Q&As for MMAH’s Municipal Services Offices and Service Managers on RESIDENTIAL RENT FREEZE FOR 2021

20.Does the rent freeze apply to the market rentlmaximum rent for RGI units?

Yes, both geared-to-income rents and market rents are included in the rent freeze. Under Bil1204, an increase in the notional “market rents” for RGI units (the rent payable if an RGI household were found ineligible for assistance and transitioned to market rent) would be irrelevant, as the rent charged to a tenant cannot increase in 2021.

21 . How do the amendments to the Residential Tenancies Act, 2006 (RTA) freeze rent for RGl households? Do changes need to be made to the Housing Services Act, 2011 (HSA)?

Bill 204 (which can be found here) gives the new rent freeze provisions made under the RTA precedence over regulations made under section 50 of the HSA.

However, MMAH would still need to pursue amendments to the regulations under the HSA to allow for the rent freeze to apply to tenants paying geared-to-income rents in non-profit housing co-operatives (as housing co-operatives are not covered by the RTA).

As part of this work, MMAH also intends to pursue amendments to the regulations under the HSA to provide one clear set of rules for RGI households for 2021 that would be structured in a manner consistentwith the RTA rent freeze.

22.Can Affordable Housing units created under federal andlor provincial programs be excluded from the rent freeze?

The rent freeze applies to households living in affordable rental housing units created through various federally andlor provincially funded housing programs. This will help protect the province’s vast majority of tenants, including the province’s more vulnerable tenants, and would be consistent with the treatment of market rent tenants living in the private rental market and community housing.

23.What is the 2021 Market Rent index? Will the ministry release an updated Market Rent Index for 2021 and notify the sector?

Yes, MMAH will provide an update on any changes to the market rent index.

24. What about the impact to service Managers and community housing providers of freezing rents increases for 2021?

The provincial government recognizes that the rent freeze will have a financial impact on the community housing sector. MMAH plans to engage with Service Managers and community housing providers to understand the scope and scale of the financial impacts.