Community Benefits Charge (CBC) By-law – City of Ottawa
The Community Benefits Charge By-law allows the City to collect a capped percentage of land value from qualifying developments to fund growth-related community infrastructure and amenities.
Key Points
- Applies to developments with 5+ storeys and 10+ units.
- Charge is capped at 4% of land value at time of building permit.
- Funds can be used for parks, recreation, libraries, childcare, and other community infrastructure.
- Replaced former Section 37 density bonusing under provincial planning reforms.
- A 38-storey, 465-unit building qualifies under CBC rules.
Full Analysis
What It Replaced
The CBC replaced former Section 37 density bonusing under provincial planning reforms. Under the old system, benefits were negotiated case-by-case in exchange for additional height or density. The CBC is formula-based.
How It Works
The charge applies to developments with 5 or more storeys and 10 or more units. It is capped at 4% of the land value at the time of building permit. Funds collected can be directed to parks, recreation facilities, libraries, childcare, and other community infrastructure.
Why It Matters Here
A 38-storey, 465-unit building clearly qualifies under CBC rules. When additional density is approved beyond existing zoning, CBC is one of the primary mechanisms through which the City secures public benefit.
Key Limitation
The 4% cap limits how much value can be captured relative to the potential increase in land value created by a significant height amendment. This is worth understanding when evaluating whether public benefits are proportionate to the development rights being granted.
For an overview of how the strategy was developed, see the CBC Strategy engagement page.