Exploring the impacts of reducing regulatory barriers to facilitate housing development via rducing the number of bottlenecks and development costs.
Ontario’s housing crisis is reshaping development, creating both challenges and opportunities for builders. Population growth and years of underbuilding have led to a severe supply-demand imbalance in urban and suburban markets, including the GTA, Ottawa, and Southern Ontario. This has intensified pressure on developers and municipalities to accelerate housing approvals.
In response, the Province of Ontario has introduced Bill 17: Protecting Ontario by Building Faster and Smarter Act. This legislation seeks to accelerate development across the province by streamlining the implementation and collection of Development Charges (DCs), reducing the submission requirements for complete municipal applications, and permitting certain minor variances to proceed as-of-right.
The bill proposes to simplify or eliminate certain DCs through the creation of a new regulation-making authority. This authority would have the power to consolidate DCs within the same category for the purpose of applying DC credits. It would also be empowered to define what constitutes a “local service,” enabling developers and municipalities to negotiate agreements that allow these services to be funded through DCs.
In addition, the bill introduces changes for non-residential developments, allowing DC payments to be deferred until the issuance of an occupancy permit, at which point full payment would be required. Municipalities would be permitted to reduce DC charges without the need to conduct a background study or hold a public meeting. Developers would also benefit from the ability to pay a lower, current DC rate if their previously “frozen” rate is higher.
These reforms are intended to ease both financial and administrative burdens for municipalities and developers, ultimately encouraging increased development activity across Ontario.
Bill 17 simplifies planning applications by standardizing municipal requirements. Key studies such as Sun/Shadow studies, Wind studies, and Urban Design reports will no longer be mandatory for a proposal to be deemed complete, reducing costs and delays.
As a result, studies such as Sun/Shadow studies, Wind studies, Urban Design reports, and Lighting plans would no longer be required for an application to be deemed complete. These changes are designed to alleviate financial pressure and reduce delays, helping to expedite the approval process and support more efficient project delivery.
A Minor Variance is a planning tool that allows developers to request relief from specific zoning provisions, provided the request meets the four tests set out in the Planning Act. These applications are typically reviewed and approved by the Committee of Adjustment.
Under Bill 17, certain setback requirements would qualify for as-of-right zoning if the proposed development falls within a defined percentage-based threshold. For instance, if the Zoning By-law allows a 10% variation in front yard setbacks, a proposed 9-metre setback on a lot with a minimum 10-metre requirement could proceed without a Minor Variance application.
This provision would reduce the need for Committee of Adjustment hearings for minor setback-related variances, thereby lowering administrative costs and shortening project timelines.
A central goal of the Province, as outlined in the Provincial Planning Statement (2024), is the creation of Transit-Oriented Communities (TOCs). These are high-density, mixed-use developments located within established urban centres and centred around major public transit corridors.
By prioritizing TOCs, Bill 17 fosters the development of vibrant, transit-connected neighborhoods, ensuring faster approvals and reducing bureaucratic hurdles for the development industry.
Bill 17 is poised to reduce the barriers developers face in delivering new housing by streamlining municipal approvals, simplifying DC payments, and expanding as-of-right development permissions. Collectively, these measures are expected to lower both the costs and time associated with launching new housing projects across Ontario.
At LANDx Developments, we stay ahead of legislative changes to provide our clients with strategic guidance. As Bill 17 progresses through the legislative process towards Royal Ascent, our team remains committed to ensuring that developers can navigate Ontario’s evolving regulatory landscape with confidence.
Contact us today to learn how these changes impact your projects and how we can support your development goals.