SoVote

Decentralized Democracy

Dave Smith

  • MPP
  • Member of Provincial Parliament
  • Peterborough—Kawartha
  • Progressive Conservative Party of Ontario
  • Ontario
  • Unit E 864 Chemong Rd. Peterborough, ON K9H 5Z8 dave.smithco@pc.ola.org
  • tel: 705-742-3777
  • fax: 705-742-1822
  • Dave.Smith@pc.ola.org

  • Government Page
  • Sep/7/22 3:40:00 p.m.
  • Re: Bill 3 

I listened intently to the speech from the honourable member. She pointed out a few facts and I want to emphasize some of them because she gave some very good statistics. Over a 14-year period, they had approximately 500,000 units in development—over a 14-year period. We need slightly more than 500,000 in a 10-year period. Does status quo of that many in 40% more time make sense?

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  • Sep/7/22 10:00:00 a.m.
  • Re: Bill 3 

I heard the speech from the opposition.

One of the things about my community of Peterborough is that it has been a test community for all of Canada for a long time, more than 50 years. We’re a microcosm of what goes on. In our city, we had a number of developments that were put forward that were blocked by council because of NIMBYism. They went to LPAT and, lo and behold, the developers were given approval. They added three and a half years to it. I’m being told by developers that it takes 12 years to get something done. We know we’ve got 1.5 million people coming in in 10 years, so we cannot have status quo.

How is this bill going to speed up that process so that it doesn’t take us 12 years to start the construction on the 1.5 million houses we must have over the next 10 years?

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  • Aug/17/22 1:30:00 p.m.
  • Re: Bill 3 

I’m a little bit confused by this. The opposition, in their election platform, said that they wanted to build 1.5 million houses—as well as what we have said, that we want to build 1.5 million houses over the next 10 years.

In your speech, you said that we had a record number of housing starts, around 100,000 last year, and that was a record from 1987 or 1991—I can’t recall which it was. There was also a record number of apartment starts from either 1987 or 1991.

Over the next 10 years, how do we get to 1.5 million if what we have always been doing is not going to get enough for us? Should we be doing something different, and does this bill allow Ontario to do something differently than we have been doing that obviously hasn’t been working?

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  • Aug/17/22 9:30:00 a.m.
  • Re: Bill 3 

I think, if we take a look back at the last 20 years of what’s been happening in Ontario—actually, we just have to look at the last four years in the city of Peterborough: $314,000 to $760,000 for the average home price. What has been done has not been working. It is incumbent on us as legislators to make sure that we’re looking at the best interests of the people of this great province and put forward legislation like this that’s going to make a positive difference and allow for that development to happen so that all of those individuals who want an apartment, who want a home, who want a condo, have the opportunity to acquire that.

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  • Aug/17/22 9:20:00 a.m.
  • Re: Bill 3 

Wayne Gretzky.

When you want to have a subdivision put in, you go through all of the appropriate processes on it. One of the things that happens, though, is there’s opportunities for individuals, for different groups, to object in different ways. We’re streamlining all of that. Instead of it being a waterfall approach where it was, you can object on this; and then once something comes in from that, you object under this; and then once that comes in, you can object under a third—if you think of it from a project management standpoint, it’s more of a scrum or an agile approach. So we’re looking at the critical path instead.

This is a way that we can make things better for people in Ontario. This is a way that we can streamline this. By empowering the mayors in the two cities that we have, they can look at what’s in the best interests of the entire community instead of just that small group.

If you don’t like the price of rent, the problem is that we don’t have enough rentals. If you don’t like the price of a home, the problem is that we don’t have enough homes. This is something that is going to speed that process up, which lowers the cost and makes it easier for people to have home ownership.

If we speed up development, if we make it easier to build a purpose-built apartment building, it lowers the cost of the build. It lowers the cost of the rent, which means that that individual who is looking for a place to rent can move into a place that is going to be at their price point and more suitable for them.

If we obstruct—which is what has happened over the last two decades—prices rise and people get priced out of a home. We want to reverse that trend.

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  • Aug/17/22 9:10:00 a.m.
  • Re: Bill 3 

I withdraw.

What I find most interesting about it is, every single person who is standing up and saying, “We should not be building more houses, we should not be building more apartments, we should not be building more condos,” lives in a house, apartment or condo. Why do they not want others to have that?

We’ve got OREA who has come forward, and they’ve talked for a few years now about the dream of home ownership. I firmly believe that the vast majority of people who live in this province aspire to own their own home. I firmly believe that. And why would we not be doing things, then, that make it easier for those individuals to purchase their first home, to move from that two-bedroom home, when they have three, four or five children, to a home that suits them? Why are we not doing things so that those individuals, those seniors, who raised their family and they’re now ready to downsize, and they want to sell that four-bedroom or five-bedroom home and go to a two-bedroom condo some place, or move into a nice apartment building someplace, or move out of the city to some place like Peterborough—or God’s country—where you have an opportunity to have a beautiful one- or two-bedroom home by the lake, by the river or out in the county—why are we obstructing that?

The reality is we have a number of councils across all of Ontario that are saying things like, “It’s just this one. There’s a sentiment in the community, there’s a loud group right around this area, who don’t want it. I’m going to have to go with them because they vote for this ward.”

The entire city votes for the mayor, though. Giving the mayor in cities like Ottawa and Toronto, where we know more than a third of those 2.5 million people are going to be moving in in the next 10 years, the ability to advance homes, to advance home ownership, to make more affordable units to live in—giving them that ability is something that is good.

You want to make sure that there are checks and balances in place, though, so the mayor cannot just unilaterally do something, the mayor cannot just unilaterally declare that this is going to happen. There is that check and balance in place where council, with a two-thirds vote, would have the opportunity to veto the mayor’s veto on that. That check and balance is in place.

You can still advocate, as a councillor, for the community that you represent, that small group in the large city that you represent, but the rest of council and the mayor have the opportunity then to look at, what are the needs of the entire city?

There was an expression that was used when I was on the election trail the first time, in 2018. We’ve all heard of NIMBYism: “Not in my backyard.” There was another expression that was given to me and I absolutely love it because I think it’s so very true. It’s called the BANANA group: “Build Absolutely Nothing Anywhere Near Anyone.” It seems to be that that’s what’s been happening.

What this legislation does is it gives a tool, then, for those large municipalities of Ottawa and Toronto to advance housing, to advance the provincial priority of making sure that people have an opportunity to buy a home, to rent a home, to rent an apartment, to move into a condo, to get appropriately sized living space.

When I go back to Peterborough again, and using that as the example—$314,000 to $760,000 over the course of four years because there wasn’t enough inventory. The council in Peterborough, many of them were elected on building upward, not building outward. They didn’t want to have urban sprawl. But when those projects came forward to build up, they said no to it because there was pushback on it. We see that in larger cities as well. We see that in Ottawa; we see that in Toronto.

If you don’t have the full suite, if you don’t build everything in each of the different categories that are needed, you put pressures on so many other things. Why would a developer who is going to take 12 years to develop a piece of property—why would they build something that they’re not going to get their money back on? We have to change those timelines.

Again, coming back to Peterborough, there’s a prime example. We had a subdivision that was being built. It took eight years to get the approvals to build that subdivision. They wanted to put in some townhouses in one section of the subdivision. It took an additional five years to get the approvals for that. And by the time they got those approvals, the added costs that were put on by carrying it for five more years before they could actually develop and sell increased the price. It doesn’t take a rocket scientist to figure out if you can get to market in a shorter period of time, your carrying costs are lower. If we’re talking 12 years to get something shovel-ready, there are added costs that are put onto it.

The task force that Minister Clark commissioned to find out about affordable housing, one of the things that they had said was that those additional costs add 22% to the cost of housing. If your base price is $760,000, that’s $165,000 in wasted costs. You gained nothing for it, the builder gains nothing for it, the municipality gains nothing for it and the consumer gains nothing for it. Finding a way to eliminate those additional costs, those unnecessary costs, to stop the weaponization so that the BANANA group has the ability to delay, delay, delay, means it’s going to be better for the people of Ontario.

And I cannot emphasize this enough: 2.5 million people coming into Ontario over the next 10 years. We built 100,000. We had 100,000 new starts last year during COVID, which is fantastic. That will not get us to what we need over the next 10 years—and it was a banner year. It had been more than 30 years since we had done that.

We have to find ways to speed up development where people want to move. We want to make sure that it’s still safe. We want to make sure that every check and balance is put in place, but we have to find ways to accelerate it so that those who dream of home ownership have the opportunity for home ownership.

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  • Aug/17/22 9:00:00 a.m.
  • Re: Bill 3 

This is the first time, actually, I’ve risen to speak in this Parliament. I want to thank the people of Peterborough–Kawartha for giving me the honour, again, to be their voice, as I have been for the last four years.

One of the challenges that Ontario faces is a growing population over the next 10 years. We’re expected to add more than 2.5 million people, and we have seen over the last two decades really, a lack of housing that has been built and challenges in doing it. There have been a number of changes that have been made by different governments throughout the years to try to address this. And every time a change is made, it seems that someone finds a way to weaponize one of those changes to make it possible to delay.

I’m going to talk specifically about some of the challenges in Peterborough. I’m very close to what happens in Peterborough, coming from the riding there. I don’t necessarily experience the challenges that you see in Toronto or that you see in Ottawa, and the strong-mayors legislation is specifically for these two cities to make some adjustments. But I think that if you take a look at, historically, what my community has been, my community has always been seen as a microcosm of everything that’s happening in Canada.

For more than 40 years, we were a test market for everything. When a company wanted a new product, when they were going to introduce something new, they would introduce it in Peterborough as one of the test markets, because we had that mix of individuals. We had blue-collar workers. We had manufacturing. We had knowledge base. We have a college, a university. We have a great, diverse population. We have a strong arts community—

We’re also the centre of the lacrosse universe in Peterborough as well. And, as everyone knows, I refer to it as God’s country, so how could it be bad? But I digress.

Whenever something was being introduced, it was being introduced in Peterborough, and they took a look at what our market would do and how successful something would be. I think if you take a look at what has happened in Peterborough over the last number of years, it represents what has happened all across Ontario.

In June 2018, when I was first elected, the average home price was $314,000. Last month, it was $760,000. We have a shortage of housing. In 2019, in the city of Peterborough, only five single-family home building permits were issued. The population in Peterborough proper, the city itself, has grown by almost 4,500 people in four years, yet we’ve had just a shade over 1,200 new residences added, whether that be a house, condo, apartment—only 1,200. Our vacancy rate is 1%. Rental rates have increased significantly because we don’t have the inventory. Housing prices have increased significantly because we don’t have the inventory.

Kate Kidd, the former president of the Peterborough–Kawartha area realtors—her term just ended in July—said to me about a year ago that we need an inventory of 1,400 to 1,500 houses for sale at any given time to make sure that we have enough inventory. We had less than 100 this past January. In February, we were averaging about 127 listings. Right now if you go to realtor.ca, there’s a little over 400. We’re still significantly lower than what we should have to have the proper inventory.

There are lot of pressures that have been put on my community, in particular. Yes, I am talking about Peterborough, but Peterborough is that microcosm of everything else that’s going on in Ontario. When the 407 opened all the way to Highway 115, a great addition to the transportation network, what it meant was—those individuals who were being priced out in the GTA, who could not find a home in the GTA—it was easy for them to commute from Peterborough, and we’ve had a number of people come in. There was a time when it made perfect sense to do that.

My colleague from Oakville, who was my seatmate early on in the last session, had talked about home prices in Oakville. Actually, prior to being elected, the house beside me sold to somebody from Oakville. At the time, they had sold a two-bedroom home with a 30-foot lot in Oakville for $1.2 million. They moved to Peterborough. At the time—this is prior to 2018—they bought a five-bedroom home with two bathrooms on a 65-by-130-foot lot that backed on to environmentally protected green space. I’m painting a beautiful picture of it. Who wouldn’t want to live with wildlife right behind your home in the city? They paid $418,000 for it.

So we saw an influx, when the 407 opened, of individuals who were able to sell their property in the GTA for a very large sum—and it’s gone up in the GTA—and move to Peterborough for a significantly lower price and have more home, a better lot and a higher quality of life. That raised the price in Peterborough to what it is today, $760,000 for the average home in Peterborough, whereas just over four years ago it was just a shade over $300,000—$314,000. That’s a massive jump.

Why am I focusing on that? Peterborough city council has made a number of what I would say are poor decisions around housing. I’ll go back to 2019: five single-family residential home permits issued—five, that’s it. More than 4,000 people moved into the community, 1,200 homes, apartments or condos is all that we’ve added, and the previous council used some of the tools to delay, to not make decisions.

In my old neighbourhood, just around the corner from where my house was, a developer had a piece of property. Originally he wanted to have a single level of commercial and two storeys above that of residential. He was not able to find someone to move into the commercial property because there weren’t enough people in that general vicinity to make it worthwhile for commercial activity to happen. There weren’t enough people. It wasn’t convenient enough for a professional office like a dentist, a lawyer. There weren’t enough people in the area to put in a retail outlet, a convenience store or a small grocery store, just because of the nature of where it was. But it’s not far from Trent University. It’s a walkable distance to Trent University, and there’s actually a walking trail that goes right to Trent.

That was blocked by council because the developer wanted to change it to a six-storey apartment building, and council said no because of some pushback—not because it didn’t meet the requirements of the community, not because the transportation study wasn’t effective, not because there wasn’t the demand—they were afraid they were going to offend someone and they were going to lose votes. And when you have councils that are doing those types of things, then you’re not serving the needs of your community. That developer took the city to LPAT and won, because the city chose not to send someone to the LPAT hearing to oppose it.

On Sherbrooke Street, another development: 164 homes, 164 apartments to be put in. A few city councillors lobbied to say no to it because they had some pushback from some other individuals in the area. On Lansdowne Street, two developments: The developer originally wanted 14 storeys, came down to 10, and the city came back and said, “No, six is all you could do.” They couldn’t build them then and actually make it work. The city was taken to LPAT by the developer on all of those, and the developers have won. And in each case, the city chose not to have a delegation come because they knew they were going to lose. They were doing it for political reasons, not for the right reasons.

And that’s happening in a community like Peterborough. As I said earlier on in my speech, Peterborough is the microcosm for everything that happens across Ontario. If you want to see what’s going to happen in this province, look at Peterborough, because it will be emulated or replicated in other areas. The cost of housing has gone sky high and councils have continually made decisions to block development—not because it’s the right thing to do, but because they’re concerned about gaining votes or losing votes.

What we have to do is take a look at what is in the best interest of the entire community, what’s in the best interest of the city. We have 2.5 million people coming into Ontario over the next 10 years. We set a record last year in housing starts of just over 100,000—100,000 units built last year, the most that we’ve had in more than 30 years. That will not get us to 2.5 million over 10 years. It will not get us enough bedrooms for the people who are going to be coming into this province. It won’t. And it was a record year.

The problem is we have councils who are saying no to development. “No, we don’t want a house over there.” “No, we don’t want this.” “No, we don’t want that.” And what I find interesting about it and almost hypocritical—

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