Hamilton councillor says it's 'unfortunate' PC MPPs won't speak to council on new housing bill

Hamilton councillors look unlikely to get the chance they wanted to grill local Progressive Conservative (PC) members of provincial parliament in council chambers on the impacts of Bill 23, after receiving a letter from the province in response to their request to do so.

Council had invited Flamborough-Glanbrook MPP Donna Skelly and Hamilton East-Stoney Creek MPP Neil Lumsden, Hamilton's two members of the PC provincial government, to answer questions about the legislation, which some councillors say will reduce the city's ability to pay for critical infrastructure such as roads, water treatment services and transit. 

Instead, they received a letter on Jan. 25 from provincial Municipal Affairs and Housing Minister Steve Clark, who did not decline the invitation directly but said he was writing "to address municipal feedback" on the legislation.

"It's unfortunate our local representatives… didn't feel it was necessary for them to come and talk to council," Coun. John-Paul Danko (Ward 8) said in response.

Danko said he had been hoping Skelly and Lumsden would publicly respond to "some of the questions that I am sure their constituents would like answered" regarding the controversial bill, now known as the the More Homes Built Faster Act, which became a law in November.

Instead, "the minister had to step in on their behalf," he said.

Danko was behind the December motion that saw councillors vote to invite the two MPPs.

Critics describe the legislation as overriding local planning powers, limiting the ability of municipalities ability to collect development charges and reducing public input on development.

New legislation gives incentive to build: province

Clark's letter, dated Dec. 22, said he was responding to Hamilton council on the MPPs' behalf.

"The central intention of the More Homes Built Faster Act is to build more homes that are attainable for our growing population," he wrote.

"We are doing this in part by discounting and exempting municipal fees and taxes for affordable, non-profit and purpose-built rental housing, and new homebuyers who otherwise face these significant costs. 

"For example, municipal fees and taxes currently add more than $61,000 to the cost of an average single-family home in Hamilton before a single shovel is in the ground, a cost that is putting the dream of homeownership out of reach for far too many Hamiltonians.

"Our decision to rein in unsustainable and out-of-control municipal fees on new homebuyers is the right thing to do, and that is why our position on Bill 23 will not waver."

Development charges help pay for transit, libraries: city

The city's general manager of finance and corporate services, Mike Zegarac, told council that the fees the province calls "out-of-control" are in fact, tightly regulated by the province itself. He said without those fees, the city will have to make tough choices on infrastructure decisions.

"We have a limited number of options," he said, listing wastewater, transit, roadways, bike lanes and libraries as among the things paid for by development charges.

"The passing on of these costs will ultimately affect all homeowners. We will have to raise these funds through the tax levy or through… water and wastewater.

"Other options municipalities have is to scale back the infrastructure," he added. 

Clark's letter says the province is "committing to ensuring municipalities are kept whole for any impact to their ability to fund housing enabling infrastructure because of Bill 23," but city staff said Wednesday they have received no concrete information on how this will work.

When asked if she was declining to speak to council, Skelly told CBC Hamilton the mayor or any councillor is welcome to set up an appointment through her office and she would be "happy to speak with them."

She also cited Clark's letter that there would be "no funding shortfall for housing enabling infrastructure as a result of Bill 23, provided municipalities achieve and exceed their housing pledge levels and growth targets." 

CBC Hamilton also requested comment from Lumsden but did not hear back.