Ottawa says Ontario failed to meet affordable housing goals, won’t send funds to province

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Instead, Housing Minister Sean Fraser says the federal government will send $357-million directly to city service managers

Minister of Housing, Infrastructure and Communities Sean Fraser speaks during a news conference at the National Press Theatre in Ottawa on April 30.The federal government says it will withhold $357-million in affordable-housing funding from Ontario and instead send it to city service managers responsible for the issue, after Ottawa said the province failed to commit to a target of building almost 20,000 units.

Other premiers have also objected to the federal government dealing directly with municipalities on housing, and Alberta has introduced legislation that would prohibit local governments from dealing directly with Ottawa without the province also being involved. “I owe it to Canadians to ensure that their money, which Parliament has authorized for investments in new affordable housing, is actually spent on building more affordable housing,” he wrote.

In an interview, Mr. Fraser said Ontario has only committed to building 28 per cent of its target and, as federal money flowed, the province reduced its own investment in new community housing. “It’s just bizarre at best,” Mr. Calandra said in an interview. “How he is going to design that is a mystery to us,” he added, noting it’s up to service managers in different cities to decide how to best design affordable housing.

 

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