Burlington Council Approves Resolution Calling on the Province of Ontario to Fund Third-Party Audit Program

At our Burlington City Council meeting on April 18, I put forward a motion memo that was seconded by Councillor Paul Sharman that included a resolution calling on the Province of Ontario to fund the third-party audit program in relation to Bill 23.In late 2022, the Province committed to “ensuring municipalities are kept whole for any impact to their ability to fund housing enabling infrastructure because of Bill 23.” To date, no further information has been provided. Without this funding, it is inevitable that growth related projects will be delayed, and it will become necessary to use tax supported funds to ensure growth-related infrastructure is provided for complete communities.As part of their pre-budget submission, Ontario’s Big City Mayors called on the Province to keep “municipalities whole, dollar-for-dollar” after completion of the third party audits.The unintended consequences of Bill 23 are a significant reduction in development charge funding and other development funding necessary to pay for community infrastructure such as community centres, fire halls, parks, trails, libraries and more that is required to support and create complete communities in Burlington.If the Province of Ontario funds a third-party audit of the City’s development charges and park dedication impact analysis reviews it will help validate and provide provincial funding to address the City Burlington’s growth-related revenue shortfalls created by recent legislation changes.MY TAKE:We received an eye-opening staff report of an audit of Bill 23 impacts on Burlington, including on future parkland. The Province has said it is committed to keeping municipalities whole — we don’t have any specifics on that yet, but it can be done by way of a third-party audit. We want to make sure the municipality is not on the hook for charges that emerge as a result of housing developments that would normally have been covered through development charges. The reason we are sending this message to the Province via this resolution is to invite them to do an audit to help quantify what we need as a municipality so that they can keep us whole.

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To view the full resolution, please see below or click/tap the link for a copy of the motion memo: Motion Memo - Call on the Province to Fund Third-Party Audit Program Final

Whereas the Province of Ontario has committed to supporting municipalities in achieving their housing targets, while promoting financial sustainability; and

Whereas the Province of Ontario has committed to ensuring municipalities are “kept whole” for any impact to their ability to fund housing enabling infrastructure because of Bill 23, More Homes Built Faster Act, 2022; and

Whereas a third-party review showed the financial impact resulting from the changes outlined in Bill 23 on the Development Charges and Community Benefit Charges to be $36.6 million and $336 million on parkland for the City of Burlington; and

Whereas assessment growth alone from new homes will not cover the loss in development charge and parkland revenue; and

Whereas development in built up areas with some existing infrastructure will also not account for all the costs of new growth, including the need for new parks, transit, community amenities and more community infrastructure that will be required on top of roads, water, and wastewater, to make new communities complete and liveable; and

Therefore, be it resolved that; Burlington City Council calls on the Province of Ontario to fund the third-party audit program as soon as possible in order validate and provide provincial funding to address the City Burlington’s growth-related revenue shortfalls created by recent legislation changes;

And further that a copy of this motion be sent to the Premier of Ontario; the Minister of Municipal Affairs and Housing, Steve Clark; the Minister of Finance, Peter Bethlenfalvy; Minister of Red Tape Reduction, Parm Gill; Natalie Pierre, MPP Burlington; and Effie Triantafilopoulos, MPP Oakville North-Burlington; Halton Region; the Association of Municipalities of Ontario; and the Ontario’s Big City Mayors.

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Independent Analysis of Province's Bill 23 Financial Impacts Shows Burlington Forecasted to Lose $335M in Parkland Dedication & $36.6M in Development Charges