On March 21, 2025 the Province announced that in relation to Metro Vancouver DCCs only, it is working on extending the existing in-stream protection for projects that are subject to Metro Vancouver’s DCCs. These measures are intended to provide homebuilders with greater certainty and reduce financial pressures by lowering project costs.
Read the full release.Metro Vancouver’s DCCs are applied upon building permit issuance or subdivision approval and are collected by the municipality issuing the permit or approval. We will provide additional information when it becomes available from the provincial government.
Overview
Metro Vancouver collects regional development cost charges (DCCs) for new residential and non-residential developments in the region to pay for new liquid waste and water infrastructure needed to provide these services to our growing region.
Metro Vancouver recently revised DCCs for regional water and liquid waste infrastructure, and introduced a DCC for regional parkland acquisition.
The proposed rate changes, which include the application of interest costs for liquid waste and water only, are intended to be phased in over a multi-year period to arrive at a one-per-cent assist factor. The assist factor is the portion of growth projects funded by non-growth-related sources, such as sewage levies and water sales. The increases are intended to occur on January 1 each year.
Background
In early 2022, Metro Vancouver’s Board Chair formed a Financial Plan Task Force to review the five-year financial plan and find ways to reduce potential costs to residents over the next four years. Through the process, Metro Vancouver reviewed programs and projects, and assessed risks to adjusting projects currently identified in the five-year plan. Recognizing that a significant portion of Metro Vancouver’s capital plan involves constructing larger or new infrastructure to accommodate new buildings and growth in the region, the Metro Vancouver Board endorsed moving to a DCC one-per-cent assist factor. This move embraces the principle of 'growth-pays-for-growth'.
Proposed changes to DCCs for intensive agriculture developments
Metro Vancouver’s DCC framework currently only has one non-residential rate, which may not be suitable for intensive agriculture developments given the small demand on infrastructure relative to their buildable area.
Metro Vancouver is committed to creating an interim and long-term solution to address potential impacts of DCC rates on new or expanding greenhouses.
- Interim solution — 2025 through 2027
Metro Vancouver intends to implement an interim reduction bylaw for intensive agriculture that will reduce the current non-residential DCC rates for increases that came into effect on January 1, 2025 for intensive agriculture developments that meet criteria for low environmental impact as permitted in the Local Government Act. This interim reduction is proposed to set DCC rates that align with the Intensive Agriculture DCC rate of municipalities in the Metro Vancouver region and other regional districts.
On February 28, 2025, the Metro Vancouver Board directed staff to propose a development cost charge reduction bylaw for intensive agricultural developments that have a low environmental impact for Board consideration as an interim solution.
As part of this process, Metro Vancouver invited input from the agriculture sector in March 2025. Thank you to everyone who submitted feedback through the committee meeting, webinar, survey, phone calls, and more. Your feedback will be included in a report to the Metro Vancouver Board alongside a proposal for an interim reduction bylaw. The intent is for this to be considered by the Board in May for implementation in 2025.
- Long-term solution — scheduled for implementation in 2028
As part of continuous improvement, Metro Vancouver will be updating its DCC program in 2027. This will result in proposed bylaw revisions to the regional DCC rates and, with revised rates taking effect in 2028. As part of this revision, Metro Vancouver is working to update residential and non-residential definitions for the DCC bylaw updates, including consideration of an intensive agriculture category.
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Water DCC proposed rate changes
Water DCCs were first implemented by Metro Vancouver in April 2023. Previously, the water DCC funded 50 per cent of the cost for any new infrastructure to address population growth, with the rest paid for primarily by the general public though water sales. Beginning January 1, 2025, new rates will pay substantially all growth infrastructure costs and be phased in over a three-year period.
Liquid waste DCC proposed rate changes by sewerage area
Liquid waste DCCs have been in place since 1997 and previously funded all but 17.5% per cent of the cost for any new infrastructure needed to address population growth, with the rest paid for by the general public through the liquid waste levy. Beginning January 1, 2025, new rates will pay substantially all growth infrastructure costs and be phased in over a three-year period.
New parkland acquisition DCC
The regional parkland acquisition DCC will fund the acquisition of land to become regional parks, which will help ensure that the growing region can remain livable for the next generation. Growing the regional parks system supports human health and well-being, as well as biodiversity.