Ottawa announced a major new housing infrastructure fund that would require Ontario to allow four housing units per property as of right — pressuring Premier Doug Ford to backtrack on a definitive position taken not two weeks ago.
On Tuesday, the feds announced $6 billion under a new Canada Housing Infrastructure Fund for infrastructure needed to build more homes, like sewers and stormwater systems. Of that money, $1 billion will go directly to municipalities. The other $5 billion will flow to provinces, as long as they agree to Ottawa's terms, which aim to speed up construction of "missing middle" homes.
To access the fund, provinces will have to require municipalities to allow four units as of right. They will also have to freeze development charges for cities larger than 300,000 people; mandate as-of-right construction of upcoming federal pre-approved home designs; commit to Ottawa's Home Buyers’ Bill of Rights and Renters’ Bill of Rights; and adopt future changes to the National Building Code "to support more accessible, affordable, and climate-friendly housing options," per a news release.
The Tories weren't swayed by the cash on offer.
"We will wait to see more details from the federal government and are open to collaboration. However, we know that local municipalities know their communities best and don't believe in forcing them to build where it doesn’t make sense," Ontario Housing Minister Paul Calandra's office said in a statement to The Trillium.
"We are here to support municipalities and are giving them the funding and tools that they need to build more housing, of all types."
If provinces don't meet the requirements, their share of the funding will go directly to municipalities.
Speaking in Dartmouth, N.S., Prime Minister Justin Trudeau said the changes are aimed at getting young people into the housing market.
"This is how we'll make it fairer for younger generations who feel like they're falling behind because housing costs are too high. Right across the country, we're making a lot of progress cutting red tape to fast-track the construction of hundreds of thousands of homes. But we want to go even faster and further," he said.
Ford recently ruled out as-of-right fourplexes, or four-unit residential buildings, which were recommended by his own housing task force.
"I can assure you 1,000 per cent, you go in the middle of communities and start putting up four-storeys, six-storey, eight-storey buildings and right deep into the communities, there's going to be … a lot of shouting and screaming, that's a massive mistake,” the premier said on March 21, although the task force recommendation only concerned fourplexes up to four storeys.
"It's off the table for us. We're going to build homes, single-dwelling homes, townhomes — that's what we're gonna focus on," he added.
The premier recently announced more than $1.5 billion for housing-enabling infrastructure, and has called on Ottawa for more help.
"As we’ve said all along, municipalities have told us that the number 1 obstacle to building homes is a lack of housing-enabling infrastructure. This is why, in this year’s budget, we announced $1.8 billion in funding to help municipalities pay for the infrastructure they need to build more homes. We are glad to see the federal government finally recognizes this fact," Calandra's office told The Trillium on Tuesday.
NDP Leader Marit Stiles pounced quickly.
“Everyone deserves a home they can afford. Doug Ford is jeopardizing even more federal money for Ontario’s housing crisis because of some arbitrary, out-of-touch stance he’s clinging to on fourplexes," she said in a statement. "The Premier needs to stop being a roadblock to smart, simple solutions that will fix Ontario’s housing crisis. He must reverse course on fourplexes today.”
The feds' proposed changes mimic some of British Columbia's, which has been aggressive on the housing file. Among other moves, the NDP government there has mandated as-of-right fourplexes in municipalities of over 5,000 people, with six-unit buildings allowed near frequent transit networks. It has also rolled out its own set of pre-approved multiplex designs.
Tuesday's announcement was part of the federal government's plan to fight the housing crisis, which will be revealed "over the course of the next few weeks," Housing Minister Sean Fraser said.
Trudeau also announced the Housing Accelerator Fund will get an extra $400 million.
Municipalities aren't off the hook, either. Trudeau announced that in order to access a future public transit fund, they'll have to allow "high-density housing" within 800 metres of high-frequency transit and post-secondary institutions. They'll also have to axe minimum parking requirements near high-frequency transit. And those with populations above 30,000 will have to complete a Housing Needs Assessment, he said.
-with files from Aidan Chamandy
