The Home Builders’ Associations of Saskatoon and Regina are concerned about the introduction of the Province’s new Building Schools Faster Act.
CEO of the Saskatoon & Region Home Builders’ Association Nicole Burgess says she was shocked and blindsided by the new legislation, which will require municipalities to purchase land for new school sites, introduce a new school land development charge on subdivision developers, and allow municipalities to increase municipal reserve requirements by 2 per cent.
Burgess says the changes could add an extra $8000 to the cost of a new home.
“Every new cost that’s placed on a builder will eventually, unfortunately, land on the homebuyer, and when affordability is already stretched so thin, these kinds of shifts definitely put ownership further out of reach.”
She says Saskatoon already has the land development charge in place, although it was never a permitted levy under the Planning and Development Act. This has already added thousands of dollars to the cost of new homes, Burgess explains.
However, the additional costs will be felt through the added 2 per cent MR increase, which may not sound large, but Burgess says it equates thousands of dollars.
Burgess adds there are other solutions that don’t hurt homebuyers, including better land use and parking fees in massive high school lots. She says these options were being discussed right before the Province broke the news of the new Act.
“We actually had a meeting that was scheduled for earlier this week, and they decided to announce this in advance of that, hence the blindsiding.”
The Act is expected to receive royal ascent in May. The SRHBA is now asking for answers, cost-sharing specifications, and a rule that would prevent municipalities from charging both a levy and having a 2 per cent MR increase.
























