SoVote

Decentralized Democracy

Ontario Assembly

43rd Parl. 1st Sess.
October 26, 2022 09:00AM
  • Oct/26/22 9:20:00 a.m.
  • Re: Bill 23 

Good morning, Speaker, and thank you very much. I also want to thank the Minister of Municipal Affairs and Housing for sharing his time with both myself and our parliamentary assistant, Mr. Holland.

I’m very proud to rise for second reading of our government’s proposed More Homes Built Faster Act. I’m proud to speak to a piece of legislation designed to unlock the dream of home ownership for more Ontario families, more than ever before; a piece of legislation that will make it easier to get shovels in the ground and homes built faster.

Speaker, Ontario is facing a housing supply crisis. This isn’t news to anyone. You have heard us speak about it on countless occasions here in this chamber: about how, because of years of inaction on the part of the previous government, Ontario severely lacks the housing supply to meet our growing population; about how, right now, too many Ontarians are chasing too few homes; and how without bold and transformative action and change, we’ll be letting down an entire next generation.

The task ahead of us is to ensure that owning a home is in reach for everyone. That’s our mission, and failure is simply not an option. The message is clear: Our Premier, our government will not rest until we get the homes built to help every single Ontarian achieve the dream they have for themselves, their families and their communities.

More Homes Built Faster is perhaps the boldest change Ontario has seen in the housing sector, and it was developed by carefully listening to our partners. In the weeks leading up to the proposed legislation, the Minister of Municipal Affairs and Housing, PA Holland and I travelled across the province to meet with various partners in a series of round table discussions. We spoke with our partners about solutions to the challenges our province is facing in getting homes built. These round tables gave us the chance to hear great ideas from both the public, municipal leaders and housing experts in places like Kitchener-Waterloo, Mississauga, Thunder Bay, Burlington, London, Guelph, York, North Bay and Durham as well.

I heard from young families unable to enter the housing market, seniors on fixed incomes who worry about making their mortgage payments, the builder unable to build due to lengthy delays. I heard from millennials who did everything—who went to school, built their career, contributed to their community—and yet, despite doing everything that was asked, have given up entirely on the dream of ever owning a home. Speaker, that must change, and with More Homes Built Faster, we’re taking real action to ensure that it does.

It’s no secret that municipalities are playing catch-up when it comes to creating enough housing to meet the needs of our province’s growing population, and the solution is clear: More densification is needed where populations are growing quickly. Nearly 80% of the population growth through 2031 is concentrated in Ontario’s large municipalities, 25 of which are in the greater Golden Horseshoe region. We’re asking 29 of the largest and fastest-growing municipalities for their partnership in creating more attainable housing, and Madam Speaker, we’re holding them accountable to do so.

The fact is clear: We need to work together to reach our goal of building 1.5 million homes over the next 10 years. As a result, from now until at least 2032, we’ll give clear housing targets to municipalities, and we will ask them to pledge to fill the gap over the next 10 years in line with our target and based on the needs of their communities and their capacity to grow. These pledges are in addition to existing long-term municipal land use plans that are already in place.

The idea behind the pledge is to have the municipalities demonstrate the strategies that they may use to prioritize and accelerate housing in their communities. We would ask municipalities to submit their pledges to the province by March 1, 2023.

We’re also looking to our federal counterparts for their fair share of funding to help bring these housing pledges to fruition by helping municipalities to access funds available for housing-related infrastructure. This includes building proper water and sewage systems, roads, and transit for areas with increased density.

Speaker, increasing density doesn’t always mean building large towers that stretch to the sky. We’re also focusing on more gentle density in residential neighbourhoods. Proposed changes to the Planning Act would fast-track building up to three units on most lots already zoned as residential. This would apply to communities across the province.

So what does this mean? A family who owns a detached home could create a basement apartment and a garden suite without having to undergo time-consuming and costly planning approvals. This could be for a parent-in-law or a millennial trying to get a head start to save for their down payment. Most units could be added without major changes to the exterior of existing homes and therefore not require rezoning. Units could be added quickly, as the projects would be modest in scale, and in some cases, the only added municipal fees would be the cost of a building permit.

If passed, we could see units being built and occupied within 12 months. We estimate that allowing more as-of-right housing changes would create up to 50,000 new units over the next 10 years. While that might seem like a drop in the bucket, make no mistake, Madam Speaker, every little bit helps, especially when it is adding affordable units as we move to address the province’s housing crisis.

I should note that any changes to a home’s structure beyond what the municipality currently permits would still require planning approvals, and new units would need to meet Ontario’s building code requirements as well.

Our proposed changes would also ensure municipalities do not impose development charges, parkland dedication fees, or cash-in-lieu requirements for the creation of these types of new units.

Speaker, while gentle density works in some cases, there are other times when bringing more housing, jobs, retail and public amenities within close distance to transit is beneficial to a community. The province’s Transit-Oriented Communities Program will help build more housing to address soaring housing prices and provide more options to all Ontarians. This program is part of the province’s plan to build new, complete and mixed-use communities near and around public transit. We’re proposing to unlock new municipal funding tools so that municipalities can collect the fees and charges needed to participate in the transit-oriented community projects.

With more housing being built closer to transit, more people can get to and from their jobs, schools and back home much faster and be with their families. Speaker, living close to work saves money. It allows spending time, as I said, with more families, neighbours and loved ones, and it makes life easier for everyone.

Speaker, we are proud to be working with municipalities to deliver these transit-oriented community projects. It stands to reason that creating housing near transit stations delivers a myriad of benefits. We are increasing ridership, reducing traffic congestion and greenhouse gas emissions, and stimulating economic growth.

These projects create much-needed local services and convenience, and increase job opportunities to improve residents’ quality of life. It means housing closer to where we work, play and shop. It means less time in traffic, less time commuting and more time with our loved ones. But to get there, we need to remove barriers to building more homes.

One way to do that is through updating tools like inclusionary zoning. Inclusionary zoning requires home builders to include affordable housing options in new developments. That means there would be both market-rate and affordable units in a single development, such as condominiums for example.

There’s been a lot of attention to the need for attainable housing and how people with good jobs and even two incomes in their families can’t find a place to live. But we also need more affordable housing, especially around transit corridors and in other high-density areas. So we’re consulting on how to make inclusionary zoning rules more consistent and predictable in areas where this tool can be used. We’re also proposing a maximum 25-year affordability period, as well as a 5% cap on the number of affordable units, along with a standardized approach to determining affordable prices and rents.

Speaker, we’ve been clear that we want to put attainable home ownership and rental within reach for more Ontario families, and we want to give them the opportunity to live closer to where they work so that they can spend more time with one another.

Many of the proposed changes that we have been speaking to today would reduce financial burdens and streamline processes for the building sector, all while putting housing within reach for more Ontarians. In short, they would help to incentivize our partners in the construction industry to invest in building more homes.

We need these types of changes because we know there are times when deciding how and when to get shovels in the ground on new homes can be delayed and even stalled. That’s because in some areas with upper- and lower-tier municipalities, both levels of government have responsibilities for development planning and approvals.

That’s why we’re also proposing changes to the Planning Act that, if passed, would further reduce red tape and help to make it easier for municipalities to make planning decisions. This would limit the amount of input that upper-tier municipalities like Peel region have when lower-tier municipalities like Caledon are making decisions around how their housing supply is planned. This would also give the public more influence over decisions and help clarify responsibilities.

Speaker, another way we’re proposing to streamline development approval timelines would be to eliminate unnecessary steps in the approvals process. Currently, municipalities must hold a public meeting for every draft plan of subdivision. Making this meeting optional would get shovels in the ground faster while the public could continue to provide input at the official plan and zoning bylaw stages.

We’re also proposing to streamline the land lease approval process to encourage more development and increase the number of land lease community homes. Land leases are where the house is owned and the land that it sits on is rented. This arrangement can be a more attainable housing option for many people, particularly in rural parts of the province.

With this new plan, we would also explore ways to enable an alternative home financing model, namely rent-to-own arrangements, as alluded to by the Minister of Municipal Affairs and Housing earlier. To do this, we would launch broad consultations and seek input and advice from experts, industry, renters and landlords.

We’re also working on a new attainable housing program that would combine a variety of tools to create homes that Ontarians can afford to buy. We would take parcels of surplus provincial properties in different communities in Ontario and put them back to create more housing options that meet the people’s needs and budgets. And if needed, the Minister of Municipal Affairs and Housing could consider making minister’s zoning orders on these parcels of provincial land to speed up construction even more.

We could also use ownership models such as land lease or rent-to-own and reduce development charges to cut costs. This would help create a series of mixed-income communities that would help a variety of Ontarians, with a variety of budgets.

Speaker, our government is committed to helping Ontarians across the housing spectrum, which is why our new plan complements the community housing regulatory framework that we established earlier this year when we released our previous housing supply action plan, More Homes for Everyone.

And while we’re proposing ways to make it easier to build a mix of home ownership and rental housing, we also recognize that the community housing sector faces its own set of unique challenges. That’s why we invested nearly $4.4 billion over the past three years through the Community Housing Renewal Strategy, homelessness programs, and response to the COVID-19 pandemic, to grow and enhance community and supportive housing as well as to address homelessness for vulnerable Ontarians.

When people have the housing they need, they have better health, better education experiences and certainly better employment outcomes as well.

And when housing is affordable—as well as in areas near transit, schools, workplaces and amenities—individuals have the opportunity to manage their lives and build a foundation for their families.

There are many ways we can help low-income households, including those who require some form of assistance through the community housing system.

The rising cost of living has a significant impact on low-income households who might have to choose between putting food on the table and paying rent.

For example, between 1991 and 2016, the number of Ontario households needing assistance increased from 12% of total households to approximately 15%.

Finding affordable housing can be especially challenging for those who are working at minimum wage jobs, struggling to find employment or on social assistance. To help ease the burden, we are continuing our work with the community housing sector, including municipal partners and housing providers, to preserve the existing stock of community housing and to modernize the system for those who depend on it. Put simply, we’re working to help vulnerable Ontarians get back on their feet.

Another goal in addressing our housing crisis and improving affordability is to ensure older purpose-built rentals are replaced quickly. If a mid-sized rental apartment—six units or more—is demolished, municipalities may limit what’s built on that site. For example, they may specify the size and number of the replacement units in the new building. And while the goal of a municipality’s bylaw may be to preserve affordable rents and protect tenants, it may be preventing renewal and, as such, limiting the supply of rental units and leading to deteriorating housing stock.

With our plan, we would launch consultations to hear solutions on how to promote the building of more, desperately needed, rental units while continuing to protect the people who rent them.

Speaker, Ontario is in need of bold action to get more shovels in the ground, faster, on all types of housing.

The proposed initiatives I talked about today are designed to create a broader mix of housing and fill in the housing gaps we need in communities right across our province, because we need to help more Ontarians find a home that meets their needs.

This spring we made a promise to the millennial dreaming of owning a home, the family that’s looking to plant their roots, the senior looking to retire in dignity, and the newcomer in search of a more prosperous future that we would not let them down. We promised them that if they’re willing to work hard, if they’re willing to do their part and earn their keep, we would unlock the dream of home ownership; we would say yes to getting more homes built.

We live in the greatest province in the best country in the world, but it cannot be at its best until everyone has a place to come home to. And with the More Homes Built Faster Act, we’re taking bold action to ensure that goal becomes a reality.

I will now hand it over to my colleague the parliamentary assistant to the Minister of Municipal Affairs and Housing, who will share more details on this proposed legislation.

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  • Oct/26/22 9:40:00 a.m.
  • Re: Bill 23 

I would like to thank both the Minister of Municipal Affairs and Housing and the Associate Minister of Housing for sharing their time with me today. It’s my pleasure to rise for the second reading of our government’s proposed More Homes Built Faster Act. I will echo the Minister of Municipal Affairs and Housing in saying that Ontario is the best place to call home, yet finding the right home is still challenging. That is why we are dedicated to getting 1.5 million homes built over the next 10 years. I’m honoured to be able to speak to the details of how we plan to reach that goal.

Our new housing supply action plan is a strong foundation, which we’re building on in partnership with eight other ministries, along with municipalities and industry experts. Our goal is to introduce almost 50 new changes to legislation and regulations that will speed up housing creation in Ontario. We know that if we reduce delays and get the cost of building homes down, we can lower the price of a home for the average buyer, because delays in building housing drive up costs.

Delays are contributing to the housing supply shortage even as we try diligently to make up the time we lost when the pandemic first hit. Throughout the province, we need to significantly increase the speed of new home building in order to meet demand and lower costs for Ontarians. Study after study has found that development approvals and appropriate zoning are often delayed or hindered because of opposition from some members of local municipalities. Some projects are even abandoned altogether. Even if the project finally gets the go-ahead, a lot of damage has already been done. Our new plan addresses the barriers that cause housing delays. These barriers include land access in urban areas due to complex land use policies, on top of lengthy planning approvals for new housing. Coupled with high development charges, these issues are the driving causes of rising costs in creating delays in building supply.

Just last month, the Building Industry and Land Development Association, or BILD, found municipal approval times in the greater Toronto area are among the worst of major municipalities in the country. Think about this: Our current requirements for approvals can add, on average, from 27% to 51% more time on a new build, based on a 2020 study. When it comes to costs, BILD also found development charge rates for a two-bedroom apartment unit exceeded $70,000 in five of our province’s most populous municipalities. This drives up costs for builders, for renters and for homeowners alike, and it’s why we are proposing to look at ways we can update and streamline how and when these types of charges are required in order to help build more housing faster.

There are three main charges levied on new residential developments by municipalities. They are development charges, which fund infrastructure like water and roads; parkland dedication fees, which can be either money or land, and are used to create parks; and community benefit charges, which help build libraries and community centres. Our proposed changes, if passed, would revise the way these charges are implemented to help spur much-needed development. Affordable housing units as well as inclusionary zoning units would not be required to pay development charges, parkland dedication fees and community benefit charges. Where a charge is not levied on a per-unit basis, the maximum charge would be lowered to reflect both the affordable and inclusionary zoning units. Likewise, select attainable housing projects would see some relief from these three charges. Non-profit housing developments would also be relieved from paying development charges and parkland dedication fees. With our proposed changes, development charges for rental construction would be discounted for home builders, with deeper discounts for family-sized units.

We’re also working to reduce the administrative burden on municipalities by extending the deadline for reviewing development charge bylaws from every five years to every 10 years. If and when new development charge bylaws are passed, the charges would be phased in over five years, making increases more manageable for home builders.

Speaker, I also mentioned parkland dedication requirements. In our plan, we’re proposing to reduce maximum parkland dedication requirements for higher density developments by 50% and putting a tiered maximum parkland rate of 15% of the land or its value for sites greater than five hectares. For sites that are five hectares or less, the maximum parkland rate would be 10%. This would help reduce costs to build new condos and apartment buildings.

Changes like this would make it easier for builders to predict the cost of fees, which would, of course, encourage the start of construction. We would make changes to freeze parkland rates earlier in the development process, at the time of the site plan or zoning application, instead of at the time the building permit is issued, which is later in the development process. Parkland dedication requirements would not be imposed on existing units and parcels of land.

Together, these changes to charges would help incentivize the development of a mix of rentals, mid-rise buildings, single and semi-detached homes, duplexes and triplexes for everyone.

We are also proposing to amend the Planning Act by adjusting how community benefits charges are applied. I mentioned that we would ensure that affordable housing units would not be subject to community benefits charges. In addition, when someone builds infill development or units on a parcel of land with existing development on it, the community benefits charge would be based on just the new units rather than the entire parcel of land.

Speaker, municipal fees and charges ought to be collected to build infrastructure, not earn interest. We’re proposing to require municipalities to use or allocate at least 60% of their development charge reserves for services like water, waste water and roads each year. Similarly, the same requirement would be put in place for parkland reserves, because we need municipalities to build the infrastructure and parks that our growing communities need now.

As we propose to help reduce costs for new developments, we need to look at the other challenges that builders often face. When people are unable to resolve their differences on community planning issues or have disputes with their municipal council that can’t be settled, the Ontario Land Tribunal provides a forum to resolve these disputes. So we’re moving to ensure the OLT can recruit more adjudicators and staff to resolve disputes faster. We want to speed up decision-making at the OLT and help increase housing supply by proposing changes that would prioritize the cases that create the most housing, establish service standards and clarify the Ontario Land Tribunal’s powers to dismiss appeals due to unreasonable delay or failure to comply with a tribunal order.

We would also place a limit on appeals from individuals and community groups, for instance, that would further hinder the progress of official plan amendments and zoning bylaw amendments. This would help reduce the tribunal’s backlog and speed up approvals.

This requires well-thought-out policies. As the minister talked about, one of our main priorities is looking at how we are planning for growth. A recent study by Re/Max Canada found that our housing inventory is depleted in part thanks to our rapidly growing population. Our housing stock has already fallen behind, and it’s not on track to keep pace with population growth. That means we need to take action now to keep up. We have to ensure that our province has the necessary amount of housing required to meet the needs of Ontarians and all newcomers. One of our top priorities is making sure that we have these supports in place.

That’s why we’re taking another look at the growth plan for the greater Golden Horseshoe and its policies, to make sure that unnecessary red tape around building homes is eliminated. We have to look again and be nimble enough in our approach to make sure that our plan for growth isn’t inadvertently hindering our ability to build more homes.

We’re undertaking a housing-focused review of A Place to Grow and the provincial policy statement, which will result in a new outcome-based, province-wide policy instrument for municipalities in Ontario.

To elaborate on what the minister touched on earlier, these changes would include a review of six main themes.

The first would be residential land supply. We would update policies relating to boundary expansions, rural housing and converting employment areas to areas suitable for housing.

The second would be attainable housing supply. We would develop a strong mix of housing in areas where urban growth is occurring.

The third theme of this review would be growth management. By working to forecast population and employment, and enlarge fast-growing municipalities, we can ensure we have enough housing stock.

The fourth theme of our review of this plan includes protecting environmental and natural resources, looking at agricultural policies and maintaining our province’s natural heritage.

For the fifth theme, we would look at the current supply and capacity of community infrastructure, including how to integrate urban schools into our communities.

Finally, our last theme would be a streamlined planning framework, one that ensures our reviews of these policies are focused on positive impact and are flexible enough to keep up with quickly changing demands, as I described. In all, increasing the supply of attainable housing would put housing in reach for more people across Ontario.

We know that change is challenging, but we must take action, no matter how challenging it is. Our plan would help to create more consistency, which should reduce the disputes that often arise in municipal council meetings over land use planning issues. The proposals would, if passed, ensure that cities, towns and rural communities grow with a mix of ownership and rental housing types that meet the needs of all Ontarians.

It is because of this demand for a variety of housing that we are proposing to remove site plan control requirements for projects with fewer than 10 units. Let me elaborate. Site plan control is a planning tool that a municipality usually uses to evaluate things like walkways, parking areas, landscaping or exterior design on land where development is proposed. Site plan control works in tandem with provincial policy statements, official plans, zoning bylaws, community planning permit systems and building permits. Removing site plan controls for projects with less than 10 units would reduce the number of approvals in the pipeline, speeding things up for these housing proposals, and would ensure that essential building permits, as well as the building code and fire code requirements, will continue to protect public safety.

For larger projects, we are proposing to speed up approvals by streamlining site plan reviews to focus on health and safety issues, such as safe access to and from the site, rather than focus on the unnecessary regulation of architectural or aesthetic landscaping design details.

Our new housing supply action plan has, as I’ve described, thoughtful solutions and innovative ways that will help us to quickly approve new builds, and it will allow us to quickly make changes to the charges and delays incurred by builders and consumers to keep up and get ahead.

Speaker, as you can see, we’re leading innovations that will create more housing in Ontario and will make it easier for our partners in municipalities to keep up with demand. These proposed approaches to breaking down barriers, streamlining processes and cutting costs would, if passed, further our goal of making housing more attainable for all Ontarians. With our proposed changes, we would help renters cross over and become homeowners, and we would increase the number of homes available to all people, because everyone in Ontario should be able to find a home that is right for them.

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  • Oct/26/22 9:50:00 a.m.
  • Re: Bill 23 

Thanks, Speaker. It’s great to see you in the chair this morning.

I first want to thank the member for University–Rosedale for her endorsement yesterday. I watched her on CP24, and I was very pleased that she was quoted as saying that it does seem like this bill is good for building new homes. I appreciate your comments on television.

This is a consultation, so I’m not going to predetermine the outcome of the consultation. We want to make sure we hear from renters and builders about the replacement bylaws that some municipalities have. While the goal of the municipalities bylaw may be to make sure that affordable rents are preserved and remain, it may also prevent renewal, so we want to have that conversation with stakeholders. Because if a mid-size rental building that’s six units or more is demolished, municipalities can limit what’s built on the site. For example, they might decide to specify the size or the number of replacement units.

We want to have a conversation around those rental replacement bylaws, and I have said that after debate I would be pleased to hear the member opposite’s comments as we move forward in the consultation. Thank you for the question.

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