Growth Charges: Fair Share or Hidden Tax?
The City of Nanaimo has launched a review of its Development Cost Charges (DCCs) and is considering a new Amenity Cost Charge (ACC) bylaw. The message is simple: growth should pay for growth, and new development should cover the infrastructure and amenities needed for a larger population.
On paper, this sounds fair. In practice, these charges are never truly paid by “developers.” They are passed straight through into the price of new homes, rentals, and commercial space. Higher DCCs and new ACCs will directly inflate housing costs in a city already struggling with affordability.
This comes at a time when residents face record property tax increases, driven primarily by operating costs at City Hall. Wages, benefits, and consultant-led “projects” now consume the bulk of new spending, while borrowing commitments lock future taxpayers into decades of repayment. Ottawa adds pressure with carbon taxes and growing debt, and Victoria adds pressure with new housing mandates and cost-shifted responsibilities.
The City’s own release suggests DCCs and ACCs ensure existing taxpayers aren’t left carrying the load. But in reality, taxpayers still pay — just at the point of purchase or rent, instead of through the property tax bill. For young families trying to buy a starter home, or seniors already house-rich but cash-poor, this “fair share” system makes life harder, not easier.
An Option City Hall Never Considers
If Nanaimo is serious about fiscal responsibility, the first step must be
living within its own means. That means addressing runaway wage growth, scaling
back consultant-driven “nice-to-haves,” and focusing on core services. Until
City Hall shows this discipline, new charges risk being nothing more than
another hidden tax that deepens the affordability crisis.
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