GREATER VANCOUVER REGIONAL DISTRICT HOUSING COMMITTEE

Transcription

1 GREATER VANCOUVER REGIONAL DISTRICT HOUSING COMMITTEE REGULAR MEETING Corrected Wednesday Friday, September 11, pm 2 nd Floor Boardroom, 4330 Kingsway, Burnaby, British Columbia R E V I S E D A G E N D A 1 1. ADOPTION OF THE AGENDA 1.1 September 11, 2015 Regular Meeting Agenda That the Housing Committee adopt the agenda for its regular meeting scheduled for September 11, 2015 as circulated. 2. ADOPTION OF THE MINUTES 2.1 June 26, 2015 Regular Meeting Minutes That the Housing Committee adopt the minutes of its regular meeting held June 26, 2015 as circulated. 3. DELEGATIONS No items presented. 4. INVITED PRESENTATIONS Shayne Ramsay, CEO, BC Housing Non Profit Housing Regeneration 5. REPORTS FROM COMMITTEE OR STAFF 5.1 Draft Regional Affordable Housing Strategy Designated Speaker: Margaret Eberle That the GVRD Board approve the release of the Draft Regional Affordable Housing Strategy attached to the report dated August 18, 2015 titled Draft Regional Affordable Housing Strategy, distribute the draft Strategy to member municipalities for review and comment, and direct staff to initiate stakeholder consultation on the Strategy. 1 Note: Recommendation is shown under each item, where applicable. This meeting is held in conjunction with and may precede the MVHC Board of Directors meeting. September 8, 2015 HOU - 1

2 Housing Committee Regular Agenda September 11, 2015 Agenda Page 2 of BC Housing Non Profit Housing Asset Transfer Program Update Designated Speaker: Margaret Eberle That the Housing Committee receive for information the reported dated August 18, 2015, titled BC Housing Non Profit Housing Asset Transfer Program Update and await further information from the Province in response to BC Non Profit Housing Association and City of Burnaby requests. 5.3 Manager s Report Designated Speaker: Don Littleford That the Housing Committee receive for information the report dated August 17, 2015, titled Manager s Report. 6. INFORMATION ITEMS 6.1 Housing and Transportation Cost Burden Study A New Way of Looking at Affordability Correspondence dated May Housing Now Highlights Second Special Edition. House Price Analysis and Assessment CMHC publication dated April Facilitating Affordable Housing Choice for Canadians Homeowner Flexibilities and Treatment of Rental Income. CMHC News Release dated August Unique Coalition Demands Action on Housing Crisis BCNPHA News Release dated July 29, Housing Seattle: A Roadmap to an Affordable and Livable City, July 13, OTHER BUSINESS No items presented. 8. BUSINESS ARISING FROM DELEGATIONS No items presented. 9. RESOLUTION TO CLOSE MEETING No items presented. HOU - 2

3 Housing Committee Regular Agenda September 11, 2015 Agenda Page 3 of ADJOURNMENT/CONCLUSION That the Housing Committee adjourn/conclude its regular meeting of September 11, 2015 Membership: Stewart, Richard (C) Coquitlam Jackson, Lois (VC) Delta Buchanan, Linda North Vancouver City Coté, Jonathan New Westminster Dilworth, Diana Port Moody Jang, Kerry Vancouver Jordan, Colleen Burnaby Long, Bob Langley Township MacKay-Dunn, Doug North Vancouver District McNulty, Bill Richmond Meggs, Geoff Vancouver Read, Nicole Maple Ridge Villeneuve, Judy Surrey HOU - 3

4 2.1 GREATER VANCOUVER REGIONAL DISTRICT HOUSING COMMITTEE Minutes of the Regular Meeting of the Greater Vancouver Regional District (GVRD) Housing Committee held at 12:14 p.m. on Friday, June 26, 2015 in the Evergreen A Conference Room, Element Vancouver Metrotown, 5988 Willingdon Avenue, Burnaby, British Columbia. MEMBERS PRESENT: Chair, Mayor Richard Stewart, Coquitlam* Councillor Linda Buchanan, North Vancouver City Mayor Jonathan Coté, New Westminster Councillor Kerry Jang, Vancouver Councillor Colleen Jordan, Burnaby Councillor Bob Long, Langley Township Councillor Doug MacKay-Dunn, North Vancouver District Councillor Bill McNulty, Richmond Councillor Geoff Meggs, Vancouver Mayor Nicole Read, Maple Ridge Councillor Judy Villeneuve, Surrey * Also a member of the Intergovernment and Finance Committee MEMBERS ABSENT: Vice Chair, Mayor Lois Jackson, Delta Councillor Diana Dilworth, Port Moody INTERGOVERNMENT AND FINANCE MEMBERS PRESENT: Chair, Councillor Raymond Louie, Vancouver Mayor Mike Clay, Port Moody Councillor Heather Deal, Vancouver Mayor Darrell Mussatto, North Vancouver City Councillor Barbara Steele, Surrey STAFF PRESENT: Don Littleford, Director, Housing, Planning, Policy and Environment Carol Mason, Commissioner/Chief Administrative Officer Janis Knaupp, Assistant to Regional Committees, Board and Information Services, Legal and Legislative Services Minutes of the Regular Meeting of the GVRD Housing Committee held on Friday, June 26, 2015 Page 1 of 9 HOU - 4

5 1. ADOPTION OF THE AGENDA 1.1 June 26, 2015 Regular Meeting Agenda It was MOVED and SECONDED That the Housing Committee adopt the agenda for its regular meeting scheduled for June 26, 2015 as circulated. CARRIED 2. ADOPTION OF THE MINUTES 2.1 April 15, 2015 Regular Meeting Minutes 3. DELEGATIONS No items presented. It was MOVED and SECONDED That the Housing Committee adopt the minutes of its regular meeting held April 15, 2015 as circulated. CARRIED 4. INVITED PRESENTATIONS No items presented. 5. REPORTS FROM COMMITTEE OR STAFF 5.1 The Metro Vancouver Housing and Transportation Cost Burden Study A New Way of Looking at Affordability Report dated May 27, 2015 from Margaret Eberle, Senior Housing Planner, Regional Housing, Planning, Policy and Environment, presenting to the Housing Committee the final Study titled The Metro Vancouver Housing and Transportation Cost Burden Study A New Way of Looking at Affordability which was part of both the Regional Planning and Housing Committees Work Plans for Members were provided a presentation on The Metro Vancouver Housing and Transportation Cost Burden Study highlighting: purpose; key findings; income comparison to other Canadian metropolitan cities; housing costs among owners with mortgages versus renters; transportation costs; housing and transportation costs for working households with mortgages and renters; and Frequent Transit Network factor for renters. Members discussed sharing the presentation with their respective councils and requested an update on how the Study has been distributed to date. Minutes of the Regular Meeting of the GVRD Housing Committee held on Friday, June 26, 2015 Page 2 of 9 HOU - 5

6 It was suggested consideration be given to municipal councils who may wish to receive a presentation on The Metro Vancouver Housing and Transportation Cost Burden Study A New Way of Looking at Affordability. Presentation material titled Metro Vancouver Housing and Transportation Cost Burden Study A New Way of Looking at Affordability is retained with the June 26, 2015 Housing Committee agenda. It was MOVED and SECONDED That the Housing Committee receive for information the report titled The Metro Vancouver Housing and Transportation Cost Burden Study A New Way of Looking at Affordability, dated May 27, CARRIED 5.2 Federation of Canadian Municipalities 2015 Federal Election Platform Report dated June 15, 2015 from Don Littleford, Director, Regional Housing, Planning, Policy and Environment, informing the Housing Committee of the Federation of Canadian Municipalities 2015 Federal Election Platform, titled Strengthening Canada s Hometowns: A Roadmap for Strong Cities and Communities, and specifically the section on actions that the federal government can take to advance housing supply and affordability. 6. INFORMATION ITEMS It was MOVED and SECONDED That the GVRD Board: a) Endorse the Federation of Canadian Municipalities 2015 Federal Election Platform titled Strengthening Canada s Hometowns: A Roadmap for Strong Cities and Communities, specifically the housing measures contained in the section, Federal Action Plan for Livable Communities ; b) Transmit a copy of this resolution to the Federation of Canadian Municipalities, Union of BC Municipalities and the BC Rental Housing Coalition. CARRIED 6.2 BC Housing Non-Profit Asset Transfer Program - Correspondence from City of Burnaby dated May 5, 2015 Comments were offered about the City of Burnaby s research on the BC Housing Non-Profit Asset Transfer Program and consideration of Metro Vancouver staff exploring the matter further. Request of Staff Staff was requested to report back to the Housing Committee with an analysis of the BC Housing Non-Profit Asset Transfer Program. Minutes of the Regular Meeting of the GVRD Housing Committee held on Friday, June 26, 2015 Page 3 of 9 HOU - 6

7 It was MOVED and SECONDED That the Intergovernment and Finance Committee receive for information the following Information Items: Resolutions - Correspondence from the Union of BC Municipalities dated May 11, BC Housing Non-Profit Asset Transfer Program - Correspondence from City of Burnaby dated May 5, Built to Last: Strengthening the Foundations of Housing in Canada Federation of Canadian Municipalities publication dated May Seniors Advocate Calls for More Help for Low-Income Renters and Homeowners, a Fundamental Redesign of Assisted Living, and Changes to Help Seniors Access their Preferred Residential Care Bed Faster News Release dated May 21, 2015 CARRIED Recess The Housing Committee recessed at 12:32 p.m. and reconvened at 12:38 p.m. with the same members being in attendance. 7. OTHER BUSINESS 7.1 Regional Affordable Housing Strategy Workshop Members considered a workshop on the draft Metro Vancouver Regional Affordable Housing Strategy (RAHS) to provide direction to staff in preparing the final draft RAHS to be presented at the September 11, 2015 Housing Committee meeting. Dr. David Ley, Department of Geography, University of BC, provided members with a presentation on the Metro Vancouver housing market highlighting: median total incomes for year-olds with bachelor s degrees for Canada s 10 largest metropolitan areas (2011); Vancouver housing market trends versus net international migration and net migration from the rest of Canada from 1977 to 2011; consequences related to a lack of affordability in cities with a population of over 2 million, Canadian housing affordability trend regarding median multiple: major markets from 2004 to 2014 and household debt as a percentage of Gross Domestic Product and of national disposable income from 1990 to 2010; debt as a percentage of disposal income; Angus Reid Survey results related to housing; location of working poor along Skytrain and Canada Lines (2012); cautions around Transit Oriented Development; and conclusions. Members were further informed about: Metro Vancouver mortgage owners being vulnerable to changes in interest rates or economic downturn due to debt load and housing cost burden local residents being unable to compete for property with global high-net worth individuals (offshore investors and wealthy immigrants) Canada being the only G8 Nation lacking a national housing strategy Minutes of the Regular Meeting of the GVRD Housing Committee held on Friday, June 26, 2015 Page 4 of 9 HOU - 7

8 Dr. Ley recommended making the market less attractive to offshore investors through local and provincial governments adjusting taxes and fees on a sliding scale to favour Canadian citizens, first-time buyers, and lower-cost properties, while increasing taxes and fees for high-priced properties and non-canadian buyers. Presentation material is not retained with the June 26, 2015 Housing Committee agenda due to copyright. Margaret Eberle, Senior Housing Planner, Regional Housing, Planning, Policy and Environment, provided members with a presentation on the Draft Regional Affordable Housing Strategy (RAHS) highlighting: Metro Vancouver Housing Corporation s role; population growth; annual regional housing demand; Metro 2040; accomplishments since the 2007 RAHS; 2013 to 2016 planning process and timeline; partner collaboration; the housing continuum; and the draft RAHS framework, vision, and goals. Don Littleford, Director, Housing, Planning, Policy and Environment, informed members about asset pricing, money supply and global economics and the local housing market highlighting: focus by central banks to stimulate growth and control inflation international capital liquidity and low interest borrowing rates concerns about a lack of yield on investments, speculation driving investments, and limited supply of housing as a commodity international investments by the Canada Pension Plan Metro Vancouver price appreciation by foreign investors concerns about the increasing willingness by Canadians to take on debt the need for appropriate housing to suit low and modest-income residents, particularly families local government policy and regulatory efforts to assist with the housing crisis and the need for long-term senior government funding programs Mr. Littleford recommended consideration be given to: a progressive provincial property purchase tax system which would generate revenue for existing and new affordable housing continuing to promote the development of a national affordable housing strategy through the Federation of Canadian Municipalities seeking reinstatement of federal funding programs to build new affordable housing and control access, and to support not-for-profit rental housing Request of Staff Staff was requested to follow up with Dr. Ley, Department of Geography, UBC, on his June 26, 2015 presentation on the Metro Vancouver housing market to the Regional Housing Committee, and to forward to Committee if available, for members to share with their respective councils. Minutes of the Regular Meeting of the GVRD Housing Committee held on Friday, June 26, 2015 Page 5 of 9 HOU - 8

9 In response to questions, Dr. Ley informed members about: the federal Business Immigration Program and significant investment by wealthy immigrants and offshore investors driving property prices further market increases expected due to the magnitude of offshore wealth Metro Vancouver being a preferred destination by wealthy individuals Suggested caution when planning for Transit Oriented Development the importance of unbiased, objective housing market data not generated by prominent interest groups Hong Kong and London markets being driven mainly by local buyers and markets being based on strong data capturing investment sources challenges with Canada s data shortage and incomplete Census information resident property owners not likely to lose equity in property from a tax shift unless the shift is a significant increase In response to questions, Mr. Littleford informed members that any halt to new construction would put pressure on existing housing supply and that the intention of a progressive tax structure would be to fund existing and new affordable housing without having to be punitive. Concerns were expressed about a decrease in existing affordable housing stock from graduated rent increases and the need to determine if a tax increase aimed at foreign investment would negatively impact resident property owners. Presentation material titled Draft Regional Affordable Housing Strategy Context, Update Process and Overview is retained with the June 26, 2015 Housing Committee agenda. The Chair concluded the Speakers Panel and commented on RAHS goals. Feedback on the Draft Regional Affordable Housing Strategy Working in small groups, members were asked to provide feedback on whether strategies delivered on goals, why or why not and if anything was missing. Regarding Goal 1 to expand the supply and diversity of housing to meet a variety of needs, comments were offered about the need to consider: a broader range of market options developing a municipal guide to best practices including co-op, co-housing and other housing models expanding supply of diverse housing to meet population needs versus wants advocating to senior government for financial and taxation measures to address homelessness exploring strategies to address the high cost of construction in BC rephrasing the term sub-populations exploring a public conversation on the Metro Vancouver housing market Minutes of the Regular Meeting of the GVRD Housing Committee held on Friday, June 26, 2015 Page 6 of 9 HOU - 9

10 discussing how to ensure affordable operational costs for potential new housing supply considering local versus regional diversity in terms of different density in each individual municipality in Metro Vancouver Regarding Goal 2 to preserve and expand the rental housing supply, comments were offered about the need to consider: developing a model for best practices sharing of information among municipalities on pros/cons on condo rentals encouraging independently-wealthy individuals to invest in rental housing creating rental from existing stock and exploring rezoning opportunities clarifying what are strategies versus objectives advocating for federal tax credit incentives and provincial/federal tax relief for providers of rental housing requiring like-for-like replacement in redevelopment including: o the Federation of Canadian Municipality s housing policy statement o co-ops, co-housing and other housing models o a standard of maintenance Regarding Goal 3 to meet housing demand estimates for low and moderate income renters, comments were offered about the need to consider: exploring a partnership role with senior government (rather than advocating) the Metro Vancouver Housing Corporation (MVHC) taking a more active role in non-market housing rephrasing renters to earners Regarding Goal 4 to increase the rental housing supply along the Frequent Transit Network, comments were offered about the need to consider: coordinating better with TransLink and the Province in terms of planning, transportation and housing focusing on locating higher-density family rental housing near green space versus transit Regarding Goal 5 to end homelessness in the region, comments were offered about exploring alternative forms of capital funding. Members identified actions they strongly supported, had concerns about or thought were missing in the draft RAHS and offered the following feedback: Goal 1 - to expand the supply and diversity of housing to meet a variety of needs considering different perspectives on definition of family-friendly housing concerns there is a lack of 2 and 3-bedroom units which are in high demand Minutes of the Regular Meeting of the GVRD Housing Committee held on Friday, June 26, 2015 Page 7 of 9 HOU - 10

11 concerns that the ongoing sale of provincial-owned lands is further reducing rental housing opportunities and discussing Metro Vancouver s role in advocating for the repurposing of provincial lands discussing the pros/cons of pure rental zoning and concerns about the creation of ghettos Goal 2 - to preserve and expand the rental housing supply concerns that municipalities would be required to commit to certain standards for mixed use zoning concerns that lands adjacent to transit are not owned by TransLink discussing a framework for Transit Oriented Development ensuring a significant amount of low to mid-income housing considering best use for buildings and creation of job space Goal 3 - to meet housing demand estimates for low and moderate income renters using tools to better protect investments, such as covenants addressing investment resulting from land speculation exploring MVHC properties for redevelopment opportunities increasing rental supply instead of using rent supplement Goal 4 - to increase the rental housing supply along the Frequent Transit Network considering Community Amenity Contributions to help pay for other amenities Goal 5 - to end homelessness in the region addressing funding uncertainty and a lack of a long-term funding model addressing housing issues associated with ownership advocating to senior government for critical funding programs The Chair concluded the workshop by highlighting the need for RAHS goals to reflect and respond to the different housing markets in each individual community across Metro Vancouver. 8. BUSINESS ARISING FROM DELEGATIONS No items presented. 9. RESOLUTION TO CLOSE MEETING No items presented. Minutes of the Regular Meeting of the GVRD Housing Committee held on Friday, June 26, 2015 Page 8 of 9 HOU - 11

12 10. ADJOURNMENT/CONCLUSION It was MOVED and SECONDED That the Housing Committee conclude its regular meeting of June 26, CARRIED (Time: 3:15 p.m.) Janis Knaupp, Assistant to Regional Committees Richard Stewart, Chair Minutes of the Regular Meeting of the GVRD Housing Committee held on Friday, June 26, 2015 Page 9 of 9 HOU - 12

13 5.1 5 To: From: Housing Committee Margaret Eberle, Senior Housing Planner, Regional Housing Date: August 18, 2015 Meeting Date: September 11, 2015 Subject: Draft Regional Affordable Housing Strategy RECOMMENDATION That the GVRD Board approve the release of the Draft Regional Affordable Housing Strategy attached to the report dated August 18, 2015 titled Draft Regional Affordable Housing Strategy, distribute the draft Strategy to member municipalities for review and comment, and direct staff to initiate stakeholder consultation on the Strategy. PURPOSE This report requests that the GVRD Board direct staff to initiate stakeholder consultation on the Draft Regional Affordable Housing Strategy (RAHS) to solicit feedback from municipal and other stakeholders. BACKGROUND The revised Draft Regional Affordable Housing Strategy (Attachment 1) is conveyed to the Housing Committee. This report summarizes changes to the strategy made following the June 26, 2015 Housing Committee workshop, next steps in the update process and requests that the GVRD Board direct staff to initiate stakeholder consultation on the Draft Regional Affordable Housing Strategy to solicit feedback from municipal and other stakeholders. Issues of housing affordability continue to be of great concern in Metro Vancouver and these concerns now extend beyond low income renter households earning under $30,000 per year to those earning between $30,000 and $50,000 per year and also to households with higher incomes seeking housing ownership. The Housing Committee received the draft Regional Affordable Housing Strategy at its April 15, 2015 meeting and provided feedback on the draft Strategy at a facilitated workshop at its June 26, 2015 meeting. Several members of the Intergovernmental and Finance Committee attended. The aim of the workshop was for Committee members to provide guidance to staff so that a revised draft Strategy would be ready for public release in September Implementing the strategy will not solve the housing affordability crisis in Metro Vancouver. Global trends and national level policies influence the regional housing market and are beyond local control. The draft Regional Affordable Housing Strategy attempts to find the right balance between advocacy to senior levels of government for tools and resources to address housing affordability challenges created by these global, national and local market trends, and strategic local government and coordinated actions that can continue to improve local outcomes. HOU - 13

14 Summary of Feedback and Changes Made Committee members were generally supportive of the overall direction, goals, strategies and actions of the draft Strategy. Advocacy actions requesting enhanced provincial and federal government resources to create or preserve affordable housing received the most support from Committee members. The actions which garnered the most concern pertained to the five topics: Lack of new rental supply and the impact of rent supplement programs Attention to home ownership versus rental tenure Impact of foreign ownership, vacant homes and speculation Inclusionary housing goals near transit, and TransLink Project Partnership Agreements Enhanced MVHC role in redevelopment and development of mixed income housing Detailed concerns and the changes made to the draft Regional Affordable Housing Strategy to address them are provided in Attachment 2. Next Steps Staff continue to work to complete updated housing demand estimates, develop an implementation plan and performance measures, and facilitate stakeholder consultation on the draft Strategy. Updated Housing Demand Estimates In a parallel process, staff is working with RPAC s Housing Subcommittee, Housing Demand Estimates Task Group, to update the housing demand estimates that were prepared for Metro The intent is to prepare updated housing demand estimates for the region, municipalities and sub-regions, by income level, to be included in the Regional Affordable Housing Strategy and as an amendment to Metro These estimates will provide guidance for municipalities in preparing their Housing Action Plans, allow for monitoring of regional and local performance in meeting housing demand, and can be used in advocacy to senior levels of government, for example to demonstrate where housing gaps exist. The revised housing demand estimates will be brought to the Housing Committee at its next meeting for consideration. Implementation and Performance Monitoring The final Regional Affordable Housing Strategy will contain a section entitled Implementation and Performances Measures which has not yet been developed. It will identify priorities for implementation of actions, and will guide the Metro Vancouver Housing Policy work program for the coming 10 years. It will also identify performance measures that can be used to gauge progress in achieving the goals outlined in the Strategy. Staff will work with the Regional Planning Advisory Committee and it s Housing Subcommittee to develop this content, and provide this section to the Housing Committee at its November meeting for review and comment. Stakeholder Consultation This report recommends the draft Strategy in Attachment 1 be forwarded to the GVRD Board for review and for release of the document for stakeholder consultation. The proposed consultation process has two purposes: 1. To provide municipalities with the opportunity to review the Draft Regional Affordable Housing Strategy, provide comments and indicate their support for it, if possible. 2. To provide specific target audiences and the public with the opportunity to provide comment on the draft Strategy. HOU - 14

15 Upon release by the Board the draft Strategy would be distributed to member municipalities and to an extensive list of stakeholders representing the private and non profit housing and development industry, community services organizations, health authorities, local housing and homelessness groups, provincial and federal government representatives, and TransLink. It would also be posted on the Metro Vancouver website. To facilitate receipt of comments from multiple target audiences, two stakeholder workshops will be held for mid to late November Should the GVRD Board release the Draft Strategy for stakeholder consultation in late September 2015, the deadline for receipt of written comments would be established for November 30, Following that, staff would report back to the Housing Committee and GVRD Board with the final Regional Affordable Housing Strategy. ALTERNATIVES 1. That the GVRD Board approve the release of the Draft Regional Affordable Housing Strategy attached to the report dated August 18, 2015 titled Draft Regional Affordable Housing Strategy and direct staff to initiate stakeholder consultation on the Strategy. 2. That the Housing Committee provide staff with direction on revisions to the Draft Regional Affordable Housing Strategy prior to its release for stakeholder consultation. FINANCIAL IMPLICATIONS The budget for stakeholder consultation on the Draft Regional Affordable Housing Strategy is included in the 2015 Housing Policy Budget. SUMMARY / CONCLUSION The Housing Committee considered the draft Regional Affordable Housing Strategy at a workshop on June 26, 2015 and provided staff with detailed comments. The draft has been revised to reflect this feedback, and staff is requesting Housing Committee and GVRD Board approval to solicit municipal feedback and commence stakeholder engagement on the draft Regional Affordable Housing Strategy in the fall of Alternative 1 is recommended. Attachments and References: 1. Metro Vancouver Draft Regional Affordable Housing Strategy August Summary of Housing Committee RAHS Workshop June 26, 2015 Concerns HOU - 15

16 5.1 Attachment 1 REGIONAL AFFORDABLE HOUSING STRATEGY UPDATE REVISED DRAFT August 2015 HOU - 16

17 CONTENTS PART ONE: INTRODUCTION Why a Regional Affordable Housing Strategy? The Update Process What Has Been Accomplished? Links to Regional and Local Plans The Housing Continuum and Regional Affordable Housing Strategy A Rental Housing Focus Low and Moderate Income Households The Affordable Housing and Transit Connection PART TWO: THE CHALLENGE Regional Growth Trends Estimated Regional Housing Demand Mismatch between Rental Housing Demand and Supply The Housing and Transportation Cost Burden Provincial and Federal Government Funding Programs for Affordable Housing The Funding Gap PART THREE: THE STRATEGY Vision Goals and Strategies GOAL 1: Expand the supply and diversity of housing to meet a variety of needs GOAL 2: Preserve and expand the rental housing supply GOAL 3: Meet housing demand estimates for low to moderate income earners GOAL 4: Increase the rental housing supply along the Frequent Transit Network GOAL 5: End homelessness in the region Implementation and Performance Measures DEFINITIONS/GLOSSARY...34 APPENDIX APPENDIX HOU - 17 REGIONAL AFFORDABLE HOUSING STRATEGY UPDATE DRAFT 3

18 PART ONE: INTRODUCTION 1.1. WHY A REGIONAL AFFORDABLE HOUSING STRATEGY? municipalities alone and together can use a variety of tools and measures to achieve greater housing diversity and affordability. An affordable and diverse housing supply is an important foundation for meeting the needs of a growing population. In a region with rising housing costs like Metro Vancouver, an affordable and diverse housing supply is critical to the region s economic fortunes. Housing choices that include a mix of homeownership and rental opportunities across housing types, sizes and price points are essential to provide housing for a diverse workforce and for diverse and complete communities. The Metro Vancouver Board has developed the updated Regional Affordable Housing Strategy (RAHS) to provide leadership on regional housing needs, and to advance the complete community goals of Metro 2040, the regional growth strategy adopted in This is the second iteration of the Regional Affordable Housing Strategy; the first was adopted in This Regional Affordable Housing Strategy provides a renewed vision, and shared goals, strategies and actions for tackling the housing affordability challenge. As a federation of twenty one municipalities, a treaty First Nation and an electoral area, the region shares an economy and housing market. While the market does a good job of housing most residents, it is not able to do so at a price everyone can afford. This fact is particularly true for low and lowto-moderate income renters earning under $50,000 per year. Past experience shows that senior levels of government must play a role if there is to be a greater supply of housing that is within the means of this population group. Now the problem of affordability has spilled over to residents with higher income levels and to those seeking homeownership. Experience has also shown that while housing affordability is not a primary responsibility of municipalities nor regional government, HOU REGIONAL AFFORDABLE HOUSING STRATEGY UPDATE DRAFT Metro Vancouver has the following roles in housing delivery and housing policy. These roles are employed throughout the strategy to advance regional goals and strategies. Provide mixed income housing through Metro Vancouver Housing Corporation (MVHC), a separate wholly owned non-profit housing organization. Set policy direction through the regional growth strategy Metro 2040 and the Regional Affordable Housing Strategy. Research, collect and analyse data to support regional and municipal housing policy goals and promote best practices. Convene municipal politicians and staff on housing issues of regional and local concern. Advocate to senior governments for tools, policies and resources to support regional housing needs. Use fiscal measures such as the waiver of GVS&DD Development Cost Charges for affordable rental housing. This strategy recognizes that increasingly complex housing issues demand more innovative strategies and greater collaboration. With both statutory responsibilities and local opportunities, local governments play a key role in translating regional policy and priorities into effective implementation within local housing markets. Their chief role lies in ensuring adequate supply of residential land to meet housing demand through the land use planning and regulatory process, although there are other opportunities for municipal action to address housing affordability, such as through advocacy, and incentives

19 to the private market. And, it is recognized that local conditions vary from one municipality to another in the region and that the strategy has to account for this reality. Beyond local government, the strategy provides recommended actions for other key actors, specifically the provincial and federal governments, the private and non-profit development sector, TransLink and health authorities THE UPDATE PROCESS It has now been over seven years since the Regional Affordable Housing Strategy was adopted. Metro Vancouver staff began working with member municipalities through the Regional Planning Advisory Committee, Housing Subcommittee on a process to update the Regional Affordable Housing Strategy in late The process involved two main phases: Phase 1: Issues and Options; and Phase 2: Developing the Strategy FIGURE 1: THE REGIONAL AFFORDABLE HOUSING STRATEGY UPDATE PROCESS Roundtable Develop Goals Discussion Paper Stakeholder Engagement Draft Strategy Stakeholder Engagement Final Strategy Phase 1 Issues and Options Phase 2 Develop the Strategy Fall 2013 Winter/Spring Fall Spring 2015 Fall 2015 We are here. Winter 2016 Phase 1 consisted of setting the scope of the update and developing a workplan, articulating the principles underlying the update, and examining current and evolving regional and local housing challenges and opportunities. A March 2014 Discussion Paper summarized these challenges and opportunities and proposed goals and directions for consideration. Phase 2 consisted of the process of developing the draft strategy with RPAC s Housing Subcommittee and with the Metro Vancouver Housing Committee. Consultation with internal and external housing stakeholders has been an important aspect of the strategy update process, and has occurred at two key points: to respond to the goals and directions proposed in the 2014 Discussion Paper in September 2014 and to provide feedback on the Draft Strategy planned for November In addition, a roundtable of housing and transportation experts was asked to provide advice on the challenge of achieving housing affordable to a mix of income levels in transit-oriented locations. External stakeholders representing the private and non-profit housing sector, business and community groups, and all levels of government have been involved through stakeholder workshops and/or written feedback. Municipal members will be asked to indicate their support for the Strategy prior to its endorsement by the GVRD Board of Directors. HOU - 19 REGIONAL AFFORDABLE HOUSING STRATEGY UPDATE DRAFT 5

20 1.3. WHAT HAS BEEN ACCOMPLISHED? Since the original Regional Affordable Housing Strategy was adopted in 2007, significant progress has been made. There is an enhanced collective awareness of the affordability issue, and regional and local governments have taken some important actions to address it. For example, Metro Vancouver has: Advanced awareness of the importance of rental housing through the Rental Housing Supply Coalition. Prepared regional and municipal housing demand estimates through Metro Completed foundational research on rental housing to ensure there is a good understanding of the purpose built rental housing inventory, and the risk of redevelopment. Completed Metro 2040 Implementation Guideline #3: What Works: Affordable Housing Initiatives in Metro Vancouver Municipalities, providing guidance on the use and effectiveness of municipal measures for affordable housing. Created provisions to waive GVS&DD Development Cost Charges for affordable rental housing developments. Metro Vancouver Housing Corporation has received rezoning approval to redevelop Heather Place, an existing MVHC housing site in Vancouver. It will create an additional 150 units of mixed-income housing. Municipalities have: Adopted Housing Action Plans that demonstrate how they plan to achieve the estimated local housing demand, including that for low and moderate income households. Implemented zoning measures in support of housing diversity and affordability, such as permitting secondary suites and/or laneway houses in single-family zoned areas subject to certain conditions, allowing accessory dwelling units in duplexes, reducing parking requirements in areas close to transit, and providing small lot zones, etc. (City of North Vancouver) Facilitated new supportive and transitional housing for vulnerable populations by providing municipal land at low or no cost through Memorandums of Understanding with the province (Cities of Surrey and Vancouver). Used housing reserve funds to lever the development of new non-profit housing by providing grants, purchasing land for non-profit use, and reducing or waiving permit fees. Granted additional density to residential developers in exchange for either on-site affordable housing units or fees in lieu of these units (City of Richmond, Affordable Housing Strategy). Set targets for market rental housing and affordable housing, including preservation of existing affordable housing, in transit corridors (City of Vancouver, Cambie Corridor Plan and Marpole Community Plan). HOU REGIONAL AFFORDABLE HOUSING STRATEGY UPDATE DRAFT

21 Set strategic expectations for transit station areas to accommodate a mix of land uses and housing types, and, on larger sites, new on-site purpose built rental housing units (City of Coquitlam, Transit-Oriented Development Strategy). Offered incentives to owners and developers to retain, renew, and enhance the purpose built market rental housing supply (City of New Westminster, Secured Market Rental Policy) LINKS TO REGIONAL AND LOCAL PLANS Metro 2040 provides the overall growth management framework for the region, it coordinates and aligns regional land use and transportation planning, and directs growth to Urban Centres and in Frequent Transit Development Areas (FTDAs). The plan calls for over two thirds of residential and employment growth to occur in these transit-oriented locations. These actions have contributed to some positive outcomes: The number of new rental housing completions each year in the region has increased from about 560 units in 2008 to approximately 3,000 units in 2013 and 2014, a marked increase composed of both non-market and market units. This is attributed to changing market conditions for condominium apartments, to municipal incentives for secure rental housing, and to better CMHC data on secondary suite completions. The number of people on the BC Housing Registry waitlist for social housing in Metro Vancouver in June 2014 was 9,490 people, down from the 2007 figure of 10,580 persons. This improvement is partly attributable to the introduction by BC Housing of the Rental Assistance Program in The number of families receiving a rent supplement through the Rental Assistance Program in Metro Vancouver rose from 2,546 families in 2007/2008 to 6,068 families in 2013/2014. This increase reflects changes in program eligibility as well as demand. An additional 3,700 units for homeless persons (primarily supportive housing) have been completed since 2007, three quarters of the way to the goal of 5,000 units in 10 years set out in the RAHS. 1 The RAHS is a strategy focused on a single component of growth housing. RAHS relies on the regulatory function of Metro 2040 and the associated Regional Context Statements as a primary means of implementation. For example, Goal 4 of Metro 2040 aims to create complete communities, and one of the strategies for doing this is through policy support for an affordable and diverse housing supply. Metro 2040 presents housing demand estimates for the region and for individual municipalities by tenure and income level. Regional Context Statements, prepared and adopted as part of Official Community Plans and approved by Metro Vancouver, are expected to demonstrate how local policies or strategies to address housing needs in a municipality align with and support the regional growth strategy. Many municipalities have also adopted Housing Action Plans or are in the process of doing so, and some have implemented innovative and successful strategies and programs to implement them. The Mayors Council Transportation and Transit Plan for Metro Vancouver and TransLink s Regional Transportation Strategy guide future transport investments in the region, complementing Metro The Regional Transportation Strategy includes a commitment for TransLink to encourage affordable and rental housing along the Frequent Transit Network. 1 Source: BC Housing Annual Reports and Central Property System. Prepared by BC Housing s Research and Corporate Planning Department, June 2012 and net new Homeless Housed Units Mar 31, 2012-Mar 31, Prepared by BC Housing s Research and Corporate Planning Dept HOU - 21 REGIONAL AFFORDABLE HOUSING STRATEGY UPDATE DRAFT 7

22 1.5. THE HOUSING CONTINUUM AND REGIONAL AFFORDABLE HOUSING STRATEGY A RENTAL HOUSING FOCUS The housing continuum depicts the main elements of the housing supply, including different housing types, tenures and presence of support services (if any) (Figure 2). It also reflects a range of incomes or affordability levels. The main focus of the RAHS is on rental housing affordable rental and market rental housing the central part of the housing continuum. The RAHS is intended to complement the Draft Regional Homelessness Plan 2, adopted by the Regional Steering Committee on Homelessness (RSCH) in September That Plan focuses on emergency shelter and transitional and supportive housing for homeless or formerly homeless persons. The RAHS also addresses the homeownership part of the continuum where there are significant affordability concerns. The Regional Affordable Housing Strategy s strategic focus for homeownership is to facilitate housing diversity and choice, particularly in the entry level homeownership category. FIGURE 2 HOUSING CONTINUUM AND RENTAL HOUSING FOCUS Rental Ownership Affordable rental Affordable rental with support Emergency shelter Transitional and supportive housing Low income rental Moderate income rental Market rental Entry level home-ownership Market home-ownership REGIONAL HOMELESS PLAN REGIONAL AFFORDABLE HOUSING STRATEGY INCOME LEVEL 1.6. LOW AND MODERATE INCOME HOUSEHOLDS Affordability is a measure of the ability to pay for housing. It relates the price or cost of housing to household income. Housing is considered affordable when monthly housing costs (rent or mortgage payments including property taxes, strata fees, and heating costs) consume less than 30% of before tax (gross) household income. Housing affordability concerns are invariably associated with households with low and moderate incomes as they face difficulties affording market rental rates. Households with higher incomes may choose to pay more than 30% and still live comfortably. Metro Vancouver s regional median household income (RMHI) in 2011 was $63,000 per year. Half of regional households had incomes above $63,000, and half of households incomes were below it. Of the six largest metropolitan regions in the country, Metro Vancouver has the second lowest median household income, trailing Calgary, Edmonton, Ottawa and Toronto. 2 Regional Steering Committee on Homelessness. Sept Regional Homelessness Plan. HOU REGIONAL AFFORDABLE HOUSING STRATEGY UPDATE DRAFT

23 The RAHS focuses on the housing needs of low and low to moderate income households recognizing that the market cannot do so. As defined in Metro 2040, low income households are those earning 50% or less of the regional median or below $30,000 per year. Low to moderate income households earn between 50 and 80% of RMHI or $30,000-50,000 per year and moderate income households earn % of RMHI. Table 1 shows the amount that each household income segment can afford to pay for housing. Different household types and sizes will have different incomes and housing costs; for example a family household will have higher housing costs than a single person household. TABLE 1: HOUSEHOLD INCOME CATEGORIES METRO VANCOUVER 2011 Household Income Categories Share of regional median household income ($63,000) Annual household income range Affordable monthly housing payment Low income households <50% RMHI <$30,000/yr Less than $750/mo Low to moderate income 50%-80% RMHI $30,000-$50,000/yr $750-1,250/month households Moderate income households 80% -120% RMHI $50,000 -$75,000/yr $1,250-1,875/month Above moderate income households 120% RMHI + $75,000 plus/yr $1,875 plus/month Source: Income categories from Metro Appendix A, Table A1. Income based on 2011 National Household Survey THE AFFORDABLE HOUSING AND TRANSIT CONNECTION While households choose where to live for all kinds of reasons, the housing affordability and transit connection is an important consideration. For many working households, transit is a necessity to get to work. Chart 1 shows the relationship between transit use, housing tenure and household income in Metro Vancouver. In general, renters are more likely than owners to take transit to work. In particular, renter households earning less than $50,000 per year depend on transit the most. Ideally then, affordable rental housing should be located proximate to transit. CHART 1: SHARE OF HOUSEHOLDS USING TRANSIT BY HOUSEHOLD TENURE AND INCOME IN METRO VANCOUVER $75,000 and Higher $50,000 to $75,000 Less than $50,000 0% 5% 10% 15% 20% 25% 30% 35% 40% Renter Households Owner Households Source: NHS HOU - 23 REGIONAL AFFORDABLE HOUSING STRATEGY UPDATE DRAFT 9

24 The McKinsey Global Institute s analysis of affordable housing solutions points to transit-oriented development as one of the top policy approaches for making land available for affordable housing at the right location ; 3 for example, where access to public transit links residents to employment and services. In Metro Vancouver, the Frequent Transit Network (FTN) describes the network of corridors with transit service every 15 minutes during day and evening 7 days a week be it via Skytrain or bus. The FTN 2040 Concept describes the proposed FTN in Based on the above linkages, the FTN should be a key planning tool in affordable housing provision. FIGURE 3: TRANSLINK S FREQUENT TRANSIT NETWORK 2040 CONCEPT Source: TransLink Regional Transportation Strategy Strategic Framework, July McKinsey Global Institute. October A blue print for addressing the global affordable housing challenge. HOU REGIONAL AFFORDABLE HOUSING STRATEGY UPDATE DRAFT

25 A rule of thumb for good transit access is a location within 800 metres of a rapid transit station or 400 metres of a frequent bus stop, as illustrated in Figure 4. FIGURE 4: PROXIMITY TO FREQUENT TRANSIT NETWORK FREQUENT BUS 400 metres 800 metres RAPID TRANSIT Urban Centre HOU - 25 REGIONAL AFFORDABLE HOUSING STRATEGY UPDATE DRAFT 11

26 2. PART TWO: THE CHALLENGE 2.1. REGIONAL GROWTH TRENDS Metro Vancouver is growing rapidly. The region is a destination for nearly 40,000 additional people per year, or another 1 million people by This reality means a growing demand for new homes, roughly 500,000 additional homes over the next 25 years. CHART 2: A GROWING REGION 3,500,000 3,000, MILLION POPULATION 2,500,000 2,000,000 1,500, ,000 JOBS +500,000 HOMES 1,000, , Source: Metro Appendix A, Table A1. HOU REGIONAL AFFORDABLE HOUSING STRATEGY UPDATE DRAFT

27 2.2. ESTIMATED REGIONAL HOUSING DEMAND To meet this growth, Metro 2040 forecasts a total housing demand of approximately 18,500 units per year over the next 10 years. It expects that despite high home prices, and based on past trends, that about two thirds or 12,000 households will continue to able to make the necessary trade-offs to buy a home. Rental housing demand is estimated at 6,500 new units each year over 10 years. Of these rental units, two thirds is for low and low to moderate income households or 4,700 units per year. The remaining demand for 1,800 rental units per year is for moderate and higher income households who can afford to pay market rents. Metro 2040 also estimated housing demand for each municipality in the region over a ten year period (based on 2006 census data). These are provided in Appendix 1. These estimates are being updated based on accepted Regional Context Statements and 2011 Census, National Household Survey and other data, in consultation with municipalities. CHART 3: DISTRIBUTION OF ANNUAL HOUSING DEMAND METRO VANCOUVER LOW INCOME RENTAL 2,200 OWNERSHIP DEMAND 12,000 LOW-TO- MODERATE INCOME RENTAL 2,500 RENTAL DEMAND 6,500 MARKET RENTAL 1,800 HOU - 27 REGIONAL AFFORDABLE HOUSING STRATEGY UPDATE DRAFT 13

28 2.3. MISMATCH BETWEEN RENTAL HOUSING DEMAND AND SUPPLY The market is largely meeting the estimated demand for ownership housing, but prices are rising, particularly for desirable single family homes. Market rental supply is also growing thanks to changing market conditions, innovative municipal incentive programs, and an expanding supply of secondary rental units (i.e. investor owned rented condominiums, secondary suites and laneway houses). But not unexpectedly, given high construction costs and lack of government funding, there has been less progress in achieving low income and low to moderate income housing demand estimates. In order to understand the current rental situation and to determine where future housing policy and advocacy efforts should be focused, an estimate of the gap between estimated rental housing demand and supply for different income levels has been made. It provides an order of magnitude estimation of the share of rental housing demand that has been met by newly completed supply by income level in Metro Vancouver, for 2011 to Estimated rental demand is an average of the Metro 2040 rental demand estimates made in 2011, and the actual increase in rental households based on the Census/National Household Survey between 2011 and 2006, on an annual basis. The supply estimate incorporates all forms of rental housing completions reported by CMHC, including non-profit rental, purpose built rental, rented condominiums, secondary suites and other forms of secondary rental supply such as rented detached homes, duplexes and townhouses. A description of the estimation approach is provided in Appendix 2. Table 2 shows that in the period from 2011 to 2014 new rental supply fell short of rental demand by about 1,600 units and that only about half to two thirds of the estimated rental housing demand for low and low to moderate income households, respectively, was met with new supply. 4 This is the overall regional picture; the situation in each municipality may be different. Provincial government rent supplements help to make existing rental housing more affordable for some low income households. Between 2011 and 2014, the province added almost 2,700 new rent supplements for low income households in Metro Vancouver mainly through the Rental Assistance Program (RAP) for families and Shelter Aid for Elderly Renters (SAFER) for seniors. These programs help low income households meet their rental housing needs providing them with additional income to afford low end market rents. 4 Performance in this period has likely been impacted by the lagged effects of the financial crisis, when housing starts fell dramatically. Completions do not measure units committed or under construction; further data analysis will help to shed light on this. HOU REGIONAL AFFORDABLE HOUSING STRATEGY UPDATE DRAFT

29 TABLE 2: ESTIMATION OF RENTAL UNIT COMPLETIONS AS SHARE OF DEMAND BY INCOME METRO VANCOUVER Household Income Categories Low income rental (<$30,000/yr) Low-to-moderate income rental ($30,000-$50,000/yr) Gap between estimated rental demand and rental completions Rental completions as a share of estimated demand With rent supplements Net additional rent supplements Share of rental demand achieved -3,900 46% 2,700 83% -2,900 66% 0 35% Market rental ($50,000+/yr) 5, % 0 185% Total rental units -1,600 93% 93% Source: Demand Estimate. Average of Metro 2040 Housing Demand Estimates Appendix A, Table A4 and Statistics Canada annual change in renter occupied dwellings between 2006 and Supply Estimate. CMHC. Purpose built rental housing, rented condominiums, secondary suites, and rented duplexes and SFD completions. Net of apartment demolitions. New units funded by BC Housing considered low income rental. Rent Supplements. BC Housing. Research and Corporation Planning Department. Unit Count History Pivot Table. March 31 of each year. Net increase in the number of rent supplements per year in Metro Vancouver. As of March 31, ,175 households in the region received a rent supplement. But rent supplements (which do not create new units and instead rely on the existing housing supply) can be inflationary, with the unintended consequence of placing pressure on moderately priced rental units. Rent supplements increase demand by enhancing recipients ability to pay for rent, allowing low income households earning under $30,000 or $35,000 per year to pay more for rent than they could afford with their income alone, drawing from the supply of higher cost units. When rent supplements are considered, the net result is that over 80% of low income housing demand is met over the period, while only 35% of low-to-moderate income demand is supplied. One impact of this imbalance is that some households pay more for housing than they can afford, exceeding the 30% affordability threshold. Chart 4 shows that about 45% of Metro Vancouver renter households had a housing cost burden of 30% or more in 2011, and they were significantly worse off than owners. In fact, more Metro Vancouver households had a housing cost burden exceeding 30% than in any other city in Canada. HOU - 29 REGIONAL AFFORDABLE HOUSING STRATEGY UPDATE DRAFT 15

30 CHART 4: SHARE OF HOUSEHOLDS EXCEEDING 30% HOUSING COST BURDEN 2011 Renters Ottawa CMA 45% Edmonton CMA Montreal CMA Calgary CMA Owners Toronto CMA 28% Vancouver CMA Share of households % 2.4. THE HOUSING AND TRANSPORTATION COST BURDEN Transportation costs add to a household s housing cost burden, and can combine to make living in this region affordably a challenge. A recent study from Metro Vancouver shows that working households (households with a least one member in the employed labour force) living in areas well served by transit or close to their job have relatively low transportation costs, whereas households in other locations may face higher costs. It showed that living near frequent transit can make it easier to absorb relatively high housing costs. The study showed that working owner households with mortgages have an estimated housing and transport cost burden (as a percent of their gross income) of 40%; working renters have a higher cost burden of 49%. Renter households with incomes under $50,000 per year have the highest cost burdens of all households, spending 67% of their gross household income on housing and transportation costs. These figures are independent of taxes. Providing options for low to moderate income households to live in transit-oriented locations can improve overall affordability, and ensure the availability of workforce housing needed for a strong regional economy. New transit investments in the region can improve overall affordability by reducing reliance on automobiles and the associated costs. HOU REGIONAL AFFORDABLE HOUSING STRATEGY UPDATE DRAFT

31 CHART 5: HOUSING AND TRANSPORTATION COST BURDEN BY INCOME FOR RENTERS 80% 70% 60% 50% 29% 40% 24% 30% 18% 20% 41% 14% 10% 22% 15% 26% 0% Less than $50,000 $50,000 to less than $75,000 $75,000 or more All Renter Households Housing Burden Transport Burden Source: Metro Vancouver Housing and Transportation Cost Burden Study: A New Way of Looking at Housing Affordability May PROVINCIAL AND FEDERAL GOVERNMENT FUNDING PROGRAMS FOR AFFORDABLE HOUSING Provincial and federal government housing and homelessness programs have traditionally had a significant bearing on the production of new housing that is affordable for low and moderate income households because it is uneconomical for the market to do so. Today, in contrast to previous periods, there is limited government funding for new affordable housing supply. This seriously impacts the likelihood that housing demand estimates for low and low to moderate income households will be achieved. Federal tax incentives for market rental housing are no longer available, and the federal government withdrew from providing significant funding for new social housing in the early 1990s. As well, provincial and federal funding for new transitional and supportive housing for the homeless or those at risk of homelessness has been reduced after several years of significant investment. At the same time, operating subsidies for existing non-profit and cooperative housing projects are being phased out in the next few years. A small federal role remains through joint funding agreements with the province. In BC, the province has elected to focus new spending on rent supplements as the primary means of improving affordability for some low income households. HOU - 31 REGIONAL AFFORDABLE HOUSING STRATEGY UPDATE DRAFT 17

32 Table 3 summarizes current provincial and federal government housing programs noting major changes since the RAHS was adopted in 2007 and the potential impact on the Metro Vancouver housing market. TABLE 3: PROVINCIAL AND FEDERAL GOVERNMENT FUNDING PROGRAMS 2015 Government Program Rental Assistance Program (RAP), Shelter Aid for Elderly Renters (SAFER) and Homeless Prevention Program (HPP) Potential Impact These rent supplement programs aid affordability for low income households by increasing income and therefore access to market rental housing. They do not directly increase the supply of housing. Provincial expenditures on rent supplements are growing. The new Homeless Prevention Program (HPP) uses rent supplements with supports to prevent homelessness among certain targeted groups. Rent supplements are not necessarily permanent or long-term programs; they could be terminated at any time. Expiry of non-profit and cooperative housing operating agreements and subsidies Over the next 10 years the expiry of non profit and cooperative operating agreements will mean a loss of annual subsidy usually linked with mortgage payment. There is a risk of loss of some units affordable to low income households as non-profits/coops may have to raise rents to achieve operating viability. There may be a possible corresponding increase in rental supply affordable to moderate income households as rents rise. Federal Homelessness Partnering Strategy (HPS) Metro Vancouver is allocated approximately $8.2 million per year for under a Housing First funding model. The HPS Community Plan allocations direct 65% of the funds toward Housing First projects required to target chronically and episodically homeless persons and 35% toward non-housing First projects, including a percentage toward renovations and new construction a significant reduction in this spending component from previous years. No provincial transitional and supportive housing supply programs are currently in operation. The province is relying on scattered site models that use existing non-profit and private rental housing supply together with rent supplements, outreach and other supports to accommodate the homeless population. This places pressure on the existing rental housing supply. HOU REGIONAL AFFORDABLE HOUSING STRATEGY UPDATE DRAFT

33 2.6. THE FUNDING GAP Given market rents and land and construction costs, it is challenging to make the numbers work even for market rental housing. Rented condominiums are expensive and in many cases incentives are required to achieve financial viability for new purpose built market rental housing (for households earning over $50,000 per year). It is even more difficult to create rental housing at rates affordable to households earning between $30,000 to $50,000 per year, with the exception of secondary suites, which are not suitable for everyone. Rent supplements are available to help seniors and families earning under $30,000 per year to afford market rents, if they qualify. New rental housing for low-to-moderate income earners of $30,000 $50,000 per year requires further assistance in the form of subsidies or grants to achieve affordability for low to moderate-income households. The actions proposed in the Regional Affordable Housing Strategy aim to facilitate new housing affordable for households earning between $30,000 and $50,000/year, assuming the continued availability of provincial rent supplements to make these units affordable households earning below $30,000 that qualify. FIGURE 5: THE FUNDING GAP $Incentives Market Rent needed rent affordable to achieve to households financial earning above viability $50,000/yr? $ $ $Unfunded gap Rent affordable to households earning between $30,000 and $50,000/yr Provincial/ federal rent supplements or subsidies Rent affordable to households earning under $30,000/yr HOU - 33 REGIONAL AFFORDABLE HOUSING STRATEGY UPDATE DRAFT 19

34 PART THREE: THE STRATEGY The RAHS begins with a shared regional vision reflecting Metro 2040 s broad objectives. It is structured around five goals depicting desired future housing outcomes. Each goal is supported by strategies that are intended to advance that goal. Specific actions follow for Metro Vancouver, for implementation either through housing policy and planning, by Metro Vancouver Housing Corporation or the Homelessness Partnering Strategy Community Entity. This is followed by recommended actions for municipalities to be implemented through Official Community Plans, Regional Context Statements, and Housing Action Plans, as well as other plans, policies and programs. Finally there are recommended actions for the provincial and federal government, the development industry, TransLink and health authorities, where appropriate. HOU REGIONAL AFFORDABLE HOUSING STRATEGY UPDATE DRAFT

35 3.1 VISION A diverse and affordable housing supply that meets the needs of current and future regional residents. 3.2 GOALS AND STRATEGIES Table 4 summarizes the five goals and the strategies for advancing each goal. This is followed by a re-statement of each goal and associated strategies, with specific actions for each goal. TABLE 4: GOALS AND STRATEGIES Goal GOAL 1: 1 GOAL 2: 2GOAL 3: 3GOAL 4: 4GOAL 5: 5 Expand the supply and diversity of housing to meet a variety of needs. Preserve and expand the rental housing supply Meet housing demand estimates for low and moderate income earners Increase the rental housing supply along the Frequent Transit Network End homelessness in the region Strategies Strategy 1.1 Diversify the housing supply in terms of unit and lot size, number of bedrooms, built form and tenure Strategy 1.2 Address community opposition to new residential development Strategy 1.3 Plan for the special housing needs of specific sub-populations Strategy 1.4 Enhance understanding of the housing market to improve housing policy Strategy 2.1 Expand the supply of rental housing, including new purpose built market rental housing Strategy 2.2 Make retention and maintenance of existing purpose built market rental housing more attractive Strategy 2.3 Ensure that tenant relocations are responsive to tenant needs Strategy 3.1 Facilitate new rental housing supply that is affordable for low and moderate income households Strategy 3.2 Support non-profit and cooperative housing providers to continue to operate mixed income housing after operating agreements expire Strategy 3.3 Facilitate non-profit and cooperative housing providers to create new mixed income housing through redevelopment or other means. Strategy 3.4 Advocate to provincial and federal governments for housing and income support programs to meet housing needs Strategy 4.1 Expand awareness of the affordable housing and transit connection Strategy 4.2 Plan for transit station areas, stop areas and corridors to include rental housing affordable for a range of income levels Strategy 4.3 Implement incentives to encourage rental housing near transit Strategy 5.1 Expand housing options to meet the needs of homeless people in the region Strategy 5.2 Promote measures that prevent at risk individuals from becoming homeless Strategy 5.3 Advocate to the provincial and federal government for support to meet the housing needs of the homeless HOU - 35 REGIONAL AFFORDABLE HOUSING STRATEGY UPDATE DRAFT 21

36 GOAL 1 EXPAND THE SUPPLY AND DIVERSITY OF HOUSING TO MEET A VARIETY OF NEEDS The market provides most of the housing supplied in the region, most of it home-ownership and it will continue to do so. This goal recognizes that to meet the growing and changing needs of the workforce and other residents, it is desirable that the market produce a wider variety of housing forms and tenures at a variety of price points, including for specific populations with distinct needs. As well, it recognizes that the single detached home is increasingly out of reach for families in some parts of the region and that alternative ground-oriented home-ownership options are required to meet evolving consumer needs and ability to pay. There are many costs associated with operating a home, whether rental or ownership. Focusing on ways to reduce or minimize these ongoing costs can influence affordability over the long term. Easing the concerns of residents about new development can also help to ensure that the market is able to supply new housing in a timely fashion. This goal also recognizes that the region is impacted by global and national trends that may produce consequences for our housing market and that a better understanding of these trends can help produce better policy and planning. STRATEGIES: Strategy 1.1: Strategy 1.2: Strategy 1.3: Strategy 1.4: Diversify the housing supply in terms of unit and lot size, number of bedrooms, built form and tenure Address community opposition to new residential development Plan for the special housing needs of specific populations Enhance understanding of the housing market to improve housing policy HOU REGIONAL AFFORDABLE HOUSING STRATEGY UPDATE DRAFT ACTIONS: Metro Vancouver, through its Regional Planning role, will: a. Update the Metro 2040 housing demand estimates in consultation with municipalities, including family type if possible, and monitor and report on progress towards achievement of these estimates. b. Undertake outreach to promote public awareness and understanding of accommodating population growth with increased density and housing diversity, and best practices for accommodating this growth using examples and strategies from here and elsewhere. c. Prepare an Implementation Guideline for Municipal Housing Action Plans to provide best practice guidance on the form and content of these plans. d. Research, collect, acquire and analyse data to support municipal housing policy including undertaking related transportation and parking studies: i. Explore financial and regulatory barriers, and opportunities for expanding the supply and variety of ground-oriented and medium density ownership housing choices such as infill housing, townhouses, duplexes with accessory dwellings, and cottage housing. ii. Best practices in mechanisms for home ownership that is affordable for entry level home buyers, such as cooperatives, co-housing and new forms of shared ownership and the post occupancy satisfaction of residents of these projects.

37 iii. Best practices in addressing community opposition for all types of housing along the housing continuum. iv. Convene a regional working group of industry and government stakeholders to explore how to obtain data to better understand the drivers of housing demand in the region (i.e. equity versus income, foreign and investor ownership of residential property, incidence of speculation, and vacant, unoccupied or second units). e. Advocate to the provincial and federal government for collection and reporting of reliable data about the sources and nature of regional housing demand. If warranted, advocate for measures to counteract adverse impacts of external demand, vacant units and/or speculation. f. Request that senior governments identify concrete ways that foreign investment could be directed to improve the affordability of the Metro Vancouver housing market, for example, through investment in new purpose built rental housing, or directing additional fees or taxes towards affordable housing. g. Offer workshops/seminars/speakers on housing topics of common concern. h. Work with stakeholders to develop and advance regional housing policy directions for First Nations, seniors, persons with disabilities and other populations, as warranted. i. Work with partners to create an accessible and adaptable housing registry to assist persons with disabilities and seniors to find appropriate housing to live independently. Municipalities will, through plans, policies and programs: j. Monitor and report on progress towards achievement of Metro 2040 housing demand estimates. l. Use zoning and regulatory measures to expand the variety of types, tenure and built form of ground-oriented ownership and rental housing (i.e. coach houses/laneway houses, semi-detached and duplexes, micro units, townhouses including freehold townhouses, secondary rental market housing options such as accessory dwelling units in duplexes and townhouses, and other forms of infill and intensification.) m. Encourage a diversity of housing forms in proximity to the Frequent Transit Network including medium density ground oriented options in station shoulder areas. n. Promote family friendly housing, as applicable, through policies for multi-family housing options with 3 or more bedrooms. Proposed Non-profit and Private Sector Development Partner Actions: o. Work with municipalities to facilitate an effective and efficient development approval process. p. Work with municipalities to establish bedroom mix objectives to ensure an adequate supply of family friendly housing. q. Bring forward innovative development applications that meet the needs of families using alternate forms, densities and tenures. Proposed Health Authority Actions: r. Plan for and fund suitable housing and support services for frail seniors, persons with severe and persistent mental health issues and other vulnerable populations including the homeless. Proposed Provincial Government Actions: s. Ensure the building code does not present barriers to innovative forms of residential infill development such as coach houses or secondary suites in duplexes. GOAL 1 k. Demonstrate how Housing Action Plan policies and initiatives are intended to work towards achieving Metro 2040 housing demand estimates. HOU - 37 REGIONAL AFFORDABLE HOUSING STRATEGY UPDATE DRAFT 23

38 GOAL 2 Market rental housing, consisting of purposebuilt units and secondary forms of rental housing such as secondary suites, laneway units and rented condominiums, is a critical component of the housing continuum and is usually more affordable than the least cost ownership option. It provides housing for recent immigrants, temporary workers, young people, seniors and students. And, as homeownership prices rise, a secure rental housing supply becomes a more valuable resource. Ensuring that this supply continues to grow is fundamental to the Strategy, as it will enable gradual redevelopment of the existing aging purpose built stock to occur without reducing rental supply. This goal also recognizes that rent supplement programs are dependent upon a growing rental supply to provide an adequate number of units and to avoid inflationary pressures. This strategy devotes special attention to purpose built market rental housing as an especially valuable component of the rental supply due to the security of tenure it offers tenants, and its vulnerability to redevelopment as condominiums. However, as this is not realistic over the long term for all buildings, ensuring phased or gradual redevelopment, with suitable replacement policies, will help to ensure a supply of rental accommodation. STRATEGIES: PRESERVE AND EXPAND THE RENTAL HOUSING SUPPLY Strategy 2.1: Expand the supply of rental housing, including new purpose built market rental housing Strategy 2.2: Make retention and maintenance of existing purpose built market rental housing more attractive Strategy 2.3: Ensure that tenant relocations are responsive to tenant needs 24 REGIONAL AFFORDABLE HOUSING STRATEGY UPDATE DRAFT ACTIONS: Metro Vancouver, through its Regional Planning role will: a. Monitor the purpose built rental housing supply, including in transit-oriented locations, to identify areas where rental housing is being lost or gained, to alert decision makers to the vulnerability of the purpose built rental supply. b. Expand the information base about the rental supply including rents for vacant units, and better understanding of the difference between purpose built rental housing and other forms of secondary rental. c. Inform the provincial and federal governments of gaps in rental housing supply by income level and advocate for specific measures to address funding gaps for low to moderate income housing (i.e capital funding, subsidies, tax incentives or other measures). d. Develop an Implementation Guideline on Municipal Measures to Expand and Sustain the Purpose Built Rental Supply profiling measures such as transferring density, innovative infill, energy upgrades, parking reductions, and purchase by non-profits. e. Research and identify best practices in tenant relocation policies and strategies. HOU - 38

39 Municipalities will, through plans, policies and programs: f. Offer incentives that will help make development of new purpose built market rental housing financially viable (i.e. parking reductions, fee waivers, increased density, and fast-tracking). g. Offer tools and incentives to preserve and sustain existing purpose built market rental housing (i.e. reduced parking, increased density for infill development, and transfer of density). h. Facilitate non-profit housing organizations to purchase existing rental buildings for conversion to non-profit operation. i. Require one for one replacement policies where existing rental supply is being redeveloped. j. Enact standards of maintenance bylaws to preserve the stock in good condition and prevent further erosion of existing rental stock. k. Support efforts to reduce rental operating costs by improving energy performance of purpose built rental buildings through the use of energy efficiency incentives offered by Fortis and BC Hydro, such as energy advisors, energy audits, demonstration projects etc. l. Establish bedroom mix objectives for new condominiums and purpose built rental housing. m. Provide clear expectations and policies for increasing and retaining the purpose built market rental housing supply. n. Require tenant relocation plans as a condition of approving the redevelopment of existing rental housing. o. Ensure that developers notify tenants impacted by redevelopment of their rights under the Residential Tenancy Act. Proposed Provincial Government Actions: p. Review all provincial taxes and assessment practices, including property transfer tax, to ensure they do not impede the delivery of rental housing. q. Review Residential Tenancy Act provisions for relocating tenants in a redevelopment situation with a view to enhancing provisions (i.e. moving expenses, notification, reduced rent, free month s rent) to mitigate the impact of relocation and to enable tenants to find suitable alternative accommodation. Proposed Federal Government Actions: r. Reinstate federal tax incentives to stimulate new purpose built market rental supply. s. Institute a new direct lending program with affordable rates for purpose built rental housing as advocated by the Federation of Canadian Municipalities (FCM). t. Offer an Eco-energy Tax Credit to encourage small apartment building owners to invest in eco-energy retrofits as advocated by FCM. GOAL 2 HOU - 39 REGIONAL AFFORDABLE HOUSING STRATEGY UPDATE DRAFT 25

40 GOAL 3 MEET HOUSING DEMAND ESTIMATES FOR LOW TO MODERATE INCOME EARNERS This goal focuses on strategies and actions to address the gap in the supply of low to moderate income housing. While market rental housing will form an important source of supply for low income households receiving rent supplements, this goal aims to catalyse the assets and resources of the non-profit and cooperative housing sector to continue to provide and increase the supply of mixed income non-profit rental and cooperative housing for low to moderate income households. It also recognizes that delivering and operating mixed income housing in todays economy and funding environment is complex, requires partnerships and significant municipal and non-profit capacity. HOU REGIONAL AFFORDABLE HOUSING STRATEGY UPDATE DRAFT STRATEGIES: Strategy 3.1 Strategy 3.2 Strategy 3.3 Strategy 3.4 Facilitate new rental housing supply that is affordable for low to moderate income households Support non-profit and cooperative housing providers to continue to operate mixed income housing after operating agreements expire Facilitate non-profit and cooperative housing providers to create new mixed income housing through redevelopment or other means Advocate to provincial and federal governments for housing and income support programs to meet housing needs

41 ACTIONS: Metro Vancouver, through its Regional Planning role, will: a. Work with BC Non-Profit Housing Association, the Cooperative Housing Federation of BC, municipalities, the provincial government, Federation of Canadian Municipalities and others to address issues related to expiring non-profit and cooperative housing operating agreements, including ongoing subsidy for low income households. b. Research and communicate best practices in the municipal development approval process for nonprofit and cooperative housing. c. Review GVS&DD DCC bylaw waiver conditions for affordable rental housing to ensure the waiver can assist in the creation of new affordable rental housing, by reflecting current funding arrangements and is consistent with municipal practices, as much as possible. d. Consider making surplus sites in suitable locations owned by Metro Vancouver and affiliated bodies available to MVHC to develop additional mixed income housing. Metro Vancouver Housing Corporation Actions: g. Work with municipal partners to identify Metro Vancouver Housing Corporation sites for redevelopment at higher density to increase the supply of mixed income non-profit rental housing, providing that suitable municipal incentives and/or other funding is available. h. Explore the sale of surplus or underutilized MVHC sites with proceeds reinvested into other sites that offer greater opportunity to supply more affordable housing units. i. Explore with municipalities opportunities on municipal sites for expanding the supply of mixed income non-profit rental housing. j. Consider management of affordable rental units obtained by municipalities through inclusionary housing policies, providing the units can be managed by MVHC on a cost effective basis. k. Explore making available for relocating tenants of redeveloping non-profit and purpose built market rental projects rental housing from within MVHC s existing portfolio of market rental units. GOAL 3 e. Explore member interest in sharing housing planning and policy services and potential costs and benefits of such a service. f. Advocate to the provincial and federal government for specific measures to address funding gaps for low to moderate income housing (i.e. capital funding or subsidies for new nonprofit and cooperative housing, rent supplements for single persons, and tax incentives for sale of purpose built rental housing to non-profit housing organizations). HOU - 41 REGIONAL AFFORDABLE HOUSING STRATEGY UPDATE DRAFT 27

42 GOAL 3 Municipalities will, through plans, policies and programs: l. Offer incentives for proposed new mixed income housing (i.e. parking reductions, fee waivers, increased density, and fast-tracking) to assist in making these housing options financially viable. m. Clearly state expectations and policies for development of new non-profit rental and cooperative housing n. Ensure a portion of amenity contributions or payments in lieu are allocated for housing affordable to low and moderate income households. o. Allocate housing reserve fund monies to affordable housing projects based on clearly articulated and communicated policies. p. Work with non-profit and cooperative housing providers to address issues related to expiring operating agreements. q. Work with non-profit or cooperative housing providers on leased municipal land to renegotiate or renew the lease, if applicable, with suitable provisions for affordable housing; and/or facilitate redevelopment at higher density, if appropriate. Proposed Non-profit, Cooperative and Private Sector Development Partner Actions: r. Consider partnerships with other private and nonprofit housing developers, faith based organizations and/or municipalities to develop new mixed income non-profit housing. Proposed Provincial Government Actions: s. Work with residential development industry stakeholders to improve the administration of air space parcels. t. Expand the eligibility of provincial rent supplements to other populations, including single persons. u. Increase Rental Assistance Program (RAP) and Shelter Aid for Elderly Renters (SAFER) rent and/ or income threshold levels in Metro Vancouver, to account for rising rent levels. v. Create new capital funding options to increase the supply of non-profit and cooperative housing, particularly in transit-oriented locations. Proposed Federal Government Actions: w. Provide rent supplements or ongoing subsidies for low-income tenants in existing cooperative and non-profit housing projects with expiring operating agreements. x. Institute a rental housing protection tax credit to preserve existing purpose built rental units through their sale to non-profit housing organizations as advocated by the Federation of Canadian Municipalities. HOU REGIONAL AFFORDABLE HOUSING STRATEGY UPDATE DRAFT

43 GOAL 4 INCREASE THE RENTAL HOUSING SUPPLY ALONG THE FREQUENT TRANSIT NETWORK This goal supports the regional priority for residential development along the Frequent Transit Network, a key objective of Metro 2040, which sets a target of 68% of residential growth within Urban Centres and Frequent Transit Development Areas. The goal also addresses the high housing and transportation cost burden borne by renter households who are living in locations that are not well served by transit. The strategies for this goal recognize that despite higher land costs in these locations, new transit station areas, transit stops and corridors and Frequent Transit Development Areas (FTDAs) provide an opportunity to meet the rental housing needs of all household income levels, particularly as some existing rental supply in these areas is being lost to redevelopment. It is recognized that municipalities are in different positions with respect to existing and new transit infrastructure, and that different strategies will have to be employed. STRATEGIES: Strategy 4.1 Strategy 4.2 Strategy 4.3 Expand awareness of the affordable housing and transit connection Plan for transit station areas, stop areas and corridors to include rental housing affordable for a range of income levels Implement incentives to encourage new purpose built rental housing near transit ACTIONS: Metro Vancouver, through its Regional Planning role, will: a. Convene a regional dialogue to highlight the affordable housing and transit connection and to demonstrate ways in which other jurisdictions have addressed this issue through transit investments, transit oriented development, land use planning, inclusionary housing policies, economic development and workforce and affordable housing initiatives. b. Work with housing and transportation partners to examine the feasibility of innovative financing approaches such as transit oriented affordable housing funds, tax increment financing, aggregating municipal housing reserve funds and other opportunities for closing the funding gap for low to moderate income housing near the Frequent Transit Network. c. Conduct research to support affordable housing in transit oriented locations on such topics as: an inventory of suitable transit-oriented sites adjacent to the FTN; financial viability of affordable housing in transit oriented locations; the business case for affordable housing near transit; innovative uses of land and airspace in good transit locations; parking requirements by unit size, best practices in car share policies and bike storage infrastructure, and the impact of unbundling of parking. d. Develop or cost share development of an online tool that will provide users with estimates of the combined housing and transportation costs associated with any given location in the region. e. Convene and facilitate negotiations among municipalities, TransLink and the Province with the objective of establishing an agreement to generate funding to achieve goals for low and moderate income housing near the Frequent Transit Network. HOU - 43 REGIONAL AFFORDABLE HOUSING STRATEGY UPDATE DRAFT 29

44 GOAL 4 f. Work with TransLink to establish agreements, including Project Partnership Agreements, in newly developing transit corridors and station areas anticipated to accommodate enhanced residential growth to ensure that they meet regional objectives for residential development, including rental housing for low to moderate income households. Municipalities will, through plans, policies and programs: g. Establish transit-oriented inclusionary housing targets for purpose built rental and for housing affordable to low to moderate income households within 800 metres of new or existing rapid transit stations and 400 metres of frequent bus corridors that are anticipated to accommodate enhanced residential growth. h. Purchase and hold sites/air space parcels for new non-profit housing to be made available as funding becomes available, focusing on the Frequent Transit Network. i. Establish an agreement with TransLink and the Province with the objective of generating funding to achieve goals for low to moderate income housing near the Frequent Transit Network j. Consider providing incentives for new purpose built rental housing and mixed income housing located in transit-oriented locations to enable them to achieve economic viability. 30 REGIONAL AFFORDABLE HOUSING STRATEGY UPDATE DRAFT Proposed TransLink Actions: k. Establish an agreement with municipalities and the Province with the objective of generating funding to achieve goals for low and moderate income housing near the Frequent Transit Network. l. Incorporate in agreements with municipalities, including Project Partnership Agreements if applicable, transit-oriented inclusionary housing targets within 800 metres of new or existing rapid transit stations and 400 metres of frequent bus corridors that are anticipated to accommodate enhanced residential growth. m. Establish an inclusionary housing target for joint development on TransLink/BC Transit properties. n. Establish an inclusionary housing target for TransLink air space developments or as a condition of any transfer of TransLink air space development rights. o. Work with housing partners to examine the feasibility of innovative approaches for closing the funding gap for low to moderate income housing near the Frequent Transit Network such as transit oriented affordable housing funds, tax increment financing, aggregating municipal housing reserve funds and other opportunities. Proposed Provincial Government Actions: p. Establish an agreement with municipalities and TransLink with the objective of generating funding to achieve goals for low and moderate income housing near the Frequent Transit Network. HOU - 44

45 GOAL 5 Metro Vancouver Regional Housing is the Community Entity for delivering and administering federal Homelessness Partnership Strategy funds in the region for While the provincial and federal governments and health authorities hold primary responsibility for meeting the significant health, mental health, social and housing needs of the homeless and at risk population, the region and local governments can and do play a role in facilitating local homeless serving facilities and services, including through housing and social policies. STRATEGIES: Strategy 5.1 Strategy 5.2 Strategy 5.3 END HOMELESSNESS IN THE REGION Expand housing options to meet the needs of homeless people in the region Promote measures that prevent at risk individuals from becoming homeless. Advocate to the provincial and federal government for support to meet the housing and support needs of the homeless. ACTIONS: Metro Vancouver, through its Regional Planning role, will: a. Advocate to senior levels of government and health authorities for 6,200 additional housing units with support as needed over the next 10 years for people who are homeless through a combination of purpose-built, dedicated subsidized buildings as well as scattered site units with rent supplements in the private market. b. Advocate to senior levels of government and health authorities to provide housing and support throughout the region that meets the needs of specific priority populations, such as housing specific to homeless youth, seniors, women, families, Aboriginal Peoples, people with mental health, addictions and/or other health issues, people with disabilities, francophones, the LGBT2Q population, newcomers and refugees. c. Advocate to health authorities and the provincial government for expanded mental health services as a means of preventing and reducing homelessness. d. With partners, explore the need for and feasibility of homelessness prevention strategies such as rent banks. e. Continue to deliver the federal Homelessness Partnering Strategy (HPS) through the Metro Vancouver HPS Community Entity. 5 The Regional Steering Committee on Homelessness is a multistakeholder governance body that acts as the Community Advisory Board for disbursement of these funds. In the past, the RSCH also provided regional policy direction through the 2003 Regional Homelessness Plan, called Three Ways to Home. The Regional Steering Committee on Homelessness is engaged in broad discussion in consideration of its regional coordination role and resources. HOU - 45 REGIONAL AFFORDABLE HOUSING STRATEGY UPDATE DRAFT 31

46 GOAL 5 Metro Vancouver HPS Community Entity will: f. Support the HPS Community Advisory Board in implementing a landlord engagement initiative to link homeless serving agencies in the community with landlords offering rental units in the private market. g. Conduct the tri-annual regional homeless count in partnership with Metro Vancouver municipalities and community organizations Municipalities will, through plans, policies and programs: h. Ensure that housing action plans and/or homelessness plans include specific actions to be taken to facilitate partnerships to address homelessness. i. Work with non-profit housing providers and private landlords to facilitate suitable housing options for persons who are homeless. Proposed Provincial Government Actions: k. Provide capital/and or operating funding for transitional and supportive housing for the homeless and those at risk of homelessness. l. Increase the shelter component of income assistance on a regular basis to reflect the cost of living in Metro Vancouver. Proposed Federal Government Actions: m. Provide capital funding for transitional and supportive housing for homeless persons. Proposed Health Authority Actions: n. Provide operating funding for transitional and supportive housing for persons who are homeless and at risk of homelessness. o. Develop and implement mental health services with a goal of preventing homelessness. j. Support agencies that serve the needs of the homeless population in the community. HOU REGIONAL AFFORDABLE HOUSING STRATEGY UPDATE DRAFT

47 3.3 IMPLEMENTATION AND PERFORMANCE MEASURES (To be completed) HOU - 47 REGIONAL AFFORDABLE HOUSING STRATEGY UPDATE DRAFT 33

48 DEFINITIONS/GLOSSARY Affordable Housing Housing is considered affordable when monthly housing costs (rent or mortgage payments including property taxes, strata fees, and heating costs) consume less than 30% of before tax (gross) household income. Housing affordability concerns are invariably associated with households with low and moderate incomes as they cannot afford market rates. Regional Median Household Income (RMHI) The median regional household income, for all households, in 2010, based on the National Household Survey, was $63,000. Low and low to moderate incomes are established relative to this amount. Low Income Households Low income households are those earning 50% or less of the regional median household income or below $30,000 per year, as defined in Metro 2040, based on the 2011 NHS and updated from time to time. Low-To-Moderate Income Households Low to moderate income households earn between 50 and 80% of RMHI or between $30,000-50,000 per year, as defined in Metro 2040, based on the 2011 NHS and updated from time to time. Non-Profit Housing and Cooperative Housing Social housing built under specific federal and provincial government housing supply programs from the 1960s to early 1990s with significant government subsidy. Social housing generally consists of a mix of low income rental units and market rental units, although some programs provided funding for 100% subsidized units. Many of these projects are still receiving ongoing funding from senior government until operating agreements expire. Mixed Income Housing Developed outside of senior government social housing programs, and usually employing a nonprofit or cooperative structure. The operating model is a mix of market and low and low-to-moderate income rental units, with the former subsidizing the latter. Developing new mixed income housing today typically requires free land (ie in redevelopment situations, an existing site), donations, grants, low cost loans, and/or municipal incentives. Housing Action Plan (HAP) Municipal Housing Action Plans set out strategies and actions for meeting housing demand estimates in their jurisdiction. Metro 2040, the regional growth strategy, set out an expectation that municipalities would prepare these plans to guide local housing affordability actions. Rental Assistance Program (RAP) The provincial Rental Assistance Program provides eligible low-income, working families with cash assistance to help with their monthly rent payments. To qualify, families must have a gross household income of $35,000 or less, have at least one dependent child, and have been employed at some point over the last year. Shelter Aid for Elderly Renters (SAFER) The provincial Shelter Aid for Elderly Renters (SAFER) program helps make rents affordable for BC seniors with low to moderate incomes. SAFER provides monthly cash payments to subsidize rents for eligible BC residents who are age 60 or over and who pay rent for their homes. BC Housing provides these subsidies to more than 17,000 senior households renting apartments in the private market, including singles, couples and people sharing a unit. HOU REGIONAL AFFORDABLE HOUSING STRATEGY UPDATE DRAFT

49 Purpose Built Market Rental Housing (PBMR) These are privately initiated rental buildings with 3 or more units. In Metro Vancouver they consist primarily of 3 or 4 story wood frame walk-up style apartments and high rise buildings completed in the 1960s to 1980s using federal tax incentives available at the time. Frequent Transit Network (FTN) TransLink s transportation network where transit service runs every 15 minutes in both directions throughout the day and into the evening, every day of the week. It incorporates both rail and bus transit options. There is a current FTN and an FTN Concept. Homelessness Partnering Strategy (HPS) This program provides federal funding for designated communities to address homelessness according to certain funding parameters. It is administered at the local level by a Community Entity approved by the federal Government. Since 2000, the Metro Vancouver region has received $8.2 million annually under the Homelessness Partnering Strategy (HPS) to invest in local solutions to homelessness. The Homelessness Partnering Strategy program introduced the Housing First approach to addressing homelessness by primarily focusing funds on chronically and episodically homeless persons. Regional Steering Committee on Homelessness (RSCH) The Regional Steering Committee on Homelessness (RSCH) is a coalition of community organizations and all levels of government with a vision to eliminate homelessness in Greater Vancouver. Their mandate is to maintain, revise and implement the Regional Homelessness Plan; recommend projects for funding under the Homelessness Partnering Strategy; and develop a regional understanding of homelessness and its solutions. Regional Homelessness Plan (RHP) The RSCH updated the Regional Homelessness Plan in 2014.The goal of the Regional Homelessness Plan (RHP) is to end homelessness in the Metro Vancouver region. The plan focuses on three areas: housing, prevention and support, and capacity building. Progress towards the plan s goals is reviewed every three years, using indicators and targets established in the plan. It is in a draft stage, as an implementation plan has yet to be completed. Homelessness Partnering Strategy (HPS) Community Entity (CE) The Greater Vancouver Regional District (Metro Vancouver) is the Community Entity for the Homelessness Partnering Strategy. In partnership with the Greater Vancouver Regional Steering Committee on Homelessness (RSCH) and the Community Advisory Board (CAB), it manages the call for proposals process to allocate federal funding under the Homelessness Partnering Strategy. Investment priorities and recommended projects are determined by a Community Advisory Board comprised of government representatives and homeless service providers. In Metro Vancouver, the RSCH serves as the Community Advisory Board for HPS investments. HOU - 49 REGIONAL AFFORDABLE HOUSING STRATEGY UPDATE DRAFT 35

50 APPENDICES REGIONAL HOU AFFORDABLE - 50 HOUSING STRATEGY UPDATE DRAFT 37

51 APPENDIX 1 METRO VANCOUVER 10 YEAR HOUSING DEMAND ESTIMATES BY MUNICIPALITY NOTE: To be updated prior to adoption of the strategy Municipality Low income rental Low to moderate income rental Moderate and above - market rental Total rental Ownership Total Demand Burnaby 2,400 2,900 2,200 7,500 13,800 21,300 New Westminster ,100 3,900 6,000 Langley City ,500 2,300 Langley Township 1,400 1,700 1,200 4,300 7,900 12,200 Maple Ridge ,300 4,300 6,600 Pitt Meadows ,000 1,600 Coquitlam 1,700 2,000 1,500 5,200 9,600 14,800 Port Coquitlam ,600 3,000 4,600 Port Moody ,400 2,700 4,100 North Vancouver City North Vancouver District ,600 2, ,400 2,600 4,000 West Vancouver ,400 Delta ,100 1,900 3,000 Richmond 1,800 2,200 1,600 5,600 10,400 16,000 Tsawwassen First Nation Surrey 5,600 6,800 4,900 17,300 32,100 49,400 White Rock ,200 1,800 Vancouver 3,500 4,200 3,000 10,700 20,000 30,700 Electoral Area A ,800 2,700 Metro Vancouver Total 21,400 25,400 18,100 64, , ,600 Source: Metro Vancouver Metro Appendix A, Table A Based on 2006 Census data. HOU REGIONAL AFFORDABLE HOUSING STRATEGY UPDATE DRAFT

52 APPENDIX 2 ESTIMATION METHOD FOR RENTAL UNIT COMPLETIONS AS A SHARE OF HOUSING DEMAND METRO VANCOUVER Rental Demand = avg of Metro 2040 annual rental demand estimates and actual increase in rental households between 2006 and 2011, on an annual basis, as reported by the 2006 Census and 2011 NHS. TABLE 2A: RENTAL DEMAND ESTIMATES Year Total Rental Demand Metro 2040 NHS Census Trend Estimate New Households Average Rental Demand ,490 4,500 5, ,490 4,500 5, ,490 4,500 5, ,490 4,500 5,495 Total 2011/14 25,960 18,000 21,980 Rental Supply = CMHC purpose built rental completions (including non-profit housing) less apartment demolitions, plus estimated rented condos plus rented secondary suites plus newly rented single detached/ duplex/row houses These were allocated to income categories as follows. TABLE 2B: RENTAL SUPPLY ESTIMATES Household income categories Low income rental (<50% RMHI) (<$30,000/yr) Low to moderate income rental (50%-80% RMHI) ($30,000-$50,000/yr) Market rental (>80% RMHI) ($50,000+/yr) Supply estimate allocated to income categories BC Housing new non-profit units created (3,323) 100% new rented secondary suites + 50% of suburban rented condos less 100% apt demolitions (= ) New PBMR less BC Housing new non profit units created plus 50% suburban rented condos + 100% new rented sfd/ rows/duplexes and 100% Vancouver rented condos (4815 minus 3323 plus ) Estimated Supply ,300 5,700 11,300 HOU - 52 REGIONAL AFFORDABLE HOUSING STRATEGY UPDATE DRAFT 39

53 APPENDIX 2 CONTINUED TABLE 2C: ESTIMATE OF GAP BETWEEN SUPPLY AND DEMAND BY HOUSEHOLD INCOME CATEGORY Household Income Categories Low income rental (<50% RMHI) (<$30,000/yr) Low to moderate income rental (50%-80% RMHI) ($30,000-$50,000/yr) Market rental (>80% RMHI) ($50,000+/yr) Estimated Rental Demand Estimated Rental Supply Gap (Supply- Demand) Categories 7,200 3,300-3,900 8,600 5,700-2,900 6,100 11,300 5,200 Total rental units 21,900 20,300-1,600 TABLE 2D: RENTAL COMPLETIONS AS A SHARE OF ESTIMATED RENTAL DEMAND BEFORE RENT SUPPLEMENTS Household Income Categories Low income rental (<50% RMHI) (<$30,000/yr) Low to moderate income rental (50%-80% RMHI) ($30,000-$50,000/yr) Market rental (>80% RMHI) ($50,000+/yr) Estimated Rental Demand Estimated Rental Supply Completions as a share of Estimated rental demand 7,200 3,300 46% 8,600 5,700 66% 6,100 11, % Total rental units 93% HOU REGIONAL AFFORDABLE HOUSING STRATEGY UPDATE DRAFT

54 APPENDIX 2 CONTINUED TABLE 2E: WITH RENT SUPPLEMENTS Household Income Categories Low income rental (<50% RMHI) (<$30,000/yr) Low to moderate income rental (50%-80% RMHI) ($30,000- $50,000/yr) Market rental (>80% RMHI) ($50,000+/yr) Est Rental Demand Est Rental Supply Completions As a Share of Est. Rental Demand Additional Rent Supplements Estimated Rental Supply - After Rent Supplements Share of Estimated Rental Demand Met After Rent Supplements 7,200 3,300 46% 2,700 6,000 83% 8,600 5,700 66% 0 3,000 35% 6,100 11, % 0 6, % Total rental units 21,900 20,300 93% 15,100 93% Note: Rent supplement figures provided by BC Housing. As of March 31, 2015, 15,175 Metro households received a rent supplement. Between 2011 and 2014, the provincial government increased the number of rent supplements by 2,700 in Metro Vancouver. HOU - 54 REGIONAL AFFORDABLE HOUSING STRATEGY UPDATE DRAFT 41

55 APPENDIX 2 CONTINUED TABLE 2F: SUMMARY Household Income Categories Low income rental (<50% RMHI) (<$30,000/yr) Low to moderate income rental (50%-80% RMHI) ($30,000-$50,000/yr) Market rental (>80% RMHI) ($50,000+/yr) Before rent supplements Gap Between Estimated Demand And Completions Completions As A Share Of Est. Rental demand With rent supplements Additional Rent Supplements Share Of Estimated Rental Demand Achieved -3,900 46% 2,700 83% -2,900 66% 0 35% 5, % 0 185% Total rental units -1,600 93% 93% HOU REGIONAL AFFORDABLE HOUSING STRATEGY UPDATE DRAFT

56 Metro Vancouver 4330 Kingsway, Burnaby, BC V5H 4G8 HOU Aug 2015

57 5.1 Attachment 2 Summary of June 26, 2015 RAHS Workshop Major Concerns Little new rental supply and impact of rent supplement programs Committee members expressed virtually unanimous support for an expanded provincial and/or federal role in providing tax incentives for new purpose built rental housing, continuation of subsidy for low income households in non-profit and cooperative housing with expiring operating agreements, enhanced funding for transitional and supportive housing for the homeless or those at risk of homelessness and provincial and Health Authority health and mental health care actions to prevent and address homelessness. In addition, some members expressed concern about current rent supplement programs, stating that they do not increase the supply of affordable rental or market rent housing, they could exacerbate already low vacancy rates, and potentially have inflationary effects on rental rates. The need, instead, is for additional rental supply that is affordable to low and moderate income households. Response: The number of rent supplements provided by the provincial government is growing, adding to demand, and few new purpose built rental units, affordable or market, have been built or are under development. The most recent Rental Market Report from CMHC for Spring 2015 indicates a downward trend in rental vacancy rates from 1.8% in 2014 to 1.4% in 2015 and rising rental rates in Metro Vancouver (5.5% year over year). In addition to valid concerns raised by Committee members about the impact of rent supplement programs, there is also growing concern about the loss of existing, more affordable, purpose built rental housing to demolition for condominium development, and the potential for the withdrawal of rental units for AirBnB use and other forms of temporary rentals. The Draft RAHS focuses on the rental housing supply and contains several actions for the provincial government in respect of additional funding for low and moderate income rental housing. Attention to home ownership versus rental tenure: Some Committee members considered the strategy needs more emphasis on homeownership affordability, given that ownership housing comprises 70% of the regional housing stock. The lack of diversity of ground-oriented entry-level homeownership options is of particular concern in terms of affordability and suitability for families. This was countered by the view that given limited municipal resources, municipal actions should be focused on the parts of the housing continuum that are not working as well, the rental market, with its continued low vacancy rate. Response: While the ownership market is performing well in most parts of the region, and supply is on track to meet estimated demand overall, ground-oriented ownership alternatives at prices affordable to the average homebuyer are in short supply. Exploring if regulatory or zoning barriers are present and identifying best practices would be a good first step in exploring how to facilitate this type of housing. The Regional Affordable Housing Strategy addresses this issue through Goal 1: Expand the Supply and Diversity of Housing to Meet a Variety of Needs with a number of regional and municipal actions. The draft has been enhanced in several ways: Additional reference to home ownership affordability concerns in Part One - the introduction and context setting part of the Strategy. HOU - 57

58 Language incorporates a wider variety of housing forms/tenures and governance models such as cooperatives, co-housing etc. Changing the wording of Goal 3 from Meet the housing demand estimates for low and moderate income renters to low and moderate income earners. Impact of foreign ownership, vacant homes and speculation: A related issue and a topic of public anxiety, members were concerned that the strategy did not address this topic adequately. Goal 1 Action 1d. iv Convene a regional working group to obtain data to better understand the drivers of housing demand in the region was included in the March draft. The invited speaker Dr. David Ley noted that real estate investment is now detached from immigration, that high net wealth individuals are influencing the market and that cooling measures might be in order. Some members noted that while this may be true, the market would not address rental housing need for low and moderate income earners, even in the absence of foreign investment, so that local government focus on this part of the continuum makes sense. Some members suggested exploring opportunities to harness global investment trends to benefit Metro Vancouver, for example, to expand the rental and affordable housing supply. This approach merits further consideration. Response: Objective data is needed to confirm the validity of these concerns. Several actions in RAHS address this issue. 1e. Advocate to provincial and federal government for collection and reporting of reliable data about the sources ad nature of regional housing demand. If warranted advocate for measures to counteract adverse impacts of external demand, vacant units and/or speculation. 1f. Request that senior governments identify how foreign investment could be directed to improve the affordability of the Metro Vancouver housing market, for example, through investment in new purpose built rental housing, or by directing additional fees and taxes towards housing affordability. Inclusionary housing policies near transit, and TransLink Project Partnership Agreements: Some members expressed unease about TransLink s plans to require and implement these agreements as proposed in the Mayors Vision, citing uncertainty about what will be asked of municipalities, and TransLink s ability to implement such agreements given lack of control of airspace. In addition, Project Partnership Agreements would not necessarily be applicable in all municipalities, such as in those municipalities with an already well-developed transit infrastructure. It was recommended that the language used in this action be more general. Response: Reference to inclusionary housing goals in Project Partnership Agreements remains, but added is a reference to other types of agreements. The principle of inclusionary goals for purpose built rental and mixed income rental near transit is retained as it is fundamental to the success of the strategy. It responds to the concern expressed by Dr. David Ley that transit oriented development can be a double edged sword without active policies to ensure the retention, and/or inclusion of new purpose built rental housing and/or mixed income housing affordable to low and low to moderate income households in these locations where the combined housing and transportation cost burden can be minimized. Enhanced role for MVHC in redevelopment and development of mixed income housing: The draft RAHS has specific actions under Goal 3 for MVHC to embark upon a new program of site HOU - 58

59 redevelopment and potentially new development, as mortgages expire on its properties. Specifically: 3g. Work with municipal partners to identify Metro Vancouver Housing Corporation sites for redevelopment at higher density to increase the supply of mixed income non-profit rental housing, providing that suitable municipal incentives and/or other funding is available. 3h. Explore the sale of surplus or underutilized MVHC sites with proceeds reinvested into other sites that offer greater opportunity to supply more affordable housing units. 3j. Explore with municipalities opportunities on municipal sites for expanding the supply of mixed income non-profit rental housing. One such project has been initiated and others are contemplated. Committee members generally supported these actions but noted that there are some missing details about how the funding will work without senior government subsidy and what will be asked of municipalities. Some members noted that there could be an opportunity for MVHC to increase the rate of development if additional revenues could be found, from an unspecified source. Response: Discussions have been occurring at a staff level with RPAC and RPAC s Housing Subcommittee on criteria for evaluating potential MVHC sites for redevelopment throughout the region, and what MVHC would be seeking from member municipalities in terms of incentives to facilitate such redevelopment. These include additional density, parking relaxations, fee waivers and fast track approval processes. The MVHC Board is considering a separate report on this matter Sept 11, Other changes: Removed some repeated MVHC actions that fell under both Goal 2 and Goal 3, so that the actions appear only once, under Goal 3. Moved Goal 3 Action 3b Offer workshops/seminars/speakers on housing topics of common concern to Goal 1 where it applies most broadly. Added to Goal 2 measures advocated by FCM: 2s. Institute a new direct lending program with affordable rates for purpose built rental housing as advocated by the Federation of Canadian Municipalities (FCM). 2t. Offer an Eco-energy Tax Credit to encourage small apartment building owners to invest in eco-energy retrofits as advocated by FCM. Removed Goal 1 Action 1.s: Create a provincial housing seniors housing policy framework to plan for and fund suitable housing for a growing seniors population. Goal 1f covers many populations, not just seniors. Added an action under Goal 5: 5c. Advocate to health authorities and the provincial government for expanded mental health services as a means of reducing homelessness. HOU - 59

60 5.2 To: From: Housing Committee Margaret Eberle, Senior Housing Planner Date: August 18, 2015 Meeting Date: Sept 11, 2015 Subject: BC Housing Non-Profit Housing Asset Transfer Program Update RECOMMENDATION That the Housing Committee receive for information the reported dated August 18, 2015, titled BC Housing Non-Profit Housing Asset Transfer Program Update and await further information from the Province in response to BC Non-Profit Housing Association and City of Burnaby requests. PURPOSE This report provides the Housing Committee with new information on the BC Housing Non-Profit Asset Transfer Program, and identifies key opportunities and concerns with the program. BACKGROUND The Province announced the Non-Profit Asset Transfer Program in October 2014 as part of its Housing Matters BC Strategy. It offers non-profit housing providers an opportunity to buy the land under their buildings, where the land is owned by the Provincial Rental Housing Corporation. Societies can choose whether to participate. The Housing Committee received a report on the program dated February 2, 2015 (Attachment 1) with an overview of the program and a preliminary assessment of the program based on input from BC Housing and BC Non-Profit Housing Association. The Housing Committee has since received correspondence from the City of Burnaby dated May 5, 2015 (Attachment 2), indicating concern about the transfer of public land out of public control. BC Non-Profit Housing Association released an updated Position Paper on the Non-Profit Asset Transfer Program in June 2015 (Attachment 3), stating their position, providing new information and outlining some concerns. At the June 26, 2015 Housing Committee meeting, staff was requested to report back with a further analysis of the BC Housing Non-Profit Asset Transfer Program. Metro Vancouver Housing Corporation purchased the only one of its sites on land formerly leased from the Provincial Rental Housing Corporation (PRHC) at the inception of the above program. BC Non-Profit Housing Association Position BC Non-Profit Housing Association (BCNPHA), the association representing over 500 non-profit housing providers in BC, issued a position paper on the program in June It supports the Non- Profit Housing Asset Transfer Program: BC Non-Profit Housing Association strongly supports the program as a key capacity building endeavour for our sector and as a way to help preserve affordable housing stock. We believe the program is an important step forward for a sector currently at a crossroad HOU - 60

61 between termination of decades old funding agreements and re-envisioning a new model for developing affordable housing in the absence of new, large scale government programs. 1 BCNPHA is developing a guide to assist non-profits with planning and decision-making related to this offer, recognizing the complexities involved in weighing the costs and benefits of such a land purchase, particularly for smaller, less sophisticated non-profits. Opportunities and Concerns There are a number of opportunities and concerns with the BC Housing Non-Profit Asset Transfer Program that have been reflected on by BCNPHA and the City of Burnaby. Opportunities: Ability for non-profits to access capital for re-investment in existing buildings. Without title, obtaining access to financing is difficult. Increased non-profit capacity to redevelop existing sites to create additional new units. Certainty about the future of the land underlying non-profit buildings at expiry. This will allow non-profits to plan for the future. The Province indicated that proceeds from the sale of provincial lands is to accrue to the housing sector. New mortgages on property extend covenants guaranteeing use for non-profit housing. In situations where an operating agreement is to expire, a new mortgage for the land purchase will come with a new agreement with BC Housing that will apply until the end of the mortgage term. Concerns: Little public information about the implementation of the program for example, which non-profits have been invited to purchase site(s), and how many have purchased their sites. Plans for the expenditure of the sale proceeds are unclear. It was originally anticipated that the proceeds would represent new investment in affordable housing. In May of 2015, the Minister Responsible for Housing indicated that the first $150 million in sale proceeds has been used to fund the province s share of the Investment in Affordable Housing (IAH) agreement, previously funded from general revenue. The City of Burnaby has raised concerns about the eventual transfer of public lands out of public control, the future of public assets and the level of accountability in the future, as only the non-profit s bylaws and constitution will ensure that the units remain affordable after the second mortgage matures and any covenant is released. Further erosion of the province s role in non-profit housing provision, particularly upon expiry of mortgages, operating agreements and covenants. Implications for Non-profits not Participating in the Land Purchase For non-profits on leased PRHC land that choose not to purchase their site or are not offered the opportunity to buy the land underlying their building, there remains uncertainty about what will occur at lease expiry. 1 BC Housing s Non-Profit Asset Transfer Program BCNPHA Position Paper Updated June HOU - 61

62 ALTERNATIVES That the Housing Committee: 1. Receive for information the reported dated August 18, 2015, titled BC Housing Non-Profit Housing Asset Transfer Program Update and await further information from the Province in response to BC Non-Profit Housing Association and City of Burnaby requests. 2. Receive for information the reported dated August 18, 2015, titled BC Housing Non-Profit Housing Asset Transfer Program Update and provide alternate direction. FINANCIAL IMPLICATIONS There are no financial implications for Metro Vancouver. The Committee may want to recommend to the Board further actions to ascertain the financial implications of this program, for example: clarification on how the proceeds from land sales resulting from the Non-Profit Asset Transfer Program will be used; information on the take-up of the Non-Profit Housing Asset Transfer Program among non-profits in Metro Vancouver; what will occur when leases expire for those non-profits on Provincial Rental Housing Corporation land that do not purchase their site through this program. SUMMARY / CONCLUSION The Province announced the Non-Profit Asset Transfer Program in October 2014 in which non-profit housing organizations are provided the opportunity to purchase provincially-owned sites on which social housing is built. The Housing Committee received a report on the program dated February 2, 2015 (Attachment 1). The current report provides new information and summarizes opportunities and concerns raised since then, in a BC Non-Profit Housing Association position paper and a City of Burnaby report dated April This program provides one way forward for the eventual expiry of operating agreements, offering a degree of certainty previously unavailable to providers on land leased from the provincial government, and further reduces the provincial government role in nonprofit housing provision. It is important that municipalities stay abreast of developments, as nonprofit housing provides an essential source of affordable housing in our communities. Alternative 1 is recommended. Attachments and References: 1. BC Housing s Non-Profit Asset Transfer Program Report dated February 2, BC Housing s Non-Profit Asset Transfer Program BCNPHA Position Paper, Updated June City of Burnaby Correspondence May 5, 2015 BC Housing Non-Profit Asset Transfer Program HOU - 62

63 5.2 Attachment 1 To: From: Housing Committee Margaret Eberle, Senior Housing Planner, Regional Housing Date: February 2, 2015 Meeting Date: February 27, 2015 Subject: BC Housing Non-profit Asset Transfer Program RECOMMENDATION That the Committee receive for information the report dated February 2, 2015, titled BC Housing Non-profit Asset Transfer Program. PURPOSE The purpose of this report is to provide the Housing Committee with information about the BC Housing Non-profit Asset Transfer Program and the potential implications of this program for Metro Vancouver and the Metro Vancouver Housing Corporation (MVHC). BACKGROUND The Metro Vancouver Housing Corporation Board requested information on the BC Housing Nonprofit Asset Transfer program as well as opportunities for MVHC to acquire non-profit housing assets through the sale of BC Housing directly managed units at its Nov 28, 2014 meeting. Provincial Rental Housing Corporation (PRHC) Role in Non-Profit Housing There are over 50,000 non-profit and cooperative housing units in Metro Vancouver. They are comprised of non-profits, cooperatives and public housing directly provided by BC Housing, the MVHC and others. Many non-profit housing organizations own their land and buildings. However, others own only the buildings and reside on land leased from the province through the Provincial Rental Housing Corporation. About 10% of non-profit/cooperative units in Metro Vancouver sit on land owned by the province - 5,253 units. If BC Housing owns the land, it typically puts a Section 219 convenant on the title of the land restricting its use, accompanied by an operating agreement setting out terms and conditions of providing the subsidized units. BC Housing provides funds (operating subsidies) in these arrangements to offset the cost of the land lease and to help the housing provider supply rental units at below market rental rates. BC Non-Profit Housing Association The BC Non-Profit Housing Association represents most non-profit housing organizations in BC. It has advocated for the transfer of provincially owned land to the non-profit housing providers. This would allow non-profits to borrow against their properties for capital upgrading or to expand the number of affordable rental units. Without the land as security, lenders typically won t provide a mortgage. It would also encourage housing providers who own their stock, and land, to maintain the condition of the housing units rather than ramp expenditures down over time with an expiring land lease. BC Housing has been receptive to these arguments. HOU - 63

64 BC Housing Asset Transfer Program BC Housing announced the Non-Profit Asset Transfer Program on Oct 3, It offers non-profit housing providers an opportunity to buy land under their buildings if owned by the province (PRHC). There are about 350 PRHC properties province-wide. According to the news release, approximately 115 properties will be transferred by March 31, 2015, and the rest will be transferred over the next three years. Each society can choose whether or not to participate in the land purchase. If they choose not to purchase the land, then the existing lease will continue. At the end of the lease term, the Province retains fee simple ownership of the land and the non-profit would have no further interest in the property. Financial Terms and Conditions The Province requires the land to be transferred at fair market value determined by an independent third party appraisal or valuation. The non-profit must pay the full price, and obtain a third-party mortgage to pay for the purchase if necessary. It is presumed most housing providers will need financing but to various degrees. They will be responsible for principal and interest payments, although with the cessation of the land lease, the land lease payments previously made to the PRHC will cease with the land purchase. The province is prepared to cover the full mortgage principal and interest payments incurred by the non-profits for the land purchase but only to the extent that a housing provider cannot create a surplus cash flow with the land purchase. In other words, the elimination of the land lease payment to BC Housing with a land purchase will be countered by the introduction of the P&I payments. BC Housing s goal appears to be that they will assist to make this balance out. The financial circumstances will vary by non-profit organization and each land purchase, and BC Housing says that each will be dealt with separately. BC Housing operating agreements vary provisions for compensating housing providers for the rental subsidies offered under different portfolios. BC Housing indicates that operating subsidies will be left untouched, will continue with the operating agreements until their natural expiry, and are separate from the land purchase/sale financing and land lease transactions considered. Under the BC Housing program, Metro Vancouver Housing Corporation and the Capital Regional District Housing Authority are not entitled to receive any assistance for P&I payments if they partake in a land purchase. The MVHC proceeded with the purchase of the Cedarwood lands in March 2014 on this understanding. In this case, the elimination of the land lease payment to the PRHC was roughly offset by the new P&I payments on a private mortgage obtained for the land purchase. This was the only parcel of land owned by the PRHC underlying an MVHC housing complex. Provincial Use of Proceeds of Land Sales BC Housing has committed that proceeds from the transfers will be reinvested in affordable housing. HOU - 64

65 Sale of Two BC Housing Properties The Province is also planning to sell two of BC Housing s directly managed properties to non-profit societies, Nicholson Tower and Stamps Place in Vancouver. BC Housing has requested expressions of interest from non-profits and received several proposals. It is looking for the transactions to close in March Stamps Place was built in The apartment and townhouse complex has 368 residences, plus eight common and staff living areas. The buildings had a retrofit in The fourhectare social-housing project of 10+ acres is located at 400 Campbell Street in Strathcona and is valued at about $50.5 million. 20-storey, 219-unit Nicholson Tower seniors residence in Vancouver s West End is for sale for $34 million. Metro Vancouver Housing Corporation did not bid on the sale of BC Housing s directly managed properties, Nicholson Tower and Stamps Place, as the Corporation is fully committed financially at this time. There may be other opportunities to purchase directly managed buildings in the future. ALTERNATIVES This is an information report. No alternatives are presented. FINANCIAL IMPLICATIONS There are no financial implications. SUMMARY / CONCLUSION The BC Housing Non-profit Asset Transfer Program offers non-profit housing providers with buildings sitting on land leased from the provincial government the opportunity to purchase the underlying site at an agreed upon price. The non-profit will gain control of the underlying land, and increase their ability to finance capital upgrades or redevelopment. Approximately 115 properties will be transferred by March 31, 2015 with the remaining 185 transferred over the next three years. A related initiative to sell two of BC Housing s directly managed buildings in Vancouver is underway. The province has committed to investing proceeds from the initiatives in affordable housing. Attachments and References: 1. Asset Transfer Programs Supports Non-profits. News Release Oct 3, HOU - 65

66 5.4 Attachment Asset transfer program supports non-profits October 3rd, 2014 VICTORIA The B.C. government is strengthening the non-profit housing sector by transferring provincially-owned properties to non-profit housing providers. The Province owns approximately 350 parcels of land throughout British Columbia that are currently leased long-term to non-profit housing providers who own and operate social housing buildings on these properties. The non-profit housing sector has been asking for this step for many years. Having ownership of the land will improve a non-profit s ability to support better long-term planning and self sufficiency. Owning the lands they operate on will also help non-profits secure the financing they need to be sustainable. In order to transfer title, the Province will end these leases, and then transfer ownership of the land to the societies. The properties will be transferred at fair market value. The Province will assist the societies to secure mortgages on the properties. The current operating agreement that BC Housing has with each non-profit society will remain in place. Approximately 115 properties will be transferred by March 31, 2015, and the rest will be transferred over the next three years. In addition, the Province is looking to transfer ownership of two properties currently managed by BC Housing to non-profit societies. The Province will begin the process by posting Expressions of Interest for Nicholson Tower and Stamps Place in Vancouver shortly. Tenants will not be impacted by these transfers, and the amount of affordable housing stock will remain stable. Non-profit societies have been providing social housing in B.C. for more than 60 years. Today more than 90% of social housing is managed by non-profit societies. Learn More: BC Housing s Asset Transfer Program: To learn more about provincial the provincial housing strategy, Housing Matters BC and social housing visit: Media Contact: Fergus McCann BC Housing HOU - 66

67 5.2 Attachment 2 UPDATED JUNE, 2015 BC HOUSING'S NON-PROFIT ASSET TRANSFER PROGRAM BCNPHA POSITION PAPER In October 2014, the Province announced that BC Housing will be transferring the ownership of approximately 350 PRHC properties to the non-profit societies that currently own and operate social housing on these sites.1 As part of the same announcement, the Province indicated its intentions to transfer the ownership of two sites that BC Housing currently owns and manages Nicholson Tower and Stamps Place, both in Vancouver. BC Non-Profit Housing Association strongly supports the program as a key capacity building endeavor for our sector, and as a way to help preserve affordable housing stock. We believe the program is an important step forward for a sector currently at a crossroad between the termination of decades-old funding agreements and re-envisioning a new model for developing affordable housing in the absence of new, large-scale government programs. How the program works Non-Profit housing societies will purchase, at fair market value, the land on which they currently own and operate social housing. The purchase of previously leased land will be facilitated through an additional operating agreement that covers the principal and interest payments of a CMHC insured mortgage, amortized at 35 years. Any existing operating agreements on the buildings will continue to run their course. Where are these Properties Located? The 350 PRHC properties are located in nearly 100 communities throughout the province, with the largest share being in Vancouver, Victoria, Saanich, Surrey and Burnaby 1 PRHC is the Provincial Rental Housing Corporation, the entity that holds property for social and other low cost housing for the Province. See more at: HOU

68 respectively. A detailed list of the number of PRHC properties by municipality can be found in Appendix A at the end of this paper. OPPORTUNITIES Access to equity Prior to 1993 senior levels of government helped build the vast majority of social housing in Canada. In many of these projects, government retained the ownership of the land these buildings are located on. As a result, many non-profit providers own buildings, but not the land underneath them. This dynamic has made it impossible for non-profits to access any equity to fund necessary capital upgrades. In addition, many sites with the potential to house more people through redevelopment are unable to do so. The Asset Transfer Program will allow for the leveraging of those initial taxpayer investments to develop new affordable housing projects that can operate independently of government. The new equity achieved through the Program can be used to leverage other partners such as municipalities and developers to the table, making non-profits strong partners in new affordable housing developments. Ultimately, non-profit housing represents a community asset built from decades of public investment. Preserving and leveraging these assets through access to equity will help the sector ensure that they are maximizing this public investment. After 20 years of underfunding, we know there is an urgent need for new large-scale public investments in affordable housing, however we also have a responsibility to save, enhance and leverage the assets that currently exist. Cultural shift for non-profit sector The provincial Non-Profit Asset Transfer Program is a capacity building exercise for the social housing sector. For decades non-profit housing providers have operated social housing through agreements with senior levels of government, but under these programs many nonprofits have not seen themselves as partners in continuing to develop a strong, sustained supply of affordable housing. With operating agreements on old investments coming to an end, and with no new large-scale housing programs appearing in the recent federal or provincial budgets, a cultural shift for the sector is critical if social housing is to be sustained and developed into the future. The asset transfer will help to facilitate this cultural shift through providing those non-profits who currently lease the land from PRHC with control of their own real estate. Given that non-profit housing societies are mandate-driven to provide housing for low-income populations, there is a good sense of certainty the assets will be leveraged and managed with a strong social purpose. Providing education to the sector has been a core component of BCNPHA s mandate since our inception. We continue to have a strong role to play in ensuring that the sector has the HOU

69 skills and knowledge to lead the development of affordable housing. In partnership with government and the private sector, we are currently developing plans to further support the capacity of the social housing sector in the areas of leadership, which includes governance, financial management, partnership development, tenant engagements and supports, and asset management. We, too, are growing in our capacity to serve the needs of non-profits as the sector embarks on a cultural shift. Long-term planning for social housing buildings Ownership of the land on which they currently own and operate housing will allow nonprofits to undertake longer-term capital replacement planning. As a lease nears its expiry, it becomes increasingly unjustifiable to invest in capital upgrades because of uncertainty related to the lease s renewal. This is not good for the building, the tenants, or the nonprofit if it results in larger capital replacement costs down the road. Ownership of the land removes the uncertainty of lease renewal from the equation and means that housing providers will be able to invest in their buildings when they need to. Leveraging new capital to develop economies of scale Nearly two-thirds of the 700+ non-profit housing providers in BC operate just one building, with less than 50 units. Under operating agreements, this has been a functional means of operation, and has allowed for housing options to be responsive to the community. As operating agreements expire, so does the exposure to more risk and puts these societies and their assets at risk of being unviable because they lack the economies of scale necessary to operate housing an expensive endeavor by definition. In recent years, the sector has seen an increasing number of mergers between societies who share similar missions, and it is anticipated that this trend will continue. The asset transfer program opens additional possibilities for societies to come together and pool their assets, thereby building the sector s capacity to manage, leverage and develop its asset base. Such leveraging ensures that public assets are maximized and a greater number of British Columbians in need of affordable housing have access to safe and secure housing. Transfer of directly managed stock to the non-profit sector Non-profit housing providers have community service as a core component of their mandates. Their expertise is in the provision of safe, secure and affordable housing for British Columbians, and as such they are closely connected members of their communities. Roughly 90% of the social housing stock is already owned and operated by the non-profit sector and so it has a long history of service in communities throughout BC. By transferring public housing stock into the sector, the government is adding additional equity to the portfolios of capable providers. This equity can then be leveraged, as described above. This leveraging will further develop the capacity of non-profits as developers of high quality affordable housing. Additionally, as operating agreements expire, non-profits with a HOU

70 number of buildings in their portfolios will have a higher likelihood of managing viable buildings without ongoing government subsidies because they can cross-subsidize from one building to another, if necessary. CONCERNS Use of program revenue for pre-existing affordable housing agreements The Province has committed to direct the money from the sale of PRHC property into affordable housing.2 The transfer has the potential to invest many millions of dollars back into the sector. In May of 2015 Rich Coleman, Minister Responsible for Housing, indicated that the first $150 million from the sale of government properties has been used to fund the Province s contribution to the Investment in Affordable Housing (IAH) agreement, a Federal/Provincial cost-sharing program that was originally introduced in Between 2001 and 2014, BC contributed roughly $252 million to the program and for over a decade it was funded through general revenues. The agreement signed in 2014 extends this program to 2019, but has now been funded through the sale of properties to the non-profit sector.4 BCNPHA had understood that the funds generated through the Non-Profit Asset Transfer Program would be new funds to invest in provincial affordable housing initiatives, which would have been a much needed cash infusion during times of austerity. It was surprising to learn that so far, the income from the sales of Crown property is being used to fund previously announced commitments with no new money for housing. With an estimated $350 million in revenue from the remaining sales, the government still has an opportunity to make good on its commitment to treat these as new funds for affordable housing. Process While some information on the program is available through the BC Housing website, since making the announcement in early October, the government and BC Housing have been silent on the issue both in the media and at community forums. While they have been engaging non-profits one-on-one, they have said little that speaks to the merits of the program publically, which has not helped build public support for the program. If the sector, The original program, introduced in 2001 was called Affordable Housing Initiative. This program was rebranded in 2011 as the Investment in Affordable Housing. 4 For transcripts from Estimates debates, use the find function to search for Douglas Fir Room through the following links: HOU

71 BC Housing, and the Province all see this as a positive development, then why has there not been more external communications on this issue from government? Senior staff with BC Housing and the Housing Policy Branch facilitated a session to answer the questions of non-profits at BCNPHA s annual conference in November While informative, similar such opportunities might also be welcomed by other stakeholders including media, tenants, and municipalities. Instead BCNPHA is often left alone to provide commentary to these stakeholders, and must do so without all of the information. Despite several requests, BCNPHA has not been provided with a list of which societies are being selected for the program, although we have since compiled what we believe to be an accurate list from our own research database (see Appendix A). We do not yet have a timeline as to when each provider will receive notification. Individual non-profits have made similar requests about their leased land, and the information has not been provided, though most should know within the next two years. We are now working to develop a planning guide for non-profits who currently have PRHC leased property within their portfolio to assist with their planning and decision making processes. Potential loss of affordable housing There are several concurrent pressures impacting the affordability of social housing today, such as expiring operating agreements and the consolidation of agreements for larger housing providers. The Asset Transfer Program allows for increased flexibility in setting rent levels, and while still below market, there is a potential for rents to increase. For nonprofits, this is an option of last resort, but will sometimes be necessary in order to cover operating expenses. In the absence of new government spending to ensure that rents remain low, we will begin to see a broader affordability squeeze within the housing sector and it is deeply concerning. This is increasingly a concern with the Province s decision to fund existing Federal/Provincial cost-sharing agreements with the revenue from this program rather than invest in new programs. Non-Profits as the face of restructuring and redevelopment With the transfer of public assets into non-profit hands comes considerable responsibility, and many non-profits have the skill and expertise to leverage and manage these community assets effectively. A key responsibility is to ensure that redevelopment happens when it means greater affordability for more people. While necessary and ultimately positive, redevelopment can be a difficult process for tenants and communities. Redevelopment can be better facilitated by those more closely connected with the community, typically those in the non-profit sector. While it is clear that the government understands this through the design of the asset transfer program, it will be important for all stakeholders to work together on redevelopment to ensure that both the process and end product meet the needs of local communities. 5 HOU - 71

72 CONCLUSION While we have concerns about transparency and the government s use of revenue from the sale of public assets, our review of the program still indicates that this this is an extremely positive initiative for the affordable housing sector. It will lead to increased capacity within the sector, and over the long term a way for non-profits to preserve some of the affordable housing units in British Columbia at risk as operating agreements expire. 6 HOU - 72

73 APPENDIX A: PRHC PROPERTIES BY MUNICIPALITY MUNCIPALITY # OF PRHC PROPERTIES % OF TOTAL PRHC PROPERTIES Vancouver % Victoria % Saanich % Surrey % Burnaby % Kelowna % Richmond 9 2.6% Nanaimo 8 2.3% Port Coquitlam 8 2.3% Coquitlam 7 2.0% Duncan 7 2.0% Kamloops 7 2.0% Langley City 7 2.0% Delta 6 1.7% Nelson 5 1.4% Salmon Arm 5 1.4% Vernon 5 1.4% Abbotsford 4 1.1% Chilliwack 4 1.1% Langford 4 1.1% Penticton 4 1.1% Colwood 3 0.9% Courtenay 3 0.9% Maple Ridge 3 0.9% 7 HOU - 73

74 New Westminster 3 0.9% Sidney 3 0.9% Aldergrove 2 0.6% Alert Bay 2 0.6% Burns Lake 2 0.6% Cranbrook 2 0.6% Creston 2 0.6% Dawson Creek 2 0.6% Fort Nelson 2 0.6% Fort St. James 2 0.6% Fort St. John 2 0.6% Grand Forks 2 0.6% Hope 2 0.6% Masset 2 0.6% Merritt 2 0.6% Mission 2 0.6% North Vancouver DM 2 0.6% Oliver 2 0.6% Parksville 2 0.6% Peachland 2 0.6% Port Alberni 2 0.6% Prince George 2 0.6% Revelstoke 2 0.6% Sechelt 2 0.6% Sooke 2 0.6% Summerland 2 0.6% West Vancouver 2 0.6% 8 HOU - 74

75 Westbank 2 0.6% White Rock 2 0.6% Williams Lake 2 0.6% 100 Mile House 1 0.3% Agassiz 1 0.3% Armstrong 1 0.3% Barriere 1 0.3% Bella Coola 1 0.3% Castlegar 1 0.3% Chetwynd 1 0.3% Clinton 1 0.3% Esquimalt 1 0.3% Fernie 1 0.3% Golden 1 0.3% Jaffray 1 0.3% Kaslo 1 0.3% Keremeos 1 0.3% Kimberley 1 0.3% Kitimat 1 0.3% Lake Country 1 0.3% Lake Cowichan 1 0.3% Langley DM 1 0.3% New Hazelton 1 0.3% North Vancouver City 1 0.3% Okanagan Falls 1 0.3% Osoyoos 1 0.3% Pemberton 1 0.3% HOU

76 Pitt Meadows 1 0.3% Port Hardy 1 0.3% Port Moody 1 0.3% Pouce Coupe 1 0.3% Powell River 1 0.3% Qualicum Beach 1 0.3% Queen Charlotte City 1 0.3% Quesnel 1 0.3% Riondel 1 0.3% Saltspring Island 1 0.3% Saturna Island 1 0.3% Smithers 1 0.3% Sointula 1 0.3% Sorrento 1 0.3% Tofino 1 0.3% Trail 1 0.3% Union Bay 1 0.3% HOU

77 5.2 Attachment 3 CITY OF BURNABY OFFICE OF THE MAYOR DEREK R. CORRIGAN MAYOR 2015 May 05 GMO OMEI MAY Q B 201S.:!t Action:...:iJ:...,.,.':-'I"'O'"fllj"""""' Mr. Greg Moore, Chair...,,(j,,/.t~~... :::: fbt' ~~~~;~ : :::::::::::~=~ Metro Vancouver Board """'"'"'"""'"""""""'~~ ~"" 4330 Kings way i~i~.c'~;;;:..:::::a\j:...::::..:...::::::..::::: FILE: Subject: BC HOUSING NON-PROFIT ASSET TRANSFER PROGRAM (Item 6 (G), Reports, Council2015 May 04) Burnaby City Council, at the Open Council meeting held on 2015 May 04, received the above noted report and adopted the following recommendations contained therein: 1. "THAT Council write to the Premier and the Deputy Premier and Minister Responsible for Housing, the Honourable Rich Coleman to express concern with the disposal of public land and building assets under the Non-Profit Transfer Program, as outlined in this report. 2. THAT Council request the Premier and Minister to provide for a long term plan to maintain public ownership of lands and buildings for non-market housing purposes to meet current and future community needs in the Province. 3. THAT a copy of this report be sent to Burnaby MLAs, the Metro Vancouver Board, and the City's Social Planning Committee. 4. THAT a copy of this report be sent to UBCM member municipalities for information." In accordance with Recommendation No.3, a copy of the report is enclosed for your information. I: Derek R. Corrig MAYOR 4949 Canada Way, Burnaby, British Columbia, VSG 1M2 Phone Fax mayor.corrigan@burnaby.ca HOU - 77

78 ~ Cityof ilf" Burnaby Meeting 2015 May 04 COUNCIL REPORT PLANNING AND DEVELOPMENT COMMITTEE HIS WORSHIP, THE MAYOR AND COUNCILLORS SUBJECT: BC HOUSING NON-PROFIT ASSET TRANSFER PROGRAM RECOMMENDATIONS: 1. THAT Council write to the Premier and the Deputy Premier and Minister Responsible for Housing, the Honourable Rich Coleman to express concern with the disposal of public land and building assets under the Non-Profit Transfer Program, as outlined in this report. 2. THAT Council request the Premier and Minister to provide for a long term plan to maintain public ownership of lands and buildings for non-market housing purposes to meet current and future community needs in the Province. 3. THAT a copy of this report be sent to Burnaby MLAs, the Metro Vancouver Board, and the City's Social Planning Committee. 4. THAT a copy of this report be sent to UBCM member municipalities for information. REPORT The Planning and Development Committee, at it's meeting held on 2015 April 28, received and adopted the attached report providing a preliminary review of the BC Housing Non-Profit Asset Transfer Program. Respectfully submitted, Councillor C. Jordan Chair Copied to: City Manager Deputy City Managers Director Planning & Building Director Finance Councillor D. Johnston Vice Chair Councillor S. Dhaliwal Member HOU - 78

79 ~ Cityof il'f" Burnaby Meeting 2015 April 28 COMMITTEE REPORT TO: CHAIR AND MEMBERS DATE: 2015 April16 PLANNING AND DEVELOPMENT COMMITTEE FROM: DIRECTOR PLANNING AND BUILDING FILE: SUBJECT: PURPOSE: BC HOUSING NON-PROFIT ASSET TRANSFER PROGRAM To provide a preliminary review of the BC Housing Non-Profit Asset Transfer Program. RECOMMENDATIONS: 1. THAT CoUncil write to the Premier and the Deputy Premier and Minister Responsible for Housing, the Honourable Rich Coleman to express concern with the disposal of public land and building assets under the Non-Profit Asset Transfer Program, as outlined in this report. 2. THAT Council request the Premier and Minister to provide for a long term plan to maintain public ownership of lands and buildings for non-market housing purposes to meet current and future community needs in the Province. 3. THAT a copy of this report be sent to Burnaby MLAs, the Metro Vancouver Board, and the City's Social Planning Committee 4. THAT a copy of this report be sent to UBCM member municipalities for information. 1.0 BACKGROUND REPORT At its meeting on 2015 February 2, under 'New Business', Council requested staff to provide information on BC Housing's program to sell lands to non-profit societies operating social housing projects. This program is called the 'Non-Profit Asset Transfer Program', which proposes to sell Provincially-owned lands to non-profit societies on which social housing is built. This report provides a preliminary review of the Non-Profit A~set Transfer Program and the response received from the BC Non-Profit Housing Association. More specifically, this report identifies the implications of the program for social housing properties in Burnaby; and discusses staff's concerns regarding the potential long-term impacts of the Province's divestment of public assets on the future provision of social housing in BC. HOU - 79

80 To: Planning and Development Committee From: Director Planning and Building Re: BC Housing's Non-Profit Asset Transfer Program 2015 April Page 2 The information included in this report was obtained from a variety of sources including staff consultation with representatives from BC Housing and BC Non-Profit Housing Association; BC Housing's website; newspaper articles; and Burnaby housing inventories. 2.0 BC HOUSING NON-PROFIT ASSET TRANSFER PROGRAM In 2014 October, the Provincial government, as part of its housing strategy 'Housing Matters BC', introduced the Non-Profit Asset Transfer Program. The intent of the program is to offer non-profit housing providers the opportunity to buy the public land on which they operate social housing from the Provincial Rental Housing Corporation (PRHC). Over the next three years, up to 350 publicly-owned properties across BC may be involv.ed in the program. It is anticipated that up to 115 of these properties will be transferred in The program is being implemented in two ways: 1. Sale of PRHC owned lands to non-profit societies who currently own and operate social housing buildings on these sites; and 2. Sale of public housing developments (properties directly managed by BC Housing) to non-profit societies through an open bid process (currently involving Stamps Place and Nicholson Tower in Vancouver). BC Housing advises that proceeds from the sales will be reinvested into the creation of new nonmarket housing units, renovation of existing buildings, and other initiatives and partnerships that will expand affordable housing options. Summary Staff Comment: After decades of senior government cutbacks in funding for social housing, the sale of publicly-owned land assets that have been set aside for this purpose would appear to be a continuation of the Provincial government's approach for divestment in social housing. While the Province has not announced the specifics of its intended allocation of the proceeds from these public land sales, in the absence of any new non-market housing programs, the proceeds would appear to be being allocated, over the short term, to fond current operating and building repair, upgrade and replacement cost and will result in the immediate and longer term loss of public ownership of non-market housing sites. 2.1 Program Implementation The Province's PRHC has about 350 publicly-owned properties across BC leased to non-profit societies. These properties all contain social housing buildings that are owned and operated by non-profit societies with operating funding provided under Federal and Provincial programs. The Province, through PRHC, is offering to sell the non-profit societies the land under these buildings. Eligible non-profits have the option of participating in the program or not. BC Housing advises that if a non-profit declines participation in the program, the existing lease agreement remains in place and no other purchasers would be considered for that property. HOU - 80

81 To: Planning and Development Committee From: Director Planning and Building Re: BC Housing's Non-Profit Asset Transfer Program 20/5 April Page 3 For those non-profits that choose to participate, BC Housing will tenninate the current lease and transfer ownership of the public land to the non-profit society at a market value, as detennined by a property appraisal. The non-profit society will pay for the land and obtain a mortgage from a private lender to cover the purchase costs, if necessary. BC Housing advises that, in most cases, these would be second, 35 year tenn, mortgages on the property, as most non-profits will already have an existing mortgage in place for buildings on the land. BC Housing will assist the nonprofit with securing CMHC-insured mortgages against the land. The non-profit will be responsible for the mortgage payments, which would replace any current land lease payments the non-profit may be making to PRHC. BC Housing advises that it will subsidize the non-profit's mortgage payments to the extent where the new mortgage payments are roughly equal to the land lease payments made previously. BC Housing adds that financial circumstances will vary by non-profit organization and each land purchase, which will be accounted for through this subsidy approach. BC Housing advises that its current operating agreements with participating non-profits will remain in place after the transfer of the property. Operating agreements outline the number of required affordable housing units and the level of subsidy for the units. Those operating agreements that expire prior to the amortization of the new mortgage resulting from the transfer will be replaced by a new agreement with BC Housing that will apply until the end of the mortgage tenn. BC Housing advises that they do not anticipate any impacts to tenants or changes to the number of subsidized units as a result of the transfer of ownership under these new agreements. At the time property is transferred to a non-profit society, a Section 219 covenant will be registered against the land to ensure the land remains available for affordable housing, only for the length of the operating agreement and/or mortgage. BC Housing states that prior to approving a property for transfer, it will ensure the non-profit society is in good standing under the Society Act and has a stated purpose to provide affordable housing. The non-profit society would be able to distribute assets upon dissolution or wind-up to another organization with a charitable purpose. BC Housing advises that once an operating agreement, covenant and mortgage expire, the non-profit society's constitution and bylaws will provide the only assurance that the property continues to provide for affordable housing. Summary Staff Comment: Once a non-profit society's mortgage is paid off and its operating agreement expires, it appears that mechanisms are not being put into place to ensure the land remains available for non-market housing in perpetuity. A non-profit society could choose, or may be forced, to sell the property on the open market for economic or other reasons. Proceeds from the sale could be directed to other housing units/sites, or to an alternate charitable purpose in another community, resulting in a loss of non-market units in the host community, and/or the long term loss of the non-market housing site in perpetuity. For the short term, the proposal's terms for the mortgage and housing agreements seem to maintain the provision of non-market housing by drawing on the revenue generated from the sale of the publicly owned land asset. Staff have sought clarification from BC Housing as to how the proceeds from land sales will be used, but have yet to receive a clear response. As such, staff HOU - 81

82 To: Planning and Development Committee From: Director Planning and Building Re: BC Housing's Non-Profit Asset Transfer Program 2015 April Page 4 expect that the proceeds may in part or whole, be being used to fund ongoing operating agreements, and/or potential future allocations to housing programs. At this stage, however, accountability for the distribution of land sales revenues has not been provided by the Provincial government. In the long term, the program would seem to transfer social housing responsibility to the charitable sector, with no assurances of continued public support in terms of social housing sites and/or operating support, and would result in the incremental loss of publicly owned lands for non-market housing over the longer term. 2.2 BC Non-Profit Housing Association response The BC Non-Profit Housing Association (BCNPHA) represents most non-profit housing providers in BC. It has advocated for the transfer of Provincially-owned land to non-profit housing providers. It has indicated that land ownership would create more opportunities for housing providers to borrow money against their properties to fund capital upgrades or to expand the number of subsidized units. From BCNPHA's perspective, the Non-Profit Asset Transfer Program is beneficial to the nonprofit housing sector for several reasons: a) Land ownership would provide potential access to equity for investment in capital upgrades, redevelopment opportunities, and development of new stock in other locations, that otherwise should come from a Provincial housing program. b) Non-profits would potentially be able to leverage the ownership of assets into investments in affordable housing in an environment of expiring operating agreements and a lack of'new housing programs from senior levels of government. c) Land ownership would potentially support reinvestment in buildings because it would reduce the uncertainty associated with long-term leases that are approaching expiration. d) The Province's stated proposal to reinvest the proceeds of the transfers back into affordable hous.ing is welcome in the short term, given the absence of any new Provincial funds for housing programs. e) Tenants would potentially benefit from the re-investment in improved general maintenance of the buildings, as supported by the conversion of the capital land asset into operating support. 1 In B.C., approximately 30,000 units of social housing are managed under operating agreements with the Provincial and Federal governments. The operating agreements outline the subsidies that will be provided by both senior levels of government, and the obligations of the housing provider for obtaining the subsidy. The subsidies support housing providers to offer units on a rent geared to income basis. The majority of these long-term opemting agreements are now beginning to reach their date of expiry and will continue to do so over the next ten to twenty years. At the time when the social housing developments were first built, it was viewed that once the original mortgage was paid off, there would be no ongoing need for continued government support. However, research by the Canadian Housing and Renewal Association indicates that many housing providers house tenants with very low incomes and do not genemte sufficient income to pay for these ongoing expenses. HOU - 82

83 I To: Planning and Development Committee From: Director Planning and Building Re: BC Housing's Non-Profit Asset Transfer Program 2015 April/6... Page 5 Summary Staff Comment: The BCNPHA has advocated for the transfer of publicly-owned lands to its sector, largely as a response to decades of decreased funding commitments from senior governments. The sale of public assets would likely not be required if senior governments maintained funding for social housing at levels that would address public need, and building repair, maintenance and replacement requirements. The non-profit sector appears willing to accept the Province 's responsibility for providing non-market housing, in an effort to assist those who cannot find appropriate housing within the private housing market. Again, from a long term perspective, the program would set a public policy direction for social housing to be the responsibility of the charitable sector, with specific levels of subsidy support regulated and/or restricted based on Provincial funding limits. Over the term of its implementation, the currently owned public land would be transferred to the charitable sector, representing a further divestment of publicly owned land assets that could otherwise provide for non-market housing in perpetuity. 3.0 BURNABY CONTEXT Burnaby has over 5,500 non-market units located in 116 developments across the city that provide affordable housing for families, seniors, singles, and persons with disabilities and mental health challenges. These units are situated in non-profit, group home, co-operative, and public housing (directly managed by BC Housing) developments. In Burnaby, these developments are located on lands owned by the non-profit societies, co-operatives or PRHC. Of the properties located on land owned by PRHC, 25 properties are operated by non-profit societies and co-ops and the remaining seven properties are directly managed by BC Housing. In instances where the land is leased, the operator owns the improvements on the land (the buildings) and PRHC retains fee simple ownership of the land. 3.1 Eligible Burnaby Properties BC Housing advises that of the 32 PRHC-owned properties in Burnaby, 15 that are leased to non-profit societies are eligible for the Non-Profit Asset Transfer Program. Of these 15 properties, six are already under contract to purchase that will take place early in the 2015/16 fiscal year. The remaining nine properties will be transferred over the next three years, should the affected non-profits choose to take part in the program. BC Housing states. that the properties identified for the Non-Profit Asset Transfer Program were selected on a number of criteria including the good standing of the society, the condition and capital needs of the site, and the needs of the resident population. B.C. Housing did not provide the measures it used to evaluate these criteria to select the sites. A map ofthe 15 Burnaby properties is attached as Appendix A. The six properties that are currently under contract to purchase are: ~.)v:ejhp.jd.entr IBumr@b~!iddl\ess lno.oj 0uemo ~~ IP&l!tfio N~e Units Sec.., cp:v.enn-w 1. Catherine Anne m Ave. 45 Red Door Housing Yes Court Society HOU - 83

84 To: Planning and Development Committee From: Director Planning and Building Re: BC Housing's Non-Profit Asset Transfer Program 2015 April Page 6 (lh~6pmel11! IBumm~.A:d~s ~o. Of. ~IQgi~afo~ i li~~\fo ;l ~me nib S e~219 covenant? 2. Chaffey Lane 4389 Grange St. 37 Affordable Housing No Societies 3. Chelsea Terrace 5895 Kincaid St. 209 New Chelsea No Society_ 4. Chelsea View 5291 Oakmount Cres. 20 New Chelsea Yes Society 5. Heritage Heights 3765 Albert St. 21 Affordable Housing Yes Societies 6. Sunset Court 5850 Sunset St. 48 Affordable Housing Yes Societies TOTAL 380 The remaining nine properties have been notified that they are eligible for transfer of ownership over the next few years are: 3762 Thurston St. 43 Burnaby Lougheed Lions Housing 7155 MacPherson No Ave. 4. George Derby 7550 Cumberland St. 300 beds No Centre 5. Lake Park 8580 Cumberland Pl. 43 More Than a Roof Yes Village Mennonite Housing 6. Liberty Place Ave. 20 Strive Living Yes 7. Lions Kingsway Ave. 32 Burnaby Lougheed Yes Terrace Lions Housing 8. Ridgeview 450 Clare Ave. 40 No 7575 Kingsway 45 Burnaby Association No for Community Inclusion HOU - 84

85 To: Planning and Development Committee From: Director Planning and Building Re: BC Housing's Non-Profit Asset Transfer Program 2015 April Page 7 Summary Staff Comment: There are 15 out of 25 properties in Burnaby considered to be eligible for the program, leaving 10 properties to pursue renewal of their lease agreements and operating agreements nearing expiration. The short term future of properties ineligible for the program remains in question due to a lack of clarity by government as to future programs to support their continued provision of non-market housing. A clear commitment from the Province regarding how it will continue to support these operators is needed in the context of their expiring operating agreements. In terms of the City's efforts to commit these lands to public/non-profit housing, seven properties have City Section 219 covenants in place that maintain the housing use in perpetuity, as shown in the Table above. The covenants were established by the City at the time of commitment of the properties to non-market housing under rezoning. This same level of commitment could be put in place by the Provincial government on the titles of the eight remaining properties to maintain these public land assets, as well as for PRHC sites across the province. This would ensure the future use for these sites for non-market housing in perpetuity; however, currently this is not part of the Provincial program. 3.2 Public Housing Sites BC Housing advises that there are currently no plans to transfer properties in Burnaby that it manages directly. However, it noted that two such properties in Vancouver, Stamps Place and Nicholson Tower, are currently being assessed for transfer. It is possible that other directlymanaged sites in the Lower Mainland and elsewhere in B.C. may be transferred to the non-profit sector over the next several years. Comment: BC Housing's directly managed sites in Burnaby are not currently being considered for transfer. It remains, however, a concern and a possibility that they could be considered in the future. Residents of Stamps Place and Nicholson Tower in Vancouver have voiced significant concerns about the sale of these properties to a potential non-profit operator, the mandate of which may be unknown to existing tenants, due in part to a lack of consultation with residents. There is concern that the same lack of consultation and transparency would be applied to the sale of public housing sites in Burnaby and elsewhere in the Province should they come up for sale Alpha Avenue and 205 Beta Avenue Properties The properties at 204 Alpha A venue and 205 Beta A venue were purchased by BC Housing in These properties are comprised of two townhouse buildings constructed in 1959 with a total of 38 two-bedroom units. The properties are located on the southern border of Confederation Park. BC Housing, through the PRHC, purchased the properties under the Provincial Homelessness Initiative. In 2008, the New Chelsea Society was selected to operate the housing, though PRHC retains ownership of both the land and buildings. Some of the units are provided to tenants on a rent geared to income basis while the remainder are provided at the low end of market rates. HOU - 85

86 To: Planning and Development Committee From: Director Planning and Building Re: BC Housing's Non-Profit Asset Transfer Program 2015 April Page 8 Currently, section 219 covenants are not registered on the titles ofthese properties to secure them for non-market housing into the future. BC Housing advises that these properties are not being considered for the Non-Profit Asset Transfer Program. Comment: In a letter dated 2007 October 10, Council requested BC Housing to provide written confirmation that the above properties will continue to be maintained as housing for low income families in perpetuity, however a response was not received. 4.0 POTENTIAL LONG TERM IMPACTS BC Housing states that the Non-Profit Asset Transfer Program provides a positive response to a long-standing request from non-profit housing operators to own the land on which their buildings are located. While the benefits of the program to non-profit societies have been publicized, there has been little discussion about how the divestment of public land assets is advantageous to the public and the security of public non-market housing into the future. Members of the Provincial Opposition and the media have suggested that the program is an effort by the Provincial government to balance its budget by eliminating property maintenance costs and collecting land sales revenue. Yet, the Province has remained largely silent regarding the questions and concerns raised about the program and the protection of public assets in the long term, and/or the accounting for sale revenue within the Provincial budgeting process. The following further articulates concerns with the program. 4.1 Proceeds from Land Sales and Protection of Public Assets Issue: The sale of publicly-owned lands currently dedicated for affordable housing could result in the loss of lands for non-market housing in the future. BC Housing has advised that the proceeds from the land sales will be reinvested into the creation of new social housing units, the renovations of existing older social housing properties and other initiatives and partnerships that expand affordable housing options. However, they have not explicitly outlined how proceeds from the sale of publicly-owned assets will be utilized, and have not addressed the concern that in the longer term will there be a loss of public assets or sites remaining for non-market housing. If the proceeds from the land sales are used to subsidize the principal and interest payments for the non-profits' mortgages, and to provide operating subsidies for the shorter term of the new operating agreements that will be put in place, it appears that this will consume the funds obtained from the sale of a capital asset for operating and shorter term funding of housing. Provincial Opposition members have asked for clarity about the Non-Profit Asset Transfer Program, assurances that the existing number and level of subsidies will remain in the future, and details of how the proceeds from the sale of publicly-owned property will be reinvested in affordable housing for the long term benefit of the Province. To date, these questions have remained unanswered. HOU - 86

87 To: Planning and Development Committee From: Director Planning and Building Re: BC Housing's Non-Profit Asset Transfer Program 2015 April Page 9 In summary, once these lands are privately owned by non-profit societies, there is concern that the lands wilj no longer be secured for affordable housing in perpetuity. BC Housing advises that its operating agreements with participating non-profits will remain in place after the transfer of the property, and as part of these agreements, Section 219 covenants will be registered on the titles of the properties, only for the term of the operating agreements, restricting the use of the lands to non-market housing. However, the covenants are to be released at the expiration of the operating agreements, which could result in the lands being used for other charitable, nonhousing purposes, or the housing site sold, with a direct impact in the number and security of social housing units in the Province. In the long term, the rising costs of land will make repurchase of these currently held public lands less feasible for future generations. BC Housing further advises that the societies' stated purposes under their constitutions will provide the only assurance that projects will continue to meet affordable housing needs into the future. These provisions require distribution of assets to other charitable entities upon dissolution or wind-up of a society. As noted, however, such provisions do not prevent a society from selling a property to a charitable entity outside the housing sector. Nor does it prevent the land from being sold and the proceeds from that sale being put towards a society's other housing operations or used to purchase land in other communities. In all cases, dedicated public lands for nonmarket housing in Burnaby and other BC municipalities could be permanently lost through this program. 4.2 Long-term Viability of Subsidized Units Issue: With the Non-Profit Asset Transfer Program concerns about the long-term viability of subsidized units remain. As mentioned above, BC Housing advises that current levels and the number of subsidies on transferred properties will be maintained through the establishment of new operating agreements; however, it is unclear what will happen once those agreements expire. Without continued operational funding from the Province, operators may be forced to find a balance between rental income and operational costs. In the longer term, with the removal of any requirements related to the number and level of rental subsidies in a development, a non-profit society would need to consider raising rents to levels above the affordability level of clients to maintain financial balance once the agreement expires, as funding levels are lower, or costs increase. Concerns have also been expressed regarding the capacity of some non-profits to leverage newly gained land ownership to finance renovations or redevelopment. Depending on their financial expertise, some non-profits could encounter financial difficulties, which could result in fewer or reduced levels of subsidies for units. Given that the demand for affordable housing remains high and the region's population is growing, the Province needs to responsibly protect existing subsidized units and commit to providing more units and sites to meet growing demand with funding programs that meet social housing needs in BC. HOU - 87

88 To: Planning and Development Committee From: Director Planning and Building Re: BC Housing's Non-Profit Asset Transfer Program 2015 Apri/16... Page Expiring Operating Agreements Issue: For non-profit societies that are not eligible for the Non-Profit Asset Transfer Program, expiring operating agreements remain a concern. The expiry of existing operating agreements between non-profit housing providers and the Federal and Provincial governments has raised concerns over the last few years about the security of subsidies for low income tenants. At the time when many of BC's social housing developments were first built, it was viewed that once the original mortgage was paid off, there would be no ongoing need for continued govenunent support. However, research by the Canadian Housing and Renewal Association indicates that many housing providers house tenants with very low incomes and do not generate sufficient income to pay for these ongoing expenses, such as maintenance costs and rent subsidies, without continued funding from senior government. Potential impacts could include higher average rents, a reduced number of deeply subsidized units, and/or a net loss of more affordable units (i.e. the transfer of units to market rents). As such, the expiration of operating agreements will have significant impacts on many housing providers and tenants in developments that are deemed not eligible for new funding. 4.4 Loss of Public Accountability Issue: The transfer of publicly-owned assets to non-profit societies weakens public accountability for the operation and maintenance of social housing. With the transfer of public assets to non-profit societies, concerns have been expressed over the loss of public accountability for the operation and maintenance of social housing developments. Currently, the public can appeal to BC Housing and elected officials when concerns arise regarding the condition, maintenance and operation of social housing properties tied to BC Housing through its operating agreements and land leases. With the transfer of land ownership to non-profit societies, this direct level of accountability will be reduced. 4.5 Loss of Government commitment Issue: With the Non-Profit Asset Transfer Program, the Province appears to be further divesting itself from its responsibility to provide housing for low income households and other vulnerable populations. The BCNPHA advises that it has advocated for the transfer of publicly held lands to non-profit societies in response to the absence of any new senior government funding for social housing. This is a situational response to senior governments' diminishing commitment to the provision of non-market housing. The City is concerned that the Province is continuing this trend by selling publicly-owned housing assets and further removing itself from its responsibilities for the provision of non-market housing. As the City has long advocated, senior levels of government have the constitutional responsibility and are the only agencies with the fiscal capability to ensure an adequate and secure supply of non-market housing. HOU - 88

89 To: Planning and Development Committee From: Director Planning and Building Re: BC Housing's Non-Profit Asset Transfer Program 2015 April Page CONCLUSION AND RECOMMENDATIONS BC Housing's Non-Profit Asset Transfer Program has serious implications for the future of public land assets in Burnaby and province-wide. As with any public asset, the intent is that they provide long term benefits for the Province and its citizens. Due to the potential long-term implications of the program, numerous concerns have been raised, as outlined in this report. To ensure publicly owned land assets are protected now and in the future, it is critical that the Provincial govenunent recommit to its responsibility as a direct provider of non-market housing. It is therefore recommended that Council write to the Premier and the Deputy Premier and Minister Responsible for Housing, the Honourable Rich Coleman to express concern with the disposal of public land and building assets under the Non-Profit Asset Transfer Program, and request the Minister to provide for a long term plan to maintain public ownership of lands for non-market housing purposes to meet current and future community needs in the Province. It is. further recommended that a copy of this report be sent to Burnaby's MLAs, UBCM member - municipalities, the Metro Vancouver Board and the City's Social Planning Committee. ~./PdW.;,. ou Pelletier,i6~ PLANNING AND BUILDING CSIMM/sa Attachment cc: City Manager Deputy City Managers Director Finance City Clerk R:\Long Range Clerical\DOCS\CS\Committce Reports\BC Housing's Non-profit Asset Transfer Program (201S.04.28).docx HOU - 89

90 Appendix A Non-Profit Asset Transfer Program Eligible Under Contract HOU - 90

91 5.3 To: From: Housing Committee Don Littleford, Director, Housing Date: August 17, 2015 Meeting Date: Sept 11, 2015 Subject: Manager s Report RECOMMENDATION That the Housing Committee receive for information the report dated August 17, 2015, titled Manager s Report. GVS&DD DCC Waivers for Affordable Housing 2014 Summary In 2014, GVS&DD DCCs were waived for 168 affordable rental units in 12 projects with a total regional DCC value of $107,705 or an average of $641/per unit. Regional DCC waivers for affordable units were provided in two municipalities in 2014: Vancouver and Richmond. Previous years have seen more widespread granting of waivers among municipalities. The number of units benefiting from the waiver has also declined each year since the waiver was initiated in In 2014, the fewest number of waivers were granted compared to previous years. This decline is likely due to the lack of senior government housing supply programs. Metro Vancouver is now reviewing the GVS&DD DCC bylaw, including rates and affordable housing waiver provisions. The Housing Committee will be updated on any implications for housing affordability. A Regional Coalition for Housing (ARCH) East King County, Washington The Regional Planning Advisory Committee (RPAC) received an informative presentation from A Regional Coalition for Housing or ARCH at its meeting July 24, This organization has been providing shared housing planning and policy services to 12 adjacent suburban East King County municipalities in Washington state, since 1993 (see Attachment 1). It assists members with specialized housing policy and planning services, facilitates affordable housing projects, administers a regional housing trust fund on behalf of members and monitors affordable units gained through development agreements to ensure that they continue to serve the target population. ARCH was developed in response to growing housing affordability issues in the East King County area, a desire to enable local governments to be more effective, and a recognition all municipalities benefit when affordable housing is built nearby. Also, it responds to the increased complexities of the funding environment, often requiring considerable technical and financial sophistication. The Committee may wish to consider a presentation from this group for more information. Attachment 1 A Regional Coalition for Housing brochure. HOU - 91

92 5.3 Attachment 1 Our Organizational Structure What is ARCH? Mission and Values Member Councils annually approve the ARCH Work Program and administrative budget; set aside funds in their budgets for affordable housing; adopt local land use policies, regulations and programs; and approve Housing Trust Fund projects. The Executive Board, consisting of member executive level staff, supervises the Citizen Advisory Board and staff in the dayto-day implementation of the work program and budget, and forwards Housing Trust Fund recommendations to members for approval. The Citizen Advisory Board (CAB), consisting of community residents and housing professionals, works with staff to develop recommendations for the Housing Trust Fund and ARCH work program activities including efforts to broaden awareness of local housing needs. ARCH Staff work directly with member staffs, commissions and councils, and the CAB, housing developers and the public to implement the ARCH Work Program. Together Center NE 87th St., Suite A-3 Redmond, WA Phone: Fax: info@archhousing.org A Regional Coalition for Housing Working Together to House East King County HOU - 92 ARCH is a partnership of the County and East King County Cities who have joined together to assist with preserving and increasing the supply of housing for low and moderateincome households in the region. ARCH assists member governments in developing housing policies, strategies, programs, and development regulations; coordinates the cities financial support to groups creating affordable housing for low and moderate-income households; and assists people looking for affordable rental and ownership housing. ARCH s member governments have supported a wide range of housing created and operated by local organizations and private developers that serve individuals, families, seniors, the homeless, and persons with special needs. Beaux Arts Village Bellevue Bothell Clyde Hill Hunts Point Issaquah Kenmore Kirkland ARCH Members Medina Mercer Island Newcastle Redmond Sammamish Woodinville Yarrow Point King County ARCH s mission is to preserve and increase the supply of housing for lowand moderate-income households in East King County. This includes homes for individuals and families, seniors, homeless, the disabled and other persons with special needs. ARCH s efforts reinforce community values such as providing housing that creates stability in personal lives, family, and neighborhood; facilitating a variety of solutions appropriate for each city; and enabling people to live near work or family. ARCH acts as a resource to community leaders and policymakers, giving them objective information and tools to carry out housing goals in their communities. The ARCH Training Course Textbook (Housing 101 available at One of the tools made available to community Rev: 9/7/10

93 ARCH Assists its members to: Directly assist the creation of belowmarket rate housing Engage the broader community on local housing issues Through the ARCH Housing Trust Fund, awarding loans and grants to developments that include belowmarket rate housing Waiving impact and permit fees Participating in discussions about housing at meetings and public forums Generating educational information for the public including brochures, website, housing tours and other material YWCA Family Village - Issaquah Highlands Making surplus public land available The box highlights an Accessory Dwelling Unit (ADU) above a garage Implement and administer housing programs by: Preparing and monitoring contracts for funded projects so affordability is maintained and, if applicable, loan payments are made Providing trainings on housing topics Making community awards to publicly recognize outstanding housing efforts Outcomes Examples of results of member jurisdictions efforts include: Funded in 2008 and 2009, construction started in Will provide 146 units of rental housing AWARDS PROJECTS Governor s Smart Community Award o YWCA Issaquah Family Village, 2009 o Greenbrier Heights, Woodinville, 2006 Habitat Homeownership Develop housing policies and regulations including: Policies and strategies in Land Use and Housing Elements of Comprehensive Plans and Neighborhood Plans Regulations to accommodate special forms of housing such as accessory dwelling units (mother-in-law apartments), senior housing and cottage housing Land use incentives that create below-market rate housing within marketrate developments Preparing and administering contracts for below-market rate housing in market rate developments Assisting people looking for below-market ownership and rental housing Tracking local housing production and housing needs Sammamish Town Center Plan HOU - 93 Through the ARCH Trust Fund, cities have provided over $30 million to help create over 2,500 units of affordable housing for individuals, families, seniors, the homeless, and persons with special needs. This has included preservation of over 450 privately owned federally assisted housing units. Twelve members have adopted regulations permitting Accessory Dwelling Units (ADU) which has resulted in the permitting of over 500 ADUs. Ten members have implemented land use incentive programs for affordable housing resulting in over 600 market-produced affordable units. Seven members have made surplus public property available for housing developments that include over 630 affordable housing units. Puget Sound Regional Council (PSRC) Vision 2020 Awards o Redmond Coast Guard Site, 2005 o Greenbrier Heights, Woodinville, 2004 o Talus, Issaquah, 2003 National Association of Housing and Redevelopment Officials (NAHRO) Award of Excellence in Program Innovation, Village at Overlake Station, Redmond, 2006 ARCH Innovations in American Government Award in Affordable Housing, 2004 HUD Secretary s Opportunity and Empowerment Award, 1999 (Awarded by APA / HUD) PSRC Vision 2020 Award, 1998 Planning Assoc of WA, Honor Award, 1993

94 a metrovancouver ~ SERVICES AND SOLUTIONS FOR A LIVABLE REGION 6.1 MAY Tony Roy Executive Director BC Non-Profit Housing Association Suite E. Hastings Street Vancouver, BC V5K 2A9 Board and Information Services, Legal and Legislative Services Tel Fax File: CR Dear Mr. Roy: Re: The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordability At its May 15, 2015 regular meeting, the Greater Vancouver Regional District Board of Directors adopted the following resolution: That the GVRD Board: a) Receive for information the report dated April 7, 2015, titled "The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordability", and b) Transmit "The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability" to the: i. Federal Minister Responsible for CMHC, Federal Minister of Transport, Federal Minister of State for Western Economic Diversification; ii. Provincial Minister Responsible for Housing, Provincial Minister of Transportation and Infrastructure, Provincial Ministers of Jobs, Tourism and Skills Training; iii. Mayors' Council on Regional Transportation, TransLink, local government authorities in the region; and iv. BC Non-Profit Housing Association and the Better Transit and Transportation Coalition. This is for your information. CP/kh Enclosure: The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability 4330 Kingsway, Burnaby, BC, Canada VSH 4GB Greater Vancouver Regional District Greater Vancouver Water District Greater Vancouver Sewerage and Drainage District Metro Vancouver Housing Corporation HOU - 94

95 & metrovancouver.. SERVICES AND SOLUTIONS FOR A LIVABLE REGION MAY Bill Flitton, Director, legislative Services/City Clerk City of Abbotsford South Fraser Way Abbotsford, BC V2T 1W7 Board and Information Services, Legal and Legislative Services Tel Fax File: CR Doc. No.: Dear Mr. Flitton: Re: The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordability I am writing to inform City of Abbotsford Mayor and Council that at its May 15, 2015 regular meeting, the Greater Vancouver Regional District Board of Directors adopted the following resolution: That the GVRD Board: a) Receive for information the report dated April 7, 2015, titled "The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordability", and b) Transmit "The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability" to the: i. Federal Minister Responsible for CMHC, Federal Minister of Transport, Federal Minister of State for Western Economic Diversification; ii. Provincial Minister Responsible for Housing, Provincial Minister of Transportation and Infrastructure, Provincial Ministers of Jobs, Tourism and Skills Training; iii. Mayors' Council on Regional Transportation, TransLink, local government authorities in the region; and iv. BC Non-Profit Housing Association and the Better Transit and Transportation Coalition. CP/kh Enclosure: The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability 4330 Kingsway, Burnaby, BC, Canada VSH 4G Greater Vancouver Regional District Greater Vancouver Water District Greater Vancouver Sewerage and Drainage District Metro Vancouver Housing Corporation HOU - 95

96 8 metrovancouver ~ SERVICES AND SOLUTIONS FOR A LIVABLE REGION MAY Karen-Ann Cobb, Manager of Corporate Services Village of Anmore 2697 Sunnyside Road RR1 Anmore, BC V3H 5G9 Board and Information Services, Legal and Legislative Services Tel Fax File: CR Doc. No.: Dear Ms. Cobb: Re: The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordability I am writing to inform Village of Anmore Mayor and Council that at its May 15, 2015 regular. meeting, the Greater Vancouver Regional District Board of Directors adopted the following resolution: y That the GVRD Board: a) Receive for information the report dated April 7, 2015, titled "The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordability", and b) Transmit "The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability" to the: i. Federal Minister Responsible for CMHC, Federal Minister of Transport, Federal Minister of State for Western Economic Diversification; ii. Provincial Minister Responsible for Housing, Provincial Minister of Transportation and Infrastructure, Provincial Ministers of Jobs, Tourism and Skills Training; iii. Mayors' Council on Regional Transportation, TransLink, local government authorities in the region; and iv. BC Non-Profit Housing Association and the Better Transit and Transportation Coalition. agnol Corporate Officer CP/kh Enclosure: The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability 4330 Kingsway, Burnaby, BC, Canada VSH 4GB Greater Vancouver Regional District Greater Vancouver Water District Greater Vancouver Sewerage and Drainage District Metro Vancouver Housing Corporation HOU - 96

97 & metrovancouver ~ SERVICES AND SOLUTIONS FOR A LIVABLE REGION MAY Lynda Floyd, Chief Administrative Officer Village of Belcarra 4084 Bedwell Bay Road Belcarra, BC V3H 4P8 Board and Information Services, Legal and Legislative Services Tel Fax File: CR Doc. No.: Dear Ms. Floyd: Re: The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordability I am writing to inform Village of Belcarra Mayor and Council that at its May 15, 2015 regular meeting, the Greater Vancouver Regional District Board of Directors adopted the following resolution: y That the GVRD Board: a) Receive for information the report dated April 7, 2015, titled "The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordability", and b) Transmit "The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability" to the: i. Federal Minister Responsible for CMHC, Federal Minister of Transport, Federal Minister of State for Western Economic Diversification; ii. Provincial Minister Responsible for Housing, Provincial Minister of Transportation and Infrastructure, Provincial Ministers of Jobs, Tourism and Skills Training; iii. Mayors' Council on Regional Transportation, TransLink, local government authorities in the region; and iv. BC Non-Profit Housing Association and the Better Transit and Transportation Coalition. Chns gnol Corpo ate Officer CP/kh Enclosure: The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability 4330 Kingsway, Burnaby, BC, Canada VSH 4GB Greater Vancouver Regional District Greater Vancouver Water District Greater Vancouver Sewerage and Drainage District Metro Vancouver Housing Corporation HOU - 97

98 ~ metrovancouver ~ SERVICES AND SOLUTIONS FOR A LlVABLE REGION MAY Lisa Wrinch, Deputy Corporate Officer Bowen Island Municipality 981 Artisan Lane P.O. Box 279 Bowen Island, BC VON 1GO Board and Information Services, Legal and Legislative Services Tel Fax File: CR Doc. No. : Dear Ms. Wrinch: Re: The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordability I am writing to inform Bowen Island Municipality Mayor and Council that at its May 15, 2015 regular meeting, the Greater Vancouver Regional District Board of Directors adopted the following resolution: That the GVRD Board: a) Receive for information the report dated April 7, 2015, titled "The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordability", and b) Transmit "The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability" to the: i. Federal Minister Responsible for CMHC, Federal Minister of Transport, Federal Minister of State for Western Economic Diversification; ii. Provincial Minister Responsible for Housing, Provincial Minister of Transportation and Infrastructure, Provincial Ministers of Jobs, Tourism and Skills Training; iii. Mayors' Council on Regional Transportation, TransLink, local government authorities in the region; and iv. BC Non-Profit Housing Association and the Better Transit and Transportation Coalition. CP/kh Enclosure: The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability 4330 Kingsway, Burnaby, BC, Canada VSH 4G Greater Vancouver Regional District Greater Vancouver Water District Greater Vancouver Sewerage and Drainage District Metro Vancouver Housing Corporation HOU - 98

99 a metrovancouver ~ SERVICES AND SOLUTIONS FOR A LIVABLE REGION MAY Dennis Back, City Clerk City of Burnaby 4949 Canada Way Burnaby, BC V5G 1M2 Board and Information Services, Legal and Legislative Services Tel Fax File: CR Doc. No.: Dear Mr. Back: Re: The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordability I am writing to inform City of Burnaby Mayor and Council that at its May 15, 2015 regular meeting, the Greater Vancouver Regional District Board of Directors adopted the following resolution: That the GVRD Board: a) Receive for information the report dated April 7, 2015, titled "The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordability", and b) Transmit "The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability" to the: i. Federal Minister Responsible for CMHC, Federal Minister of Transport, Federal Minister of State for Western Economic Diversification; ii. Provincial Minister Responsible for Housing, Provincial Minister of Transportation and Infrastructure, Provincial Ministers of Jobs, Tourism and Skills Training; iii. Mayors' Council on Regional Transportation, TransUnk, local government authorities in the region; and iv. BC Non-Profit Housing Association and the Better Transit and Transportation Coalition. CP/kh Enclosure: The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability 4330 Kingsway, Burnaby, BC, Canada VSH 4GB Greater Vancouver Regional District Greater Vancouver Water District Greater Vancouver Sewerage and Drainage District Metro Vancouver Housing Corporation HOU - 99

100 & metrovancouver ~ SERVICES AND SOLUTIONS FOR A LIVABLE REGION MAY Jay Gilbert, City Clerk City of Coquitlam 3000 Guildford Way Coquitlam, BC V3B 7N2 Board and Information Services, Legal and Legislative Services Tel Fax File: CR Doc. No.: Dear Mr. Gilbert: Re: The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordability I am writing to inform City of Coquitlam Mayor and Council that at its May 15, 2015 regular meeting, the Greater Vancouver Regional District Board of Directors adopted the following resolution: That the GVRD Board: a) Receive for information the report dated April 7, 2015, titled "The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordability", and b) Transmit "The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at A/fordability" to the: i. Federal Minister Responsible for CMHC, Federal Minister of Transport, Federal Minister of Stat.e for Western Economic Diversification; ii. Provincial Minister Responsible for Housing, Provincial Minister of Transportation and Infrastructure, Provincial Ministers of Jobs, Tourism and Skills Training; iii. Mayors' Council on Regional Transportation, TransLink, local government authorities in the region; and iv. BC Non-Profit Housing Association and the Better Transit and Transportation Coalition. CP/kh Enclosure: The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability 4330 Kingsway, Burnaby, BC, Canada VSH 4GB Greater Vancouver Regional District Greater Vancouver Water District Greater Vancouver Sewerage and Drainage District Metro Vancouver Housing Corporation HOU - 100

101 a metrovancouver ~ SERVICES AND SOLUTIONS FOR A LIVABLE REGION MAY Robyn Anderson, Municipal Clerk Corporation of Delta 4500 Clarence Taylor Crescent Delta, BC V4K 3E2 Board and Information Services, Legal and Legislative Services Tel Fax File: CR Doc. No.: Dear Ms. Anderson: Re: The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordability I am writing to inform Corporation of Delta Mayor and Council that at its May 15, 2015 regular meeting, the Greater Vancouver Regional District Board of Directors adopted the following resolution: That the GVRD Board: a) Receive for information the report dated April 7, 2015_, titled "The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordability"_, and b) Transmit "The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability-'' to the: i. Federal Minister Responsible for CMHC, Federal Minister of Transport, Federal Minister of State for Western Economic Diversification; ii. Provincial Minister Responsible for Housing_, Provincial Minister of Transportation and Infrastructure_, Provincial Ministers of Jobs, Tourism and Skills Training; iii. Mayors-' Council on Regional Transportation_, TransLink_, local government authorities in the region; and iv. BC Non-Profit Housing Association and the Better Transit and Transportation Coalition. CP/kh Enclosure: The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability 4330 Kingsway, Burnaby, BC, Canada VSH 4G Greater Vancouver Regional District Greater Vancouver Water District Greater Vancouver Sewerage and Drainage District Metro Vancouver Housing Corporation HOU - 101

102 ~ metrovancouver ~ SERVICES AND SOLUTIONS FOR A LIVABLE REGION MAY Carolyn Mushata, Manager of Legislative Services City of Langley Douglas Crescent Langley, BC V3A 483 Board and Information Services, Legal and Legislative Services Tel Fax File: CR Doc. No.: Dear Ms. Mushata: Re: The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordability I am writing to inform City of Langley Mayor and Council that at its May 15, 2015 regular meeting, the Greater Vancouver Regional Di~trict Board of Directors adopted the following resolution: That the GVRD Board: a) Receive for information the report dated April 7, 2015, titled "The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordabi/ity", and b) Transmit "The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability" to the: i. Federal Minister Responsible for CMHC, Federal Minister of Transport, Federal Minister of State for Western Economic Diversification; ii. Provincial Minister Responsible for Housing, Provincial Minister of Transportation and Infrastructure, Provincial Ministers of Jobs, Tourism and Skills Training; iii. Mayors' Council on Regional Transportation, TransLink, local government authorities in the region; and iv. BC Non-Profit Housing Association and the Better Transit and Transportation Coalition. CP/kh Enclosure: The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability 4330 Kingsway, Burnaby, BC, Canada VSH 4G8 o o Greater Vancouver Regional District o Greater Vancouver Water District o Greater Vancouver Sewerage and Drainage District Metro Vancouver Housing Corporation HOU - 102

103 a metrovancouver ~ SERVICES AND SOLUTIONS FOR A LIVABLE REGION MAY Wendy Bauer, Township Clerk Township of Langley st Street Langley, BC V3A 3Z8 Board and Information Services, Legal and Legislative Services Tel Fax File: CR Doc. No.: Dear Ms. Bauer: Re: The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability I am writing to inform Township of Langley Mayor and Council that at its May 15, 2015 regular meeting, the Greater Vancouver Regional District Board of Directors adopted the following resolution: That the GVRD Board: a) Receive for information the report dated April 7, 2015, titled "The Metro Vancouver Housing and Transportation Cost Burden Study - A New.way of Looking at Affordability", and b) Transmit "The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability" to the: i. Federal Minister Responsible for CMHC, Federal Minister of Transport, Federal Minister of State for Western Economic Diversification; ii. Provincial Minister Responsible for Housing, Provincial Minister of Transportation and Infrastructure, Provincial Ministers of Jobs, Tourism and Skills Training; iii. Mayors' Council on Regional Transportation TransLink, local government authorities in the region; and iv. BC Non-Profit Housing Association and the Better Transit and Transportation Coalition. CP/kh Enclosure: The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability 4330 Kingsway, Burnaby, BC, Canada VSH 4GB Greater Vancouver Regional District Greater Vancouver Water District Greater Vancouver Sewerage and Drainage District Metro Vancouver Housing Corporation HOU - 103

104 8 metrovancouver ~ SERVICES AND SOLUTIONS FOR A LIVABLE REGION MAY Mandy Koonts, Municipal Coordinator Village of lions Bay 400 Centre Road P.0. Box 141 lions Bay, BC VON 2EO Board and Information Services, Legal and Legislative Services Tel Fax File: CR Doc. No.: Dear Ms. Koonts: Re: The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordability I am writing to inform Village of lions Bay Mayor and Council that at its May 15, 2015 regular meeting, the Greater Vancouver Regional District Board of Directors adopted the following resolution: That the GVRD Board: a) Receive for information the report dated April 7, 2015, titled "The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordability", and b) Transmit "The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at A/fordability" to the: i. Federal Minister Responsible for CMHC, Federal Minister of Transport, Federal Minister of State for Western Economic Diversification; ii. Provincial Minister Responsible for Housing, Provincial Minister of Transportation and Infrastructure, Provincial Ministers of Jobs, Tourism and Skills Training; iii. Mayors' Council on Regional Transportation, TransLink, local government authorities in the region; and iv. BC Non-Profit Housing Association and the Better Transit and Transportation Coalition. CP/kh Enclosure: The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability 4330 Kingsway, Burnaby, BC, Canada VSH 4G Greater Vancouver Regional District Greater Vancouver Water District Greater Vancouver Sewerage and Drainage District Metro Vancouver Housing Corporation HOU - 104

105 ~ metrovancouver ~ SERVICES AND SOLUTIONS FOR A LIVABLE REGION MAY Ceri Marlo, Manager of Legislative Services City of Maple Ridge Haney Place Maple Ridge, BC V2X 6A9 Board and Information Services, Legal and Legislative Services Tel Fax File: CR Doc. No.: Dear Ms. Marlo: Re: The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Afford ability I am writing to inform City of Maple Ridge Mayor and Council that at its May 15, 2015 regular meeting, the Greater Vancouver Regional District Board of Directors adopted the following resolution: That the GVRD Board: a) Receive for information the report dated April 7, 2015, titled "The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of. Looking at Affordability", and b) Transmit "The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability" to the: i. Federal Minister Responsible for CMHC, Federal Minister of Transport, Federal Minister of State for Western Economic Diversification; ii. Provincial Minister Responsible for Housing, Provincial Minister of Transportation and Infrastructure, Provincial Ministers of Jobs, Tourism and Skills Training; iii. Mayors' Council on Regional Transportation, TransLink, local government authorities in the region; and iv. BC Non-Profit Housing Association and the Better Transit and Transportation Coalition. CP/kh Enclosure: The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability 4330 Kingsway, Burnaby, BC, Canada VSH 4G Greater Vancouver Regional District Greater Vancouver Water District Greater Vancouver Sewerage and Drainage District Metro Vancouver Housing Corporation HOU - 105

106 a metrovancouver ~ SERVICES AND SOLUTIONS FOR A LIVABLE REGION MAY Jan Gibson, Director of Legislative Services City of New Westminster 511 Royal Avenue New Westminster, BC V3L 1H9 Board and Information Services, Legal and Legislative Services Tel Fax File: CR Doc. No.: Dear Mr. Gibson: Re: The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordability I am writing to inform City of New Westminster Mayor and Council that at its May 15, 2015 regular meeting, the Greater Vancouver Regional District Board of Directors adopted the following resolution: That the GVRD Board: a) Receive for information the report dated April 7, 2015, titled "The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordability", and b) Transmit "The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability" to the: i. Federal Minister Responsible for CMHC, Federal Minister of Transport, Federal Minister of State for Western Economic Diversification; ii. Provincial Minister Responsible for Housing, Provincial Minister of Transportation and Infrastructure, Provincial Ministers of Jobs, Tourism and Skills Training; iii. Mayors' Council on Regional Transportation, TransLink, local government authorities in the region; and iv. BC Non-Profit Housing Association and the Better Transit and Transportation Coalition. CP/kh Enclosure: The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability 4330 Kingsway, Burnaby, BC, Canada VSH 4G Greater Vancouver Regional District Greater Vancouver Water District Greater Vancouver Sewerage and Drainage District Metro Vancouver Housing Corporation HOU - 106

107 a metrovancouver.. SERVICES AND SOLUTIONS FOR A LIVABLE REGION MAY Karla Graham, City Clerk City of North Vancouver 141 West 14th Street North Vancouver, BC V7M 1H9 Board and Information Services, Legal and Legislative Services Tel Fax File: CR Doc. No.: Dear Ms. Graham: Re: The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordability I am writing to inform City of North Vancouver Mayor and Council that at its May 15, 2015 regular meeting, the Greater Vancouver Regional District Board of Directors adopted the following resolution: That the GVRD Board: a) Receive for information the report dated April 7, 2015, titled "The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordability", and b) Transmit "The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability" to the: i. Federal Minister Responsible for CMHC, Federal Minister of Transport, Federal Minister of State for Western Economic Diversification; ii. Provincial Minister Responsible for Housing, Provincial Minister of Transportation and Infrastructure, Provincial Ministers of Jobs, Tourism and Skills Training; iii. Mayors' Council on Regional Transportation, TransLink, local government authorities in the region; and iv. BC Non-Profit Housing Association and the Better Transit and Transportation Coalition. CP/kh Enclosure: The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability 4330 Kingsway, Burnaby, BC, Canada VSH 4G Greater Vancouver Regional District Greater Vancouver Water District Greater Vancouver Sewerage and Drainage District Metro Vancouver Housing Corporation HOU - 107

108 a metrovancouver.. SERVICES AND SOLUTIONS FOR A LIVABLE REGION MAY James Gordon, Manager, Administrative Services District of North Vancouver 355 West Queens Road North Vancouver, BC V7N 4N5 Board and Information Services, Legal and Legislative Services Tel Fax File: CR Doc. No.: Dear Mr. Gordon: Re: The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordability I am writing to inform District of North Vancouver Mayor and Council that at its May 15, 2015 regular meeting, the Greater Vancouver Regional District Board of Directors adopted the following resolution: That the GVRD Board: a) Receive for information the report dated April 7, 2015, titled "The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordability", and b) Transmit "The Metro Vancouver H.ousing and Transportation Cost Burden Study- A New Way of Looking at Affordability" to the: i. Federal Minister Responsible for CMHC, Federal Minister of Transport, Federal Minister of State for Western Economic Diversification; ii. Provincial Minister Responsible for Housing, Provincial Minister of Transportation and Infrastructure, Provincial Ministers of Jobs, Tourism and Skills Training; iii. Mayors' Council on Regional Transportation, TransLink, local government authorities in the region; and iv. BC Non-Profit Housing Association and the Better Transit and Transportation Coalition. CP/kh Enclosure: The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability 4330 Kingsway, Burnaby, BC, Canada VSH 4G Greater Vancouver Regional District Greater Vancouver Water District Greater Vancouver Sewerage and Drainage District Metro Vancouver Housing Corporation HOU - 108

109 & metrovancouver.. SERVICES AND SOLUTIONS FOR A LIVABLE REGION MAY Kelly Kenney, Manager of Corporate Services City of Pitt Meadows Harris Road Pitt Meadows, BC V3Y 2B5 Board and Information Services, Legal and Legislative Services Tel Fax File: CR Doc. No.: Dear Ms. Kenney: Re: The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordability I am writing to inform City of Pitt Meadows Mayor and Council that at its May 15, 2015 regular meeting, the Greater Vancouver Regional District Board of Directors adopted the following resolution: That the GVRD Board: a) Receive for information the report dated April 7, 2015, titled "The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordability", and b) Transmit "The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability" to the: i. Federal Minister Responsible for CMHC, Federal Minister of Transport, Federal Minister of State for Western Economic Diversification; ii. Provincial Minister Responsible for Housing, Provincial Minister of Transportation and Infrastructure, Provincial Ministers of Jobs, Tourism and Skills Training; iii. Mayors' Council on Regional Transportation, TransLink, local government authorities in the region; and iv. BC Non-Profit Housing Association and the Better Transit and Transportation Coalition. CP/kh Enclosure: The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability 4330 Kingsway, Burnaby, BC, Canada VSH 4GB o Greater Vancouver Regional District o Greater Vancouver Water District o Greater Vancouver Sewerage and Drainage District o Metro Vancouver Housing Corporation HOU - 109

110 a metrovancouver ~ SERVICES AND SOLUTIONS FOR A LIVABLE REGION MAY Braden Hutchins, Corporate Officer City of Port Coquitlam 2580 Shaughnessy Street Port Coquitlam, BC V3C 2A8 Board and Information Services, Legal and Legislative Services Tel Fax File: CR Doc. No.: Dear Mr. Hutchins: Re: The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordability I am writing to inform City of Port Coquitlam Mayor and Council that at its May 15, 2015 regular meeting, the Greater Vancouver Regional District Board of Directors adopted the following resolution: That the GVRD Board: a) Receive for information the report dated April 7, 2015, titled "The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordability", and b) Transmit "The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability" to the: i. Federal Minister Responsible for CMHC, Federal Minister of Transport, Federal Minister of State for Western Economic Diversification; ii. Provincial Minister Responsible for Housing, Provincial Minister of Transportation and Infrastructure, Provincial Ministers of Jobs, Tourism and Skills Training; iii. Mayors' Council on Regional Transportation, TransLink, local government authorities in the region; and iv. BC Non-Profit Housing Association and the Better Transit and Transportation Coalition. Corporate Officer CP/kh Enclosure: The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability 4330 Kingsway, Burnaby, BC, Canada VSH 4G Greater Vancouver Regional District Greater Vancouver Water District Greater Vancouver Sewerage and Drainage District Metro Vancouver Housing Corporation HOU - 110

111 a metrovancouver ~ SERVICES AND SOLUTIONS FOR A LIVABLE REGION MAY Kelly Ridley, City Clerk City of Port Moody 100 Newport Drive P.0. Box 36 Port Moody, BC V3H 3E1 Board and Information Services, Legal and Legislative Services Tel Fax File: CR Doc. No.: Dear Ms. Ridley: Re: The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordability I am writing to inform City of Port Moody Mayor and Council that at its May 15, 2015 regular meeting, the Greater Vancouver Regional District Board of Directors adopted the following resolution: That the GVRD Board: a) Receive for information the report dated April 7, 2015, titled "The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordability", and b) Transmit "The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability" to the: i. Federal Minister Responsible for CMHC, Federal Minister of Transport, Federal Minister of State for Western Economic Diversification; ii. Provincial Minister Responsible for Housing, Provincial Minister of Transportation and Infrastructure, Provincial Ministers of Jobs, Tourism and Skills Training; iii. Mayors' Council on Regional Transportation, TransLink, local government authorities in the region; and iv. BC Non-Profit Housing Association and the Better Transit and Transportation Coalition. CP/kh Enclosure: The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability 4330 Kingsway, Burnaby, BC, Canada VSH 4GB Greater Vancouver Regional District Greater Vancouver Water District Greater Vancouver Sewerage and Drainage District Metro Vancouver Housing Corporation HOU - 111

112 #l\\ metrovancouver.. SERVICES AND SOLUTIONS FOR A LIVABLE REGION MAY David Weber, City Clerk City of Richmond 6911 No. 3 Road Richmond, BC VGY 2C1 Board and Information Services, Legal and Legislative Services Tel Fax File: CR Doc. No.: Dear Mr. Weber: Re: The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordability I am writing to inform City of Richmond Mayor and Council that at its May 15, 2015 regular meeting, the Greater Vancouver Regional District Board of Directors adopted the following resolution: That the GVRD Board: a) Receive for information the report dated April 7, 2015, titled "The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordability", and b) Transmit "The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability" to the: i. Federal Minister Responsible for CMHC, Federal JY1inister of Transport, Federal Minister of State for Western Economic Diversification; ii. Provincial Minister Responsible for Housing, Provincial Minister of Transportation and Infrastructure, Provincial Ministers of Jobs, Tourism and Skills Training; iii. Mayors' Council on Regional Transportation, TransLink, local government authorities in the region; and iv. BC Non-Profit Housing Association and the Better Transit and Transportation Coalition. CP/kh Enclosure: The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability 4330 Kingsway, Burnaby, BC, Canada VSH 4GB Greater Vancouver Regional District Greater Vancouver Water District Greater Vancouver Sewerage and Drainage District Metro Vancouver Housing Corporation HOU - 112

113 ~ metrovancouver ~ SERVICES AND SOLUTIONS FOR A LIVABLE REGION MAY Jane Sullivan, City Clerk City of Surrey Avenue Surrey, BC V3T 1 V8 Board and Information Services, Legal and Legislative Services Tel SO Fax File: CR Doc. No.: Dear Ms. Sullivan: Re: The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordability I am writing to inform City of Surrey Mayor and Council that at its May 15, 2015 regular meeting, the Greater Vancouver Regional District Board of Directors adopted the following resolution: That the GVRD Board: a) Receive for information the report dated April 7, 2015, titled "The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordability", and b) Transmit "The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Afford ability" to the: i. Federal Minister Responsible for CMHC, Federal Minister of Transport, Federal Minister of State for Western Economic Diversification; ii. Provincial Minister Responsible for Housing, Provincial Minister of Transportation and Infrastructure, Provincial Ministers of Jobs, Tourism and Skills Training; iii. Mayors' Council on Regional Transportation, TransLink, local government authorities in the region; and iv. BC Non-Profit Housing Association and the Better Transit and Transportation Coalition. CP/kh Enclosure: The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability 4330 Kingsway, Burnaby, BC, Canada VSH 4G Greater Vancouver Regional District Greater Vancouver Water District Greater Vancouver Sewerage and Drainage District Metro Vancouver Housing Corporation HOU - 113

114 a metrovancouver ~ SERVICES AND SOLUTIONS FOR A LIVABLE REGION MAY Tom McCarthy, Acting Chief Administrative Officer Tsawwassen First Nation 1926 Tsawwassen Drive Delta, BC V4M 4G4 Board and Information Services, Legal and Legislative Services Tel Fax File: CR Doc. No.: Dear Mr. McCarthy: Re: The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordability I am writing to inform Tsawwassen First Nation Mayor and Council that at its May 15, 2015 regular meeting, the Greater Vancouver Regional District Board of Directors adopted the following resolution: That the GVRD Board: a) Receive for information the report dated April 7, 2015, titled "The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordability", and b) Transmit "The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability" to the: i. Federal Minister Responsible for CMHC, Federal Minister of Transport, Federal Minister of State for Western Economic Diversification; ii. Provincial Minister Responsible for Housing, Provincial Minister of Transportation and Infrastructure, Provincial Ministers of Jobs, Tourism and Skills Training; iii. Mayors' Council on Regional Transportation, TransLink, local government authorities in the region; and iv. BC Non-Profit Housing Association and the Better Transit and Transportation Coalition. CP/kh Enclosure: The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability 4330 Kingsway, Burnaby, BC, Canada VSH 4G Greater Vancouver Regional District Greater Vancouver Water District Greater Vancouver Sewerage and Drainage District Metro Vancouver Housing Corporation HOU - 114

115 a metrovancouver.. SERVICES AND SOLUTIONS FOR A LIVABLE REGION MAY Janice MacKenzie, City Clerk City of Vancouver 453 West 12th Avenue Vancouver, BC V5Y 1 V4 Board and Information Services, Legal and Legislative Services Tel Fax File: CR Doc. No.: Dear Ms. MacKenzie: Re: The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordability I am writing to inform City of Vancouver Mayor and Council that at its May 15, 2015 regular meeting, the Greater Vancouver Regional District Board of Directors adopted the following resolution: That the GVRD Board: a) Receive for information the report dated April 7, 2015, titled "The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordability", and b) Transmit "The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability" to the: i. Federal Minister Responsible for CMHC, Federal Minister of Transport, Federal Minister of State for Western Economic Diversification; ii. Provincial Minister Responsible for Housing, Provincial Minister of Transportation and Infrastructure, Provincial Ministers of Jobs, Tourism and Skills Training; iii. Mayors' Council on Regional Transportation, TransLink, local government authorities in the region; and iv. BC Non-Profit Housing Association and the Better Transit and Transportation Coalition. CP/kh Enclosure: The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability 4330 Kingsway, Burnaby, BC, Canada VSH 4G Greater Vancouver Regional District Greater Vancouver Water District Greater Vancouver Sewerage and Drainage District Metro Vancouver Housing Corporation HOU - 115

116 a metrovancouver ~ SERVICES AND SOLUTIONS FOR A LIVABLE REGION MAY Sheila Scholes, Municipal Clerk District of West Vancouver th Street West Vancouver, BC V7V 3T3 Board and Information Services, Legal and Legislative Services Tel Fax File: CR Doc. No.: Dear Ms. Scholes: Re: The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordability I am writing to inform District of West Vancouver Mayor and Council that at its May 15, 2015 regular meeting, the Greater Vancouver Regional District Board of Directors adopted the following resolution: That the GVRD Board: a) Receive for information the report dated April 7, 2015, titled "The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordability", and b) Transmit "The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Afford ability" to the: i. Federal Minister Responsible for CMHC, Federal Minister of Transport, Federal Minister of State for Western Economic Diversification; ii. Provincial Minister Responsible for Housing, Provincial Minister of Transportation and Infrastructure, Provincial Ministers of Jobs, Tourism and Skills Training; iii. Mayors' Council on Regional Transportation, TransLink, local government authorities in the region; and iv. BC Non-Profit Housing Association and the Better Transit and Transportation Coalition. CP/kh Enclosure: The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability 4330 Kingsway, Burnaby, BC, Canada VSH 4G Greater Vancouver Regional District Greater Vancouver Water District Greater Vancouver Sewerage and Drainage District Metro Vancouver Housing Corporation HOU - 116

117 a metrovancouver ~ SERVICES AND SOLUTIONS FOR A LIVABLE REGION MAY Tracey Arthur, Municipal Clerk City of White Rock Buena Vista Avenue White Rock, BC V4B 1Y6 Board and Information Services, Legal and Legislative Services Tel Fax File: CR Doc. No.: Dear Ms. Arthur: Re: The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability I am writing to inform City of White Rock Mayor and Council that at its May 15, 2015 regular meeting, the Greater Vancouver Regional District Board of Directors adopted the following resolution: That the GVRD Board: a) Receive for information the report dated April 7, 2015, titled "The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordability", and b) Transmit "The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability" to the: i. Federal Minister Responsible for CMHC, Federal Minister of Transport, Federal Minister of State for Western Economic Diversification; ii. Provincial Minister Responsible for Housing, Provincial Minister of Transportation and Infrastructure, Provincial Ministers of Jobs, Tourism and Skills Training; iii. Mayors' Council on Regional Transportation, TransLink, local government authorities in the region; and iv. BC Non-Profit Housing Association and the Better Transit and Transportation Coalition. CP/kh Enclosure: The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability 4330 Kingsway, Burnaby, BC, Canada VSH 4GB Greater Vancouver Regional District Greater Vancouver Water District Greater Vancouver Sewerage and Drainage District Metro Vancouver Housing Corporation HOU - 117

118 a metrovancouver ~ SERVICES AND SOLUTIONS FOR A LIVABLE REGION MAY Mayor Gregor Robertso~ Chair, Mayors' Council on Regional Transportation 287 Nelson's Court, Suite 400 New Westminster, BC V3L OE7 Board and Information Services, Legal and Legislative Services Tel Fax File: CR Doc. No.: Dear Chair Robertson: Re: The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordability I am writing to inform the Mayors' Council on Regional Transportation that at its May 15, 2015 regular meeting, the Greater Vancouver Regional District Board of Directors adopted the following resolution: That the GVRD Board: a) Receive for information the report dated April 7, 2015, titled "The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordability", and b) Transmit "The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability" to the: i. Federal Minister Responsible for CMHC, Federal Minister of Transport, Federal Minister of State for Western Economic Diversification; ii. Provincial Minister Responsible for Housing, Provincial Minister of Transportation and Infrastructure, Provincial Ministers of Jobs, Tourism and Skills Training; iii. Mayors' Council on Regional Transportation, TransLink, local government authorities in the region; and iv. BC Non-Profit Housing Association and the Better Transit and Transportation Coalition. CP/kh Enclosure: The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability 4330 Kingsway, Burnaby, BC, Canada VSH 4G Greater Vancouver Regional District Greater Vancouver Water District Greater Vancouver Sewerage and Drainage District Metro Vancouver Housing Corporation HOU - 118

119 a metrovancouver ~ SERVICES AND SOLUTIONS FOR A LIVABLE REGION MAY Gigi Chen-Kuo, General Counsel and Corporate Secretary Translink 287 Nelson's Court, Suite 400 New Westminster, BC V3l OE7 Board and Information Services, Legal and Legislative Services Tel Fax File: CR Doc. No.: Dear Ms Chen-Kuo: Re: The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordability I am writing to inform Translink that at its May 15, 2015 regular meeting, the Greater Vancouver Regional District Board of Directors adopted the following resolution: That the GVRD Board: a) Receive for information the report dated April 7, 2015, titled "The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordability", and b) Transmit "The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability" to the: i. Federal Minister Responsible for CMHC, Federal Minister of Transport, Federal Minister of State for Western Economic Diversification; ii. Provincial Minister Responsible for Housing, Provincial Minister of Transportation and Infrastructure, Provincial Ministers of Jobs, Tourism and Skills Training; iii. Mayors' Council on Regional Transportation, TransLink, local government authorities in the region; and iv~ BC Non-Profit Housing Association and the Better Transit and Transportation Coalition. CP/kh Enclosure: The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability 4330 Kingsway, Burnaby, BC, Canada VSH 4G Greater Vancouver Regional District Greater Vancouver Water District Greater Vancouver Sewerage and Drainage District Metro Vancouver Housing Corporation HOU - 119

120 ~ metrovancouver ~ SERVICES AND SOLUTIONS FOR A LIVABLE REGION MAY lain Black President and Chief Executive Officer Vancouver Board of Trade World Trade Centre Suite 400, 999 Canada Place Vancouver, BC V6C 3E1 Board and Information Services, Legal and Legislative Services Tel Fax File: CR Dear Mr. Black: Re: The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordability At its May 15, 2015 regular meeting, the Greater Vancouver Regional District Board of Directors adopted the following resolution: That the GVRD Board: a) Receive for information the report dated April 7~ 2015~ titled "The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordability"~ and b) Transmit "The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability'' to the: i. Federal Minister Responsible for CMHC, Federal Minister of Transport~ Federal Minister of State for Western Economic Diversification; ii. Provincial Minister Responsible for Housing~ Provincial Minister of Transportation and Infrastructure, Provincial Ministers of Jobs, Tourism and Skills Training; iii. Mayors' Council on Regional Transportation, TransLink, local government authorities in the region; and iv. BC Non-Profit Housing Association and the Better Transit and Transportation Coalition. The following contact information is provided below should you have questions or comments. Allan Neilson, General Manager Policy, Planning and Environment Metro Vancouver 4330 Kingsway Burnaby, BC V5H 4GB Phone: allan.neilson@metrovancouver.org 4330 Kingsway, Burnaby, BC, Canada VSH 4G Greater Vancouver Regional District Greater Vancouver Water District Greater Vancouver Sewerage and Drainage District Metro Vancouver Housing Corporation HOU - 120

121 The Better Transit and Transportation Coalition The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability Page 2 of 8 This information is being provided to you as co-chair of the Better Transit and Transportation Coalition. CP/kh HOU - 121

122 ~~ metrovancouver ~ SERVICES AND SOLUTIONS FOR A LIVABLE REGION MAY Bahareh Jokar Vice-President, External Affairs Alma Mater Society of UBC Student Union Building 6138 Student Union Blvd Vancouver, BC V6T 1Z1 Board and Information Services, Legal and Legislative Services Tel Fax File: C~ Dear Ms. Bahareh: Re: The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordability At its May 15, 2015 regular meeting, the Greater Vancouver Regional District Board of Directors adopted the following resolution: That the GVRD Board: a) Receive for information the report dated April 7, 2015, titled "The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordability", and b) Transmit "The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability" to the: i. Federal Minister Responsible for CMHC, Federal Minister of Transport, Federal Minister of State for Western Economic Diversification; ii. Provincial Minister Responsible for Housing, Provincial Minister of Transportation and Infrastructure, Provincial Ministers of Jobs, Tourism and Skills Training; iii. Mayors' Council on Regional Transportation, TransLink, local government authorities in the region; and iv. BC Non-Profit Housing Association and the Better Transit and Transportation Coalition. The following contact information is provided below should you have questions or comments. Allan Neilson, General Manager Policy, Planning and Environment Metro Vancouver 4330 Kingsway Burnaby, BC VSH 4G8 Phone: allan.neilson@metrovancouver.org 4330 Kingsway, Burnaby, BC, Canada VSH 4GB Greater Vancouver Regional District Greater Vancouver Water District Greater Vancouver Sewerage and Drainage District Metro Vancouver Housing Corporation HOU - 122

123 The Better Transit and Transportation Coalition The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability Page 4 of 8 This information is being provided to you as co-chair of the Better Transit and Transportation Coalition. CP/kh HOU - 123

124 S metrovancouver ~ SERVICES AND SOLUTIONS FOR A LIVABLE REGION MAY Gavin McGarrigle BC Area Director Unifor th Street New Westminster, BC V3M 4H6 Board and Information Services, Legal and Legislative Services Tel Fax File: CR~ l~-01 I Dear Mr. McGarrigle: Re: The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordability At its May 15, 2015 regular meeting, the Greater Vancouver Regional District Board of Directors adopted the following resolution: That the GVRD Board: a) Receive for information the report dated April 7, 2015, titled "The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordability", and b) Transmit "The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability" to the: i. Federal Minister Responsible for CMHC, Federal Minister of Transport, Federal Minister of State for Western Economic Diversification; ii. Provincial Minister Responsible for Housing, Provincial Minister of Transportation and Infrastructure, Provincial Ministers of Jobs, Tourism and Skills Training; iii. Mayors' Council on Regional Transportation, TransLink, local government authorities in the region; and iv. BC Non-Profit Housing Association and the Better Transit and Transportation Coalition. The following contact information is provided below should you have questions or comments. Allan Neilson, General Manager Policy, Planning and Environment Metro Vancouver 4330 Kingsway Burnaby, BC V5H 4G8 Phone: allan.neilson@metrovancouver.org 4330 Kingsway, Burnaby, BC, Canada VSH 4GB Greater Vancouver Regional District Greater Vancouver Water District Greater Vancouver Sewerage and Drainage District Metro Vancouver Housing Corporation HOU - 124

125 The Better Transit and Transportation Coalition The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability Page 6 of 8 This information is being provided to you as co-chair of the Better Transit and Transportation Coalition. CP/kh HOU - 125

126 ~ metrovancouver ~ SERVICES AND SOLUTIONS FOR A LIVABLE REGION MAY Peter Robinson Chief Executive Officer David Suzuki Foundation Vancouver (Head Office) West 4th Avenue Vancouver, BC V6K 452 Board and Information Services, Legal and Legislative Services Tel Fax File: CR Dear Mr. Robinson: Re: The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordability At its May 15, 2015 regular meeting, the Greater Vancouver Regional District Board of Directors adopted the following resolution: That the GVRD Board: a) Receive for information the report dated April 7, 2015, titled "The Metro Vancouver Housing and Transportation Cost Burden Study - A New Way of Looking at Affordability", and b) Transmit "The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability" to the: i. Federal Minister Responsible for CMHC, Federal Minister of Transport, Federal Minister of State for Western Economic Diversification; ii. Provincial Minister Responsible for Housing, Provincial Minister of Transportation and Infrastructure, Provincial Ministers of Jobs, Tourism and Skills Training; iii. Mayors' Council on Regional Transportation, TransLink, local government authorities in the region; and iv. BC Non-Profit Housing Association and the Better Transit and Transportation Coalition. The following contact information is provided below should you have questions or comments. Allan Neilson, General Manager Policy, Planning and Environment Metro Vancouver 4330 Ki ngsway Burnaby, BC V5H 4G8 Phone: allan.neilson@metrovancouver.org 4330 Kingsway, Burnaby, BC, Canada VSH 4G Greater Vancouver Regional District Greater Vancouver Water District Greater Vancouver Sewerage and Drainage District Metro Vancouver Housing Corporation HOU - 126

127 The Better Transit and Transportation Coalition The Metro Vancouver Housing and Transportation Cost Burden Study- A New Way of Looking at Affordability Page 8 of 8 This information is being provided to you as co-chair of the Better Transit and Transportation Coalition. gnol Corporate Officer CP/kh ' ' HOU - 127

128 6.2 CANADA MOPTGAGE AND HOUSING CORPORATION Second Special Edition : April 20 I 5 Highlights S m This second special edition of Housing Now Canada provides updated results from CMHC s House Price Analysis and Assessment (HPAA) framework on the risks of problematic housing market conditions in I 2 Census Metropolitan Areas (CMAs). Coverage ofthe HPAA has been expanded to Saskatoon, Regina,Winnipeg and St.john s (NL). The HPAA framework considers four risk factors to assess the potential for problematic housing market conditions: overheating; acceleration in the growth of house prices; overvaluation; and, overbuilding.the appendix of the first special edition of Housing Now, published in November 20 I 4, contains a detailed description of the statistical analysis underlying the HPAA. Modest overvaluation based on national indicators reflects a variety of price conditions across the country with some centres showing more signs of overvaluation than others. Likewise, our model indicates that housing market risk factors such as overheating, acceleration in house prices and overbuilding also vary by CMA.. In our model results fortoronto, Montréal, and Québec continue to indicate risks that exceed those at the national level, but remain moderate nonetheless.this largely reflects the detection of some risk of overvaluation in these centres, with an added note of caution fortoronto and Montréal related to the risk of overbuilding. Condominium units under construction are near historical peaks in these two CMAs. Inventory management is necessary to make sure that the currently elevated number of condominium units under construction does not remain unsold upon completion.. In Regina and Winnipeg, the risk of problematic housing market conditions evident in our model is high. In Regina, this reflects price acceleration, overvaluation and overbuilding, particularly of condominium apartments. In Winnipeg, risks of overvaluation and overbuilding are detected.. In our model Calgary and Edmonton are currently assessed as low overall risk, despite a risk of overvaluation in Calgary. However, Multiple Listing Service (MLS )2 sales have declined in recent months in these CMAs, pushing the sales-to-new listings ratio to buyers market levels, reflecting the impact of lower oil prices on housing demand in these oil-producing centres.this is expected to place downward pressure on house price growth, which could lessen the current risk of overvaluation in Calgary. K Similarly, while the risk of overbuilding has increased in Saskatoon, our model indicates that overall risks remain low because of the absence of other risk factors. Low overall risks are observed forvancouver, as none of the individual risk factors are currently detected.the overall risk in Halifax and Ottawa remains low, with the risk of overvaluation declining since the last assessment in both centres.the overall risk for St.john s also remains low.. Results are based on data as of the end of 20 I 4 and market intelligence as of the end of March 20 I 5. CMHC continuously monitors market developments and will issue HPAA updates on a quarterly basis, or sooner if warranted. The previous special edition was released in November 20 I 4 with results for 8 CMAs:Vancouvet Calgary, Edmonton,Toronto, Ottawa, Montréal, Québec and Halifax. 2 The Multiple Listing Service (MLS ) is a registered trademark owned by the Canadian Real Estate Association. C ana a Housing market intelligence you can count on HOU CMHCSCHL HOME TO CANADIANS

129 Canada Second April Housing Now - - Special Edition - 20 I S House Price Analysis and Assessment (HPAA) Overview To obtain an accurate picture of the overall state of the housing market, it is important to consider multiple data points and lines of evidence rather than relying on just one measure or indicator. A reliable approach seeks a comprehensive and integrated view that relies on a combination of signals to assess housing market conditions. This is the approach we take with our HPAA3 framework. The HPAA tests for (I) the presence or incidence of signals of potentially problematic conditions, but also considers; (2) the intensity of the signals, i.e. how different is the signal from its historical average and; (3) the persistence of signals over time. Generally, low intensity and persistence are associated with a lower potential of a risk factor becoming problematic. As the number of persistent signals increases, the likelihood of a risk factor becoming problematic increases. Specifically,the HPAA considers the incidence, intensity and persistence of four main risk factors that may provide an early indication of potentially problematic housing market conditions: ( I ) overheating of demand in the housing market (i.e. demand significantly outpacing supply); (2) acceleration in the growth rate of house prices; (3) overvaluation in the level of house prices; and, (4) overbuilding of the housing market (i.e. supply significantly outpacing demand, which can reflect excess new construction and/or a decline in demand for existing homes). The HPAA framework takes into account demographic, economic, and financial factors such as population growth, changes in personal disposable income, and interest rates.the framework also takes into account developments in both the resale market and the residential construction market. It is important to note that the HPAA framework was developed on the basis of its ability to detect problematic housing market conditions in historical data, such as the house price bubble Toronto experienced in the late I 980s and early 990s. In other words, the HPAA s assessment of current conditions is based on the use of conventional econometric techniques to uncover the long-run, historical relationships between housing variables, like the average house price, and the various demographic, economic and other variables that the HPAA framework considers. As a result, the HPAA framework may not accurately assess current market conditions if these relationships were to unfold differently from past experience. SUBSCRIBE NOW! Access CMHC S Market Analysis Centre publications quickly and conveniently on the Order Desk at View, print. download or subscribe to get market information ed to you on the day it is released. CMHC S electronic suite of national standardized products is available for free. High house prices do not necessarily imply overvaluation Overvaluation is present in a housing market when house prices remain significantly above the level warranted by fundamental drivers such as land supply, income, population, and interest rates. In order to assess overvaluation, it is important to take into consideration the relationship between house prices and house price fundamental drivers. As a result, high house prices by themselves are not necessarily an indication of overvaluation. It is possible to have no overvaluation in a high priced centre, while overvaluation may exist in a lower priced centre. For example, average prices in Vancouver exceed the national average, although no overvatuation is detected. In comparison, average prices in Québec are below the national average and overvaluation is detected. This reflects the fact that Vancouver has posted fundamentals that support the price level in this CMA, illustrating a key point regarding the assessment of housing market conditions: Housing markets across Canada are not uniform and different markets can bear different levels of activity and house prices. In particular, some centres in Canada, includingloronto and Vancouver, have historically supported relatively higher levels of prices based on a combination of factors such as historically attracting a large number of migrants and/or because of relative land scarcity. In addition, overvaluation is not a necessary condition for a price correction.an economic shock could exacerbate vulnerabilities on the housing market. For example, a recession could drive house prices lower whether there is overvaluation or not. 3 See the appendix ofthe special edition ofthe Housing Now published in November 20 4 for a detailed description ofthe statistical analysis underlying the results. That appendix complements and expands on the overview presented in this article. HOU Canada Mortgage and Housing Corporation

130 At Despite Risk While Canada Second April Housing Now - - Special Edition - 20 I 5 Table I : Overall housing market assessment for Canada s larger centres Risk Factors b C C V..2. Current Overall Assessment G) 2 D - - L C) a) C) > C) > 0 C) > c: Q 0 National overview Vancouver Calgary Edmonton Low Risk the national level, modest overvaluation is observed, meaning house prices are slightly higher than levels consistent with personal disposable income, population growth and other factors. Overheating, acceleration in house prices and overbuilding are not a concern at this time. Low Risk high Vancouver home prices, demand for housing across the price spectrum is supported by a growing population and growth in personal disposable income. First-time home buyers focus on lower-priced options in suburban locales. At the upper end of the price spectrum, high networth residents, and those who have gained equity in their homes, are more likely to buy single-detached homes in central locations and luxury properties. Employment growth, long term population growth, and a limited supply of land for development provide further support to Vancouver prices. Low Risk of overvaluation reflects the combination of strong growth in house prices and modest gains in personal disposable income. The economy is being impacted by lower oil prices and slower inflows of migrants that will likely contribute to an expected slowdown in the rate of price growth in 20 I 5. There is also the potential for downward pressure in house prices given the decrease in MLS sales and the decrease in the sales-to-new listings ratio to levels consistent with buyer s market conditions, which could alleviate the risk of overvaluation. Low Risk price growth has increased slightly since 20 I I, price increases remain in line with growth in the population of first-time home buyers and growth in personal disposable income. As is the case for Calgary, 0 the economy is being impacted by lower oil prices and slower inflows of migrants that will likely contribute to an expected slowdown in the rate of pricegrowthin2ol5. Level of risk Direction of risk from the last assessments aiiii Low risk 3 Stable, unchanged Moderate risk Increased III High risk Decreased - Level of risk: The HPAA does not only test for the presence or incidence of signals of potentially problematic conditions, but also considers the intensity of signals (that is, how far the signal is from its historical average) and the persistence of signals over time. Generally, low intensity and persistence are associated with a lower potential of evolving into a problematic condition.as the number of persistent signals increases, the associated risk of a problematic condition developing increases. Direction of risk: The HPAA is regularly updated over time, as new data becomes available.as a result, we are able to monitor the direction in which risks are moving or if they are stable.aiso, local market analysts provide insight based on their local market intelligence that can influence the direction of risk. For example, in the chart above, upward pointing green arrows are used to indicate that the risk has increased since the last evaluation, but the risk of problematic conditions arising remains low, nonetheless.an arrow that points downward, on the other hand, is used to indicate that the risk has lessened since the last evaluation. For example, a downward pointing red arrow indicates that risks remain elevated, but have nonetheless decreased since the last evaluation.a sideways pointing arrow indicates that the risk has not changed significantly since the previous evaluation. Note I : Results at the CMA level are not segmented by housing type or neighbourhood.they represent an assessment of the entire CMA. Note 2: The colour scale extends to red only for those risk factors that have multiple indicators signalling significant incidence, intensity and persistence of potentially problematic conditions.as a result, only overvaluation and overbuilding can receive a red rating, since they are assessed using more than one indicator. HOU Canada Mortgage and Housing Corporation

131 With Strong Risk Canada Second April Housing Now - - Special Edition - 20 I 5 Table I (cont d): Overall housing market assessment for Canada s larger centres Risk Factors C, b C C C) J C..2. Current Overall Assessment ci) D C L - cu - G) c5 o > 4C Q 0 Low Risk a faster pace of housing starts in 20 I 4 compared to the previous year, the number of units under construction and the number of completed and unsold units relative to population are historically high. As units Saskatoon under construction are completed, the risk is that the number of completed and unsold units will move even higher. Rising inventories should have a moderating_effect_on_housing_starts. High Risk price growth in recent years has led to price acceleration. Risk of overvaluation reflects the combination of strong growth in house prices and modest gains in personal disposable income. Over the past year, higher Regina supply relative to demand has had a moderating effect on average resale price zz) growth. Despite fewer starts in 20 I 4, the inventory of completed and unsold units is at a record high. It is particularly elevated for condominium apartments. So far in 20 I 5, builders have been scaling back production. High Risk of overvaluation reflects relatively more modest gains in income than in house prices. Also, the number of units under construction and the number of completed and unsold units are high. Single-detached builders Winnipeg have responded to higher inventories by reducing the number of starts, however multi unit builders will be slower to respond as several projects in the planning stages will likely proceed over the next year. Level of risk Direction of risk from the last assessments Low risk 43 Stable, unchanged Moderate risk Increased High risk 4, Decreased Level of risk: The HPAA does not only test for the presence or incidence of signals of potentially problematic conditions, but also considers the intensity of signals (that is, how far the signal is from its historical average) and the persistence of signals over time. Generally, low intensity and persistence are associated with a lower potential of evolving into a problematic condition.as the number of persistent signals increases, the associated risk of a problematic condition developing increases. Direction of risk: The HPAA is regularly updated over time, as new data becomes available.as a result, we are able to monitor the direction in which risks are moving or if they are stable.also, local market analysts provide insight based on their local market intelligence that can influence the direction of risk. For example, in the chart above, upward pointing green arrows are used to indicate that the risk has increased since the last evaluation, but the risk of problematic conditions arising remains low, nonetheless.an arrow that points downward, on the other hand, is used to indicate that the risk has lessened since the last evaluation. For example, a downward pointing red arrow indicates that risks remain elevated, but have nonetheless decreased since the last evaluation.a sideways pointing arrow indicates that the risk has not changed significantly since the previous evaluation. Note I : Results at the CMA level are not segmented by housing type or neighbourhood.they represent an assessment of the entire CMA. Note 2: The colour scale extends to red only for those risk factors that have multiple indicators signalling significant incidence, intensity and persistence of potentially problematic conditions.as a result, only overvaluation and overbuilding can receive a red rating, since they are assessed using more than one indicator. HOU Canada Mortgage and Housing Corporation

132 Despite Risk Risk Housing Now - Canada - Second Special Edition - April 20 I 5 Table I (cont d): Overall housing market assessment for Canada s larger centres Risk Factors Moderate Risk Current Overall Assessment 0) of overvaluation is due to steady price growth that has C b ñ - C C).. o. - L L G) 0 c: D G) > > Q 0 not quite been matched by growth in personal disposable income. The level of Toronto completed and unsold units and the rental vacancy rate are both below their Q respective historical averages. However, condominium units under construction are near historical peaks. Inventory management is necessary to jzz1 i] 1] make sure that the currently elevated number of condominium units under construction does not remain unsold upon completion. Low Risk moderation in house price growth, the risk of Ottawa 0 last few years and modest gains in personal disposable income. Moderate Risk of overvaluation reflects slower growth in first time home buyer demand combined with house price growth exceeding growth in personal disposable income since Condominium units under Montréal Q construction are near historical pealfs. Inventory management is necessary to make sure that the currently elevated number of condominium units under construction does not remain unsold upon completion. Level of risk Direction of risk from the last assessments Low risk < Stable, unchanged Moderate risk Increased High risk 4_ Decreased overvaluation reflects the combination of strong growth in house prices in the.ji. J1. Level of risk: The HPAA does not only test for the presence or incidence of signals of potentially problematic conditions, but also considers the intensity of signals (that is, how far the signal is from its historical average) and the persistence of signals over time. Generally, low intensity and persistence are associated with a lower potential of evolving into a problematic condition.as the number of persistent signals increases, the associated risk of a problematic condition developing increases. Direction of risk: The HPAA is regularly updated over time, as new data becomes available.as a result, we are able to monitor the direction in which risks are moving or if they are stable.also, local market analysts provide insight based on their local market intelligence that can influence the direction of risk. For example, in the chart above, upward pointing green arrows are used to indicate that the risk has increased since the last evaluation, but the risk of problematic conditions arising remains low, nonetheless.an arrow that points downward, on the other hand, is used to indicate that the risk has lessened since the last evaluation. For example, a downward pointing red arrow indicates that risks remain elevated, but have nonetheless decreased since the last evaluation.a sideways pointing arrow indicates that the risk has not changed significantly since the previous evaluation. Note I : Results at the CMA level are not segmented by housing type or neighbourhood.they represent an assessment of the entire CMA. Note 2: The colour scale extends to red only for those risk factors that have multiple indicators signalling significant incidence, intensity and persistence of potentially problematic conditions.as a result, only overvaluation and overbuilding can receive a red rating, since they are assessed using mote than one indicator. HOU Canada Mortgage and Housing Corpotation

133 Despite House Risk Canada Second April Housing Now - - Special Edition - 20 I 5 Table I (cont d): Overall housing market assessment for Canada s larger centres Risk Factors, home Quebec C b - C C G) - C.p o. Current Overall Assessment G) O- D C - C - Q) E: L Moderate Risk of overvaluation reflects slower growth in first time buyer demand since 20 I 2, combined with house price growth that has generally exceeded growth in personal disposable income since the early 2000s. Low Risk moderation in house price growth, house price growth G) > _3 G) 0 C) > (Jo > Q 0 Halifax 0 has experienced stronger gains than population and personal disposable zz) JI. <zz St. John s 0 income. Low Risk prices accelerated in 20 I 2-20 I 3 but have recently moderated. Nevertheless, a warning signal was maintained for now because acceleration in house prices can cause house prices to depart from levels warranted by drivers of housing activity, eventually leading to overvaluation..j{,. <,z) zz1 However, if the current trend persists, the warning signal will be removed in a year. There is a downside risk to current housing conditions going forward as a result of lower oil prices. Level of risk Direction of risk from the last assessments Low risk 6-> Stable, unchanged Moderate risk Increased risk 4_ Decreased High Level of risk: The HPAA does not only test for the presence or incidence of signals of potentially problematic conditions, but also considers the intensity of signals (that is, how far the signal is from its historical average) and the persistence of signals over time. Generally, low intensity and persistence are associated with a lower potential of evolving into a problematic condition.as the number of persistent signals increases, the associated risk of a problematic condition developing increases. Direction of risk: The HPAA is regularly updated over time, as new data becomes available.as a result, we are able to monitor the direction in which risks are moving or if they are stable.also, local market analysts provide insight based on their local market intelligence that can influence the direction of risk. For example, in the chart above, upward pointing green arrows are used to indicate that the risk has increased since the last evaluation, but the risk of problematic conditions arising remains low, nonetheless.an arrow that points downward, on the other hand, is used to indicate that the risk has lessened since the last evaluation. For example, a downward pointing red arrow indicates that risks remain elevated, but have nonetheless decreased since the last evaluation.a sideways pointing arrow indicates that the risk has not changed significantly since the previous evaluation. Note I : Results at the CMA level are not segmented by housing type or neighbourhood.they represent an assessment of the entire CMA. Note 2: The colour scale extends to red only for those risk factors that have multiple indicators signalling significant incidence, intensity and persistence of potentially problematic conditions.as a result, only overvaluation and overbuilding can receive a red rating, since they are assessed using more than one indicator. HOU Canada Mortgage and Housing Corporation

134 Canada Second April Housing Now - - Special Edition - 20 I 5 CMHC HOME TO CANADIANS Canada Mortgage and Housing Corporation (CMHC) has been Canada s national housing agency for more than 65 years. Together with other housing stakeholders, we help ensure that the Canadian housing system remains one of the best in the world. We are committed to helping Canadians access a wide choice of quality, environmentally sustainable and affordable housing solutions that will continue to create vibrant and healthy communities and cities across the country. For more information, visit our website at or follow us on Twitter, YouTube and Flickr. You can also reach us by phone at I or by fax at I Outside Canada call 6 I or fax to 6 I I 6. Canada Mortgage and Housing Corporation supports the Government of Canada policy on access to information for people with disabilities. If you wish to obtain this publication in alternative formats, call I The Market Analysis Centre s (MAC) electronic suite of national standardized products is available for free on CMHC s website. You can view, print, download or subscribe to future editions and get market information ed automatically to you the same day it is released. It s quick and convenient! Go to yiwcmhcca/housingmarketinformation For more information on MAC and the wealth of housing market information available to you, visit us today at To subscribe to priced, printed editions of MAC publications, call I I 5 Canada Mortgage and Housing Corporation.All rights reserved. CMHC grants reasonable rights of use of this publication s content solely for personal, corporate or public policy research, and educational purposes.this permission consists of the right to use the content for general reference purposes in written analyses and in the reporting of results, conclusions, and forecasts including the citation of limited amounts of supporting data extracted from this publication. Reasonable and limited rights of use are also permitted in commercial publications subject to the above criteria, and CMHC s right to request that such use be discontinued for any reason. Any use of the publication s content must include the source of the information, including statistical data, acknowledged as follows: Source: CMHC (or Adapted from CMHC if appropriate), name of product, year and date of publication issue. Other than as outlined above,the content of the publication cannot be reproduced or transmitted to any person or, if acquired by an organization, to users outside the organization. Placing the publication, in whole or part, on a website accessible to the public or on any website accessible to persons not directly employed by the organization is not permitted. To use the content of any CMHC MarketAnalysis publication for any purpose other than the general reference purposes set out above or to request permission to reproduce large portions of, or entire CMHC MarketAnalysis publications, please contact: the Canadian Housing Information Centre (CHIC) at 6 I or I For permission, please provide CHIC with the following information: Publication s name, year and date of issue. Without limiting the generality of the foregoing, no portion of the content may be translated from English or French into any other language without the prior written permission of Canada Mortgage and Housing Corporation. The information, analyses and opinions contained in this publication are based on various sources believed to be reliable, but their accuracy cannot be guaranteed. The information, analyses and opinions shall not be taken as representations for which Canada Mortgage and Housing Corporation or any of its employees shall incur responsibility. HOU Canada Mortgage and Housing Corporation

135 - < Housing market intelligence you can count on FREE REPORTSAVAILABLE ON-LINE I Canadian Housing Statistics I Condominium Owners Report U S Housing Information Monthly Housing Market Outlook, Canada S Housing Market Outlook, Highlight Reports Canada and Regional S S S Housing Market Outlook, Major Centres Housing MarketTables: Selected South Central Ontario Centres Housing Now, Canada I Housing Now, Major Centres a Housing Now, Regional I Monthly Housing Statistics I Northern Housing Outlook Report I Preliminary Housing Start Data. Rental Market Provincial Highlight Reports a Rental Market Reports, Major Centres S Rental Market Statistics I Residential Construction Digest, Prairie Centres. Seniors Housing Reports CMHC s Market Analysis Centre &reports rrovide a weaith of detai;ed local, provincial, regional and nationa market nfonmation. S Forecasts and Analysis Future-oriented information about local, regional and national housing trends. S Statistics and Data Information on current housing market activities starts, rents, vacancy rates and much more. Get the market intelligence you need today! Click to view, download or subscribe. C LU C e%ji F Co Co (0 Neighbourhood. level data. Quick and easy access. _L_.. Z: HOU - 135

136 Facilitating Affordable Housing Choice for Canadians CMHC 6.3 Français Home About CMHC Library Careers Newsroom Contact Us Follow CMHC on... CANADA MORTGAGE AND HOUSING CORPORATION Type your search here... search Business / Government / Housing Organizations Mortgage Loan Insurance Housing Market Information Affordable Housing in Canada Building and Design Sustainability Research Highlights Mortgage-Backed Securities Investments Canadian Registered Covered Bonds Publications & Reports Events Calendar CMHC Events Register Online! Housing Market Information Portal Mortgage Loan Insurance > MLI Recent Announcements > Facilitating Affordable Housing Choice for Canadians Facilitating Affordable Housing Choice for Canadians CMHC s mortgage loan insurance products and policies facilitate a range of housing options for Canadians. As such, CMHC would like to inform you of policy revisions related to its homeowner affordable housing flexibilities and the treatment of rental income for borrower qualification purposes. Revisions to CMHC Homeowner Affordable Housing Flexibilities CMHC enables lenders to offer flexibilities to homebuyers and proponents of affordable housing projects beyond those available for the financing of market housing. Proponents can be government agencies, private proponents, sponsors and/or other profit or non-profit groups. Effective September 28, 2015, revisions to homeowner policies in the areas of down payment assistance, market value requirements, share of equity appreciation and monthly subsidy assistance will be made to align CMHC s policies with the evolving financing needs of the affordable housing marketplace. The policy modifications will apply to all proposals for Homeowner Affordable Housing Flexibilities submitted to CMHC, by a proponent, on or after September 28, The updated Flexibilities for Affordable Housing Homeowner Mortgage Loan Insurance publication will be available on CMHC s website on the effective date. Treatment of Rental Income for Borrower Qualification Purposes Homeowner (1 4 Units) Secondary rental suites are recognized as a source of affordable housing offered at a cost that is often lower than those for apartments in purpose built rental buildings. Effective September 28, 2015: CMHC will consider up to 100% of gross rental income from a 2-unit owner-occupied property that is the subject of a loan application submitted for insurance. The annual principal, interest, municipal tax and heat (P.I.T.H) for the property including the secondary suite must be used when calculating the debt service ratios. For 3 4 unit owner-occupied and 1 4 unit non-owner occupied properties the net rental income (gross rents less operating expenses) can form part of the borrowers gross annual income. Additional conditions when 100% of gross rental income is used include: The income must have been sustained over at least two years. The income amount must not exceed the average of the past two years, to address income fluctuations, smooth out cyclical trends and unexpected events such as vacancies. Up to 100 percent of gross rental income may be used only where prospective borrowers can demonstrate a strong history of managing credit generally considered to be a minimum credit score of 680. CMHC is working closely with lenders to ensure a smooth transition. Privacy Policy Terms and Conditions 2015 CMHC-SCHL HOU :17:03 PM]

137 Unique Coalition Demands Action on Housing Crisis - BC Non-Profit Housing Association 6.4 Unique Coalition Demands Action on Housing Crisis Posted July 29, 2015 by Dean Pogas Broad-based partnership has come together to make housing a federal election issue For immediate release Vancouver, BC (July 29, 2015) In a rare show of force, the non-profit, municipal and cooperative housing sectors have joined together with the private sector, seniors advocates, homelessness organizations and Aboriginal housing providers to help make rental housing affordability a federal election issue. Together, members of the newly formed BC Rental Housing Coalition are calling for urgent action on an issue that impacts over a third of British Columbians. Instead of focusing on our differences, we all recognize that the core issues facing our province are the same and that we need candidates seeking election in BC to prioritize them, said Tony Roy, Executive Director of BC Non-Profit Housing Association. Twenty years of inaction federally and population growth provincially has led to a huge supply issue here. If we don t act now, things are going to get worse before they get better, he concluded. HOU :58:36 AM]

138 Unique Coalition Demands Action on Housing Crisis - BC Non-Profit Housing Association David Hutniak, Chief Executive Officer of LandlordBC agrees. We need the federal government to step up and provide meaningful tax incentives for the building of new purpose-built rental housing and for the renovation and enhancement of aging, existing rental stock to offset high land costs and construction costs, he said. We all believe that by focusing on building housing and ensuring tenants have the supports they need, we can make a huge difference. Members of the Coalition are also urging politicians to consider the impact housing has on a wide range of public policy areas. Economic development, transportation planning, health care, immigration, aboriginal affairs and other areas of social policy are all intimately linked to housing. Proper planning would help prevent spiraling costs and ensure we build healthy, sustainable communities. Over the next few months, members of the coalition will engage and educate candidates from all parties on issues of housing affordability in their ridings. There s incredible public momentum on this issue and in a tight campaign we expect housing to be back on the national agenda, added Roy. The BC Rental Housing Coalition is comprised of the Aboriginal Housing Management Association, BC Non-Profit Housing Association, BC Seniors Living Association, Co-op Housing Federation of BC, Inclusion BC, LandlordBC, Metro Vancouver Housing Corporation, Urban Development Institute, and Vancity credit union. Facts: In 1993 the federal government stopped funding new social housing commitments, ending three decades of strong financial support for low-income tenants. Federal tax incentive programs to stimulate the private rental market ended in Without federal supply programs low-income tenants are at risk of homelessness, which costs Canadians $7 billion per year.[1] BC s rental housing industry contributed $12.25 billion to Canada s GDP in 2013.[2] Media Contacts: Dean Pogas BC Non-Profit Housing Association (Ext.232) office / cell dean@bcnpha.ca -30- HOU :58:36 AM]

139 Unique Coalition Demands Action on Housing Crisis - BC Non-Profit Housing Association About Aboriginal Housing Management Association: AHMA is committed to the self-determination, management and delivery of affordable, quality housing to urban and rural Aboriginal people throughout BC. Under the B.C. Aboriginal Social Housing Management agreement, administration of all Aboriginal social housing, programs, and services operated by over 40 Aboriginal Housing Providers across the province (4,200 units) has been transferred from BC Housing to AHMA. This Aboriginal self-management model for social housing is the first of its kind in Canada. About LandlordBC: LandlordBC is the industry association representing owners and managers of rental housing in British Columbia. LandlordBC promotes and conserves the interests and rights of those engaged in the rental housing industry, fosters public understanding of the industry and, promotes the professional operation of the rental housing industry through education and support. About Co-op Housing Federation of BC: CHF BC is the voice of housing co-operatives in British Columbia, representing more than 260 housing co-ops and almost 15,000 co-op homes in member-controlled, mixed-income communities across the province. About Inclusion BC: Inclusion BC is a provincial federation dedicated to promoting the participation of people with developmental disabilities and their families in all aspects of community life. Inclusion BC provides support, education and advocacy where and when it s needed, breaking down barriers and building communities that include people of all abilities. About Metro Vancouver Housing Corporation: Metro Vancouver Housing Corporation is a non-profit rental housing provider that owns and operates 49 housing complexes with 3400 units of mixed income rental housing in 11 local municipalities. It provides affordable housing for families and individuals including specialized housing for seniors and those with disabilities. About Urban Development Institute: The Urban Development Institute is the premier industry body representing over 650 of British Columbia s leading residential, commercial, industrial and institutional developers and their related HOU :58:36 AM]

140 Unique Coalition Demands Action on Housing Crisis - BC Non-Profit Housing Association professions. The real estate development industry in B.C. generates a total GDP contribution of approximately $17 billion and supports over 220,000 jobs for the Province each year. About Vancity credit union: As Canada s largest community credit union, with over $18.6 billion in assets, and half a million members, Vancity invests in affordable housing and social purpose real estate that creates positive impact, drives economic self-reliance and supports the well-being of our communities. In 2014 Vancity financed 737 units of affordable housing. [1] Souce: Homeless Hub, State of Homelessness Report 2014 [2] Source: KPMG Economic Impact Assessment Study British Columbia s Rental Housing Sector November, 2014 Back to News Site Links Home Privacy Policy Contact Us Site Map 2015 BC Non-Profit Housing Association. BCIT students helped develop this website. HOU :58:36 AM]

141 6.5 Housing Seattle: A Roadmap to an Affordable and Livable City An Action Plan to Address Seattle s Affordability Crisis July 13, 2015 Proposed by Mayor Ed Murray HOU - 141

142 Letter from the Mayor Seattle is one of America s fastest-growing cities, presenting new challenges and opportunities for those who live and work here. As our economy and population grow, housing prices and rents have skyrocketed. As a result, thousands of families and workers particularly lower-income people and among communities of color are unable to afford the cost of living in Seattle. We are in the midst of a housing crisis that demands creative and bold solutions. That s why the City Council and I commissioned a Housing Affordability and Livability Agenda (HALA) advisory committee last fall. The 28-member HALA committee brought together perspectives from affordable housing advocates, deliberation, they reached consensus on 65 recommendations to consider. The following document is my comprehensive action plan that will serve as a roadmap to thousands of new affordable housing units in our city. Based on HALA s report, this strategy addresses the costs and availability of housing, and my goal of seeing 50,000 new units of housing built or preserved over the next 10 years, with 20,000 of those units designated affordable. This is a multi-pronged approach that calls for innovative changes in how Seattle plans and accommodates housing, as well as a shared commitment between in their apartment buildings, and commercial developers to contribute to the outdated zoning laws to spur the construction of more affordable housing. We also will work to renew and double the Seattle Housing Levy, which is critical to housing those most in need. And we will streamline the regulatory and design review process to reduce the costs of construction. Finally, our strategy provides stronger protections for vulnerable tenants and homeowners. This is a multi-pronged approach that calls for innovative changes in how Seattle plans and accommodates housing, as well as a shared commitment between taxpayers, businesses the construction and preservation of affordable housing. Roughly 45,000 households in Seattle spend more than half of their incomes on housing, and at least 2,800 are experiencing homelessness. This affordable housing crisis threatens to erode our city s diversity and character unless we act now. walkable, livable neighborhoods with access to parks and transit. We all share a can move forward with this plan and ensure Seattle is a place for people of all incomes to live and enjoy. Sincerely, Mayor Edward B. Murray HOU Housing Seattle: A Roadmap to an Affordable and Livable City 1

143 The Goal: 50,000 housing units over the next 10 years Increase land f amily housing Mor amily zones Streamline regulatory and design process Boost the preserva income-restricted units Create new resources for rental housing (0-60% AMI) and homeownership (60-80% AMI) Tax incen es Mandatory Inclusionary Housing and Commercial Linkage Fee Top four facts about this affordability crisis Severely Cost Burdened Households 30,000 25,000 20,000 15,000 10,000 5, ,250 HHs (62%) 21,500 4,750 3,750 <30% AMI 10,000 HHs (33%) 5,500 HHs 6,250 (14%) 30%-50% AMI 1,750 3,750 50%-80% AMI In total, an estimated 15-20% of all Seattle households are currently severely cost burdened. 80%-100% AMI 100%-120% AMI >120% AMI Renter Owner Source: U.S. Department of Housing & Urban Development, CHAS, Year American Community Survey, Seattle city. Note: These are rough estimates. Population 530, , , , ,660 ~ 725,000 Housing Units 221, , , , , ,000 70,000 Housing Units growth being planned for in the Comprehensive Plan Update 398, Source: U.S. Census Bureau, Decennial Census; 2015 to 2035 growth estimate in Updating Seattle s Comprehensive Plan Background Report ; 2015 housing informal projection by SPC Demographer $ 3,500 $ 3,000 $ 2,500 $ 2,000 Affordable Rent with Average Wage $1,780= average rent for new construction 1BR/1B unit 40% 35% 30% 25% % of families spending > 50% of income on housing Renter Owner $ 1,500 $ 1,000 $ 500 $ Medical Assistant (1 Person) Elementary School Teacher (1 Person) $15/hr Minimum Wage (1 Person) $15/hr Minimum Wage X 2 (2 Person) $1,412= average rent for 1 BR/1B unit Source: Dupre+Scott Apartment Advisors, Apartment Vacancy Report, 20+ unit buildings, Fall 2014, Seattle-14 market areas; WA Employment Security Department, Occupational Employment & Wage Estimates, Seattle-Bellevue-Everett, WA MD, % 15% 10% 5% 0% White alone, non-hispanic Asian alone, non-hispanic Black or African-American alone, non-hispanic Other Hispanic, (including any race multiple races, non-hispanic) Source: U.S. Department of Housing & Urban Development, CHAS, ; 5-Year American Community Survey, Seattle city. HOU Housing Seattle: A Roadmap to an Affordable and Livable City 2

144 Key Policies and Programs Invest in Housing for Those Most in Need: Everyone should have an opportunity to live in a safe, affordable home. Doubling the voter approved Sea y to $290 million will build and preserve thousands of quality, affordable homes for the most vulnerable families and individuals in our community and for low wage workers. This innova e property tax levy has been approved five y Sea oters and is hailed as a na y has a 30-year track record of crea ffordable housing with services to support at-risk families, seniors and oviding rental assistance to prevent homelessness, and preserving housing to prevent displacement of long-term residents. Sea xperiencing a major boom in its real estate market. A 0.25 percent tax on real estate transfers could generate roughly $15-25 million each year to build new affordable housing in Sea es tha alue generated through rising land prices in large part created through public investments in sidewalks, parks and transit is recaptured and used to inves al affordable housing. The City will advocate in the state legislature to pass this stable, progressive loc that provides a new resource to build needed affordable housing for low-income workers and vulnerable people. Intense c or limited land drives up cost and makes it challenging to build affordable homes for low-income residents. Publicly owned vacan ed land is a public asset that must be used strategically to create affordable homes in our community. Building affordable housing on developable public land in key loca ansit and job centers is invaluable in helping low-income workers and families live close to jobs and schools, while decreasing conges oceeds from public land sales to build affordable housing is a smart way to use our precious city resources to advance our shared value of building a diverse, equitable Sea This year, the City will invest a record $42 million from the Sea y and the exis e zoning program for the development and preserva -income housing. The Sea project guidelines and invite partner applica immediately. It is essen or our regional economy and good for business when workers of all incomes can afford to live near their jobs. In a period of robust job growth, employers c o provide affordable housing for Sea s workers. The City will partner with local employers, many of whom have a longstanding commitment to community investment, to contribute to a City fund that builds and preserves affordable housing. This successful partnership has been key in other high-cost areas, like Silicon Valley, in addressing the community s range of affordable housing needs. HOU Housing Seattle: A Roadmap to an Affordable and Livable City 3

145 Create New and Affordable Housing for All Seattleites: al that Sea es affordability for households across the income spectrum as its popula t con o grow. The City will introduce both a Mandatory Inclusionary Housing program that ensures new residen developments include affordable housing units and a Commercial Linkage Fee ensuring commercial developers contribute funds for the pr and preserva ordable housing. Upzones in pr o these requirements would be provided. The City will e oader array of household types and incomes by dev a greater amount of land t amily housing, eas near transit, services and s Urban Village growth strategy will be bolstered by expanding the boundaries of Urban Villages to reflect walking proximity t by rezoning Single Family areas within Urban Villages to allow more intensive development where the City is targe owth. Increased height limits and modified building and fire codes would further increase the economies of wood fr amily cons o more affordable housing or families. Any increase in development c o an affordability requirement. The exclusivity of Single Family zones limits the type of housing available, limits the presence of smaller format housing and limits access for those with lower incomes. The City will allow more variety of housing scaled to fit within tr amily areas to increase the economic and demographic diversity. The broader mix of housing will include small lot dwellings, c ages or courtyard housing, rowhouses, duplexes, triplexes and stacked flats. Although a broader variety of housing w ed, the total amount of building area on a single lot will remain the same (excluding ADUs and DADUs) and it does not eliminat single family housing. MFTE is an eff e and popular incen e program that ensures 20 percent of housing elopments is affordable for low-and moderate-income people. In exchange for on-site affordability, the City pr property tax exemp or up to 12 years. In 2015, when the program expires, the City will renew and expand MFTE t amily areas, allow all unit types t te in the program and incorporate a new incen e for building larger units so that families have more affordable housing choices throughout the city. MFTE housing is vital to providing housing to retail and service workers, entry level professionals and re ees on fixed incomes. HOU Housing Seattle: A Roadmap to an Affordable and Livable City 4

146 Prevent Displacement and Foster Equitable Communities: Sea a tool that c ate the pressure on its exis housing stock, which is causing rent increases and displacement of low-income renters to outside of the city. A Preserva operty Tax Exemp ould exte amily Tax Exe o exis buildings in exchange for guaranteeing con affordability. The City will develop a legisla e proposal and advocacy strategy to advance this al item through the state legislature. Displacement is happening throughout Sea e at high risk of displacement. Sea e robust investments to anchor and strengthen those c includes investments in new development and affordable housing preserva oordinated, targeted investments in economic development, transit and educa Sea equires reloca assistance be paid to low-income renters who are displaced by new development. However, our current law should be strengthened to pro er prot or a broad range of renters. The City will commit funding to provide educa enant assistance to vulnerable popula those with language or other barriers to gaining the assistance they deserve. We will also evaluate the current de enant household to improve equitable dis eloca tance support. Buying a home in Sea home prices is out of reach for most low-income families. That means it is even more al to prevent displacement of exis -income homeowners. The City will explore ways to help stabilize low-income homeowners and will build off the success of exis repair and weatheriza ograms and pursue policies to provide assistance to homeowners with financial hardships that threaten their housing. The City will work with stakeholders to develop legisla t ensures fair access to housing for people with criminal records. Stable housing ensures people can engage with their c and families and obtain stable employment. Deeproot ystem have created las ffects on c olor that have created barriers to housing. Furthering fair housing for all our residents is an affirma City s longstanding commitment to race and social jus For our low and moderate income Muslim neighbors who follow Sharia law which prohibits the payment of interest or fees for loans of money there are limit for financing a home. Some Muslims are unable to use conven age products due to religious con vene lenders, housing nonprofits and community leaders to explore the bes or increasing access to Sharia-compliant loan products to help these residents become homeowners in Sea Renters who receive income from Social Security, veteran s benefits, child support, Supplemental Security Inc vouchers should not face barriers to housing based on their income type. It is currently illegal under City law to discriminate against a tenant based on the use of a oucher. The City will introduce legisla that expands an ws to include other verifiable sources of income. HOU Housing Seattle: A Roadmap to an Affordable and Livable City 5

147 omplexity involved in obtaining the necessary City approvals to build new housing can be a significant cost driver. To make meaningful progress toward a more efficient system, the City will be pr e and persistent in its efforts to integrate and coordinat ocesses across all departments (DPD, SDO encies)., the City will streamline its codes to be sensible, transparent and coherent re planning and laws. Design Review and Historic Review ar al to ensure new buildings contribut ely to our neighborhoods. However, these tools add unpredict o the process of bringing ely adds cost and decreases affordability. Through legisla City will improve these processes to con importan ay that is more predictable, efficient and considers the impacts of the decisions on the cost of housing. Requirements that new development include offstreet parking adds to the cost of cons unit and limits the number of units possible on a site indire pr o develop more affordable housing. The City will reform its parking policies to support housing affordability and access by: (1) clarifying the de equent transit service to reduce parking requirements in transit areas; (2) reducing parking requirements f amily housing outside of Urban Centers and Urban Villages that have frequent transit service; (3) ensuring that parking mandates are not reintroduced in Urban Centers and Urban Villages; and (4) removing parking requirements for accessory dwelling units and other small-scale housing types in Single Family areas. The City remains firmly c ed to its partnership with the Sea o transform Yesler Terrace into a vibrant, mixed-income neighborhood that creat or new and exis esidents. The task of replacing all 591 units of public housing is of great urgency, and the City will do all in its power to ensure that SHA delivers on the promise to provide a new home for every resident who wishes to exercise their right to return and rebuild their community. To further this partnership, the City will pilot a credit enhancement program that e the City s AAA credit ra o help SHA finance replacement housing as quickly as possible. This partnership is expected to help SHA save millions of dollars in financing costs savings that will be used t al services for Yesler residents such as educa t and health clinics. HOU Housing Seattle: A Roadmap to an Affordable and Livable City 6

148 Growing Affordably: Implementing the Mayor s Action Plan HOU Housing Seattle: A Roadmap to an Affordable and Livable City 7

149 1 2 John Skelton As the City iden owth strategy, we must ensure that public ser e included in new and con growth areas. Leveraging the Transit Benefit District and the Metropolitan Parks District, the City will ensure that services and e provided for both exis xpanded amily areas, strengthening the livability of our Urban Villages and Neighborhoods. 3 Gerding Edlen Using public land to help subsidize affordable housing investments means that low-income workers hav to live affordably near tr good for families, the environment and our transit system. In new transit hubs like Sound Transit s Roosevelt and Northgate sta ork with government agencies to secure land to build much needed mixed-income housing. 4 John Skelton The City will create a Mandatory Inclusionary Housing program t ate impacts of new development on the demand for affordable housing in Sea eas of the city, where growth is occurring equired to include affordable housing or pay for it to be built elsewhere. In residen eas, like Wallingford, new housing will be required to include a percentage of affordable units through Mandatory Inclusionary Housing. In commercial areas, like South Lake Union, a new Linkage Free will be collected on new commercial development t ate impacts. Single Family areas can welcome mor the scale of the exis age housing, small duplexes and backyard c ages. 5 6 William Wright Photography The City s strategic approach to preserva arget strategies based on neighborhood characteris a community facing rising rents due to market pressures, the City will pursue legisla t helps owners keep pr affordable by using tax incen es to get private landlords to stabilize rents for the long term. The City will also use increased resources to inves ehab of distressed pr ol Hill, the City invested funds in Capitol Hill Housing eserva y Apartments, an at-risk property centrally located at the doorstep of the new Link light rail sta vestment ensures that rents at this loca emain affordable for 50 years. The City s strategic approach t ate impacts of displacement will include comprehensive investments in housing and other services in at-risk c Mercy Housing is using City financing to build 108 new units of affordable family-sized housing next to the Link Light Rail sta dinated housing with key economic development investments to stabilize and empower an est al business district. Efforts like these rely on strong City partnerships with community partners like Othello business owners and the Rainier Valley Community Development Fund. HOU Housing Seattle: A Roadmap to an Affordable and Livable City 8

150 Scaling Success When Kenan s rent was increased, he went looking for an affordable apartment in his neighborhood but came up short. Then he asked the nearby Thornton Place apartments if they had anything more affor e paid off, with an income- amily Tax Exe ogram. Now Kenan, an HR worker with a local company, can remain in the community he s come to love. Living here, I don t have to live check to check. Following nine years of service in the Army and Na d, Krystal lost her job as a civilian contractor and held various odd jobs before finding herself homeless. Then, thanks to a tr ogram, she was referred to stable housing at the Plymouth Housing s Williams Apartments, one of the many buildings funded with Housing Levy dollars. This centrally-located building offered not just the stability Krystal needed, but the case management to help her succeed. Housing is one of a family s largest costs and finding an affordable place to live in one s own community al. For Chau and Wayne, who live in ArtSpace s Mt. Bake o children, it is also about con o the community. Having an affordable rent allows this family to live in the community where they work and volunteer: Wayne can take light rail to his job as a high school wrestling coach and Chau can provide therapy for local neighbors and volunteer as an art teacher at a local middle school. HOU Housing Seattle: A Roadmap to an Affordable and Livable City 9

151 Getting to 20,000 Affordable Homes $3,000,000,000 $2,500,000,000 $2,000,000,000 County Document Recording Fees, Hotel/Motel Tax, Local Option Sales Tax $50 Million Seattle Housing Levy Surplus Property Revenue Mandatory Inclusionary Housing and Commercial Linkage Fee City Seattle Housing Levy, Payments from Mandatory Development program, Commercial Linkage Fee, Surplus Property Revenue, $750 Million State Housing Trust Fund, New Real Estate Excise Tax $215 Million $1,500,000,000 Federal Equity Investment in Federal Tax Credits, Direct HUD Investment $1.2 Billion $1,000,000,000 $500,000,000 Private Tax Exempt Debt, Social Investing, Voluntary Employers Fund $785 Million $- HOU Housing Seattle: A Roadmap to an Affordable and Livable City 10