Interest rates slowing development revenue in Uxbridge

DAN CEARNS The Standard

UXBRIDGE: Despite high revenues coming into the Township overall, Uxbridge has seen declining revenue from the building department.

At a meeting, on Monday, November 18th, councillors saw an operating results report, from Treasurer Tobi Lee. So far, the Township has received “96 percent of budgeted revenue” estimated, from the 2024 municipal budget, and has incurred “70 percent of budgeted operating expenditures.”

However, the report noted, in Development Services, the “revenue for the Building department is currently at 53 percent of budget, due to lower than anticipated building permit activity, and associated revenues being received to date are not anticipated to meet budget, by year-end.”

The report also noted, “Staff have been monitoring permits and associated fees and will be proposing some revisions to the building fees for 2025, as a result.”

When asked about the declining building revenue, Mayor Dave Barton pointed to a Canada wide issue.

“The reason why our building revenues are down is building has dramatically slowed, due to the interest rate changes. You look at [it,] the entire real estate market has basically stopped, due to the cost of borrowing.”