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
LIVE B.C. seeks ban on using drugs in 'all public spaces,' shifting approach to decriminalization
The B.C. government is moving to have drug use banned in 'all public spaces,' marking a major shift in the province's approach to decriminalization.
Air traveller complaints to Canadian Transportation Agency hit new high
The Canadian Transportation Agency has hit a record high of more than 71,000 complaints in a backlog. The quasi-judicial regulator and tribunal tasked with settling disputes between customers and the airlines says the backlog is growing because the number of incoming complaints keeps increasing.
Orca calf that was trapped in B.C. lagoon for weeks swims free
An orca whale calf that has been stranded in a B.C. lagoon for weeks after her pregnant mother died swam out on her own early Friday morning.
Sophie Gregoire Trudeau on navigating post-political life, co-parenting and freedom
Sophie Gregoire Trudeau says there is 'still so much love' between her and Prime Minister Justin Trudeau, as they navigate their post-separation relationship co-parenting their three children.
More than 115 cases of eye damage reported in Ontario after solar eclipse
More than 115 people who viewed the solar eclipse in Ontario earlier this month experienced eye damage after the event, according to eye doctors in the province.
U.S. flight attendant indicted in attempt to record teen girl in airplane bathroom
An American Airlines flight attendant was indicted Thursday after authorities said he tried to secretly record video of a 14-year-old girl using an airplane bathroom last September.
76ers All-Star centre Joel Embiid says he has Bell's palsy
Philadelphia 76ers All-Star centre Joel Embiid has been diagnosed with Bell’s palsy, a form of facial paralysis he says has affected him since before the play-in tournament.
AFN chief says Air Canada offered a 15% discount after her headdress was mishandled
After the Assembly of First Nations' national chief complained to Air Canada about how staffers treated her and her ceremonial headdress on a flight this week, she says the airline responded by offering a 15 per cent discount on her next flight.
Trump's lawyers try to discredit testimony of prosecution's first witness in hush money trial
Donald Trump's defence team attacked the credibility Friday of the prosecution's first witness in his hush money case, seeking to discredit testimony detailing a scheme between Trump and a tabloid to bury negative stories to protect the Republican's 2016 presidential campaign.