Exorbitant "City Works" charge associated with building permit (Burnaby BC) normal?

In January 2018, we applied for a building permit for our small lot (33x110) in Burnaby Edmonds area, and the permit invoices issued by the City of Burnaby shocked us. In addition to the standard permit related fees listed in the fees bylaw, we got charged an additional $31,000 for City Works ($10,000 for new storm piping, $6000 for new sanitary piping, and $15,000 for new water piping). We were told that the City of Burnaby recently had a "change in practice" that require all water piping/connection older than 25 years and all storm and sanitary piping/connection older than 40 years to be updated by the City at the homeowner's expense - this would apply to all old houses to be demolished and rebuilt!

Our neighbor who demolished their old house and built a new one last year told us they were not charged such fees for City Works (for updating the piping).

Now, just to get the building permit, we would have to pay $45,000 in total ($31,000 for City Works + the standard permit fees, inspection fees and damage deposit).

Has anyone else been charged such exorbitant "City Works" fee? We've never come across this fee when looking up costs associated with building a house, and this fee isn't listed in any city bylaws, the official government website, or other public release.