The federal and provincial governments announced that Windsor and Tecumseh are receiving up to $84.4 million through the Development Charge Reduction Program (DCRP). Officials say it’s in recognition of their commitment to reduce development charges for all housing types from March 30, 2026, to March 31, 2029. The funding aims to help build more homes and community infrastructure while advancing the province’s plan to protect Ontario by investing in projects that support economic growth and keep workers on the job. “Ontario is growing, and we need to ensure our communities have the housing and infrastructure to keep pace,” said Rob Flack, Minister of Municipal Affairs and Housing. Windsor will receive up to $77.6 million for reducing development charges by 70 per cent from March 30, 2026, to March 31, 2029. Funding will support improvements to the city’s stormwater management and roadway infrastructure, including widening and extending key road corridors. The reduction in development charges over a three-year period is estimated to reduce the cost of building new homes by up to $49,452 per home in Windsor. “Every dollar of relief on development charges is a dollar that goes back into building homes. Our members are housing experts. We know what it takes to get a home built, and we know what it costs. When government clears a path — and works with municipalities to ease the price on development charges — it’s the home buyer who benefits most. It’s about building within a price margin people can afford, and it moves us closer to the goal of home ownership,” said Melissa Schenk CEO of the Windsor-Essex Home Builders Association. Tecumseh will receive up to $6.8 million for reducing development charges by 50 per cent from March 30, 2026, to March 31, 2029. Funding will support new trunk sanitary sewer infrastructure. The reduction in development charges over a three-year period is estimated to reduce the cost of building new homes by up to $18,078 per home in Tecumseh. In March 2026, Ontario and the federal government agreed to a cost-matched structure to provide a combined $8.8 billion over 10 years for infrastructure investments in Ontario, with Canada’s share of the funding flowing through the Build Communities Strong Fund (BCSF). The two governments also agreed to provide relief on the full HST on eligible new homes from April 1, 2026, to March 31, 2027, saving homebuyers up to $130,000 on the cost of a new home. When combined with the DCRP, these initiatives could save families in Windsor up to $179,452 and families in Tecumseh up to $148,078. “Building more homes requires strong partnerships and investments that make it easier and more affordable to build,” said Jennifer McKelvie, Parliamentary Secretary to the Minister of Housing and Infrastructure. Construction cost savings over the development charge reduction period, along with the investment in housing-enabling infrastructure, would unlock 19,263 new homes, supporting a housing market with more choice and greater affordability for homebuyers and renters. As part of the Canada-Ontario Partnership to Build, the DCRP is delivering funding over 10 years for housing-enabling infrastructure projects. Funding is being prioritized for municipalities that reduce development charges for all residential types by 30 to 50 per cent or greater and maintain the reductions for at least three years.
