Who pays for cost of growth? Iqaluit mayor says 'we're in trouble'

Madeleine Redfern, mayor of Iqaluit, said it's too late to levy a fee on projects that have already been approved, but there is still about $1 billion of investment planned in the city, including a deep sea port and small craft harbour.

She says that new development will strain the city's resources. 

"The city doesn't have a single penny to really effectively address the effects and impacts of municipal infrastructure," Redfern said.

"We're in trouble. That's the reality."

Redfern used the upcoming lighting replacement project for the local airport as an example of increased stresses on infrastructure by new developments. She said to build the breakwater for the project, 90 dump trucks a day will travel on Federal Road for a total of six months, over a two year period.

"On an infrastructure that's already not in good shape," she added.

The city is solely responsible for the upkeep of the road. 

• Iqaluit airport plots new breakwater to build bigger, better lighting system

"I think council recognizes that we need to get ahead of this, that we need to be way more proactive," Redfern said.​

"I think this is a priority."

Development fees are common

Development charges are used in many southern municipalities, said David Amborski, director of the Centre for Urban Research and Land Development at Ryerson University.

"It's hard to fund the infrastructure for new growth, so you want growth to pay for growth," Amborski said.​

"You put a charge in place to defray the cost of growth-related infrastructure."

Iqaluit city council has directed administration to provide information on the creation of the bylaw.

In the meantime, the city has let both the territorial and federal governments know the challenges it is facing with the increased pressure on services.

Redfern said council will ask for municipal infrastructure assessments on new projects.