Summary#

Bill C-26, An Act to authorize certain payments to be made out of the Consolidated Revenue Fund for the purpose of improving housing supply, would create authority for federal payments to provinces and territories. Its stated goal is to improve housing supply.

• The Minister of Finance may make payments totaling $1.713 billion.
• The minister would decide how much each province or territory receives, and when and how payments are made.
• The bill does not set out specific conditions for recipients or rules for how they must use the money.

What it means for you#

• Provinces and territories: The Minister of Finance could make payments to them. The bill does not give them a guaranteed share or require the minister to make payments.
• People seeking housing: The bill states a goal of improving housing supply, but does not require specific housing projects or guarantee that supply will increase.
• Taxpayers: The bill would authorize payments from the federal Consolidated Revenue Fund. It does not set out a tax change.

Money#

The bill would authorize payments totaling $1.713 billion, but the supplied material gives no cost estimate beyond that amount.

• The Minister of Finance may make the payments; the bill does not require that they be made.
• The minister decides the amount of each payment and its timing and manner.
• No administrative, staffing, or other costs are stated.

What is unclear#

• The bill does not say how the minister would decide the amount for each province or territory.
• It does not set rules for how recipients must use the payments, or how use would be checked.
• It does not set a payment schedule or say when the authority would begin.
• The supplied material does not explain how the payments would fit with existing housing programs.

Case for#

• A possible argument for the bill is that federal payments could give provinces and territories money to support the stated goal of improving housing supply.
• Letting the Minister of Finance set amounts and timing could allow the payments to be tailored to recipients or circumstances. The bill does not explain how that discretion would be used.

Case against#

• The bill does not specify how payments would be divided, so recipients may not know what amounts to expect.
• It does not require recipients to spend the money on particular housing measures or set out checks on its use.
• The bill authorizes a large total amount but gives no information about expected results or other costs.