JASON SETNYK
Cornwall City Council has voted to defer a decision on how to respond to a slowdown in housing construction, including whether to temporarily reduce development charges to a flat rate of $5,000 per unit for single and semi-detached dwellings. That proposal, listed as Option 2 in a report by Deputy CAO Matthew Stephenson, was one of three options presented. The deferral passed with only Councillor Elaine MacDonald opposed, as most councillors expressed a desire for additional data and context before making a final decision.
The Deputy CAO report outlines that housing starts in Cornwall have nearly stalled, with only 12 permits for single-family homes and seven for semi-detached units issued since May. He explained that the potential $3 million to $7.5 million revenue shortfall from the proposed reduction is not a direct loss, but rather unrealized potential. He framed the reduction as a strategic investment aimed at stimulating growth and attracting new residential development.
Councillor Fred Ngoundjo spoke against reducing the charges without some kind of commitment from developers, noting that past reluctance to impose development charges shifted costs unfairly onto taxpayers. “That was wrong,” he said. “Developers should promise to build homes that match our needs if we reduce these fees.” He raised concerns that the City could end up subsidizing developers without seeing results.
Councillor Dean Hollingsworth initiated the motion to defer, arguing that the City needs data on what municipalities of similar size and structure are charging. “You can’t compare Cornwall to Lancaster,” he said. “We need to know what Brockville or Belleville are doing.” He also cited broader national market conditions as reasons for the slowdown, not development charges alone.
Councillor Carilyne Hébert supported the deferral, saying the proposal fails to address Cornwall’s actual housing needs. She pointed to the City’s Housing Needs Assessment, which identifies one- and two-bedroom apartments as the most pressing need. “Single-family homes are the least affordable and the least aligned with our identified gaps,” she said. Hébert also raised concerns about the financial impact of the proposed reduction, noting that Council is already tightening its belt through staff reductions to balance the budget. “We are ultimately foregoing $3 million to $7.5 million worth of revenue,” she said. “That’s significantly more than the savings from reducing our staff complement.” She suggested the City explore targeted reductions or incentives for purpose-built rentals or multi-unit developments instead.
Councillor Sarah Good emphasized that the report’s current figures were outdated and that better data is needed to inform such an important decision. She called for a more comprehensive look at housing incentives, including how new provincial legislation delaying DC payments until occupancy might already benefit developers. “We must ensure we’re keeping in line with our own evidence-based research,” she said, referencing the recent Housing Needs Assessment.
Councillors Todd Bennett, Maurice Dupelle, and others voiced concern that rising construction costs-not development charges-may be the more significant barrier to new builds. “If you’re building a $600,000 home in Riverdale, $15,000 in fees isn’t what’s stopping you,” Bennett said.
MacDonald, however, rejected the delay and said the City needed to act now. “Other municipalities’ fees don’t matter,” she said. “This is a Cornwall problem. If we’re having no activity, we need to go to $5,000, we need to go to zero.” She argued that action was needed to jumpstart single-family home construction, which is currently stagnant, while multi-residential projects are still progressing.
The debate ended with a procedural exchange between Hollingsworth and Mayor Justin Towndale over the use of a “point of information.” Hollingsworth challenged its legitimacy, claiming it wasn’t permitted under the procedural bylaw. Towndale responded at the end of the meeting by citing Section 33-6 of the 12th edition of Robert’s Rules of Order, stating, “A request for information, also called a point of information, is allowed,” and confirmed he would circulate the rule to council members.
With the deferral approved, City staff will return at a future meeting with an updated report. It is expected to include five-year housing trends, comparisons to other municipalities, feedback from developers, and potential alternative incentives better aligned with Cornwall’s housing priorities.
Current fees
Current per-unit development charge rates are: Single detached $12,571, semi-detached/duplex $10,149, row/townhouse $8,177, apartment (2+ bedrooms) $6,274, apartment (bachelor/1 bedroom) $4,268.
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