Ottawa city council to debate property development charge increase despite federal threat over funding

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Ottawa city council to debate property development charge increase despite federal threat over funding
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Council is set to vote Wednesday on a new bylaw that would increase development charges by between 11 and 12 per cent

Ottawa’s city council is considering a proposal to increase property development charges, despite the federal government ’s warnings that municipalities that hike costs that are passed on to developers could jeopardize federal housing funding.

“If cities have made these increases, we’ve put the date of April 2,” Mr. Fraser said in response to questions from a Conservative MP. “If they don’t abide by a freeze as of that date, they’re going to jeopardize their eligibility to tap into those funds going forward.” Ottawa Councillor Jeff Leiper, who also chairs the city’s planning and housing committee, said the city stood to lose more money if it keeps development charges flat.

The city was initially considering increasing development charges by 28 per cent, or about $12,000, but that was later reduced after new calculations from staff.

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