Part 4: Shovels in the ground for Ontario – Bill 23 still going strong and other legislative updates

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Part 4: Shovels in the ground for Ontario – Bill 23 still going strong and other legislative updates

Part 4: Shovels in the ground for Ontario – Bill 23 still going strong and other legislative updates

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September 12, 2024

In the last month, the new Provincial Planning Statement, 2024 has been widely discussed (see our recent article on this entitled Ontario government releases final version of the Provincial Planning Statement, 2024). At Dentons, we have also been following other important planning initiatives, including the roll-out of the Bill 23 changes. In 2022, we brought you a three-part insight series regarding Bill 23, More Homes Built Faster Act, 2002. Bill 23 represented significant changes to the land use planning regime in Ontario, aimed at addressing the housing crisis by increasing housing supply and incentivizing the construction of 1.5 million homes over the next 10 years.

While Bill 23 received Royal Assent on November 28, 2022, many of the proposed changes did not come into effect right away.

Since our last update, a number of additional amendments are now in force. This bulletin provides a further update on the status of Bill 23, with a focus on the latest in-force provisions related to Ontario’s land use planning regime. For background and history on the development of Bill 23, please see:

In addition, this bulletin provides relevant updates to other related legislation, introduced post-Bill 23.

Planning Act
As of July 1, 2024, most of the changes proposed by Bill 23 in relation to the Planning Act have come into effect. Below is a summary of the changes to the Planning Act that have occurred since our last update in December 2022.[1]

Elimination of planning responsibilities for certain upper-tier municipalities
In-force date: July 1, 2024, following changes made under Bill 185

As previously reported, Bill 23 amended the Planning Act to distinguish between an “upper-tier municipality with planning responsibilities” and an “upper-tier municipality without planning responsibilities.” These definitions came into force on July 1, 2024, however, the definition of “upper-tier municipality without planning responsibilities” was modified prior to coming into force by Bill 185, Cutting Red Tape to Build More Homes Act, 2024 (Bill 185).

The introduction of upper-tier municipalities without planning responsibilities means these municipalities no longer have the authority or statutory requirement to adopt official plans or amendments, approve lower-tier plans or amendments, approve plans of subdivision, or appeal planning decisions, as these responsibilities shift to the lower-tier municipalities forming part of each upper-tier municipality without planning responsibilities.

On July 1, 2024, the Regional Municipality of Halton, the Regional Municipality of Peel and the Regional Municipality of York became upper-tier municipalities without planning responsibilities. Other upper-tier municipalities – the County of Simcoe, the Regional Municipality of Durham, the Regional Municipality of Niagara and the Regional Municipality of Waterloo — will become upper-tier municipalities without planning authorities at a future time, on dates to be named by proclamation of the Lieutenant Governor.

We previously reported this change, which is now in force, in our previous insight: Continuing to cut through the red tape - Ontario's Bill 185: Cutting Red Tape to Build More Homes Act, 2024.

Site plan control
In-force date: November 28, 2022, except for changes related to subsection 41(9) and new subsection 41(9.1) which came into effect on July 1, 2024

This change streamlined the site plan control process by removing site plan control requirements for most projects with fewer than 10 residential units (building permits and building/fire code requirements continue to apply to protect public safety). The two provisions that had delayed effective dates are in force as of July 1, 2024, and relate to limitations on the requirements that can be placed on owners related to highway widenings (subsection 41(9)) and the requirement to convey land (subsection 41(9.1)).

Parkland
In-force date: November 28, 2022; except for subsection 42(1); new section 42(1.1); new subsection 42(3.0.3); subsection 42 (4.30); and subsections 51(5) and (5.1), most of which have come into force on varying dates as set out below

This change was aimed at amending the Planning Act to reduce or establish maximums for parkland dedication requirements. The following provisions from Bill 23 that support this change recently came into effect, as set out below. For a more detailed overview of the parkland changes, please see our previous insight[2].

Subsections 42(1) and 42(1.1) – in force June 1, 2024: These provisions set out a formula to establish the maximum amount that a municipality may require be dedicated for parkland purposes, where land proposed for development or redevelopment will include affordable residential units, attainable residential units or residential units required to be affordable pursuant to an inclusionary zoning by-law.
Subsection 42(3.0.3) – in force June 1, 2024: This provision sets out that affordable residential units and attainable residential units are excluded from the number of net residential units, to be used in the calculation of the maximum alternative rate for parkland dedication.
Subsection 51(5) and 51(5.1) – in force July 1, 2024: These provisions provide some housekeeping amendments to align with the changes regarding upper-tier municipalities.

The proposed amendments to the Planning Act related to the establishment of a requirement for landowners to identify land to be conveyed to satisfy the requirements of a by-law passed under subsection 42(4.30) – (4.39) has not yet been proclaimed in force.

Development Charges Act
In-force date: November 28, 2022; except for certain sections which were dependent on future regulations, which came into effect on a date to be proclaimed by the Lieutenant Governor

As of June 1, 2024, all of the outstanding changes proposed by Bill 23 related to the Development Charges Act have now come into effect. Specifically, as of June 1, 2024, Section 4.1 is now in force, which sets out exemptions from development charges for the creation of affordable residential units and attainable residential units.

Other significant amendments under Bill 23

In addition to the Planning Act and Development Charges Act, changes were made to the New Home Construction Licensing Act, Ontario Heritage Act and Conservation Authorities Act (among others). All of these changes are also now in force, including a series of changes under the Conservation Authorities Act, which recently came into force as of April 1, 2024, and limit the role that Ontario’s 36 conservation authorities play in the development process. These changes include the limits on the ability of conservation authorities to comment on development applications.

The proposed amendments to the Ontario Land Tribunal Act to enhance the power of the Ontario Land Tribunal to prioritize certain hearings and dismiss appeals (Schedule 7, section 1 – 4 of Bill 23) have not yet been proclaimed into force.

Other relevant legislative changes

Since Bill 23’s introduction, there have been a number of other legislative changes aimed at housing and land use planning. While many of these changes are already in force, some remain outstanding. A summary of these legislative changes is below:

Bill 97, Helping Homebuyers, Protecting Tenants Act, 2023: This Bill received Royal Assent on June 8, 2023, and introduced measures to help homebuyers and protect tenants. It was an omnibus bill, which amended a number of pieces of legislation. While most of the Bill’s provisions came into force on June 8, 2023, a handful have not yet come into force, including some related to the:

Planning Act – related to the proposed addition of the definition for “areas of employment.” The new definition would explicitly remove “institutional uses” and “commercial uses” from the definition, provided such uses are not otherwise related to manufacturing uses, uses related to research and development in connection with manufacturing and warehousing uses (including uses related to the movement of goods). While not yet in force, this is set to be in force as of October 20, 2024, to coincide with the in force date of the new Provincial Planning Statement.
Residential Tenancies Act, 2006 — related to the proposed changes to strengthen renter protections where landlords propose to evict for renovations, demolitions, conversion or for a land’s own use; increased maximum fines for bad faith evictions; and enhancements to tenants’ rights to install air conditioning in their units. No date has been set yet for these changes to come into force.

For a more detailed overview of Bill 97, please see our previous insight: Spring brings changes to Ontario's land use planning framework—Ontario announces a new "Provincial Planning Statement" and Bill 97, the Helping Homebuyers, Protecting Tenants Act, 2023.

Bill 162, Get It Done Act, 2024: This Bill received Royal Assent on May 16, 2024, and introduced changes aimed at reducing red tape and streamlining approval processes for key infrastructure investments. It was an omnibus bill which amended a number of pieces of legislation. Many of the Bill’s provisions came into force after Royal Assent, including changes to the Official Plan Adjustments Act, 2023. Bill 162 amendments to the Official Plan Adjustments Act restore a number of modifications previously rolled back by Bill 150 and provide for a number of boundary expansions, including York Region and Halton Region. The changes to the Official Plan Adjustments Act, 2023 have come into force since our last update, as Bill 162 received Royal Assent in May 2024 and the amendments to this piece of legislation were retroactive to December 6, 2023.

For a more detailed overview of Bill 162, please see our previous insight: Ontario's Get It Done Act, 2024 and Bill 162 - A strong message?.

Bill 185, Cutting Red Tape to Build More Homes Act: This Bill received Royal Assent on June 6, 2024, and is aimed at streamlining approvals and increasing housing and infrastructure development across the province. Many of the Bill’s provisions have come into force already (i.e., revised list of upper-tier municipalities without planning responsibilities) or are pending proclamation (i.e., additional upper-tier municipalities without planning responsibilities), as noted in this insight and our previous insights.

For a more detailed overview of Bill 185, please see our previous insights:

Please note that the information provided in this update is current as of September 10, 2024, and is intended as a quick reference tool. It does not constitute legal or professional advice or a legal opinion of any kind and readers are reminded that legislation and relevant information from legislative/governmental sources remains the source of truth to be consulted.

As the land use planning landscape in Ontario is constantly evolving, Dentons continues to monitor developments to key legislative and policy changes. Should you have any questions about any recent changes to housing and land use planning in Ontario and how they may impact your business, please contact Katarzyna (Kat) Sliwa, Roberto Aburto, Isaiah Banach, Karen Sadler, Michael James or any member of the Dentons Municipal, Land Use Planning and Development Team.

[1] Please see: Part 3: Shovels in the ground for Ontario—Bill 23 receives Royal Assent.

[2] Please see: Part 3: Shovels in the ground for Ontario—Bill 23 receives Royal Assent.