Ontario tables new bill aimed at speeding up development of homes, roads and transit
Opposition leaders concerned legislation could further expand controversial MZOs
Ontario's housing minister has announced a plan to speed up new home construction while lowering costs for developers through new legislation that was tabled on Monday.
The legislation, aimed at solving Ontario's housing crisis, would also fast-track road and transit projects in the province, and comes as the Ford government struggles to meet its goal of building 1.5 million homes.
"Through our proposed legislation, we plan to cut red tape, speed up approvals and reduce charges," said Minister of Municipal Affairs and Housing Rob Flack at a news conference in Vaughan Monday.
"And most importantly, make it more affordable to build and buy a home in Ontario."
The Ford government's target goal of building 1.5 million homes by 2031 was not mentioned in the news release Monday. Asked why, Flack admitted the province isn't currently on track to meet its goal.
"It's a goal, but frankly I'm more focused and our team is focused more on the next 12 to 24 months because if it stays the way it is now, we'll never get there," he responded.
"But is it forgotten? No way."
Data published recently by the Canada Mortgage and Housing Corporation showed that housing starts in Ontario in March were down 46 per cent, year over year, for communities with 10,000 or more people.
Bill would cap number of required affordable units
Flack said Ontario needs to make "immediate changes" to home building rules and his focus is on the next two years in order to spur development.
If passed, the bill would reduce the scope and number of studies municipalities can require for new developments, speed up certain minor variances and standardize and streamline fees developers pay that municipalities use to fund housing-enabling infrastructure such as water and sewer lines.
As well, the bill would standardize construction requirements, provide clarity that municipalities can't create construction standards beyond the building code and would cap the number of affordable units a municipality can require in certain residential developments.
Flack announced the new bill Monday alongside Finance Minister Peter Bethlenfalvy, Infrastructure Minister Kinga Surma, Transportation Minister Prabmeet Sarkaria, Mississauga Mayor Carolyn Parrish and Vaughan Mayor Steven Del Duca — days before the Ontario government is set to release its provincial budget.
The Ontario Home Builders' Association welcomed the announcement Monday, saying builders have long advocated for addressing issues of development charges as well as permitting and approval delays.
"This legislation is a strong step towards boosting supply, restoring affordability, and protecting jobs in the residential construction sector," said CEO Scott Andison.
Toronto Mayor Olivia Chow said she supports the province taking action to cut red tape to build more homes, but said Toronto has unique funding needs.
She said the city lost over $2 billion in funding for infrastructure after the province passed a bill to spur housing development in November 2022.
"I look forward to partnering with the province to find a path forward that supports building homes while also providing the funding our city needs," she said.
Concern over controversial MZO powers
Last week, Flack hinted at the bill, garnering skepticism from opposition leaders including NDP Leader Marit Stiles, who said she is concerned about reports from Global News that the bill could extend the controversial MZO (Minister's Zoning Order) powers to Surma.
Liberal Leader Bonnie Crombie said the use of MZOs should be curtailed, not expanded.
"You don't need another minister's hands in the Ministerial Zoning Orders," she said.
"We've seen this government's track record, and we've seen the abuse that there can be, and this is just yet another opportunity by broadening the power and increasing the number of ministers who can now issue MZOs. This is a really huge concern."
Surma said the move will help get more housing built.
"We're just trying to be more efficient, but we'll also continue working with the hard working (Ministry of Municipal Affairs and Housing) staff," she said.
"We want to be flexible. We want to be nimble. I have MZOs that I'd like to issue this year."
The government also announced Monday that it will add $400 million to two funds that municipalities use to build housing-enabling infrastructure.
In 2022, Premier Doug Ford pledged to build 1.5 million new homes by 2031, a target Ontario would need to build 100,000 homes a year to hit. But as recently as last October, the government's own fall economic statement showed the province is not on track to hit that level in 2025, 2026, or 2027.
"We've got headwinds in our economy," Flack told reporters at Queen's Park last Thursday. "We need bold initiatives, and we have to build faster. We're looking at the cost of housing today. It takes too long and it costs too much to get shovels in the ground."
With files CBC's Shawn Jeffords and The Canadian Press