Vacant Unit Tax: Why I'm Supporting Another Year

Last year, Hamilton faced a housing crisis: rental units were scarce, homes weren't for sale, and empty properties sat vacant while families struggled to find housing. Council passed a Vacant Unit Tax (VUT) to address this, and I supported it.

I want Ward 11 residents to know where I stand on this contentious issue - especially now that some Councillors are calling for the VUT to be scrapped after just one year.

Why I Supported the VUT

I voted yes for two reasons (and I didn't do so without a lot of reflection):

First, residents asked for action. My conversations across Ward 11 made it clear: people wanted Council to use every tool available to address the housing crisis at the municipal level.

Second, I didn't come to City Hall to maintain the status quo. I came here to solve problems. The VUT had worked in other cities - encouraging property owners to rent out vacant units or put them up for sale. The logic was sound: increase supply, meet demand, and housing costs should stabilize.

For most homeowners, compliance meant filling out a 5-minute declaration form. That's it.

Year One: Rocky Start, Strong Finish

I'll be the first to admit the rollout had issues. I saw this first hand.  Residents struggled to access forms and reach staff by phone. My office spent considerable time in those first weeks helping people navigate the system. But staff adapted quickly, streamlined the process, and the results speak for themselves: 97.8% of Hamilton residents successfully completed the declaration.

For those with unique situations who reached out to my office or the City, we resolved their issues. The system worked - eventually.

The Current Debate

Some Councillors argue it's time to end the VUT, citing:

• Initial implementation difficulties

• Challenges faced by those who didn't complete forms

• Program costs potentially outweighing benefits

• City overreach on property owners' rights

That last point has given me pause. I've wondered, worried, and struggled with whether requiring this declaration crosses a line. But when I compare the VUT form to the federal income tax forms we all complete annually, I'm more comfortable giving this program another year before making a final call.

Here's why: most of these arguments are based on incomplete data. The program evolved significantly in its first year. It needs more time to either prove its value or reveal its long-term shortcomings.

What the Numbers Could Mean

If the City collected taxes from all properties declared and deemed vacant, estimates suggest over $15 million could support city housing projects - projects that benefit Ward 11 and the entire city.

However, Council has extended appeal deadlines to November 30th, 2025, recognizing this is year one, that mail strike issues created complications, and that the City should be as fair and accommodating as possible. With this extension, the taxes collected could be substantially less.

I support that fairness, even if it means less revenue. Getting this right matters more than hitting a number in year one.

Why It Matters to Ward 11

Ward 11 thrives when Hamilton's housing market works for residents, not just investors. Every vacant property that comes back online as a rental or sale helps lower prices and stabilize the broader market. Affordable housing options in Hamilton mean Ward 11 families have choices - whether they're looking to rent, buy, or help their kids find their first place. This isn't just about revenue. It's about whether we're serious about using available tools to address a crisis that affects real people in our community and across the whole city.

My Position at Committee This Week

I spoke at Committee about this issue. Here's what I said:

Click for the YouTube video: General Issues Committee - October 22, 2025

The Bottom Line

I'm supporting the VUT for another year because we need complete data before making a final decision. Year one established a baseline. Year two will show us whether vacant units actually come back onto the market - which was always the goal.

I didn't support this program for revenue generation. I supported it to address a housing crisis that affects Ward 11 families and all Hamilton residents. If the data shows it's working, we continue. If it shows it's not, I'll vote to end it.

That's responsible governance: try solutions, measure results, adjust based on evidence.

I've voted against programs that don't deliver value before, and I'll do it again if the VUT doesn't prove itself. But it deserves a fair chance to show what it can do.

More updates to come as Council continues to review this program.