Municipal development works agreements

A development works agreement is an agreement, made by bylaw, between a municipality and a developer setting out which of them will provide, construct, alter or expand infrastructure related to a development.

A development works agreement may provide for the following types of infrastructure:

• Sewage
• Water
• Drainage
• Highway facilities other than off street parking (developer-financed)
• Parkland improvements (developer-financed)

Development works agreements are negotiated between the developer and the municipality during the development approval process. A development works agreement must specify the following:

• The geographic area that is the subject of the agreement (the development works area)
• The works or infrastructure that are to be provided
• Who will provide the works
• When the works will be provided
• A formula to allocate the capital costs to the property owners (the charge may vary by property to account for different levels of service utilization)

In addition, if the developer is providing the works, the bylaw must provide for the payment of the charges collected to the developer, and may also require the developer to provide security to ensure compliance with the agreement.

Before the agreement can be finalized, it must receive elector approval.