Court Strikes Winnipeg Developoment Fees

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Court Strikes Winnipeg Developoment Fees

Efforts for developers to pay their fair share set back:

A Manitoba judge is ordering the City of Winnipeg to refund millions of dollars it collected in recent years through growth fees it imposed on developers, builders and homeowners in new residential developments at the outskirts of the city.

The three-year legal battle between the city and developers who wanted to kill city growth fees came to an end Wednesday.

Court of Queen's Bench Justice James Edmond found it was reasonable for the city to think it could impose impact fees on developers based on the authority of city council.

But Edmond ultimately sided with the developers and ordered the city to refund the millions of dollars it recouped through impact fees from developers, builders and homeowners — plus whatever interest developed while sitting in the city reserve fund.

Edmond wrote in his decision, delivered Wednesday, that the fees are an "invalid indirect tax."