Item - 2026.PH27.9

The Planning and Housing Committee:

1. Referred item PH27.9 to the Chief Planner and Executive Director, City Planning, in consultation with the Executive Director, Housing Secretariat and requested a report to the earliest possible Planning and Housing Committee on: 

a. An analysis of the estimated financial value of proposed in-kind supports for tenants with additional housing barriers;

b. Assess the feasibility of providing a combination of financial assistance or in-kind supports or a choice on a case-by-case basis.

c. The outcome of additional engagement with key stakeholders on implementation of individualized in-kind contributions

d. Identification of groups who may have housing barriers who are not currently eligible to receive additional financial compensation under the current framework,

e. Options to accelerate the establishment of a tenant support coordinator service to support tenants with additional housing barriers who are facing displacement, including options for this coordinator to oversee implementation of the individualized in-kind supports contemplated in the report and as set out in Attachment 1 to the report (January 8, 2026) from the Chief Planner and Executive Director, City Planning.

f. Assess the feasibility of requesting owners extend the proposed changes and in-kind supports to applications which have had a tenant meeting or Rental Housing Demolition application approval without registered section 111 agreements, including the number of potentially impacted applications.

This report recommends an updated approach to support vulnerable tenants who are going through the rental demolition and replacement process. Staff undertook extensive engagement with a broad range of stakeholders to identify barriers vulnerable tenants face during the rental demolition and replacement process and the appropriate supports they would require to move out of their existing rental units and into interim housing, then into their replacement rental units once these are ready.

The recommended approach for Tenants with Additional Housing Barriers proposes a shift from a one-size-fits-all approach of providing additional financial compensation for tenants with special needs or vulnerable tenants to providing more appropriate and individualized in-kind supports. Supporting guidelines will also help to standardize how these in-kind supports are delivered, including supports that are already being provided as part of the City's Tenant Assistance Plan. A phased implementation approach is proposed to allow for immediate implementation of supports that already exist or require only minor modifications while allowing more time for supports that require additional work and collaboration. This recommended approach for Tenants with Additional Housing Barriers will be implemented within the current policy context, and no Official Plan policy or Rental Housing Demolition By-law changes are required.

Supports for Tenants with Additional Housing Barriers is proposed to be refined to tenants whose rental dwelling unit or rental dwelling room is proposed for demolition as a result of new development and who would need additional supports to move out of their current rental units and into replacement rental units or rental dwelling rooms once these are ready. These would include tenants with low or moderate incomes who are also seniors or single parents, tenants with accessibility needs and/or disabilities, and tenants receiving income-based government benefits.

Several process changes are also recommended, including providing information to tenants and developers earlier and more often, improving the handling of private and sensitive information, and the ability for tenants to identify their need for additional supports earlier in the process as well as before they move out. These recommended changes aim to provide tenants with more appropriate supports while also lessening the risk of project delays. These recommended process changes build on the changes that were implemented in early 2025 as part of the review of the overall rental replacement process and that are outlined in the Rental Demolition and Replacement Handbook. Housing Secretariat and City Planning, in consultation with relevant divisions, will also explore in 2026 the feasibility of enhanced coordination services to support Tenants with Additional Housing Barriers who are facing displacement.

This report also responds to Council's request to review whether amendments are needed to the Official Plan's dwelling room replacement policy to require that every affordable and mid-range occupied dwelling room be replaced with a dwelling room and whether replacement housing should be required where the combined number of rental units and rooms proposed for demolition is 10 or more.