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Saanich explores scrapping development cost charges for affordable housing

Development cost charges are fees developers pay to cover improvements to infrastructure such as sewage, transportation and water services required by increased density
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Prosser Place, a 51-unit affordable housing building operated by the Capital Regional Housing Corporation, opened in May in Central Saanich. VIA CRD

In hopes of spurring more affordable-housing projects, the District of Saanich will investigate dropping development cost charges for developers of ­non-market housing. Council voted unanimously this week to look at the implications of dropping the charges for non-profit housing providers focused on affordable homeownership.

Development cost charges are fees developers pay to cover improvements to infrastructure such as sewage, transportation and water services required by increased density.

Mayor Dean Murdock said those fees can sometimes mean the difference between getting shovels in the dirt for new housing projects and leaving them on the sidelines “in a very challenging housing market.”

Murdock said the district is exploring a number of other avenues to bring increased affordable housing to the area, including offering Saanich-owned properties as a location for ­non-market housing projects.

The district is “actively working with non-profit housing providers in order to do that,” he said, noting they have also considered looking at property tax measures and how the district can expedite affordable-housing projects.

It’s unclear how changes to Saanich’s development cost charges bylaw will mesh with provincial legislation introduced last year. The regulations, to be enacted this year, will allow local governments to expand what development cost charges can be used for, to include things like fire halls, police facilities and solid-waste facilities.