Ontario and Ottawa will spend just under $9 billion to cut development charges in municipalities across the province by up to 50 percent in a bid to revitalize a struggling housing market.
The federal and provincial governments are set to spend $4.4 billion each over the next decade on housing-related infrastructure in Ontario, Prime Minister Mark Carney and Premier Doug Ford announced March 30 at a joint press conference in Etobicoke.
The bulk of the $8.8 billion in funding will help cover infrastructure costs for any city that lowers development charges (DCs) by up to 50 percent, Carney said.
Municipalities use development fees to pay for infrastructure such as roads, sewers, and water systems. But these fees have increased expenses associated with home construction in recent years, creating “a major hurdle” in the housing market, Carney said….