Uproar in Milton over increased development charges passed on by Mattamy

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2 Comments

  1. s.c. says:

    My issue with this is that you all knew that this was a possibility when you signed the contract with Mattamy…

    I don’t know about the rest of you but when we signed with Mattamy they told us to get a lawyer and have them review it! It really sucks that we have to pay anything but our lawyer set it that they couldn’t pass more than $1000 to us which is a lot better to swallow then the $7888 they wanted to stick us with!

    Everyone that has to pay this amount should only blame themselves for not getting a lawyer to put this clause in. Mattamy didn’t ask the region to come up with this new cost but they also didn’t hide the fact that it was going to happen with all the publicity they’ve been doing in the local paper…and you can’t blame Mattamy for passing the cost off to the consumer.

    Reply
  2. br. says:

    I thought I would share the letter I received via email today from the Halton Regional Treasurer:

    Halton Region Chair Gary Carr has referred your email to me regarding the unexpected costs on the purchase of your new home. It is very unfortunate that you have been put in this position.

    As I understand it, you recently received a letter from Mattamy Homes who is attempting to collect an additional $7888 from you prior to closing your new home.

    The amount Mattamy Homes is referring to arises from the financial contribution that Mattamy Homes agreed, in 2007 and 2008, to make to Halton Region to pay in two instalments its share of the cost of key infrastructure required to support growth in the Region. It now appears that Mattamy Homes is trying to pass these costs on to you as a price adjustment on closing. You should consult your legal counsel as to whether Mattamy Homes has the right to pass through these costs to you.

    The following provides some background so that you can better understand the information provided by Mattamy Homes.

    Halton and particularly the Town of Milton, is one of the fastest growing communities in Canada. Providing the infrastructure, including roads, water services and sewers to support this growth is very costly. It is the long-standing Council approved policy of Halton that existing taxpayers should not pay for the costs of growth. To ensure that existing taxpayers are not impacted by the costs of growth, the Region prepares a financing plan for all growth related infrastructure costs which identifies the costs that must be paid by developers of new housing units in Halton.

    In 2007, the Region began work to update our financial plan. The resulting plan, called the “Financial and Implementation Plan for the 2008/2009 Allocation Program” determines the full capital costs of servicing new units of housing with new infrastructure, like roads, water and sewer services. It then assigns these costs on a per-unit basis, which is then payable by developers on all new units being constructed in Halton.

    The preparation of the Financial and Implementation Plan for the 2008/2009 Allocation Program included a comprehensive consultation process with developers in Halton, including Mattamy Homes. Through this consultation process, adjustments were made to the infrastructure program and the proposed municipal contribution was reduced from the initial estimate provided to the developers in October, 2008 of over $15,000 to the $7,888 approved by Regional Council in July, 2009. It should be noted that Regional Council approved the Financial Plan Framework, including the municipal contributions, in November 2008.

    Mattamy Homes entered into agreements with the Region in 2007 and 2008 which committed them to pay the costs identified in the 2008/2009 Financial and Implementation Plan. As noted above, you should consult your legal counsel as to whether Mattamy Homes has the right to pass these contribution costs on to you. That is a contractual matter between you and Mattamy Homes.

    More information is available at http://www.halton.ca/About/Finances/infrastructure.htm and we will continue to update the website with further information as it becomes available.

    Jane MacCaskill

    Regional Treasurer

    Reply

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