City of Waterloo council will consider the implications of implementing a bylaw to protect tenants from ‘renovictions’ next Monday, but staff note that it could be costly for taxpayers.
A renoviction occurs when a landlord evicts a tenant by claiming they will complete renovations, which range from complete overhauls to a simple paint job, in order to increase the price of rent when searching for a new tenant.
Renoviction bylaws are currently in place in cities like London and Hamilton, and last June, the City of Kitchener pushed forward plans to create their own renoviction bylaw.
Ahead of a council meeting on Jan. 19, staff are recommending that Waterloo council avoid implementing a renoviction bylaw at this time because of potential legal challenges and financial impacts.
“At this time, annual licensing revenues are expected to be minimal, as historical data indicates a low volume of renovation-related evictions in the city requiring licensing oversight. As such, the program would be primarily funded through municipal property taxes,” reads the report from Waterloo staff.
Staff indicate that implementing a renoviction bylaw could cost taxpayers as much as $800,000 in the first year and up to $450,000 each year after, as the program would require new resources and additional staff.
When the issue came before Kitchener council, there was passionate support from local advocate groups like ACORN, who delegated at the meeting. Staff in Kitchener are expected to return to council with an update on the progress of their renoviction bylaw sometime this year.
The City of Waterloo’s meeting on this topic is set to begin at 2 p.m. on Jan. 19.