Policy - Development Charge Refund - 20251125
100 John West Way
Aurora, Ontario
L4G 6J1
(905) 727-3123
aurora.ca
Town of Aurora
Policy
Finance
Contact: Financial Management
Approval Authority: Aurora Town Council
Effective: November 25, 2025
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Development Charge Refund
Purpose
The purpose of this policy is to define the Town’s process for the identification of
previously paid development charge eligibility for refund and release of payment under
Sections 18 and 20 of the Development Charges Act, 1997, SO. 1997, c.27.
Scope
This policy will apply to all developers and/or builders who have paid development
charges to the Town.
Definitions
Act
Means the Development Charges Act, 1997, S.O. 1997, c.27, as amended, revised, re-
enacted or consolidated from time to time, and any successor statute.
Developer
Means a person, corporation, group of persons and/or corporations, or an agent for a
person, corporation or group of persons and/or corporations who is undertaking a
development.
Development Charge Refund
Means the refund of eligible previously paid development charges under Sections 18
and 20 of the Act.
Development Charges (D.C.s)
The Town’s development charges collected under authority of the Act and/or the
Town’s related Development Charges By-law, or area-specific development charges
bylaw.
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Policy
Refund Eligibility Under Act
Under Section 18 and 20 of the Act, a refund of development charges may be issued in
two instances.
i. A developer may seek a development charge refund under one of the
following circumstances:
a. The amount of the development charge was incorrectly determined
b. A credit is available to be used against the development charge, or the
amount of the credit or service with respect to which the credit was given,
was incorrectly determined
c. There was an error in the application of the Development Charges By-law
ii. If the Ontario Land Tribunal repeals or amends a development charge by-law
or orders Council to repeal or amend a development charge by-law, the
municipality shall refund the difference between the development charges
paid and the development charges approved under the repealed or amended
by-law
Other Refund Eligibility
If a development charge is paid at the time a building permit is issued and no building
proceeds pursuant to the said permit and the building permit has expired, the developer
may apply to the Director, Finance / Treasurer for a refund of the development charges
paid at the time of building permit issuance provided the building permit is surrendered
with the said refund application, if not already surrendered.
Application for Development Charge Refund
A development charge refund application is required under the Refund Eligibility Under
Act section (i) and Other Refund Eligibility section of this policy. Otherwise, an
application for a development charge refund is not required.
An application for a development charge refund under the Refund Eligibility Under Act
section (i) may not be made later than 90 days after the day that the development
charge, or any part of it, is payable.
An application for a development charge refund under Other Refund Eligibility section
may not be made later than 90 days after a building permit has been surrendered.
An application for a development charge refund which must be made in writing to the
Director, Finance / Treasurer and include the requestor’s name, the address where
notice can be given and the reasons for the request. The Director, Finance / Treasurer
will decide based on the evidence provided to dismiss the request or issue a refund.
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Interest
Any refunds issued under the Refund Eligibility Under Act section (ii) of this policy will
be paid with interest to be calculated from the date on which the overpayment was
collected to the date on which the refund is paid. The Bank of Canada interest rate in
effect on the date the overpayment was made will be used.
Education Development Charges
This process applies equally to any development charge refund request relating to
Education Development Charges. Under section 257.85 of the Education Act, R.S.O.
1990, c. E.2, the Town is responsible for handling requests of this nature.
Responsibilities
Director, Finance / Treasurer
• Administration of this policy in collaboration with applicable departmental and
developer stakeholders
• Approval of any requested development charge refunds under this policy
• Enforcement of this policy
• Disbursement of any agreed upon development charge refunds
• Assess the financial impact of development charge refunds
Legal Services
• At the request of the Treasurer, the Solicitor is responsible for providing advice
related to this policy
Monitoring and Maintenance
The Director, Finance / Treasurer, shall ensure compliance with the Act, the
Development Charges bylaw, this policy and all other legislative requirements.
References
• Development Charges Act, 1997, S.O. 1997, c. 27
• Education Act, R.S.O. 1990, c. E.2
• By-law – Development Charges