Council approves new levy increase deal with developers
Posted May 17, 2011 12:11 am.
This article is more than 5 years old.
The cost of building a new home in a new development in Calgary, is going up.
By a vote of 12-2 on Monday, city council agreed to a new 5 year deal with developers that will see an additional $8,000 tacked on to levy fees for homebuyers.
The levy will cover the cost of future infrastructure including roads, fire halls, libraries and recreation centres.
Only the mayor and Alderman Druh Farrell voted against the deal.
Mayor Nenshi tells 660News, he’s not completely opposed to it, but feels they could have got a better deal and isn’t a fan of the length of the deal because it binds this and the next council to it.
Alderman Gord Lowe says they have to provide the money to pay for the services somehow and they’ll go through the developer agreement to do that.
The city will only recover half the costs of infrastructure including sewer and water in the new communities.
The city and developers already pay half the cost of infrastructure in new communities, an average of about $30,000 per home.
