Bill 17 Proposed Building Code Amendments: Occupancy Permits For Residential Developments With Deferred Development Charges

Bill 17 amended the Development Charges Act, 1997 (the "DCA") to allow development charges for residential developments to be deferred to either the issuance of an occupancy permit or the first occupancy of the building, whichever is earlier. These amendments have not yet been proclaimed into force.

On October 3, 2025, the Ministry of Municipal Affairs and Housing ("MMAH") posted a regulatory proposal to the Ontario Regulatory Registry proposing amendments to O. Reg. 163/24, the Building Code, to operate alongside these changes, providing assurance that development charges will be collected after deferral.

The proposal would impose a requirement for an occupancy permit for non-rental residential buildings, including stacked townhouses, where a builder elects to defer development charges under s. 26.1(3.1) of the DCA. This would include buildings that have been completed but are not yet occupied and may not presently require an occupancy permit. Further, it is