Ontario Announces Intent to Dissolve Peel Region

Transition board will ensure a fair dissolution process that protects local services

May 18, 2023

TORONTO — Today, the Ontario government introduced the Hazel McCallion Act, which would, if passed, begin the process to dissolve the Regional Municipality of Peel and make the municipalities of Mississauga, Brampton and Caledon independent. The proposed legislation honours the legacy of Peel Region’s longest-serving mayor, the late Hazel McCallion, who was central to the region’s remarkable growth during her 36 years as Mayor of Mississauga and a long-time advocate for greater autonomy for her city.

The province’s plan would help ensure the continuation of high-quality services for taxpayers while improving the efficiency of local governments as they prepare for future growth, including by making good on their municipal housing pledges.

“Our government is working with our municipal partners to provide the tools and autonomy required to deliver on our shared commitments to the people of Ontario, including addressing the housing supply crisis,” said Steve Clark, Minister of Municipal Affairs and Housing. “The Region of Peel includes some of the largest and fastest-growing municipalities in Canada and is poised for significant growth over the next decade. Our government is supporting this growth by cutting red tape and improving efficiency while maintaining and improving the high level of local services Mississauga, Brampton and Caledon residents rightly expect.”

The province would establish a transition board of up to five people to facilitate this change in local government and, if needed, oversee the financial affairs of Peel and its lower-tier municipalities to help ensure prudent financial stewardship until dissolution. The board would provide recommendations to the province to help Mississauga, Brampton and Caledon prepare to become single-tier municipalities on January 1, 2025, when the proposed changes, if passed, would come into effect. If the legislation passes, names of the members of the board will be released in the coming weeks.

The dissolution process, with the support of the transition board, would help ensure a fair outcome for the three municipalities that prioritizes the preservation of frontline services and workers, respect for taxpayers and government efficiency. The process would respect and support the effective administration of local governance during and after the dissolution while providing these fast-growing municipalities with the tools needed to plan for population growth, including the tools needed to meet their housing pledges.

The transition board would help implement the province’s clear expectation that the affected municipalities work together fairly and in a spirit of partnership in order to ensure value for money and efficient, high-quality services for taxpayers. Where there are shared assets and services, the dissolution process would help ensure an equitable outcome for all residents that preserves their access to municipal services regardless of location.

In the coming weeks, the province will also name regional facilitators to assess the upper-tier municipalities of Durham, Halton, Niagara, Simcoe, Waterloo and York. These facilitators will be tasked with reviewing whether the upper-tier government continues to be relevant to the needs of its communities or whether the lower-tier municipalities are mature enough to pursue dissolution. Where they recommend that a two-tier government is still required, the facilitators will also make recommendations on how they can more effectively respond to the issues facing Ontario’s fast-growing municipalities today, particularly when it comes to meeting municipal housing pledges and tackling the housing supply crisis.

Quick Facts

Ontario intends to partner with select municipalities, including the Region of Peel, Mississauga, Brampton and Caledon to ensure municipal finances support increased housing supply. The municipal audit results could help inform Peel Region’s transition to independent municipalities.
Ensuring continuity and efficiency at the local level to deliver on shared provincial-municipal priorities – particularly the building of 1.5 million new homes by 2031 – is part of Ontario’s continued action to address the housing supply crisis.
The municipalities that make up the Region of Peel currently have approximately 1.5 million residents and are expected to grow to over 2 million by 2041. These municipalities have collectively agreed to housing pledges totalling 246,000 new homes by 2031 – 120,000 in Mississauga, 113,000 in Brampton, and 13,000 in Caledon.

Quotes

“This is an historic day for the people of Mississauga and for our future. I want to thank the Minister and the Premier for answering our calls for an independent Mississauga. As Ontario’s third-largest city that’s home to 100,000 businesses and the province’s second-largest economy, we’re ready to stand on our own two feet and make our own decisions about the future of our city. An independent Mississauga will allow us to be more nimble when it comes to responding to the housing crisis, increase efficiencies, reduce duplication and save residents time and money. This process will take some time and we are committed to ensuring the continuity of frontline and essential services across the Region of Peel. I want to thank residents and staff at both the City of Mississauga and the Region of Peel for their patience and understanding as we navigate this next chapter in our city’s history.”

– Bonnie Crombie
Mayor of Mississauga

“As the Region of Peel dissolves, we will work constructively to ensure Brampton taxpayers are treated fairly. I want to thank Premier Ford for assuring the residents of Brampton they will not be shortchanged during this process. We expect to work closely with the transition board to achieve a result that respects the taxpayers of Brampton, allows our city to continue its significant growth, and treats all municipalities within Peel Region equitably.”

– Patrick Brown
Mayor of Brampton

“Caledon is a special place, and the town’s residents have made it clear that they want Caledon to retain its unique identity. As one of the fastest growing municipalities in the Province, Caledon needs partners at the table to ensure we hit our growth targets when it comes to infrastructure and community service. We will work with the Province to ensure a fair transition for our town that protects our financial security and makes sure residents continue to receive the high levels of service that they need and have come to expect. As Mayor, I am committed to ensuring the best outcome for the residents of Caledon in an open and transparent manner. We understand that this will be a lengthy and involved process and we look forward to working productively to reach an outcome that is fair, equitable and respects the current and future capabilities of a growing Caledon.”

– Annette Groves
Mayor of Caledon

Ontario Announces Intent to Dissolve Peel Region

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