Item - 2023.PH8.14

The Planning and Housing Committee:

1. Directed the Chief Planner and Executive Director, City Planning, to continue consultation on the draft policy directions with Councillors, industry, other stakeholders, and the general public, and report back with recommended Official Plan amendments before the Province proclaims the amended Planning Act definition of "area of employment".

2. Requested the Chief Planner and Executive Director, City Planning to consider and address implementation challenges that current and future business owners face with the Official Plan amendments proposed by staff (OPA 680 and OPA 668). In particular, consider ordering the Official Plan amendments so that transition of existing uses comes into effect before the policy changes to align with the Provincial definition for areas of employment so that existing businesses can continue to use their lands and redevelop and expand those same uses.

3. Requested the Chief Planner and Executive Director, City Planning to undertake a local-based analysis of existing uses that highlights potential impacts to the businesses within the City’s Core Employment Areas and General Employment Areas, resulting from the Province’s amended Planning Act definition for ‘areas of employment’ in Bill 97, and the proposed Provincial Policy Statement, in consultation with the General Manager, Economic Development and Culture, local Business Improvement Areas, and stakeholders.

The Planning and Housing Committee recessed its public session to meet in closed session to consider the item as it pertains to litigation or potential litigation that affects the City of Toronto.

On April 6, 2023, the Province introduced new policy and legislative changes which include two key components: (1) Helping Homebuyers, Protecting Tenants Act, an Act to amend various statutes with respect to housing and development ("Bill 97"), and (2) the proposed Provincial Planning Statement ("PPS"). Bill 97 received Royal Assent on June 8, 2023.

This report presents draft policy direction to amend various employment area related policies to bring the Official Plan into alignment with the definition of "area of employment" in the Planning Act, as amended by Bill 97. The amended definition of “area of employment” will come into force on a day to be named by proclamation of the Lieutenant Governor. It is staff's understanding that the Province will bring these Planning Act changes into force on the same date that the PPS comes into effect.

The amendment to the provincial definition of "area of employment" would narrow the scope of uses from what is currently permitted in areas of employment. In particular, it would expressly exclude from the definition institutional uses and commercial uses, including retail and office uses that are not associated with manufacturing, warehousing, and research and development in connection with manufacturing. For the City's Employment Areas to continue to benefit from the current employment protection policies, land use permissions for these areas must align with the amended definition of "area of employment". Doing so will mean that the City will need to limit some of the broader Official Plan employment permissions in General Employment Areas and Core Employment Areas.

This report also provides an update on the Council direction to staff to undertake a study to consider expanding permitted uses in Employment Areas to include places of assembly, places of worship, and sports facilities on a site or area-specific basis.