Ontario's Bill 23 could cost Region of Waterloo $530 million: regional staff
Region of Waterloo staff say sweeping new provincial housing legislation will cost the region and its seven municipalities an estimated $530 million over the next 10 years, and taxpayers could be on the hook to make up the difference.
The Ontario government passed Bill 23, or the “More Homes Built Faster Act” Monday.
The legislation, which overrides some municipal zoning laws and reduces – or in some cases eliminates – development charges, is part of the Ford government’s plan to build 1.5 million homes by 2031.
But critics of the bill say it will leave Ontario's municipalities short billions of dollars by drastically reducing the fees they collect from developers.
Those fees pay for things like roads, sewers, transit, libraries and other city services and infrastructure.
“My concern is, of course, the impact this is going to have on our financials,” Waterloo Mayor Dorothy McCabe told CTV News.
“We’re looking at, over the course of five years, potentially losing anywhere between $23 million to $31 million.”
Staff at the City of Cambridge estimate the value of the lost development charges at $18 million over a five year period.
Meanwhile, in Kitchener the cost is an estimated at $40 million over 10 years.
Local politicians say that means the cost of things like roads, sewers and parks that used to be covered by development charges could now be put on property owners.
“When people buy a home, they want to be able to turn a tap on, they want to be able to flush the toilet, they want roads outside their homes, these are all services municipalities provide,” Waterloo regional chair Karen Redman said.
“We know that we are going to have to supply those, and it shouldn’t be done on the back of homeowners.”
McCabe says it could lead to some very difficult conversations.
“We are going to have to have those trade-offs, and that’s going to be a very difficult conversation. What we may have to start looking at not being able to fund is important things like recreation, facilities, or parkland,” she said.
Many in the planning community are confused by the bill.
Mark Seasons, a professor in the University of Waterloo School of Planning calls it “perplexing” and says it runs counter to conventional and best practice in urban and regional planning.
“There is no conclusive evidence I have seen so far that development charges are the sole negative impact on the affordability issue,” Season said.
In fact, he says he’s not convinced Bill 23 will get any homes built faster and suggests the rationale behind the legislation may lay elsewhere.
“It may reflect a view of political perspective. There may be reasons that are opaque to me. The rationale for this is not really clear,” he said.
Meanwhile, Redman says the province has agreed to further consultation on Bill 23, and she’s hopeful an agreement can be reached that won’t leave municipalities and taxpayers holding the bag.
CTVNews.ca Top Stories
American millionaire Jonathan Lehrer denied bail after being charged with killing Canadian couple
American millionaire Jonathan Lehrer, one of two men charged in the killings of a Canadian couple in Dominica, has been denied bail.
LeBlanc says he plans to run in next election, under Trudeau's leadership
Cabinet minister Dominic LeBlanc says he plans to run in the next election as a candidate under Prime Minister Justin Trudeau's leadership, amid questions about his rumoured interest in succeeding his longtime friend for the top job.
Sports columnist apologizes for 'oafish' comments directed at Caitlin Clark. The controversy isn’t over
A male columnist has apologized for a cringeworthy moment during former University of Iowa superstar and college basketball’s highest scorer Caitlin Clark’s first news conference as an Indiana Fever player.
U.S. vetoes a widely supported UN resolution backing full membership for Palestine
The United States has vetoed a widely backed UN resolution that would have paved the way for full United Nations membership for the state of Palestine.
Grandparent scam suspects had ties to Italian organized crime, police allege
A group of suspects that allegedly defrauded seniors across Ontario and other parts of Canada using a so-called emergency grandparent scam appear to have ties to 'Italian traditional organized crime,' according to an investigator involved in the OPP-led probe.
Health Canada to change sperm donor screening rules for men who have sex with men
Health Canada will change its longstanding policy restricting gay and bisexual men from donating to sperm banks in Canada, CTV News has learned. The federal health agency has adopted a revised directive removing the ban on gay, bisexual and other men who have sex with men, effective May 8.
Prince Harry formally confirms he is now a U.S. resident
Prince Harry, the son of King Charles III and fifth in line to the British throne, has formally confirmed he is now a U.S. resident.
Cat found on Toronto Pearson airport runway 3 days after going missing
Kevin the cat has been reunited with his family after enduring a harrowing three-day ordeal while lost at Toronto Pearson International Airport earlier this week.
N.L. gardening store revives 19th century seed-packing machine
Technology from the 19th century has been brought out of retirement at a Newfoundland gardening store, as staff look for all the help they can get to fill orders during a busy season.