QSA's Week in Construction & Housing (#41, 2025)

Federal infrastructure funding in Toronto and Tracadie accelerates housing; Quebec supply chain receives $26M boost; US imposes tariffs on MHDVs; DHS waives border construction restrictions; House committees schedule housing and affordability sessions.

QSA's Week in Construction & Housing (#41, 2025)

Good morning! This is Queen Street Analytics' weekly roundup of regulatory developments, legislative discussions, political announcements and other government-related news related to residential and commercial construction and infrastructure, and related government initiatives. Every Monday, we break down the most important updates in this space in under five minutes.


Dates: 2025-10-12 to 2025-10-18

📋 In This Week's Newsletter

• 🏛️ This Week's Parliamentary Committee Calendar
• 🇨🇦 Canadian Federal GR News
• 🇺🇸 US Federal GR News
• 🗺️ Canadian Provincial GR News
• 💬 Government Consultations
• 📚 What We're Reading This Week


This Week's Parliamentary Committee Calendar

Canadian Federal GR News

Federal Investment in Toronto's Housing and Sewer Infrastructure

Housing, Infrastructure and Communities Canada announced up to $283 million in federal funding and over $425 million in city funds for upgrades to Toronto’s Black Creek sewer system. The project will expand sewer capacity and enable the construction of up to 63,000 new homes in the Downsview area, while supporting 130,400 additional residents and over 65,000 jobs. Build Canada Homes will deliver its first development, Arbo Downsview, providing 540 new homes with at least 40% designated affordable. A Request for Qualifications for Design-Build teams with expertise in factory-built housing and modern construction methods—including modular building and mass timber—will be issued this week. Budget 2025, due next month, is expected to introduce measures to reduce costs and catalyze private investment for accelerated homebuilding.

Sources: Announcements: www.canada.ca
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Water Infrastructure Upgrades Pave Way for Housing in Tracadie, New Brunswick

A federal investment of $3.7 million and a provincial investment of $2.4 million will be used to drill a high-capacity well, install a manganese treatment system, and construct 2 kilometres of water pipeline from Alderwood to the city limits in Tracadie, New Brunswick. The investment supports the Canada Housing Infrastructure Fund and will enable development of up to 300 housing units. This initiative complements Build Canada Homes’ mandate and targets accelerated housing delivery through upgraded essential infrastructure.

Sources: Announcements: www.canada.ca

Federal Funding for Quebec’s Residential Construction Supply Chain

Canada Economic Development for Quebec Regions is investing $26.4 million in 51 projects, targeting rapid and innovative homebuilding. The Regional Homebuilding Innovation Initiative (RHII) will receive $9.85 million for modular, prefabrication, and other modern methods, with ten projects announced in Terrebonne. Another $15.95 million through the REGI and QEDP programs will support commercialization and local growth in homebuilding manufacturing. These projects were outlined by Minister MĂŠlanie Joly and support advanced construction technologies and strengthened supply chains.

Sources: Announcements: www.canada.ca

Federal Response to Procurement 'Bait and Switch' Practices

The Office of the Procurement Ombud released findings on resource replacement tactics in federal professional services contracts. More than half of reviewed files met transparency standards, but some did not maintain qualification levels, affecting the fairness of supplier selection. Public Services and Procurement Canada policy changes now prohibit 'Bait and Switch' practices. Four recommendations were provided to improve controls, with a follow-up review scheduled in two years.

Sources: Announcements: www.canada.ca

Manitoba Receives $82.3 Million for Community Infrastructure

Housing, Infrastructure and Communities Canada announced $82.3 million to Manitoba municipalities, supporting projects such as public transit, water systems, and roads. In Rhineland, funding enabled installation of 8.7 km of water lines to improve supply for the Ag West Industrial Park, aiding business growth and residential development. The Canada Community-Building Fund provides strategic flexibility to address future infrastructure needs.

Sources: Announcements: www.canada.ca

Saskatchewan Secures $69.5 Million in Federal Infrastructure Investment

A federal commitment of $69.5 million for Saskatchewan will enhance foundational infrastructure and support housing through upgrades to transit, roads, and water systems. Notable projects include rehabilitation of Saskatoon’s Circle Drive North Bridge, supporting long-term traffic and commuter efficiency, and recreational amenities such as the Jans Bay skating rink renovation. All investments are delivered via the Canada Community-Building Fund.

Sources: Announcements: www.canada.ca

Federal and Provincial Support for Water Infrastructure in Cape Breton, Nova Scotia

An investment of up to $2.9 million will deliver upgrades to water, wastewater, and stormwater infrastructure benefiting 52 existing homes and enhancing future residential development in Sydney Mines and Glace Bay. The Canada Housing Infrastructure Fund is supporting a funding agreement with Nova Scotia to address population growth and housing demands.

Sources: Announcements: www.canada.ca

Updates on Armed Forces Housing Projects Nationwide

The Department of National Defence, through a multi-departmental approach, acquired a $23.3 million apartment complex near CFB Esquimalt, with 37 units available for military personnel by January 2026. Housing construction projects underway include 36 net-zero units in Edmonton, new buildings and unit designs in Kingston, Valcartier, Borden, Halifax, Petawawa, Gagetown, and Trenton. These efforts accelerate delivery of military housing by leveraging private-sector partnerships and streamlining federal acquisition.

Sources: Announcements: www.canada.ca

Federal Support for Quebec’s Homebuilding Sector Outlined

Canada Economic Development for Quebec Regions published a backgrounder detailing support for Quebec’s residential construction sector. Focus areas include innovation in modular and prefab manufacturing, enhanced financing, and support for regional economic development projects aligned with Canada’s Housing Plan.

Sources: Announcements: www.canada.ca

Additional Federal Infrastructure Investments Across Canada

A backgrounder from Housing, Infrastructure and Communities Canada provides information on multi-region infrastructure investments. Recent allocations include substantial funding to Saskatchewan communities for water systems, roads, and recreational amenities, supporting population and housing growth under the Canada Community-Building Fund.

Sources: Announcements: www.canada.ca

StatsCan: Building Permits Edge Down in August 2025

New Statistics Canada data reports the total value of building permits issued in August 2025 declined by $139.2 million (−1.2%) to $11.6 billion, indicating a modest contraction in nationwide activity.

Sources: Open Government Data Set: www.statcan.gc.ca

US Federal GR News

White House Imposes Tariffs on Medium- and Heavy-Duty Vehicles and Parts

A presidential action imposes 25% tariffs on imports of medium- and heavy-duty vehicles and key parts and 10% on buses, effective November 1, 2025. The measure follows a report from the Secretary of Commerce citing increased reliance on foreign suppliers as a national security risk due to the critical role of these vehicles in military, emergency, and infrastructure functions. Offsets for U.S.-assembled vehicles and engines are included to stabilize domestic market share at 80%. The administration sets procedures to prevent tariff circumvention and will monitor imports accordingly.

Sources: White House Announcements: www.whitehouse.gov

DHS Waives Statutory Requirements for Expedited Border Construction in Texas

The Secretary of Homeland Security exercised authority under the Illegal Immigration Reform and Immigrant Responsibility Act of 1996 (IIRIRA) to waive laws and regulations for constructing barriers and roads near the U.S.-Mexico border in Texas’ Big Bend Sector, identified as a high-traffic area. Over 88,595 illegal entrants were apprehended and large volumes of drugs seized since 2021. Waivers cover statutory contracting and construction requirements, with potential for further waivers.

Sources: U.S. Federal Announcements: www.federalregister.gov

Strategic Waivers Granted for Border Construction in New Mexico and Texas

The Department of Homeland Security determined the El Paso Sector, spanning New Mexico and Texas, requires rapid installation of barriers and roads to meet operational control mandates. More than 1.2 million apprehensions and substantial drug seizures occurred from fiscal 2021 to July 2025. Section 102 of IIRIRA authorizes waivers affecting statutes and regulatory requirements, supporting swift construction.

Sources: U.S. Federal Announcements: www.federalregister.gov

Waivers Enable Border Infrastructure Upgrades in California's San Diego and El Centro Sectors

Secretary Kristi Noem authorized waiving of environmental reviews, contracting regulations, and other statutory barriers for constructing physical protections in the San Diego Sector, where 922,000 illegal entrants were apprehended over four years. A similar determination affects El Centro Sector, with 204,085 apprehensions and seizures of multiple narcotics since 2021. The measures ensure expedited installation of barriers, roads, lighting, and surveillance infrastructure in both sectors.

Sources: U.S. Federal Announcements: www.federalregister.gov

Expedited Border Barrier Construction Authorized in Arizona's Yuma and Tucson Sectors

DHS announced waivers for laws and regulations to allow for barrier, road, and sensor installation along Arizona’s southern border. The Yuma Sector saw over 659,900 apprehensions, and the Tucson Sector over 1.3 million, while both experienced significant drug seizures between 2021 and 2025. The waivers were made effective October 15, 2025, under Section 102 of IIRIRA.

Sources: U.S. Federal Announcements: www.federalregister.gov

Canadian Provincial GR News

112 Affordable Rental Homes Approved for Vancouver

The BC government, in partnership with Ottawa and Vancouver, announced $69 million for a sustainable 9-storey co-op housing development delivering 112 affordable units at 1220 Seymour St.

Sources: Provincial Announcement: news.gov.bc.ca

Mass-Timber Building Brings 122 New Affordable Units to Kelowna

Apple Valley’s Capstone, a nine-storey mass timber building, opened with 122 affordable rentals, built with $19 billion in provincial housing investments since 2017.

Sources: Provincial Announcement: news.gov.bc.ca

Affordable Housing Project Opens in Fredericton

Fredericton will see the opening of a 9-unit affordable housing building for vulnerable populations, backed by $2 million federal Rapid Housing Initiative, $785,000 from NB Housing Corporation, and $700,000 from John Howard Society.

Sources: Provincial Announcement: www2.gnb.ca

Belleville Rewarded for Exceeding Housing Targets

Ontario awarded Belleville $801,040 from the Building Faster Fund for achieving 97% of its 2024 housing target, with funds directed to the Avonlough Sewage Pumping Station project.

Sources: Provincial Announcement: news.ontario.ca

Ontario Invests $64.2 Million in Skilled Trades Apprenticeship Training

Ontario announced a three-year, $64.2 million investment to add up to 4,000 training seats annually for apprentices and cover Level 1 classroom fees through the In-Class Enhancement Fund.

Sources: Provincial Announcement: news.ontario.ca

Government Consultations

Breakwater Extension at St-Georges-de-Malbay Open for Comments

Fisheries and Oceans Canada invites public input on the proposed breakwater extension, with comments accepted through October 24, 2025.

Sources: Canadian Government Consultations: aeic-iaac.gc.ca

What We're Reading This Week

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