Quebec's Bill 79 aims to reduce administrative burdens on municipalities

Tashi Farmilo

The Union des municipalités du Québec (UMQ) appeared before the parliamentary committee to present its position on Bill 79, legislation designed to simplify municipal governance and reduce the administrative burdens imposed on local governments. The bill, introduced by Minister of Municipal Affairs Andrée Laforest, seeks to create a unified legal framework for municipal contracting, modernize financial rules, and enhance flexibility for municipalities in managing housing and infrastructure projects.

Guillaume Tremblay, First Vice-President of the UMQ and Mayor of Mascouche, addressed lawmakers, stating that the bill aligns with longstanding demands from municipalities to reduce bureaucratic hurdles. While commending the government for its commitment, Tremblay underscored that the bill must mark the beginning of a sustained effort to address regulatory complexity and strengthen municipal autonomy.

The UMQ has long voiced concerns over the growing administrative responsibilities placed on municipalities. Between 2015 and 2023, nearly 90 new legislative and regulatory obligations were introduced, costing local governments more than $328 million annually and requiring at least 4,100 full-time employees to ensure compliance. These demands, compounded by labour shortages in both the public and private sectors, have left municipalities struggling to balance essential services such as public safety, water treatment, and road maintenance with increasing administrative tasks.

Bill 79 includes provisions aimed at easing these pressures. It consolidates contracting rules into a single legal framework, increases financial thresholds for mandatory audits, and reduces delays for urban planning approvals. The bill also grants municipalities greater autonomy to approve mixed-use housing projects, manage properties in divided co-ownership, and streamline certain reporting requirements. For example, the financial audit threshold for organizations receiving municipal subsidies would rise from $100,000 to $250,000, a move welcomed by the UMQ as a practical step toward reducing administrative costs.

While largely supportive, the UMQ highlighted specific concerns and areas for improvement. The bill introduces obligations that could impose additional burdens, such as a requirement for municipalities to conduct a detailed evaluation of procurement needs before awarding contracts. The UMQ argued that such measures, while well-intentioned, could slow down municipal operations if not supported with clear guidelines and adequate resources.

The UMQ has recommended several changes to strengthen the legislation. It urged the government to ensure that administrative relief initiatives are permanent and integrated into law, to establish clear exceptions for mutual-agreement contracts, and to provide municipalities with the tools needed to navigate new regulations effectively. The organization also called for the Quebec-Municipalities Table to be tasked with regularly reviewing municipal accountability requirements and recommending further reductions.

The labour shortage adds urgency to these reforms. A recent study found that nearly one-third of Quebec’s businesses are unable to fill vacant positions, and public-sector employers face similar challenges. Municipalities, responsible for essential local services, have been particularly hard-hit, and simplifying their administrative processes is seen as vital to addressing these pressures.

The UMQ also pointed out gaps in the bill. For instance, while the legislation aims to reduce delays in urban planning approvals, it does not address inefficiencies in water management reporting or requirements for financial aid programs, which continue to impose significant time and cost demands on municipalities.