New approach for stormwater charges coming to Vaughan

Residential properties to see savings under new system; larger industrial, commercial operations to pay more

Yorkregion.com
March 7, 2016
By Adam Martin-Robbins

The city is planning on taking a new approach to charging for stormwater run-off - and it’s expected to most property owners will wind up saving money.

But industrial or commercial operations with large properties - such as Canada’s Wonderland and Vaughan Mills mall - will take a big hit.

City staff have recommended Vaughan follow the lead of other Ontario municipalities and implement a direct stormwater charge calculated using a formula based on typical run-off for different property types - single-family detached homes, townhouses and condominiums as well as industrial, commercial and institutional operations.

Currently, the city charges property owners in two ways to cover the cost of operating, maintaining and repairing Vaughan’s stormwater infrastructure.

For those with a water meter, a fraction of the wastewater rate is for stormwater.

In the case of homeowners, that cost is about $0.21 per cubic metre.

A portion of the property tax bill also goes toward stormwater infrastructure.

The municipality estimates the average homeowner pays about $100 annually in stormwater costs under the current system.

City staff project that under the proposed new system, people living in a single, detached family home would pay about $47 for stormwater while those living in townhouses would pay about $29.

Those living in while high-density housing (condominiums) would pay even less.

Industrial, commercial and institutional operations with a small property (less than one acre or a medium-sized property (between one and 10 acres) would also see savings.

For example, an industrial operation on a one-acre property currently paying $1,458 would see that drop to $44.

But businesses or organizations with properties larger than 10 acres would pay close to $18,000.

Government agencies, schools, places of worship and non-profit organizations would be exempt from the charge.

Under the current system, the city only collects stormwater charges from 80,000 properties that have water meters. Under the new system, 100,000 properties would pay the charge.

City staff said at a finance committee meeting Monday the new system is more transparent about how much is being collected for stormwater and spreads the costs across all property owners more equitably.

“If the stormwater charge is approved, we’ll be building resiliency into our system with a comprehensive storm water program designed to protect property and the environment,” said Jennifer Rose, Vaughan’s director of environmental services. “It’s a separate funding model, has a separate charge on the water bill and it will be user-fee based, based on typical run-off by property type ensuring that all properties are responsible for stormwater services.”

The new system would also allow the municipality to collect more money to help pay for aging infrastructure, she said.

“We have an annual depreciation of about $8 million, but we only contributed $900,000 to the reserve (fund) last year,” Rose said.

According to Rose, the city consulted with some of Vaughan’s large industrial and commercial property owners and they were OK with paying a dramatically higher rate for stormwater.

Should council approve the new system, it will be implemented in 2017.