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

16. Would there be exemptions to the rent cap for RGI households? For instance, could geared-to-income rent increase if an additional income learner joins the household? Could rent increase if a household is no longer eligible for an RGI subsidy?

There would be no exemptions to the rent cap for RGI households. Rent for RGl households would be capped at the amount payable as at December 31, 2020, until the freeze period has ended

17.Wouid Service Managers still need to do annual or in-year reviews in 2021?

Yes, Service Managers and housing providers continue to be obligated to comply with the RGI rules as set out in Ontario Regulation 316/19 under the HSA. This includes rules for annual reviews and in-year recalculations of rent, which would continue to be completed in 2021.

During the rent freeze period, any calculated rent increase resulting from an annual or in-year review would not take effect in 2021. However, if a household experiences a decrease in income, their rent may decrease as required under provincial regulations.

18.What happens at the end of the rent freeze period?

Bill 204 would freeze rent increases that would have occurred in the 2021 calendar yeah

After the rent freeze period has ended, starting January 1, 2022, geared-to-income rent could increase to reflect household income calculated in the most recent annual or in- year review, subject to the HSA regulations on effective dates of rent increases.

For example, an RGI household paying $300 per month in rent reports an income increase through their scheduled annual review in 2021. While their rent would be recalculated, the household would continue to pay $300 month for the remainder of the 2021 calendar year. The rent increase would come into effect January 1, 2022.

19. If an RGI household fails to submit the required paperwork for an annual review, could the household be moved to market rent until the required forms are submitted?

Rent for RGI households could not increase in 2021, as households paying geared-to-income rents are captured in the rent freeze.

If a household fails to submit the required paperwork for an annual review and is found to be ineligible for RGl assistance, that household may be deemed ineligible for assistance, but rent could not increase from the December 2020 amount. After the rent freeze period has ended, rent could increase to the market rate.