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Winnipeg’s growth fees to be challenged in court

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WATCH: Growth fees could cause resale home prices to soar: analyst – Sep 2, 2016

WINNIPEG — Key players in Manitoba’s home building industry have launched a legal challenge against Winnipeg’s growth fees.

The notice of application aims to have the growth fee declared invalid by a judge.

The Manitoba Home Builders’ Association and the Manitoba Chapter of the Urban Development Institute are behind the challenge.

They claim the city doesn’t have the authority under its charter to create the growth fee bylaw and that the fee unfairly levies a tax on home buyers.

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RELATED: Growth fees passed at City Hall

“Any one or more of those charges are an indirect tax and the respondent [city of Winnipeg] does not have the jurisdiction to enact a bylaw which seeks to impose and levy an indirect tax,” read a section from documents filed at the Court of Queen’s Bench in Winnipeg Tuesday morning.
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The Home Builders’ Association has threatened legal repercussions since the idea of growth fees was introduced last year.

“We are asking the courts to review this matter in order to clear up the legal uncertainties that are affecting local businesses,’ Mike Moore, president of the Manitoba Home Builders’ Association, said.

READ MORE: Prospective growth fees causes concern for new homebuyers

Affidavits still need to be filed by the Manitoba Home Builders’ Association, Manitoba Chapter of the Urban Development Institute and the City of Winnipeg before arguments are heard in court.

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