Businesses forced to expand in order to meet pandemic-related health and safety requirements, or supplying “essential equipment," will get a break from the city.
In a 9-4 vote, council agreed Tuesday evening to waive the parkland dedication fee that would typically apply.
“The last time I checked, we’re in a global pandemic. That is an emergency,” commented Mayor Cam Guthrie. “We have to respond in a way that helps with the health and safety of people.”
The policy change allows industrial and commercial development or redevelopment to avoid the parkland dedication fee if the reason for expansion is to comply with public health requirements for physical distancing, screening and/or testing for COVID-19. The fee exemption also applies in cases of expansion related to the production of “urgently required safety equipment and supplies” related to the pandemic for the local, provincial, national and international markets.
Joining Guthrie in favour were councillors Bob Bell, Christine Billings, Cathy Downer, Dan Gibson, June Hofland, Mark MacKinnon and Dominique O’Rourke.
Against were councillors Phil Allt, Leanne Caron, James Gordon and Mike Salisbury.
“This is something we should be united on,” Guthrie said ahead of the vote.
The exemption, explained deputy CAO Colleen Clack-Bush, was brought forward by city staff as a way to help businesses in the face of the pandemic. There are some, she noted, which were not charged the parkland dedication fee originally and if they were to make a change to their building now would be required to pay the fee for their entire property, not just on the expansion, meaning they’d be hit with a “disproportionate” charge for what they want to accomplish.
Without the exemption, individual businesses may have approached council seeking relief. The council-approved motion grants authority to Clack-Bush to approve or dismiss those requests.
Salisbury stressed the importance of parkland dedications for city residents and suggested another way be found to help businesses forced to expand their physical space.
Allt suggested that because it relates to health matters, relief should come from the provincial government.
“I love the principles behind this,” added Caron. “My hesitation is about transparency.”
Council is to receive quarterly updates regarding exemptions granted.
Parkland dedication – either parkland or cash-in-lieu – is intended to ensure commercial, industrial and residential growth in the city supports the growth it creates, be it population or jobs. Specifically, it is designed to ensure the park spaces available to residents keep pace with growth.
This is not the first exemption granted. The fee is also waived in cases of buildings being reconstructed after being destroyed by fire.
“To the extent that there is any permanent benefit to a business of an exemption from parkland dedication while retooling for urgently-needed COVID-19 supplies, the loss of parkland dedication or cash-in-lieu will be substantially offset by the financial and health benefits to the City and its residents in aiding in the fight of COVID-19,” states a staff report.
