Proposed new regulation pertaining to the community benefits authority under the Planning Act
Regulation - Minister
Bill or Act:
Summary of Decision:
June 21, 2019
Summary of Proposal:
The More Homes, More Choice Act, 2019 received Royal Assent on June 6, 2019. Schedule 12 of the Act would, upon proclamation, make amendments to the Planning Act to provide the authority for municipalities to charge for community benefits in order to fund a range of capital infrastructure for community services that would benefit new development.
There are provisions in Schedule 12 that require additional details to be prescribed by regulation. The following are matters that the province is proposing to prescribe in regulation.
The amendments to the Planning Act in Schedule 12 of the More Homes, More Choice Act, 2019 provide transitional provisions for section 37, and section 42 under the Planning Act, and development charges for discounted services (soft services) under the Development Charges Act to provide the flexibility necessary for municipalities to migrate to the community benefits charge authority.
An amendment to the Development Charges Act, 1997 provides for a date to be prescribed in regulation that would effectively establish a deadline as to when municipalities must transition to the community benefits authority if they wish to collect for the capital costs of community benefits from new development. Beyond the date prescribed in regulation:
Municipalities would generally no longer be able to collect development charges for discounted services
Municipalities would generally no longer be able to pass by-laws to collect funds under section 37 of the Planning Act
It is proposed that the specified date for municipalities to transition to community benefits is January 1, 2021.
2) Reporting on Community Benefits
The amendments to the Planning Act in Schedule 12 of the More Homes, More Choice Act, 2019 provide for municipalities that pass a community benefits by-law to provide the reports and information that may be prescribed in the regulation to persons prescribed in regulation.
In order to ensure that community benefit charges are collected and spent on community benefits in a transparent manner, and for greater accountability, the Minister is proposing to prescribe reporting requirements that are similar to existing reporting requirements for development charges and parkland under section 42 of the Planning Act.
Municipalities would be required annually to prepare a report for the preceding year that would provide information about the amounts in the community benefits charge special account, such as:
Opening and closing balances of the special account
A description of the services funded through the special account
Details on amounts allocated during the year
The amount of any money borrowed from the special account, and the purpose for which it was borrowed
The amount of interest accrued on money borrowed
3) Reporting on Parkland
The amendments to the Planning Act in Schedule 12 of the More Homes, More Choice Act, 2019 provide that municipalities may continue using the current basic parkland provisions of the Planning Act if they are not collecting community benefits charges. Municipalities with parkland special accounts will be required to provide the reports and information that may be prescribed in the regulation to persons prescribed in regulation.
In order to ensure that cash-in-lieu of parkland is collected and used in a transparent manner, the Minister is proposing to prescribe reporting r
September 18, 2020