Housing projects
 105.1 (1) For the purposes of subsection 101.2 (1) of the Act, the date that a housing project becomes a Part VII.1 housing project, if the requirements of that subsection are satisfied, is the date specified in the service agreement. O. Reg. 241/22, s. 2. (2) The following are, for the purposes of clause 101.2 (1) (a) of the Act, prescribed requirements with which a service agreement must comply: 1. The agreement must state that the service manager and housing provider intend for the housing project to be governed under Part VII.1 of the Act. 2. The agreement must, i. take effect no less than 30 days after the date on which the service manager and housing provider give notice to the Minister under clause 101.2 (1) (b) of the Act, and ii. state that effective date. 3. The agreement must, i. have a term of not less than 10 years from the effective date, ii. state the term of the agreement, and iii. provide that the agreement continues in effect after the end of the term until, A. the agreement is replaced with a new service agreement, or B. the service manager and housing provider enter into an exit agreement and the exit agreement takes effect. 4. The agreement must specify the following: i. The number of units in the housing project, or a target or range of the number of units in the housing project, in respect of which households shall receive rent-geared-to-income assistance. ii. If applicable, the number of units in the housing project, or a target or range of the number of units in the housing project, in respect of which households shall receive an alternate form of assistance referred to in section 20.1. 5. The agreement must provide the following in respect of the units described in subparagraph 4 i: i. The housing provider shall select households to occupy units and receive rent-geared-to-income assistance using the service manager’s selection system under section 47 of the Act, including the priority rules made under clause 47 (2) (b) of the Act. ii. For the purpose of selecting households using the service manager’s selection system under section 47 of the Act, the same rules shall apply as though the housing project were a Part VII Housing Project, as defined in section 73 of the Act. iii. A household shall not be eligible for rent-geared-to-income assistance unless the household meets the eligibility rules made under section 42 of the Act. iv. The amount of geared-to-income rent shall be determined in the manner prescribed under section 50 of the Act. 6 If the housing project includes special needs housing, as defined in section 38 of the Act, the agreement must specify how households will be selected for special needs housing in the housing project. 7. If one or more households occupying units in the housing project are, on the date immediately before the effective date of the agreement, receiving rent-geared-to-income assistance under Part V of the Act, the agreement must provide that such households shall continue to receive rent-geared-to-income assistance in accordance with section 147.1 of this Regulation. 8. Despite paragraph 5, if one or more households occupying units in the housing project are, on the date immediately before the effective date of the agreement, receiving rent-geared-to-income assistance other than under Part V of the Act in the housing project, the agreement must provide that such households shall continue to receive rent-geared-to-income assistance in accordance with their existing rights. 9. The agreement must specify the mandate of the housing provider, if any, to serve a specified population. 10. If the agreement specifies a mandate referred to in paragraph 9, the agreement must state that the mandate shall be treated in the same manner as a mandate under section 76 of the Act for the purpose of selecting households using the service manager’s selection system under section 47 of the Act. 11. The agreement must include a requirement for the service manager to provide funding to the housing provider, in respect of any units in the housing project where the household pays geared-to-income rent, equal to the difference between the geared-to-income rent payable by the household and the rent that would be payable if no rent-geared-to-income assistance was given in respect of the unit. 12. The agreement must include provision for the following: i. Such additional funding or other financial assistance as the service manager and housing provider agree on in order reduce or defray the rent of households, other than households receiving rent-geared-to-income assistance. ii. Such additional funding or other financial assistance as the service manager and housing provider agree is necessary to enable the housing provider to maintain the housing project in a satisfactory state of repair and fit for occupancy. 13. The agreement must include a financial plan for the housing project that, i. has been jointly developed by the housing provider and service manager, ii. addresses how the housing provider’s revenues will meet expenditures for the housing project, including projected capital expenditures, iii. addresses how rent for units in the housing project, other than geared-to-income rent, will be set, and iv. extends for a period of at least five years from the effective date of the agreement. 14. The agreement must provide that the financial plan described in paragraph 13 will be reviewed at least every five years. 15. The agreement must include a dispute resolution process that the housing provider and service manager shall follow regarding alleged non-compliance with the agreement. O. Reg. 241/22, s. 2. (3) The prescribed criteria that a designated housing project must satisfy for the purpose of subclause 101.2 (1) (c) (i) of the Act are as follows: 1. The housing project is not subject to a pre-reform operating agreement that remains in effect. 2. The housing project is not subject to a mortgage guaranteed by the Province of Ontario that relates to a transferred housing program. O. Reg. 241/22, s. 2. (4) A housing project that is not a designated housing project is prescribed for the purpose of subclause 101.2 (1) (c) (ii) of the Act if the housing provider is one of the following: 1. A corporation to which the Not-for-Profit Corporations Act, 2010 or the Canada Not-for-Profit Corporations Act applies. 2. A non-profit housing co-operative. 3. A co-operative to which Part 20 of the Canada Co-operatives Act applies. 4. A local housing corporation. 5. A housing provider that previously operated the housing project under a funding agreement with the Crown in right of Canada or in right of Ontario, or an agency of either of them, or a service manager. O. Reg. 241/22, s. 2.