{"id":919,"slug":"tarion-2019-auditor-general-special-audit","title":"Tarion 2019 Auditor General Special Audit (Bonnie Lysyk) — 65% of conciliations found builder at fault, 9,700 dismissed for missed deadlines (1,300 by 1 day), OHBA \"disproportionate influence\"","kind":"reference","scope":"business","status":"current","audiences":["kevin","candid-team"],"topics":["gc-vertical","tarion-warranty","regulatory-signals"],"reference_body":"**Claim:** Auditor General **Bonnie Lysyk** tabled a Special Audit of Tarion on **October 30, 2019**. Findings:\n\n- About **65% of 6,485 conciliation requests** assessed by Tarion from 2014-2018 found the builder should have fixed defects under warranty but did not.\n- Tarion refused assistance on about **9,700 requests** between 2014-2018 because homeowners missed restrictive deadlines, including ~**1,300 by a single day**.\n- Builder warranty-claim resolution could take **up to 18 months**.\n- Tarion paid **$19.8M from 2009 to 2018** to cover repairs on **869 illegally built homes**.\n- Tarion issued licences to builders with poor warranty records.\n- **\"Two-thirds of Tarion staff\"** responsible for determining whether builders should have repaired defects \"did not have appropriate qualifications.\"\n- Senior management was rewarded for minimizing payouts; CEO **Howard Bogach** made **$681,616 base + $87,794 in benefits in 2018**.\n- The **Ontario Home Builders' Association (OHBA)** had \"**disproportionate influence**.\" Half of Tarion's 16-member board was nominated by OHBA at the time, and OHBA had to approve regulatory changes. Tarion spent ~$185,000 over five years sponsoring an OHBA conference dinner.\n- 32 recommendations, 76 action items.\n\n**Sources:**\n- <https://www.auditor.on.ca/en/content/specialreports/specialaudits/en2019/Tarion_en.pdf>\n- CBC News (Laura Osman), October 30, 2019.\n\n**Confidence:** Verified.\n\n**Tarion's response:** Reports implementing **54 of 55 follow-up action items**, with the new Customer Service Standard taking effect **May 1, 2024** — see [[tarion-claim-forms-may-2024-css-40-day-mid-year]]. The 2019 Minister's Order also imposed the **skills-based board model**, capping industry representation at one-third.\n\n**Why this matters for Candid:** This audit is **the** credible third-party source for \"Tarion historically favoured industry\" — useful when explaining to clients or buyers why the 2021 HCRA split and the 2024 CSS reform happened. Cite the AG, not Tarion's self-reporting.\n\nCompanion: [[tarion-cunningham-multi-provider-not-adopted]] (the 2017 reform recommendations that mostly weren't adopted).","rationale_body":null,"metadata":null,"links":{"outgoing":[{"slug":"tarion-claim-forms-may-2024-css-40-day-mid-year","title":"Tarion claim forms post-May 2024 CSS reform — 40-day Initial, new Mid-Year, Year-End (with permanent 10-day grace), Second-Year, MSD","kind":"reference","scope":"business","link_type":"relates-to"},{"slug":"tarion-conciliation-chargeable-1000-3000-process","title":"Tarion conciliation process — 120-day builder repair, $250 homeowner deposit, $1,000/$3,000 chargeable to builder if any item warranted, 10-year OBD record","kind":"reference","scope":"business","link_type":"relates-to"}],"incoming":[{"slug":"research-brief-tarion-ontario-may-2026","title":"Research brief: Tarion Warranty Corporation — definitive reference (May 2026)","kind":"reference","scope":"business","link_type":"relates-to"},{"slug":"tarion-established-1976-onhwpa-not-for-profit","title":"Tarion established 1976 under the Ontario New Home Warranties Plan Act; not-for-profit administrative authority, not a Crown agency","kind":"reference","scope":"business","link_type":"relates-to"},{"slug":"tarion-claim-forms-may-2024-css-40-day-mid-year","title":"Tarion claim forms post-May 2024 CSS reform — 40-day Initial, new Mid-Year, Year-End (with permanent 10-day grace), Second-Year, MSD","kind":"reference","scope":"business","link_type":"depends-on"},{"slug":"tarion-pre-delivery-inspection-pdi-form-mechanics","title":"Pre-Delivery Inspection (PDI) — mandatory pre-possession walkthrough; PDI Form is not a warranty claim but failure to note items makes proof harder","kind":"reference","scope":"business","link_type":"depends-on"},{"slug":"cpbh-karen-somerville-tarion-critique","title":"Canadians for Properly Built Homes (CPBH) led by Dr. Karen Somerville — Tarion's most consistent critic since 2004; positions on monopoly, conciliation, NDA-bound mediation, LAT, caps","kind":"reference","scope":"business","link_type":"relates-to"},{"slug":"tarion-toronto-star-investigation-kenyon-wallace","title":"Toronto Star Tarion investigation — multi-year reporting led by Kenyon Wallace (not Robert Cribb); CBC reporting led by Laura Osman","kind":"reference","scope":"business","link_type":"relates-to"}]},"created_at":"2026-05-24T14:19:39.527Z","updated_at":"2026-05-24T14:19:39.527Z"}