The Ontario Municipal Board (OMB) is facing a complete overhaul from the provincial government. This overhaul will begin limiting the power the OMB has over land-use planning; the OMB has had significant power over this planning for more than 100 years.
The OMB has faced much criticism in the past, being called “seriously flawed” by residents groups. If the new legislation coming this month is approved, the OMB process will be scrapped. The changes put more power into the hands of cities, allowing them more flexibility to plan their futures, and also puts power into the hands of citizens who say the current process leaves them unprepared against developer interests.
The proposed reforms
The reforms that were proposed early this week included the creation of a true appeals body. Currently, the OMB has the power to overrule a city council’s decision to reject a development application. These hearings with the OMB are termed "de novo," which means "as new," so the decisions made in the hearing could possibly be made disregarding the city's original decisions. These hearings have been criticized for not giving the appropriate weight to decisions made by city councils. Though limited, research has shown that the board often rules in favour of developers rather than cities.
The reforms will change the appeals process to focus on whether the city failed to follow its own rules, or if the city failed to adhere to provincial policies. They would no longer have the power to approve its own version of a development, instead any new versions would have to go back to local city councils for approval.
Development industry wary
While some residents groups and local municipal governments are happy with these changes, some in the development industry are wary. They fear that these reforms will make it even more difficult to get new residential developments or new condo development plans approved. Without more development projects, some groups fear that the lack of supply in the real estate market right now will only further drive the price of housing.
There is also the fear that establishing a new tribunal, called the Local Appeals Tribunal, will undermine the Ontario's plan for growth. The Growth Plan currently calls for greater density, which may not be a priority for local city councils. Developers fear that the power being with local city councils will hinder further development within the province.
Stay tuned to the blog, where I'll be covering more on impacts these decisions may have for development in Niagara. For more information on new developments in St. Catharines and Niagara, download the development map below.
