Winnipeg getting $122M from federal fund to fast-track housing, less than $192M ask
City council approved sweeping zoning changes last month to get funding through Housing Accelerator Fund
Winnipeg will get $122 million from a federal fund intended to fast-track the construction of new housing — which is less than two-thirds of the amount the city had applied for.
The money from the federal Housing Accelerator Fund is expected to spur the construction of more than 3,100 housing units, including 900 affordable units, over the next three years, the City of Winnipeg and federal government said in an announcement at Winnipeg city hall on Wednesday.
"We're going to use these investments to try to spark a renaissance of home-building across this city, and especially building of affordable home units throughout Winnipeg," Mayor Scott Gillingham said.
The city had applied for $192 million from the fund, which would have allowed for the construction of roughly 5,300 units, including 1,300 affordable units.
Despite receiving $70 million less than the city asked for, Gillingham said on a per capita basis, the amount Winnipeg got is in line with what other cities have received, or slightly greater.
The city can still reach its goals of increasing the number of new housing units, as public dollars encourage private investment, he said.
"This $122 million, when put into play here in Winnipeg, will really result in multiple millions more that are going to be invested ultimately."
Zoning changes made to get funding
The Housing Accelerator Fund, introduced in the 2022 federal budget, allocates $4 billion until 2026-27 to prompt more homebuilding in cities by cutting red tape in the process.
Earlier this year, Federal Housing Minister Sean Fraser made looser zoning rules a condition for approving up to $192 million from the fund.
Last month, Winnipeg city council approved sweeping zoning changes in order to get the funding.
That included changes to allow up to four units per lot citywide, and allowing buildings up to four storeys within 800 metres of frequent transit routes. The changes also permit construction of mid-rise residential housing targeted around shopping malls and commercial corridors.
These changes would be permitted as-of-right, meaning property owners would not need to go through a public hearing.
Need to be 'bold': Vandal
The zoning reforms drew criticism from some neighbourhood residents concerned about the impact the changes would have on existing neighbourhoods.
But St. Boniface-St. Vital member of Parliament Dan Vandal, who made the announcement along with Gillingham, said government needs to be "bold" on housing.
"Canada needs six million homes by 2030," Vandal said. "That's not going to happen by doing the same things that we've been doing over the last 20 years."
Vandal also said there are other federal programs the city can apply to for funding.
Some changes, like allowing builds with up to four units without the need for a public hearing, have drawn controversy.
"I do worry about accepting the terms of the funding before actually going through the process of figuring out how you're going to implement it," said Aaron Moore, a politics professor at the University of Winnipeg.
But the head of the Manitoba Home Builders' Association says the changes are necessary "to modernize our zoning bylaw."
That "hasn't been touched for quite a long time, and it is not in step with Winnipeg's planning documents," said Lanny McInnes.
St. Vital counsellor skeptical
The funding announced Wednesday will be divided among seven initiatives:
- Rapid zoning bylaw amendments.
- Amendments to local area plans.
- Incentive programs promoting multi-family housing downtown and on corridors.
- Establishment of a land enhancement office.
- Creation of a city "concierge" for affordable housing.
- Infrastructure supports to increase residential development.
- Digitizing and speeding up development and permit approvals.
Several city councillors joined Gillingham at the announcement. Among those absent was St. Vital Coun. Brian Mayes, who was one of three councillors who voted against approving the zoning changes to access the Housing Accelerator Fund.
He said while he's pleased some of the funding will go toward affordable housing, he remains concerned about the way the federal government imposed the changes on cities as a condition for the funding.
Mayes's ward includes neighbourhoods like Glenwood, which has seen conflict over infill housing developments.
He remains skeptical of assurances from Gillingham and others that the changes will happen gradually and evenly across the city.
"You'll see a lot of councillors who voted for this now trying to create rules that means there won't be density in their ward," he said.
Any changes to the city's zoning bylaws will require a public hearing. That is expected to happen sometime in 2025.
ABOUT THE AUTHOR
