Kinew decision to allow municipalities to opt out of Winnipeg Metro Region surprises developers

Premier Wab Kinew’s decision to allow municipalities to opt out of a regional planning framework has surprised some Winnipeg-area developers, who now fear there will be reduced co-operation between Winnipeg and its neighbouring municipalities.

Lanny McInnes, the executive director of the Urban Development Institute, said he was surprised by Kinew’s Tuesday night announcement that the NDP government will bring in legislation next fall that would allow municipalities to withdraw from the 18-member Winnipeg Metropolitan Region.

That would effectively allow municipalities to also withdraw from Plan 20-50, a regional planning framework initially proposed by Brian Pallister’s former PC government in 2019.

“It does put the entire plan 2050 in question, because how do you have a regional plan if a good part of the region decides they’re not going to be part of it?” asked McInness, who is also the president and CEO of the Manitoba Home Builders Association.

“So it was surprising to hear the premier take that step, and our immediate question after hearing that is, ‘Well, OK, what’s next?’ If Plan 20-50 isn’t the plan, what’s the plan going to be?

“We do need a regional plan, so that we can stop competing against each other as municipalities for scarce government resources, for infrastructure, for funding, and collaborate and pool our resources so we can attract more development.”

McInnes said developers have put five years into this planning effort, which is in the midst of a public hearing process.

Kinew’s decision to allow municipalities to opt put of the plan occurred days after five Winnipeg-area municipalities said they wanted the province to amend the plan or scrap it altogether.

McInnes said he was also surprised to hear about the new provincial policy while the NDP government is still reviewing the legislation that created both the Winnipeg Metropolitan Region and Plan 20-50.

“It sounds like they’ve made up their mind here, so we will wait to see what comes next from the province on this file because right now, we don’t know,” McInnes said.

Both McInnes and Jennifer Freeman, executive director of the Winnipeg Metropolitan Region, said they learned of the new policy from media reports.

Several developers contacted by CBC News said they too were surprised.

Most municipalities in the Winnipeg understand the need for “orderly, diverse, and sustainable development,” said Jordan Sodomsky, president of the Winnipeg-based Forthright Group.

“This plan would have provided some of those assurances,” said Sodomsky, whose company operates and manages residential properties in Springfield, Niverville, Ritchot, West St. Paul, Macdonald, Headingley, Steinbach, Hanover, Selkirk and Winnipeg.

In an interview on Tuesday, Kinew declined to address concerns raised by developers about the patchwork of rules in different municipalities and the absence of co-operation on regional development.

Kinew suggested municipalities can figure that out themselves.

“The local leaders are the ones who are going to listen to their local ratepayers and citizens,” the premier said.

“We’re just going to ensure that there’s that freedom for them to be able to plan for what makes sense in the local context.”