The City of Belleville continues to meet the demands of its housing pledge but one councillor is worried that they’re losing valuable revenue to do it.
Councillor Paul Carr requested a staff report on the financial impact three pieces of housing legislation designed to increase housing are having on the city.
Belleville has committed to building 3,100 new homes by 2031 as part of the Ontario government’s plan to build 1.5 million homes across the province.
The staff report received by council at its meeting on Monday shows the city is doing well so far, exceeding its 2023 housing target by 244%, adding 553 units last year and just four months into this year, was already at 87% of its 258-unit target.
Municipalities that meet their targets receive extra funding from the province.
In March, Premier Doug Ford was in Belleville to present Mayor Neil Ellis with a cheque for $1.24 million from the Building Faster Fund for exceeding the 2023 target.
But Councillor Carr says while the incentives from the province are good news, the City also stands to lose millions of dollars in revenue over the next few years as it is required to reduce or remove development charges for some builds under the legislation.
He told council that the municipality is projected to lose $2.6 million in development charge revenues this year with $2.8 million in annual losses in future years.
Fellow councillors voted in favour of Carr’s suggestion to send a letter to the Premier asking the province to reimburse municipalities for these lost revenues including more than $1 million that the City of Belleville has already lost.
“Request that the Ontario government create a funding program over and above the Building Faster Fund to make municipalities whole for future lost revenue as a consequence of Bill 108, More Homes, More Choice Act, Bill 109, More Homes for Everyone Act and Bill 23, More Homes Built Faster Act.”
Carr also asked the letter be sent to Bay of Quinte MPP Todd Smith and Hastings Lennox and Addington MPP Ric Bresee requesting their support and the Association of Municipalities for distribution to its members.
