Development Charges Update

Development Charges are one-time fees charged by municipalities on residential and non-residential development to help pay for a portion of growth-related capital costs. Without Development Charges in place, the City would have to pay for all growth-related costs with increased taxes and/or increased water/wastewater/stormwater rates.

The Development Charges Act requires that the City review the Development Charges By-law (2023-106) every five years through the preparation of a Background Study. The City of Owen Sound completed the background study on May 15, 2023 and the by-law was passed on October 23, 2023.

The County of Grey's Development Charges webpage has additional information and specifics on the County of Grey's background study and development charges rates.

Development Charges By-Law No. 2023-106

The Development Charges By-Law 2023-106 was passed by City Council on October 23, 2023.

Mandatory Exemptions
  • Addition of up to 2 apartments for a single as long as house size does not double in size.
  • One additional unit in medium & high density buildings.
  • Upper/Lower Tier Government & School Boards.

Discretionary Exemptions
  • Reduce in part or whole development charges for types of development or classes of development.
  • May phase-in charges over time.
  • Redevelopment credits to recognize what is being replaced on site.
  • Non-residential buildings used accessory to an agricultural operation.
  • Buildings owned and used by the City, County of Grey or any Board of Education used for school purposes.
  • Temporary building where the owner has completed an agreement with the City specifying the owner's obligation to remove the building.
  • Places of worship for religious uses that are exempt from Provincial taxes pursuant of the Provincial Land Tax Act R.S.O. 1990, cP32 as amended.
  • A new industrial building/structure or the enlargement of an existing industrial building or structure (by 50% or less).
  • Residential units constructed by the County of Grey, Owen Sound Non Profit Housing, Habitat for Humanity or an other Non Profit Housing organization approved by Council.
  • Rental housing developments where planning applications are approved before March 2026.

Collecting Development Charges

Payment for Development Charges is collected at the Building Permit stage and is made at the Community Services Counter at City Hall or can be added to the tax roll.

Current Development Charges

City-Wide Development Charges (with the exception of the Sydenham Heights Development Area)

Residential (per unit)

Unit Type

Indoor Recreation Services

Roads and Related Services

Wastewater Services

Water Services

Stormwater Drainage and Control Services

Total City-Wide Development Charges

Single and Semi-Detached Dwelling

$3,429

$7,680

$1,319

$3,094

$699

$16,221

Multiple

$3,017

$6,759

$1,161

$2,722

$615

$14,274

Apartment

$2,057

$4,608

$791

$1,856

$420

$9,732

Non-Residential (per Sq. M.)

Unit Type

Indoor Recreation Services

Roads and Related Services

Wastewater Services

Water Services

Stormwater Drainage and Control Services

Total City-Wide Development Charges

Commercial and Institutional

 $0.00 

$32.36

$4.90

$12.46

$2.76

$52.48

Sydenham Heights Development Area Specific Development Charges

**Area Specific Development Charges are not eligible for discretionary exemptions**

Residential (per unit)

Unit Type

Rates for Water and Wastewater Services

Single and Semi-Detached

$1,456

Multiple

$1,281
Apartment

$874

Non-Residential (per Sq. M.)

Unit Type

 Rates for Water and Wastewater Services per Sq. M.

Commercial and Institutional

$15.32     

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