Welland mayor wants to charge developers new fee for building ‘non-affordable’ units

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Premier Doug Ford presented cheques to the mayors of St. Catharines, Welland & Niagara Falls on June 15, after the three cities hit the required targets to receive money from the Building Faster Fund.

 

Ontario Construction Report staff writer

Developers in Welland could face an additional fee for each residential unit that is not classified as affordable.

The city is exploring “ways developers could contribute to Welland’s affordable housing initiatives,” and Mayor Frank Campion has suggested a rate of $500 per unit. Using his strong-mayor powers, Campion has directed city staff and the Affordable Housing Advisory Committee to study the proposal and report back to council with recommendations.

Staff and the advisory committee will co-author a report with recommendations for council, including consultation with developers and housing partners and options for implementing either voluntary or mandatory contributions.

The review will examine legal rules, financial impacts, administrative requirements, and options for both voluntary and mandatory approaches. If approved by council, the fee would be in addition to existing development charges, which rose 3.3 per cent in 2025. A fully serviced single- or semi-detached home now carries a charge of nearly $29,900 per unit, up from $28,991, with similar increases for apartments and retirement homes.

Welland has exceeded provincial housing targets in recent years. In 2024, the city broke ground on 408 new homes, surpassing its target of 358. The province provided $1.5 million to support infrastructure for further residential development.

“This investment from the province supports our approach to ensuring that the costs of growth are not carried by our local ratepayers,” Campion said in June. “By consistently meeting and exceeding our housing targets, we’re helping to address the housing crisis while securing the funding necessary to enhance infrastructure and community services.”

The Building Faster Fund, a $1.2-billion, three-year program, rewards municipalities that meet at least 80 per cent of their annual housing targets. Niagara Falls, St. Catharines, and Welland received more than $6.7 million in the latest round after breaking ground on 1,964 new homes in 2024. Funds must be used for infrastructure such as roads, water and wastewater systems, and other essential services to support population growth.

Strong-mayor powers, legislated in 2023 by Premier Doug Ford, allow a mayor to bring matters to council or veto bylaws, prepare and present the budget, reorganize municipal administration, and appoint or dismiss the chief administrative officer. Campion has issued 14 strong-mayor directives. Full details are available at welland.ca/Council/StrongMayorPowers.asp.

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