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Entente de partage des coûts du centre-ville de kanata entre urbandale et la ville d’Ottawa |
COMMITTEE RECOMMENDATION
That Council approve that the City enter into an agreement to reimburse Urbandale Corporation 50% of the cost of the construction of those portions of Maritime Way, Rocky Mountain Way and Cordillera Street shown on Document 1 on the basis of the following:
a) 25% of the cost shall be funded from development charges;
b) 25% of the cost to be paid upon the development or sale of any portion of the City lands in the Town Centre;
c) The outstanding amount due from the City to be indexed annually on 1 August at the indexation rate pursuant to the Development Charge By-law, By-law 2009-216;
d) The contribution by the City shall not exceed a total of $550,000, exclusive of indexing; and
e) The agreement to be in a form satisfactory to the Director, Real Estate Partnerships and Development Office and the City Clerk and Solicitor.
Recommandation
du Comité
Que le Conseil approuve que la Ville conclue une entente afin de rembourser à
Urbandale Corporation 50 p. 100 du coût de construction des portions de voie
Maritime, de voie Rocky Mountain et rue Cordillera indiquées dans le Document
1, en se fondant sur les faits suivants :
a)
25 p. 100 du
coût sera financé à partir des redevances d’aménagement;
b)
25 p. 100 du
coût sera payé dès qu’une portion des terrains de la Ville dans le centre-ville
sera aménagée ou vendue;
c)
le montant
impayé à recevoir de la Ville sera indexé en avril de chaque année au taux
d’indexation en cours, en vertu du Règlement municipal sur les redevances
d’aménagement (Règlement municipal 2009-216);
d)
la
contribution de la Ville ne devra pas excéder la somme totale de 550 000
$, indexation non comprise;
e)
l’entente
être rédigée de façon satisfaisante pour le directeur, Bureau des partenariats
et du développement en immobilier, et le greffier municipal et chef du
contentieux.
DOCUMENTATION
1. City
Manager’s report dated 5 October 2009 (ACS2009-CMR-REP-0048)
2.
Extract
of Draft Minutes from 6 October 2009 meeting of CSEDC.
Report to/Rapport au :
Corporation Services
and Economic Development Committee
Comité des services organisationnels et du développement économique
and Council / et au Conseil
5 October 2009 / le 5 octobre 2009
Submitted by/Soumis par : Kent
Kirkpatrick,
City Manager/Directeur des services municipaux
Contact
Person/Personne ressource : Gordon MacNair, Director
Real
Estate Partnerships and Development Office/Directeur, Partenariats et
Développement en
immobilier
(613)
580-2424 x21217, Gordon.MacNair@ottawa.ca
SUBJECT:
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KANATA TOWN CENTRE COST
SHARING AGREEMENT BETWEEN URBANDALE AND THE CITY OF OTTAWA |
OBJET :
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Entente de partage
des coûts du centre-ville de kanata entre urbandale et la ville d’Ottawa |
REPORT RECOMMENDATION
That the Corporate Services and Economic Development Committee recommend to Council that the City enter into an agreement to reimburse Urbandale Corporation 50% of the cost of the construction of those portions of Maritime Way, Rocky Mountain Way and Cordillera Street shown on Document 1 on the basis of the following:
a) 25% of the cost shall be funded from development charges;
b) 25% of the cost to be paid upon the development or sale of any portion of the City lands in the Town Centre;
c) The outstanding amount due from the City to be indexed annually on 1 August at the indexation rate pursuant to the Development Charge By-law, By-law 2009-216;
d) The contribution by the City shall not exceed a total of $550,000, exclusive of indexing; and
e) The agreement to be in a form satisfactory to the Director, Real Estate Partnerships and Development Office and the City Clerk and Solicitor.
RECOMMANDATION DU RAPPORT
Que le Comité des services organisationnels et du développement économique
recommande au Conseil de proposer à la Ville de conclure une entente afin de
rembourser à Urbandale Corporation 50 p. 100 du coût de construction des
portions de voie Maritime, de voie Rocky Mountain et rue Cordillera indiquées
dans le Document 1, en se fondant sur les faits suivants :
a)
25 p. 100 du
coût sera financé à partir des redevances d’aménagement;
b)
25 p. 100 du
coût sera payé dès qu’une portion des terrains de la Ville dans le centre-ville
sera aménagée ou vendue;
c)
le montant
impayé à recevoir de la Ville sera indexé en avril de chaque année au taux
d’indexation en cours, en vertu du Règlement municipal sur les redevances
d’aménagement (Règlement municipal 2009-216);
d)
la
contribution de la Ville ne devra pas excéder la somme totale de 550 000
$, indexation non comprise;
e)
l’entente
être rédigée de façon satisfaisante pour le directeur, Bureau des partenariats
et du développement en immobilier, et le greffier municipal et chef du
contentieux.
BACKGROUND
Through land acquisition by the
former City of Kanata, the City of Ottawa is the owner of approximately 28.66
acres of land within the Kanata Town Centre.
The City’s Official Plan provides that as both a Mixed Use Centre and
one of the designated Town Centres outside of the greenbelt, these and the
surrounding lands “constitute a critical element in the City's growth
management strategy, being an area with high potential to achieve compact and
mixed-use development” and an employment target of 10,000 jobs. Furthermore, Volume 2B of the Plan sets out a comprehensive set
of site-specific policies for the planned development of the Kanata Town
Centre. These policies encourage the
creation of an active, vibrant core area containing a diverse mix of urban uses
that are intended to foster a sense of place for the residents of Kanata and
the City.
As
part of the implementation of this vision, a branch of the Ottawa Public
Library has been designated to be located on these lands. The adjacent lands are owned by Urbandale
Corporation. Consistent with the
expectation that Town Centre lands will incorporate higher density residential
developments, an application is before the City with respect to a portion of
Urbandale’s land to construct a 146-unit, 10-storey apartment building.
Both
the development of Urbandale’s lands and those of the City are premised on a
planned road network consisting of collector roads. Several of these roads are to be cost-shared between Urbandale
and the City on an equal basis, either because they are located adjacent to
each other’s parcels of lands or due to the fact that they provide access to
the arterial road network. Urbandale is
prepared to proceed with the construction of these roads in order to be able to
see the construction of the apartment building move forward, thereby assisting
in the implementation of the vision for the Town Centre. However, while some City funding, discussed
below, is in place, the road construction has not been able to proceed as the
roads are not fully funded and the delegated approval for plans of subdivision
does not permit staff to authorize a project where such would constitute a
financial obligation on the City.
DISCUSSION
As
stated above, the development of the Kanata Town Centre is a key part of the
planning vision that was developed for the Kanata area. Planning staffs have confirmed that in order
that the construction of the streets shown on Document 1 is a necessary step to
seeing the implementation of that vision and also enabling the development of
the City’s own lands.
Urbandale
Corporation is prepared at this time to move forward expeditiously with the
construction of the roads. They have
acknowledged that the full amount of the necessary funding for the City to
contribute its share to the roads is not available at this time and are
therefore prepared to await the development or sale of a portion of the City’s
lands to receive full reimbursement of the City’s share.
As
part of the development charges regime, funds were set aside by former Kanata
for growth related works within the Town Centre. The Kanata Development Charges Policy permits 25 per cent of the
cost of collector roads to be funded from development charges.
In
the present case, the estimated cost of the road construction is approximately
$1.1 million. Development charges can
therefore fund $275,000 of the City’s 50% share. As noted above, there are no further City monies available at
this time to fund the balance of the amount due from the City. In common with the practice where one
landowner will carry the cost of construction if it has a current need for the
construction infrastructure that will benefit a second landowner who will be developing
its land later, it is proposed that the City would reimburse Urbandale the
City’s remaining portion of the costs of construction upon the first
development or sale of the City’s lands.
The amount outstanding would be indexed annually at the same rate as
development charges.
The
details of the cost sharing would be set forth in an agreement between the City
and Urbandale. The work will be carried
out by Urbandale whose engineer will be required to certify to the City that a
competitive price has been obtained.
ENVIRONMENTAL
IMPLICATIONS
The construction of these roads are deemed approved through the Class Environmental Assessment process as part of the draft plan of subdivision approval and subject to compliance by the City with the conditions of a draft plan approval.
CONSULTATION
The
development of the vision for the Kanata Town Centre, which includes the
subject roads, was subject to an extensive public consultation process by the
former City through the 1990’s.
FINANCIAL
IMPLICATIONS
Funds
in the amount of $275,000 are available from Account 904066. A further amount of $275,000 will have to be
budgeted when the City’s lands are developed or set aside from the sale of the
lands.
SUPPORTING DOCUMENTATION
DISPOSITION
In cooperation with Realty Services, Legal Services will prepare an agreement to provide for the funding authorized by this report and to ensure the works are carried out in compliance with the conditions of draft plan of subdivision approval. Payment will occur as progress payments are issued to a maximum of the lesser of 25% of the cost of the work or $275,000
Realty
Services will seek the inclusion in a future capital budget for the remaining
25% or, as appropriate, structure any sale of the City’s lands to ensure that
payment to Urbandale occurs.
DOCUMENT “ 1”
