Site Accessibility Information Access Key 1 to Skip to Top Navigation Access Key 2 to Skip to the Three One One link Access Key 3 to Skip to City of Winnipeg Main Menu Access Key 4 to Skip to Left Navigation Menu Access Key 5 to Skip to Content area Access Key 6 to Skip to Right Sidebar content area Access Key 7 to Skip to Footer Links
City of Winnipeg
|  Link to the City of Winnipeg French websiteFrançais  |

Planning, Property and Development

Impact Fee

The City of Winnipeg has gone through a period of growth that has impacted the City’s operating and capital costs and revenues. This growth is placing pressure on public infrastructure and the need for City Council to invest in additional capacity to accommodate growth. At the same time, the condition of existing infrastructure is deteriorating.

The 2016 City of Winnipeg Population, Housing, and Economic Forecast indicates that Winnipeg’s average annual population growth over the next 25 years is estimated to increase by 8,200 people per year, and that the City of Winnipeg’s Census Metropolitan Area population will exceed 1 million people by 2034/2035 and is projected to surpass 1,055,000 by 2040.

The City of Winnipeg, itself, is expected to grow from a population of approximately 718,400 to 922,600 by 2040, an increase of over 200,000 people, representing a 28 per cent increase.

On October 26, 2016 Council passed the Impact Fee By-Law which allowed for the phased in implementation of the impact fee.

The impact fee is being phased-in over a period of three years. During the initial phase, the impact fee only applies to new residential developments in New Communities and Emerging Communities as set out in OurWinnipeg and captured within the areas outlined in this map.

A working group comprised of elected officials, city administrative staff, and industry and community stakeholders is being established to advise on the impact fee’s implementation over the three-year phase-in period. This working group will provide for ongoing industry and community participation and input into future impact fee rates and their manner of application, as well as input into projects funded from revenue generated from the impact fee.

 


Frequently Asked Questions

Open all | Close all

What is an impact fee?

An impact fee is one of several tools a city can use to fund the costs of a growing city. An impact fee can help ensure that growth does pay for growth. It recognizes that new or expanded infrastructure is required to accommodate growth throughout Winnipeg and imposes some of the costs of this infrastructure on the properties that benefit from the new or expanded infrastructure.

Will I have to pay the impact fee?

If you are not building a new single, two-family or multi-family residence or undertaking a new non-residential development, you will not have to pay the impact fee during Phase 1 implementation. In the first phase of implementation, the impact fee only applies to new residential construction or existing buildings being converted to residential uses in New Communities and Emerging Communities as set out in OurWinnipeg and Complete Communities Direction Strategy and identified on this map.

Implementation of the impact fee is being phased-in over a period of three years and will be applied to other types of development in future phases.

When do I have to pay the fee?

The impact fee is being phased in over a period of three years. Phase 1 comes into effect on May 1, 2017, and must be paid at the time of issuance of a building permit or development permit, together with any other fees which may be payable. Whoever applies for the building permit or the development permit is the person responsible for paying the impact fee. The permit will not be issued until the impact fee is paid in full.

You will not need to pay the impact fee if you apply for your residential building permit prior to May 1, 2017 and begin construction prior to November 1, 2017. If those conditions are not met, you may still be subject to the impact fee.

If the permit is later amended to increase the floor area of the building, an additional impact fee must be paid. The additional fee will be calculated as the incremental difference between the impact fee payable on the increased floor area less the fee that has already been paid, or that would be payable for the existing floor area. The additional impact fee must be paid prior to issuance of the amended permit.

How much do I have to pay, and when?

The impact fee is being phased in over three years. Phase 1 is effective May 1, 2017, and only new residential developments in New Communities and Emerging Communities as set out in OurWinnipeg and Complete Communities Direction Strategy and identified within the areas outlined in this map will be charged an impact fee of $54.73 per m².

Are there any exemptions to the Impact Fee?

Yes. The Impact Fee By-law outlines certain exemptions.

  1. Exemptions based on nature of work
    Exemptions include residential development on land where one or more existing dwelling units are being renovated, expanded or replaced, and where there is no increase in the total number of dwelling units on that land.

  2. Affordable housing exemption
    The impact fee does not apply to affordable housing provided by:
    1. Winnipeg Housing Rehabilitation Corporation;
    2. The Manitoba Housing and Renewal Corporation;
    3. The Government of Canada or the Province of Manitoba; or
    4. Any organization that has been approved to receive funding from the Government of Canada or the Province of Manitoba under an affordable housing program, as determined by that government. This exemption requires that the above-listed organizations enter into a written agreement with the City to provide affordable housing for at least 10 years.

  3. Exemption based on location
    In Phase 1 of implementation, the impact fee only applies to residential development within the areas identified on this map.

  4. Exemption based on timing of construction
    Projects that are otherwise subject to the impact fee are exempt if:
    1. the application for a building permit and/or development permit has been submitted prior to May 1, 2017, with the last business day for submission of applications to meet this deadline being April 28, 2017; and
    2. construction is initiated prior to November 1, 2017. For the purposes of enforcement of the Impact Fee By-law, construction is defined as the erection or placement of any building or part of a building, and the City’s position is that the foundation (footings or piles) should be in place for single family or two-family dwellings, and a significant portion of the foundation in place for all other projects, by this date. If the work authorized by a building permit is not commenced by November 1, 2017 and continued reasonably without interruption thereafter, the permit shall expire and the rights granted under the permit shall be terminated, in which case a new permit application would need to be initiated and the impact fee would be applied.

Do I have to pay the impact fee if I plan on:

  • renovating an unfinished basement in my existing house?
  • adding a sunroom to the side or back of my existing house?
  • adding a deck to the side or back or my existing house?
  • building a detached garage on my existing property?

No, but other permit requirements and fees may apply

If I am planning to build an attached or detached secondary suite on my property, do I have to pay the impact fee?

Yes, secondary suites (accessory use) are subject to the impact fee, except for that part located in a basement. The fee would be calculated based on the difference in the floor area of above-ground floors being converted, expanded or replaced less the floor area of the existing building prior to its conversion. For detached secondary suites, the floor area of the detached secondary suite in an accessory structure would apply.

What permits does the impact fee apply to?

The impact fee applies to development and building permits only. The impact fee would only be applied once. An additional impact fee would only be charged if the nature (type of uses) or size of the project changed (increased) during the permit process or during construction.

How did we get here?
I still have questions about the impact fee. Is there someone I can contact to help answer my questions?

You can call 311 with any further questions you may have.

I've made my application before May 1, 2017, and the permit was issued within the 6 month time period (prior to November 1, 2017). Does digging commencing on November 1, 2017 constitute the beginning of construction?

No, for the purposes of enforcement of the Impact Fee By-law, construction is defined as the erection or placement of any building or part of a building, and the City’s position is that the foundation (i.e., footings or piles) must be in place for single family or two-family dwellings, and a significant portion of the foundation must be in place for all other projects, by November 1, 2017. The permit shall expire, and the rights granted under the permit shall be terminated if the work is not commenced by November 1, 2017 and continued reasonably without interruption thereafter.

I've made my application before May 1, 2017 and the permit has NOT been issued within the 6 month time period (prior to November 1, 2017). Is the impact fee applicable?

Yes, unless the City is responsible for an undue delay in processing the application despite the applicant having promptly provided all information requested by the City.

What happens if my construction does not commence by November 1, 2017?

The City will conduct an assessment of active permits around the time of the deadline date to determine the level of construction activity on each site. If it has been determined that construction has not started, the impact fee will have to be paid.

How is the fee calculated?

During Phase 1 of implementation, the impact fee will be calculated based on the floor area of a proposed residential development. Total floor area will be calculated including the floor area of all floors for all buildings measured from the exterior faces of the exterior walls, including areas such as closets, stairs and vents, and excluding accessory structures, basement level and any part of a dwelling unit which is not habitable throughout the year (e.g., porches, sunrooms).

How will a new mixed use development with both residential and commercial uses be valued with respect to the impact fee payable?

During Phase 1 of implementation, only the residential floor area will be included for the purposes of calculating the impact fee, and common areas within mixed use development shall be attributed proportionately on the proportion of the floor area of the entire development that is residential floor area.

How will a mixed use development be valued with respect to the impact fee payable where there is a conversion of space?

The impact fee payable would be calculated based on the floor area of any dwelling units being added or any existing floor area being converted to dwelling units.

What if I want to challenge application of the impact fee to my development?

An applicant for a development permit and/or building permit may submit an application for review or interpretation of the by-law to the Director through the Zoning and Permits Branch within 14 days following the date the impact fee is paid. The application for review or interpretation of the Impact Fee By-law should be submitted in writing and should contain the following minimum information:

  1. Address of subject property;
  2. Name of applicant and contact information (e.g., email address, phone/cell number, mailing address);
  3. Nature of proposed development (e.g., number of dwelling units, proposed use, etc.); and
  4. Development and Building Permit reference number(s). The application for review or interpretation of the Impact Fee By-law must be accompanied by a refundable application fee of $100. The Director, or designated employee, must notify the applicant of its decision in writing by delivery, registered or regular mail, or fax within 90 days following the date the application for review or interpretation of the Impact Fee By-law is received.
  5. The Director’s decision may be appealed to Executive Policy Committee in writing, together with a refundable appeal fee of $250. The impact fee must be paid even where an appeal has been made.
Will there be an impact fee payable if I am tearing down an existing dwelling unit and replacing it with a new dwelling unit?

No impact fee will be payable if the existing dwelling on the same lot is replaced within 5 years, as long as there is no increase in the total number of dwelling units on the lot.

Will I get a separate invoice for the impact fee?

No, the impact fee will be invoiced at the same time as other applicable fees (e.g., under the Planning, Development and Building Fees By-law) are being charged and have to be paid prior to issuance of the permit. The exception to this would be if the impact fee was not charged due to a project being exempt under the Impact Fee By-law and it was later determined that the exemption no longer applied, or was applied in error.

If I formally cancel my development or building permit after the impact fee has been paid, can I get a refund?

Yes, you are entitled to a refund of the full value of the impact fee if the related building permit or development permit has not expired and the project does not proceed, and you may be entitled to a partial refund of permit fees in accordance with the Planning, Development and Building Fees By-law.

Would a commercial project be exempt from the impact fee if an addition increases the size of a 30 unit apartment building currently composed of bachelor suites, with the total number of dwelling units remaining the same at 30 but now converted to 2 and 3 bedroom units?

Yes, the project would be exempt from the impact fee.

If an application for a development or building permit was processed but there was an error in the calculation or application of the impact fee, will the City make an adjustment or correction?

Yes, the City always reserves the right to correct errors in fees applied.

Last update: April 7, 2017