B.C. considers cutting development charges to spur housing construction in high-growth communities

The British Columbia government is considering reducing development cost charges to encourage the construction of new homes in the province's fastest-growing communities.

Housing Minister Christine Boyle confirmed the province is in discussions with the federal government on a proposal that would reduce development cost charges by up to 50 per cent for multi-unit housing projects in rapidly growing municipalities. According to the minister, the plan also includes exploring options to offset the funding shortfall municipalities would face if the fees are reduced.

Development cost charges are paid by developers to help municipalities fund infrastructure needed to support growth, including roads, transit, water systems and parks. Municipal governments have long argued that the fees are essential because they face ongoing funding pressures to build and maintain public infrastructure.

Boyle said the province is working on a housing strategy tailored to British Columbia's needs. The final details are expected to be released this fall and are also expected to include a plan to convert more than 2,200 condominium units into affordable housing.