Rent Geared-to-Income (Rent Freeze Period)

From Riverview Legal Group


Caselaw.Ninja, Riverview Group Publishing 2021 ©
Date Retrieved: 2024-04-28
CLNP Page ID: 1976
Page Categories: [Payment of Rent (LTB)]
Citation: Rent Geared-to-Income (Rent Freeze Period), CLNP 1976, <>, retrieved on 2024-04-28
Editor: Sharvey
Last Updated: 2022/08/24


Residential Tenancies Act, 2006, S.O. 2006, c. 17

2 (1) In this Act,

...
“rent” includes the amount of any consideration paid or given or required to be paid or given by or on behalf of a tenant to a landlord or the landlord’s agent for the right to occupy a rental unit and for any services and facilities and any privilege, accommodation or thing that the landlord provides for the tenant in respect of the occupancy of the rental unit, whether or not a separate charge is made for services and facilities or for the privilege, accommodation or thing, but “rent” does not include,
(a) an amount paid by a tenant to a landlord to reimburse the landlord for property taxes paid by the landlord with respect to a mobile home or a land lease home owned by a tenant, or
(b) an amount that a landlord charges a tenant of a rental unit in a care home for care services or meals; (“loyer”)
...

7 (1) Paragraphs 6, 7 and 8 of subsection 30 (1), sections 48.1, 49.1, 51, 52, 54, 55, 56 and 95 to 99, subsection 100 (2) and sections 101, 102, 104, 111 to 115, 117, 120, 121, 122, 126 to 133, 140, 143, 149, 150, 151, 159, 165 and 167 do not apply with respect to a rental unit described below:

...

136.1 (1) In this section,

“rent freeze period” means the period that begins on January 1, 2021 and ends on December 31, 2021. 2020, c. 23, Sched. 7, s. 2.
...
(3) No landlord shall increase the rent charged to a tenant during the rent freeze period, even if notice of the increase was given before the day the Helping Tenants and Small Businesses Act, 2020 receives Royal Assent. 2020, c. 23, Sched. 7, s. 2.
...
(5) For greater certainty, in the event of a conflict between this section and a regulation made under section 50 of the Housing Services Act, 2011, this section prevails. 2020, c. 23, Sched. 7, s. 2.
...

203 The Board shall not make determinations or review decisions concerning,

(a) eligibility for rent-geared-to-income assistance as defined in section 38 of the Housing Services Act, 2011 or the amount of geared-to-income rent payable under that Act; or
(b) eligibility for, or the amount of, any prescribed form of housing assistance. 2006, c. 17, s. 203; 2011, c. 6, Sched. 1, s. 188 (3).

203.1 The Board shall not make determinations or review decisions in respect of non-profit housing co-operatives concerning,

(a) housing charges that have been established by a resolution of the members of a non-profit housing co-operative or, where authorized by the by-laws of the co-operative, by the board of directors of the co-operative;
(b) eligibility for, or the amount of, any subsidy established for the regular monthly housing charges; or
(c) eligibility for, or the amount of, any subsidy awarded to a member. 2013, c. 3, s. 46.

Housing Services Act, 2011, S.O. 2011, c. 6, Sched. 1

50 (1) The service manager shall determine the amount of rent payable by a household receiving rent-geared-to-income assistance for a unit in a housing project in the service manager’s service area. 2011, c. 6, Sched. 1, s. 50 (1).

(2) The service manager’s determination shall be made in accordance with the requirements prescribed for the purposes of this subsection. 2011, c. 6, Sched. 1, s. 50 (2).
(3) A determination under this section is binding on the housing provider. 2011, c. 6, Sched. 1, s. 50 (3).
...

52 (1) On a periodic basis and at such other times as the regulations may require, a service manager shall determine whether the households receiving rent-geared-to-income assistance for units in housing projects of the service manager continue to be eligible for rent-geared-to-income assistance. 2011, c. 6, Sched. 1, s. 52 (1).

(2) The regulations may govern the periodic basis upon which determinations under subsection (1) shall be made. 2011, c. 6, Sched. 1, s. 52 (2).
(3) The service manager’s determination shall be made in accordance with the following:
1. The eligibility rules referred to in section 42.
2. The requirements prescribed for the purposes of this paragraph. 2011, c. 6, Sched. 1, s. 52 (3).
...

56 (1) This section applies if a household received rent-geared-to-income assistance to which it was not entitled because either,

(a) the amount of the geared-to-income rent was less than what the household was entitled to; or
(b) the household was not entitled to rent-geared-to-income assistance. 2011, c. 6, Sched. 1, s. 56 (1).
(2) Subject to any prescribed limitations, the service manager may require the household to pay the service manager the difference between the rent the household paid and the rent the household should have paid. 2011, c. 6, Sched. 1, s. 56 (2).
(3) The members of the household who were parties to the lease or occupancy agreement are jointly and severally liable to pay the amount required under subsection (2). 2011, c. 6, Sched. 1, s. 56 (3).
(4) An amount a person is required to pay under subsection (3) is a debt owed to the service manager and the service manager may recover the debt by any remedy or procedure available to the service manager by law. 2011, c. 6, Sched. 1, s. 56 (4).
(5) Subject to any prescribed limitations or requirements, the service manager may recover an amount required under subsection (2) by increasing the amount of the geared-to-income rent payable by the household to the housing provider and either,
(a) deducting the increase from the subsidy paid by the service manager to the housing provider under section 28 or 78; or
(b) requiring the housing provider to pay the service manager the increase. 2011, c. 6, Sched. 1, s. 56 (5).
(6) Sections 116 and 118 of the Residential Tenancies Act, 2006 do not apply with respect to an increase under subsection (5). 2011, c. 6, Sched. 1, s. 56 (6).

O. Reg. 316/19: DETERMINATION OF GEARED-TO-INCOME RENT UNDER SECTION 50 OF THE ACT

1. (1) In this Regulation,

...
“rent” means,
(a) in relation to a unit in a non-profit housing co-operative under the Co-operative Corporations Act occupied by a member of the co-operative, housing charges as defined in that Act, other than sector support levies and initial membership fees, or
(b) in all other cases, rent as defined in the Residential Tenancies Act, 2006; (“loyer”)
...

10. (1) The service manager shall review under this section the geared-to-income rent payable by a household once in every 12-month period after a household begins to receive rent-geared-to-income assistance determined under section 2 and shall determine under section 2 whether that rent should be reduced, be increased or remain the same. O. Reg. 316/19, s. 10 (1).

...

65. The following are prescribed, for the purposes of subsection 56 (5) of the Act, as limitations on the increase of geared-to-income rent by a service manager:

1. The increase may not be more than 10 per cent of the geared-to-income rent that would otherwise be payable.
2. The service manager must give the household notice of any increase and the increase is not effective until the beginning of the second month after the month in which the notice was given.
3. The service manager must give the housing provider notice of any increase.
4. Despite paragraph 2, if an increase in rent would otherwise come into effect during the period from January 1, 2021 to December 31, 2021, the increase is not effective until January 1, 2022. O. Reg. 367/11, s. 65; O. Reg. 692/20, s. 1.

Lebrun v. District of Sault Ste. Marie Social Services Administration Board, 2021 ONSC 7007 (CanLII)

[1] The applicant Carol Juliet Lebrun seeks judicial review of the determination by Pawating Cooperative Homes Inc. that she is not eligible for a Rent-Geared-to Income subsidy (“RGI”), including Pawating’s rejection of her claim based on extenuating circumstances. Ms. Lebrun argues that the authority to decide her eligibility for RGI is, by regulation, granted to the District of Sault Ste. Marie Social Services Administration Board. It is Ms. Lebrun’s position that the Board has not delegated this decision-making authority to Pawating.

[2] In my view, the Board expressly delegated to Pawating the authority to determine RGI eligibility, including the discretion to consider claims based on extenuating circumstances. I would therefore dismiss the application for judicial review.

...

[11] The legislative framework for community housing in Ontario is set out in the Housing Services Act, 2011, S.O. 2011, c. 6, Sched. 1. As set out in s. 1 of the Act, the purpose of the legislation is:

(a) to provide for community based planning and delivery of housing and homelessness services with general provincial oversight and policy direction, and
(b) to provide flexibility for service managers and housing providers while retaining requirements with respect to housing programs that predate this Act and housing projects that are subject to those programs.

[12] The Board is a service manager under the Act. A service manager determines whether a household is eligible for RGI: Housing Services Act, s. 45. Eligibility for RGI is determined in accordance with the “prescribed provincial eligibility rules” as set out in O. Reg. 367/11 (the “Regulation”) and “the local eligibility rules made by the service manager”: Housing Services Act, s. 42.

[13] Under s. 32.2(1) of the Regulation – the provincial eligibility rules – a household ceases to be eligible for RGI if the household refuses one offer by the service manager for housing which meets occupancy standards and is in a housing project for which the household has expressed a preference. Notwithstanding a refusal, a service manager has discretion to determine the household remains eligible for RGI if the service manager is satisfied there are extenuating circumstances: O. Reg. 367/11, s. 32.2(3). The local eligibility rule process must also provide that the household ceases to be eligible for RGI on the refusal of one offer and must provide for the discretion to consider extenuating circumstances: O. Reg. 367/11, s. 38(4).

[14] Prior to January 1, 2020, the provincial eligibility rules provided that a household would become ineligible for RGI if the household refused three offers by the service manager for housing which meets occupancy standards. The Board advised Ms. Lebrun of the change in eligibility rule.

[15] There is no question that, under s. 17(1) of the Act, the Board has the authority to delegate “all or some of its powers and duties under the Act with respect to all or part of its service area.” The Board and Pawating entered into a comprehensive Delegation Agreement on January 30, 2012. The issue on this application is whether the Board delegated to Pawating the authority to decide continued RGI eligibility, including considering claims for extenuating circumstances.

[1]

References

  1. Lebrun v. District of Sault Ste. Marie Social Services Administration Board, 2021 ONSC 7007 (CanLII), <https://canlii.ca/t/jjzpt>, retrieved on 2022-08-23