CITY OF HAMILTON · Parkland dedication or cash-in-lieu of parkland is one mechanism that provides...

CITY WIDE IMPLICATIONS

CITY OF HAMILTON

PLANNING AND DEVELOPMENT DEPARTMENT

Development Division Long Range Planning and Design Division

CORPORATE SERVICES DEPARTMENT Budgets, Taxation and Policy Division Legal Services and Corporate Counsel

PUBLIC WORKS DEPARTMENT

Capital Planning and Implementation Division Operations and Maintenance Division

Report to:

Mayor and Members Hearings Sub-Committee

Submitted by:

Lee Ann Coveyduck General Manager

Planning and Development

Joseph Rinaldo General Manager Corporate Services Peter M. Crockett, P. Eng. General Manager Public Works

Date: File:

June 13, 2003

Prepared by: Tim McCabe (905) 546-2424, Ext. 4258 Bill Janssen (905) 643-1262, Ext. 261 Dawne Jubb, LL.B. (905) 546-4520

SUBJECT: New Parkland Dedication and Cash-In-Lieu of Parkland Policy,

Implementing By-Law and Official Plan Amendments (PD03171) (FCS03118) (PW03087) (City Wide)

RECOMMENDATION: That Council adopt the comprehensive Parkland Dedication Policy and Implementing By-law, which will serve to both consolidate the policy framework and Implementing By-laws of former municipalities and update the policy structure to reflect the current provisions of the Planning Act by rescinding all parkland policies and relevant financial policies of the former municipalities of the new City of Hamilton, namely, the Town of Ancaster, Town of Dundas, Town of Flamborough, Township of Glanbrook and Corporation of the City of Hamilton, City of Stoney Creek, as follows:

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SUBJECT: New Parkland Dedication and Cash-In-Lieu of Parkland Policy, Implementing By-law and Official Plan Amendments (PD03171) (FCS03118) (PW03087) (City Wide) - of 13

a) PARKLAND DEDICATION AND CASH-IN-LIEU POLICY

That the Parkland Dedication and Cash-in-Lieu of Parkland Policy attached to Report PD03171/FCS03118/PW03087 as Appendix “A” be approved as Council policy for all development or redevelopment applications, which key policies are summarized as follows:

i. Land Proposed for Residential and Non-Exempt Institutional Purposes

That the Owner of land proposed to be developed or redeveloped, be required to convey to the City land to be used for parkland or other public recreational purposes: 1) in an amount equivalent to five percent (5%) of the net land area proposed

to be developed or redeveloped; or

2) if the net land area to be developed is at a density of 20 to 75 dwelling units per hectare, an amount of land equivalent to a rate of 1.0 hectare for each 300 dwelling units proposed; or

3) if the net land area to be developed is at a density greater than 75 dwelling

units per hectare, an amount of land equivalent to a rate of 0.6 hectare for each 300 dwelling units proposed; or

4) at the discretion of the City, payment of money in an amount equivalent to

the value of lands required under 1), 2), or 3).

ii. Land Proposed for Commercial Purposes That the Owner of land proposed to be developed or redeveloped for commercial purposes, be required to convey to the City land to be used for parkland or other public recreational purposes: 1) an amount equivalent to two percent (2%) of the net land area proposed to

be developed or redeveloped; or

2) for expansions to existing commercial lands which are greater than fifty percent (50%) of existing floor area; or

3) at the discretion of the City, payment of money in an amount equivalent to

the value of lands required under 1) and 2).


iii. Land Proposed for Institutional and/or Industrial Purposes

That developed or redeveloped land proposed for institutional and/or industrial uses, as defined in Section 1 of the draft Parkland Dedication and Cash-in-Lieu of Parkland By-Law attached as Appendix "B" to Report PD03171/FCS03118/PW03087, be exempt from this Policy.

iv. Land Proposed for Mixed Use Development or Redevelopment

That the Owner of land proposed to be developed or redeveloped for mixed use commercial and residential development be required to convey to the City land to be used for parkland or other public recreational purposes an amount or a cash-in-lieu of parkland equivalent in the amount, based upon the pro-rata proportion of the commercial land and residential components.

v. Land Area Included in Calculation of the Parkland to be Conveyed

That the area of environmental lands and storm water management ponds be deducted from the parkland calculation.

vi. Valuation of Cash-In-Lieu of Parkland

In circumstances where cash-in-lieu of parkland is required, the value of the monetary contribution shall be: 1) determined as of the day before the day the building permit is issued in

respect of the development or redevelopment (the "valuation day"), as permitted by Section 42(6) of the Planning Act; and,

2) determined with the assistance of a "Book of Approximate Values"

established, updated annually and administered by the Real Estate Section of the Planning and Development Department.

vii. Consolidation of the Park Land Reserve Funds

That all funds collected by the City pursuant to the Parkland Dedication By-Law be deposited in a consolidated special account to be used solely for the purpose of acquiring parkland or other public recreational purposes, as required by the Planning Act.

viii. Elimination of Current Parkland Credit Practice

That Council: 1) authorize and direct the elimination of the "parkland credits" and the

practice of repayment of monies for such credits and only permit the application of currently accumulated "parkland credits" in strict accordance


with the provisions of the relevant Subdivision Agreements executed between the land owners and the City;

2) permit future parkland credits to be established only in development or

redevelopment applications when the total requisite parkland of a "phased" application is provided for; and,

3) grant discretion to the Director of Development to vary the application of the

parkland credit practice where it would be fair, reasonable to do so, such as where the development has been completed and parkland credits still exist, may permit use of the parkland credits to satisfy other parkland dedication requirements in other areas of the City.

b) AMENDMENT OF OFFICIAL PLANS

That Council approve:

Official Plan Amendment ___ of the former Town of Ancaster Official Plan; Official Plan Amendment ___ of the former Town of Dundas Official Plan; Official Plan Amendment ___ of the former Town of Flamborough Official Plan; Official Plan Amendment ___ of the former Township of Glanbrook Official Plan, Official Plan Amendment ___ of the former City of Hamilton Official Plan; and, Official Plan Amendment ___ of the former City of Stoney Creek Official Plan, to amend the Parkland Dedication sections of the local Official Plans by repealing existing policies and replacing them with new, harmonized and comprehensive Parkland Dedication Policy, as attached in Appendix “C” to Report PD03171.

c) PARKLAND DEDICATION AND CASH-IN-LIEU OF PARKLAND BY-LAW

That Council pass and enact the Parkland Dedication and Cash-in-Lieu of Parkland By-law in the form and content as the draft by-law attached as Appendix "B" to Report PD03171/FCS03118/PW03087.

d) BOOK OF APPROXIMATE VALUES

i) That Council authorize and direct the Real Estate Section of the Planning and Development Department to establish, update annually and administer a "Book of Approximate Values", which will identify and value properties throughout the various areas of the City using standard land appraisal practices to set a property values table which will be used to assist in the determination of the cash value of the cash-in-lieu of parkland requirements; and,

ii) That Council authorize and direct that the consultant fees for preparation of

the initial "Book of Approximate Values" be funded from the Parkland Reserve Fund.


e) CONSOLIDATION OF THE PARKLAND RESERVE FUNDS

That Council authorize and direct the Corporate Services Department to:

i) continue to maintain the special account for funds collected as cash-in-lieu of parkland and that all funds collected are to be used throughout the City; and,

ii) consolidate monies which have been collected as cash-in-lieu of parkland

retroactively from the date of amalgamation January 1, 2000. f) TRANSITION POLICIES

That Council:

i) approve that the Parkland Dedication and Cash-In-Lieu of Parkland Policy and Implementing By-Law to be effective immediately upon the date of enactment by Council;

ii) to apply the new Parkland Dedication and Cash-In-Lieu of Parkland Policy

and Implementing By-law to all applications for draft plan of subdivision, condominium, consents and site plans for which approval has not been given prior to Council's date of enactment and for any subdivision or condominium applications having been granted draft plan approval more than three (3) years prior to the date of Council's enactment; and,

iii) to grant discretion to the Director of Development, to apply any or all of the

new Parkland Dedication and Cash-In-Lieu of Parkland Policy and Implementing By-law to applications where an Owner requests a change to a previously approved subdivision, condominium, consent or site plan application.

Lee Ann Coveyduck General Manager Planning and Development Department

Joseph Rinaldo General Manager Corporate Services Department

Peter Crockett, P. Eng. General Manager Public Works Department


EXECUTIVE SUMMARY: The City requires as a condition of development or redevelopment, the conveyance of land for a park or other public recreational purpose, or cash-in-lieu thereof, or a combination of land and cash.

Parkland dedication or cash-in-lieu of parkland is one mechanism that provides the City with sufficient land or funds to acquire lands, to ensure adequate public recreational development and green space is provided throughout the City.

The draft Parks Culture and Recreation Master Plan (PCRM) recommends a future park standard of 2.95 hectare per 1,000 population for all parklands. The PCRM estimates that the total of all City parkland for City, District and Neighbourhood use is approximately 1302 hectares. Approximately 180 hectares of additional parkland is required to achieve the reduced standard proposed in the draft PCRM.

The City will not able to reach this objective by utilizing its current parkland dedication policies and without significant changes to the financial contributions of land owners of land to be developed or redeveloped.

The new harmonized Parkland Dedication and Cash-In-Lieu of Parkland Policies and implementing By-Law will also provide consistency in the application of Parkland Policies throughout the City.

BACKGROUND:

The Planning Act establishes the authority for municipalities to acquire parkland, as part of the development approval process, through either land dedications or the establishment of cash in lieu payment where no parkland has been planned for or required. Lands can be acquired or payment received in lieu of dedication generally at a rate of 5% for residential and 2% for commercial and industrial. There are also higher density rates that can be required at a rate up to 1 hectare for 300 dwelling units. The only other means to fund parkland acquisition is through the general levy.

In the City, parkland dedication requirements vary amongst each of the six (6) former municipalities. This has resulted in confusion for land owners, developers and staff and has resulted in an inconsistency of application of the policies. On September 25, 2002, City Council authorized staff to undertake a study to establish a new comprehensive Parkland Dedication Policy to update the former Official Plans, By-laws and practices of Ancaster, Dundas, Flamborough, Glanbrook, Hamilton and Stoney Creek.

The following objectives for this study were part of Council's directive:

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• To create one comprehensive and consolidated Parkland Dedication and Cash-In- Lieu of Parkland Policy for the City, which can be clearly understood by the staff, development community and the community at large;

• To maximize opportunities for the amount of parkland dedication or cash-in-lieu of

parkland funds received;

• To provide internal Departmental and Divisional procedures, outline roles and responsibilities with respect to parkland and cash-in-lieu requirements; and,

• To provide standard clauses for inclusion in various documents with respect to

parkland dedication requirements. An adequate supply of parkland is important in the development of new communities and to upgrade deficiencies in existing neighbourhoods parks contribute to the spirit of community, are places to play and visit, improve the design of a neighbourhood and help improve our health and quality of life. In the planning for new communities and the rehabilitation of existing communities the provision of parkland is essential. The parkland dedication requirements should be used to maximize our supply of parklands. The Planning and Development Department was assisted by the experience and research of J.H. Stevens, Planning + Development Consultants in consultation with Jacob Ellens & Associates, the City's external consultants on this project. Funding for the project was provided from the Parkland Reserve Fund. A copy of the consultant’s report is attached as Appendix “D”.

ANALYSIS OF ALTERNATIVES: 1.0 Provincial Legislation The Planning Act empowers municipalities to require either a parkland dedication or cash-in-lieu for development as a condition of subdivision/severance approval or as a condition of issuance of a building permit for development. The amount of dedication or cash-in-lieu required is 5% for residential and institutional and 2% for commercial and industrial development. The municipality can also implement an alternative residential parkland dedication requirement of 1 hectare per 300 units, provided the Official Plan contains policies authorizing this standard. The Planning Act provides that the funds can only be used for the acquisition of lands for parks and recreation purposes, including the erection or repair of recreation buildings and equipment. The Development Charges Act can only be used for development of parks, purchase of equipment and lands for community centres and recreation related facilities, not for the acquisition of parkland. The only other source of revenue for the acquisition on new parkland is through the general tax levy.

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2.0 Municipal Practices for Parkland Dedication The local Official Plan is the policy document that provides the guidelines to the municipality’s Parkland Dedication Policy. The Official Plan outlines the parkland dedication rates for the differing types of development or redevelopment to be applied by the municipality, whether it is for residential, commercial, industrial or institutional development. The Implementing By-Law includes Parkland Dedication Provisions that provide guidance on alternative calculation rates, exceptions to the parkland dedication requirement, and what land is to be included in the parkland dedication, and lands to be included in the parkland dedication calculation. A summary of the differing parkland dedication policies found in the six (6) Official Plans of the former area municipalities is provided below and in the consultant’s report. 2.1 Current Hamilton Parkland Dedication Practices Current parkland/cash-in-lieu requirements differ across the City as follows: 2.1.1 Residential Development: • 5% of the land value for residential development for the former municipalities of

Dundas, Flamborough, Glanbrook and Hamilton. • 5% or 1 hectare per 300 dwelling units, when the density exceeds 15 units per

hectare in Ancaster. • a sliding scale ranging from 1 unit per 300 dwelling units at a density less than 29

units per hectare to .53 hectare per 300 dwelling units at a density greater than 50 units per hectare for Stoney Creek.

2.1.2 Industrial/Commercial Development: • 2% of the land value for commercial and industrial development in Dundas,

Flamborough and Glanbrook. • 2% of the land value for commercial and industrial development for buildings

where the floor area is doubled or more in Ancaster. • no charges for industrial and commercial development in Hamilton and Stoney

Creek.

2.1.3 Institutional Development: • No Policy Parkland Dedication Provisions for institutional development or

redevelopment in the former municipalities of Ancaster, Dundas, or Glanbrook Official Plans.


• The former City of Hamilton’s Official Plan does not give any explicit direction, but instead says that Hamilton will acquire Open Space as provided for in the Planning Act. This implies the 5% dedication requirement.

• The former Town of Flamborough’s Official Plan has provisions for acquiring

parkland through dedication for institutional development or redevelopment, but does not set the rate.

• The former City of Stoney Creek’s Official Plan gives direction for Council to

determine whether to require the parkland dedication or cash-in-lieu of any development or redevelopment proposal, but does not specifically reference institutional development/redevelopment proposals.

In all cases, the land values were calculated on the value of the lands as of the day prior to draft plan of subdivision approval. The time when value of the land is set can greatly influence the value of cash-in-lieu parkland collected. Currently, in Hamilton residential lands prior to draft plan of subdivision approval is estimated at $31,569 per lot, while residential lands at building permit stage are valued at $73,500 per lot. 2.2 Parkland Dedication Practices in Other Municipalities As part of the study's research the municipalities of Brampton, Burlington, Guelph, Markham, Milton, Mississauga, Oakville, Richmond Hill, Toronto and Vaughan were surveyed on their current parkland dedication and cash-in-lieu requirements. All municipalities surveyed collect parkland dedication at a rate of 5% and 1 hectare per 300 dwelling units and 2% for commercial and industrial, except Guelph and Vaughan, which exempt industrial development from the 2% requirement. In Brampton, Markham, Milton, Mississauga, Richmond Hill, Toronto and Vaughan the value of the cash-in-lieu collected is set at building permit stage. Guelph and Oakville collect at the value as of the day prior to draft plan approval. In Burlington, land values are pre-set at a set value of serviced urban land. 2.3 Parkland Dedication By-law Options 2.3.1 Rate of Dedication/Cash in lieu

While a municipality can charge less than the 5% rate for residential and 2% rate for commercial/industrial development, this is not suggested, as there is a need to maximize the land and funds collected. The only other means of acquiring parkland is through the general tax levy, which is currently facing considerable pressures in the City. While the amount of parkland planned for communities could be reduced, this would adversely impact the quality of life and design of neighbourhood. The City should try to maximize the amount of parks throughout its communities. At a rate of 5% dedication/cash-in-lieu for residential, the contribution results in lower density housing contributing a greater portion than higher density housing.


At a density of 35 – 75 units per hectare, application of the higher density ratio of 1 hectare per 300 units is comparable to the 5%. While at densities higher than 75 units per hectare, a ratio of 0.6 hectare per 300 units is consistent with the 5% ratios. On this basis a sliding scale of requirements, providing approximately the same ratio of dedication requirements is appropriate. For commercial development, the application of the 2% rate is consistent with most other municipalities, as well was a practice already implemented in several of the former area municipalities. A 2% rate for commercial development is therefore appropriate. Staff is recommending, however, that an exemption for expansions to existing commercial lands, up to 50% of existing floor area, be approved to encourage existing businesses to expand. While the 2% rate can also be applied to industrial development, as new industrial development does not result in any further demands for parkland, and the municipality is actively trying to attract new industrial development, an exemption from the parkland dedication contributions for industrial use land is recommended. In addition, institutional uses such as places of worship, cemeteries, mausoleums, columbariums, universities and colleges, which often provide significant recreational and open spaces, should also be exempt from the dedication/cash-in-lieu requirements and accordingly is recommended. 2.3.1 Cash-In-Lieu Valuation Date The date at which point the land is valuated for cash-in-lieu contribution can be either at the day before draft plan of subdivision approval or at the time of building permit. Currently, for those lands developed through plan of subdivision, the land is valued at the day prior to draft approval, while individual site development is valued at the day prior to the issuance of a building permit. The difference in the value of lands between draft approval and the building permit stage is estimated at approximately 300% more. As the City usually acquires parkland at an urban services value (similar to building permit value), and the purpose of the review was to maximize cash-in-lieu contributions, it is recommended that in all cases, the cash-in-lieu be collected at the building permit stage. The result is a substantially greater contribution, although it will take longer to collect these funds compared to a lump sum payment made at the subdivision registration stage. This is also consistent with the practices of the majority of the municipalities surveyed. If the funds are to be valuated at the day before draft plan approval stage it can be expected that the City will likely continue to fall behind in achieving its parkland targets or that additional funds from the general levy will have to be provided to acquire the necessary parkland.


2.3.3 Lands to be included in the Parkland Calculations Generally, all lands within the plan of subdivision are included as part of the parkland dedication calculation requirements. However, non-developable lands such as valley lands, wetlands, woodlots, and Environmentally Significant Areas are to be excluded from the parkland dedication calculation and are not to be included as part of the parkland dedication. Similarly, it is recommended that Storm Water Retention Facilities be excluded from the calculation since these facilities contribute to the natural environment. However, these facilities should not be considered as parks and should not be part of the lands dedicated as parkland. They do not provide for active recreation use and neighbourhood and community parks will still need to be acquired. 2.3.4 Condition of Lands to be Dedicated Generally, lands to be dedicated should be graded flat and seeded or sodded. Services should also be provided to the property line and fences provided for those areas that abut residential uses. In addition, a Phase 1 Record of Site Condition and an Archaeological Study should also be undertaken prior to acquisition, in those areas warranted. These requirements are consistent with the practices of the municipalities surveyed.

FINANCIAL/STAFFING/LEGAL IMPLICATIONS:

FINANCIAL - There is a significant shortfall in the parkland required to meet the City's standards for parkland and if parkland dedication policies are not amended the shortfall will continue to increase. As such, the proposed Parkland Dedication Policies will result in a significant increase in funds to the City, mainly through the establishment of a "valuation date" of the day before the day of issuance of the building permit, for the calculation of the cash-in-lieu of parkland monetary contribution, instead of the current practice of calculating on the day prior to draft plan approval.

This increase more accurately represents the financial requirements of the community for parkland resources and allows dedicated funds to address these needs, rather than providing the funds acquired through general taxation. Although it will increase monies required to be paid by developers of land, these additional funds will allow the City to more readily meet its objective of providing a minimum of 2.95 hectares of parkland or public recreation lands for every 1,000 residents. The establishment of a harmonized Parkland Policy and Parkland Reserve Fund will allow the City to better monitor the parkland resources with less staff time. Further, it will be an easier for Council and the community to understand the resources available provide more flexibility in the application of those resources and predict future parkland needs. STAFFING - Implementation of the recommendations or this report imposes no additional staffing requirements.

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LEGAL - Harmonization and changes to the policies, by-laws and Official Plan Amendments will bring the City's practices in line with the changes in the Planning Act. Further, application of the practices will eliminate the inequalities across the former municipalities and allow for standardization. POLICIES AFFECTING PROPOSAL:

The Planning Act allows a municipality, through the passing of a By-law, to require either parkland dedication or cash-in-lieu for development as a condition of subdivision/consent approval or as a condition of issuance of a building permit for development. Following the parkland dedication rate limits set out in the Planning Act (maximum of 2% for commercial and industrial development/redevelopment and 5% for residential and all other land uses). The Official Plan provides the policies that determine the Parkland Dedication Rate and Alternative Calculation Rates the municipality wants to employ. The Official Plan also gives direction as to where municipalities can provide exemptions to the Parkland Dedication and the types of land that are to be included as part of the Parkland Dedication Calculation. As part of the Official Plan review and implementation of the Parks, Recreation and Open Space Master Plan, planning staff are currently reviewing and preparing parkland standards to be applied consistently throughout the City. The Planning Act requires a Parkland Dedication By-law in order to require the conveyance of land for park or other public recreation purposes as a condition of development/redevelopment, or subdivision of land. Conforming to the policies of the Official Plan, the Parkland Dedication By-law implements the dedication rates for development or redevelopment, and for subdivisions and consents. The By-law also contains provisions on the location of dedicated land, determining the valuation of the land, as well as exemptions to the By-law itself. Planning and Development staff has developed a new, harmonized and comprehensive Parkland Dedication Policy that will replace the out-of-date existing policies the that have resulted in confusion for the industry and City staff and inconsistency between six (6) former municipalities. An Official Plan Amendment and provides new Parkland Dedication By-law is required in order to repeal the existing Parkland Dedication Policies and replace them with the new, comprehensive and updated policy. CONSULTATION WITH RELEVANT DEPARTMENTS/AGENCIES: The proposed new Parkland Dedication and Cash-In-Lieu of Parkland Policies are a result of an interdepartmental working group which drew on its membership from many different City Departments including Corporate Services, Economic Development, Public Works, Public Health and Community Services and all Divisions within the Planning and Development Department.

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Comparisons and differences between policies of the former municipalities of the City of Hamilton were examined for best practices. Further, the working group with its consultant surveyed other municipalities outside the City, such as Mississauga, Kitchener, London, Pickering, Toronto, Markham, Vaughan, Richmond Hill, Burlington and Oakville, in order to determine approaches to the Parkland Dedication and Cash-In-Lieu of Parkland Policies. From this examination, the draft Policy and By-laws were prepared for review by staff. These drafts were then presented and discussed with other stakeholders in the City and the community including, the Hamilton-Halton Home Builders’ Association and Friends of the Parks. Revisions were made to reflect these discussions and this final report prepared. The Hamilton-Halton Home Builders’ Association submitted further comments to the City and are attached hereto as Appendix "E". CITY STRATEGIC COMMITMENT:

An adequate supply of parkland is essential to the overall quality of life in Hamilton, contributing to the Vision 20/20 goals of making Hamilton a desirable place to live and work. Parkland is a key component in the development and sustainability of both older and new communities. Parkland contributes to the development of a healthy and vibrant community spirit by providing spaces for active and passive recreational opportunities that increases the overall health and quality of life of Hamilton’s citizens. It also provides the necessary space that connects communities together and improves the design of a neighbourhood. Parkland has obvious environmental benefits by preserving our natural and historical heritage as well as developing cultural institutions, public facilities, parks and open space which inspire community pride and a sense of place. Finally, parkland has a positive economic impact, as a community with a high quality of life attracts business and makes Hamilton an attractive place to live. TM/DJ Attachs. (5) SUMMARY OF ATTACHMENTS Appendix “A” - Parkland Dedication and Cash-in-Lieu of Parkland Policy Appendix “B” - Draft Parkland Dedication and Cash-in-Lieu of Parkland Draft By-Law Appendix “C” - Draft Official Plan Amendment Policy Appendix “D”- Report of J.H. Stevens, Planning + Development Consultants Appendix “E”- Letter addressed to Tim McCabe, Director of Development, from the

Hamilton-Halton Home Builders’ Association

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Appendix “A” to PD03171/FCS03118/PW03087 (Page 1 of 4)

APPENDIX “A”

CITY OF HAMILTON DRAFT PARKLAND DEDICATION AND CASH-IN-LIEU OF PARKLAND POLICY

1. PURPOSE a. The City of Hamilton requires as a condition of development or

redevelopment, the conveyance of land for park or other public recreational purpose, or cash-in-lieu of such parkland or a combination of each. These requirements are pursuant to the Planning Act and the City’s Parkland Dedication AND CASH-IN-LIEU OF PARKLAND BY-LAW ____ 2003.

b. This policy establishes the framework for the City’s determination of the

parkland dedication and cash-in-lieu of parkland requirements and the manner in which the City’s requirements are to be implemented.

.

2. DETERMINING PARKLAND REQUIRMENTS

a. The Planning and Development Department is responsible for reviewing all development proposals and determining, in consultation other appropriate City Departments, the requirements for parkland within the respective area of the development proposal.

b. Where parkland is required to be conveyed such land shall be

developable tableland and shall be conveyed to the City without charge or encumbrance. Lands to be otherwise dedicated for storm water management facilities, floodplain, valleylands, environmental buffer lands, walkways and trails or any other non-parkland purpose will not be credited towards the parkland dedication.

c. Where parkland is required to be conveyed the Planning and

Development Department shall, as a condition of development approval: i. Require a Phase 1 Record of Site Condition confirming the lands

are free of any environmental contaminants; ii. Require the site to be fine graded, seeded or sodded and fenced to

City specifications; iii. Require the provision of full municipal services to the property line; iv. Require that the park perimeter abuts a public road sufficient to

ensure proper access, visibility, safety and functionality for its intended purpose;


v. Require that land to be dedicated be square or rectangular in shape;

vi. Ensure that the configuration and specific location of the park is appropriate and in conformity with any applicable Neighbourhood or Secondary Plan.

3. EXEMPTIONS a. Council may provide for exemptions in the Parkland Dedication By-law for:

i. Certain classes of development; ii. Defined geographic areas; iii. Defined time periods; or iv. Any combination of the above.

4. PARKLAND CREDITS

a. Future parkland over dedication identified on specific plans of subdivision, development or redevelopment applications may be credited/debited against future phases of the same plan of subdivision, development or redevelopment. Such arrangements shall be defined in the subdivision and or development agreement;

b. Existing Parkland Credits shall only be applied in strict accordance with

the pertinent subdivision agreement previously executed between the landowner and the City;

c. Where a parkland credit is owing by the City to a developer, the developer

shall be required to provide to the City satisfactory evidence of the credit.

d. The Director of Development has the authority to vary the application of the parkland credit policy where it would be fair, reasonable and just to do and may where the development has been completed and parkland credits still exist, permit the use of the parkland credits to satisfy other parkland dedication requirements in other areas of the City.

5. ADMINISTRATIVE PROCEDURES

a. Subdivision Plans i. Subdivision Plans for which it is determined that cash-in-lieu of

parkland is required to the value of lands otherwise to be conveyed, shall be processed as follows:

a. To provide that cash-in-lieu of parkland is valued at the day

prior to the issuance of building permit the conditions of draft approval shall not include conditions with respect to cash-in-lieu. Rather a separate recommendation should be approved by Council concurrent with Draft Approval. This


recommendation should state that the payment of cash-in-lieu of parkland will be required pursuant to Section 42 of the Planning Act and paid prior to the issuance of the building permit for the lots and/or block(s) within the Plan.

ii. Subdivision Plans for which it is determined that land is required or

a partial dedication of land and cash-in-lieu, shall be processed as follows:

a. A condition of draft approval shall be included which provides for the conveyance of the required lands concurrently with the registration of the Plan for the dedication of the lands prior to registration; and

b. Should a partial cash-in-lieu payment be required the cash value shall be based on the day prior to draft approval and be paid prior to registration of the plan.

b. Site Plan Applications i. Site plan applications for which it is determined cash-in-lieu of

parkland shall be paid shall provide in the site plan agreement that the cash-in-lieu payment shall be made prior to the issuance of the building permit, or first building permit where more than one is required. The value of the cash-in-lieu of parkland shall be based upon the City’s “Book of Approximate Sales” or an individual appraisal of the site undertaken in accordance with the City’s requirements.

ii. Site plan applications for which it is determined parkland dedication

is required shall provide in the site plan agreement for the conveyance prior to the issuance the building permit, or first building permit where more than one is required. The site plan agreement shall define the amount and location of the lands to be conveyed.

c. Consents to Sever i. Notice of Provisional Consent shall include a “NOTE” stating that

cash-in-lieu of parkland shall be paid prior to the issuance of a building permit. The value of the cash-in-lieu shall be based upon the City’s “Book of Approximate Sales” or an individual appraisal of the site undertaken in accordance with the City’s requirements.

d. Appraisal Process

When cash-in-lieu of parkland is required to be paid in accordance with the Parkland Dedication and Cash-In-Lieu of Parkland By-Law, the Real Estate section of the Planning and Development Department shall set the


value to be paid. The Real Estate Section shall establish, update annually and administer a “Book of Approximate Values” for certain standard types of land to provide a basis for their determination of the required cash-in-lieu of parkland payment. Should the developer disagree with the City’s value then:

i. The Developer shall retain an appraiser at his/her expense to undertake the appraisal of land value.

ii. If a developer retains an appraiser the City retains the right to undertake a Peer Review of the appraisal at the developer’s expense.

iii. All appraisals of land value shall be completed by a designated member of the Appraisal Institute of Canada (AIC) in accordance with generally accepted appraisal principles and not be submitted to the City more than three months from payment date.

6. ALLOCATION OF FUNDS a. Cash-in-lieu of parkland funds shall be kept in a special account -

Parkland Reserve Fund and spent only for the acquisition of land to be used for park or other public recreational purposes and related building and equipment; and

b. All monies which have been collected from January 1st, 2000 will be

consolidated without distinguishing monies collected by the former municipalities.

Policy Dated:

________________________________________________

Appendix “B” to Report PD03171/FCS03118/PW03087 (Page 1 of 7)

APPENDIX “B”

CITY OF HAMILTON

BY-LAW NO.________

Being a By-law to require the conveyance of land for park or other public recreational purposes as a

condition of development or redevelopment or the subdivision of land.

WHEREAS sections 42, 51.1, and 53 of the Planning Act, R.S.O. 1990 provide that the Council of a local municipality may by By-law require that land be conveyed to the municipality for park or other public recreational purposes as a condition of development or redevelopment or the subdivision of lands; AND WHEREAS sections 42 and 51.1 of the Planning Act R.S.O. 1990 provide for an alternate parkland rate of one hectare for each three hundred (300) dwelling units proposed for development provided the municipality has an official plan that contains specific policies dealing with the provision of lands for park or other public recreational purpose at such rate; AND WHEREAS the Council of the City of Hamilton wishes to use these provisions to further the acquisition of lands for parks or other public recreational purposes; NOW, THEREFORE: The Council the City of Hamilton hereby ENACTS as follows: DEFINITIONS

1. In this By-law:

“Development” means the construction, erection, or placing of one or more buildings or structures on land or the making of an addition or alteration to a building or structure that has the effect of substantially increasing the size or usability thereof, or the laying out and establishing of a commercial parking lot. “Redevelopment” means the removal of a building or structure from land, the further development of the land, or the substantial renovation of a building or structure and a change in the character or density of the use in connection therewith.


“Industrial Use” means the use of land, building or structure for, or in connection with:

i) manufacturing, processing, producing, storing or distributing of something;

ii) research or development in connection with manufacturing,

producing or processing something; iii) retail sales by a manufacturer, producer or processor of something

they manufactured, produced or processed, if the retail sales are at the site which the manufacturing, production or processing takes place;

iv) offices or administrative purposes, if they are;

a. carried out with respect to manufacturing, producing, processing, storage or distributing of something, and,

b. in or attached to the building or structure used for that manufacturing, producing or processing, storage or distribution.

“Institutional Use” means the use of lands for a place of worship, college or university, cemetery, mausoleum, columbarium or crematorium or other charitable, non profit uses as may be deemed by Council. “Subdivision” means the process referred to in Section 50 of the Planning Act, R.S.O. 1990. “Consent” means the process referred to in Section 53 of the Planning Act, R.S.O. 1990. “Gross land area” means the total area of all lands contained in the subdivision plan or development or redevelopment application. “Net land area” means the “Gross land area” minus any storm water management facilities to be conveyed to the City and any “Environmental lands” to be dedicated to a public authority, provided that if urban services are located within the “Environmental lands” the respective portion of the land shall be included as part of the Gross land area. “Environmental lands” includes valley land, being lands located below the top of bank as defined by the respective Conservation Authority but shall not include any buffer land beyond the top of bank, Provincially significant lands including Areas of Natural or Scientific Interest (ANSI), Wetlands, Environmentally Significant Areas (ESA) and Woodlots.


APPLICATION

2. This By-law shall apply to all lands within the City of Hamilton; DEVELOPMENT OR REDEVELOPMENT

3. As a condition of development or redevelopment pursuant to Section 41 of the Planning Act, R.S.O. 1990, the owner is required to convey to the City land for park or other public recreational purposes as follows:

a. In the case of lands proposed for residential purposes the dedication of

land in the amount of five percent (5%) of the Net land area to be developed or redeveloped;

b. As an alternative to section 3.a. above the City may require the dedication

of lands for park or other recreational purpose in accordance with the following dedication rates:

i. In the case of lands to be developed at a density of 20 to 75 units

per hectare inclusive, parkland shall be dedicated at a rate of 1.0 hectare for each 300 dwelling units proposed;

ii. In the case of lands to be developed at a density greater than 75

units per hectare parkland shall be dedicated at a rate of .6 hectare. for each 300 dwelling units proposed.

c. In the case of lands proposed for development or redevelopment for

commercial purposes land in the amount of two percent (2%) of the Net land area to be developed or redeveloped; and,

d. In the case of lands proposed for development or redevelopment for

mixed use commercial and residential development the parkland calculation shall be based on the pro rata proportion of the commercial and total floor area times the Net land area + the residential component.

For example: A new building is developed for mixed use commercial space and 6 residential units, the cash equivalent of the parkland dedication to be conveyed is calculated as: .02% x (commercial space / total building space) x total lot area + 1 ha/300 dwelling units (i.e.1ha./300 x 6 units)


e. In the case of lands proposed for residential redevelopment the parkland calculation shall be based on the additional dwelling units proposed;

f. In the case of lands proposed for commercial or residential redevelopment

the parkland calculation shall be based on the pro rata proportion of the floor area of the new development to the existing development or the additional dwelling units proposed respectively;

For example: An existing commercial building is being double in size: Cash equivalent of the parkland land to be conveyed = (new commercial space / total commercial space) x area of property x 2%; or, An existing commercial building, which previously paid cash in lieu, is being redeveloped to convert half of the commercial space to residential units; Cash equivalent of the parkland land to be conveyed =1 ha/300 dwelling units (i.e.1ha./300 x 6) – (½ of the current value of the building as commercial use) x 2%.

g. In the case of lands proposed for development for use other than those

referred to in subsections 3.a. to 3.e, or Industrial or Institutional purposes as defined herein, land in the amount of five percent (5%) of the Net land area to be developed or redeveloped.

SUBDIVISION or CONSENT

4. As a condition of subdivision plan approval pursuant to Section 51 or the giving of a provisional Consent pursuant to Section 53 of the Planning Act, R.S.O. 1990, the owner is required to convey to the City land for park or other public recreational purposes as follows:

a. In the case of lands proposed for residential purposes five percent (5%) of

the Net land area contained within the subdivision plan; b. As an alternative to section 3.a. above the City may require the dedication

of lands for park or other recreational purpose in accordance with the following dedication rates:

i. In the case of lands to be developed at a density of 20 to 75 units

per hectare inclusive, parkland shall be dedicated at a rate of 1.0 hectare for each 300 dwelling units proposed;


ii. In the case of lands to be developed at a density greater than 75 units per hectare parkland shall be dedicated at a rate of .6 hectare for each 300 dwelling units proposed.

c. In the case of a subdivision plan proposed for commercial purposes two

percent (2%) of the Net land area contained within the subdivision plan; d. In the case of a subdivision containing lands proposed for different uses

and/or at different residential densities a combination of the dedication rates defined in 4a, 4b. and 4.c. applicable to the specific use whichever is the greater.

LOCATION OF PARK LAND

5. The location and configuration of land required to be conveyed shall be at the sole discretion of the City and all such conveyances shall be free of all encumbrances.

6. Any conveyance or dedication of Environmental Lands as defined herein or

storm water management facilities shall not be considered a conveyance for park or other recreational purpose pursuant to the requirements of Sections 3 or 4 above.

CASH-IN-LIEU OF PARKLAND

7. In lieu of requiring the conveyance referred to in Sections 3 and 4 above, the City may require the payment of money to the value of the lands required to be conveyed.

VALUATION

8. Where the City requires the payment of money to the value of the land otherwise required to be conveyed, such payments shall be made prior to the issuance of the building permit for the land to be developed or redeveloped.

9. The value of the land shall be determined as of the day before the day of the

issuance of the building permit in respect of the development or redevelopment, or, where more than one building permit is required for the development, as of the day of the issuance of the first building permit.

10. Land or cash-in-lieu equivalent required to be conveyed to the City for park or

other public purposes pursuant to Sections 3, 4 and 7 shall be reduced by the amount of the land conveyance or cash-in-lieu parkland equivalent received by the City pursuant to Sections 51.1 or 53 of the Planning Act and no additional conveyance or payment in respect of the land subject to the earlier conveyance


or payment will be required by the City in respect of subsequent development or redevelopment unless:

a. There is a change in the proposed development or redevelopment which

would increase the density of development; or b. Land originally proposed for development or redevelopment for

Commercial, Industrial, Institutional or Recreational purposes is now proposed for development or redevelopment for other purposes.

EXEMPTIONS

11. Notwithstanding any other provisions of this By-law, this By-law shall not apply where:

a. The proposed development or redevelopment, pursuant to Section 41 or

51 of the Planning Act, for Industrial, or Institutional purposes as defined in this By-law;

b. The development or redevelopment consists of making an addition or

alteration to a residential building provided the number of dwelling units within the residential building is not increased; and

c. The development or redevelopment consists of making an addition or

alteration to a commercial building provided the entire building continues to be used for commercial purposes and the gross floor area of the addition is not greater than 50% of the gross floor area of the building existing at time of passing of this By-law.

TRANSITION PROVISIONS

12. The provisions of this By-law shall apply to all development applications pursuant to Sections 41, 51 and 53 of the Planning Act, which have not received approval, or in the case of a plan of subdivision draft approval, by the City prior to the enactment of this By-law.

BY-LAWS REPEALLED

13. The following By-laws are hereby repealed: a. By-law 84-252 of the former City of Hamilton; b. By-law 89-25 of the former Town of Ancaster; c. By-law 4323-96 of the former Town of Dundas; d. By-law 99-123-P of the former Town of Flamborough; e. By-law 401-89 of the former Town of Glanbrook; f. By-law 4482-96 of the former Town of Stoney Creek.


ENACTED and PASSED this __________ day of ___________, 2003

_____________________ Mayor

_____________________ City Clerk

Appendix C to Report PD03171/FCS03118/PW03087 Page 1 of 12

Draft Amendments

to the

former Towns of Ancaster, Dundas, and Flamborough, the former

Township of Glanbrook and the former Cities of Hamilton and Stoney Creek Official Plans

The following text constitutes; 1. Official Plan Amendment No. __ to the former Town of Ancaster Official Plan; 2. Official Plan Amendment No. __ to the former Town of Dundas Official Plan; 3. Official Plan Amendment No. __ to the former Town of Flamborough Official

Plan; 4. Official Plan Amendment No. __ to the former Township of Glanbrook Official

Plan; 5. Official Plan Amendment No. __ to the former City of Hamilton Official Plan;

and, 6. Official Plan Amendment No. __ to the former City of Stoney Creek Official

Plan. 1.0 Purpose: The purpose of the Amendments is to provide changes to the Parkland Dedication policies of the Official Plans of the former Towns of Ancaster, Dundas Flamborough, the former Township of Glanbrook and the former Cities of Hamilton and Stoney Creek. The effect of the Amendments is to replace the existing Parkland Dedication policies with a more up-to-date and harmonized Parkland Dedication policy that reflects the needs of the amalgamated City of Hamilton. 2.0 Basis: The basis for permitting these Amendments is as follows: • The effect of the proposed Amendment will be to update existing former

municipalities parkland dedication policies into a coherent, consistent and harmonized parkland dedication policy that reflects the needs of the amalgamated City of Hamilton; and,

• The proposed Amendment will create one comprehensive and consolidated

parkland/cash in lieu policy for the City that which can be clearly understood by the development community and the community at large.


3.0 Actual Changes: 3.1 Former Town of Ancaster a) That Subsection 4.3, Open Space and Conservation, be revised by

deleting Policy 4.3.4, by replacing it with the following new Policy, and by renumbering Subsection 4.3, accordingly:

“4.3.4 In accordance with the Planning Act, and in considering any

development/redevelopment proposal, plan of subdivision or consent to sever, Council shall determine whether to require the dedication of parkland or require cash-in-lieu of such dedication.

i. Council shall require a parkland dedication in an

amount not exceeding 5% for residential proposals, or alternatively, shall not exceed a rate of 1 hectare for each 300 dwelling units proposed, (or a combination thereof – the rate to be applied will be that which yields the greater amount of either land or cash-in-lieu), for developments or redevelopment that contain a mix of residential densities.

For the purposes of calculating parkland dedication on the basis of the number of units, the following rates shall apply to any dedication of parkland or cash-in-lieu as a condition of residential development or redevelopment:

a) For land designated to permit residential

development or redevelopment with a density of 20 to 75 units per ha. inclusive, parkland shall be dedicated at a rate of 1.0 ha. for each 300 dwelling units proposed;

b) For land designated to permit residential

development or redevelopment with a density greater than 75 units per ha. parkland shall be dedicated at a rate of 0.6 ha. for each 300 dwelling units proposed.

ii. Council shall require a parkland dedication in an

amount not exceeding 2% for commercial proposals;


iii. Council shall require a parkland dedication in an

amount not exceeding 5% for institutional proposals, except as exempted in the Parkland Dedication By-law.

4.3.5 The City of Hamilton shall not require the 2% parkland

dedication or cash-in-lieu, as a condition of the approval of industrial development/redevelopment proposals, plans of subdivision or consents to sever.

4.3.6 Storm water management facilities, valley lands, hazard

lands, woodlots and Environmentally Significant Areas shall not be considered as part of the parkland dedication. Notwithstanding the above, for the purpose of calculating the land area subject to the parkland dedication, storm water management facilities valley lands, hazard lands, woodlots and Environmentally Significant Areas will be excluded.

4.3.7 In addition to the parkland dedication policies referred to in

policy 4.3.4.1, City Council may acquire lands through:

(a) Donations, gifts, bequests from individuals or corporations; and,

(b) Monies allocated in the Municipal Budget.”

b) That Section 6 – Secondary Plans be amended by deleting Policies

6.1.11.1 (b) i), 6.2.11.1(b) i), 6.4.11.1 (b), i) and replacing them with a new policy as follows:

“i) Provisions of the Planning Act, as set out in Subsection 4.3 of this

Plan.”

3.2 Former Town of Dundas

a) That Section 3.9.6, Open Space Acquisition, be revised by deleting

Policies 3.9.6.4 and 3.9.6.5, and replacing them with the following new policies:

“3.9.6.4 In accordance with the Planning Act, and in considering any


i. Council shall require a minimum parkland dedication in

an amount not exceeding 5% for residential proposals,


or alternatively, shall not exceed a rate of 1 hectare for each 300 dwelling units proposed, (or a combination thereof – the rate to be applied will be that which yields the greater amount of either land or cash-in-lieu), for developments or redevelopment that contain a mix of residential densities.






ii. Council shall require a minimum parkland dedication in

an amount not exceeding 2% for commercial proposals; iii. Council shall require a minimum parkland dedication in

an amount not exceeding 5% for institutional proposals, except as exempted in the Parkland Dedication By-law.

3.9.6.5 The City of Hamilton shall not require the 2% parkland


3.9.6.6 Storm water management facilities, valley lands, hazard


3.9.6.7 In addition to the parkland dedication policies referred to in

policy 3.9.6.4.1, City Council may acquire lands through:


(a) Donations, gifts, bequests from individuals or

corporations; and, (b) Monies allocated in the Municipal Budget.”

b) That Section 3.9.6, Open Space Acquisition, be revised by deleting

existing Policy 3.9.6.6 c), and replacing it with the following new, Policy:

“3.9.6.6 c) notwithstanding the above, sites subject to these conditions may be integrated into the development of municipal park areas by serving as pedestrian walkways, as part of a linear open space system adjacent to creeks, as passive recreation areas, or as natural areas.”

c) That Section 3.9.6, Open Space Acquisition, be revised by deleting Policy

3.9.6.6 a), and d), and be renumbered as Policy 3.9.6.8. d) That Section 3.9.6, Open Space Acquisition, be revised by renumbering

Policies 3.9.6.6 b) and c) to Policy 3.9.6.8 a) and b) respectively. e) That Section 3.9.6, Open Space Acquisition, be revised by deleting

existing Policy 3.9.6.7 in its entirety. 3.3 Former Town of Flamborough a) That Subsection A.7.5, Parks and Open Space Land Use Policies, be

revised by deleting Policy A.7.5.3, and replacing it with the following new Policy: “A.7.5.3 The majority of the lands required for Parks and Open Space

shall be acquired by the City through the conveyance of lands designated Parks and Open Space by way of the parkland dedication policies in Subsection D.6 of this Plan.”

b) That Subsection B.11.1.5, Parks and Open Space, be revised by deleting

Policy B.11.1.5.1 in its entirety, and by renumbering the remaining policies in Subsection B.11.1.5, accordingly.

c) That Subsection B.11.1.6, Hazard Lands, be revised by deleting Policy

B.11.1.6.6, in its entirety and by renumbering the remaining policies in Subsection B.11.1.6, accordingly.

d) That Subsection D.6, Community Services, be revised by deleting Policy

D.6.8, replacing it with the following new policies, and by renumbering the remaining policies in Subsection D.6, accordingly:

“D.6.8 In accordance with the Planning Act, and in considering any

development/redevelopment proposal, plan of subdivision or


consent to sever, Council shall determine whether to require the dedication of parkland or require cash-in-lieu of such dedication.


an amount not exceeding 5% for residential proposals, or alternatively, shall not exceed a rate of 1 hectare for each 300 dwelling units proposed, (or a combination thereof – the rate to be applied will be that which yields the greater amount of either land or cash-in-lieu), for developments or redevelopment that contain a mix of residential densities.









D.6.9 The City of Hamilton shall not require the 2% parkland


D.6.10 Storm water management facilities, valley lands, hazard

lands, woodlots and Environmentally Significant Areas shall not be considered as part of the parkland dedication. Notwithstanding the above, for the purpose of calculating the land area subject to the parkland dedication, storm water


management facilities valley lands, hazard lands, woodlots and Environmentally Significant Areas will be excluded.

D.6.11 In addition to the parkland dedication policies referred to in

policy D.6.8.1, City Council may acquire lands through:


(b) Monies allocated in the Municipal Budget.”

3.4 Former Township of Glanbrook a) That Section C.1, Hazard Lands, be revised by deleting Policy C.1.7 in its

entirety. b) That Section G.15, Parkland Dedication, be revised by deleting Policies

G.15.1 to G.15.3 inclusive, and replacing them with the following new Policies:

“G.15 Parkland dedication

The City’s objective is to acquire an adequate level of parkland to meet the needs of the community as outlined in the Open Space standards contained in this Plan.

G.15.1 In accordance with the Planning Act, and in considering any development/redevelopment proposal, plan of subdivision or consent to sever, Council shall determine whether to require the dedication of parkland or require cash-in-lieu of such dedication.












G.15.2 The City of Hamilton shall not require the 2% parkland


G.15.3 Storm water management facilities, valley lands, hazard


G.15.4 In addition to the parkland dedication policies referred to in

policy D.6.8.1, City Council may acquire lands through:


(b) Monies allocated in the Municipal Budget.

G.15.5 All lands dedicated to the City will be adequately drained and

transferred in a condition that is satisfactory to the City. When an open water course is involved, adequate space shall be provided for maintenance and operations.”


3.5. Former City of Hamilton a) That Subsection D.5, Municipal Land Acquisition, be revised by deleting

the first paragraph of Policy D.5.2, and replacing it with the following new policy:

“D.5.2 All lands dedicated for Parks purposes and any other

dedication of land to the City, will be adequately drained and transferred to the City in an acceptable condition. In this regard, existing vegetation will be in an undisturbed condition and the site will be free of debris with top soil intact. Further:”

b) That Subsection D.5, Municipal Land Acquisition, be revised by deleting

Policy D.5.4, in its entirety and renumbering the remaining policies in Subsection D.5 accordingly.

c) That Subsection D.5, Municipal Land Acquisition, be revised by adding the

following new Policies:

“D.5.8 In accordance with the Planning Act, and in considering any development/redevelopment proposal, plan of subdivision or consent to sever, Council shall determine whether to require the dedication of parkland or require cash-in-lieu of such dedication.

i. Council will require a minimum parkland dedication in


For the purposes of calculating parkland dedication on the basis of the number of units, the following rates shall apply to any dedication of parkland or cash-in-lieu as a condition of residential development or redevelopment: a) For land designated to permit residential





ii. Council will require a minimum parkland dedication in

an amount not exceeding 2% for commercial proposals; iii. Council will require a minimum parkland dedication in


D.5.9 The City of Hamilton will not require the 2% parkland


D.5.10 Storm water management facilities, valley lands, hazard

lands, woodlots and Environmentally Significant Areas will+ not be considered as part of the parkland dedication. Notwithstanding the above, for the purpose of calculating the land area subject to the parkland dedication, storm water management facilities valley lands, hazard lands, woodlots and Environmentally Significant Areas will be excluded.

D.5.11 In addition to the parkland dedication policies referred to in

policy D.6.8.1, City Council may acquire lands through: i. Donations, gifts, bequests from individuals or

corporations; and, ii. Monies allocated in the Municipal Budget.”

3.6 Former City of Stoney Creek a) That Subsection B.2, Hazard Lands, be revised by deleting Policy B.2.2.6,

in its entirety. b) That Subsection F.8, Municipal Land Acquisition, be revised by deleting

Policy F.8.2, and replacing it with the following Policies and that the remaining policies in Subsection F.8 be renumbered accordingly:

“F.8.2 In accordance with the Planning Act, and in considering any



i. Council will require a minimum parkland dedication in an amount not exceeding 5% for residential proposals, or alternatively, shall not exceed a rate of 1 hectare for each 300 dwelling units proposed, (or a combination thereof – the rate to be applied will be that which yields the greater amount of either land or cash-in-lieu), for developments or redevelopment that contain a mix of residential densities.

For the purposes of calculating parkland dedication on the basis of the number of units, the following rates shall apply to any dedication of parkland or cash-in-lieu as a condition of residential development or redevelopment: a) For land designated to permit residential



development or redevelopment with a density greater than 75 units per ha. parkland shall be dedicated at a rate of 0.6 ha. for each 300 dwelling units proposed;

ii. Council will require a minimum parkland dedication in

an amount not exceeding 2% for commercial proposals; iii. Council will require a minimum parkland dedication in


F.8.3 The City of Hamilton will not require the 2% parkland


F.8.4 Storm water management facilities, valley lands, hazard



F.8.5 In addition to the parkland dedication policies referred to in policy D.6.8.1, City Council may acquire lands through: a) Donations, gifts, bequests from individuals or

corporations; and, b) Monies allocated in the Municipal Budget.”

Implementation: The provisions of Section 7 – Implementation, of the Official Plan for the former Town of Ancaster, Section 5 – Implementation and Administration, of the Official Plan for the former Town of Dundas, Section F – Implementation of the Official Plan for the former Town of Flamborough, Section G – Implementation, of the Official Plan for the former Township of Glanbrook, Section D – Implementation, of the Official Plan for the former City of Hamilton, and Section F – Implementation, of the Official Plan for the former City of Stoney Creek, will give effect to the amendments. This is Schedule “1” to By-law No. passed on the day of , 2003.

City of Hamilton .

City Clerk Mayor

Appendix “D” to Report PD03171//FCS03118/PW03087(26 Pages)

CITY OF HAMILTON CITY OF HAMILTON

PARKLAND DEDICATION AND

CASH IN LIEU OF PARKING BYLAW AND POLICY STUDY

J.H. Steven

Development C

1

Prepared by: s, Planning +

ConsultantsInl i i h

Prepared for: The City of Hamilton June 2003


TABLE OF CONTENTS

SECTION PAGE 1. BACKGROUND 1 2. PARKLAND ACQUISITION 1 3. CURRENT PARKLAND PROVISION 2

a. Current Parkland Requirements 2 b. Parkland Dedication 3 c. Parkland Reserve Fund 4 d. Parkland Credits 4

4. EXISTING BYLAW AND OFFICIAL PLAN CONTEXT 4 5. ADMINISTRATIVE ISSUES 6 6. MUNICIPAL PRACTICE 7 a. Parkland Dedication Rate 7 b. Valuation 7 c. Gross Area of Plan 7 d. Condition of Land 8 e. Storm Water Management Facilities 8 f. Developer Credits 8 g. Exemptions 8 7. CONSULTATION 9 8. EVALUATION OF ISSUES AND OPTIONS 10

a. Cash in Lieu Valuation Date 10 b. Parkland Dedication Rate 11 c. Land Area included in Parkland Calculation 13 d. Condition of Land 14 e. Parkland Credits 14 f. Exemptions 15 g. Storm Water Management Facilities 15 h. Summary of Issues 16

9. ADMINISTRATIVE PROCEDURES 17

a. Process 17 b. Harmonization of Parkland Reserve Funds 18

10 CONCLUSIONS 19

2


APPENDICES

APPENDIX 1 - COMPARISON OF PARKLAND FEES 22

3

City of Hamilton Parkland Dedication and Cash-in-lieu of Parkland Study 1

CITY OF HAMILTON

PARKLAND DEDICATION AND CASH-IN-LIEU OF PARKLAND STUDY

1. BACKGROUND

The City of Hamilton commissioned this study to establish a comprehensive Parkland Dedication Policy and Implementing By-law, which will serve to both consolidate the policy framework and implementing By-laws established by the former municipalities of Ancaster, Dundas, Flamborough, Glanbrook, Hamilton and Stoney Creek and to update the policy structure to reflect current provisions of the Planning Act. The objectives of the study as defined in the terms of reference approved by City Council on September 25, 2002 is the establishment of a City Policy and implementing By-law intended to:

• Provide one consolidated parkland/cash in lieu policy; • Maximize the amount of parkland dedication or cash-in-lieu of parkland; • Provide a clear and concise policy with respect to the City’s parkland /

cash-in-lieu requirements; • To provide standard clauses for inclusion in various documents with

respect to parkland dedication requirements. • To provide clearly defined departmental responsibilities;

2. PARKLAND ACQUISITION

The Planning Act establishes the authority to require parkland or cash-in-lieu of such parkland as a condition of subdivision/severance approval (Section 51.1) or as a condition of issuance of a building permit for development (Section 42). The amount of the dedication or cash-in-lieu payment is based on 2% for commercial/industrial development and 5% for residential and all other land uses. The municipality also has the option of applying an alternate parkland standard of 1ha/ 300 dwelling units for residential development provided the official plan contains policies authorizing the use of this alternate standard. The Planning Act provides that funds collected through cash-in-lieu may only be used for the acquisition of land for parks and other recreational purposes including the erection or repair of recreational buildings and equipment. The current Development Charges Act does not permit the collection of development charges for the acquisition of parkland. Development charges can be collected for parks development and equipment and land required for community centres and similar facilities but not for parkland.

1


The only two sources of revenue for the acquisition of parkland are the Park Land Reserve Fund (receptacle for cash-in-lieu monies) and general taxation. When cash-in-lieu of parkland is a requirement, the value of the parkland is based either upon the value of the land the day prior to draft approval of a subdivision pursuant to Section 51.1 or the day prior to the issuance of building permit pursuant to Section 42. Should the municipality decide not to collect cash-in-lieu of parkland as a condition of draft approval, the option to collect cash-in-lieu at building permit stage continues to apply. When cash-in-lieu is taken pursuant to Section 42 it is based on the value of the serviced lot or block on the day prior to the issuance of a building permit. When determining value of a property for purposes of establishing cash-in-lieu, adjustments should be made to the value of comparable properties to reflect any portion of their value attributable to development charges and cash-in-lieu payments. It is noted for example that the value of residential land is estimated to increase approximately 250% to 300% from draft approval to building permit stage, which results in comparable increases in cash-in-lieu. With respect to commercial property the increase is less but is estimated to be in the 100% range.

3. CURRENT PARKLAND PROVISION

Current Parkland Requirements The former municipalities of Flamborough, Stoney Creek, and Hamilton have population based parkland standards in their Official Plans, which establish a minimum parkland standard per thousand people. The other former municipalities do not establish a population based standard. The population based standards which are established provide as follows:

• Flamborough - 2.0 ha of municipal/neighbourhood/district parkland per 1000 population;

• Stoney Creek - 2.4 ha. of neighbourhood/community parkland per 1000 population;

• Hamilton – 1.0 ha/ 1000 population of neighbourhood parkland plus 1.9 ha/1000 population of City wide open space, i.e. golf courses, picnic areas, stadiums, etc.

The actual parkland provided in the former municipalities compared to the existing Official Plan standards is set out in Table 1 below. For comparative purposes the average of the parkland standards for Flamborough and Stoney Creek has been applied to Ancaster, Dundas and Glanbrook. Parkland areas are based on the Community Services Parks Division inventory of neighbourhood, community and district parks. As the Hamilton standard of 1 ha/1000 people applies only to neighbourhood parkland certain “city scale” district parks (which would is a component of the “City wide” standard) are excluded in order to ensure that the proper standard is applied.

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TABLE 1 COMPARISON OF PARKLAND SUPPLY

AND PARKLAND STANDARDS BY FORMER MUNICIPALITY

MUNICIPALITY CURRENT PARK

SUPPLY PARKLAND REQ’D

BASED ON STANDARD

PARKLAND EXCESS / (DEFICIT)

Hamilton (1) 300 ha 330 ha (30) ha Ancaster (2) 58.5 ha 57 ha 1.5 ha

Stoney Creek(3) 78.9 ha 122.3 ha (43.4 )ha Glanbrook (2) 23.9 ha 41 ha (17.1) ha

Dundas (2) 27.4 ha 54.9 ha (27.5) ha Flamborough (4) 70.85 ha 80 ha (10) ha

Total 560 ha +/- 685 ha +/- (125) ha +/- (1) Derived from 1996 Parks Expenditure Study and Official Plan Standard of 1 ha/ 1000 popn. for

neighbourhood/community parks. Does not include City wide parks. (2) Assuming average standard of 2.25 ha / 1000 persons (3) Official Plan Standard of 2.4 ha / 1000 persons (4) Official Plan Standard of 2.0 ha./ 1000 persons

Table 1 indicates that the overall City faces a shortage of neighbourhood and district parkland compared to planning targets of approximately 125 ha (308 acres). The draft Parks Culture & Recreation Master plan (PCRM) recommends a future park standard of 2.95 ha/1000 population for most parklands + additional space for “youth district parks” resulting in an overall requirement of 2.97ha/1000 population. This requirement however is net of any building requirements on the park, i.e. community centres, cultural facilities, arenas, washrooms, bleachers, storage etc. and related parking. The PCRM provides estimates of parkland (excluding valley/environmental lands and golf courses) by category as:

• City Athletic 225 ha (highest quality sports fields in City) • City Recreation 677 ha (major pubic open space i.e. waterfront) • District Athletic 149 ha ( district level sports fields) • Neighbourhood 476 ha ( junior level fields, family play) Total 1527 ha

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The total of all City parkland for City, District and Neighbourhood use is approximately 1527 ha Based on the suggested standard in the PCRM a parkland requirement in excess of 1493 ha is generated based on the 2001 adjusted census population for Hamilton is 503,000 people. Although the current parkland provision reflects the suggested standard in the PCRM it does not account for considerable parkland lost to buildings and related parking areas. Parkland Dedication New residential “greenfield" development will be the source of a significant component of City’s future parkland. Typical 5% parkland yield based on a 45 foot lot subdivision plan (16 units/ha) and 3.0 persons per household yield 48 persons per ha. This equates to approximately 1ha of parkland per 1000 people. This falls below the proposed parkland standard of 2.97 ha/1000 people (net of any required building space) recommended in the Parks Culture & Recreation Master plan. Relying solely on the application of the 5% parkland provisions of the Planning Act, the City will continually fall further behind in achieving its parkland standards. This will place increased reliance upon the Parkland Reserve Fund (cash-in-lieu) and general taxation as a source of funding for parkland acquisition.

Parkland Reserve Fund This fund is established under the Planning Act and is used to finance the acquisition of park land. Currently the Parkland Reserve Fund monies are separated by former municipalities and are used for acquisitions in the municipal area for which the monies were initially credited. The following is the balance of the Parkland Reserve Fund (Cash-in-lieu) accounts as of November 30, 2002. Former Municipality $Amount Hamilton 1,251,000 Ancaster (Nbhd. Reserve) (478,730) Ancaster (5% Reserve) 681,125 Dundas Park Dedication Reserve 477,462 Flamborough 5% Reserve 486,293 Glanbrook 5% Land Dedication 1,245,015 Stoney Creek 1,100,872 Total $4,763,037 The City’s acquisition of land within subdivision development areas is typically at improved values which would be in the order to $175,000+ per acre. The current Parkland Reserve Fund (cash-in-lieu) account could acquire approximately 11 ha (27 acres) of land.

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Parkland Credits Currently there are approximately 16.5 ha (40.7 acres) of existing parkland credits throughout the City. The existing parkland credits reflect a significant obligation to the development community which will further impact the ability of the City to achieve its parkland targets in the future. This will be another important factor in placing greater reliance upon the cash-in-lieu fund and general taxation as a source for future parkland acquisition.

4. EXISTING BY-LAW AND OFFICIAL PLAN CONTEXT

On January 1, 2000, the Towns of Ancaster, Dundas, and Flamborough, the Township of Glanbrook and the Cities of Hamilton and Stoney Creek amalgamated and became the new City of Hamilton. The existing municipal policies and By-laws continue to apply, which, create a variety of standards, requirements and procedures within the new City of Hamilton. All of the former municipalities had passed By-laws with respect to the conveyance of land for park purposes and, in the alternative, the payment of cash-in-lieu of such conveyance. A summary of the By-laws is provided on Table 2.

TABLE 2 SUMMARY OF PARKLAND DEDICATION BY-LAWS

AND OFFICIAL PLAN POLICIES HAMILTON ANCASTER DUNDAS FLAM

BOROUGH GLAN

BROOK STONEY CREEK

BY-LAW NO. 84-252 as amended

89-25 4323-96 99-123-P 401-89 4482-96

RESIDENTIAL DEDICATION

RATE

5% 5% or 1ha./300 d.u. when

density exceeds 15u/ha

5% 5% 5% 1ha/300 d.u. at a density less than

29u/ha .8ha/300 d.u at a density or 29-50

u/ha; .53ha/300 d.u.at a

density greater than 50 unit/ha.

AREA INCLUDED

Not defined Not defined Not defined Not defined “Gross area of land to be developed for

residential purposes” (O.P. policy)

Based on units not area

SUBDIVISION VALUATION

Day before day of Draft

Approval


Approval


Approval


Approval

Day before day of Draft Approval

Day before day of Draft Approval

COMMERCIAL / INDUSTRIAL

RATE

No requirements

2% provided for existing

buildings when the floor area is doubled or

more

2% 2% 2%

No Requirements

EXEMPTIONS

Downtown areas

N/A

N/A

N/A

Commercial/Industrial exempt by Official

N/A

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brown fields Plan. SEVERANCES 5% residential

upon development

Residential $2500 rate

adjusted yearly to CPI

5% residential

5% residential – Table of value

2% commercial

$135.00 or an appraisal

5% residential

OFFICIAL PLAN POLICY

Subsection D5 Parkland to be

“dedicated under 5%

provision” of the Planning

Act. No explicit authorization of

alternate standard of 1ha/300 d.u. 1.0 ha/1000

people neighbourhood

/community park. 1.9/1000

City parks – includes golf, valleys etc.

Section 4.3.4 Parkland

conveyance based on

5% or 1ha/300 for residential

or 2% for Commercial or

Industrial.

Section 3.9.6.4

Residential – 5% where density is less than 15u/ha 1ha/300

d.u. where density is

greater than 15 u/ha

Industrial / Commercial

– 2%

Section D.6.1 Objective of

2ha/1000 people.

No specific dedication

requirements established. . No explicit

authorization of alternate

standard of 1ha/300 d.u

Section G15 5% of total gross land

area of lands to be developed for

residential purposes or payment of monies; Parkland dedication

will NOT be required for Commercial /

Industrial. . No explicit

authorization of alternate standard of

1ha/300 d.u

Section F.8 1ha/300 d.u. at a density less than

29u/ha .8ha/300 d.u at a density or 29-50

u/ha; .53ha/300 d.u.at a

density greater than 50 unit/ha

Commercial / Industrial 2%

2.4 ha/1000 people Nbhd. Community

& District Parks

Note: Valuation of site redevelopment based on day prior to issuance of building permit.

EXISTING BY-LAW AND OFFICIAL PLAN CONTEXT A review of the existing By-laws currently in effect in the City indicates that:

• Four By-laws determine parkland based on 5% of area of plan, two other By-laws incorporate a park dedication factor based in part on density;

• Four By-laws determine the area of the plan based on the Planning Act, one includes gross land area to be developed for residential purposes and one is based on 1ha./300 dwelling units (not area based);

• All By-laws apply subdivision valuation as day prior to draft approval and individual site development/redevelopment on the basis of day prior to issuance of building permit;

• Two By-laws provide exemptions for downtown redevelopment (expired), brownfield redevelopment and/or commercial/industrial development;

• Three By-laws provide a predetermined rate for residential severances, the remaining three are based on an appraisal;

• All six municipalities have official plan policies, that vary in terms of detail and standards;

• Three municipal official plans, being Hamilton, Flamborough and Glanbrook, do not include policies authorizing the application of the alternate standard of 1ha/300 dwelling units; and

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• Hamilton, Flamborough and Stoney Creek are the only former municipalities with Official Plans which establishes a parkland standard based on population, i.e. 2 ha/1000 people etc.

5. ADMINISTRATIVE ISSUES

Staff identified a number of issues associated with implementing and administering the six different municipal By-laws. These issues include:

• Difficult to address parkland deficiencies in certain neighbourhoods due to limitations on funding;

• Difficult to apply appraisal process consistently due to various requirements;

• Uncertainty with respect to the disposition of existing parkland credits; • Treatment of storm water management facilities an issue; • Phase 1 Record of Site Condition for lands to be conveyed to City

have not always been required/obtained; • Parkland standards i.e. grading, services, frontage, landscaping, park

facilities etc. a continual negotiation issue with developers; • Application of parkland dedication to mixed use development and

other specific uses, i.e. golf courses, churches, colleges, etc. uncertain; and

• Appraisal process needs to be more efficient to avoid delays especially at building permit stage.

6. MUNICIPAL PRACTICE

This study included a review of current municipal practice of a number of neighbouring and nearby municipalities. The municipalities surveyed included Burlington, Oakville, Brampton, Mississauga, Markham, Richmond Hill, Guelph, Cambridge, Vaughan and Toronto. The following were the results of the review:

Parkland Dedication Rate

• All municipalities provided for a residential rate of 5% or up to 1ha/300 dwelling units, which ever was the greater;

• All municipalities provided for a commercial/industrial rate of 2%. A few municipalities provide exemptions for industrial development, i.e. Vaughan, Guelph. All the rest collect cash-in-lieu for industrial/commercial development.

Valuation

• Valuation of residential plans of subdivision was divided between those valuations based on the day prior to draft approval (Oakville, Burlington, Guelph) and those based on the day prior to issuance of building permit (Mississauga, Vaughan, Richmond Hill, Markham). Brampton has a fixed

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rate valuation for all urban land in the City (residential, commercial and industrial) of $290,000/acre;

• Other municipalities known to use day prior to the issuance of building permits include the Towns of Lincoln, Georgina and Milton and the City of London;

• Burlington plans to review its By-law and possibly applying a valuation “prior to building permit”;

• Majority of municipalities establish a fixed per unit rate for high density development; and

• Valuation for commercial/industrial development, generally based on day prior to issuance of building permit.

Gross Area of Plan

• Planning Act provides for all lands included in plan to be included in 5% calculation;

• Some municipalities exclude valley lands where such land is to be dedicated to a public authority i.e. Conservation Authority;

• Burlington and Brampton apply a 1ha/300 dwelling unit basis.

Condition of Land

• All municipalities require developable tableland, i.e. valley land not accepted;

• Typically a Phase 1 Record of Site Condition (RSC) is required;

• Land required to be graded, services available at street line and fenced where appropriate; and

• Archaeology survey required if not part of subdivision review process.

Storm Water Management Facilities

• Generally viewed as “hard service” not a parks and recreation service;

• Some municipalities give credit on an isolated basis for facilities which are integrated with adjacent parks and only if they contain active sports facilities i.e. soccer fields; and

• Storm water management facilities are typically included in as part of the gross area of the subdivision plan for purposes of calculating the required 5% (residential) parkland dedication.

Developer Credits

• No municipal practice for parkland credits for future undefined development, i.e. accepting additional parkland now for future undefined development elsewhere;

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• Parkland credits given for future phases of development of defined development projects where parkland not required; and

• Parkland credits given for units not built where 1ha/300 dwelling unit standard applied.

Exemptions

• Two municipalities surveyed (Vaughan and Guelph) provide exemptions for industrial development. All others apply 2% cash-in-lieu basis;

• Golf courses subject to 5% dedication typically only for club house/parking area; and

• Certain institutional uses are often exempt, ex. places of worship and cemeteries.

The following Table 3 outlines the results of the review of existing parkland dedication By-laws by selected municipalities.

TABLE 3 SUMMARY OF MUNICIPAL PRACTICE

MUNICIPALITY DEDICATION

RATE Res. - 5% /

1ha./300 d.u. Com./Ind. –

2%

VALUATION Building

permit stage

GROSS AREA

OF PLAN (areas

exempted)

PARKLAND CREDIT

FOR SWM FACILITIES

(4)

INDUSTRIAL EXEMPTIONS

CONDITION OF LAND Tableland,

Phase 1 ESA. Serviced, graded, fencing,

seed/sod (5) BRAMPTON Yes Yes (1) n/a (3) No No Yes

BURLINGTON Yes No (2) n/a (3) No No Yes GUELPH Yes No All lands No No Yes

MARKHAM Yes Yes All lands No No Yes MILTON Yes Yes All lands No No Yes

MISSISSAUGA Yes Yes All lands No No Yes OAKVILLE Yes No All lands No No Yes RICHMOND

HILL Yes Yes All lands No No Yes

TORONTO Yes Yes All lands No No Yes VAUGHAN Yes Yes All lands

less valley lands

No Yes Yes

1) Brampton establishes a fixed rate generally based on value of urban, serviced land;

(current rate $290,000 per acre) 2) Burlington intends to review current policy and consider valuation at building permit stage; 3) Determine parkland based on 1ha./300 dwelling units, therefore gross area of plan not required; 4) Where credit is given as part of a standard policy/practice; 5) Some services provided for in Development Charges By-law.

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7. CONSULTATION

Three meetings were held with the Hamilton Halton Home Builders Association (HHHBA). The objective of these meetings was to advise the HHHBA of the study and its terms of reference, obtain their comments on issues related to parkland and cash-in-lieu of parkland, and receive input on a possible framework for the draft By-law and City policy. The HHHBA provide written comments in their letter to Tim McCabe, Director of Development, dated June 9, 2003. The issues raised by the HHHBA include:

• Valuation prior to building permit is a significant financial impact especially on small developments, which may not include in a park and will be a cost borne by the future homeowner;

• The Hamilton housing market is very “price sensitive” and its “fragile competitive position is jeopardized”;

• The proposed policy attempts to redress a “perceived historical deficiency” on “the backs of the new home buyer”;

• Credit of some value should be given for storm water management facilities as they contribute to the passive open space of the neighbourhood and could also contain some active facilities;

• 5% parkland dedication is a maximum, City could require less; • Basis for valuation of existing park credits and framework for them to

be applied city wide needs to be established; • Parkland requirements i.e. servicing, grading, sodding etc. is

increasing with no defined standards. The process appears to be arbitrary with each park an individual negotiation;

• Integration with Development Charges required, specifically obtaining credit for parks construction work completed by developer;

• Woodlots should either be acquired through the parkland fund or through the municipal tax base unless they are provincially significant;

• Parkland cash-in-lieu should be used for park acquisition and not for park development; and

• Standards and requirements should reflect an “open for business” philosophy of the City.

8. EVALUATION OF ISSUES AND OPTIONS

Cash-in-Lieu of Parkland Valuation Date A primary consideration for the City is whether to continue to establish cash-in-lieu values for new development within subdivisions based on the day prior to draft approval pursuant to Section 51.1 of the Planning Act or to defer payment to building permit stage and establish the value based on the day prior to the issuance of a building permit pursuant to Section 42 of the Planning Act.

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Currently the City applies a valuation based on the day prior to draft approval for subdivision development. In contrast, for individual site development that has not previously paid cash-in-lieu of parkland, the City currently establishes value at the day prior to the issuance of a building permit. The proposed policy change will only impact upon subdivision plans for which NO parkland is being dedicated. Subdivision plans that include parkland will either pay no cash in lieu or a balance owing based on the current policy, i.e. valuation day prior to the day of draft approval. Only if there is no parkland being dedicated would the valuation be based on the day prior to the issuance of building permit in order that the City has a sufficient source of funds to acquire the shortfall of parkland created by the new development.

A comparison between the value of residential lands at the draft approval stage and at building permit stage was undertaken based on actual sales of 6 developments located in the former municipalities of Hamilton, Flamborough, Ancaster, Glanbrook and Stoney Creek. The results of the comparison form Appendix 1. The difference in valuation between draft approval and building permit stage is in the order of 225% to 385%. While each subdivision has its own unique set of characteristics that determines its value, the average residential per lot increase is in the order of 300% which would generally reflect the increase in revenue in the cash-in-lieu of parkland payment if collected at building permit stage, although it would occur as incremental payments with the issuance of each building permit. The current and increasing demands on the cash-in-lieu fund were discussed in Section 2. The proposed change responds to the demands placed on the City by the new home buyer. New residential “greenfield" development will be the source of a significant component of City’s future parkland. Typical 5% parkland yield based on a 45 foot lot subdivision plan and 3.0 persons per household is approximately 1ha of parkland per 1000 people. This falls below the proposed parkland standard of 2.97 ha/1000 people net of any required building related space. As further growth and development within the City occurs it is likely that the city will fall further behind in achieving its parkland targets. Consequently, the City must maximize its cash-in-lieu proceeds from development or else place an ever-increasing reliance upon general taxation. Most GTA municipalities and many non-GTA municipalities such as the Town of Lincoln, the Town of Georgina, the Town of Milton and the City of London have moved to a valuation based on day prior to the issuance of building permit. Other municipalities, such as the City of Burlington, are considering moving in that direction. The HHHBA raised concerns that the added cost would impact on the new home owner. Whether it will or not is a function of the competitiveness of the housing market in the Hamilton area. It is noted that the price of land upon which the rate

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is based, is typically less in Hamilton than in the GTA. Therefore the rate is adjusted to the Hamilton marketplace.

The HHHBA also commented that new home owners bear the burden of increased costs, which benefit residents in other areas of the City. Clearly however, all parks in the City are available to all residents. The scheduling of existing active park facilities and the City’s major Recreation Parks provide a high level of park facilities to all residents including new residents.

Parkland Dedication Rate A parkland dedication rate of 5% or 1ha/300 dwelling units or a combination thereof is appropriate for the Hamilton area where new subdivision areas may contain a mix of residential densities. This combined rate ensures that the maximum parkland is provided to new residential developments where parkland demand is typically high. Applying the alternate parkland standard of 1ha. per 300 dwelling units is appropriate for residential development from 35 to 75 units per hectare. This ensures that a greater amount of parkland is dedicated towards development which contains a greater number of housing units and population. Residential development at higher density levels, i.e. greater that 75 units is typically in an apartment form where the persons per unit is less than that in ground related development. To ensure that apartment units do not over contribute its share of parkland relative to lower density development an adjustment is necessary to reflect the lower person per unit rates. It is recommended that residential development greater that 75 units/ha. dedicate parkland at a rate of .6ha. per 300 dwelling units. This results is a per person parkland ratio comparable to low and medium density development. A comparison of parkland dedication rates forms Table 4 which indicates an overall dedication rate of approximately 1.1 ha. per 1000 population.

TABLE 4 COMPARISON OF PARKLAND

DEDICATION RATES AND DENSITY LEVELS DENSITY/P.P.U.

(Persons per Unit) RATE DEDICATION

PER HA HA PER 1000 POP’N

12uph / 2.9 ppu 5% .05ha 1.15

35uph/2.8 ppu 1ha./300 .117 ha 1.19

.8ha./300 .09 ha .95

50uph/2.8 ppu 1ha./300 .167ha 1.19 .8ha./300 .134ha .95

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75uph/1.7ppu 1ha./300 .25ha 1.96

.8ha./300 .20ha 1.57 .6ha./300 .15ha 1.17

100uph/1.7 ppu 1ha./300 .33ha 1.94 .8ha./300 .264ha 1.55 .6ha./300 .2ha 1.16

150uph/1.8 ppu 1ha./300 .5ha 1.85 .8ha./300 .4ha 1.48 .6ha./300 .3ha 1.11

Commercial and industrial development contributes to parkland development at a rate of 2% of the total land area or its cash equivalent. This is common throughout all municipalities surveyed. For mixed use development or redevelopment of existing built space, the parkland requirements are based on a pro rated basis of new and existing space. In the case of lands proposed for development or redevelopment for mixed use commercial and residential development, the parkland calculation is based on the pro rata proportion of the commercial and total floor area times the Net land area + the residential component.

For example: A new building is developed for mixed use commercial space and 6 residential units, the cash equivalent of the parkland dedication to be conveyed is calculated as: .02% x (commercial space/total building space) x total lot area + 1 ha/300 dwelling units (i.e.1ha/300 x 6 units)

Similarly, in the case of lands proposed for commercial or residential redevelopment the parkland calculation shall be based on the pro rata proportion of the floor area of the new development to the existing development or the additional dwelling units proposed respectively;

For example: An existing commercial building is being doubled in size: Cash equivalent of the parkland land to be conveyed = (new commercial space / total commercial space) x area of property x 2%; or

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An existing commercial building, which previously paid cash in lieu, is being redeveloped to convert half of the commercial space to residential units; Cash equivalent of the parkland land to be conveyed =1 ha/300 dwelling units (i.e.1ha./300 x 6) – (½ of the current value of the building as commercial use) x 2%. Or, An existing 10 unit building, which previously paid cash in lieu is torn down and a new 100 unit building built in its place. Cash in lieu is based on the total units less the existing units for which cash in lieu has already been paid.

Land Area included in Parkland Calculation

The Planning Act provides for parkland not to exceed 5% of the area included in the Plan to be conveyed to the municipality for parks purposes. Where there are large areas of valley lands included in the Plan there is often requests from the development community to exclude the lands from the 5% parkland calculation particularly when such lands are to be conveyed to the Conservation Authority. Alternately, the developer could also revise the plan so that the valleylands are not included in the Plan. It is recommended that environmental lands such as valleylands, wetlands and environmentally sensitive areas not be included in the 5% parkland calculation where the conditions of Draft Approval provides for the dedication of such lands to the Conservation Authority or other public authority. Any area of the environmental lands which serve as servicing corridors, road crossings or other infrastructure would, however, continue to be included in the parkland calculation. The HHHBA have commented that some recognition of the open space role of storm water management ponds is required. To respond to this comment it is suggested that storm water management facilities be excluded from the parkland calculation. This is based on the recognition that storm water management facilities provide a sense of openness in the community and the environmental engineering of such facilities contributes to the natural environment. It is noted however that the facilities typically do not provide any recreational benefit notwithstanding that occasionally a trail may utilize the lands as a connecting link. Condition of Land

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Land to be conveyed to the City for parkland must be developable tableland appropriate for use for a range of outdoor recreational activities and in particular soccer and baseball. It is the objective of the City to acquire square or rectangular parcels of land for parks and to avoid accepting land that is irregular in shape. The lands must be serviced to property line, fine graded, seeded or sodded, depending upon grading and drainage and fenced typically adjacent to residential development. The lands should be the subject of a Phase 1 ESA to ensure that it is clear of any environmental contaminant. Similarly an archaeology review should be completed to ensure such features would not compromise the planned use of the park. Certain elements of parkland development may be included in the City’s Development Charge (DC). Through the DC By-law the developer responsible for providing the park can receive DC credits for park development from which all development lands in the neighbourhood will benefit. This is a matter that the City should review in its upcoming DC By-law review. Parkland Credits Parkland credits are often given in the development of neighbourhoods in which one developer or a development group is developing multiple phases and the park is located in an early phase of the development. In such cases, the parkland may exceed 5% of the first phase subdivision plan but be within the 5% dedication of the entire plan. It is practical, upon dedication of the parkland in an early phase, to provide a park credit for future phases provided the credit does not exceed the 5% dedication otherwise required. In circumstances where an over-dedication is requested by the City, the City will purchase the land at the price determined on the valuation day. The City will not provide parkland credits except for future phases of development within the same plan.

Future Parkland Credits may be applied when:

a) The total required parkland of a phased development is provided in

an early phase which satisfies the park requirements for future phases of the development;

Existing Parkland Credits shall:

a) Be applied in strict accordance with the pertinent subdivision agreement previously executed between the land owner and the City;

Exemptions

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Exemptions are a matter of local consideration. The municipal survey undertaken identified that only two municipalities exempt industrial development or redevelopment. Currently Hamilton and Glanbrook provide exemptions for industrial development. The City has options of continuing the industrial exemption city wide, requiring parkland dedication or cash-in-lieu of parkland as a condition of new industrial subdivision development at draft approval rates or requiring parkland or cash-in-lieu of parkland as a condition of all development. Given the existing exemption in Hamilton and the City's strategic direction for encouraging economic growth, it may be appropriate that the exemption be applied to industrial development. It would be useful for the City to track the amount of cash-in-lieu which has been exempted in order to determine the “revenue foregone” as a result of the exemption policy. Certain institutional uses are also considered appropriate for exemptions. These include places of worship, cemeteries, mausoleums and columbariums, university and college buildings which often provide significant recreational facilities on campus and other non profit institutional uses deemed by Council to be exempt from parkland dedication and cash-in-lieu parkland requirements.

Storm Water Management Facilities The development community continually commented that they believe that storm water management facilities should be given credit as parkland. The municipal survey indicates that this is not the policy of any municipality surveyed although there are individual situations where a facility, such as a soccer field, has been permitted within a storm water quantity pond. These situations are the exception. Storm water management facilities are a required infrastructure component necessary to accommodate new development. They must be engineered in accordance with sound engineering principles, which include environmental engineering considerations. The HHHBA has requested for many years that storm water management facilities be given some credit for parkland. There are significant implications if storm water facilities become a common location of active recreation facilities. Some of the implications, identified in the municipal survey, associated with the active recreational use of storm water facilities are:

• Higher maintenance costs due to seasonal/periodic flooding; • Limitations on the availability of play fields due to wetness which may

cause unanticipated and frustrating cancellation and rescheduling of events; and

• Safety concerns related to children playing in areas, which may receive relatively rapid changes to water levels.

In response to the comments of the HHHBA, this study recommends that the area of storm water facilities not be included in the 5% parkland calculation for

16


subdivision development. While this reduces the parkland, which would otherwise be, dedicated to the municipality it is considered to be a fair compromise in the context of the overall proposed policy.

Summary of Issues Table 5 provides a summary of the issues outlining the relative advantages and disadvantages of the preferred approach.

TABLE 5

SUMMARY OF ISSUES

FACTOR PREFERRED APPROACH

ADVANTAGES DISADVANTAGE

Parkland Dedication Rate

5% or 1ha / 300 d.u. or combination thereof; 2% for commercial

• Reflects current practice; • Generally accepted

approach;

• Calculation can become complicated;

Basis for Valuation Day Prior to Building Permit • Maximizes revenue;

• Reflects costs of municipal acquisition of parkland;

• Responds to parkland credits owed to developers;

• Current cash-in-lieu of parkland account not fulfilling municipal requirements;

• Currently evolving municipal approach;

• Parkland acquisition cannot be funded through Development Charges.

• Increased cost to developers and home buyer;

• Departure from current practice;

Basis for 5% Calculation

Gross area less: • Environmental Lands to

be dedicated to public authority;

• Storm water facilities;

• Provides recognition of public benefit of environmental lands;

• Responds (in part) to developers’ concerns regarding credit for storm water facilities;

• Encourages “naturalization” of SWM facilities;

• Establishes a lesser standard than provided for in the Planning Act.

• Part of the infrastructure of the subdivision;

• Not common practice of municipalities;

FACTOR PREFERRED APPROACH

ADVANTAGES DISADVANTAGE

Condition of Land

Only developable table land accepted: • Fine graded;

• Generally reflects current

practice; • Establishes a defined

• Credit for cost of

servicing and road frontage should be

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• Typically “flat”; • Seeded / Sodded in

certain areas; • Services to property

line; • Minimum road frontage

25-50% • Fencing abutting

residential uses; • Phase 1 RSC; • Archaeology study • Generally square or

rectangular parcels

standard, i.e. each park not a separate negotiation;

• Reflects municipal needs;

included in Development Charges to fairly distribute costs;

EXEMPTIONS Industrial development

exempted subject to: • Defined period, i.e.2

years; • Annual report of cash-

in-lieu of parkland to be reported;

• Assessment at end of period of financial impact;

Certain institutional uses exempted (places of worship, cemeteries etc.)

• Current practice; • Economic development

benefit; • Opportunity to revisit

based on experience; • Institutional exemptions

respond to community needs.

• Loss of potential revenue;

SWM FACILITES Not a parkland credit but not

included in 5% calculation; • Currently no credit given

by City except in individual cases;

• Recognition of value given in 5% calculation;

• Typically no credit given in most municipal By-laws;

• Development community would like greater credit;

• Contributes to compact urban form;

9. ADMINISTRATIVE PROCEDURES Process The staff groups that are involved in the determination and implementation of parkland requirements and cash-in-lieu are: 1. The Development Division of the Planning and Development Department,

which are involved in the overall processing and review of development applications and integrating department requirements into the approval process;

2. The Long Range Planning & Design Division which review development

proposals in consultation with the Open Space Development Division to

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ensure the need and requirements for parkland are addressed or the determination that cash-in-lieu and not parkland is required;

3. The Real Estate Section that determines the amount of cash-in-lieu of

parkland to be paid when required; and

4. The Building and Licensing Department which collects cash-in-lieu payments in accordance with the direction from the Real Estate Section.

As a result of recent administrative reorganization within the City, the Real Estate Section is now contained within the Planning and Development Department. This should serve to improve administrative efficiency and improve the delegation of responsibility and control with respect to parkland dedication and cash-in-lieu of parkland policies. The Planning and Development Department is currently reviewing the administrative process with respect to the determination of parkland/cash-in-lieu for subdivision plans and site development applications. These processes should be applied to the new administrative structure, monitored for effectiveness and adjusted to reflect the best operating practice. To help achieve efficiency in the implementation process, it is intended that a “Book of Approximate Values” be established to allow the efficient determination of the required cash-in-lieu of parkland payment for many typical forms of development. This will help avoid delay and the cost to the developer of preparing separate appraisals for every development except for those developments that are more unique in nature. As part of the development process, adjustments will need to be made to conditions of draft approval, subdivision agreement clauses and site plan agreements. A series of “standard clauses” will be prepared to assist the City’s implementation of the policy upon Council’s endorsement of the policy direction. Harmonization of the Park Land Reserve Funds This account is currently separated into seven areas, with each one representing the former municipalities and also includes both a neighbourhood and general cash-in-lieu of parkland account for Ancaster. The balance as of November, 2002 of these various accounts is summarized in Section 3. Funds within these accounts are required to be spent only within each of the respective areas. Council’s Strategic Plan provides leadership for the City into the future and establishes as one of 10 the core values of the Plan the objective of Innovation -

“to think broadly and long-term; to balance both city-wide and neighbourhood responsibilities; to do more with limited resources”.

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The current “neighbourhood” structure of the City’s cash-in-lieu accounts is not consistent with the direction of the Strategic Plan as it limits Council's ability to address both city-wide and neighbourhood responsibilities. It forces Council to address parkland requirements in a compartmentalized framework rather than on the basis of the varying needs across the City. In order to strategically address the City’s parkland priorities in the future it will be increasingly important for Council to have the flexibility to allocate cash-in-lieu of parkland funds based on need and priority. This requires funding flexibility not provided by the current accounting structure. Accordingly, the consolidation of the Parkland Reserve Fund into one City wide account is desirable. It is recommended that this policy be effective retroactively to January 1, 2000, to the date of amalgamation. This would maximize the City's ability to implement its parkland strategy.

Transition Policies A determination is required with respect to the effective date of the draft bylaw. The draft bylaw proposes that the provisions of the By-law apply to all development applications pursuant to Sections 41, 51 and 53 of the Planning Act, which have not received approval, or in the case of a plan of subdivision draft approval, by the City prior to the enactment of this By-law.

10. CONCLUSIONS

The City of Hamilton has a very effective and highly regarded parks and open space system that is well used by its residents and an important amenity to the growing Hamilton community. The evolution of this park system concurrent with the continued growth of the City, will place increasing financial burden on the City as the cost of land, equipment, buildings and maintenance continues to grow and the need for parkland to serve a growing and diverse community increases. To ensure that the City continues to be a leader in the provision of community parkland, it is important for the City to utilize the financial tools afforded by the Planning Act with respect to the parkland dedication and cash-in-lieu of parkland. This study has been prepared in response to a number of objectives of the City as defined in the terms of reference and stated in Section 1. The report has been prepared with regular consultation with the development community as represented by the Hamilton Halton Home Builders Association (HHHBA) and with all affected departments of the City. The report responds to the objectives in the Terms of Reference by:

1. Providing a comprehensive and consolidated City Policy and Bylaw which can be applied in a consistent fashion across the entire City;

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2. Establishing a bylaw and policy structure which seeks to maximize, in a fair and balanced manner, the required parkland/cash in lieu contributions from new development;

3. Establishing a policy structure which is readily understood and includes

provisions for an efficient implementation process;

4. Providing a process to establish the departmental roles and responsibilities; and

5. Recognizing the necessity to provide standard implementation clauses for

inclusion in subdivision approvals and related development agreements.

The report contains a number of conclusions to ensure that the City takes appropriate advantage of the provisions of the Planning Act. These documents have been prepared based on the conclusions reached through this review process which include the following major recommendations:

1. Establish the “valuation day” as the day prior to the issuance of building

permit for all instances where no parkland is being dedicated and cash-in-lieu of parkland is required;

2. Establish a “Book of Approximate Values” to facilitate the determination

of Cash-in-Lieu of Parkland; 3. Require residential parkland dedication based upon 5% or 1ha/300

dwelling units or combination thereof which ever is the greater; 4. Provide for an adjustment for high density development in excess of 75

units/ha to ensure their parkland dedication does not exceed that of lower density development on a per person basis as requested by the development community;

5. Provide for the areas of environmental lands and storm water

management ponds to be exempt from the 5% parkland calculation recognizing the open space role which they provide and to respond to comments from the development community;

6. Apply 2% parkland dedication to commercial development;

7. Provide an exemption to industrial development for a defined period and

monitor the amount of the “cash-in-lieu of parkland ” foregone in order to assess the impact of the exemption;

8. Provide for exemption to certain institutional uses as defined in the By-

law and as deemed by Council.

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9. Provide for future parkland credits only when the total required parkland

of a "phased" development is provided in an early phase which satisfies the park requirements for future phases of the development;

10. Required that current parkland credits only be applied in strict

accordance with the pertinent subdivision agreement previously executed between the land owner and the City;

11. That Council gives direction to establish a consolidated Parkland Reserve

Fund which does not separate monies for the former municipalities, effective retroactively to the date of amalgamation January 1st, 2000.

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Monday June 9, 2003 Tim McCabe Director of Planning and Development City of Hamilton 71 Main Street West Hamilton, Ontario L8P 4Y5 Re: Proposed Parkland Dedication and Cash-In-Lieu of Parkland Policy Dear Mr. McCabe: On behalf of the members of the Hamilton-Halton Home Builders’ Association, I am writing to give industry comments on the Proposed Parkland Dedication and Cash-In-Lieu of Parkland Policy as presented by the Planning and Development Department at our May 2, 2003 Liaison Committee meeting. Let me start by stating that as an industry, we acknowledge and thank staff for the consultative approach you have given this policy making process. The Hamilton-Halton Home Builders’ Association has been very impressed with the process whereby the industry and staff approach issues through the use of proactive presentations to our Development Council, as well as through our joint Liaison Committee. Although we certainly do not always agree on the outcomes, the monthly Liaison Committee involvement assists the industry and staff alike, in preparing better public policy. Our compliments to yourself as chair, as well as your consultant Mr. John Stevens, and the rest of the team, for their time and energy on this issue. Taking a look now specifically at the proposed Proposed Parkland Dedication and Cash-In-Lieu of Parkland Policy, let me start from the outset by saying that in its current form, it is clear that this policy has very little to do with parks and parkland, and all too much to do with the City’s finances. Let’s be clear, we certainly support the premise of mandatory parkland dedication policies. We believe in the principle that as a community grows, the inventory of green space will grow in the same proportion, as well as the concepts, as laid out in provincial policy, of the municipality being able to set their own policies with respect to the maximum parkland dedication percentage and its resulting cash-in-lieu of land. We also support the three general objectives of your study, as defined in the terms of reference, approved by City Council on September 25, 2002, and stated again on page 1 of your report.

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General Agreement on Various Aspects of the Proposed Policy Although in some cases we have had, and continue to have differing positions with respect to some of the recommendations, as laid out in the report, we support staff in the following specific issues:

1. Residential Parkland Dedication of 5 per cent or 1ha./300 dwelling units 2. Adjustment for Higher Density 3. Exemption of environmental lands and storm water management ponds from the

5 per cent calculation 4. 2 per cent Parkland dedication to commercial development 5. Defined period exemption for industrial development 6. Certain exemptions for institutional purposes 7. New Defined Parkland Credit System 8. Conclusion to the Current Parkland Credit System 9. Harmonization of Park Land Reserve Funds.

Clarified Industry Positions For the record however, we should make certain that the following still remains our position on the following:

1. Storm Water Management Ponds: Although we acknowledge the compromise by staff to exempt these lands from the 5 per cent calculation, it is our strong position that some portion of these lands should be not only exempt, but should be considered parkland and be used toward the 5 per cent.

2. Current Outstanding Credits: It continues to be our position that agreements made by the municipality must be honored. A change in policy and personnel should not have a retroactive effect on outstanding agreements. Therefore although we agree to end the long-standing practice of allowing parkland credits without stipulations, we do so, on the basis that clear and fair resolutions will be made with those with outstanding credits. Furthermore, we would recommend that these outstanding credits, if not allowed to be used financially, should be allowed to be transferred throughout the city on other projects. The fact is, these credits represent a financial commitment by the city, under a long-standing practice, and therefore must be honoured.

Valuation of Cash-In-Lieu As the spokesperson for the new home buyer, we have serious reservations about proposed changes by the City of Hamilton. Instead of the present practice, where cash-in-lieu payments are calculated based on the value of land on the day prior to draft approval of a subdivision plan; the proposed charge will be based on the value of the land the day prior to issuance of a building permit. This will result in a 300% increase in the fee charged on a new home.

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Valuation of Cash-In-Lieu (con’t) The Hamilton-Halton Homebuilders Association believes the proposed changes are regressive and ill-advised for the following reasons:

I. The proposed changes represent a 300% increase from the current levy. For an average homebuyer a levy of $1000 for parkland becomes $3,000. Amortized over the life of a mortgage at even today’s low rates the buyer will end up paying nearly $7,000. The $3,000 mentioned is an average increase only. In Flamborough the projected increase is $7,500 and in Ancaster it could be close to $ 7,600.

II. When it comes to the housing market, Hamilton is not the GTA. The

Hamilton housing market is much more price-sensitive than the housing market in the GTA. With 2001 census data showing Hamiltonians with significantly lower household incomes and home ownership rates than others within the province, as prices rise in Hamilton, new home buyers have the option of realizing significant savings by purchasing homes in markets like Brantford and Caledonia and still be within easy commuting distance of their jobs in Hamilton. They are free to move elsewhere and have abundant home buying options.

III. In the newer portions of the city, parkland is being developed more or less

in pace with housing. The proposed levy is intended to make up for perceived past deficiencies in parkland allocation in older sections of the city. In our view the proposed hike attempts to compensate for many years of poor planning in a short period of time, and does so, on the backs of one sector--new home buyers.

IV. The proposed changes are not at all about residential growth. In our

view, these proposed changes are measures specifically designed to redress a perceived historical deficiency in parkland banking and in short, deal with the city’s fiscal challenges. This proposal puts the cost of the city’s historical fiscal woes on the backs of the new home buyer, who becomes a “silent taxpayer” in this equation. The new home buyer is a relatively easy target because the parkland dedication costs are built into the purchase price of the new home. In our view the city’s fiscal problems have to be met out of general tax revenues. This change in parkland cash-in-lieu policy is a tax, pure and simple, on one of the most consistent contributors to the local economy.

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V. Moneys collected in the cash-in-lieu policy should not be used to upgrade

parks, only to buy parkland. If parkland is purchased by the municipality it is normally purchased at the pre-plan approval rate. The remainder of the money collected goes into general revenues. New home buyers should not be unfairly double-taxed to allow the city to play “catch-up” on bad financial management of the past.

VI. Hamilton’s competitive position is jeopardized further given that every

municipality that abuts Hamilton charges the lower rate.

VII. The measure puts a significant upward pressure on new home prices. Upward pressure on new homes places upward pressure on resale prices as well. Again Hamilton’s fragile competitive position is jeopardized.

VIII. “Affordable Housing” is the hardest hit. Although a 300 per cent increase

affects the price of each and every new home in the city, cost pressures have a more dramatic effect on those at the lower end of the affordability spectrum. This parkland dedication change will be absorbed by the first-time buyer all the way up to the move-up buyer, but their ability to pay is much different.

IX. The city definition of parkland for the purposes of this policy is arbitrary

and misleading. The document City of Hamilton Parkland Dedication and Cash-in-lieu of Parkland Study states that Hamilton should have 685+/- ha. Based on a harmonized standard, and that the actual supply is 560 ha.; resulting in a deficit of 125 ha.+/-. This supposed shortfall provides the underlying premise for the increase in cash-in –lieu for parkland policy. The question is, how is parkland defined? The city’s own Website states, “The City of Hamilton boasts some 2662 acres (1077.3 ha.) of parkland at 310 locations, 1356 acres of natural areas at 32 locations, and 137 kilometers of trails, offering many opportunities for people of all ages to get outdoors and explore nature.

X. To get from 1077 ha. To 560 ha. The city employs some very aggressive

discounting of parkland for the purposes of the calculation. The study suggests parkland must be “developable tableland appropriate for use for a range of outdoor recreational activities and in particular soccer and baseball.” It must also have services available. This is an extremely narrow definition of parkland, especially in an area that has such abundant open space as does Hamilton. Valley lands are excluded for parks purposes in Hamilton, even though thousands of people enjoy these lands on a daily basis. To define a park’s suitability on the basis of whether or not soccer and baseball can be played upon it seems to impose a standard of recreation on the population. Furthermore, the report does not use the same narrow definition on how the cash-in-lieu monies are to be spent, showing a clear double standard.

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XI. The real issue is fairness. It is short-sighted in our view to overtax an

economic sector because it happens to be enjoying a period of relative prosperity. As mentioned earlier, even slight fluctuations in price threaten to have significant impact on the Hamilton home building sector. It is also unfair to overtax the new home purchaser notwithstanding the ease of hiding the amount of tax in the purchase price of the home. The vast majority of new home buyers in Hamilton are younger couples for whom qualifying for a mortgage and servicing the debt are significant challenges. Regardless of the severity of the city’s financial challenges it is inappropriate to attempt to recover revenue in a manner as aggressive as is proposed in the new policy -- 300%.

In closing, we really do understand the constraints that the City of Hamilton is in today, and we are willing to be part of the solution. However, we strongly believe that one sector of the economy cannot be held to account for poor past decisions by previous municipal governments. Tim, once again I thank you, your consultants, and staff, for your time, energy, and honesty with relation to this issue. If you wish further discussion on this issue, please do not hesitate to call me at 905-575-3344. Sincerely;

Jeff Paikin President

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