HomeMy WebLinkAboutCSD-16-054 - Bill 204 - Promoting Affordable Housing Act
REPORT TO: Community & Infrastructure Services Committee
DATE OF MEETING: August 8, 2016
SUBMITTED BY: Alain Pinard,Director of Planning,519-741-2200 ext. 7319
PREPARED BY: Brandon Sloan,Manager, Long Range & Policy Planning,
519-741-2200 ext. 7648
Lauren Nelson, Planning Analyst, 519-741-2200 ext. 7072
WARD(S) INVOLVED: All Wards
DATE OF REPORT: July 28, 2016
REPORT NO.: CSD-16-054
SUBJECT: Bill 204 Promoting Affordable Housing Act
___________________________________________________________________
RECOMMENDATION:
That report CSD-16-054 regarding Bill 204 - Promoting Affordable Housing Act be
submitted to the Province, along with any comments via the online feedback
form.
BACKGROUND:
The Ontario Ministry of Municipal Affairs and Housing launched the Long-Term
Affordable Housing(LTAH) Strategy in 2010. A draft update to the LTAH was released
in 2015 and the City submitted a letter to the Minister in response to the associated
consultation period. A formal update was released in March 2016 followed by the
introduction of Bill 204, the Promoting Affordable Housing Act, 2016 with first reading in
May. The proposed legislative changes would enable, or where prescribed require,
municipalities to have additional tools to help in the efforts to increase the supply of
affordable housing
developments to include affordable housing units. This report provides an outline of the
proposed changes, associated staff commentary, and an opportunity to provide
feedback to the Province prior to their August 16, 2016 commenting deadline.
REPORT:
Bill 204, the Promoting Affordable Housing Act, was introduced by the Ministry of
Municipal Affairs and Housing (now separate) in May 2016. It proposes to amend
various Acts, including the Development Charges Act and the Planning Act, in order to
enable, or where prescribed require, the inclusion of affordable housing units in new
residential developments (i.e. a percentage of affordable units would have to be
provided in every new housing project over a certain size).
would be a tool to help municipalities in our efforts to generate more affordable housing.
*** This information is available in accessible formats upon request. ***
Please call 519-741-2345 or TTY 1-866-969-9994 for assistance.
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Bill 204 Highlights
The Ministry has highlighted in the review materials for Bill 204 a number of key
elements of the proposed legislative framework. These include:
allowing municipalities to determine where and how inclusionary zoning applies
through official plan policies and zoning by-laws, subject to the requirements of
the proposed legislation and potential regulations
prohibiting appeals to the Ontario Municipal Board from municipal inclusionary
zoning policies and zoning by-laws, except appeals made by the Minister of
Municipal Affairs and Housing
not authorizing municipalities to accept money in lieu of inclusionary zoning units
or allow the units to be built on off-site lands
requiring municipalities to establish a procedure for ensuring that inclusionary
zoning units remain affordable over time
requiring owners of inclusionary zoning units to enter into agreements with the
municipality, which may be registered against the land and can be enforced
against subsequent owners to keep the unit affordable
restricting municipalities from using section 37 (density bonusing) in addition to
inclusionary zoning requirements, except in circumstances outlined by
regulations
Some of the proposed changes may have implications to the City of Kitchener and
others may either impact the Region of Waterloo, indirectly impact the City depending
upon the subsequent approach of the Region, or may not impact us at all. Planning staff
are coordinating efforts with the Region, City of Cambridge and City of Waterloo to
further dialogue and understand the proposed framework along with collaborating on
joint commenting issues.
Consultation Discussion Guide
As part of the review materials within the Long-Term Affordable Housing Strategy
(see Appendix A).The guide provides some background, describes what
discussion that are used to guide the online feedback form. The main topic areas are:
Program targets identify who would be eligible for affordable housing units
created through a program
Price and rent regulate the cost that units may be sold or leased to remain
affordable
Unit set-aside - the percentage of dwelling units that a developer must meet for
providing affordable housing units
Affordability period the minimum length of time that the unit must remain
affordable
Threshold size minimum size of a development (i.e. number of dwelling units or
development size in hectares) at which point inclusionary zoning is triggered
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Measures and incentives use of bonusing, reduced parking, fee reductions,
development charge or property tax deferrals, etc. to incent private development
Requirements and standards ability to specify standards in policy and zoning
regarding number of bedrooms, size of units, location of units in the building, etc.
Agreements requirement to enter into an agreement with the municipality to
ensure the units are maintained as affordable over time
Administration, monitoring and reporting assessment of how the program is
meeting the goals and objectives
Use with Section 37 (height and density bonusing) inability to utilize bonusing
or cash-in-lieu in areas subject to inclusionary zoning
Transitional matters
before the enactment of any of the changes
While some of these topics fall under the purview of the Service Manager for Housing
(Region of Waterloo, Housing Services), others may directly impact the City and
therefore staff can provide further feedback through the online commenting form
In general, the Ministry is seeking
regarding the specific questions, if necessary.
feedback on whether these issues should be prescribed by the Province to
municipalities, or whether implementation and decisions should be left to
municipalities.
At this point, it is unclear whether the legislation, if passed, would
impose a requirement, or simply give permission for a municipality to adopt inclusionary
zoning. It would be helpful to receive any input from members of Council on this primary
issue via the consideration of this report.
An outline of the proposed changes, along with some additional staff input, is attached
to this report as Appendix B.
Summary of Initial Staff Comments
After an initial review, staff is generally supportive of the proposed legislative changes.
Bill 204 represents a significant step by the province to enable municipalities to utilize
upply of affordable housing
in order to meet the objectives and targets in regional housing plans and our Official
Plan.
One of the challenges in providing detailed comments on the proposed legislative
amendments is that the full implications of the Bill are not entirely known at this time as
there is a likelihood that there could be different wording in next readings and the
Province would need to release any associated regulations. It is not fully clear whether
many of the key elements may be dictated by the Province (i.e. the number, size and
location of affordable housing units, the affordability time period, types of incentives,
and monitoring requirements, etc.). Typically, a one-size-fits-is not often
used for all municipalities, especially when so much work is underway via the
implementation of the actions in the regional housing plans that are more tailored to the
housing needs and context of an area. In general, the Province often enables
municipalities with legislation, but (assuming municipalities will take collaborative and
active steps to implement context specific requirements) not necessarily prescribes.
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On the one hand, the decision to adopt inclusionary zoning through Official Plan policies
and Zoning By-law Amendments, the use of density bonusing for developments, any
municipal incentives to be offered, development thresholds, parking standards and unit
standards, are all examples of items typically left to the discretion of municipalities
rather than specifically prescribed by the province. On the other hand, there would be
if the Province took a
stronger role. It would also ensure that implementation of this topic finally happens.
To date, the preference in municipal staff discussions appears to be that the assignment
of specific targets related to the provision of affordable housing should be left to the
regional municipality and local context, but with the province allowing for the ability to
utilize these additional tools along with providing other support and funding. Perhaps
implementation framework to work with each area to determine the specifics of what
targets and details are best for the context using regional and local knowledge and
input. The results would be applied by the Province for all municipalities in that region.
This would be somewhat of a similar approach to the implementation of the Built
Boundary Line and the Urban Growth Centre delineation from the Places to Grow Act.
ALIGNMENT WITH CITY OF KITCHENER STRATEGIC PLAN:
Strategic Priority:Safe and Thriving Neighbourhoods
Strategy: 3.4 Facilitate and promote housing developments that promote options for a
diversity of lifestyles and household types.
FINANCIAL IMPLICATIONS:
Given that the proposed legislative changes were just introduced, clarity as to exactly
what, if any, financial implications to municipalities are not definitively known at this
time. There is potentially some small impact to the collection of development charges
and possibly the ability to use cash-in-lieu of affordable housing units. Should there be
requirements to have additional agreements and monitoring this would have to be
confirmed if it is at the regional or local level and the resultant operating/resourcing
implications.
COMMUNITY ENGAGEMENT:
INFORM website with the agenda in
advance of the council / committee meeting. This matter was discussed with the
WRHBA Liaison Committee who expressed concern with the prescribed approach.
ACKNOWLEDGED BY:
Michael May, Deputy CAO (Community Services)
Attachments:
Appendix A Long-Term Affordable Housing Strategy Update Inclusionary Zoning
Consultation Discussion Guide
(http://www.mah.gov.on.ca/page14875.aspx)
Appendix B Summary of Bill 204 Proposed Changes
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LONG-TERM AFFORDABLE HOUSING
STRATEGY UPDATE
Inclusionary Zoning
Consultation Discussion Guide
Ministry of Municipal Affairs and Housing
May 2016
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INCLUSIONARY ZONING
CONSULTATION DISCUSSION GUIDE
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Table of Contents
Introduction ..................................................................................................................... 1
Background ..................................................................................................................... 2
We Want Your Input ........................................................................................................ 3
1.An Inclusionary Zoning Framework for Ontario ........................................................ 4
2.Program Targets ...................................................................................................... 5
3.Price and Rent ......................................................................................................... 6
4.Unit Set-Aside .......................................................................................................... 6
5.Affordability Periods ................................................................................................. 7
6.Threshold Size ......................................................................................................... 7
7.Measures and Incentives ......................................................................................... 8
8.Requirements and Standards .................................................................................. 8
9.Agreements .............................................................................................................. 9
10.Administration, Monitoring and Reporting ................................................................ 9
11.Use with Section 37 (height and density bonusing)................................................10
12.Transitional Matters ................................................................................................11
How to Participate .........................................................................................................12
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INTRODUCTION
by, a robust supply of housing, including affordable
Every person has an
housing, that meets the needs of all. Our communities and
affordable, suitable and
neighbourhoods are stronger and more vital when they
adequate home to
include a mix of people who are able to choose from a
provide the foundation to
range of available housing that meets their needs.Having
secure employment,
an affordable home is an important first step to moving out
raise a family and build
of poverty.When a person has a stable, affordable place
strong communities
they can call home, it opens up possibilities for better
education, health and work.
-Term Affordable Housing Strategy (LTAHS) is a plan that focuses on
increasing the supply of affordable housing, supporting people and working in
partnership with our cities and towns.In March 2016 the government announced its
commitment to further updated Strategy
that focuses on increasing the supply of affordable housing, supporting people and
ending chronic homelessness.
Our transformations to increase the supply of housing are
based on a system built on partnerships with and shared
Almost 95percentof
responsibility between the private, non-profit sectors and
Ontariofamilies and
individuals obtain
government and will mean that people will be better
housing through the
supported.The vast majority of Ontarians live in private
private market
market housing. As part of the update, the government
recognizes that the private sector has an important role to
Source: National Household
play in increasing the supply of a wide range and mix of Survey2011;internal MAH
data on social housing
housing that includes affordable housing.
Our continued challenge in
changing demands for affordable housing choices requires creativity, innovation and
effort. We all have a role to play.
To address the need for better affordable housing choices, the Promoting Affordable
Housing Act, 2016 (the Act) proposes amendments to the Planning Act that, if passed,
would enable municipalities to use inclusionary zoning through the land-use planning
system.
WE WANT TO HEAR FROM YOU
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Note to Reader:
means
as read at First Reading and comes into force on a date to be named by the Lieutenant
BACKGROUND
Land Use Planning and Affordable Housing
Land use planning is about how land is used and managed whether for business,
industry, recreation, transportation or housing. Land use planning plays a fundamental
role in the location, mix, type and density of housing. Planning for compact and mixed
forms of development, including multi-residential buildings, can result in the creation of
more affordable housing that is closeto schools, jobs, services and community
supports. It also supportsthe use of transit and active transportation.
The province has already provided municipalities with a range of planning tools that
they can use to facilitate or stimulate the development of affordable housing in the
private market. However, theshortage of affordable housing continues and the need for
itkeeps growing. For more and more families and individuals, it is hard to find housing
that they can afford.
What is Inclusionary Zoning?
Inclusionary zoning refers to policies, by-laws and programs that require development
proposals with residential units to include affordable housing units and provide for those
units to be maintained as affordable over a period of time. This approach combines
housing policy and land-use planning approvals to require private-market development
to include below market-rate rental and/or ownership housing.
The proposed Promoting Affordable Housing Act, 2016,wasintroducedon May 18,
2016. Schedule 4 of the Actproposes amendments to the Planning Actthat, if passed
as read at First Reading,would allow municipalities to passinclusionary zoningby-laws,
subject to certain requirements in the proposed legislation, as well as by potential
additional requirements thatmay be set out byregulation.
The proposed inclusionary zoning authority would help municipalities increase the
supply of affordable housing in order to meet the objectives and targets set out in their
housing and homelessness plans and official plans.
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While the bulk of the proposed amendments to the Planning Act relate to inclusionary
zoning, several others would address affordable housing more generally. The proposed
amendments, if passed, would provide the Minister of Municipal Affairs and Housing
with the authority to make regulations relating to the proposed provisions.
WE WANT YOUR INPUT
This Discussion Guide identifies matters that may be considered by the Minister for
future possible regulatory proposals to support the proposed legislative framework, if
the Promoting Affordable Housing Act, 2016 is passed by the Legislature as read at
First Reading and comes into force on a date to be named.
The Discussion Guide also provides some background information on these proposals,
and key questions that we would like you to consider.
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1. AN INCLUSIONARY ZONING FRAMEWORK FOR ONTARIO
The proposed Promoting Affordable Housing Act, 2016(the Act), if passed,would set
out an enabling framework for inclusionary zoning in Ontario.
Key elements of the proposed legislative framework would include:
allowing municipalities to determine where and how inclusionary zoning applies
through official plan policies and zoning by-laws, subject to the requirements of the
proposed legislation and potential regulations
prohibiting appeals to the Ontario Municipal Board from municipal inclusionary
zoning policies and zoning by-laws, except appeals made by the Minister of
Municipal Affairs and Housing
not authorizing municipalities to accept money in lieu of inclusionary zoning units
or allow the units to be built on off-site lands
requiring municipalities to establish a procedure for ensuring that inclusionary
zoning units remain affordable over time
requiring owners of inclusionary zoning units to enter into agreements with the
municipality, which may be registered against the land and can be enforced
against subsequent owners to keep the unit affordable
restricting municipalities from using section 37 (density bonusing) in addition to
inclusionary zoning requirements,except in circumstances outlined by regulations
Our purpose:
To seek input on potential matters that may beconsidered by the
Minister for possible future inclusionary zoning regulations.
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2. PROGRAM TARGETS
Identifying who gets served by any proposed inclusionary zoning program is important
it identifies who would be eligible
for any affordable housing units created through such a program.
If the Act is passed, inclusionary zoning planning decisions
of municipalities would be required to be consistent with the
Provincial Policy Statement, 2014 (PPS, 2014). The PPS,
The median Ontario
2014 provides a affordableaddressing who
householdincome was
$76,510 in 2013
might be served through inclusionary zoning. Generally,
affordable means households made up of families and/or
Statistics Canada, Median Total
individuals do not pay more than 30 percent of gross
Income By Family, 2013,
http://www.statcan.gc.ca/tables-
income on annual accommodation costs or, the purchase or
tableaux/sum-
rental price for housing is at least 10% below average
som/l01/cst01/famil108a-
eng.htm
market value.
Many programs in other jurisdictions have been implemented to serve low- and
moderate-income households. In Ontario, this means families and individuals in the
lowest 60 percent of the income distribution for the regional market area.
research indicates that many existing programs
target families and individualsthat earn too little to afford market-rate housing and too
much to be eligible for social assistance.In some programs, income is not the sole
determinant as units can also be targeted to groups such as seniors or those with
special needs.
Questions for Discussion
1.
Should there be provincial direction to further specify the target groups for
inclusionary zoning, or should this be left to each municipality to determine?
If you think direction is needed, who should be addressed based on the
PPS definition of affordable?
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3. PRICE AND RENT
If the Act is passed, the price and rent at which units may be sold or leased may need to
be regulated to ensure that they remain affordable. There are many ways to approach
this but in some jurisdictions, the price and rent of inclusionary zoning units are typically
based on:
thearea median income, or
the average purchase price in the community
Questions for Discussion
2.
Should there be provincial direction on how price and rent would be
determined in an inclusionary zoning by-law when inclusionary zoning units
are sold or leased?
If so, what approach would you recommend?
4. UNIT SET-ASIDE
Unit set-aside refers to the basic requirement that developers must meet for providing
affordable housing units. This is typically expressed as a percentage of units in a
building that must be affordable.
Some programs apply the same set-aside requirement across the entire jurisdiction,
while others apply the requirements to targeted neighbourhoods experiencing significant
growth or affordability pressures. In certain cases, the set aside is higher in and around
transit corridors.
Experience in other jurisdictions also shows that unit set-asides mayvary depending on
the income groups targeted. For example, where units are sold/rented to very low-
income households, local governments sometimes require fewer affordable housing
units from developers.
Questions for Discussion
3.
Should minimum and/or maximum unit set asides be specified province-
wide or should this be left to each municipalityto determine?
If you think that aspecified number or percentage of units should be applied
province-wide, what would you recommend?
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5. AFFORDABILITY PERIODS
The Act,if passed, would require municipalities to ensure that units provided through
inclusionary zoning by-laws are maintained as affordable over time. Once the
affordability period ends, the affordable housing units may shift to market rate.
Affordability periods for American inclusionary zoning programs range from 10 years to
99 years. Over 80 percent of inclusionary zoning programs in American jurisdictions set
1
an affordability period of at least 30 years. For some programs, affordability is for the
life of the building, permanent or set with no end date.
Questions for Discussion
4.
Shouldthere be provincialdirection for a minimum or maximum affordability
period that would apply toinclusionary zoning programs province-wide, or
should this be left to each municipality to determine?
Ifyou thinka province-wide affordability periodshould be specified, what
would you recommend(e.g., 20 years, 30 years, no time limitation)?
6. THRESHOLD SIZE
Threshold size refers to the size of a development at which inclusionary zoning
requirements are triggered (e.g., total number of residential units in a proposed building,
area/hectares of development).
Threshold sizes varyacross inclusionary zoning programs, with examples ranging from
buildings with two units to 200 units and hectare size ranging from 2 to 10 hectares and
more.
Questions for Discussion
5.
Should there be provincialdirection for a minimum and/or maximum
threshold size that would apply to inclusionary zoning programs province-
wide, or should this be leftto each municipalityto determine?
Ifyou thinkthe threshold sizeshould be specified province-wide,what
would you recommend?
1
Rick Jacobus, Inclusionary Housing: Creating and Maintaining Equitable Communities, Lincoln Institute
of Land Policy, September 2015
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7. MEASURES AND INCENTIVES
Inclusionary zoning engages private sector developers to create affordable housing
units as part of residential developments. Within this process, as part of the shared
responsibility, municipalities may offer measures and/or incentives to support the
provision of affordable housing units and to address potential concerns regarding the
profitability of development proposals.
In many jurisdictions, height and density are the primary measures used by
municipalities to allow for development that can support inclusionary zoning. In other
cases, where incentives may allow for specific housing types such as rental and seniors
housing, and/or where units are to be made available to very low-income households,
municipalities have provided incentives such as: reduced parking or design
requirements, application fee waivers, development charge or property tax deferrals,
and/or expedited planning approval processes.
Questions for Discussion
6.
Should measures and incentives be required on a province-wide basis
through regulation, or should this be left up to municipalities?
If you think the province should providedirection, what would you
recommend?
8. REQUIREMENTS AND STANDARDS
The government wants to ensure that the units created through inclusionary zoning
programs are designed with appropriate standards and that they provide future
homeowners and renters with suitable affordable housing.
The Act, if passed, would allow municipalities to specify requirements and standards for
inclusionary zoning units in their official plans and zoning by-laws. These standards
could regulate the number of bedrooms, size of units, location of affordable units on a
site or within a building, or the exterior access to units (i.e., regulating separate
entrances for affordable units).
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Questions for Discussion
7.
Should there be provincialdirection to specifyminimum requirements and
standards for inclusionary zoning unitsor should these be left up to each
municipalityto determine?
Ifyou thinkrequirements or standardsshould be specified province-wide,
what would you recommend?
9. AGREEMENTS
The Act, if passed, would require developers and/or owners of inclusionary zoning units
or buildings with inclusionary units, to enter into agreements with the municipality to
ensure that the units are maintained as affordable over time. These agreements may be
registered against the land and the municipality may enforce the agreement with
subsequent owners to ensure the unit remains affordable.
The Act, if passed, would authorize the minister to make regulations for additional
direction on the matters to be dealt with in these agreements. For example, a potential
regulation might consider requiring agreements to provide that rent increases during the
term of the agreement must conform to
Questions for Discussion
8.
Should there be provincial direction on inclusionary zoning agreements?
If so, what would you recommend?
10. ADMINISTRATION, MONITORING AND REPORTING
Administration, monitoring and performance indicators are essential elements of
inclusionary zoning programs to ensure that units remain affordable over time and that
The Act, if passed,wouldrequire municipalities who pass an inclusionary zoning by-law
to establish a procedure for monitoring the affordable housing unitsand ensuring their
affordability is maintainedover the defined control period.The Actdoes not outline a
procedure for ensuring affordability,or who has to undertake it. This allowsflexibility for
differentdelivery arrangements.Municipal monitoring efforts could include recertifying
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annual incomes of renters and reviewing resales of affordable ownership units to future
income-eligible buyers.
The Act would require municipalities to provide reports and information concerning
affordable housing units.While the content of these reports and reporting methods is
not specified, regulatory authority would be provided to the minister to pass regulations
on administration, monitoring and reporting.
Questions for Discussion
9.
Should there be provincial direction on requirements for ongoing
administration of units and ensuring affordability over the control period?
If so, what types of requirements would you recommend?
10.
Should there be provincial direction on mandatory requirements for
municipal monitoring procedures?
If so, what mandatory requirementswould you recommend?
11.
Should there be provincial direction on municipal reporting of inclusionary
zoning units (e.g.,reports must be publicly available;reports must be
provided annually to municipal council)?
If so, what would you recommend?
11. USE WITH SECTION 37 (HEIGHT AND DENSITY BONUSING)
Currently, under Section 37 of the Planning Act, municipalities may authorize buildings
to exceed the height and density otherwise permitted in the zoning by-law in exchange
for community benefits, such as public art and community daycare.
The Act, if passed, wouldprohibit municipalities from using Section 37 if the same land,
building or structure weresubject to inclusionary zoning. If passed, the Act would also
providethe minister with the authority to determine appropriate circumstances (through
regulations) where Section 37 may be used in addition to inclusionary zoning
requirements.
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Questions for Discussion
12.
In what circumstances would it be appropriate to require inclusionary zoning
unitsas well as community benefits in exchange for additional height and
density?
13.
Should conditions or restrictions apply to these circumstances, and if so,
what would you recommend?
12. TRANSITIONAL MATTERS
In some instances where new land use planning changes are enacted, transitional
provisions are included to grandfather planning applications that were initiated or
commenced before enactment, where municipalities have not finished processing them
or made decisions.
In some cases of enabling legislative frameworks, the details of a municipal program
would not be known until the municipality adopts its official plan and passes a zoning
by-law to enable its use. In such instances, some might say that applications
commenced prior to adoption of a municipal inclusionary program should be
grandfathered.
Questions for Discussion
14.
Do you think that planning applications commenced prior to enactmentof
the proposed legislative process should be grandfathered?
15.
Do you think that planning applications commenced prior to municipal
adoption of inclusionary zoning official plan policies and/or zoning by-laws
should be exempted?
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HOW TO PARTICIPATE
Please send us your written feedback, including responses on the discussion questions
included throughout this paper, by August 16, 2016. You can provide your input by:
e-mailing a submission to inclusionaryzoning@ontario.ca
submitting your comments through our online feedback form
submitting your comments through the Environmental Bill of Rights Registry as
set out in EBR Notice Number 012-7616 (Act Proposal Notice) and 012-7617
(Regulation Proposal Notice)
writing to us at:
Provincial Planning Policy Branch
Ministry of Municipal Affairs and Housing
th
777 Bay Street, 13 Floor,
Toronto ON M5G 2E5
Personal information
Personal information you provide is collected under the authority of the Ministry of
Municipal Affairs and Housing Act.
Thank you for providing comments. Your feedback is very important to us.
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Ministry of Municipal Affairs and Housing
ISBN 978-1-4606-8158-9(PDF)
05/16
Disponible en français
15 - 20
APPENDIX B: Bill 204, Promoting Affordable Housing Act - Summary of Proposed Changes
Summary of Proposed Changes / PossibleCity Implications
Schedule 1 Development Charges Act
Currently cannot impose development charges when up to two dwelling units are created in prescribed classes of
existingresidential buildings. Prescribed classes of development are defined in O. Reg. 82/98:
Single-detached (2 units may be added withoutdevelopment chargesif smaller than existing unit);
Semi-detached (1 unit may be added without development charges if smaller than existing unit); or,
Other residential buildings (1 unit may be added without development charges if smaller than existing unit).
New amendment would also prohibit imposing developmentcharges when a second dwelling unit is created in
prescribed classes of newresidential buildings. Prescribed classes of new development not yet identified.
Possible Implications:An amendment to the Development Charge By-law would be required. Currentlythe duplexing
of an existing dwelling is exempt from paying development charges; however, new construction is required topay.
Current practice has many new builds using creative approaches and this change may help regularize a new build,
duplexed dwelling. There may be some loss of potential development chargerevenue (recent experience is
approximately 10 new build units in a year); however, this change may lead to overall more construction of this form
of housing (which in turn could yield more development chargesfor a portion of the building).
Schedule 2
Repealed.
Schedule 3 Housing Services Act
Service managers:
Enumerate homeless population within service area;
Consent to any corporate changes to a local housing corporation (with notice to Minister);
As an option, may include households not currently in rent-geared-to-income programming (but receiving other
support) in service level reporting;
May offerother forms of support forthose on waiting lists for rent-geared-to-income programming; and,
Consent to the property development for lands transferred under Social Housing Reform Act.
Possible Implications:Primarily impacts service managers such as the Region of Waterloo.
Schedule 4 Planning Act
Amendments to S. 16 (Official Plans) requiring that all prescribed municipalities shallauthorize inclusionary zoning
policies (includinggoals and objectives), and that any other municipality mayauthorize inclusionary zoning.
Prescribed municipalities not yet identified.
Possible Implications:Depending on the wording of the final changesand whether prescribed or not, the City would
either have to, or could decide to, determine what amendments may be need to the implementation section of the
Official Plan to further authorize the use of inclusionary zoning (Section 17.E.14 of the new Official Plan already has
policies about conditional zoning; however, additional specific wording may be needed).
Proposed new S. 35.2 (1) -(4),and(7) -(9) specifies matters to be included in an implementing Zoning By-law:
Numberof units;
Period of time maintained as affordable;
Unit standards;
Municipal incentives offered in support;
Sale price or lease amount;
Agreements registered to title; and,
Monitoring/reporting.
Possible Implications:Depending on the wording of the final changesand whether prescribed or not,this would
allow for expanded and more detailed items to be authorized to be included within a Zoning By-law.
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APPENDIX B: Bill 204, Promoting Affordable Housing Act - Summary of Proposed Changes
Summary of Proposed Changes / PossibleCity Implications
Amendments to S. 17 (24) and (36): only the Minister can appeal Official Plan policies forinclusionary zoning.
Amendments to S. 34 (19): only the Minister can appeal an implementing Zoning By-law that gives effect to the
above Official Plan policies.
Possible Implications:This would be a step towards reducing appeals of local decisions.
Proposed new S. 35.2 (5) -(6) specifies that ifaninclusionary zoning by-law is passed, municipalitiesshall not:
Pass a by-law for height and/or density bonusing under S. 37 of the Planning Act for the same lands unless
specifically permitted by regulation (regulation not yet determined);
Authorize payment in lieu of affordable housing units; or,
Authorize off-site agreements for affordable housing units to be located on other lands.
Possible Implications:Depending on the wording of the final changes, if inclusionary zoning was used in Kitchener
we would have to review what the implications would be of not being able to use bonusing or cash-in-lieu towards
the provision of off-site affordable housing programs/units. These are currently being considered as part of the
proposed bonusing program in the new Zoning By-law.
Amendments to S. 34 (5.1): Under the Act, the Minister may make regulations setting minimum parking
requirements (including a minimum of 0 parking spaces) that could supersede Zoning By-law provisions.
Possible Implications:This would be a fairly unprecedented step. Detailed parking regulations are best left to the
municipalities and their specific context.
Zoning By-law and have to review the details of every like proposal to see if it meets the definition. Also, based on
other objectives, it may not be critical to separate out affordable housing units from other dwellings such as
multiples. The amount of parking provided should consider the locational criteria, such as LRT station access, bus
routes, cycling/pedestrian infrastructure, mixed use, etc. Since affordable housing is needed in all areas, including
suburban locations, it may not be appropriate to always reduce to 0 spaces. The City of Kitchener has taken some
steps via the first draft of parking regulations for our new Zoning By-law to propose no minimum up to a certain
threshold downtown, reduce apartment unit rates significantly in the PARTS areas and reduce the city-wide rates.
Site Plan Control:
Amendment to S. 41 (4) requiring Site Plan drawings to show exterior access to any building that will contain
-law contain exterior access
requirements for inclusionary zoning.
Possible Implications:Potential amendments to new Official Plan Section 17.E.22 (Site Plan Control) for additional
exterior building design requirements could be considered if Inclusionary Zoning were adopted in Kitchener.
Typically, exterior access to buildings isshown on site plans. This may be aimed at dealing with the
separation/integration issues of affordable units with market rent units.
Committee of Adjustment:
Amendment to S. 45 (1) indicating that the Committee cannot authorize a minor variance from the provisions in
the Zoning By-law related to inclusionary zoning.
Possible Implications:This would be a further step towards ensuring that an inclusionary zoning by-law is not altered
unless a larger process is undertaken. This would put more pressure on ensuring that the original by-
Subdivision Control and Part Lot Control:
New exception under S. 50 (3), (5) allowing a 21-99 year lease without consent where the lease is for the
purpose of building a project that contains affordable housing units(likely getting at surplus city land leases).
S. 51 (17), (24) amended where draft plans of subdivision must show shape and dimensions of each proposed
affordable housing unit and its location in relation to other proposed residential units. Approval authority to have
regard for the suitability of the proposed units for affordable housing.
Possible Implications:This would change the requirement whereby a consent to sever would normally be required
when looking at a long-term lease.Regarding subdivisions, it would be relatively rare to know the configuration of
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APPENDIX B: Bill 204, Promoting Affordable Housing Act - Summary of Proposed Changes
Summary of Proposed Changes / PossibleCity Implications
Condominiums with shared facilities and that contains affordable housing units may be subject to a condition of
approval that shared facilities agreementsbe approved by the approval authority.
Possible Implications:Additional clarity is required with respect to the intent of this as there may be different
It is not clear if the intent is actually more aimed at condominium declarations or agreements between the
condominium corporation and the occupants regarding the fee structure and payments of condominium fees.
Amendments to S. 69 where maximum planning application fees may be prescribed by a regulation under the Act
that would supersede any fee schedules established by a municipality. Prescribed fees not determined.
Possible Implications:This would be another new regulatory step. Typically a municipality can and should set their
own fee structure for how they recoup potions of operating costs for planning applications. If directed to have a
maximum, the municipality may have to find other sources of funding in order to have the appropriate resources to
process the work. In some instances, municipalities have deferred or waived some fees (may include building permit
or other fees not just planning fees) if they have chosen to have an incentive program in place. This is likely best
determined in the context of the municipality.
Amendments to S. 70.1 (1), 70.7, to allow the Minister to make regulations for:
Time allowed for required Official Plan Amendment /Zoning By-law Amendment for inclusionary zoning;
Minimum parking standards for affordable housing units;
Agreements registered to title of a lot using inclusionary zoning;
Setting circumstances where Section 37 agreements and inclusionary zoning may both be used (conditions or
restrictions could be included in such a regulation);
Maximum planning fees (could be $0 for particular applications);
Where there is conflict between the Act and a municipal By-law, the act prevails; and,
Transition provisions for matters and proceedings that commenced before this Act.
Possible Implications:This appears to be a very important section given the discussion and debate about the
province potentially prescribing certain matters or enabling municipalities to pursue inclusionary zoning. The details
that would be set out in the regulations would be helpful to know as that would provide more clarity as to the
potential implications to municipalities, processes, timing, resource implications, associated costs, etc. With respect
to agreements, often there is specific wording of certain clauses required by legal staff that likely varies by
jurisdiction and perhaps the contents and details of inclusionary zoning agreements should again be left to the
municipality.
Schedule 5 Residential Tenancies Act
Landlord cannot evict tenant on the grounds that tenant is no longer eligible for rent-geared-to-income assistance.
Prescribed maintenance standards shall apply if no municipal property standards by-law in effect.
Municipality shall receive complaints with respect to property standards for residential buildings, and cause an
inspector to determine if property standards are met. Additionally:
Municipality may appoint inspectors to issue work orders to landlords not complying with property standards
(and investigate failure to comply with work orders);
Landlord can apply to Landlord and Tenant Board to review any work orders from municipality (copy must
also be given to municipality);
Possible Implications:The City current has aproperty standards by-law; however, enforcement should be aware in
case there are potential procedural changes.
Schedule 6 Smart Growth for Our Communities Act
Repealing an amending provision already carried out through other statute.
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