Proposed amendment to Ontario Regulation 299/19 ADDITIONAL RESIDENTIAL UNITS, made under the Planning Act

Steps Taken to Date

Through the More Homes Built Faster Act, 2022, changes were made to the Planning Act to accelerate implementation of the province’s additional residential unit (ARU) framework.

These changes allow “as-of-right” (without the need to apply for a rezoning) the use of up to 3 units per lot in many existing residential areas (i.e., up to 3 units allowed in the primary building, or up to 2 units allowed in the primary building and 1 unit allowed in an ancillary building such as a garage). This as-of-right permission applies province-wide to any parcel of land where residential uses are permitted in settlement areas with full municipal water and sewage services (excepting for legal non-conforming uses such as existing houses on hazard lands). Changes were also made to remove certain barriers (i.e., development charges, parkland requirements, minimum unit sizes and parking requirements) to encourage the creation of more additional residential units.

For all other areas (outside areas that are fully serviced – e.g., rural areas, land on partial or private servicing), the framework is discretionary.

To support implementation of ARUs, the Cutting Red Tape to Build More Homes Act, 2024, made further changes to the Planning Act to provide the Minister with broader regulation-making authority to align municipal by-laws in support of building more ARUs (see ERO #019-8369). This regulation would only address zoning by-law barriers under the Planning Act. Public health and safety requirements, including those in the Building Code, Fire Code and other legislative instruments (e.g., Conservation Authorities Act) would continue to apply.

Amending the Additional Residential Units regulation (O. Reg 299/19) under this authority could facilitate the creation of additional residential units, such as basement suites and garden suites, by eliminating barriers. Removing these requirements could potentially reduce or eliminate the need for rezoning or minor variances, saving time and money and helping to build more homes.

Impact on the Environment

The proposed regulation is anticipated to have a positive impact by making more efficient use of servicing (e.g., water and wastewater) and transportation infrastructure, and implementing provincial policies that identify settlement areas as the focus of growth and development.

Existing Process

Currently, when creating an ARU, a homeowner may require a minor variance (or in some cases a rezoning) to seek relief from certain zoning by-law standards prior to obtaining a building permit to undertake construction. This could include, for example, maximum lot coverage, and angular plane requirements, etc. Minor variance decisions are made by a municipality’s committee of adjustment. An applicant may appeal to the Ontario Land Tribunal (OLT) – or in Toronto, to the Toronto Local Appeal Body (TLAB).

Proposed Contents of a Regulation

Based on feedback received through ERO posting #019-8369, the government is consulting on a proposal that would include the following performance standards in the future Minister’s regulation that would apply to the same lands as the current ARU framework (i.e., urban residential land permitting up to 3 units per lot). The proposed performance standards would not apply to rural areas, or settlement areas without full municipal servicing:  

1. Angular Plane

Proposal:

• Override all angular plane requirements in zoning by-laws for buildings with ARUs

Background:

• An angular plane is an imaginary angle barrier (e.g., 45-degrees) that regulates how deep and tall a building can be. The angular plane can start at different points on a property depending on variables (e.g., size of the lot or type and location of nearby properties).
• Removing this requirement for buildings with ARUs would make it easier to build structures with more livable space, including ancillary buildings and laneway suites on existing lots.

2. Maximum Lot Coverage

Proposal

• Allow at least 45% lot coverage for all buildings and structures on parcels with ARUs

Background:

• Lot coverage is the portion or percentage of a lot covered by buildings or structures.
• Setting out a provincial standard of 45% lot coverage for buildings and structures on a lot that includes at least one ARU would make it easier to build ancillary buildings like garden and laneway suites on existing lots, as well as rear additions to the primary building. Zoning could still regulate building location through setbacks.

3. Floor Space Index (FSI)

Proposal

• Override all FSI requirements in zoning by-laws that apply to parcels with ARUs

Background

• FSI is the gross floor areas of all buildings on a lot, divided by the lot area.
• Removing this requirement would make it easier to build structures with more livable space, including ancillary buildings and laneway suites on existing lots.

4. Minimum Lot Size

Proposal

• Override all minimum lot size/lot area requirements that are specific to parcels with ARUs

Background:

• The size of a lot is the total horizontal area contained within the lot lines of a lot.
• Removing minimum lot size requirements for ARUs would ensure that the same lot size standards that apply to a house also apply to a house with an ARU.

5. Building Distance Separation

Proposal

• Restrict building distance separation requirements associated with any building containing ARUs to a maximum of 4 metres

Background:

• Building separation distances set out the minimum distance between a primary building and any ancillary structure.
• Reducing the minimum building separation distance to a maximum of 4 metres would make it easier to build laneway suites on existing lots.

Analysis of Regulatory Impact

The proposed regulation would reduce or eliminate the need for landowners to obtain a rezoning or minor variance prior to construction. This could result in direct cost and time savings, on a project-by-project basis, and ultimately support the creation of more ARUs throughout the province..

Fees for a rezoning application can range from approximately $1,500 to over $50,000 per development. Fees for a minor variance application can range from approximately $1,000 to $5,000 per development. Obtaining a rezoning and/or minor variance approval can add 12-15 months to a development project.

Provide Feedback

We welcome your thoughts on the contents of a proposed regulation and the specific zoning by-law requirements and/or standards that it could address to facilitate the creation of ARUs.