The Ontario government released Friday a third round of draft rules under the Protecting Condominium Owners Act. Passed but not yet in force, the legislation reformed Ontario’s outdated condo laws and introduced new laws to regulate the condo management industry.
If adopted, the draft rules would see the recently created Condominium Authority of Ontario (CAO) designated as the condominium authority described in the Condominium Act reforms. The CAO would be responsible for administering provisions of the Condominium Act relating to new requirements for condo returns and director training, among others.
The CAO would also oversee the Condominium Authority Tribunal, which is envisioned as a cheap, fast alternative to taking certain types of disputes to court. To start, the regulations propose that the Condominium Authority Tribunal hear only disputes related to rules under section 55 of the Condominium Act, which deals with records, with some exceptions. The proposed regulations further provide that tribunal orders, excluding certain personal information, would be published online in a freely accessible database.
If adopted, the draft rules would also see the recently created Condominium Management Regulatory Authority of Ontario (CMRAO) designated as the administrative authority described in the Condominium Management Services Act. The CMRAO would be responsible for administering most provisions of the Condominium Management Services Act along with its regulations.
The draft rules further propose to delegate some of the lieutenant governor in council’s regulation-making powers under section 78(1) of the Condominium Management Services Act to the minister of government and consumer services. An example of those regulation-making powers would be the ability to require licensees to include specified terms in condo management services contracts.
If the draft rules are adopted, both of the recently created administrative authorities are expected to be designated by mid to late 2017. The changes delegating certain regulation-making powers to the minister of government and consumer services are projected to take effect within the same timeframe. The provisions concerning the scope of disputes to be heard by the tribunal and the publication of tribunal orders are slated to come into force this fall.
The ministry is accepting feedback on these proposed regulations until April 10. This latest release of draft rules under the Protecting Condominium Owners Act follows the release of proposed regulations for the licensing of condo managers as well as proposed regulations to accompany condo law reforms, including provisions standardizing records requests.