Development Cost Charges

Updated November 7, 2022

Development Cost Charges (DCCs) are monies that are collected from land developers by a municipality, to assist in financing the cost of upgrading or providing infrastructure services to support the new development. Imposed by bylaw pursuant to the Local Government Act, the charges are intended to facilitate development by providing a method to finance capital projects related to roads, drainage, sewers, water and parkland.

The District of Sooke undertook an update to its Development Costs Charges Bylaw from February 2021-June 2022. On June 13, 2022, DCC Bylaw No. 775, 2021 was adopted.

Frequently Asked Questions

Who pays DCCs and when?

DCCs are paid by applicants / developers at time of:

  • Subdivision, for approval to create new single-family lots; or
  • Building Permit, upon application to construct multi-family residential, commercial, industrial or institutional developments.
What do DCCs pay for?

DCCs pay for the capital upgrades needed to support growth by assisting in the funding of:

  • Transportation Infrastructure
  • Drainage Infrastructure
  • Sanitary Sewer Infrastructure
  • Parkland Acquisition and Development
  • Water Infrastructure (collected by Sooke on behalf of the Capital Regional District)
What do DCCs not pay for?
There are a number of components that DCCs cannot pay for, including:

  • Replacing infrastructure solely to service existing residents
  • Operations and maintenance
  • Community facilities such as recreation centres, libraries and fire halls
  • Vehicles and equipment
With a new bylaw coming into effect June 13, 2022, how are in-stream applications affected?

The new DCC rates came into force immediately after the Development Cost Charge Bylaw was adopted by Council on June 13, 2022. However, the Local Government Act provides special protection from rate increases for development applications that are submitted prior to the adoption date. In-stream protection applies to complete building permit and subdivision applications that were received prior to the adoption of the new DCC Bylaw on June 13, 2022. Protection is also extended to complete rezoning and development permit applications that were submitted prior to the adoption of the new DCC Bylaw. The previous DCC rates will apply to any developments which receive final subdivision or building permit approval within 12 months of the adoption of the Bylaw. Therefore, if an application meets the required criteria of being submitted prior to the adoption of the new DCC Bylaw, it is provided protection from DCC rate increases until June 13, 2023 if final subdivision approval or building permit is obtained.

When are DCCs collected?
  • Subdivision – at final approval
  • Building Permit – prior to building permit issuance for townhouse, apartment, manufactured home or commercial projects (as defined in Bylaw No. 775)
Are there any other charges I should be aware of?

While not technically a Development Cost Charge, the District also collects School Site Acquisition Charges on behalf of School District #62.

Where can I find out more information?

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