GVCA President’s Message June

We Have Water in the Region of Waterloo and the Coalition Has Worked Hard to Demonstrate It.

Construction is challenging even under the best circumstances. While planning, designing, and building infrastructure, roads, buildings, and homes creates tremendous opportunities, it also comes with significant risks and challenges. Financing costs, interest rates, inflation, development charges, market conditions, and labour shortages all contribute to the complexity of delivering successful projects.

At the same time, the Region of Waterloo needs more housing, employment spaces, parks, hospitals, community amenities, and infrastructure to support its continued growth. When the Region paused building permits in December, the industry came to a standstill. Much like the early days of the global pandemic, many believed the disruption would last only a few weeks before conditions gradually returned to normal. The same optimism surrounded the water allocation issue. We expected positive news and a clear path forward so that we could continue building our community.

We were wrong.

Over the past five months, frustration and disappointment continued to grow. Progress finally began when the Region, at the industry's request, opened the conversation and invited industry representatives to participate. The goal was to better understand the status of what many viewed as a manufactured crisis and to work collaboratively toward solutions.

What began as a monthly one-hour meeting evolved into productive weekly discussions where information was shared, challenged, and debated. What initially felt like a one-sided, staff-driven process gradually became a more open and collaborative dialogue. Industry organizations came together to demonstrate both expertise and unity, offering their knowledge and experience to help the Region better understand the challenges and potential solutions.

The Waterloo Region Home Builders' Association, Conestoga Heavy Construction Association, Cornerstone Association of Realtors, and Build Urban joined forces to create a strong and unified industry voice. As a coalition, we agreed that protecting our water source is essential. We were never advocating for simply "opening the taps" without consideration for the consequences. What we supported was a process grounded in science, data, trust, and prudent decision-making.

The consequences of the permit freeze have been substantial. More than 5,000 residential units were delayed. Private investment exceeding $500 million in institutional equity has either been withdrawn or is being redirected to other regions. Waterloo Region is not thriving as a result. The jobs lost, businesses impacted, and opportunities missed are both real and measurable.

The discussions ultimately moved from frustration and anger to facts, understanding, and action. The Region has begun addressing long-neglected allocation challenges. Infrastructure improvements that should have been undertaken years ago, including well maintenance and capacity expansion, are now being accelerated.

It is time to get back to work.

On June 3, the Region of Waterloo will turn the taps back on. What is needed now is a full reopening—not a partial reopening with restrictive allocations to municipalities. The industry requires a long-term, predictable process that supports growth and investment. Most developments spend years in planning and approvals before construction ever begins. Short-term allocations and uncertainty are incompatible with long-term development.

I commend those throughout the industry who refused to wait passively for answers. I applaud the persistence of industry leaders who continued to challenge staff and elected officials to find solutions and move this issue forward.

This is not a moment for self-congratulation. It is a moment to ensure that this never happens again.

The building and development community includes professionals with decades of experience and deep expertise in water management and infrastructure planning. Their knowledge should be welcomed and utilized. The tent must remain open, and all stakeholders must have a seat at the table. The future of the Region depends on it.