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Development Charges Interest Relief Approved - 14 Sep 26
London · September 15, 2026
Okay, good afternoon everyone. This is
the uh 14th meeting of the
infrastructure and corporate service
committee. Uh please check the city
website for additional meeting detail
information. The city of London is
situated on the traditional lands of the
Anesnabek, Honi, Lenwamp, Adawand
people. We honor and respect the
history, languages and culture of the
diverse indigenous people who call this
territory home. City of London is
currently home to many First Nations,
Matei and Inuit today. As
representatives of the people of the
city of London, we are grateful to have
the opportunity to work and live in this
territory. Uh we do have uh in terms of
committee members, councelor Ploa,
councelor Vanir Bergen, myself and we
have councelor Frank online as well and
the mayor is joining us today also. City
of London is committed to Oh, and
Council Ramen is also online. Sorry.
City of London is committed to making
every effort to provide alternate
formats and communication supports for
meetings upon request. To make a request
specific to this meeting, please contact
ICSC atlondon.ca
or 519-661-2489
extension2425.
I'm looking for disclosures of community
interest.
Okay, not seeing them, but I do have a
request uh for a change of order. Uh
looking to councelor Van Mirgan
to move that
>> uh seconder
>> can you just disclose what the change of
order is?
>> Yeah, this would be to move the
confidential item um to just before
consent.
>> Okay. Seconded by councelor Posa. Okay.
And we'll open that in the vote. One
second.
>> I'm going to vote in favor. I'm not
logged in yet.
I vote yes as well.
>> Okay, sorry. We just have to cancel this
and set it up again. One second.
Okay, we'll open that for a vote.
>> Closing the vote. Motion carries 5 to
zero.
>> Okay, just give us a moment to get
settled.
Oh, sorry. Now we need to vote to go
into camera.
>> I'm in favor.
>> Closing the vote. Motion carries 5 to
zero.
Okay, thank you. Welcome back. Um, look
to uh, Councelor Frank to report out
from close session.
>> Thank you. I'm pleased to report that
progress is made for the items for which
we went in camera for.
>> Thank you. Uh, we are now on to consent
items. There are six items. Um, looking
for anything to be pulled.
Okay. Uh, not seeing any. Uh, can I get
a mover and seconder for these six
items? Councelor PLA, Council Van
Mirburg, thank you. Okay. So, those
items have been moved. Are there
questions?
Okay. Looking around.
Oh, sorry, Councilor Frank. You're right
in front of me. Okay, go ahead.
>> Thank you. That's okay. Um, I just had
one question for item 2.6. I've been
getting lots of questions about AI data
centers and our industrial land
strategy. So, I'm just wondering if
staff could comment on if uh a data
center would be an applicable use for um
the industrial the municipal industrial
land.
>> Okay. Looking to staff.
>> Yeah, thank you. And through the chair,
uh presently uh our targeted industries
do not include data centers. Uh so
businesses that store and process data
for retrieval are are uh not not part of
the targeted industry um specifications
for the program.
>> Followup councelor.
>> Thank you. And then just to confirm so
then staff would not bring any
recommendations forward that type of use
be used for municipal land.
>> Go ahead staff.
>> Uh thank you. through the chair. It the
ILDS team would review any any suitors
uh and in the context of of vetting them
against the targeted industries. I I
would say no
>> followup.
>> Thank you. Appreciate that.
>> Okay. Looking around for any other
questions on these items.
All right. Final call.
Not seeing any. Okay. We'll open this
for vote.
Closing the vote. Motion carries 5 to
zero.
>> Okay, we are now on to scheduled items.
Um, this is the uh tribunal for the
develop development charge appeal. Uh,
just give us a moment with that.
Okay. So, uh I need a mover and a
seconder um for us to sit as the
tribunal.
Okay. Councelor Van Merberg. Council
Posa. Thank you. Okay. Um and I will
just read this out. Um that the
infrastructure and corporate services
committee now convene as the tribunal
under section 26 of part 4 of bylaw
CP551-227
to hear complaint under section 20 of
the development charges act 1997 and
provide the complaint an opportunity to
make representation.
Um, this is a hearing of a complaint
made by McKenzie Lake Lawyers LLP on
behalf of Sereno West Village
Incorporated in Westell Development
Corp. under part four of bylaw
CP1551-227
as amended uh the development charges
bylaw in respect to the development
charges imposed by this corporation of
the city of London in connection with
the lands municipally known as 15
Capulate Walk, London, Ontario.
And I will look for any declarations of
pec interest.
Do we need
Okay, we're actually going to do the
vote first.
Motion carries 5 to zero. Okay,
>> thank you. And now I will look for any
declarations of community interest.
Okay, I'm not seeing any.
Um I will now look to see who is
representing the complainant and who is
representing civic administration.
>> Okay. Uh I see the planet up in the
gallery. Okay. and for civic
administration. Okay, thank you both. Ry
go to the mic state.
>> Okay. And I I just need both to
identify. So, um go up to the mic first
and then we'll go down to staff.
>> Hi, my name is Paul Kitson from Westdale
Developments.
>> Okay. Thank you. And then staff.
>> Thank you, Chair. I'm Kyle Wilding. I'm
the senior manager and deputy chief
building official.
>> Okay. Thank you.
Um, so I just need to advise that
infrastructure and corporate services
committee and the parties to the hearing
that the lawyer from the city
solicitor's office is here to answer any
legal questions of the infrastructure
and corporate services committee
>> in camera.
>> In camera, sorry. Um, so the hearing
shall be conducted as follows. A,
certain documents will be identified for
the record. B. The infrastructure and
corporate services committee will hear
any oral evidence, receive any further
documents, and hear any submissions on
the matter in public. C. The order of
the proceedings is as follows. The
complainant first, civic administration
second, and then the complainant
responding to any new issues raised by
civic administration.
D. No party to the hearing may
cross-examine or question the other
party on either any written document or
uh oral evidence. E. City clerk, acting
ed registar will keep a written record
of the hearing. F. The infrastructure
and corporate services committee may
decide to go in camera to receive legal
advice. Neither the complainant nor
civic administration except the city
clerk acting as registar may be in the
room. If the committee receives legal
advice in camera. G. If the committee
convenes in camera to receive legal
advice, it will reconvene in public to
deliberate the merits of the complainant
and make its recommendation.
H. After hearing the evidence and the
submissions, the committee will either
adjourn the hearing or make a
recommendation with reasons to the
municipal council on the merits of the
complaint. And I, municipal council will
make the final decision on the complaint
under section 32 of the bylaw. That is
municipal council may one dismiss the
complaint or two rectify any incorrect
determination or error that was subject
of the complaint.
Okay. Uh, I will now ask the clerk to
identify and mark the following
documents for the record. Exhibit one,
notice of hearing dated August 24th,
2026. Exhibit two, written complaint
from James Eley uh McKenzie Lake
lawyers, dated August 7th, 2026. Exhibit
three, staff report dated September
14th, 2026 from the deputy city manager,
housing and community growth.
Okay, I will now look for the
representative of the complainant to uh
come to the mic if they wish.
Okay. Uh just before you speak, sorry.
Um so identify the written documents
that is relying upon in addition to
exhibit two the written complaint and
provides copies of those additional
documents to the infrastructure and
corporate services committee which shall
then be entered by the clerk into record
and numbered as exhibits. uh b provide
oral evidence if any and c make
submissions on the complaint. Okay, so
if you'd like to go ahead you can.
>> Thank you chair. Uh my name is Paul
Kitson. I'm the senior vice president of
planning and developments with Westell
Developments. Thank you for the
opportunity to speak here today
regarding 15 cap walk on our request for
relief from approximately 553,000
in deferred development charge
interests. Many of you may remember the
groundbreaking of this project which was
attended by Mayor Morgan, uh, Minister
Rob Flack, Council Layman, members of
staff and the Westell team. That event
was significant because 15 caplet was
the first project fast tracked through
the housing development fund or the
housing initiative fund and was publicly
recognized as an important project for
the city. Through the city's TSA zoning
that came into effect last year, the
project increased from 17 stories to 26
stories,
significantly increasing the amount of
housing being delivered. Approximately
10% of those units will be provided as
affordable housing through the CMAC's
MLI select program.
When the city asked the development
community to help accelerate housing
construction, Westell saw this as a call
to action. We deliberately advanced the
project and accepted additional costs
and risks associated with winter
construction so that foundations could
be completed within the required time
timeline and help support the city's uh
provincial housing funding objectives.
We were aware of the upcoming
legislative changes addressing um
deferred development charge interests.
However, we proceeded in good faith
believing that any concerns arising from
the transition could be worked out with
city staff. Unfortunately, we now
recognize that staff
uh did not have the authority to address
those matters outside of the required
legislation and city bylaw and we
respect that and we're not here to
challenge staff's interpretation of that
either. What we're asking is for the
committee to consider it. What we're
asking the committee to consider is the
fairness of the circumstances
surrounding the particular project.
So our alternative payment agreement was
signed 12 days before the legislative
change came into effect and the building
permit card was issued 4 days before it
came into effect. Staff challenges that
section 26.1 does not apply
when section 27 when a agreement is
signed under section 27. So the
important question for us is had we
waited until November 3 to enter into
that alternative payment agreement which
would be under section 26.1 and submit
our building permit would the
development charge interest be incurred
and would we still be here today asking
for relief of that 553,000 in interest
and the answer is no. That timeline
difference is important because delaying
the permit would have affected our
ability to complete foundations on time
or before the end of the year which was
the reason why we pushed to start the
project to begin with. So once we
learned that staff could not uh resolve
the issue, we considered cancelling and
reapplying the building permit. that
would have resulted in another 310,000
in additional costs and that outcome
would not benefit Westell the city or
delivering much neededed housing. So our
request today is straightforward. Uh we
could have taken a more conservative
approach and delayed the building permit
application and delayed signing that
agreement. That's something we could
have done. Instead, we chose to move
forward the project, accept the
additional costs and the risks in order
to keep the project on track to help
support the city's housing objectives.
So, that approximate 555,000 in deferred
interest is a result of a very narrow
timing difference. A building permit
issued 4 days before the legislative
change. So, in the and in the context of
the project that the city was asking us
to help advance.
So, we're just asking the committee to
recognize exceptional circumstances here
within the discretion that's available
to to them uh for us to be able to move
the project forward reasonably. And we
appreciate the mayor's support, support
from council uh and the project that the
that we received the support that we
received from everyone and the time
that's taken to consider our requests.
So on behalf of Westdale and Iman who is
not able to make it today, uh we thank
you for your support.
>> Okay. Uh thank you for your oral
submission. And now I would look to the
committee if they have any questions of
the complainant.
>> Go ahead, Mayor Morgan.
>> Yes, I have a question. Um now just so I
I want to follow the rules of the
tribunal. Can I ask questions of
municipal staff about the timing piece
that are that may be relevant to the
tribunal or do I have to ask questions
directly to the two uh proponents?
>> It's just the uh complainant right now.
>> Yes.
>> If after municipal staff gives theirs,
if I have a question of the proponent,
can I come back to that at that time or
do I have to ask any question I have
now?
territory.
>> Yeah. Um I'll look to the city
solicitor. Go ahead.
>> Uh thank you. Um generally the rules of
uh fairness in tribunals would uh allow
the decision maker to ask questions uh
of each of the representatives following
their presentation.
>> Okay. Yes, we'll come back.
>> I'll wait for the staff presentation
then.
Okay. And now I will ask the uh
representative for the uh city um to
make their submission. Um so identify
the written documents uh that is relying
upon in addition to exhibit 3 its report
and provide copies of those additional
documents to the infrastructure
corporate services committee which will
then be entered to the clerk into the
record and numbered as exhibits. Uh
provide the oral evidence if any and
make submissions on the complaint. Um so
go ahead uh city staff.
Thank you and uh through the chair. Um
in addition to the staff report, uh
civic administration has reviewed the
development charges act, the city's
development charge bylaw, and the
executed alternative payment agreement.
Um so civic administration's position is
that the complaint does not establish
any of the statutory grounds for relief.
On the first issue, the applicant
voluntary voluntarily entered into a
section 27 alternative payment agreement
that expressly requires interest to be
charged. Because a section 27 agreement
is in place, the statutory installment
provisions under section 26.1,
including the November 3rd uh amendment,
do not apply. The timing may be
unfortunate, but it does not make the
original determination incorrect or
establish an error in applying the
bylaw. On the second issue, the 23
proposed affordable units may qualify
for an exemption. The required
affordable housing agreement had not
been requested or executed when the
development charges were determined. The
exemption does was therefore not
available at the time. If the applicant
continues or completes that process and
the units are confirmed as eligible, the
city will adjust both the development
charges and the related interest
accordingly. Civ civic administration
recommends dismissal of the complaint
because no incorrect der determination
or error in applying the development
charges bylaw has been demonstrated.
So are there questions uh from committee
members um to civic administration at
this time?
We there will be an opportunity. So just
Okay. Uh I'm not seeing any. Um I will
then ask uh the representative for the
complainant um if there were any uh
issues that civic administration raised
that you would like to respond to.
Uh no, not necessarily that we disagree
with staff's position. We understand
staff's position. We're just asking
based on what's available, the
discretion that's available to the
committee to consider the circumstances
that's um been presented.
Okay. So now we'll go to questions which
can be asked to both parties. Um just
noting if there is a need to go in
camera um that that also be um brought
forward at this time but I will now look
to uh committee or visiting member um
actually.
>> Yes. Okay. So visiting members can also
ask questions but I'll look to the mayor
as he wanted to speak first. Um
>> yes and I'll let you direct the
questions um because I'm I'm not sure if
Mr. Wilding or Mr. Mayor I'm not sure
who to ask this to. So um
I want to understand the situation as
has been articulated here. Um uh staff
uh have essentially determined to say
here's how the the development charges
bylaw and the legislation works. Um our
hands are tied because you know it's
very technical legislation. It says
things very clearly and if you read this
very clearly uh and accurately um you
come up with the staff position to say
um sorry this doesn't qualify. Um the
applicant does not necessarily disagree
with staff's u reading or interpretation
of uh the legislation. Uh but there is
this piece here um that is I would say
concerning to me um that I my and I'll
get to my question in a second. I
appreciate the leeway where the only
reason we're having this discussion
is because the city of London said,
"Help us meet our building faster fund
target by doing things sooner so that we
could get the $12 million that we ended
up getting because of projects like this
and because they moved their start date
or their their building permit date onto
the other side of the the line
essentially the November 3rd line. I
believe
they pay $500,000 in interest that if
they would have waited and were on the
other side of that line, they would not
have paid.
Uh, and that if they were on the other
side of the line, there's very little
chance they would have been able to meet
the pouring of the foundation and the
conditions
uh of the building faster fund. So is
that like a correct articulation of of
the situation as I understand it from
maybe our staff?
>> Go ahead when you're ready.
>> Uh through the chair. Yes, that is
accurate. Um as as well on top of this,
we were very much focused on trying to
get this housing started building. It
was uh so there was a mayoral direction
related to trying to fasttrack this work
and uh and these units would count
towards our housing accelerator and
ideally would have counted towards our
building faster fund as well. And uh
very uh uh as as far as that even that
timing of year, yes, it becomes more and
more difficult as you get closer to to
December to be able to do things like
poor foundations. And uh I I understand
from um the uh the applicant that that
was one of the challenges that they were
facing.
You want a followup?
>> Well, that's all I have for questions.
I'm I I'm happy to share my thoughts as
a tribunal member about what we should
do, but I I don't have any further
questions. So, maybe I'll leave it for
others to ask questions first.
>> Okay. Uh looking for any other member
questions.
Okay. I'm not seeing any. Um if you want
to provide your comments, go ahead.
>> I I would like to provide my comments.
So, this is a situation where
I completely understand the position of
staff uh and I completely understand
their reading of the act uh and I
understand the concerns that the
applicant has. Um, this is one of those
situations where
you're doing the municipality what ends
up being a $12 million favor and the
position they put themselves in is a
half a million dollar bill that they
otherwise wouldn't have. And so to me,
that seems like something that we need
to rectify. um because
there was no reason for them to move up
their application date or their building
permit date aside from helping the
municipality meet its housing targets in
time to get almost $12 million from the
province of Ontario which obviously we
desperately need for housing enabling
infrastructure.
So I guess my question is, you know, I
may be able to read that as
that the amount of development charges
was incorrectly determined given the
circumstances uh and all of that
happening at once. I understand staff's
direct reading of the act. Um, I guess
my question is, can I
do we have the flexibility as a tribunal
to grant
um to grant the relief?
Uh, and if we do, what are the reasons
that we have to use to grant the relief?
because I I certainly if if it's
possible I would like to grant relief
for this individual but I would like to
do it grounded in the proper legal
processes that it is like a fair and
legitimate granting of the relief given
the circumstances because I think
there's a there's a right in my opinion
there's a right thing to do here um and
that right thing to do is to try to find
a way for them not to have to pay this
charge they wouldn't have had to pay if
they would have if they would have
proceeded with their plans as they had
them before we asked them to move them
up And by we, I mean us, municipal
council, civic administration. Um, and
I'm very thankful they did because we
got $12 million out of it. So my
question, I guess, to maybe our our
legal staff is can can we grant the the
relief? Um, and and do if we do so, do
we have to pick one of these reasons in
the act to do so or can we grant it
based on um the circumstances, the total
circumstances of of the day? like do we
have the discretion to to to make a
decision or are we bound by some sort of
parameters to make the decision within?
That's my question to staff.
>> Okay. When you're ready, go ahead.
>> And council Roman, I do see your hand,
but uh just wrapping this one up.
Thank you and through the chair. Uh with
respect to the development charge
appeal, the um grounds for granting
relief are what is set out in section 20
of the act which is that the amount was
incorrectly determined uh that there's a
credit available or that there was an
error in the application of the
development charge bylaw. So if council
is satisfied that or committee is
satisfied that it applies to one of
those three reasons, it should uh grant
the appeal. The other alternative would
be to dismiss the appeal and then uh
sitting not as the tribunal but as the
committee uh there could be a direction
to staff to go and reopen the APA and
work with the applicant to uh amend
those provisions.
>> Follow up.
>> Well, I definitely need to follow up on
that. Would and this is really relevant
to the tribunal's decision too for me.
Would opening up the APA, would a
direction to open up the APA have the
capacity to grant the relief that
they're being asked here today?
>> Uh, go ahead, Stephanie. Ready?
Uh thank you and through the chair. Um
so because the the act has
a a very limited um discretion for the
tribunal if it's something where council
wants us to take the approved template
for example which is what is happening
here and um remove the interest
provisions for example. That's probably
outside of the complaint process because
it is an agreement that uh has gone
through council versus um you know an
incorrect determination or an error in
math or or that sort of thing.
Oh, do you have a followup?
So,
and again, I appreciate that we're in
the tribunal. This is uh very important
for me for the way I approach the
tribunal.
So an alternative
path to granting some relief is direct
civic administration to go back to the
APA for this applicant and remove the
interest provisions given the changes
that the province has made to the act
and the proximity it's within a month so
or whatever time frame
given the proximity of that time frame I
grant you the ability to go and and and
renegotiate the APA with the removal of
the interest provisions that's something
that could be done which could grant the
relief and maybe we box maybe we box a
time frame around that because of the
proximity issue to the legislation that
would be possible through the chair.
>> Go ahead Seth.
>> Uh thank you and through the chair.
Yeah, that would be possible.
>> Then I I do have some comments from the
tribunal given given that um it is my
opinion that staff have correctly
interpreted the the development charges
act. Um I and I think it's a very
unfortunate circumstance because there's
there's there's a lot of me who wants to
say, "Hey, we we you did us a favor. We
put you in an awkward situation." I I
greatly appreciate the pathway that
staff have outlined to an alternative
for council to grant relief outside of
the tribunal because I think it would be
a very awkward spot to be to ground the
relief and the reasons under section 20
of the act um as they've seen as as they
are very prescriptive and and in even
the um even the complaintant is not
disputing that the act was properly
followed by our staff and their
interpretation. Um, again, that doesn't
that doesn't mean I won't vigorously
pursue um doing the right thing through
the renegotiate of the APA after the
tribunal is over. But I think given the
given the parameters under which the
tribunal is sitting and given the um the
legislation under which we can grant
decisions, I support staff's
recommendation to dismiss the complaint.
I would strongly encourage the applicant
to pursue the 23 units of affordable
housing through the path that staff have
outlined which would adjust development
charges should that agreement be able to
be signed. And I will say I I fully
intend to raise the issues of fairness
uh outside of the tribunal process which
is where they would rightly where there
is a proper um path to do so which would
not put us out of alignment with the
development charges legislation. And so,
um, I will say I'm I'm supportive of the
staff recommendation before us, and I
appreciate, uh, the discussion within
the tribunal, which I think has given a
path that may be able to reconcile the
concerns that the applicant has, um,
which, uh, this tribunal complaint would
not be the right place to settle them
given given the restrictions in section
20 of the act on what we can grant an
approval for.
>> Okay. And thank you, Mayor Morgan. And
yeah, just for everyone's clarification,
uh, I will get to you in a moment,
councelor Boza. So, we would still as a
tribunal have to choose one of the
options before us. Um recognizing that
we would still be on this item once we
um finish as the tribunal and if there
is a will to bring forward a motion as
has been discussed here, we can do it at
that time. But just recognizing
separating our role as the tribunal and
then our role as the committee uh and
being able to bring that motion forward.
That would be after we we finish as a
tribunal. Recognizing that we are still
on as a tribunal. So looking to the
committee members, I know councelor
Robin, sorry you had your hand up. Uh
councelor Clo, did you have questions?
>> Yes, Mr. Chair.
>> Go ahead.
>> Uh and thank you for outlining that that
process that once we dispose of this
item. We're still not completely done
with the item and that be an
opportunity. Uh so I'm hoping that uh
maybe Morgan's clerking something as as
I go. Um a question for you uh to staff.
I I shared the mayor's sentiment on this
one that the applicant did step up to
help make the city reach our housing
targets and meet those winter
construction timelines uh to make the
project happen and looking for the most
um
I guess the easiest way forward or the
most clearcut and uh appreciate the
reasons the tribunal has set out uh with
se section 20 and that staff
followed um everything that was laid out
uh legally. and did not misstep in any
way. This is really a a one-off of of
community partners coming to the table.
Can staff, if they're able to, um I was
on page 52 when it says the affordable
rental unit development charge exemption
agreement for the 23 units. Um what is
the process like for that if trying to
see outside of the tribunal how long
that process takes versus just how we
might word a motion when we come out of
this today if we felt of a different uh
a different way forward.
Uh go ahead when you're ready.
>> Uh thank you and through you uh Mr.
Chair. Uh so uh the initial conversation
that we had with this applicant started
on our dollars to doors application. Um,
but because what we look to do is we
look to because we're funding through
the dollar sed doors, but we also stack
on top of that the affordable housing
exemption under the DC. We didn't
actually progress to the DC exemption
conversation because we were still
talking, excuse me, about the dollars to
doors applications. So um if they are
eligible for the dollar sedor doorors
because we've aligned the two programs
so that they are um they're very similar
and they work together they would then
effectively be eligible for the DC
exemption. So once we've finished this
work uh we'll be able to work with them
to include that exemption for the DCs in
the future once all of this is complete.
>> Followup counselor. Uh yeah, just
through you um is there a timeline
roughly um just looking at which way to
go of that versus how a person might um
direct civic administration in emotion
of which is the easiest clear coat
fastest realizing the longer we wait the
more interest there there's accumulating
>> go ahead when you're thank you Mr.
chair. Um just uh last cycle at
community and protective services, we
approved the um the new dollars to doors
MLI program. So um effect the the DC
exemption is part of that conversation
as well. So once council is approved or
reviewed and made a decision on that
program, we'll be able to enter into
those formal discussions on the on the
DC exemption. Uh we have a template
agreement available for um for the DC
exemption. So it should be relatively
quick process for us to work with them
and be able to enter into that
agreement. The key part is that the DCs
aren't payable and uh until uh
occupancy. So we do have time for them
to complete the construction before uh
we actually have to have that completed.
>> Followup.
>> Uh thank you. And once the time comes
that you have a formal agreement with
the applicant, is staff authorized to do
that on their own or is it okay? I'm
seeing yes, it's just radio that's
coming back. Uh and I appreciate that
part of the conversation. Um, I'll leave
it to the mayor as he he's he's clerking
something that uh
I always appreciate Tommy and what we're
trying to do and always mindful that it
might come to council and we think it's
wrapped up and then something passes and
we put it all back to staff and then it
takes several cycles to come back to us
again. Sometimes that's just the process
but mindful of uh what we do as a
collective when we get there to council.
Thank you.
>> Okay, thank you. I'm looking for
committee members.
Okay, not seeing them. And sorry you've
been very patient. Uh, councelor Ramen,
go ahead.
>> Thank you. My questions were asked. I
put my hand down.
>> Okay. Thank you.
Okay. So now we need a motion in terms
of the options that are before us as the
tribunal. So I will look to uh members
for putting forward something.
Sorry, Mr. Chair, could you just lay out
what those terms are? Is there was only
one recommendation in the staff report
to start it off?
>> Yeah, dismiss or allow.
>> Go ahead, Mayor Mor.
>> Yeah, based on my previous comments, I
support staff's recommendation reading
of the act that we would dismiss um the
uh uh dismiss the appeal under the
provisions of the tribunal.
>> Okay. So you're moving the motion to
dismiss. Seconder, councelor Van
Mirburgen. Thank you. And yes, we can
still afterwards come back to this item.
But um that motion is now on the floor.
So that is to dismiss.
Any discussion on dismissal?
Okay. I'm not seeing any. Then we will
open the vote on that.
Closing
the vote. Motion carries 5 to zero.
>> So, a motion to adjurnn as the tribunal.
Okay. Mayor Morgan, councelor Van
Mirburgen. Okay. We'll open that.
Closing
the vote. Motion carries 5 to zero.
>> Okay. So now we have our other hat on.
We are now the IC committee again. Uh
and I will um look for alternate
motions.
>> Sorry, Mr. Chair. Is this where I could
provide some direction on the APAs?
>> Yes.
So, we're just going to give staff a
moment because they have to work on the
wording for this.
And if staff could email that to the
clerk or send it our way, that'd be
appreciated. Thanks.
Okay. Do we have some wording?
Go ahead.
Uh thank you and through the chair. So,
we have um
given the clerk some wording uh that
would
uh what it would do is uh uh direct
civic administration to consult with any
applicant that entered into an APA up to
50 days in advance of November 3rd, 2025
regarding agreements entered into
pursuant to section 27. 7 of the
Development Charges Act regarding
applicable interest provisions that
otherwise would not have been incurred
as a result of the legislative change to
the Development Charges Act on November
3rd, 2025.
And then it would delegate authority to
the city treasurer to amend agreements
to remove the interest provision as
applied after November 3rd, 2025.
with the reason for the delegation being
in case we enter into a uh lame dunk
period.
>> Okay. And does that work for you, Mayor
Morgan?
>> Yes, I'm I'm happy to move that and then
I I would like to make some um comments
on it to encou and to make the case for
colleagues to support it.
>> Okay, I'll second it and then you can
speak to it.
>> Okay. So um colleagues, you'll recently
recall we just had a tribunal where an
issue was raised that was uh
inappropriate to be dealt with at the
tribunal level because of the provisions
of the act. Uh and it seems to me that
there is uh there's a way to remedy a
situation where um uh the city was
helped out um by projects being moved
forward uh at our request uh to meet uh
our building faster fund uh targets and
which ultimately led to us receiving you
know almost $12 million from the
province. Um
I I what I appreciate uh in this in in
staff's advice on the motion is that um
there's a time horizon to it that seems
reasonable and I didn't pick it. drafted
um that would say this is kind of the
time horizon that APAs would have been
entered into that would have actually
made a difference of you know uh that
that um November 3rd legislative change
um and actually would probably would
have fallen in the parameters of us
asking people to to move things forward
uh to meet the housing targets. Um and
so I like the time the time lock on it
because I don't think this should be
opened up indefinitely to any APA we had
going back you know hundreds of days or
even a year. I'm not sure how uh how
many there would be or how far they'd go
back. So that that that time horizon is
important. Uh it also recognizes that
that the only reason someone is paying
interest charge. And let's make no
mistake, this is just interest that's
being paid. This is not taking money out
of the DCs. This is not taxpayer money
going back to a developer. This is just
saying we recognize that this the
province changed the legislation to say
you don't have to pay this interest on
this side of November 3rd, but you do on
this side. And so this gives us this
gives the delegated authority for our
staff to open up the APAs and grant
relief to anybody who may have moved
themselves across that line into what
can be a half a million costly situation
uh simply by doing us a favor to receive
$12 million. I think from my perspective
this is this is very much us trying to
be fair. Um because the answer could
have been no thanks. uh your housing
targets and your money from the province
isn't our isn't our business interests.
So, we're we're going to do what's right
for us and and go after the November 3rd
deadline, not put the foundation in the
ground by the end of the year. And, you
know, doesn't matter what happens, you
know, with your targets or whether you
get the money. That that's not what this
particular developer and and maybe
another or two uh may have done here.
They they said, "No, we want to be a
partner in the city on housing. We
recognize provincial dollars are at
stake. We're willing to move that up."
And I think their their very fair ask in
that is please don't penalize us
significantly financially for helping
the city achieve its housing targets and
and and and receive significant amounts
of dollars from the provincial
government. So I strongly encourage
colleagues to grant this authority to
have staff open up the APAs within that
limited time horizon. It would allow
this situation to be dealt with and
staff to look at any other APAs that may
have fallen into that window. Uh, and I
think um this is this is the fair and
right thing to do that does not cost
taxpayers money because we're simply um
not collecting the the interest charges
on on the DCs which is common place
today given the current provincial law.
So um
encourage colleagues to support this
motion.
>> Okay. Thank you Mayor Morgan. Looking
for other speakers. Go ahead councelor
Po.
>> Thank you. Staff had selected 50 days.
Just looking for a little bit of insight
of why the 50 as per the parameters and
how many they applicants they might
think this might uh affect.
>> Go ahead when you're ready.
Uh thank you and through you uh we were
looking to capture this particular um
APA. Uh so if if council prefers a
different amount uh that's fine but we
were just uh focused on 15 capulate. I I
think um I guess to the counselor's
question, it would be more would this
capture any other applicants or is this
more just to capture this one
>> and I'm fine if staff needs time to look
at it and come back.
>> Uh thank you and through you. Uh this
would only capture this development.
>> Okay. Followup council.
The remainder of my comments are in line
with what I've already said. Grateful
for a housing provider uh seeing the
city's call of what we need to make sure
we hit that that deadline to get
millions of dollars back uh here in
London for for what we need it for to
help taxpayers out. And this building
that's going to include 10% of
affordable housing. It's something that
I know the community really needs and
this is getting the shovels in the
ground and it built and not looking to
penalize anyone who steps forward uh to
be partners with us. So, thank you.
>> Okay. Thank you. Uh Councelor Frank, go
ahead.
>> Thanks. Um I'm just wondering to the
chair of staff uh could they just
explain the normal process for DC
payments? Do we do developers pay them
at the beginning of working on the site
or at occupancy?
Okay, go ahead staff.
>> Uh through the chair, that's an
excellent question. It really depends on
the on the development type. So when
we're talking about uh non or when we're
talking about rental housing
developments, they're u required under
under section 26.1 of the development
charges act to pay in six annual
installments beginning at occupancy. Um
I think that's the most relevant here.
There's going to be other circumstances
where they pay a permit issuance. Um,
typically those are going to be for
industrial and commercial and then most
other residential would be paying at
permanent issuance. Thank you.
>> Followup, counselor.
>> Yes. Sorry, I kind of missed that. So,
in this situation, would the since the
building's not built yet, they wouldn't
have to pay DCS already? Sorry, I kind
of I didn't understand the answer.
>> Okay. Uh, if you'd like to repeat it, go
ahead.
>> Yeah, I think the chair, let me be more
clear on that. So, for this type of
development, it's it's a rental housing
development. take the API out of the out
of the equation here. What they would be
doing is they would be paying in six
annual installments. So, six uh payments
with the first payment at building
permit occupancy.
>> So, occupancy uh council Frank.
>> Okay. Which hasn't happened yet. So,
they wouldn't have had to start paying
now. Throw the APA thing away, but they
would have had to start paying now in
normal conditions.
Uh
>> yeah, Steph, just want to confirm uh
verbally. Go ahead.
Okay, thank you. Um, yeah, I mean, if I
can say some comments and I guess that's
now's the time. U, given that
understanding, I feel okay with this
approach because,
um, it sounds like under normal
conditions, we wouldn't even be getting
these DC's money. So, it seems weird to
levy interest on it when in normal
conditions, we wouldn't even be getting
it yet. So, I'm okay with this approach
and appreciate the work of the
committee.
>> Okay. Thank you. Looking for other
speakers.
U Mayor Morgan,
>> I just wanted to add one other thing
that is not part of this motion. Um uh
although the other issue that was raised
at the tri tribunal that wasn't
appropriate to deal with was about the
DC rates on the 23 affordable units.
Like I I there is a path that staff
outlined in their response to that for
the applicant to pursue. I would
strongly cons I would strongly encourage
the applicant to work with our staff to
pursue the other matter that was raised
of which there is a there is a fair and
reasonable path to uh to seek relief on.
Um those affordable units are really
important to the city. Uh and I think uh
they should be going through the process
of making sure that not only they get
built but also they get the proper
credits for them on the DC side by
working with staff under that that
agreement that they can access. Um, so
again, not part of this motion, but
there's already a path out there, which
is why I didn't felt it needed to be
dealt with here.
>> Okay. Uh, thank you, Mayor Morgan. Uh,
again, looking for comments. Um, not
seeing, I'll just make a few quick
comments. Uh, I do just want to thank
everyone for the collective effort
today, uh, to find a path forward and a
resolution. um appreciate um the mayor
us making the suggestion staff your
quick work in terms of coming back with
something uh and to the applicant um for
helping um meet our targets uh and the
affordable housing component which is um
very important to all of us. So thank
you for that. Uh and with that um not
seeing any other speakers, we will open
the vote.
Closing
the vote. Motion carries 5 to zero.
Okay, that dispenses with our scheduled
items. We have no items for direction.
No deferred matters or additional
business. Uh and we have already done
confidential. So I am just looking for a
motion to adjurnn. Okay. Councelor Van
Mirburgen, councelor Pelosa. Um so we'll
just do this by hand. All those in favor
of adjournment?
Motion carries.
>> Thank you everyone.