|
Mr. Leon Gous, Director Engineering,
provided an overview regarding an upgrade of interim streets to standard
streets, and noted approximately 25% (150 km) of the City’s street network is
at interim standard.
The speaker advised that there are
currently three methods to upgrade streets:
1.
Development - either constructed by developers or through cash funding for
future upgrade in R12 zone;
2. City Capital Program – includes
arterial and collector streets;
3.
Local Area Service Program (LASP) – since 1960, approximately 40% of local
streets have been upgraded.
It was
noted that the City faces the following challenges:
1.
LASP coordination with Capital Plan;
2. R12
private funding contribution use (a long delay between payment and receiving
upgrades);
3.
Delayed Community Benefit (completion of neighbourhood networks takes a long
time).
The Director
Engineering provided the following options for interim local street upgrades:
1. Status
Quo – the timing of upgrades remain uncertain;
2. City
Capital Plan – upgrades are coordinated with City Capital Plan projects.
There are three different funding models if coordinated with the City Capital
Plan.
Regardless the funding model, the
LASP can still continue in advance of the capital plan in the event a group
of residents want their street upgraded.
The following Funding Models were
introduced:
1. Full
City Funding – City pays the entire premium;
2. Cost
Recovery – City recovers all or portion of the funding. Recovery rate can be
anywhere from 1 – 100% (i.e. 30% to mirror current LASP cost-sharing
percentage);
3. Blended
Funding – City pays the entire premium for priority upgrades (i.e. closer to
schools, parks, community centres, etc.), with property owner cost recovery
for other locations.
Mr. Gous provided an overview
of Cost Recovery Methodology:
Before
Construction:
·
Expanded
R12 fee – expand the R12 fee collection to all properties adjacent to interim
streets (fee collected at time of subdivision or building permit);
·
Local
Area Service – if at least 50% of property owners representing at least 50%
of the total assessed value have already contributed (via R12 or expanded
R12), a local property owner could initiate a petition which would likely be
successful, and ‘unpaid’ properties would pay via LAS methodology (i.e. by lump
sum or a premium including interest over 15 years on property tax bill).
After Construction:
·
Bylaw
– similar to the Storm Sewer Extension Contribution and Fee Bylaw, the fee
can be recovered as a condition of subsequent subdivision approval or
building permit issuance (i.e. >$250K).
Arising from discussion, the
Committee introduced the following motion:
|