In 2018, a new framework for strategic growth decision making in new community areas was created. Business cases for new growth areas were prepared by proponents, recommendations were brought forward by City staff, and decisions were made by Council. The result was an approved portfolio of investments for 14 new communities and 27 actively developing communities for inclusion in the One Calgary (2019-2022) service plan and budget. This represents an approximate $489 million investment in 2019-2022, and it set forward a path for strategic growth in these areas for the next 10-30 years. 

The 2018 process also introduced the three growth decision making factors; MDP/CTP Alignment, Market Demand and Financial Impact.

Since 2018, as the Citywide Growth Strategy has moved onto established areas and industrial areas, these three factors continue to be the foundational considerations for process and investment recommendations made to Council.

Council provided clarity on the process for the New Community Growth Strategy 2020 through the 2019 Growth Monitoring Report PFC2019-1062 (Item 7.12) in 2019 November.

Through this report, Council approved a modification to the established process of receiving business cases for new community growth from development proponents. These modification were meant to recognize The City of Calgary's current financial constraints.

As part of the modified process, proponents first submited proposals that demonstrate how their business case area will meet the following entrance criteria:

1. No required capital costs from The City of Calgary to initiate development;
2. No required operating costs in the current One Calgary (2019-2022) budget or the next (2023-2026) budget cycle, without a proposed mitigating solution, that does not include tax and utility rate increases using the existing model and any improvements made by the date of review;
3. Completing areas of previously approved communities and leveraging capital investments already made in 2018 and prior years;
4. Property tax generation potential; and
5. Levy generation potential that funds new and established areas.

Full business cases were reviewed using this Evaluation Criteria. These criteria help to ensure that when a new community is approved, it is because it can move forward and grow into a great place for future residents and businesses to call home.

The New Community Growth Strategy 2020 evaluation included the submission and review of 11 business cases for new community growth. Administration brought forward a recommendation to the Priorities and Finance Committee on Oct. 19, and debate and decisions occurred at the Nov. 2 Combined Meeting of Council.

Council did not approve any of the 11 business cases. Proponents will be invited to resubmit these applications during the next evaluation cycle, which is expected to be in 2022, ahead of the 2023-2026 service plan and budget cycle.

Council made several amendments to Administration’s recommendations, and also added a number of motions arising. They included encouraging developers in currently approved business cases to maximize development, to look at the potential of right-sizing some road standards in order to redirect savings to established communities, and to better integrate climate resilience considerations into the business case process. 

This map shows the location of actively developing communities that are expected to be completed within or beyond the next 8 years. The New Communities that were approved by Council in 2018 are also shown. The location of the additional 11 proposed 2020 business cases are identified.

Reports to Council:

• March 2018 Item 7.1
• July 2018 Items 8.2.1, 8.2.1.1, and 8.2.3
• Growth Strategy Monitoring Report
  • 2019  Item 7.12
  • 2020  Item 11.4.2

•  New Community 2022 Business Case Criteria
• Business Case Submission Guidelines
• Business Case Development Template
• Climate Risk Statement
• Natural Asset Valuation

We’re planning and building our city now and for the next 60 years, so it can thrive and prosper as we grow to 2 million people. It’s important we ensure our newest communities are successful during this growth. That success relies on the amenities and infrastructure that they require, from both developers and The City.

The New Community Growth Strategy also provides an opportunity for developers to showcase their proposed development, and demonstrate economic and social benefits.

The Strategy ensures The City can fully support and invest in these new communities, not just as they're being built in the short-term, but also once they are completed and established, for decades to come.

Council has prioritized seeking growth opportunities that are aligned with the Citywide Growth Strategy and the Municipal Development Plan, in order to boost economic activity and city building efforts.

The evaluation criteria was developed by City Administration and has been reviewed each time with industry representatives to assess new business cases submitted by private developers, and is focused on the following well established growth planning factors:

• Municipal Development Plan/Calgary Transportation Plan (MDP/CTP) Alignment
  • such as achieving more housing choices for where people can live and options for how people can move and travel in Calgary; and municipal investment in infrastructure
• Market Demand
  • such as ensuring supply and demand are in balance so that new communities can quickly build to potential; that healthy choice and competition are present; that housing affordability is considered
• Financial Impacts
  • such as considering the economic benefit of new development while also prudently managing The City`s finances and risk exposure

Council approval is required to amend an area structure plan (ASP).  An ASP is a long-range planning document which guides and directs the specific land use.  An amendment to remove the Growth Management Overlay is required to permit new growth.  Removing a Growth Management Overlay allows the landowner to take the next steps towards realizing the development of their community, including stripping and grading, land use redesignation, subdivision, and construction. It also requires that The City will provide the off-site services that support the development of that new community. 

Administration brings forward to Council an annual growth monitoring report to provide Council and partners an update on how growth in all areas of the city is progressing. The monitoring report provides Council with information to make informed decisions on citywide growth. Administration also monitors market conditions and growth capacity through the Suburban Residential Growth report.

After Council approves a new community, a developer continues to proceed through the development approvals continuum and then begins stripping and grading and servicing of the development. Once utilities have been installed, building construction begins, ending with home owners taking occupancy of their new home.

The City will also begin to coordinate new community infrastructure and services, including planning and construction, timed to development and City budgets.

The New Community Growth Strategy 2020 evaluation included the submission and review of 11 business cases for new community growth. Administration brought forward a recommendation to the Priorities and Finance Committee on Oct. 19, and debate and decisions occurred at the Nov. 2 Combined Meeting of Council.

Council did not approve any of the 11 business cases. Proponents will be invited to resubmit these applications during the next evaluation cycle, which is expected to be in 2022, ahead of the 2023-2026 service plan and budget cycle.

Council made several amendments to Administration’s recommendations, and also added a number of motions arising. They included encouraging developers in currently approved business cases to maximize development, to look at the potential of right-sizing some road standards in order to redirect savings to established communities, and to better integrate climate resilience considerations into the business case process. 

New community business cases will be considered on a two year cycle in alignment with the beginning and mid-cycle of the four year budget timeframe. Establishing a two year evaluation cycle provides certainty in process, with enough flexibility to meet market demand while allowing The City to consider financial impacts at budget time.

Business cases will be reviewed next in 2024, at the mid-cycle point of the 2023-2026 service plan and budget cycle.

Below is a schedule of key dates for the 2022 evaluation cycle.