Municipalities across Canada face housing development constraints in their communities that could be eased through more co-operation between all levels of government, says a report by a local governance think tank.
The report from the Institute on Municipal Finance and Governance at the University of Toronto examined what researchers say would be the ideal role for local governments to approve and develop more social, rental and affordable housing that is increasingly needed.
"They rely heavily on property taxes, and are prohibited from levying income or other more progressive taxes," says the report. "Partly for this reason, most provinces play a large role in major capital projects, such as social housing." Prof. Carolyn Whitzman, a University of Ottawa housing and social policy expert, said policy changes ranging from requiring municipal governments to approve more multi-housing developments to introducing provincial policies that make more government land available and increasing federal housing funding could ease affordability.
"Municipalities can play a critical role in ensuring the right supply is built and contribute to the affordability of new developments through direct contributions, speeding up the approvals process, and creating greater certainty for approvals," she said in the report. "But that's the wrong way to see it," said Falvo. "They should instead view it as a complex public policy challenge that they can help with."
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