Total Grant Estimate Year 6-10	$ 1,103,105
Total Grant Estimate	$2,206,210

Assumptions

Current Property Value Assessment	$691,000
Current Municipal Tax Levy	$11,340
Estimate Post Development Property Assessment (Commercial)	$840,000
Estimate Post Development Property Assessment (Residential)	$12,600,000
Estimate Post Development Municipal Taxes (Commercial New Construction)	$27,504
Estimate Post Development Municipal Taxes (Multi-Residential)	$204,457
Municipal Multi-Residential Tax Rate	0.01622679
Municipal Commercial Tax Rate	0.03274263

Because the Grant Program does not cancel taxes, the owner must pay the full amount of property taxes annually and will subsequently receive a grant for the difference between the pre and post-development municipal taxes. The City will retain the amount of pre-development (base) municipal taxes throughout the lifespan of the grant program; however will be foregoing any incremental property taxes which could otherwise be used to offset future budget pressures.

Consultations:

The Downtown CIP was subject to stakeholder and public consultation as part of the approval process, including public meetings, a statutory public meeting and circulation among internal City staff and the Province.

Planning staff have consulted with the owner prior to accepting the application. Staff from the Planning and Building Division were consulted in the preparation of this report.

Conclusion:

Staff recommends that the application for the New Residential Development Grant Program and Building/Property Improvement Tax Increment Grant be approved.

Planning Act Matters:

N/A

Approvals:

Name	Title
Neil Robertson	Manager of Urban Design