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The Path to Building 1.5 Million Homes
Insights from recent roundtables with Ontario’s Minister of Municipal Affairs and Housing
BY SCOTT ANDISON, OHBA CEO
The summer of 2024 has marked a significant shift for the Ontario Home Builders’ Association (OHBA) and its members. As someone who recently stepped into the role of CEO, I’ve had the benefit of hearing firsthand from our members about the challenges and opportunities within our industry. What is clear to me is that the government relations environment has evolved dramatically over the past year.
OHBA has successfully re-engaged with government decision-makers, particularly with the Minister of Municipal Affairs and Housing and his officials. This renewed collaboration has allowed our members and staff to instigate and participate in open and constructive conversations on key legislative and policy issues that continue to shape our industry.
One of the most recent and promising developments has been a series of regional roundtable discussions with Minister Calandra over the summer. I’ve had the privilege of attending all five of these sessions held to date (one more was scheduled for the end of August at the time of this writing). These meetings have provided an invaluable platform for our members to have frank, direct conversations with the Minister about the barriers to getting more homes built faster.
Our collective impression from these meetings is that we are now dealing with a very different Housing Minister than in the past. With his portfolio now more focused on municipal and housing issues, Minister Calandra has demonstrated a genuine dedication to hearing from builders and bringing a more housingfirst approach to approvals and funding. And these have been two-way discussions focused on advice from the front lines of the industry, not just opportunities for government officials to take notes.
The conversations have centred around two primary themes that have resonated well with our members:
1. Infrastructure, Specifically Water and
Wastewater: The government acknowledges that funding for significant capital investment in water and wastewater systems can no longer rely solely on development charges. We understand that a new funding model is in the works, one that will not depend on DCs. This would be a groundbreaking change moving away from the debilitating cost of DCs as part of the price of a new home. While the details are still being finalized, the Minister’s commitment to implementing this change swiftly is evident.
2. Streamlining Local Approvals Processes:
The Minister cited examples from other jurisdictions, such as New York City, which have successfully streamlined their approvals processes and utilize an online platform to facilitate the filing of applications, being able to track their progress through the approvals pipeline. In Ontario, approval turnaround times often stretch from months to multiple years and rely on approval processes that are simply an abyss that offer little ability to monitor their status. The government’s focus on learning from best practices and implementing similar solutions here is encouraging and may offer much-needed modernization and consistency in how new projects are submitted and approved.
Across all regions, our members have echoed common concerns: approvals take too long, there is inconsistency in municipal requirements, and building similar projects in different municipalities can lead to vastly different experiences and costs. The broader issue is not merely a lack of supply but an affordability crisis—builders are struggling to construct homes that new homebuyers can afford. Even as interest rates eventually decline, the affordability issue will persist unless these structural barriers—particularly delayed approvals and infrastructure funding—are addressed.
In summary, what I’ve gathered from these discussions can be distilled into this: To break down the current barriers to housing development, the government must take decisive action to unlock serviced land ready for housing projects and eliminate the politics and uncertainty in local approvals processes.
I would also like to thank the executive officers who assisted me in arranging for various members to attend these round tables. This has really demonstrated the value that is created when OHBA and local associations work together to achieve our common goals in serving our members.
These are ambitious goals, but Ontario cannot afford further delays. Action is needed now. We hope that the government understands what is needed to get their goal of building 1.5 million new homes by 2031 back on track.