Brian Bowman floats growth fees in State of the City address
Development charges would raise the price of new properties, says Winnipeg mayor
Winnipeg Mayor Brian Bowman says Winnipeg is poised for unprecedented redevelopment and growth but revenue streams must change to keep pace.
During his State of the City address on Thursday to the Chamber of Commerce, Bowman said Winnipeg is in consultation with industry representatives to institute a growth fee to pay for infrastructure costs associated with new developments.
The mayor highlighted a number of multi-million developments underway in the city in his speech, including: True North Square, the BroadGrain Commodities terminal at CentrePort, renewal in the Exchange District, and redeveloping the Public Safety Building on Princess Street. The crumbling police headquarters is "beyond repair" Bowman said.
Winnipeggers face a choice, he said, either everyone pays higher property tax to pay for infrastructure or a few pay higher home prices.
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Most Canadian cities have some form of growth fee or development charge to pay for sewers, sidewalks, libraries and other city services new communities require.
"We simply cannot expect property taxes alone to address the costs of both maintaining existing infrastructure as well as covering infrastructure costs associated with new growth," said Bowman.
Winnipeg's revenue sources are "limited and antiquated," said Bowman and are not high enough to cover an infrastructure deficit in the city totaling more than $7 billion.
Winnipeg's budget will be tabled next week, the mayor said.
Bowman creates climate change group
Bowman also announced Thursday the creation of a climate change working group to be chaired by Coun. Jenny Gerbasi.
Winnipeg needs to reduce its carbon footprint and address climate change, said Bowman. The plan to begin collection of organic waste does not go far enough, he added.
"Our environment continues to be the very foundation for our economic and our social health," Bowman said.
The new climate change working group will guide the city in terms of how Winnipeg can be a better environmental steward, he said.