Capital Lot Levy
This is a general guide that briefly explains general and capital lot levies, why they are needed, and where you can get more information. As it is general in nature, it is not meant to replace bylaws or other legal documents.
What is a general lot levy?
A general lot levy is a fee paid by a developer to the municipality for subdivision approval in respect to technical, administrative, professional, consultative or other services provided by the municipality in examining and approving an application for the subdivision of land. The amount paid by the developer is not a pre-determined amount, but relates to scale of development.
What is capital lot levy?
Capital lot levies are fees paid by a developer of a new subdivision as compensation to the municipality for past and/or future capital projects. Depending upon the nature of the capital improvement, all or only some of the costs may be attributed to new subdivisions. For instance, fire protection also benefits the community at large so only a portion of capital expenditures will be charged to new subdivisions.
Why are general and capital lot levies required?
These fees allow the RM of Hanover to recoup its costs for reviewing subdivisions and direct certain capital costs to the developer and not the general public. The principle behind these levies is to direct costs to those who benefit from the service or capital facility.
How is general and capital lot levies collected?
The general and capital lot levies are a condition of subdivision approval. The levies have to be paid to the municipality prior to the developer registering the subdivision at the land titles office.
Typical municipal capital works include:
  • Public works equipment
  • Recreation facilities
  • Waste disposal
  • Fire equipment
  • Water treatment and distribution
  • Sanitary sewers, treatment plants and liquid disposal
What is the current general and capital lot levy fees? For specific information regarding the fees please contact the development officer at the RM of Hanover.
This information provides general guidance. Please consult the RM of Hanover for definitive requirements and procedures.