Affordable Housing Utilities Development Cost Levy (AHUDCL) funding program

This interim funding program helps fund off-site utilities upgrades required by new affordable housing projects. The AHUDCL is funded through the reallocation of the 8% utilities allocation of the City-wide Development Cost Levy (CWDCL), as approved by Council July 10, 2019 PDF file (857 KB). 

Funds will be allocated to eligible projects on a first-come-first served basis, subject to eligibility criteria.

Funding

The program is being introduced on an interim basis, until the end of the current 2019-2022 Capital Plan. Funding will be collected for the current AHUDCL program until September 2021.

City Council will determine future funding opportunities as part of the Development Cost Levies update and the 2023-2026 Capital Plan.

Eligibility

The AHUDCL funding program is eligible to rezoning applicants of affordable housing projects including:

• Social Housing projects (where 100% of the residential floor area is social housing)
• Moderate Income Rental Housing Pilot Program (MIRHPP) projects (subject to restrictions)

Projects involving any amount of strata residential, secured market rental, affordable home ownership floorspace, and Sustainable Large Sites with social housing or moderate income rental are not eligible for the program. 

Costs to applicants

All applicants will be responsible for on-site utility costs including utility connections.

For social housing projects that are deemed eligible, we'll reimburse the applicant for 100% of the growth related off-site utility costs.

For MIRHPP projects deemed eligible, as part of the detailed project review process, we'll determine the project’s ability to cover off-site utility upgrades. The applicant may be responsible for only up to $200,000 of costs with the City covering the remaining growth component.

If funds are completely allocated and unavailable, staff will determine options to address the upgrade requirements for consideration and decision by senior management. 

Funding process

1. As part of the rezoning enquiry process, engineering teams will provide high-level estimates of sewer and drainage upgrades. 
2. Interested applicants should complete the online application form as early as possible, ideally during the rezoning enquiry stage.
3. If your project is confirmed eligible and funds are available, the Housing Regulation and Rezoning teams will signal an AHUDCL funding commitment. There is a time limit of 2 years to sign a services agreement and enact the rezoning (with a possible 1-year extension). 
4. Off-site utilities upgrades and other conditions will be included in the Council rezoning report, with the AHUDCL funding commitment included in the services agreement to be signed prior to rezoning enactment.
5. Applicants will construct and deliver the works and services contemplated in the services agreement at their own cost (unless otherwise indicated), as per the services agreement. We'll reimburse eligible costs after completion to our satisfaction.