Item - 2015.PG5.2

The Planning and Growth Management Committee:

1. Endorsed, as the basis for a public consultation open house, the proposed Official Plan policy for the revised definition of Affordable Ownership Housing in Attachment 1 of the report (May 25, 2015) from the Chief Planner and Executive Director, City Planning;

2. Requested the Chief Planner and Executive Director, City Planning to report back on the results of the public consultation open house and in consultation with the Director, Affordable Housing Office, report on an approach and timing for implementation of the proposed revised definition for Affordable Ownership Housing to the Planning and Growth Management Committee on October 8, 2015; and

3. Received the Consultant's report which summarizes the findings of the affordable ownership definition policy review study.

This report provides an overview of a study undertaken to review the Affordable Ownership Housing definition of the City's Official Plan and proposed revisions to the existing definition for the purpose of public consultation as part of the Five Year Review of the Official Plan.

The intent of the proposed changes is to be more consistent with housing market and income conditions to encourage a full range of new affordable ownership housing. The revised definition would increase the price threshold for affordable ownership units under the Official Plan, making it more feasible for developers to deliver homes at the required price points for them to be considered an eligible contribution under Section 37 of the Planning Act. The proposed change would also help to encourage the provision of affordable ownership housing not well served by the market.

In July 2013, City Planning in consultation with the Affordable Housing Office retained SHS Consultants and ReFact Consulting to conduct a review of the existing Official Plan definition for Affordable Ownership Housing.  The summary report of this work is appended as Attachment 3.

The Study proposes a new definition of Affordable Ownership Housing that responds to changes suggested in previous Official Plan Review consultations and more specifically changes raised in stakeholder consultations conducted as part of this Study. The revisions proposed by the consultants are based on an approach that reflects both household income and housing market factors. 

A review of implementation issues is also being undertaken to provide further guidance on how this proposed definition change may be brought into effect.