April, 2024
Brownfields are a potential source of lingering legacy contaminants and a policy problem that poses significant challenges for municipal governments, including providing mechanisms to assist
and help fund cleanup activities. There is a significant additional cost associated with remediating contaminants if found on brownfields when compared to greenfield substitutes. This study identifies the municipal finance tools available for use by municipalities and the private development industry when undertaking the remediation of contaminants and the redevelopment of brownfield sites with a particular focus on Hamilton, Ontario. It evaluates their effectiveness through a conceptual proforma analysis. Additionally, this study examines the progression and decline of brownfield-specific Community Improvement Plan Incentives in Ontario from 2018 – 2023. The significant decline amongst smaller municipalities suggests that these municipalities lack the capacity, support, and financial base to implement comprehensive incentive programs. Municipal finance incentives must target the extraordinary costs borne by contamination and the cost of borrowing.