Ottawa Construction News staff writer
The City of Ottawa is bracing for a sweeping overhaul of its development process as the Ontario government moves to standardize land-use planning across the province, a move a senior local official warns could “limit the City’s ability to outline local priorities”.
In a memorandum released April 8, Marcia Wallace, general manager of Planning, Development and Building Services for the City of Ottawa, provided a preliminary review of the impacts of Bill 98, the Building Homes and Improving Transportation Infrastructure Act, 2026. Introduced on March 30, the legislation represents a “broad push toward provincial standardization” designed to accelerate housing construction, but Wallace notes it will require significant “changes to established practices, processes and plans”.
A centerpiece of the legislation is a requirement for a “prescribed table of contents and schedules” for Official Plans, effectively creating a standardized land-use designation system across Ontario. For Ottawa, the deadline to implement this templated framework is Jan. 1, 2028.
While the Province argues consistency will save time, Wallace noted the shift “is likely to limit the city’s ability to outline local priorities within the structure of the Official Plan.”
Bill 98 grants the Minister of Municipal Affairs and Housing the power to set a minimum lot size of 175 sq. m. for urban residential land. This proposal, under ERO 026-0311, would apply to parcels in settlement areas with full public services.
Wallace indicated that staff are assessing the impact, as the city’s recently approved Zoning By-law regulates lot size through minimum width rather than total area.
Furthermore, the bill seeks to prohibit municipalities from imposing requirements for electric vehicle (EV) supply equipment through zoning or site plan controls.
- If the legislation takes effect, current provisions in Ottawa’s Zoning By-law would no longer be in force.
- Wallace noted that staff will explore “enabling approaches,” such as incentives and partnerships with the private sector, to support EV investment across the city.
The provincial changes arrive alongside the Canada-Ontario Partnership to Build, an $8.8-billion infrastructure program shared with the federal government over 10 years.
- Funding requirements: To access the Build Communities Strong Fund (BCSF), municipalities must commit to residential development charge (DC) reductions of 30% to 50% for at least three years.
Goal: The funding is intended to offset the revenue impact of these reductions.
Ottawa staff have been directed to report back on DC reductions, but Wallace emphasized that previous Council direction was based on the city being “made fully whole,” with no reduction in investment in the city’s DC Background Study.
The province is also moving to mandate fully digital planning applications to create a “standard system across the province.” While Ottawa already utilizes electronic systems, Wallace warned that “any standardization that requires changing technology would be very costly and disruptive.”
Additionally, new regulations filed in January 2026 designate professional engineers as a “prescribed profession,” meaning municipalities must automatically accept their technical studies as meeting complete application requirements. The province is now consulting on whether to add additional certified professionals, such as registered landscape architects, to this list.
In a parallel move, the province is initiating a “section-by-section review” of the Ontario Building Code, supported by an independent advisory body of engineering and construction specialists.
The government is also considering a “spectrum of options” for site plan control, ranging from a standardized checklist to removing site plan control entirely for certain projects. Wallace noted that Ottawa has already moved to expand site plan exemptions to developments with 12 or fewer units.
Wallace stated that city staff will “carefully monitor and review the impacts” of Bill 98 as it moves through the legislature and provincial processes.
