Proposed changes to certain land division provisions in the Planning Act
Bill or Act:
Summary of Decision:
Bill 276, the Supporting Recovery and Competitiveness Act, 2021 was introduced on April 15, 2021 and received Royal Assent on June 3, 2021.
Schedule 24 of the Supporting Recovery and Competitiveness Act, 2021 makes changes to the Planning Act related to control of the division of land (subdivision control, plans of subdivision, consents and validations), as well as other housekeeping and consequential changes to the Act.
See link to the ERO posting (below) for more information on the changes.
Analysis of Regulatory Impact:
Costs/Savings to Municipalities:
-Direct compliance costs for municipalities include the staff time to learn about the changes and the time it would take to update their practices and procedures in order to operationalize the changes. The new legislative requirements would result in a total direct one-time compliance cost of approximately $595,000 for the approximately 400 municipalities in Ontario to train their staff and update their procedures and communicate this to stakeholders.
-However, costs could be mitigated if the Ministry provides training and clear guidance to support implementation. The Ministry intends to continue to consult with municipalities on implementation, develop guidance and provide a well-planned rollout of the changes so that municipalities have sufficient time to be ready for them to come into effect.
-It is estimated that the municipal sector will save approximately $153,500 annually by reducing the number of consent applications reviewed.
Costs/Savings to Real Estate Sector and landowners:
-The primary business that would be impacted by direct compliance are real estate law practitioners. However, it is anticipated that the costs associated with these practitioners being trained on the changes would be limited because training would be accommodated via regular professional and continuing education workshops and would have no additional costs.
-The proposed changes have the potential to save landowners, leaseholders, consent applicants, purchasers of lands, insurance providers and real estate law practitioners and professionals, and municipalities a combined estimated $6,803,500 annually.
April 15, 2021
Summary of Proposal:
Subdivision control is a set of rules established under the Planning Act that aims to prevent the indiscriminate subdivision of land. Subdivision control ensures that before most interests in land are created, they are evaluated by some level of government, in keeping with land use planning principles to ensure that any long-term impacts related to the creation of the parcel or other interest are addressed.
The government is proposing changes to the Planning Act related to control of the division of land (subdivision control, plans of subdivision, consents and validations), as well as other housekeeping or consequential changes to the Act.
The proposed changes would make minor policy changes, while also addressing issues of clarity and other administrative and procedural matters in relation to the subdivision control provisions of the Planning Act. This would eliminate red tape in consenting authority procedures, address some unintended consequences and other outcomes that can arise through the existing legislation and which pose a hardship for owners of real property.
The proposed Planning Act amendments summarized in this notice, if approved, would not affect environmental, agricultural or other land use planning policies, plans and objectives, and would not affect Greenbelt protections.
See link to the ERO posting (below) for more info on the proposal.
June 3, 2021