Affordable Housing Update (M.Phair)

Recommendation:
That the December 14, 2004, Community Services Department report 2005CSW003 be received for information.

Report Summary

This report responds to an Administrative Inquiry regarding social/affordable housing and shelters for the homeless.

Previous Council/Committee Action

At the November 8, 2004, Community Services Committee meeting the Councillor Phair made the following inquiry:

“Over the past four or five years, the City, with other governments and partners, has been involved with social/affordable housing and shelters for the homeless. We have undertaken major studies, counts of homeless, grants and new programs and initiatives in this area.

I would like the following information to return to the Committee as soon as possible:

  1. A brief summary of the major points of the studies the City has undertaken.
  2. A brief history of the homeless – homeless counts in Edmonton.
  3. A brief summary of initiatives/programs undertaken by the provincial and federal governments in response to homelessness and the need for affordable housing.
  4. Targets or goals that have been outlined for Edmonton in previous studies or reports from the City’s Administration.
  5. Achievements of the City over the past four or five years.
  6. A brief description of the roles of the three orders of government, the non-profit sector and private developers.
  7. The criteria for what is “affordable” housing and how that was determined and the criteria for who is eligible (by income) for “affordable housing.”
  8. Categories and responses to those categories of special needs housing (disabled, aboriginal, etc.).
  9. Any other information, in brief, that provides an overview of the current situation, programs and progress in Edmonton.”

Report

  1. Major Points of Studies:

1.1Building Together, The City of Edmonton Low-Income and Special Needs Housing Strategy 2001-2011

  • Approved by City Council in January 2002, the Strategy defines the City’s future role in addressinghousing needs in a principles-based, community-driven and facilitative approach.
  • The Strategy was framed around five principles:

Access to low-income and special needs housing;

Shared funding responsibility;

Municipal co-ordination;

Stakeholder consultation; and

Program delivery.

1.2Edmonton Task Force on Homelessness (1999)

  • Homelessness affects many persons in Edmonton, including families, youth, single men and women, seniors and Aboriginals.
  • It is a complex issue, often linked to mental illness, addictions, family violence, employment and the lack of affordable housing.
  • Providing more shelter beds isnecessary, but is a “band-aid solution”.
  • Longer-term solutions that provide for additional housing units, support services and income supports are also needed.
  • Solutions require a community response and support from all orders of government and the private sector.

1.3Task Force on Affordable Housing (2003)

  • The lack of affordable housing poses a serious issue to Edmonton’s quality of life.
  • A primary approach to meet affordable housing needs is to create an environment that is conducive to greater private investment in affordable housing development.
  • All three orders of government are part of the problem – all three need to be part of the solution.
  • Ideas that require major policy change should be implemented on a pilot project basis.
  1. Homeless Counts

Six “Counts of Homeless Persons in Edmonton” were conducted between May 1999 and October 2004. The total number of observed “Absolute” and “Sheltered” homeless increased from 836 to 2,184 (average annual increase of 32%).

  1. Major Federal and Provincial Homelessness and Housing Initiatives

3.1Federal Initiatives

  • (1999) National Homelessness Initiative (NHI) announced to provide $753 million in Federal funds over three years to address homelessness nationally, including $305 million under the “Supporting Community Partnerships Initiative” (SCPI).
  • (2000) Federal Government announced $17.1 million SCPI allocation for Edmonton from 2000-2003, subject to a community plan and matching funds from non-federal sources.
  • (2001) “Framework” Agreement for Bilateral Agreements Aimed at Affordable Housing committed $680 million in Federal funding nationally over five years.
  • (2002) Canada-Alberta Affordable Housing Program Agreement between Alberta Seniors and Canada Mortgage and Housing Corporation (CMHC) resulted in the “Affordable Housing Partnerships Initiative” (AHPI), providing $67.12 million in Federal funding over five years, subject to matching funds from provincial sources.
  • (2003) Announcement of additional $320 million in Federal funding for affordable housing nationally ($31.5 million earmarked for Alberta). The terms and conditions for take-up of this additional Federal funding for affordable housing in Alberta are still under negotiation.
  • (2003) Extension of SCPI funding to Edmonton from 2003 to 2006 ($17.1 million) subject to a community plan and matching funds from non-federal sources.
  • (2003) CMHC extended RRAP funding from 2004 to 2006 nationally by $225 million ($26.5 million to Alberta).
  • (July 2004) Federal administration for homelessness and housing combined in new Ministry of Labour and Housing.
  • (October 2004) Federal Throne Speech identified $1.5 billion in housing program funding.

3.2Provincial Initiatives

  • (July 2000) Homelessness Policy Framework Implementation Strategy.
  • (August 2000) Family and Special Purpose Housing Policy Framework.
  • (November 2004) A total of 13 projects in Edmonton comprising 534 units have received AHPI funding commitments from the Province totalling $26.5 million.
  1. City Targets in Previous Reports:

The following housing targets were developed independently of each other and are not cumulative.

4.1Edmonton Task Force on Homelessness (1999)

  • 500 units each year over the five year period (2000 – 2005) “through a continuum of emergency, transitional and long-term housing.”

4.2EdmontonCommunity Plan on Homelessness 2000-2003 (City Council endorsed):

  • Recommended additional Housing Units:

247 Emergency;

335 Transitional; and

4,950 Long-term Supportive.

Since 2000, the Edmonton Housing Trust Fund has committed over $33 million in funding towards the development of 1,170 housing units to meet priority homeless and housing needs in Edmonton. This comprises:

  • Emergency Housing ($3.9 million for 297 spaces);
  • Transitional Housing ($11.1 million for 253 units); and
  • Long-Term Supportive Housing ($18.0 million for 620 units).

4.3Task Force on Affordable Housing (August 2003)

  • Identified a need for 5,000 affordable housing units, and an additional 700 units per year to accommodate growth.
  • Since the 2003 announcement of the Canada –Alberta Affordable Housing Partnerships Initiative, the Government of Alberta has committed $26.5 million in capital funding under the AHPI towards the development of 534 housing units Edmonton.
  1. City Achievements in Recent Years
  • (January 2002) Building Together, The City of Edmonton Low-Income and Special Needs Housing Strategy 2001-2011 approved unanimously by City Council.
  • (2000 to 2004) City representation on the Edmonton Joint Planning Committee on Housing (EJPCOH) Board and on various EJPCOH committees and City support for completion by the EJPCOH of: 2003 Edmonton Homelessness Study, six homelessness counts, an awareness campaign, and the Community Plan on Housing and Support Services 2005-2009.
  • (2000 to 2003) $4.8 million in donations to the EHTF.
  • (2000) Greater Edmonton Foundation Strategic Review.
  • (March 2002) Formation of Task Force on Affordable Housing to address the significant decline in affordable housing production in Edmonton and provision of administrative supports to the Task Force.
  • (1993 to 2003) Capital funding commitments totalling $3.2 million towards the development or upgrading of 601 units under the Low-Income Housing Capital Assistance Program (LIHCAP). Examples of recent projects include the expansion of the HopeMission and construction of a new WINGS of Providence transitional housing facility for women and their families leaving an abusive relationship.
  • (December 2003) Inclusion in 2004 City Budget of $500,000 in capital funding and $350,000 in operating funding under the “Affordable Housing Program” (AHP).
  • (1999 to 2003) Delivery of the CMHC Residential Rehabilitation Assistance Program (RRAP) ($13 million in forgivable loans to upgrade 1,100 units).
  • (Winter of 2002/03 and 2003/04) Development and operation of Temporary Warming Centre for Homeless persons cost shared with Provincial Community Initiatives Program (CIP) funding.
  • (August 2004) Project Charter for Land Use Planning Measures for Affordable Housing approved.
  • Re-profiling of Social Housing portfolio. Examples include: SKILLS has sublet a portion of the Kiwanis Lodge for mentally challenged seniors; HomeEd has utilized one of their projects as ‘third-stage’ housing for women fleeing domestic violence; McCauley Lodge has been sublet to Operation Friendship to provide housing for ‘hard-to-house’ seniors; a ‘Seniors Safe House’ has been provided in one of the GEF’s apartments; and the former Ottewell Lodge has been reconfigured for use as a Designated Assisted Living project for seniors with dementia.
  • (2003) In conjunction with CMHC, CRHC and the Alberta Real Estate Foundation & Association have supported the creation of the HOME Program that helps low and moderate income people become homeowners through education, individual support, underwriting assistance and down payment assistance.
  1. Primary Housing Roles (existing) of the Federal, Provincial and City Governments, the Non-Profit Sector and Private Developers

6.1Federal Government

  • Fiscal, monetary and taxation policy (money supply; interest rates).
  • Regulation of financial institutions and provision of private mortgage financing (NHA mortgage insurance).
  • National standards (e.g. National Building Code, materials evaluation).
  • Financial support for existing Assisted Housing programs (e.g. RRAP, Social Housing, co-operative housing, on-reserve housing, National Homelessness Initiative, Urban Aboriginal Strategy) and Canadian Centre for Public-Private Partnerships through CMHC.
  • Research and information collection and dissemination (National Research Council).

6.2Provincial Government

  • Social Housing (regulations and funding supports to Social Housing Management Bodies).
  • Supports to Federal Housing and Homelessness Initiatives (NHI, AHPI).
  • Delivery of health, mental health, educational and social support programs (e.g. Alberta Works, Assured Income for the Severely Handicapped [AISH]).

6.3City of Edmonton:

  • Support community-based process of community plan preparation and implementation (EJPCOH and EHTF).
  • Municipal co-ordination and facilitation (e.g. land and housing assets, land use planning measures, community and social workers).
  • Limited funding partner roles (LIHCAP, AHP, donations to EHTF).
  • Direct delivery of RRAP and The City of Edmonton Non-Profit Housing Corporation (HomeEd) and property management of the 658 unit HomeEd portfolio.
  • Overseeing three-year business plan development and implementation for theGreater Edmonton Foundation and the Capital Region Housing Corporation, including municipal subsidy payments towardannual capital and operating deficits.
  • Administration of Safe Housing and Derelict Housing initiatives.
  • Administration of Safe Housing and Derelict Housing Initiatives

6.4Not-for-Profit Agencies

  • Housing development.
  • Property management.
  • Provision of support services.
  • Housing needs research, advocacy and community planning (EJPCOH).
  • Housing project proposal review (EHTF).

6.5Private Industry

  • Land and housing development and related industry services (mortgage lending and insurance; legal; architectural; appraisal; materials suppliers; inspection; marketing; real estate; property management).
  1. Housing Affordability Criteria

“Affordable Housing” is:

  • “Rental or ownership housing provided to households who have an affordability problem (pay in excess of 30% of their income on housing) and earn less than the median income, but are capable of independent living, without a need for support services, requires no on-going government subsidies, and includes housing built by the private, co-operative, non-profit and public sectors.”
  • Part of a continuum of “non- market” housing that includes:

Emergency Housing (and other Services) for the Homeless;

Transitional Housing;

Long-Term Supportive Housing;

Social Housing; and

Affordable Housing.

  • Not targeted to households whose very low incomes require deep, on-going subsidies typical of those provided for (rent-geared-to-income) “Social Housing”.
  1. Categories and Responses to Special Housing Needs
  2. The City defines “Special Housing Needs” as needs that require housing with non-housing support services (e.g. meals, housekeeping) or special design in the home to lived independently.
  3. Since 2000, most of the total EHTF funding commitments (over $33 million) towards the development of 1,170 housing units have been developed to meet Special Housing Needs in Edmonton.

This does not include the provision of additional EHTF funding of $1.7 million to provide 655 additional emergency winter and temporary spaces for homeless persons over the past four winters.

The EHTF requires all new construction housing project proposals requesting EHTF funding to have a minimum of 10% of their units as wheelchair accessible. Projects developed by the Innovative Housing Society (formerly the Handicapped Housing Society of Alberta) and the Urban Manor Housing Society provide 89 wheelchair accessible or fully-adapted units.

A total of 195 units in EHTF-supported housing projects are targeted for occupancy for persons of Aboriginal ancestry.

  1. Other Information
  2. EHTF funding commitments to December 2004 have been provided for projects with a total project value of $60 million.

9.2In December 2004, there remains a shortage of decent, safe, affordable housing along the entire housing and support services continuum in Edmonton. In response to this need, the Edmonton Joint Planning Committee on Housing is planning topublicly release in January 2005 its Edmonton Community Plan on Housing and Support Services 2005-2009. That plan recommends additional housing units, and a number of strategic initiatives, to address identified priority housing and homeless needs over the next five years in Edmonton.

Background Information Available on Request

  1. Building Together, The City of Edmonton Low-Income and Special Needs Housing Strategy 2001-2011

Others Approving this Report

  • LarryBenowski, General Manager, Planning and Development
  • BillBurn, General Manager, Asset Management and Public Works

(Page 1 of 7)