News release: March 10, 2022
Regional Council Introduces Incentives to Increase Long Term Care and Hospice Supply in Peel
Brampton, ON. (March 10, 2022) – Today, Regional Council approved an Interim Financial Incentive Program that will provide extended Development Charges (DC) deferrals and grants-in-lieu of DCs to help support eligible new Long-Term Care Homes (LTC) and Hospice developments in Peel.
Health care facilities such as long-term care homes and hospice play critical roles in our community. These services have struggled to keep up with the population growth and aging community in Peel. While the long-term care home waitlist remains considerable in Peel Region, the COVID-19 pandemic has further highlighted the need for safe, enhanced and innovative accommodations for Peel senior residents. Council has approved an interim financial incentive pilot program to provide financial support for eligible new not-for-profit long-term care homes and hospice facility developments in Peel.
How the interim financial incentive program will work
The health care system is primarily a provincial responsibility to be funded through income taxes. Municipalities, however, have been confronted with various requests for financial support. One of the most effective ways to strengthen long-term care and palliative services is to support development of new care units. This interim financial incentive program may help bolster LTC and Hospice developments in Peel by offering financial support that can potentially fill gaps when provincial funding is insufficient.
The general terms and conditions of the recommended framework are summarized below:
- Applications for grants will only be available to a not-for-profit organization
- A DC deferral agreement shall be entered between the Region and the landowner with terms and conditions satisfactory to the Chief Financial Officer and Commissioner of Corporate Services
- The deferral interest rate is recommended to be zero per cent as set out in the Region’s existing Development Charge Interest Rate Policy
- An extended DC deferral can be entertained to ensure sufficient funds are accumulated in the Region’s DC Financial Incentive Reserve to provide grant payment
- Only the portion of DC payable that is not funded by Federal or Provincial funding can be eligible
- Maximum grant after Federal and Provincial funding amounts up to 50 per cent of the eligible DC payable (up to 100 per cent for hospice developments as well as for an eligible public not-for-profit organization under hospitals in Peel such as the Trillium Health Partners or the William Osler Health System)
One of the key policy considerations in developing the general terms of this financial incentive program was to identify an approach that strikes a balance between providing a sound public benefit policy and utilizing scarce public funding in an effective and efficient way.
- Council Report (March 10)
- Development Charge Interest Rate Policy (Council Report Appendix I)
- Interim Financial Incentive Program for New Long-Term Care Homes and Hospice Development in Peel (Council Report Appendix II)
Now more than ever, we must maintain our critical path on project construction for urgently needed long term care and hospice projects in Peel. These collective efforts generate value for the public and promote the Region’s Term of Council priority of ‘Enhance Senior’s Supports and Services’. We are pleased that we can take this adaptive step to support our community and align with Provincial goals of modernizing and transforming health care services with a focus on integrated care.
Regional Chair, Nando Iannicca
This policy framework is an interim measure to support our community post-COVID service needs, while prioritizing development projects delivered by publicly funded not-for-profit organizations operating within a hospital in Peel. This is a flexible approach to support the needs of Peel residents, now and into the future.
Chief Financial Officer and Commissioner of Corporate Services, Gary Kent
Region of Peel
The Region of Peel works with residents and partners to create a healthy, safe and connected Community for Life for approximately 1.5 million people and over 175,000 businesses in the cities of Brampton and Mississauga and the Town of Caledon. Peel's services touch the lives of residents every day. For more information about the Region of Peel, explore peelregion.ca and follow us on Twitter @regionofpeel and Instagram @peelregion.ca.