Development Charges

Development charges (DCs) are fees paid by new development to fund the capital cost of services constructed in Bluewater. Development charges do not pay for operating costs or infrastructure renewal. Without DCs, the burden of infrastructure costs would be absorbed by taxation. 

DCs support infrastructure or portions of the costs required for servicing new development like:

  • Transportation
  • Water/sewer infrastructure
  • Community centres
  • Fire and police facilities
  • Library facilities

The Municipality of Bluewater collects DCs from developers when they apply for a building permit. These fees apply to residential and non-residential developments with some exceptions. The Municipality last completed a Development Charges Study in 2022 and adopted By-Law 86-2022.

There are some exemptions to development charges. For example, development charges would not apply to the following:

  • Lands, buildings or structures used or to be used for a place of worship or for the purposes of a cemetery or burial ground exempt from taxation under the Assessment Act
  • The development of non-residential farm buildings constructed for bona fide farm uses, being that which operates with a valid farm business registration number and is assessed in the farmland realty tax class.
  • Certain industrial expansions (in accordance with the terms outlined in the by-law).
    installation of park model trailer units on lots replacing existing trailers and park model units.

The Municipality's current development charges by-law includes a full list of exemptions.

Indexing

Development charges may be adjusted annually without amendment to the by-law. The applicable index is the Statistics Canada Non-Residential Third Quarter Construction Price Index (CPI). On January 1st, 2025, development charges increased by 4.3 percent based on the 2024 Statistics Canada Non-Residential Third Quarter Construction Price Index (CPI).

2027 DC Background Study

Under the Development Charges Act, 1997, S.O. 1997, c. 27, municipalities must undertake a study and adopt a by-law if they wish to impose development charge fees. Bluewater has historically conducted a DC background study every five years to determine the need for and cost of municipal-wide services.

Beginning in 2026, Bluewater is undertaking an updated development charges study to be completed by July 2027. The previous DC rates will remain in effect until August 19, 2027, unless repealed by Council at an earlier date.

The estimated timeline for the 2027 background study is:

  • Request for proposal for consulting services issued June 2026
  • Request for proposals closes July 2026
  • Request for proposal awarded (tentative) in August 2026
  • Consultants complete required background research August 2026 to June 2027
  • Public Meeting/Presentation to Council in June 2027
  • Council Passes new DC By-law in July 2027

Development Charges currently in effect

These Development Charge rates are in effect as of July 15, 2025, in accordance with by-law 78-2025, which was adopted on July 14, 2025. 

Grand totals by area

The grand totals by area for single and semi-detached dwelling are:

  • Rural area total $1,986.60
  • Bayfield total $18,668.65
  • Hensall total $5,144.15
  • Zurich total $15,681.05

Grand totals by area

The grand totals by area for multi-units (per unit) are:

  • Rural area total $1,362.90
  • Bayfield total $12,810.05
  • Hensall total $3,529.35
  • Zurich total $10,760.20

Grand totals by area

The grand totals by area for apartments—two bedrooms plus (per unit) are:

  • Rural area total $1,330.45
  • Bayfield total $12,498.20
  • Hensall total $3,445.20
  • Zurich total $10,498.95

Grand totals by area

The grand totals by area for apartments—bachelor and one bedroom, mobile home, park model trailer (per unit) are:

  • Rural area total $1,248.50
  • Bayfield total $11,718.85
  • Hensall total $3,230.70
  • Zurich total $9,844.45

Grand totals by area

The grand totals by area—non-residential development (per square foot of gross floor area) are:

  • Rural area total $2.27
  • Bayfield total $5.29
  • Hensall total $2.41
  • Zurich total $3.51

Grand totals by area

The grand totals by area—non-residential—wind turbines are:

  • Rural area total $1,321.10
  • Bayfield total $1,321.10
  • Hensall total $1,321.10
  • Zurich total $1,321.10

Annual statement of the Treasurer

The Treasurer is required to give Council a financial statement relating to the development charge by-law and reserve funds established annually. These statements can be found on our financial reporting page.

For questions about development charges, please contact the Development Services department (Building department).

Municipality of Bluewater
14 Mill Avenue
ZURICH, ON
N0M 2T0
Phone: 519-236-4351
or 1-877-236-4351
Fax: 519-236-4329
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