I have written many columns over the past few months about the failure of Mayor Gillingham and his administration on housing. Time and time again, they have leaned on the $122 million Winnipeg was set to receive from the Liberal Housing Accelerator Fund, a program I and many others have pointed out is deeply flawed. Now, the truth has come to light, and it is clear that this fund has failed Winnipeg, just as the city’s housing strategy has failed.
Yesterday, a report from the public service to the Executive Policy Committee all but admits defeat. The report suggests Winnipeg will not receive the full $122 million promised. Instead of accountability, we are met with misguided political spin, attempting to paint this as anything but what it is: a significant shortfall in funding due to a breach of the agreement. The Winnipeg Sun sent several critical questions to Mayor Gillingham’s staff, this was there reply:
Question: Now that the city is expected to receive only half of the anticipated $122 million, what immediate adjustments will be made to compensate for this reduction in grant funding?
Answer - We are moving forward in the spirit of the agreement while ensuring that we can match Housing Accelerator Fund program funding with expected revenues. Regardless of the future of the program, housing remains a priority in Winnipeg, and we will continue to move forward with these initiatives using the available funding. To date, HAF has been a successful program for Winnipeg and is helping achieve our goals around speeding up the development of housing and increase available housing units.”
Question: Does this funding shortfall prompt the city to expedite changes to zoning by-laws to accommodate home builders and reduce bureaucratic barriers and the need for variances?
Answer - A comprehensive review of our zoning bylaws was an outcome of OurWinnipeg and Complete Communities and the work of updating those bylaws was underway before the onset of our HAF agreement. The zoning bylaw amendments being proposed now continue to move forward and are expected to increase the supply of housing in Winnipeg.
These prepared responses were provided by Kalen Qually, Corporate Communications , City of Winnipeg. Make of them what you will.
The public service claims the city intends to align with the existing Housing Accelerator Fund agreement. Simultaneously, they suggest they will apply for an extension. But the facts matter, and the facts indicate a breach of the agreement because the city will not meet the required deadlines. Worse, there appears to be no avenue for an extension in the agreement. Yet, the administration continues to project optimism, hoping the Federal Liberals will grant a delay. Why would they? With a potential federal election in the spring, the Liberals face pressure to show results, not excuses. Extending Winnipeg’s timeline would hand the opposition a perfect example of why the program is ineffective, something Pierre Poilievre would eagerly seize upon. The political calculus is clear, and Winnipeg’s failure will be a talking point in national debates.
Councillor Russ Wyatt put it succinctly: “I’m sure Gillingham knew they would not meet the deadline as of last week. Therefore, the Mayor knowingly misled the Council about the entire mall and Corridor rezoning that only occurred last Tuesday and Thursday. This is a serious matter.” Wyatt also wants to know when the city knew, “When did senior administration know they would not meet the HAF deadline, and why did they (administration) and the Mayor fail to inform Council before last week’s hearings
This frustration is echoed by Councillor Brian Mayes, who told the Winnipeg Sun, The City staff admit in this Report that they will not meet the December 2024 deadline for Council approval of the infrastructure plan (Initiative 6 in the City -Federal HAF Agreement) and in fact they are asking the federal government for a year’s extension to this deadline, to December 2025. Moreover, the report admits that the federal government may not fund the HAF program at all after 2025, leaving the city with only about $60M instead of the agreed-to $122 million. This seems like a realistic admission from the City. The supposed March deadline to approve the federal conditions that the City allow four-plex plex on any street in the city, and with height allowances increasing by 70%, is therefore clearly not a real deadline, as the City seems able to request extensions without breaching the agreement . Moreover, the argument that we have to approve these changes to get federal money may no longer hold water if there is no money left. These are important factors as we go forward to debate the federal 4-plex condition.””
This is the heart of the problem. While home builders in Winnipeg are ready and willing to construct more housing—even offering to include affordable units without tax breaks or grants—they are trapped in a web of bureaucracy. City Hall has become an obstacle rather than a partner. This issue is not new. It has plagued Winnipeg for years, yet the current administration has done little to nothing to address it.
Premier Wab Kinew’s contribution to the housing crisis has been equally ineffective. He quickly defaulted to buzzwords, saying the economy is the horse that pulls the social cart. However, sustainable and affordable housing is the food that fuels that economic horse he speaks of, and his government’s housing programs appear to give preferential treatment to certain projects rather than addressing the broader issue. Low housing inventory drives unaffordable rents and skyrocketing home prices, and Winnipeg’s failure to increase its housing stock has exacerbated the problem. Scarcity pushes prices higher, leaving families struggling to afford homes. The root cause is clear: Winnipeg’s planning and development processes are bogged down by inefficiency. Each delay in construction adds costs, which are inevitably passed on to renters and buyers. For many families, these added costs are the difference between securing housing and being priced out of the market entirely. How many times have you heard young people say they will never be able to buy a home?
The Parker Lands development is a prime example of the city’s mismanagement. This project has been stalled for 11 years, stuck in a bureaucratic merry-go-round. Had it moved forward in a timely manner, it could have generated approximately $35 million in property taxes by now. That revenue could have been reinvested in infrastructure, social programs, or further housing initiatives. Instead, taxpayers are left to bear the cost of inaction, and the city’s housing crisis deepens.
Eliminating bureaucracy is not a radical idea. It is necessary to address Winnipeg’s real housing problem, which is a crisis. The solution is straightforward: prioritize zoning by-law changes, set firm deadlines for the public service, and streamline the building permit process. Permits should be approved within 60 days, a timeline that would kickstart homebuilding, increase inventory, and reduce costs through simple supply and demand dynamics. The resulting increase in property tax revenue would eliminate the need for Gillingham’s constant search for new ways to tax residents. This administration must recognize this and act now.
Good governance requires identifying problems, admitting their existence, finding solutions, and implementing those solutions. This approach is taught and respected in management practices worldwide. Yet, Winnipeg’s politicians seem incapable of following it. The failure of the Housing Accelerator Fund is not surprising, it was predicted. The program’s flaws have been apparent from the start, and the city’s inability to meet its obligations only reinforces its shortcomings. But the deeper issue lies in City Hall’s reluctance to address the systemic problems within its planning and development processes.
Winnipeg’s housing crisis is not rocket science. It is a problem that can be solved with practical, common-sense measures. The administration must stop hiding behind excuses and political spin. It is time to eliminate the barriers that have held back thousands upon thousands of housing units from being built. Home Builders are ready to do their part; the city must do its part too. The failure of the Housing Accelerator Fund should serve as a wake-up call. Winnipeg cannot rely on external programs to solve its problems, mom and dad can’t fix your problems forever. It must take responsibility for its own future.
Look, it’s simple to adopt proven approaches to problem-solving. Start by admitting the failure. Then, take immediate steps to rectify it. Streamline processes, prioritize efficiency, and focus on outcomes. The solution has been staring Mayor Gillingham’s administration in the face for years. It is time to act.
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