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Home»World»North America»Canada
Canada

Ontario secures $357 million housing deal with federal government: What implications could it have?

May 28, 2024No Comments4 Mins Read
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The federal government and the government of Ontario have reached a $357 million deal under the National Housing Strategy which had previously caused disagreements between the two levels of government. Ontario Premier Doug Ford had ruled out a province-wide fourplex policy, leading to tensions between the federal and provincial governments. However, a joint statement by federal Housing Minister Sean Fraser and provincial counterpart Paul Calandra announced that an agreement had been reached on a revised action plan that would unlock federal funding for Ontario. The new measures in Ontario’s action plan will include establishing provincial supply targets, directing funding towards new projects, setting annual goals, and implementing data collection and reporting mechanisms.

The deal secures partial funding for Ontario under the National Housing Strategy agreement, with requirements for continued federal dollars, such as submitting an action plan on their housing strategy for 2025-2028 by Dec. 31, 2024. The federal government has been pushing provinces to enact province-wide zoning changes that would allow for the construction of fourplexes without needing individual approvals. However, this push for densification has not been well-received by all provinces. Premier Doug Ford has been a strong critic of the federal government’s efforts, stating that there would be objections from communities if such changes were implemented. He emphasized that Ontario would not be building four or six-storey buildings next to residents against their wishes.

The tensions between the federal government and the government of Ontario regarding housing policy reflect a broader debate on the approach to addressing housing needs across the country. While the federal government is advocating for densification through province-wide zoning changes, provinces like Ontario are pushing back against these measures. The $357 million deal reached between the federal and provincial governments signifies a compromise in their differing views on housing policy. It highlights the importance of collaboration and negotiation between different levels of government in addressing complex issues such as affordable housing and homelessness.

The new measures outlined in Ontario’s revised action plan under the National Housing Strategy aim to align with the province’s funding delivery model, which flows funds through municipal service managers. By establishing provincial supply targets, directing funding towards new projects, and implementing data collection mechanisms, Ontario is seeking to address its housing needs in a way that reflects its unique challenges and priorities. The agreement reached between the federal and provincial governments demonstrates a commitment to finding common ground and working together to address housing issues.

In order to access continued federal funding under the National Housing Strategy, Ontario will need to submit an action plan for the years 2025-2028 by the end of 2024. This requirement reflects the ongoing commitment to sustainable and comprehensive housing strategies that aim to address the needs of various communities across the province. The deal reached between the federal government and Ontario underscores the importance of long-term planning and collaboration in tackling complex issues such as housing affordability and homelessness. It also highlights the significance of responsive and adaptable policies that can effectively address the evolving needs of residents in Ontario and beyond.

Overall, the $357 million deal reached between the federal government and the government of Ontario under the National Housing Strategy signifies a significant step towards addressing housing challenges in the province. By finding common ground and reaching a compromise on housing policy, the two levels of government are demonstrating a willingness to work together to meet the needs of residents. The new measures outlined in Ontario’s action plan reflect a commitment to aligning with the province’s unique funding delivery model and addressing housing needs in a strategic and data-driven manner. As Ontario continues to navigate the complexities of housing policy, collaboration between different levels of government will be crucial in achieving sustainable solutions for affordable housing and homelessness.

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