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Agenda - Public Planning - 20140326 (2)PUBLIC RELEASE March 21, 2014 TOWN OF AURORA SPECIAL COUNCIL – PUBLIC PLANNING MEETING AGENDA Wednesday, March 26, 2014 7 p.m. Council Chambers 1. DECLARATION OF PECUNIARY INTEREST AND GENERAL NATURE THEREOF 2. APPROVAL OF THE AGENDA RECOMMENDED: THAT the agenda as circulated by Legal and Legislative Services be approved. 3. CONSIDERATION OF PLANNING ITEMS 4. READING OF BY-LAW RECOMMENDED: THAT the following confirming by-law be given first, second, and third readings and enacted: 5603-14 BEING A BY-LAW to Confirm Actions by Council pg. 190 Resulting from Special Council – Public Planning Meeting on March 26, 2014 5. ADJOURNMENT Special Council – Public Planning Meeting Agenda Wednesday, March 26, 2014 Page 2 of 3 AGENDA ITEMS 1. CFS14-010 – Update to Development Charges By-law pg. 1 RECOMMENDED: THAT report CFS14-010 be received; and THAT the Development Charges Background Study and Proposed By-law dated March 12, 2014, included as Attachment “#1” be received as presented; and THAT the Proposed By-law be amended to add “places of worship” to the list of exemptions in Clause 3.5; and THAT the Proposed By-law be amended to mirror the provisions of York Region by-law phase-in of smaller apartment sizes which qualify for the small apartment rate; and THAT all comments, questions and suggestions arising from the statutory Public Meeting be referred to staff for consideration; and THAT staff prepare a final report for Council with a recommended by-law for adoption pursuant to the requirements of the Development Charges Act, 1997, with such report to be made on April 8, 2014; and THAT Council hereby determines that no further public meetings are required under Section 12 of the Development Charges Act, 1997. 2. PL14-019 – Proposed Zoning By-law Amendment Application pg. 162 Stirling Cook Aurora Inc. 74 Old Bloomington Road Unit 22, York Region Vacant Land Condominium Plan No. 1159 File: D14-04-13 RECOMMENDED: THAT report PL14-019 be received; and THAT comments presented at the Public Planning meeting be addressed by the Planning and Development Services department in a comprehensive report outlining recommendations and options at a future General Committee meeting. Special Council – Public Planning Meeting Agenda Wednesday, March 26, 2014 Page 3 of 3 3.PL14-013 – Official Plan Amendment, Draft Plan of Subdivision and pg. 172 Zoning By-law Amendment Applications Pandolfo et al. 14070 Yonge Street Lot 8 & Pt. Lots 20 & 21 Plan 132, Pt. of Lot 73, Con. 1 Files: D09-03-12, D12-03-2A, D14-21-03 RECOMMENDED: THAT report PL14-013 be received; and THAT Council provide direction as to the alternative access options for the proposed development as discussed in this report; and THAT comments presented at the Public Planning meeting be addressed by Planning & Development Services in a comprehensive report outlining recommendations and options at a future General Committee meeting. TOWN OF AURORA ADDITIONAL ITEMS FOR SPECIAL COUNCIL-PUBLIC PLANNING MEETING Wednesday, March 26,2014 7 p.m. Council Chambers Item 4-Correspondence received from Emery Investments regarding Town of Aurora 2014 Non-Residential Development Charge Review Re: Item 1 -CFS14-010-Update to Development Charges By-law RECOMMENDED: THAT the correspondence received from Emery Investments regarding Town of Aurora 2014 Non-Residential Development Charge Review be received for information. EMERY COMMERCIAL AND JNDUSTR!AL LEASING ......................................... ··········-~····· ············--·········-···· ...... ·············-·--·············· DESIGN TURNKEY CONSTRUCTION 620 WJLSON AVENUE. SUITE 401 TORONTO. ONTARiO M3K 1ZG INVESTMENTS TEL: 416-630-6827 FAX. 416·630-6997 EMAiL· Jnlc@e>mery;nvestrT!Cnts.com WEBSilE: ww...,._emerylnvestments.com March 21, 2014 Mr. Dan Elliot Director of Corporate & Financial Services-Treasurer Town of Aurora 100 John West Way, Box 1000 Aurora, Ontario L4G 6J1 Re: Town of Aurora 2014 Non-Residential Development Charge Review Dear Mr. Elliot Emery Investments has been participating in the Town's 2014 Development Charge Review. We appreciate the opportunity to provide input into the process. With this letter, we ask the Town to consider some options to incent non-residential development Our suggestion to consider incentives is in light of the robust forecasts of employment included in the 2014 DC Background Study in the context of a continuing competitive and challenging economic environment to attract industrial and office development In this regard, attached please find a memo from 181 Group outlining some of the review and rationale. Emery Investments requests that the Town consider !he following: • A differentiated non-residential development charge aligned with the Regional approach which differentiates on the basis of retail and non-retail development This approach would provide for a lower industrial and office DC rate. This in turn would put !he Town in a favourable light relative to competing municipaOties in York Region and the GTA. • In addition to a differentiated non-residential development charge, we request that you further discount new industrial development by 20%. A discount would further incent industrial development to locate in Aurora. Given the Town's industrial dominated employment forecast, a discount would possibly provide an additional attractive attribute for industry seeking new locations. As a prime industrial landowner/developer in the Town, we would appreciate your serious consideration of our requests as your development charge review continues to unfold and proceeds to Committee and Council. Yours truly, EMERY 1. ESTMENTS Richard Goldberg, CPA, C.A. cc: Aurora 2C West Landowners (via Don Given, MGP} Attached: Memo,from 181 Gr<?UP IBI Group 5th Floor-230 Richmond Street West Toronto ON M5V 1V6 Canada tel 4165961930 fax 416 596 0644 Memorandum To/Attention From cc Mai Somermaa Audrey Jacob, Andrea Renney Aurora 2C West Landowners (via Don Given, MGP), Jeannette Gillezeau Date March 21, 2014 Project No 36021 Steno ahj Subject Town of Aurora DC -Review -Phase 2 This memo outlines a review of the Town of Aurora DC and includes a rationale for supporting a dffferentiated non-residential rate and an opportunity for a discount for non-retail non-residential development. As well, the review provides additional information on the Parks service category in the draft background study, providing comparables of other area municipamies both within York Region as well as other GTA area municipalities. Current and Proposed Non-Residential Rate 1. The non-residential DC in Aurora is proposed to increase from $2.43/sf to $3.41/sf, an increase of 40%. When combined with the EDC and the Region of York DC, the overall increase since 2009 is significant as summarized in the table below. Nan~sidential Oll'ice/Retalllln& lnd!Udrfal 2009 201 ... 201 " Town of Aurora 2.43 3A1 40"/o 3.41 40% Region of Ynrk 7.43 19.41 161% 12.43 EDC 0.26 0.52 100% 0.52 Totaf 10.12 23.34 131% 16.36 Employment Forecasts 2. The forecasts included in the 2014 DCBS are consistent with the Region of York targets. The 2031 population is estimated to be 70,200, with 34,200 jobs, which are the same estimates found in the Town of Aurora Official Plan, listing York Region as the source. 3. The historic, currently estimated and forecast employment for Aurora are found within the 2014 draft Development Charges Background Study (DCBS). IBI Group is a group of firms prllvidlng professional services and ls affiliated with IBI Group Ardtltect& 1<7% 100.% $2% IBt Group Memorandum 2 Maf Somermaa-March 21,2014 Growth Projected 2006 20U 2014 2024 2031 2006-2(114 2014-2031 Ptmary 95 too ,,. 120 120 25 - \<\lorki!!!.lbne 2,415 2,410 2.481 2,54B 2,520 .. "' Oduslrial 5,153 4,676 4,791 '·"" 10,704 (362) S,913 Commercial (Retail) 6,115 7,6Zl 7,82£ 9,76a 9,97S 1,71f Zt<S Commercia! (N:ln-Retail) 1,328 1,642 1,682 '·""' 2,006 354 ..,. lnstnutiooal 4,455 5,845 5,917 ~027 ~ ... 1,462 124 No Fit.ed Ploce of WOfk 2,345 2.700 2,779 .i: ~= 434 tt Total "·""' 24,995 ,.., .. 3.69o u•• The above chart taken from the 2014 DCBS shows actual employment growth from 2006- 2014, and projected employment growth from 2014-2031. According to the 2014 DCBS, industrial employment in the Town fell from 5,153 in 2006 to 4,675 in 2011, reaching 4,791 by 2014, a drop of 362 over the period. Over the same period 1, 711 retail jobs were added, while office employment grew by 354 jobs. In total employment grew by 3,690 from 2006-2014. In order to reach the Region's target of 34,200 jobs by 2031, the Town will need to grow by 8,640 jobs. Despite the recent loss of industrial jobs, the Town of Aurora is projecting a substantial increase in this employment category going forward. Close to 6,000 industrial jobs are projected for Aurora to 2031, of which 4,859 are to be realized by 2024. Overall the industrial category is by far the largest employment growth 'sector'. I Town of Aurora Employment Forecast 2013·2031 ···1 12,000 10,000 "' 8,000 ..ll 0 6,000 ..... r ---~----/-'--------=;.;;;:~.~ 4,000 2,000 ::::===~--------commercial t---= (Non-Retail( t--:::::: ---_ . .. +---~--r----..,. 2006 2011 2014 2024 2031 The DCBS employment projection is illustrated graphically above. The sharp spike in the blue line represents the increase in industrial employment required to meet the 2031 targets. The prior DCBS issued in 2009 included a forecast of employment from 2009-2014. Employment land employment generally industrial employment, grew at rate much slower than anticipated. This is evidence of the tendency to overestimate industrial growth. IBI Group Memorandum Mai Somermaa-March 21, 2014 ntF mmovme tH orecas emson-2009DCBS Projected Actual Growth 2011-Growth 2011- 2009 2010 2.011 2012 2n13 2014 2014 Employment l.at'ld 582 600 641 400 5(JI 1,638 116 ~~OffiCe 133 138 146 111 115 643 "" Population Rerated 285 296 313 239 '"' 1,381 1,711 Total 3,6&2 2,181 Of interest, the 2009 DCBS estimated growth of 1,538 jobs over the 2011 to 2014 timeframe. This contrasts to the 2014 DCBS 'actuals' showing only a slight increase of some 116 industria! jobs over the same timeframe, indicating actual growth was lower than forecast. Further analysis of recent non-residential developments was undertaken to ascertain employment gains made in the community. Between 2006 and 2012, 2,346 jobs were generated on employment lands. The jobs were predominanUy office, with flex office/industrial space comprising the majority of development. Of this total job growth on employment lands, some 1,200 are attributed to State Farm office jobs and 450 jobs at the York Region Police Campus. ., 3 181 Group Memorandum Mai Somermaa-March 21,2014 The two sources of information regarding employment growth suggest Industrial development is lagging. Census data combined with current estimates has shown industrial employment falling by 362 jobs since 2006. An analysis of developments on the ground also suggest industrial job growth is occurring at a slow rate. Since this suiVey was conducted, there has been additional non-retail commercial development in Aurora. Bulk Bam opened in 2013, bringing 300 office and warehousing jobs. Presumably a portion of the anticipated Industrial employment will be generated by nonMretail commercial. Differentiated Non-Residential Rates and Discounts 4. A survey of municipalities in the Regions of York, Peel, Halton and Durham outlines that there are various policy approaches to the non-residential DC. For example in York Region, the Region imposes a differentiated non-residential DC on the basis of retail and non-retail (i.e., industrial and office). In Peel Region their approach differentiates between industrial and non-industrial. Similarly, area municipalities can adopt differentiated non-residential DCs. In the case of Vaughan, they have followed the Region's lead and impose a differentiated DC on the basis of retail and non-retail. Currently Aurora imposes an undifferentiated DC across the non-residential sector. 5. Similarly, another approach to incanting non-residential development is to provide a discount to potential uses that are viewed as being most desirable and in accordance with planning and economic development objectives. In this regard, it is suggested that the Town allow for a discount for office and industrial development. Some municipalities have an aggressive approach to incentivizing some categories of non-residential development. In the case of the City ofToronto, the City exempts industrial development entirely from DCs; further, the City only imposes a DC on the ground floor of non-residential developments. So in the case of a multi-storey office/retail development, a DC Is payable on the ground floor GFA only. Similarly, the City of Oshawa exempts industrial development from DC payment These are only a few examples. 6. The final chart shows a comparison of parks costs amongst municipalities in the Region of York and other select municipalities in the context of 'level of service'. The cost per acre is shown by component parkland, amenities, trails and vehicles/equipment In order to ensure comparability, passive open space was taken out of !he calculation for parkland. The Town of Aurora has the highest cost per acre amongst all of the municipalities surveyed. Of particular note, the amenities included in the parkland standard are very high compared to other adjacent municipalities. This warrants review. 181 Group Memorandum Mai Somermaa-March 21, 2014 Note: T1'e Amellilies cetegory inchxies Bll costs olhe! than Parkland, Trails, Vehicles .and Eqlipment Note: Indexing values based on file Nm-resk:leflliN Conslruc~·on Price I!JdtJx. Indexing 2009/o 2013 6.7% lndexing201Gto2013 6.8% lncfe!lfng 2011 to 2013 2.6% Recommendations • A differentiated non-residential development charge can provide incentive to particular types of development. In the case of Aurora, it has been able to attract strong development in the retail sector but significantly less in the area of industrial and office development. Given the employment forecast and the economic development objectives of the Town, a differentiated non-residential rate would be of assistance to achieve the industrial and office employment targets. Given the Region's differentiated non-residential DC for retail and non-retail, It would be appropriate for the Town to adopt a similar approach to non-residential DCs. • Further, given the level of industrial employment forecast in the DC, combined with recent industrial employment trends in the Town and the competitive environment, a discount for industrial development is warranted. 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