There are two types of exemptions: statutory and voluntary. Provincial development charges legislation includes statutory exemptions, and these exemptions were expanded through Bill 23. Voluntary exemptions are exemptions that are not required by provincial legislation, but Council chooses to exempt. An example of this is religious institutions.
When a building permit for an exempt project is issued, the City calculates the value of the development charges that would have been paid if the project was not exempt and transfer that amount of money from the City’s property tax and rate-funded capital reserve funds into the reserve funds to make the development charges reserve funds whole.