario use development charges to ensure that the cost of providing infrastructure to service new development is not borne by existing residents and businesses in the form of higher property taxes.

 

City of Toronto Development Charges Bylaw
Council of the City of Toronto adopted Bylaw 1347-2013 on October 11, 2013 in accordance with the requirements of the Development Charges Act, 1997 and related Regulations. The by law, which came into force on November 1, 2013, was approved following completion of the City of Toronto Development Charges Background Study and Study Addendum, dated June 17, 2013 and September 13, 2013, respectively.
 

Pamphlet
Development Charges Pamphlet
 

Exemptions
There are a number of exemptions legislated by the Development Charges Act, 1997, such as the creation of up to two additional units in an existing single detached dwelling, subject to prescribed restrictions. The City of Toronto has allowed for a number of other exemptions and interested parties should review the bylaw or consult with City staff for further details.

 

Timing of calculation and payment
The development charges imposed under this bylaw shall be calculated, payable and collected on the date that a building permit, as defined in the bylaw, is issued in relation to a building or structure on the land to which the development charge applies.

Where a development charge applies to land in relation to which a building permit is required, no building permit shall be issued until the development charge has been paid in full.


Services included
Development charges assist in funding growth-related capital costs for the following services:

 

  • Child care
  • Civic improvements
  • Development-related studies
  • Emergency medical services
  • Fire
  • Health
  • Library
  • Parks and recreation
  • Pedestrian infrastructure
  • Police
  • Roads and related
  • Sanitary sewer
  • Spadina Subway extension
  • Storm water management
  • Subsidized housing
  • Transit
  • Water

 

Development Charges Rates

 

Toronto Green Standard Program – Tier 2 Cap


Development Charges By-law

Education Development Charges are imposed by the Toronto Catholic District School Board (TCDSB) under the Education Act and funds site acquisitions for new and expanded schools. The City of Toronto collects education development charges on behalf of the TCDSB, as required by the Education Act. The TCDSB is responsible for setting the education development charge rates and applicable policies.

At its meeting on June 11, 2015, the TCDSB amended By-law 2013 No. 178 to rescind the previously adopted phase-in provision and to increase the charges imposed. The amended rates are posted below and are effective July 1, 2015 to June 30, 2018 inclusive, unless otherwise amended. 

.

 

Schedule of Education Development Charges 

Category

Effective

July 1, 2014 to

June 30, 2015

July 1, 2015

Residential charge per unit

$841

$1,493

Non-residential charge per square foot

$0.67

$1.07

When are charges payable?

The education development charges are calculated, due and payable at the time of issuance of a building permit.

Who do I contact for more information?

Joseph Ruscitti, Supervisor, Planning Services 
Toronto Catholic District School Board 
Phone:  (416) 222-8282 ext. 2281 
Fax:    (416) 229-5354 
e-mail: joseph.ruscitti@tcdsb.org
website: www.tcdsb.org


 

Calculation and payment:

Toronto Building Division

416-397-5330


General, technical and policy matters:

Corporate Finance

Sam Malvea, 416-397-9263 or smalvea@toronto.ca

Shirley Siu, 416-397-4205 or ssiu@toronto.ca