Residential Tenancy Reform Consultation Paper

RESIDENTIAL TENANCY REFORM CONSULTATION PAPER
Council decides that the proposal will not adversely affect
the supply of affordable rental housing in the municipality.
It may also be appropriate to limit the mandated municipal
approval process to buildings above a certain size (such as
the limitation to buildings containing five or more units
under previous legislation), to allow the process to be
effectively administered and to only include conversions
and demolitions that could have a significant effect on the
rental housing stock.
A mandated municipal approval process would help
municipalities with low vacancy rates protect the existing
rental housing stock. This approach would also enable a
comprehensive, long-term approach to the issue. However,
this option could not be implemented immediately, due to
the preceding policy development and legislative approvals
process. There might be some short-term losses to the
stock of rental housing as a result. As well, some municipalities
might object to a mandated process, if the local
Council did not regard the rental housing supply to be an
issue in their community and considered such a process to
be unnecessary red tape. However, by mandating a
process, the government could ensure that local councils
give proper consideration to preserving the supply of rental
housing before permitting conversion or demolition.
B. Bring in laws allowing each city or town to decide
whether to have an approval process for demolition
or conversion, based on rules set out by the
provincial government.
The government could introduce provincial legislation that
could, if passed, make a municipal approval process optional,
subject to certain provincial criteria. These criteria could
include a sustained vacancy rate threshold (e.g., less than
3 per cent for three years); and/or other criteria such as the
percentage of tenants in core need. It may also be appropriate
to limit the optional municipal approval process to
buildings above a certain size, (such as the limitation to
buildings containing five or more units under previous legislation),
to allow the process to be effectively administered
and to only include conversions and demolitions that could
have a significant effect on the rental housing stock.
As discussed above, proposed rules set out by the
provincial government could include requiring that the
property owner provide replacement rental units at similar
rents, permitting demolitions if the property is structurally
unsound, or allowing a conversion or demolition if the
Council decides that the proposal will not adversely affect
the supply of affordable rental housing in the municipality.
This, again, would help municipalities with low vacancy
rates protect the existing rental housing stock. Rather than
requiring a municipal approvals process in all urban centres,
this option would be more flexible and would permit
communities greater control over how they develop.
Again, there would be the possibility for short-term losses
in some urban centres while longer-term rental housing
protection was developed.
C. Bring in laws allowing each city or town to decide
whether to have an approval process for demolition
or conversion, based on their own rules.
The government could introduce provincial legislation
allowing municipalities to set their own criteria for controlling
the demolition and conversion of rental stock. Similar
to option B, a municipality would have the choice whether
to control demolition and conversion. However, in this
option, the municipality could also determine the vacancy
rate threshold or any other conditions.
This option would allow municipalities to implement
approval processes that meet the specific needs and conditions
of their rental markets. Municipalities are aware of
local housing needs and may be in the best position to
make these decisions.
Further, this option could enhance the authority of
municipalities beyond what the courts have given them.
Municipalities could establish controls over aspects such
as long-term leases and other situations where currently no
planning approvals are needed.
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