Summary of the Affordable Housing Capital Program

1
Summary of the Affordable Housing Capital Program

• December 13, 2005

2
Program Summary

• Still do not have full details
• 2.8M to create 40 new affordable housing units
• 25,000/unit from federal government up front
• 25,000/unit from provincial government over 20
  years
• Includes interest costs
• Anticipated 20,000/unit contribution from
  municipalities

3
Program Summary

• Can be new construction, renovation of
  commercial, industrial or current residential
  building(s) or combination
• Average project rent 20 below CMHC average
  market rent
• 20-year affordability

4
Municipal Contribution

• Required - Property tax equalization or
  equivalent (single family residential rate)
• Optional Grants, waiving fees, etc.
• Municipalities can be very specific for projects
  qualifying for property tax equalization.
  Options include
• Must be a non-profit group
• Must charge rents 20 less than CMHC average
• Must rent to low-income households form the
  social housing waiting list
• 20-year term

5
Administration Fees

• Greater of 50,000 or 1.3 of total capital
  funding allocation (1.3 of 2.8M is 36,400)
• Up to 150,000 from federal government for
  project development (no further details provided
  about how to get this funding)

6
Next Steps

• Wait for guideline details
• Decide who we want to create new units and if
  there are any restrictions
• Could be only non-profit corporations
• Could be only the HLHC
• Decide where units should be
• Belleville, Quinte West, Bancroft

7
Next Steps

• Determine size of units required
• Proportion of new vs. renovation projects
• Rent levels 20 less than CMHC AMR or less?
• Determine targeted groups (seniors, adults,
  special needs)
• Some of these can be vetted through the community
  via the Affordable Housing Action Network

8
Next Steps

• Talk to identified municipalities to see if they
  are interested
• Develop a strategy for take-up and delivery of
  units, including a preliminary timeline for
  implementation