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Mayor Brian Bowman said the extra charges are necessary to pay for related infrastructure in new sprawling neighbourhoods.(File image)

The impact fee charged on new homes in Winnipeg suburbs could be lowered for some years.

Mayor Brian Bowman’s executive policy committee passed a motion to increase the fee annually equal to the rate of construction inflation or decrease it in line with construction deflation.

The amount either way would be capped at five per cent.

The motion, tabled by Coun. Brian Mayes says it would be “equitable” to reduce the fee in deflation situations.

The motion says, “the City economist has calculated 2019 construction inflation to be deflationary.”

The impact fee adds about $500 for every 1,000 square feet of space.