Development Charges

About Bill 17, Protect Ontario by Building Faster and Smarter Act, 2025

Bill 17, Protect Ontario by Building Faster and Smarter Act, 2025 received Royal Assent on November 3, 2025. As a result, the Development Charges Act was amended to defer the City’s and Region's Development Charges from “Building Permit” stage to “Occupancy Permit” stage.

  • Bill 17 is only applicable for residential developments.
    • Not applicable to rental housing developments
    • Not applicable to non-residential developments (e.g. commercial, institutional, office, retail, etc.)
  • Two invoices will be issued by the City:
    • Invoice 1: Education Development Charges, Cash-in-Lieu of Parkland, Water Meter Charge, Boulevard Tree Planting Fee, Household Green Bin Kit Fee and / or Temporary Water
      • After this invoice has been paid, Development Finance staff will provide their clearance for the Building Permit to be issued
    • Invoice 2: City and Region Development Charges
      • After this invoice has been paid, Development Finance staff will provide their clearance for the Occupancy Permit to be issued
  • All high rise developments requesting Occupancy Permits will need to pay all outstanding City and Region deferred Development Charges before the first Occupancy Permit is issued.
  • Subdivision Developments need to contact York Region directly regarding payments of Hard Services before first Occupancy Permit.
  • No interest will be charged on the City and Regional Development Charges that were deferred from Building Permit to Occupancy Permit.
  • If a property is occupied without an Occupancy Permit, any unpaid Development Charges will be transferred to the tax roll. Once transferred to the tax roll, interest and fees may be applicable.

About Bill 23, The More Homes Built Faster Act

Visit Richmond Hill's About Bill 23, The More Homes Built Faster Act webpage to learn more about Bill 23 and what it means to Richmond Hill.

About Development Charges

There are costs that come with growth in our community. New developments need a number of municipal services, provided by Richmond Hill, during construction and after construction. The increase in services means an increase in costs. Development Charges are a way of covering the costs related to new developments and growth in the community.

All building permit and development proposal applicants should review the Development Charges By-laws. Then you can contact Richmond Hill's Revenue Billing Section in the Financial Services Division at developmentfinance@richmondhill.ca to discuss which Development Charges apply to your project.

Bill 185, Cutting Red Tape to Build More Homes Act, 2024, received Royal Assent in June 2024. The new Bill removed the Provincial requirement to transition Development Charges introduced in Bill 23, More Homes Built Faster Act. As such, Richmond Hill’s and York Region’s Development Charges have been updated to reflect this change.

Development Charges are indexed annually on July 1. Any unpaid invoices before this date are pro-rated based on the updated Charges.

The Residential and Non-Residential Development Charges are summarized below:

By-laws

City-wide Development Charges By-laws establish Residential Development Charges and Non-Residential Development Charges for projects on all lands within the boundaries of Richmond Hill. Residential charges are based on the number and type of units. Non-residential charges are calculated per square meter of the total floor area of the building.

Area-Specific Development Charges are calculated per total developable hectare of land.

2019-2024 Development Charges Background Studies

Development charges were updated in 2019, 2021, and 2024. The following background studies provide information that guided the updates. The current development charges by-laws are above.

Development Charges Interest Policy

Effective January 1, 2020, this policy applies to the charging of interest, as permitted under sections 26.1 and 26.2 of the Development Charges Act, 1997.

This includes all types of development in the City of Richmond Hill:

  • That are eligible for instalment payments under section 26.1 of the Development Charges Act, 1997
  • Under section 26.2 of the Development Charges Act, 1997, where an application for approval of development in a site plan control area under subsection 41(4) of the Planning Act, 1990 has been made, or where an application for an approval of a development in a site plan control area under subsection 41(4) of the Planning Act has not been made, but where an application has been made for an amendment to a bylaw passed under section 34 of the Planning Act, 1990

Development Charge Interest Policy

Development Charges Deferral Policies

Paying Development Charges

Development Charges are paid by the developer or homeowner. All development projects in Richmond Hill will be charged a City-Wide Development Charge. An Area-Specific Development Charge may also apply to your project.

Development Charges apply to a number of residential and non-residential projects, including:

  • Constructing a new building (not a replacement)
  • Making an addition or alteration to an existing building, increasing the total floor area or number of units
  • Redeveloping a property or properties, changing the use of the property

Richmond Hill's Council approved a number of exemptions, in addition to those already under the Development Charges Act. Exceptions to these charges are included in Richmond Hill's Development Charges By-laws.

Area-Specific Development Charges for subdivisions are collected when the subdivision agreement is complete. York Region Development Charges for hard services (road, water and sanitary sewer services) are paid directly to York Region by the developer when the subdivision agreement is registered. The remaining charges are paid to Richmond Hill before a building permit is issued.

All other Development Charges must be paid in full before a building permit for the project can be issued.

Richmond Hill collects Development Charges on behalf of the municipality, York Region, York Catholic District School Board and York Region District School Board.

Each area is responsible for setting the rates of their Development Charges, categorizing their rates and determining any exemptions.

Development Charges are based on a number of things, including:

  • Type of development
  • Size of the development
  • Location of development
  • Indexing of charge rates
  • Exemptions and reductions

View the current Residential Development Charges and Non-Residential Development Charges.

There are Provincial Grants and other sources of funding available to some developers.

Richmond Hill reviews and indexes their rates every year on July 1. Area-Specific Development Charges for the Bayview Northeast Development Area and the Headford Development Area are reviewed each year on January 2 and July 2.

Contact York Region and the York Region School Boards for information about their Development Charges indexing dates.

Contact Richmond Hill's Capital and Development Financing Section of the Financial Services Division for information about the municipality's by-laws.

Call Mary Coats or Fabrizio Filipazzo at 905-731-0201 for information about York Region's Development Charges By-laws.

Call Tom Pechkovsky at 416-221-5051, ext. 2374 for information about by-laws related to the York Region School Boards.

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