Frequently Asked Questions

Development Cost Charges (DCCs) are fees charged on new developments to help pay for the cost of expanding and upgrading infrastructure needed to support growth. This includes transportation, water, sewer, drainage, and park infrastructure. Recent changes to provincial legislation now allow local governments to use DCCs to fund additional services, such as fire protection facilities, policy services, and solid waste and recycling facilities.

DCCs are paid by applicants for:

• Subdivision approval to create single family lots
• Building permits for multi-family, commercial, industrial, and institutional developments.

Note: developments are exempt from DCCs when the value of work authorized at building permit is $50,000 or less. Additional examples may apply under the Local Government Act. Contact City staff for full details.

DCCs are based on:

• Land use and growth projections as established by the City planning documents
• Costed capital infrastructure plans 
• Growth-related project costs (DCC Recoverable Costs)  divided by the projected growth

DCCs can be paid by cash, certified cheque and bank draft.

Yes. If City DCCs total $50,000 or more, developers may pay by instalments:

• Pay twenty-five percent (25%) of the DCC amount and a financial administration fee before subdivision approval or building permit issuance. 
• Deposit the appropriate security, which will be in the form of a Letter of Credit (LOC) or Development Charge Surety Bond as security for the remaining balance of seventy-five percent (75%). 
• The obligation to pay the final seventy-five percent (75%) in accordance with the applicable legislation and regulations, and are payable on the earlier of:    

1.  four (4) yeas from the date of subdivision approval or building permit issuance, as applicable, or
2. fifteen (15) business days after the City gives notice of final occupancy

Important Notes:

• When paying in instalments, Letters of Credit (LOCs) or Development Charge Surety Bonds are required as security but are not a form of payment. Payments are to be made by bank draft or certified cheques.   
• If a developer elects to pay DCCs in instalments, but misses a payment deadline, the full DCC balance becomes immediately due. The City will then use the LOCs or Development Charge Surety Bonds to recover the total amount.

The developer is fully responsible for monitoring payment due dates and ensuring payments are made on time. Payment obligations under the applicable legislation and regulations may either be fixed by reference to a specific date or period, or triggered by notice issued by the City. The City may provide courtesy reminders from time to time in respect of fixed-dates payment obligations; however, receipt of a reminder should not be relied upon for determining or complying with any payment obligations, and any notice issued by the City shall not be construed as a courtesy reminder.  Provide a generic company email to ensure timely communication and notify the Finance Department if your contact details change. Once payments are complete, the City will adjust or release the LOC.

No. One Letter of Credit (LOC) or Development Charge Surety Bond can cover the total amount for last installment. Ensure the correct file number is listed on the LOC or Development Charge Surety to apply it to the right project. You can request an LOC or Development Charge Surety Bond template or submit drafts for review by email to Planning Project Financials.

DCCs fund infrastructure projects to support growth, including:

Transportation:

• New roads, bridges
• Pedestrian and bike overpasses
• Road widening, sidewalks and street improvements
• Bridge replacement, turning bays and signalization

Water: New/upgraded water mains, pump stations and reservoirs

Sewer: New trunk sewer mains, sanitary pump stations and sewer upgrades

 Drainage: 

• Storm sewer and culvert Upgrades
• New storm pump stations and water quality ponds
• Stream erosion control 

 Parks: 

• Parkland acquisition (neighbourhood, city and community parks)
• Trails, greenways and park improvements

Fire:

• Fire Protection Facilities

Police:

• Police Facilities

DCC projects and costs are determined using:

• Growth statistics and projections for Coquitlam
• Technical infrastructure plans (e.g. Strategic Transportation Plan, and Parks, Recreation and Culture Master Plan)
• Capital costs based on recent studies and project tenders
• The portion of costs specifically tied to growth-related needs