Development Charges

Development charges are fees collected from developers and builders at the time a building permit is issued. The fees pay for various growth-related capital projects such as infrastructure. They also cover various Municipal services, including library, fire facilities, indoor recreation, park development and facilities, roads, operations, parking and general government. The Director of Financial Services/Treasurer must submit an annual report to Council for the previous year's status of the Development Charges Reserve Funds. This report identifies the opening and closing balances, receipt totals and expenditures of the Development Charges Reserve Funds once the year-end financial statements have been audited. To view a copy of this report, please contact the Clerk's Division.

Clarington Council passed By-law No. 2021-010, imposing development charges on residential and commercial development. Council also passed By-law No. 2021-011 to impose development charges against land to pay for rising capital costs required to provide increased services to support new development in the area.

It is important to recognize that the Municipality of Clarington is not the only public authority that can impose development charges. The above information applies only to Clarington's By-law. The Regional Municipality of Durham and school boards also have their own development charges by-laws. For more information on those charges and rates, please contact Region of Durham or school boards directly.

A development charge applies where a proposed residential or commercial building project requires:

• The passing of a zoning by-law or an amendment to a zoning by-law.
• The approval of a minor variance, which involves a change in use, intensification of use or expansion of uses.
• The approval of a plan of subdivision.
• The issuing of a building permit.

There are several exemptions legislated under the Development Charges Act. Clarington's by-law provides exemptions or credits for housing intensification, agricultural uses, temporary buildings, certain institutional uses and industrial expansions, all subject to certain rules as stipulated in the by-law.

Generally, development charges are due when we issue a building permit. In exceptional cases where a land severance application was finalized before 1992, municipal development charges may have been paid. A record of payment is required. We suggest you contact the Region of Durham to confirm whether the development charges were also paid. The Development Charges By-law is reviewed every five years.