O. Reg. 521/17: ADMINISTRATION OF THE PLAN, Filed December 15, 2017 under Ontario New Home Warranties Plan Act, R.S.O. 1990, c. O.31

ontario regulation 521/17

made under the

Ontario New Home Warranties Plan Act

Made: December 14, 2017
Filed: December 15, 2017
Published on e-Laws: December 18, 2017
Printed in The Ontario Gazette: December 30, 2017

Amending Reg. 892 of R.R.O. 1990

(ADMINISTRATION OF THE PLAN)

1. Section 1 of Regulation 892 of the Revised Regulations of Ontario, 1990 is amended by adding the following definitions:

“expected major repair schedule” has the same meaning as in Ontario Regulation 522/17 (Residential Condominium Conversion Projects — General) made under the Act; (“budget des réparations majeures prévues”)

“initial period” means the period determined in accordance with section 2 of Ontario Regulation 520/17 (Residential Condominium Conversion Projects — Initial Period and Holding Pre-Existing Elements Fund) made under the Act; (“période initiale”)

“pre-existing elements” and “pre-existing elements fund” have the same meaning as in subsection 17.1 (1) of the Act; (“éléments préexistants”, “fonds des éléments préexistants”)

“residential condominium conversion project” has the same meaning as in subsection 17.1 (1) of the Act; (“projet de conversion en condominiums à usage d’habitation”)

“sale price of a home” means, in relation to a home, the total value of consideration payable, directly or indirectly, by or on behalf of an owner to or for the credit of the vendor pursuant to a purchase agreement for the home, excluding applicable taxes; (“prix de vente d’un logement”)

“unit” has the same meaning as in subsection 1 (1) of the Condominium Act, 1998. (“partie privative”)

2. (1) Section 1.1 of the Regulation is amended by striking out “Schedule A” wherever that expression appears and substituting in each case “subsection (4.1)”.

(2) Section 1.1 of the Regulation is amended by adding the following subsections:

(4.1) Subject to subsection (4.2), the enrolment fee for every home of a type described in clauses (a), (b) and (c) of the definition of “home” in section 1 of the Act is,

(a) $385, if the sale price of the home is $100,000 or less;

(b) $430, if the sale price of the home is more than $100,000 but no more than $150,000;

(c) $500, if the sale price of the home is more than $150,000 but no more than $200,000;

(d) $570, if the sale price of the home is more than $200,000 but no more than $250,000;

(e) $640, if the sale price of the home is more than $250,000 but no more than $300,000;

(f) $710, if the sale price of the home is more than $300,000 but no more than $350,000;

(g) $780, if the sale price of the home is more than $350,000 but no more than $400,000;

(h) $870, if the sale price of the home is more than $400,000 but no more than $450,000;

(i) $945, if the sale price of the home is more than $450,000 but no more than $500,000;

(j) $1,025, if the sale price of the home is more than $500,000 but no more than $550,000;

(k) $1,075, if the sale price of the home is more than $550,000 but no more than $600,000;

(l) $1,130, if the sale price of the home is more than $600,000 but no more than $650,000;

(m) $1,210, if the sale price of the home is more than $650,000 but no more than $700,000;

(n) $1,260, if the sale price of the home is more than $700,000 but no more than $750,000;

(o) $1,315, if the sale price of the home is more than $750,000 but no more than $800,000;

(p) $1,365, if the sale price of the home is more than $800,000 but no more than $850,000;

(q) $1,485, if the sale price of the home is more than $850,000 but no more than $900,000;

(r) $1,540, if the sale price of the home is more than $900,000 but no more than $950,000;

(s) $1,595, if the sale price of the home is more than $950,000 but no more than $1,000,000;

(t) $1,725, if the sale price of the home is more than $1,000,000 but no more than $1,500,000;

(u) $1,800, if the sale price of the home is more than $1,500,000.

(4.2) The enrolment fee for a home is twice the amount set out in subsection (4.1) of this section if the home is a unit in a residential condominium conversion project.

(3) Section 1.1 of the Regulation is amended by adding the following subsection:

(6) The re-enrolment fee per home is $50.

3. Subsection 4 (6) of the Regulation is amended by striking out “Schedule A” at the end and substituting “sections 4.0.1 and 4.0.2”.

4. The Regulation is amended by adding the following sections:

4.0.1 (1) This section applies, and subsection 4 (5) does not apply, to all requests for conciliation of a claim made under section 2 or 3 of Ontario Regulation 165/08 (Warranty for Delayed Closing or Delayed Occupancy) made under the Act, for every home with a date of possession on or after May 1, 2004.

(2) The delayed occupancy administration fee payable by the vendor for a request for conciliation of a claim made under section 2 or 3 of Ontario Regulation 165/08 (Warranty for Delayed Closing or Delayed Occupancy) made under the Act for a home in accordance with the Corporation’s administrative procedures is,

(a) $600, if the home has a date of possession between May 1, 2004 and December 31, 2004, both inclusive;

(b) $1,200, if the home has a date of possession between January 1, 2005 and December 31, 2005, both inclusive; or

(c) $600, if the home has a date of possession on or after January 1, 2006.

(3) The delayed occupancy re-assessment fee payable by the vendor for re-assessment of a decision of the Corporation in respect of a claim made under section 2 or 3 of Ontario Regulation 165/08 (Warranty for Delayed Closing or Delayed Occupancy) made under the Act, for a home with a date of possession on or after May 1, 2004 in accordance with the Corporation’s administrative procedures is $350.

(4) The delayed occupancy re-assessment fee is non-refundable.

4.0.2 The delayed closing or occupancy administration fee payable by the vendor in respect of a claim for compensation made based on a warranty described in section 5 or 6 of Ontario Regulation 165/08 (Warranty for Delayed Closing or Delayed Occupancy) made under the Act is $500 if a conciliation is needed to settle the claim and if the Corporation pays any part of the claim.

5. Section 4.2 of the Regulation is amended by adding the following subsections:

(13) Subject to subsection (14), an owner who is the owner of a unit in a residential condominium conversion project and who receives money from the pre-existing elements fund shall, before spending any of the money on the pre-existing elements of the unit in accordance with the expected major repair schedule for the project during the initial period,

(a) if so spending the money could be the subject of a claim under subsection 14 (3) of the Act, make a claim on an initial claim form in respect of the pre-existing elements of the unit and comply with the process specified in this Regulation for making the claim; and

(b) give the vendor in relation to the project and the Corporation the opportunity to inspect the condition of the pre-existing elements of the unit that are the subject of the claim before any work is done on them.

(14) Subsection (13) does not apply to major repairs to pre-existing elements that are not covered by the warranty described in subclause 13 (1) (a) (i) of the Act by virtue of subsection 17.2 (2) of the Act.

(15) An owner who does not comply with subsection (13) shall be deemed to have waived any right to make a warranty claim or to receive compensation from the guarantee fund in respect of the pre-existing elements of the unit.

6. Section 4.3 of the Regulation is amended by adding the following subsections:

(13) Subject to subsection (14), an owner who is the owner of a unit in a residential condominium conversion project and who receives money from the pre-existing elements fund shall, before spending any of the money on the pre-existing elements of the unit in accordance with the expected major repair schedule for the project during the initial period,

(a) if so spending the money could be the subject of a claim under subsection 14 (3) of the Act, make a claim on a year-end form in respect of the pre-existing elements of the unit and comply with the process specified in this Regulation for making the claim; and

(b) give the vendor in relation to the project and the Corporation the opportunity to inspect the condition of the pre-existing elements of the unit that are the subject of the claim before any work is done on them.

(14) Subsection (13) does not apply to major repairs to pre-existing elements that are not covered by the warranty described in subclause 13 (1) (a) (i) of the Act by virtue of subsection 17.2 (2) of the Act.

(15) An owner who does not comply with subsection (13) shall be deemed to have waived any right to make a warranty claim or to receive compensation from the guarantee fund in respect of the pre-existing elements of the unit.

7. Section 4.4 of the Regulation is amended by adding the following subsections:

(8) Subject to subsection (9), an owner who is the owner of a unit in a residential condominium conversion project and who receives money from the pre-existing elements fund shall, before spending any of the money on the pre-existing elements of the unit in accordance with the expected major repair schedule for the project during the initial period,

(a) if so spending the money could be the subject of a claim under subsection 14 (3) of the Act, make a claim on a second-year form in respect of the pre-existing elements of the unit and comply with the process specified in this Regulation for making the claim; and

(b) give the vendor in relation to the project and the Corporation the opportunity to inspect the condition of the pre-existing elements of the unit that are the subject of the claim before any work is done on them.

(9) Subsection (8) does not apply to major repairs to pre-existing elements that are not covered by the warranty described in subclause 13 (1) (a) (i) of the Act by virtue of subsection 17.2 (2) of the Act.

(10) An owner who does not comply with subsection (8) shall be deemed to have waived any right to make a warranty claim or to receive compensation from the guarantee fund in respect of the pre-existing elements of the unit.

8. Section 4.6 of the Regulation is amended by adding the following subsections:

(5) An owner who is the owner of a unit in a residential condominium conversion project and who receives money from the pre-existing elements fund shall, before spending any of the money on the pre-existing elements of the unit in accordance with the expected major repair schedule for the project during the initial period,

(a) if so spending the money could be the subject of a claim under subsection 14 (4) of the Act, make a claim on a major structural defect form in respect of the pre-existing elements of the unit and comply with the process specified in this Regulation for making the claim; and

(b) give the vendor in relation to the project and the Corporation the opportunity to inspect the condition of the pre-existing elements of the unit that are the subject of the claim before any work is done on them.

(6) An owner who does not comply with subsection (5) shall be deemed to have waived any right to make a warranty claim or to receive compensation from the guarantee fund in respect of the pre-existing elements of the unit.

9. (1) Subsection 5 (1) of the Regulation is amended by striking out “Schedule A” at the end and substituting “subsections (2) and (2.1)”.

(2) Section 5 of the Regulation is amended by adding the following subsections:

(2) The fee payable by an owner of a dwelling unit for a conciliation of a dispute under subsection (1) is,

(a) $50, if the request for conciliation is made before July 1, 2009; or

(b) $250, if the request for conciliation is made on or after July 1, 2009.

(2.1) The fee payable by a vendor of a dwelling unit for a conciliation of a dispute under subsection (1) is,

(a) if the request for conciliation is made before July 1, 2009,

(i) no fee for the first conciliation with respect to each 25 units or fewer sold by the vendor, or

(ii) $550 for each conciliation after the first conciliation with respect to each 25 units or fewer sold by the vendor; or

(b) $1,000, if the request for conciliation is made on or after July 1, 2009.

10. Section 5.5 of the Regulation is amended by adding the following subsections:

(10) An owner who is the condominium corporation in relation to a residential condominium conversion project and who receives money from the pre-existing elements fund shall, before spending any of the money on the pre-existing elements of the project in accordance with the expected major repair schedule for the project during the initial period,

(a) if so spending the money could be the subject of a claim under subsection 14 (3) of the Act, make a claim on a first-year form in respect of the pre-existing elements of the project and comply with the process specified in this Regulation for making the claim; and

(b) give the vendor in relation to the project and the Corporation the opportunity to inspect the condition of the pre-existing elements of the project that are the subject of the claim before any work is done on them.

(11) An owner who does not comply with subsection (10) shall be deemed to have waived any right to make a warranty claim or to receive compensation from the guarantee fund in respect of the pre-existing elements of the project.

11. Section 5.6 of the Regulation is amended by adding the following subsections:

(10) An owner who is the condominium corporation in relation to a residential condominium conversion project and who receives money from the pre-existing elements fund shall, before spending any of the money on the pre-existing elements of the project in accordance with the expected major repair schedule for the project during the initial period,

(a) if so spending the money could be the subject of a claim under subsection 14 (3) of the Act, make a claim on a second-year form in respect of the pre-existing elements of the project and comply with the process specified in this Regulation for making the claim; and

(b) give the vendor in relation to the project and the Corporation the opportunity to inspect the condition of the pre-existing elements of the project that are the subject of the claim before any work is done on them.

(11) An owner who does not comply with subsection (10) shall be deemed to have waived any right to make a warranty claim or to receive compensation from the guarantee fund in respect of the pre-existing elements of the project.

12. Section 5.7 of the Regulation is amended by adding the following subsections:

(4) An owner who is the condominium corporation in relation to a residential condominium conversion project and who receives money from the pre-existing elements fund shall, before spending any of the money on the pre-existing elements of the project in accordance with the expected major repair schedule for the project during the initial period,

(a) if so spending the money could be the subject of a claim under subsection 14 (4) of the Act, make a claim on a major structural defect form in respect of the pre-existing elements of the project and comply with the process specified in this Regulation for making the claim; and

(b) give the vendor in relation to the project and the Corporation the opportunity to inspect the condition of the pre-existing elements of the project that are the subject of the claim before any work is done on them.

(5) An owner who does not comply with subsection (4) shall be deemed to have waived any right to make a warranty claim or to receive compensation from the guarantee fund in respect of the pre-existing elements of the project.

13. (1) Subsection 5.8 (2) of the Regulation is amended by striking out “Schedule A” at the end and substituting “subsection (2.1) and (2.2)”.

(2) Section 5.8 of the Regulation is amended by adding the following subsections:

(2.1) The fee payable by a condominium corporation as the owner of common elements for a conciliation of a dispute under any of sections 5.5, 5.6, 5.7 or this section is $1,000.

(2.2) The fee payable by the vendor of common elements for a conciliation of a dispute under any of sections 5.5, 5.6, 5.7 or this section is $3,000.

14. Section 5.9 of the Regulation is amended by adding the following subsections:

(11) An owner who is the owner of a unit in a residential condominium conversion project and who receives money from the pre-existing elements fund shall, before spending any of the money on the pre-existing elements of the unit in accordance with the expected major repair schedule for the project during the initial period,

(a) if so spending the money could be the subject of a claim under subsection 14 (4) of the Act, make a claim on a major structural defect form in respect of the pre-existing elements of the unit and comply with the process specified in this Regulation for making the claim; and

(b) give the vendor in relation to the project and the Corporation the opportunity to inspect the condition of the pre-existing elements of the unit that are the subject of the claim before any work is done on them.

(12) An owner who does not comply with subsection (11) shall be deemed to have waived any right to make a warranty claim or to receive compensation from the guarantee fund in respect of the pre-existing elements of the unit.

15. (1) Subsection 9 (4) of the Regulation is amended by striking out “Schedule A” at the end and substituting “section 9.1”.

(2) Subsection 9 (4.1) of the Regulation is amended by striking out “the fee set out in Schedule A” and substituting “a fee of $500”.

16. The Regulation is amended by adding the following section:

9.1 (1) In this section,

“control” with respect to a person, means the power to direct or significantly influence, either directly or indirectly, the management, policies or business affairs of the person, whether through the holding of voting interests, or otherwise, as determined by the Registrar; (“contrôle”)

“re-seller vendor” means a vendor selling a home who is not the original vendor of the home; (“revendeur”)

“umbrella vendor or builder” means a vendor or builder that controls or is controlled by one or more other vendors or builders. (“groupe vendeur ou constructeur”)

(2) The fee for registration of a vendor or builder who is not an umbrella vendor or builder or a re-seller vendor is $2,500.

(3) The fee for registration of a vendor or builder who is an umbrella vendor or builder is $600.

(4) The fee for registration of a vendor who is a re-seller vendor and not an umbrella vendor or builder is $350.

17. (1) Subsection 10 (4) of the Regulation is amended by striking out “Schedule A” at the end and substituting “subsections (5) and (6)”.

(2) Section 10 of the Regulation is amended by adding the following subsections:

(5) Subject to subsection (6), the fee for the renewal of the registration of a vendor or builder is,

(a) $300, if the Registrar determines that it is possible to determine the entitlement of the applicant to the renewal under subsection 7 (1) of the Act on an expedited basis; or

(b) $500 otherwise.

(6) If the application for the renewal is made after the time specified in subsection (2) and the Registrar permits the application under subsection (2.1), the fee for the renewal of registration is $500 in addition to the fee chargeable under subsection (5).

18. Schedule A to the Regulation is revoked.

Commencement

19. This Regulation comes into force on the latest of,

 

(a) the day subsection 154 (7) of Schedule 1 to the Protecting Condominium Owners Act, 2015 comes into force;

(b) January 1, 2018; and

(c) the day this Regulation is filed.

Made by:
Pris par :

Tarion Warranty Corporation

Mark Basciano

Chair /
Le Président du conseil

Howard Bogach

Chief Executive Officer and President /
Le Président directeur général

Date made: December 14, 2017
Pris le : 14 décembre 2017