Brownfields Redevelopment Program

The City of Ottawa Brownfields Redevelopment Community Improvement Plan (CIP)
 

Program Summary

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“Brownfields” are abandoned, vacant, or underutilized properties where past actions have resulted in actual or perceived environmental contamination and/or derelict or deteriorated buildings. They are usually, but not exclusively, former industrial or commercial properties. Brownfields can include old landfills, abandoned factories, dry cleaners, gas stations, storage areas, bulk fuel storage/oil terminals, asphalt plants and print shops. The Ottawa Brownfields CIP is a comprehensive framework for promoting brownfield development within the Ottawa Brownfields Redevelopment Community Improvement Project Area. This area is defined as the City’s urban area boundary and designated villages. The Brownfields Redevelopment CIP places the highest priority for brownfield redevelopment in the Central Area, Mixed Use Centres, along Mainstreets and within 600 metres of existing or planned rapid transit stations. This area is known as the priority area.

The Ottawa Brownfields Redevelopment CIP contains a comprehensive framework of incentive programs, including the following:

1. Rehabilitation Grant Program which is a tax-increment based grant provided to those undertaking brownfield redevelopment projects in order to assist with paying for remediation, rehabilitation and adaptive reuse costs. These grants will be funded through the tax increase that results from redevelopment of the property. Eligible costs include:
   • Environmental assessment, remediation and risk management costs
   • LEED program component costs
   • Demolition
   • Building rehabilitation and retrofit works
   • Maximum of 50% of upgrading costs for on-site infrastructure including water services, sanitary sewers and stormwater management facilities
   Grants payable in the form of property tax rebates, will equal 50 per cent of the City portion of the increase in property taxes that results from the redevelopment, payable annually for up to 10 years in priority areas and up to 5 years in non-priority areas, after property taxes have been paid in full each year. The environmental assessment, remediation, risk management and LEED cost components of an approved Rehabilitation Grant may be applied against development charges payable, subject to Council approval. The maximum reduction of development charges is 50 per cent of the environmental assessment, remediation, risk management and LEED cost components in the priority area and 25 per cent of these costs outside of the priority area.
    
2. Property Tax Assistance Program which is a program that cancels the City and education property tax increase that would normally occur on a brownfield property that has undergone environmental remediation/risk management and redevelopment in order to assist with paying for remediation costs. This program provides a cancellation of the City and education property tax increase on a redeveloped brownfield property for up to three years in both the priority and non-priority areas. The education property tax assistance is subject to approval by the Ministry of Municipal Affairs and Housing.
    
3. Environmental Site Assessment Grant Program which is a program that provides a grant to help pay for the costs of undertaking environmental studies such as a Phase II ESA, Remedial Action Plan or Risk Assessment Plan. This program will provide a matching grant of 50 per cent of the cost of an eligible environmental study to a maximum grant of:
   1. $15,000 per study
   2. Two (2) environmental studies per property/project
   3. $25,000 per property/project
   This grant would be payable in the form of a cheque from the City once the environmental study is complete, submitted to the City, and the consultant who prepared the study has been paid. This program is not currently available, but eligible costs under this program to the maximum specified above can be included as eligible costs under the Rehabilitation Grant Program.
    
4. Project Feasibility Study Grant Program which is a program that provides a grant to help pay for the costs of undertaking a feasibility study such as:
   1. Structural analyses
   2. Evaluation of mechanical and electrical systems
   3. Concept plans
   4. Market analyses
   5. Other feasibility studies as approved by the City
   This program will provide a matching grant of 50 per cent of the cost of an eligible feasibility study to a maximum grant of $5,000 with a maximum of one (1) study per property. This program is not currently available, but eligible costs under this program to the maximum specified above can be included as eligible costs under the Rehabilitation Grant Program.
    
5. Building Permit Fee Grant Program which is a program that provides an additional incentive in the form of a grant equivalent to 30 per cent of building permit fees paid on a project that has been approved for a Rehabilitation Grant. This grant is paid as a component of the Rehabilitation Grant.

Funding Limits

Applicants should note that as per the Ottawa Brownfields CIP, the total of all grants, property tax assistance and development charge reduction provided in respect of particular lands and buildings specified in the above-noted programs shall not exceed 50 per cent of the cost of rehabilitating said lands and buildings.

How to Apply?

With respect to any and all of the above-noted programs, applicants should ensure that they contact the City to obtain an application, submit a complete application, and receive written acceptance of that application by the City before commencing any study or remediation/rehabilitation works that will be subject of an incentive program application.

For more information about these programs and how to make an application, please contact Richard Buchanan at 613-580-2424, ext. 27801.