Community Improvement Plans

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1 Community Improvement Plans Julia Sjaarda, Summer Planning Student 1

2 What is a Community Improvement Plan (CIP)? Tool under Section 28 of the Planning Act that allows a municipality to direct funds and implement policy initiatives towards a defined project area Grants and loans to pay for all or part of eligible costs Eligible costs include those related to environmental site assessment, environmental remediation, development, redevelopment, construction and reconstruction of lands and buildings for rehabilitation purposes or for the provision of energy efficient uses, buildings, structures, works, improvements or facilities (Section 28(7.1)). Downtown Community Improvement Plan Project area: primarily Downtown Core Commercial, Downtown Core Transitional Areas, Urban Living Area, and Harbour Open Space Area Purpose: promote investment in the historical and commercial areas of the Municipality 2

3 Downtown CIP Action Plan 3

4 Downtown CIP Project Area 4

5 2016 Project Funds for Summer Planning Student in 2016 budget to compile Economic CIP background and draft document/programs Discussion focused around areas outside of Downtown CIPA to include both urban and rural highway commercial areas, rural settlements, and rural/agricultural lands and uses Draft programs developed in light of Council s Strategic Priorities with a focus on: Promoting investment and business including agricultural/on-farm diversification Protecting historic assets and encouraging their restoration Enhancing energy conservation and renewable sources Identified energy conservation program would benefit all new and existing CIP areas, plan can be structured accordingly 5 August 8, 2015

6 Economic CIP Policy review and best practices review completed in June Survey conducted early July Financial Incentive Programs 1. Buildings and Lands Improvement Grant/Loan 2. Energy Efficiency Improvement Grant 3. Study and Business Plan Grant 4. Development Charges and Municipal Fees Grant 5. Tax Increment Equivalent Grant 6

7 Buildings and Lands Improvement Grant/Loan Purpose encourage rehabilitation, repair and/or improvement of buildings and lands for commercial, industrial, agricultural, or value-added agricultural uses. Non-residential buildings with significant heritage value will also be eligible. Area of Application Entire Municipality, excluding Downtown CIPA Eligibility priority for structured identified as agricultural or value-added agricultural uses. Residential buildings and lands do not qualify for this program, except where a historical nonresidential structure has been converted to for residential use. Funding depends on scope of proposed project: Grant 50% of eligible project costs, to a maximum of $7,500 per project/property Loan - $10,000 - $50,000, 0% interest, amortized 10 years 7

8 Energy Efficiency Improvement Grant/Loan Purpose encourage property owners to improve energy efficiency of existing commercial, mixed-use, agricultural and industrial buildings, and to facilitate the installation of renewable energy systems Area of Application Entire Municipality, including Downtown CIPA Eligibility Only commercial buildings, mixed-use buildings, agricultural buildings, and industrial buildings shall be eligible for this grant. Residential buildings are not eligible for this grant. Grant 50% of eligible project costs, to a maximum of $7,500 per project/property Loan - $10,000 - $50,000, 0% interest, amortized 10 years 8

9 Study and Business Plan Grant Purpose assist property owners with financing the cost of undertaking studies, such as studies that determine if agricultural/rural lands and structures can be converted or adapted to on-farm commercial, industrial, and value-added uses, and to prepare business plans for such new or expanding ventures. Area of Application Entire Municipality, excluding Downtown CIPA Grant 50% of eligible project costs, to a maximum of $7,500 per project/property, up to $15,000 for environmental studies 9

10 DCs and Municipal Fees Grant Purpose assist property owners with financing the cost of development or redevelopment by providing a fee-equivalent grant to offset the amount of the applicable fees, including: - Development Charges - Building Permit Application Fee - Planning Application Fees - Parkland Dedication Fees Area of Application Entire Municipality, excluding Downtown CIPA Eligibility Not eligible for residential development Grant Up to 100% reduction in both Development Charges and Municipal Fees 10

11 Tax Increment Equivalent Grant Purpose provide economic incentive for rehabilitation and redevelopment of commercial/industrial, agricultural, and value-added agricultural properties Area of Application Entire Municipality, excluding Downtown CIPA Eligibility Registered property owners/assessed owners Improvements to building/property must be sufficient size and cost to result in a reassessment of the property Grant paid over a ten year period, with the first year representing 100%, then on a declining basis over the 10 year period 11

12 Process / Next Steps Final draft background / CIP document to be completed August 2016 Public consultation and approval process per Planning Act Fall 2016 Consideration through 2017 budget process with potential to launch incentive programs in Spring

13 Questions? Contact Info Julia Sjaarda x

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