Program Overview
The Ottawa International Airport is a significant economic driver for the city and is identified in Ottawa’s new Official Plan as a “special economic district.” The YOW CIP will help the Airport attract private-sector investment and development as part of its post-pandemic recovery plans and support city-wide economic growth, job creation and prosperity. The YOW CIP will make the Airport a more attractive option for businesses looking to capitalize on airport access and connectivity.
The YOW CIP permits the City to provide financial incentives to private businesses who develop or redevelop properties located within the YOW CIP Project Area. Projects must result in a minimum increase of $250,000 in property tax assessment valuation as an eligibility threshold to apply for benefits under the YOW CIP.
The plan offers Tax Increment Equivalent Grants (TIEGs) for approved projects. These grants are calculated based on the increase in the property’s contribution to municipal property taxes resulting from the value created through new development or redevelopment.
The YOW CIP Tax Increase Equivalent Grant (TIEG) will be based on 75% of the increase in municipal property taxes each year for up to 25 years, until the cumulative total reaches the lesser of 100% of eligible project costs or $25 million. The City will only issue grant payments once annual property taxes are paid in full and all other City accounts are in good standing.
The Ottawa International Airport Authority, as the property Owner, will undertake YOW CIP applications as permitted by the Ontario Planning Act, but only tenants paying municipal property taxes will be eligible to receive YOW CIP incentives.
The YOW CIP program will be in effect for 10 years, commencing July 28, 2022, and ending on July 27, 2032, with a 5-year option to extend the program at the discretion of Council.
The Eligibility Checklist provides general guidance about the eligibility requirements of the YOW CIP.
When applying to the YOW CIP program, the applicant should consider the following:
- The maximum grant over (up to) a 25-year period is $25,000,000 and cannot exceed the total of eligible development / redevelopment costs.
- Projects must deliver a minimum increase of $250,000 in property tax assessment valuation as a direct result of the development / redevelopment.
- The purpose of the YOW CIP is to support the Airport’s post-pandemic rebound and city-wide economic growth, job creation and prosperity. Projects / uses that do not contribute to these goals are not eligible for this program.
- Specifically excluded uses include: Payday loan establish
Eligibility Checklist
Disclaimer:
The information set forth in this checklist is provided solely as general guidance about the eligibility requirements of the Ottawa International Airport Community Improvement Plan (YOW CIP). It is not intended to constitute or replace the relevant By-laws and program documents. No information contained in this checklist, or any oral or written communication should be relied upon as a representation or warranty as to any matter related to the YOW CIP and no liability shall attach to any person or entity because of such information.
This checklist is indicative only. Complete information is contained in By-law 2022-247 enabling the Ottawa International Airport Community Improvement Plan (YOW CIP) and By-law 2022-238 that sets out the YOW CIP Project Area and associated program documents.
- The property must be located in the YOW CIP Project Area as described in By-law 2022-238.
- The project is a new development, or a redevelopment or replacement of an existing building.
- The proposed work includes one or more of the following:
- An addition of building space to an existing building;
- Construction of a new building;
- Significant alterations to an existing building resulting in improved marketability of the premises and a corresponding increase in assessed value;
- Exterior façade improvements facing a public road right-of-way; and/or
- Site works including landscaping and signage.
- Construction and/or improvements made to buildings and/or land will be made pursuant to a Building Permit where required, and/or other required permits, and be constructed in accordance with the Ontario Building Code where applicable.
- The proposed work to be undertaken on the property and/or buildings is expected to result in a minimum increase of $250,000.00 in the assessed value of the property.
- The property is an area that is already serviced or may be serviced with major roads, transit and piped sewer and water services.
- The owner’s financial account with the City is in good standing (including taxes, water, fines, and all other accounts due).
- All submissions under the YOW CIP program must be in reference to developments and/or redevelopments located within both of:
- the defined boundaries of the YOW CIP Project Area; and
- the currently existing T1A zone or such successor zone as may be established through the City's zoning review.
- Only those uses listed as permitted uses under the T1A zoning, or such successor zone as may be established through the City's zoning review, will be eligible for a YOW CIP program grant.
- Notwithstanding the list of permitted uses currently identified in the existing T1A zone or such successor zone as may be established through the City's zoning review, payday loan establishment uses shall not be eligible for a YOW CIP program grant.
Staff Report
By-law No. 2022-238 is to designate a part of the area covered by the Official Plan for the City of Ottawa as the Ottawa International Airport Community Improvement Plan Project Area (YOW CIP).
By-law No. 2022-247 is to adopt the Ottawa International Airport Community Improvement Plan (CIP), a program that provides financial incentives to support the construction, development, or redevelopment of properties within the Ottawa International Airport Community Improvement Plan Project Area. This by-law includes program details.
Contact
For more information on this program, including the complete eligibility criteria, or to obtain an application form please contact:
Chris Cope , Economic Development Officer
Planning, Real Estate and Economic Development Department
110 Laurier Avenue West
Ottawa, ON K1P 1J1
Chris.Cope@ottawa.ca
613-580-2424, ext. 28991
Or
Mike Bureau, Economic Development Officer
Planning, Real Estate and Economic Development Department
110 Laurier Avenue West
Ottawa, ON K1P 1J1
Mike.Bureau5@ottawa.ca
613-580-2424, ext. 22441