Some Islanders concerned rental act draft could lead to more renovictions

Some Island housing advocates are raising concerns over proposed legislation that would replace the 30-year-old Rental of Residential Property Act.

The P.E.I. Fight for Affordable Housing says if the Residential Tenancy Act passes in its current draft form, it will do away with the moratorium on evictions for renovations recently passed in the P.E.I. Legislature.

"Right now it seems that a large number of tenants feel vulnerable because they could be renovicted," said Leo Cheverie, a member of the P.E.I. Fight for Affordable Housing.

"We have seen story after story after story on this, of people being renovicted even though they've lived in place for 15, 20, 25 years. It's a major concern. What you are doing is removing people from their homes. And in some cases landlords have taken advantage of that to up the rent by a substantial amount."

The current proposed version of the act gives tenants a first refusal on units they've been evicted from for renovations — once they come back on the market. And though the moratorium passed in the legislature was always intended to be temporary, Cheverie's group worries it would allow landlords to raise rent to unaffordable levels for tenants, even if their previous tenant was interested in returning.

This draft also eliminates the 2.5 per cent cap on annual allowable rent increases, which was part of a previous draft.

However, the Island Regulatory and Appeals Commission said if the act passes as currently drafted, increases will still be decided by the regulatory body.

Cheverie said if the act is passed in its current form, landlords would be able to evict tenants for "cosmetic changes" to a unit. He said landlords should only be able to evict for renovations required to maintain the structural integrity of the building.

"More and more housing stock is getting bought up by maybe fewer and fewer hands. So that power is being concentrated. So we need an act that restores balance between landlords and their tenants to make sure tenants are treated fairly."

IRAC doesn't track the total number of evictions on P.E.I., only the eviction notices contested by tenants.

IRAC said it dealt with 12 hearing applications for eviction notices served for renovations In 2021. In 2020, the number was 18. 

In 2019, there were 33 evictions contested by tenants whose landlords were evicting them to conduct renovations set aside on appeal.

No wording on living standards?

Last week Housing Minister Brad Trivers said the hope was to strike a balance for renters and landlords.

Currently, under the act, landlords are required to maintain apartments keeping units in a good state of repair and fit for habitation. Cheverie said there is no reference in the new draft of the act to maintain livable standards.

"We've been asking for provincial maintenance standards for every brief we have submitted to government, yet we have not seen that happen," he said.

"We know of people that have been evicted because of living in places that didn't meet those standards already. So, it's basically tenants who are paying the price for this."

However in an email, the province said there is a section in the draft act that addresses the concerns brought forward by Cheverie.

"Section 28 of the consultation draft has reference for landlords to maintain units in livable standards. Within this draft there is specific language that includes the obligation to repair and maintain rental units," the statement said.

"Section 29 provides an opportunity for a tenant to have a landlord complete repairs that are an emergency if they deal with health and safety matters."

Islanders can offer their input on the draft through online sessions on Jan. 11 and 13. Written submissions can be sent through the province's website.