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DCC & ACC Program Update

The Town of Sidney is updating Development Cost Charges Bylaw No. 1440. The Development Cost Charges (DCC) Bylaw was last updated in 1998. Development Cost Charges Fees help pay for infrastructure needed because of new growth.

The Town is also developing a new Amenity Cost Charges (ACC) Bylaw, as Sidney does not currently have an ACC program in place. Amenity Cost Charges are similar to DCCs, but focus on community amenities rather than core infrastructure.

Project Updates

April 2026:

At the April 27, 2026, Regular Council meeting, Council gave three readings to the DCC Bylaw. The bylaw was then submitted to the Provincial Inspector of Municipalities for review and approval. When the province has approved the DCC bylaw, it will be added to a future Council meeting agenda for consideration of adoption.

The ACC Bylaw does not require review by the province before adoption by Council. It has not yet received any readings by Council. The ACC Bylaw will be considered by Council at a future meeting.

December 2025:

At the December 1, 2025 Regular Council Meeting, Council considered a staff report summarizing feedback gathered through the engagement session and saw merit in updated DCC rates, which reflect engagement with the development community. Council directed staff to prepare an updated Development Cost Charge (DCC) Bylaw for possible approval. The updated rates would remain lower than most in the region, helping keep Sidney an attractive place to build.

September 2025:

An engagement session was held on September 4, 2025 to hear comments and gather feedback from the development community on the draft DCC and ACC rates. The information session included program details, a project timeline, and an opportunity for questions and discussion. This session was facilitated by Urban Systems as the Town’s consultant for this project. Concerns were expressed with the draft rates and the increase they would represent from the Town’s current DCC rates, which have been the same since 1998. Staff and the consultant reviewed the feedback and the project lists for the DCC and ACC bylaw rates to look for opportunities to reduce the draft rates.

July 2025:

The draft DCC and ACC rates were presented at the July 14, 2025 Committee of the Whole meeting.

 

What’s next?

When the DCC bylaw is approved by the province, it will be added to a future Council agenda for consideration of adoption. The ACC Bylaw will also be added to a future Council agenda for consideration of three readings and adoption.

 

Proposed DCC and ACC Rates

DCCs and ACCs are levied on a per lot or per dwelling unit basis for Low Density Residential and on a per unit basis for Medium Density Residential, and High Density Residential. Non-residential (Commercial, Industrial, and Institutional) uses will be levied per square metre of gross floor area.

The proposed DCC and ACC rates are outlined below:

Land Use

Unit

Proposed DCC

Proposed ACC

Total

Low Density Residential

per lot / dwelling unit

$17,736

$608

$18,344

Medium Density Residential

per dwelling unit

$10,378

$414

$10,792

High Density Residential

per dwelling unit

$6,890

$252

$7,142

Commercial

per m2 Gross Floor Area (GFA)

$56.31

$0.40

$56.71

Industrial

per m2 GFA

$21.61

$0.16

$21.77

Institutional

per m2 GFA

$56.31

$0.40

$56.71

Additional Information

The definitions of the different types of residential density referred to in the proposed DCC and ACC rates are:

Low Density Residential: Single- and two-family dwellings, where each unit can include up to one secondary suite

Medium Density Residential: Buildings with 3 or more units that each have their own entrance (like townhouses, triplexes, or mobile homes) and in some cases accessory buildings

High Density: Multi-unit dwelling containing 3 or more self-contained units accessed through a common hallway (stacked)

 

Density Definition Graphic

Graphic of a low density residential house with a secondary suite in the basement, a medium density residential development with four townhouses in a row with peaked roofs, and a high density residential seven story building

DCCs are one-time fees collected to help communities recover the costs of off-site infrastructure needed for, or as a result of, growth. They are based on the principle of cost-sharing infrastructure between existing taxpayers and new development. They are a Provincially regulated tool; the Local Government Act sets out the general requirements under which local governments may administer DCC programs.

Funds generated through DCCs are intended for one-time capital costs (planning, engineering, design, legal, studies) and are only applied to growth-driven projects within the following categories:

  • Transportation services
  • Water services
  • Drainage services
  • Sewer services
  • Parkland acquisition and improvements
  • Fire protection facilities
  • Police facilities
  • Solid waste and recycling facilities

DCCs cannot be used for projects that serve the existing population (i.e., deficiencies, asset replacement) or for operations and maintenance costs. DCCs also cannot be used for projects otherwise eligible for ACCs.

ACCs are one-time fees collected to help communities finance amenities such as community centres, recreational facilities, libraries, daycares, and public spaces, if any of these are provided by the municipality. These amenities support liveable and complete communities in areas of growth. They are a Provincially regulated tool; the Local Government Act sets out the general requirements under which local governments may administer ACC programs.

DCCs are paid by applicants/developers at the time of:

  • Subdivision, for approval to create new single-family lots (Low Density Residential); or,
  • Building Permit, upon application to construct Medium or High Density Residential, Commercial, Industrial, or Institutional developments

When a new DCC Bylaw and/or ACC Bylaw is enacted, an existing development application submitted prior to the adoption of the new Bylaw(s) is granted 12-month in-stream protection.

In-stream protection will apply to both complete building permit and subdivision applications received prior to the adoption of any new DCC Bylaw and/or ACC Bylaw. Protection is also extended to rezoning and development permit applications that were completed prior to the adoption of any new DCC and/or ACC Bylaw and that will result in a building permit within 12 months of bylaw adoption. If an application meets the required criteria of being complete and is submitted prior to the adoption of the new DCC Bylaw and/or ACC Bylaw, it is provided protection from rate increases.

DCCs are not payable in these instances:

  • Building which is solely for public worship
  • Units with ≤ 29 m2 area
  • Building Permit for work which does not exceed $50,000
  • Where DCCs have been previously charged
  • In-stream applications (complete)

ACCs are not payable in these instances:

  •  Building which is solely for public worship
  • Units with ≤ 29 m2 area
  • Building Permit for work which does not exceed $50,000
  • In-stream applications (complete)
  • Inclusionary housing
  • Cooperative housing
  • Supportive housing
  • Transitional housing
  • Emergency shelters

Under the Local Government Act, a local government may opt to impose a Bylaw through which DCCs or ACCs may be waived or reduced. DCC waivers or reductions can be provided in support of development resulting in the creation of affordable rental housing or reduced environmental impact. ACC waivers or reductions can be provided in support of affordable rental housing and low-impact development.

In the case of any waivers or reductions provided, the amount waived or reduced is to be entirely made up by the municipality.

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