HomeMy WebLinkAboutPDS-069-23Clarftwn
Staff Report
If this information is required in an alternate accessible format, please contact the Accessibility
Coordinator at 905-623-3379 ext. 2131.
Report To: Council
Date of Meeting: December 18, 2023 Report Number: PDS-069-23
Submitted By: Carlos Salazar, Deputy CAO, Planning and Infrastructure
Reviewed By:
File Number:
Report Subject:
Mary -Anne Dempster, CAO
PLN 11.27
By-law Number:
Resolution#: C-174-23
Housing Pledge for 13,000 Units by 2031 — Units Issued and Starts
Update, 2023
Recommendation:
1. That Report PDS-069-23 and any related delegations or communication items, be
received;
2. That a copy of Report PDS-069-23 be forwarded to the Ministry of Municipal Affairs
and Housing with final unit count as of December 31, 2023; and
3. That any funds allocated to the Municipality of Clarington for meeting the 2023
Housing Targets be directed to the Municipality's non-profit housing fund.
Municipality of Clarington
Report PDS-069-23
Report Overview
Page 2
As of December 6, 2023, Clarington has met the unit target allocated by the Province for
2023 and is now eligible to receive funding from the Building Faster Fund (BFF). The fund is
a new three-year, $1.2 billion program that will provide up to $400 million per year to
municipalities that meet or exceed their annual housing targets.
The provincial Government assigned a target of 13,000 residential units by 2031 and a
target of 953 units 2023 for the Municipality of Clarington. In March 2023, Clarington Council
signed the required Housing Pledge to meet this target and outlined a series of actions to
meet the targets. These actions include service improvements, and efficiencies in the
Planning and Infrastructure Services Department.
We are confident that, subject to external market and economic conditions, the municipality
will meet its annual targets as applications in Secondary Plan areas get approval, and infill
developments and additional dwelling units in existing and new residential buildings get
developed.
1. Background
1.1 On October 25, 2022, the Minister of Municipal Affairs and Housing (MMAH), issued a
Minister's Order to 29 large and rapidly growing Ontario municipalities, including
Clarington, to sign a Housing Pledge to meet the Provincial Government's target of
providing 1.5 million new homes in the next decade (Province ERO bulletin No. 019-
6171). Clarington was assigned 13,000 new units as a target.
1.2 On February 27, 2023, Council endorsed Clarington's Housing Pledge to the Province.
that the Pledge commits Clarington to support the Ontario Government's initiative to
build 1.5 million new homes over the next decade through a series of planning policy
and process improvement initiatives. The signed pledge was forwarded to the Province
on March 1, 2023, ahead of the March 22, 2023, deadline (see Attachment 1).
1.3 On August 21, 2023, Premier Ford announced the new BFF, a new three-year $1.2
billion program to help municipalities meet or exceed the housing targets they have
pledged to achieve by 2031. The BFF is intended to provide up to $400 million over
three years in financial support for municipalities that can be directed toward housing -
enabling infrastructure and related costs that support community growth.
1.4 On October 23, 2023, the Municipality received a Letter from MMAH outlining Clarington
specific annual housing targets under the BFF (see Attachment 2).
1.5 Clarington's annual housing targets under the BFF are outlined in Table 1 below.
Municipality of Clarington
Report PDS-069-23
Target
2023
2024
2025
Municipality of
Clarington
953
1,083
1,300
Table 1 — Clarington's Annual Housing Start Targets Under the BFF
Page 3
1.6 As of December 6, 2023, the Municipality has met the housing target under the BFF,
see Table 2 below.
Municipality of Clarington Units Issued, 2023 1 1015
Municipality of Clarington Starts, 2023 1956
Table 2 — Municipality of Clarington units Issued and Started, 2023
(As of December 6, 2023)
2. Discussion and Comments
Building Faster Fund (BFF)
2.1 Annual targets are determined by taking each municipality's proportion of the overall 1.5
million home goal and applying that proportion against province -wide annual targets,
which will increase each year over the course of the Building Faster Fund. For example,
if a municipality's target represents 5% of 1.5 million homes, the annual targets for that
municipality would be 5% of the province -wide targets for 2023, 2024 and 2025. For the
first year of the program, 2023, province -wide annual housing targets will start at
110,000 new housing starts. From there, housing targets will ramp up to 125,000 in
2024, 150,000 in 2025 and 175,000 beginning in 2026 (one year beyond the end of the
BFF program period). 175,000 units per year beginning in 2026 would be the pace
needed to achieve 1.5 million homes by 2031. Based on these calculations, if
Clarington meets 100% of the annual target, we would be eligible to receive 4 million
dollars, with the ability to receive additional funding should the target be exceeded.
Municipality of Clarington
Report PDS-069-23
Page 4
2.2 Based on the fund calculations by the Municipality, if Clarington meets 100% of the
annual target, we would be eligible to receive up to 4 million dollars, with the ability to
receive additional funding should the target be exceeded.
2.3 On October 23, 2023, the Municipality received a Letter from MMAH outlining Clarington
specific annual housing targets to be eligible for the BFF (see Attachment 2).
CMHC Starts and Completions Survey
2.4 For the Province to determine a Municipality's unit starts, Canada Mortgage and
Housing Corporation (CMHC) completes a monthly Starts and Completions Survey. The
survey is conducted through site visits. These visits are used to confirm that new
residential units have reached set stages in the construction process.
2.5 A "Start" is defined as the beginning of construction work on a building. This is usually
when the concrete has been poured for the whole of the footing around the structure or
an equivalent stage where a basement will not be part of the structure.
2.6 In a letter dated October 23, 2023, from the Province, the Minister clarified that in
addition to single -detached, semi-detached, townhouses, and apartments, additional
dwelling units and other institutional housing types (such as Long -Term Care beds)
could be included when calculating unit starts in relation to local targets.
2023 Clarington Housing Unit Starts
2.7 As seen in Table 1, the Municipality of Clarington was provided a 2023 start target of
953 units, to be eligible to receive 100% of the BFF funding. As described in section 2.6
of this report, the start of a unit is considered when construction has begun, more
commonly the footing concrete has been poured.
2.8 As of December 6, 2023, Staff has confirmed that the 956 units have started, and
foundation has been poured in 2023, exceeding our provincial target, see Table 2.
2.9 The commitments within the Housing Pledge in Attachment 1 will assist in streamlining
the development approval process and undertaking major development policy initiatives
like the review of our Official Plan and completion of Secondary Plans as we continue
towards achieving our 13,000-unit pledge.
3. Financial Considerations
3.1 It is anticipated that 100% of the BFF funding allocated to the Municipality will be
awarded as a result of meeting the provided targets.
Municipality of Clarington
Report PDS-069-23
Page 5
3.2 Increased development could result in the need to provide services to the lands
(including parks, roads, sidewalks) which may be development charge eligible. Further,
resources in Planning and Infrastructure Services may be necessary to carry out the
land use planning policy initiatives, and process development applications and building
permits to meet the annual targets.
4. Concurrence
This report has been reviewed by the Deputy CAO, Finance and Technology/Treasurer
who concurs with the recommendations.
5. Conclusion
5.1 It is respectfully recommended that Council receive this report and the associated
residential housing start numbers for 2023. Following Council receipt, Staff will forward
the report and associated information to the MMAH requesting our share of the Building
Faster Fund. We also recommend that funds be allocated to the non-profit Housing
Fund created by the municipality. Staff will bring forward the framework for the funds in
the Spring of 2024.
5.2 As demonstrated, the Municipality has met the housing starts as allocated by the
Province to be eligible for the Building Faster Fund. It is essential to note that the
realization of the units is subject to market conditions and available regional
infrastructure.
Staff Contact: Staff Contact: Brendan Grigg, Deputy Chief Building Official 905-623-3379 x
2313 or bgrigg(a clarington.net and Amanda Tapp, Manager of Development Review Division
905-623-3379 ext. 2427 or atapp(a)_clarington.net.
Attachments:
Attachment 1 — Clarington Signed Housing Pledge (March 2023)
Attachment 2 — October 23, 2023, Letter from MMAH
Interested Parties:
There are no interested parties to be notified of Council's decision.
Attachment 1 to
PDS-069-23
Municipal Housing Pledge
Clarington's Municipal Housing Target is 13,000 by 2031
The following represents actions that may be facilitated by the Municipality of Clarington to
implement the Municipal Housing Pledge:
Facilitating Growth
• Official Plan: Completing the Secondary Plans currently in progress by 2026 will
facilitate housing units within Clarington's existing urban areas that will contribute
towards the achievement of the short-term target to 2031. Concurrently, staff will initiate
and complete the Clarington Official Plan Review that will address longer -term growth
and development to 2051.
• Zoning: Develop zoning to implement newly approved and updated Secondary Plans to
provide for zoning that aligns with approved built forms and densities, and complete
new urban area zoning by-law to provide permissions outside of secondary plan areas
that support new housing units and reduce the need for site -specific zoning
amendments, which can be costly and resource consuming. Zoning for the
Bowmanville and Courtice MTSAs will be prioritized to be completed within a year of the
Province's approval of Durham's MTSAs, as required.
• Consider Community Planning Permit System: The Clarington Official Plan provides
for the use of the Community Planning Permit System tool, which combines zoning,
minor variances and site plan into one process. Upon the completion of the necessary
secondary planning and zoning work, staff will explore locations and situations in which
a Community Planning Permit System might be appropriate and support the housing
target commitment, such as for affordable housing or within MTSAs.
• Community Improvement Plans: Clarington's existing CIPs are due to be updated in
2023/2024. Opportunities to support the development of affordable housing units
through CIP programming will be explored as part of the review and update.
• Municipal Heritage Register: Clarington's Municipal Register will be reviewed and
cultural heritage resources list can be updated to better enable staff to proactively
address the conservation of resources on lands subject to residential development
applications.
• Engineering Design Standards: Continue initiative to update Clarington's Engineering
Design Standards to align with current best practices and improve processing timelines
during the detailed engineering review stage of residential subdivision applications.
• Streamlining Development Approvals Processes: A comprehensive set of initiatives
is underway by the Municipality to modernize, streamline, improve accessibility to, and
accelerate processes for managing and approving housing applications, including
maximizing capabilities of new software and technology, implementing an application
prioritization process, hiring of necessary staff resources and consultant expertise,
modification of pre -consultation processes, and delegation of additional authorities to
staff.
Supportive Servicing and Infrastructure
Infrastructure Master Planning: Clarington is committed to doing its part to work with
Durham Region to align land use planning and infrastructure planning to maximize the
efficiency of servicing secondary plan areas to support the construction of new homes.
Staff will explore an Infrastructure Master Plan where it would be beneficial to align local
municipal transportation and servicing infrastructure capital projects with secondary
planning to support development.
Enhancing Support for Housing
Encouraging Additional Dwelling Units: Build on recent official plan and zoning
amendments that permit 2nd and 3'd residential units to incorporate additional Bill 23
direction. Encourage developers to provide additional units in the design of dwellings at
the time of purchase and sale to increase ADUs and affordable housing options. A
citizen -friendly guide to ADUs and promotion on the Municipality's social media site may
be explored.
Affordable Housing Toolkit: Continue to implement initiatives endorsed as part of
Clarington's Affordable Housing Toolkit, including the use of surplus municipal lands for
non-profit housing. An inventory of available lands will be generated and the
requirements of new developments to provide affordable housing, either through
monetary contributions or land.
Prioritize Applications: Clarington will consider criteria that prioritize applications that
achieve the Municipality's affordability and sustainability objectives and which are an
overall benefit to the community. The proposed criteria to prioritize applications is:
o non-profit housing and long term care facilities,
o applications that provide for a minimum ten percent affordable units,
o applications that incorporate significant sustainable and walkable design
features,
o projects that exceed the minimum parkland and open space requirements to the
benefit of the residents and the broader community, and
o applications on the former Greenbelt lands at Nash and Hancock Roads, in
accordance with provincial direction and timelines.
Standardized Terms of Reference: Staff will create or update terms of reference for
studies required in support of development applications to provide a clear expectation of
requirements and minimize processing time and number of submissions.
Collaboration and Partnerships
• Provincial and Federal Partners: Clarington is committed to collaborating with the
Province (including Metrolinx) and Federal partners to support and implement projects
and funding initiatives that support affordable and quality housing, including the timely
development of the Bowmanville and Courtice GO Train Stations.
• Development Industry: The Municipality will continue to foster its collaborative
relationship with the development industry, including regular meetings bi-annually with
the development industry to identify opportunities for mutual improvement to facilitate
the achievement of the housing target.
Monitoring and Reporting
• Key Indicators: Key performance indicators will be developed to inform annual
monitoring reports to Council on the delivery of the target, including (i) number of
registered or draft approved units in the pipeline (ii) length of time units have been
approved without proceeding to the next stage of development (iii) which lands are not
proceeding once approved (iv) number of additional dwelling units (v) number of
refunded application fees, and (vi) OLT appeals based on non -decisions.
• Annual Monitoring Report: Staff will provide a yearly monitoring report to update
Council on the status of initiatives, progress towards Clarington's 13,000 housing unit
target, infrastructure availability, influencing market conditions, opportunities and
challenges, staff resources and any amendments to the pledge that may be required.
• Dormant Application Follow-up: Focus staff resources on applications that are
progressively moving forward, close applications that have been dormant, and allow to
expire those approvals for applications that have not proceeded to building permit. Staff
will contact the developer(s) subsequent to the release of staff's annual housing
monitoring report to encourage them to advance execution of the appropriate
agreements and/or build. Consideration will be given to a measurable deadline for
developers to complete their projects within a two -to -three-year time frame.
External Influencing Factors outside of Clarington's Control
The Pledge and Action Items provided herein is a commitment that the Municipality will strive
to do its part to meet the assigned housing target for Clarington. However, housing markets,
rising interest rates, borrowing requirements, senior government policies, cost of materials,
land values, delivery of public services, labour shortages, and ability for the private sector to
construct the units are outside of the Municipality's control and will influence and affect the
achievement of the target.
With the above in mind, the Municipality of Clarington pledges to the Minister of Municipal
Affairs and Housing to facilitate the construction of 13,000 housing units by 2031.
Mayor Adrian Foster
Attachment 2 to
PDS-069-23
Ministry of
Municipal Affairs
and Housing
Office of the Minister
777 Bay Street, 17th Floor
Toronto ON M7A 2J3
Tel.: 416 585-7000
October 23, 2023
Your Worship
Mayor Adrian Foster
Municipality of Clarington
mayor@clarington.net
Dear Mayor Foster:
Ministere des
Affaires municipales
et du Logement
Bureau du ministre
777, rue Bay, 17e etage
Toronto (Ontario) M7A 2J3
Tel.: 416 585-7000
234-2023-5137
As you know, on August 21, 2023, Ontario announced the Building Faster Fund, a new
three-year, $1.2 billion program that will provide up to $400 million per year to municipalities
that meet or exceed their annual housing targets. Ten per cent of the overall funding will be
reserved for small, rural and northern communities that have not yet been assigned a
housing target.
This program is currently in the final stages of program design, informed by consultations
underway with the Association of Municipalities of Ontario, the City of Toronto, and the
Housing Supply Action Plan Implementation Team. However, I am writing today to provide
details on your municipality's annual housing targets to inform municipal planning for the
year ahead.
These are the targets that would apply under the Building Faster Fund provided you commit
in writing as head of council to your overall municipal housing target if your municipality has
not already previously pledged to meet this housing target and have provided feedback on
the recommendations of the Housing Affordability Task Force by October 16, 2023. We also
hope and expect that municipalities will submit a council -approved pledge by December 15,
2023, if they have not already done so, outlining the steps they will take to achieve their
housing targets, but approval of this pledge is not a condition for accessing funding under
the Building Faster Fund.
Annual targets will be determined by taking each municipality's proportion of the overall 1.5
million home goal and applying that proportion against province -wide annual targets, which
will increase each year over the course of the Building Faster Fund. For example, if a
municipality's target represents 5% of 1.5 million homes, the annual targets for that
municipality would be 5% of the province -wide targets for 2023, 2024 and 2025. This
ambitious and realistic approach will provide time for municipalities to ramp up approvals
processes to the necessary levels.
For the first year of the program, 2023, province -wide annual housing targets will start at
110,000 new housing starts. From there, housing targets will ramp up to 125,000 in 2024,
150,000 in 2025 and 175,000 beginning in 2026 (one year beyond the end of the BFF
program period). 175,000 units per year beginning in 2026 would be the pace needed to
achieve 1.5 million homes by 2031.
.J2
-2-
For your municipality, this means your annual housing targets under the BFF would be:
Target
2023
2024
2025
Provincial
110,000
125,000
150,000
Municipality of
Clarington
953
1,083
1,300
Performance against these targets will be evaluated based on housing starts, as defined by
Canada Mortgage and Housing Corporation's Starts and Completions Survey, as well as
Additional Residential Units (for example, basement suites) and other institutional housing
types (such as Long -Term Care beds) created in a given calendar year. Please note that
the data source for Additional Residential Units is to be determined and more information on
what counts will be available once consultations are completed and a final program design
is announced.
For additional details on the design of the Building Faster Fund at this stage, please refer to
the Backgrounder at this link: https://news.ontario.ca/en/backgrounder/l003396/ontario-
providing-new-tools-to-municipal ities-to-build-more-homes-sooner
Finally, please note that beginning in October 2023, the Ministry of Municipal Affairs and
Housing will begin publishing on its website each municipality's annual housing targets, as
well as progress towards those targets to date based on housing starts data, on our ministry
website. Other data types, such as Additional Residential Units, will be added as they
become available in the future.
I look forward to continuing our work together to ensure that more people can afford a place
to call home.
Sincerely,
Hon. Paul Calandra
Minister of Municipal Affairs and Housing
c: Mary -Anne Dempster, CAO, mdempster@clarington.net
June Gallagher, Clerk, jallagher@clarington.net
Hon. Rob Flack, Associate Minister of Housing
Michael Klimuntowski, Chief of Staff, Minister's Office
Martha Greenberg, Deputy Minister
Joshua Paul, Assistant Deputy Minister, Market Housing Division
Sean Fraser, Assistant Deputy Minister, Planning and Growth Division
Caspar Hall, Assistant Deputy Minister, Local Government Division