This blog constitutes Part 1 of the Davies Howe LLP Bill 98 and Related Proposals blog series. This first part focuses on proposed amendments intended to come into force immediately upon approval, many of which significantly curtail municipal authority over development standards, land use regulation, and approval processes. They include the following:
- Development Charge Exemption
- Removal of Green Standards
- Enhanced Development Standards
- Prescribed Minimum Lot Standards
- Removal of Electric Vehicle Parking Requirements
- Removal of Notice Requirements for Minister’s Zoning Orders
- County of Simcoe as a Prescribed Municipality
These amendments, if enacted, would represent a significant reallocation of authority from municipalities to the Province, particularly in relation to development standards and approval controls.
Development Charge Exemption
Bill 98 would add a new section to the Development Charges Act, 1997 defining a “non-profit retirement home development” that will be exempt from development charges. The exemption will not apply to charges due before the day Bill 98 comes into force, however, future installments of development charge payments will be exempt if they are due after this day.
Removal of Green Standards
Bill 98 proposes amendments to four acts to limit municipal authority to impose environmental or green development standards beyond those established under provincial legislation and the Ontario Building Code. The proposed changes seek to amend the Building Code Act, the Municipal Act, the City of Toronto Act, and the Planning Act.
Municipal Act and City of Toronto Act
Currently, section 97.1 of the Municipal Act and section 108.1 of the City of Toronto Act authorize municipalities to pass by-laws respecting the protection or conservation of the environment requiring buildings to be constructed in accordance with provisions of the Building Code under the prescribed provisions of the Building Code Act. This includes the power to require the construction of green roofs. Bill 98 proposes to revoke these sections resulting in municipalities longer having this authority.
Building Code Act
Bill 98 proposes amendments to the Building Code Act to reflect the above-noted removal of a municipality’s ability to pass by-laws relating to the protection of the environment. In particular, subsection 35(1) of the Building Code Act currently states that the Act and building code supersede all municipal by-laws respecting the construction or demolition of buildings. Bill 98 proposes to introduce subsection 35(4) to clarify that these types of municipal by-laws, which the Building Code Act and Code supersede, include municipal by-laws that prescribe construction standards for the protection or conservation of the environment. Further, Bill 98 proposes to remove the Minister’s authority to make regulations prescribing provisions of the Building Code for the purposes of section 97.1 of the Municipal Act and section 108.1 of the City of Toronto Act.
Planning Act
Finally, Bill 98 proposes to amend section 41 of the Planning Act (and section 114 of the City of Toronto Act) to remove elements of “sustainable design” from matters that can be controlled through site plan. Similarly, it proposes to remove the ability of municipalities to request that site plans display matters relating to building construction as required under a section 97.1 Municipal Act by-law.
Enhanced Development Standards
Consistent with the proposed removal of “sustainable design” matters from site plan control, the Province is seeking feedback through ERO 026-0309 on a proposed regulation to prohibit a municipality’s ability to require mandatory enhanced development standards (outside of buildings) as a condition of land division approvals that are not specifically required for health, safety, accessibility or the protection of adjoining lands.
Currently, the Province has indicated that enhanced development standards differ across jurisdictions causing complexity and increased costs. The proposed changes would create a shift from a mandatory to a voluntary approach for these enhanced development standards (i.e., green development standards) that are not required for purposes of health and safety or environmental functionality (i.e., stormwater management). The comment period is open until May 14, 2026.
Prescribed Minimum Lot Standards
Bill 98 proposes to amend the Planning Act to limit the ability of municipalities to pass a by-law under section 34 that imposes a minimum lot area for residential land that is greater than an area to be prescribed through regulation. This does not apply to lands in the Greenbelt Area. An additional subsection is proposed that would deem by-law provisions regulating minimum lot frontage and depth to be of no effect to the extent that they would require a parcel to be larger than the prescribed minimum lot area.
Through ERO 026-0311, which is open for commentary until May 14, 2026, the government is proposing that the prescribed minimum lot size be 175 square metres.
Notably, this proposal does not remove the requirement for proposals to be consistent with the Provincial Planning Statement and conform or not conflict with provincial plans. This maintains the existing requirement that proposals be consistent with the Provincial Planning Statement.
Removal of Electric Vehicle Parking Requirements
Bill 98 proposes to amend the Planning Act to remove a municipality’s power to require an owner or occupant of a building to provide and maintain electric vehicle supply equipment in connection with their parking facilities, both through zoning and through site plan.
Removal of Notice Requirements for Minister’s Zoning Orders
Bill 98 proposes to amend section 47 of the Planning Act by striking out the requirement that the Minister must give notice when the Minister initiates an amendment or revocation of an existing Minister Zoning Order.
County of Simcoe as a Prescribed Municipality
Lastly, Bill 98 seeks to amend the definition of an “upper-tier municipality without planning responsibilities” in the Planning Act so that the County of Simcoe has three separate definitions, representing the three-phase removal of the County of Simcoe’s planning responsibilities based on the lower-tier municipalities’ readiness. The first phase is proposed to include the Town of Bradford West Gwillimbury, the Town of Innisfil and the Town of New Tecumseth, meaning that the County of Simcoe would no longer have planning responsibilities in these lower-tier municipalities. The lower-tier municipalities in the second phase are to be prescribed through future regulation, with the remaining lower-tier municipalities in the County to be included as the third phase.
Coming up next
Stay tuned for our next part of the blog-series, which will examine the proposed changes to official plans, complete application requirements, prescribed professions and site plan. As always, the Davies Howe LLP team will keep you updated as Bill 98 moves through the legislative process.