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SOMBA K'E/YELLOWKNIFE
Developer Les Rocher is asking for a subsidy for his residential project, at Kam Lake - one the city estimates will require a $3.8 million injection in public money to fulfill his requests.

Walter Orr and Kevin Hodgins of FSC Architects and Engineering addressed city council on behalf of Homes North, which Rocher owns, with six requests regarding the proposed 178-lot modular home development near Kam Lake Road.

They include that the city allow for above ground wiring to the units at no cost; pay $600,000 toward water and sewer infrastructure from Bourque Drive to the subdivision boundary; provide for road connections between Kam Lake Road and Coronation Drive; contribute more to the design and construction of subdivision parks; provide $400,000 toward underground water and sewer mains; and put forward $2 million toward asphalt, sidewalks and curb and gutter development.

When totaled, the city estimates these items could cost about $3.8 million. This would require a property tax increase of more than 17 per cent, according to figures supplied in a city administration memo to council.

Both Orr and Hodgins insisted the project would meet the city's goals of making Yellowknife more affordable, especially for first-time, single-family home buyers.

The city has subsidized the development of infrastructure, such as sidewalks, paving, water and sewer, within subdivisions in the past, but has pushed for full-cost recovery since 2008. The memo points to the Engle Business District and Copper Sky development as areas where the developer has paid for infrastructure without a subsidy from the city.

Mayor Gord Van Tighem acknowledged Homes North's "excellent track record" of meeting the need for housing in the community, and said he hoped within the next week there would be a better idea on how much the city could meet the requests.

"The question in this case is where does the money come from?" Van Tighem said. "Normally in a development, the development cost is in the purchase price of the houses. But in the history of Yellowknife, there has been some consideration made for some of the things that are needed for a development to go forward, such as the access to water, sewer and the manner in which the utilities are run."

Van Tighem suggests "there are things that we could consider," most prominently above-ground wiring.

City councillor David Wind hoped an agreement with Homes North would be finished soon. He felt council would agree to demands involving above-ground wiring and costs associated with the subdivision park and playground construction.

"I think the general consensus was that if there were things that could be done that didn't involve direct costs to the city that we didn't want to be too hard-nosed about it," Wind said. He suggested that the city is attempting to protect taxpayers, since the first source of revenue would be property taxes.

Coun. Bob Brooks was more open to assisting the developer. He said he wanted the city to be seen as meeting usual practices of facilitating developments.

This would include above-ground wiring and parks, but also the water and sewer infrastructure and road connection items.

"I'm pleased that we are getting closer to an agreement," Brooks said. "The ultimate goal here is to make housing as affordable as possible.

"By accepting the first four items, I think this would make housing as affordable as possible without affecting the city's tax base."

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