Federal housing funding isn’t necessarily tied to a specific decision on the citywide rezoning, just that debate on the issue comes to Calgary city council.

That’s the word from city administration as described to Mayor Jyoti Gondek during the March 7 Calgary Planning Commission (CPC) meeting. After their technical review and questions, the body unanimously approved a recommendation that city council give three readings to a bylaw that would rezone residential lands to R-CG, R-G, and H-GO.

Their recommendation will be forwarded to the April 22 public hearing meeting of Calgary city council, where the citywide rezoning issue will be heard, barring a potential future city council decision to hold a plebiscite on the matter.

Last year, the City received a $228 million commitment over three years for housing accelerator funds from federal housing Minister Sean Fraser. There were specific milestones the city had to reach for all of the funding to be unlocked. Before that, in September 2023, Minister Fraser delivered a letter to the City in advance of discussions on the Calgary Housing Strategy.

“In light of this, I wish to inform you that Calgary’s Housing Accelerator Fund application will not be approved unless you follow through to create the new missing middle zoning designations of H-GO and R-CG, as you laid out in your application,” he wrote in that letter.

As a potential plebiscite looms, councillors were asked how that might affect federal housing funds. None had a specific answer. 

On Thursday afternoon, Calgary Skyview MP George Chahal muddied the waters slightly by saying he feared delays in citywide rezoning could hinder the flow of federal funding.

“My concern is that this plebiscite or delay could jeopardize that investment, that funding immediately. We need those funds to flow immediately,” he said.

Clarification from administration, legal counsel

Mayor Gondek, who is ex-officio at Calgary Planning Commission meetings, asked for clarity on the housing accelerator fund application submitted by the city, and whether it was predicated on certain things the City said it would deliver.

“Are we hinging on not getting an approval that we’ve already got based on this decision,” the mayor asked.

Tim Ward, manager of housing solutions for the City of Calgary, said that in the application, they’d indicated the City would move forward with the citywide rezoning process.

“In terms of the status of the housing accelerator fund, one of the actions that the city committed to was the citywide rezoning. But that does not mean that council is required to make that decision,” Ward said.

“The agreement does not fetter council’s discretion to make a decision as it so chooses. If the rezoning did not pass, we would deal with that with CMHC as well, if and when that time arrived.”

Ward later said that if council decides not to move forward with citywide rezoning, that funding could be impacted, but they’d work with Canada Mortgage and Housing Corporation (CMHC) “if that eventuality arises.”

Mayor Gondek said the two answers didn’t completely jive but she did nail down an answer later.

“What I heard from you, Mr. Ward, is that we are not fettered, I think was the language that you used in the agreement. We are not obligated or fettered to make a decision in a particular way, council is simply to have this come before them,” she said.

“That’s correct,” Ward responded.

City of Calgary planning and legal counsel Trudy Wobeser followed up, however, by mentioning that federal housing funding was an “irrelevant consideration” for both council or CPC on this matter.