What is an Off-Site Levy?
An off-site levy is a mechanism for municipalities to collect funds to cover capital costs incurred for infrastructure improvements resulting from new development or growth. Off-site levies transparently and equitably allocate off-site infrastructure capital costs to those that benefit; thus ensuring growth pays for growth.
What is the Off-Site Levy used for?
An off-site levy helps pay for roads and municipal utility systems required outside or "off" the site of a development or subdivision to serve that development. Off-site levies are collected from a developer or applicant at the time of subdivision or development permit and held in trust to construct specific off-site infrastructure. Currently the City only collects off-site levies to construct transportation infrastructure.
What authority does the City have in order to impose an Off-Site Levy?
Alberta Municipal Affairs has provided municipalities the authority, under the Municipal Government Act Division 6, to set and collect off-site levy rates through the adoption of a bylaw.
How are Off-Site Levies calculated?
The City of Grande Prairie uses a straight forward methodology to calculate off-site levies.
Cost of Transportation Infrastructure ($) / Contributing Area (ha) = Levy Owing ($/ha)
Who is required to pay Off-Site Levies?
Any land that has not previously paid levies may be subject to levies at the time of subdivision or development. Levies can only ever be collected once on a piece of land.