Is Barrie’s federal housing money in jeopardy after Poilievre’s comments?

Could Barrie’s share of the federal housing money, set at $25.68 million, be in jeopardy if the Conservatives form the next Canadian government?

Conservative Leader Pierre Poilievre announced Monday that he would eliminate the housing acceleration fund program, the source of Barrie’s $25.68 million, and instead use the fund to pay for his plan to repeal the federal sales tax on new homes sold for less than $1 million. Canadian Press (CP) reported.

Poilievre attacked the housing acceleration fund during a press conference, calling it “a disastrous program that leads to less housebuilding and more local bureaucracy.” CP reported.

happened Announced on March 14, 2024 that Barrie received $25.68 million in federal funding It will not only fast-track more than 680 homes in the next three years, but will also help stimulate the construction of 4,100 homes in the next decade.

Federal Liberal Minister for Housing, Infrastructure and Communities Sean Fraser and Barrie Mayor Alex Nuttall made the announcement that day.

But now Fraser says there’s a problem.

In his letter to Nuttall on October 30, the minister said that “the leader of the Official Opposition (Poilievre) has announced that he will cut this program if the Conservative Party forms a government.”

Nuttall said Barrie should receive funding from the federal and provincial governments to make housing more affordable.

“Cities like Barrie can’t do this alone,” he said. “The leader of the Official Opposition (Poilievre) had promised to fulfill the promised financing. I think we all realize that this housing crisis requires everyone to take responsibility.

“Removing GST on new homes under $1 million is a bold proposal that I think could make a real difference to revitalizing housing across the country,” Nuttall added. “The City of Barrie is committed to doing our part to build housing, and we will make sure we do that no matter who is in power.”

Barrie received the first of four equal payments of housing acceleration fund money: $6,466,246.50.

On March 15, Premier Doug Ford visited to announce Barrie gets $6.34 million from Ontario’s Building Faster FundThe city exceeded its 2023 housing goal by breaking ground on a total of 1,716 new homes last year.

Those funds went to Barrie based on its commitment to make home building easier and faster, Fraser said in his letter.

Some of these commitments across Canada include zoning reform, development cost waivers for affordable housing, backyard suite programs, adoption of e-permitting and accelerating housing approvals, Fraser said.

“Home builders have told us that the quicker they get approvals the quicker they can build homes,” Fraser said in his letter. “I would like to know more about the impact of the Official Opposition’s plan to cut $25,684,990 from Barrie.

“I would also encourage you to take this opportunity to inform members of your community about the impact of this disruption on your plans to build more homes,” he wrote to Nuttall.

Fraser also asked Nuttall to respond to the mayor’s feedback in writing by Nov. 8.

Conservative MP John Brassard of Barrie-Innisfil and Conservative MP Doug Shipley of Barrie-Springwater-Oro-Medonte released a joint statement in response to their questions BarrieToday.

“We are not surprised that Minister Fraser is using scare tactics against council leaders on the heels of Pierre Poilievre’s transformative housing announcement earlier this week, which was universally seen as a game-changer,” local MPs said in a statement. “As we approach the end of a failed, costly coalition government, all the Liberals are doing at this point is fear-mongering.”

More than a year ago Poilievre announced the Conservatives’ plan to ‘Build Homes, Not Bureaucracy’. The plan is to reward cities that remove barriers to building homes and provide a ‘super bonus’ to municipalities that exceed a 15 percent increase in housing completions by providing a construction bonus proportional to the degree to which they exceed this target. Any municipality that substantially exceeds its housing targets.

“The City of Barrie is well positioned to receive significant support from a future Conservative government on housing because Mayor Nuttall and council have set the standard for reducing planning and permitting and building homes to meet the housing affordability and accessibility crisis,” Shipley said. and Brassard said in their statement.

Poilievre criticized the housing acceleration fund since the federal government began signing agreements with municipalities, saying it added more bureaucracy without actually building any homes.

In a statement Canadian PressPoilievre spokesman Sebastian Skamski said the Conservative Party’s plan to eliminate GST on new homes priced under $1 million would “lead to 30,000 extra homes a year”, reducing purchase prices by up to $50,000 and reducing mortgage payments by around $3,000 a year.

“Unlike the multibillion-dollar so-called ‘housing accelerator’ photo-op fund, this commonsense policy benefits all Canadians without bureaucratic practices and costly photo-ops designed for Liberal political gain,” the statement reads.

The next federal election is scheduled to be held before October 2025.

— With files from The Canadian Press