Does the weakened BC NDP government really want to go to war with municipalities over housing? It’s a question worth watching in the tiny municipality of Oak Bay on Vancouver Island, where Housing Minister Ravi Kahlon is ramping up to pick his first real fight with a mayor and council over housing approvals.
Oak Bay has only built to completion 16 of 56 housing units, or 29 per cent of its yearly target, according to statistics Kahlon released on his social media accounts this week.
The District of West Vancouver also lags, at only 26 per cent of its 220 target housing units.
Both councils were sent sternly worded letters by Kahlon, demanding they show his staff how they can get moving on their targets within the next 30 days.
Or what?
That was the immediate response from the mayors of Oak Bay and West Van, who appear ready to call Kahlon’s bluff.
"We informed them a year ago that we didn’t have enough projects in the pipeline to meet year one targets, so it’s hardly a surprise today to be 40 units short,” Oak Bay Mayor Kevin Murodch .
“It is somewhat concerning that the minister has chosen to single out the two smallest of the first 10 communities, when seven did not meet their first-year targets.”
West Vancouver’s mayor was similarly dismissive.
"This is just theatre," Mayor Mark Sager .
"We now turn around building permits in under six weeks. Good luck finding another community that does that," he added.
"So you know, Mr. Minister, let's get together and have an intelligent discussion."
Kahlon, though, continued sabre-rattling.
“Within the legislation, I'll have the ability to either bring in an advisor that can look at decisions the council has made, look at the processes local governments have in place to improve housing in a quicker way. So that's one route,” he told Black Press.
“And the other route is I have the ability to step in and make changes at the local government level, if those changes are needed, to be able to improve housing quicker.”
It would be quite a thing for the housing minister to sail into Oak Bay and steamroll the council.
Kahlon would have to contend with fallout affecting his seatmate, Oak Bay-Gordon Head MLA and Jobs Minister Diana Gibson, who’d quite likely become the subject of a recall petition. MLAs who have been through that process can tell you it is unpleasant, even if it doesn’t succeed. The end result would salt the earth for future New Democrats in and around Oak Bay.
Kahlon’s also threatening to take legal action against the District of Sooke, on southern Vancouver Island, which refused to approve new provincially required bylaws to allow quad-plexes on single family lots. The new NDP MLA for that riding, Dana Lajeunesse, comes from Sooke council.
Bigfooting municipalities has been at the core of Premier David Eby’s housing strategy since he took office in 2022. He first offered carrots, in the form of extra money for transit and infrastructure, for municipalities who embraced his density dreams on single-family lots and near transit hubs.
But he also crafted a very sharp stick, in the form of legislation that allows him to override councils who refuse to meet his arbitrarily set housing targets, allowing the province to step in and take over approvals.
That was pre-election Eby though, when he was moving at warp speed with unwavering confidence. After his government got spanked by voters in October and came within 22 votes of losing its majority, it’s not clear if the premier or Kahlon still strike the same fear in the hearts of municipalities.
Since then, Eby has promised to slow down, consult more and bring British Columbians along with him on solving the big problems of the day. Overthrowing duly elected municipal councils seems like the opposite of that.
Still, the NDP is under pressure to show results. Housing starts are down 11 per cent from last year, according to the second quarter financial results released this week. Single-family housing starts dropped 21.9 per cent in urban centres.
Finance Minister Brenda Bailey attempted to put a good spin on the numbers, noting they remain above the ten-year historical average, even with declines.
But residential building permits, which financial officials describe as a leading indicator of future home construction, declined 8.5 per cent — as much as 13.1 per cent for detached dwellings. That doesn’t bode well for the future.
The lacklustre housing starts may be one reason the NDP seems intent on threatening municipalities. But can it, and will it, follow through? All eyes are on Kahlon for his next move.
Rob Shaw has spent more than 16 years covering B.C. politics, now reporting for CHEK News and writing for Glacier Media. He is the co-author of the national bestselling book A Matter of Confidence, host of the weekly podcast Political Capital, and a regular guest on CBC Radio.
