Regional Development Charge

The RDC funds upgrades to regional water and wastewater infrastructure (i.e. treatment facilities, transmission mains and large wastewater collection infrastructure) required to support growth and development; helps ensure new growth and development pays for the infrastructure costs caused by new development; and ensures current Halifax Water customers do not subsidize new growth and development.

The RDC was first approved by NSUARB in 2014. It replaced three existing charges – the Sewer Redevelopment Charge (SRC), the Trunk Sewer Charge, and the Regional Wastewater Capital Cost Contribution Charge, all of which were previously established and administered by Halifax Regional Municipality (HRM) prior to the 2007 transfer of wastewater and stormwater services to Halifax Water.

At the time of the RDC approval in 2014, the NSUARB required Halifax Water to update the RDC after five years. The proposed charges are based on the 2019 Infrastructure Master Plan that outlines the infrastructure requirements to facilitate the projected growth within the municipality over the next 20 years.

The RDC is due with the Water Permit application. The Water Permit application includes water, wastewater and stormwater service connections. Water Permit applications are made online through the HRM online Land Management System. All Water Permits submitted on or after May 31, 2021, will be subject to the new charges. Water Permits submitted and RDCs paid prior to May 31, 2021, will be subject to the current charge. If the RDCs are not paid prior to May 31, 2021, the Water Permit will be subject to the new charges. Water Permits are valid for two years from the date of issuance.

Yes, backyard/secondary suites are subject to the charges. The addition of a backyard/secondary suite to an existing single-unit dwelling changes the premise from a single-unit dwelling to a two-unit multi-unit dwelling.  The calculation includes credit for the existing single unit dwelling.  The RDC for the addition of a backyard/secondary suite to an existing single-unit dwelling will be $2,103.71 (wastewater), and the $659.86 (water) (2023 rates*)

Halifax Water is mindful of varying household sizes, and in developing the charge converts the future population to be served to equivalent units, and applies Census Canada and HRM development data of the typical number of people per dwelling unit, by type of unit. The intention is to establish a charge based on the average population per unit.

At the time of the RDC approval in 2014, Halifax Water did not have all the components of a water system master plan fully identified. Halifax Water has completed a comprehensive infrastructure master plan for both water and wastewater. The charges are reflective of the infrastructure required to service growth over the next 20 years.

Currently, if the RDC for water or for wastewater is above $100,000, the applicant can defer payment of 25% of the respective RDC for water and/or wastewater. In either scenario, the deferred amount goes as a lien on the property tax account through HRM. The deadline for repayment of the deferred amount is two (2) years from the issuance of the building permit. Interest will not be applied if the balance is paid in full within two (2) years. Any unpaid balance could initiate a tax sale process.

For deferral requests, please email engineeringapprovals@halifaxwater.ca with your permit number, in draft mode, for more information.

Yes, however, the NSUARB Decision also approved Halifax Water’s request to allow RDC payments to be deferred for up to 10 years for affordable housing developments, as defined by HRM.

Three formal stakeholder workshops were held, and Halifax Water offered to meet individually with any stakeholder. Halifax Water responded to all inquiries received regarding the RDC, and stakeholders were provided with the background data to support the RDC figures. The NSUARB process is also public. On June 10-12, 2020, a virtual NSUARB public hearing was held.