Ministers Working Together to Address the Opportunities and Challenges ‎Facing the Housing Sector

OTTAWA, Ontario — Today, the federal Minister of Housing and Diversity and Inclusion, the Honourable Ahmed Hussen, as the federal co-chair, and Saskatchewan’s Minister of Social Services, the Honourable Gene Makowsky, as the provincial-territorial co-chair, hosted the annual in-person meeting of federal, provincial and territorial (FPT) housing ministers. Ministers also met, in a separate meeting, with national Indigenous leaders and representatives. It has been five years since FPT housing ministers signed the Housing Partnership Framework1, an historic agreement to work together to build better housing outcomes for Canadians. Ministers took stock of all the achievements and work accomplished to date, including investments and initiatives beyond the National Housing Strategy to address housing needs. Ministers agreed that there is still a lot more work to do and FPT collaboration will help achieve the best results for Canadians.

Discussions with national Indigenous leaders and representatives focused on shared housing priorities, including how governments can support Indigenous-led housing solutions to address the unique housing needs of Indigenous people. Ministers heard from national Indigenous leaders and representatives about their unique perspectives and challenges. Improving the quality and affordability of housing for First Nations, Inuit and Métis Peoples is vital to building a prosperous and inclusive society.

The Ministers’ FPT meeting centered around improving access to affordable housing across Canada. Housing affordability and supply challenges are complex problems that require close collaboration and innovation among all orders of government, and with the private and non-profit sectors. FPT governments reaffirmed their commitment to work together in designing and implementing solutions to achieve better housing outcomes. Ministers also discussed how to better align initiatives and programs, while recognizing that addressing housing issues is not a “one size fits all” approach, and flexibility is required in program design and delivery to meet local needs. As partners in housing, Ministers committed to looking more closely at how they can better meet Canadians’ needs through shared investments and increased flexibility within housing initiatives and agreements.

The housing landscape has changed significantly in the last five years, and Ministers discussed these changes and the key issues affecting the sector. Communities across Canada continue to face elevated home prices, increased rates of homelessness, and challenges related to housing affordability, adequacy, and supply. Rising costs in the construction industry have also significantly increased the cost to build and repair homes. While these challenges have put pressure on federal, provincial, and territorial resources, Ministers remain committed to working together to maintain and expand affordable housing.

Ministers agreed to continue working together, and with Indigenous communities and partners across Canada to support Indigenous housing. Ministers also discussed the forthcoming federally funded Urban, Rural, and Northern Indigenous Housing Strategy. The 2023 federal budget commits $4 billion, over seven years, starting in 2024-25, to implement the Strategy, co-developed by the federal government with Indigenous governments, organizations, housing and service providers, in coordination with provincial and territorial governments.

Recognizing the range of issues and complex needs, which prevents many Canadians from finding and retaining affordable housing, Ministers engaged in a productive conversation on supportive housing and homelessness. Ministers agreed to work together to better align supportive housing and homelessness programs and explore further solutions, to ensure the most vulnerable Canadians become successfully housed.

Minister Makowsky announced that as Saskatchewan’s two-year term as PT co-chair of the FPT Forum on Housing will come to an end in December 2023, Manitoba will assume the next two-year PT co-chair term beginning in January 2024.

Quotes:

“Too many Canadians are struggling with the cost of housing. That’s why, at the federal level, we legislated the right to housing and are making historic investments to rapidly increase the supply of affordable housing through Canada’s first-ever National Housing Strategy. But we cannot solve the housing affordability crisis alone. Because housing is primarily a provincial and territorial area of jurisdiction, we will continue our collaboration on this. That’s why we are continuing to work in collaboration with the provinces and territories to advance the bold solutions needed to protect the affordability of existing housing and further increase the supply of new affordable housing.”
The Honourable Ahmed Hussen, Minister of Housing and Diversity and Inclusion, Government of Canada

“Saskatchewan has been honoured to work with our provincial and territorial counterparts and with the federal government on the important housing issues facing Canadians. We look forward to meaningful collaboration with the Government of Canada as we strive to address the complex challenges around housing supply, affordability, and Canada’s growing issue of homelessness. I look forward to working with Manitoba as we transition the provincial co-chair responsibilities to their capable leadership on this important file.”
The Honourable Gene Makowsky, Minister of Social Services, Government of Saskatchewan

Quick facts:
• In 2018, ministers responsible for housing endorsed a multilateral Housing Partnership Framework, which recognizes federal, provincial and territorial governments as primary partners in housing. The multilateral Framework asserts a shared vision for housing and sets the foundation for the delivery of key National Housing Strategy (NHS) initiatives.

• The federal, provincial, and territorial (FPT) Forum on Housing is the primary intergovernmental forum to discuss housing policy and program design, as well as monitor and evaluate the state of housing in Canada. The Forum also provides opportunities to discuss the assessment of NHS effectiveness and shared knowledge to inform decision-making and priority setting by each government, as well as adjustments to FPT agreements where appropriate.

1 While it shares many of the objectives sought by other governments, Québec did not endorse the Housing Partnership Framework. Québec has a bilateral agreement with Canada Mortgage and Housing Corporation outside of the National Housing Strategy.

Media contacts:

Media contacts
Jenny Bowring
Newfoundland and Labrador Housing Corporation
709-730-5886
jmbowring@nlhc.nl.ca

Shiraz Keushgerian
Office of the Minister of Housing and Diversity and Inclusion
shiraz.keushgerian@infc.gc.ca

Media Relations
‎Canada Mortgage and Housing Corporation
media@cmhc-schl.gc.ca

Media Relations
‎Saskatchewan Ministry of Social Services
mediamss@gov.sk.ca

Conference

Meeting of Federal, Provincial and Territorial Ministers Responsible for Housing
(831-453)
June 27, 2023 – June 28, 2023
Ottawa, Ontario

The Honourable Paul Pike, Minister Responsible for the Newfoundland and Labrador Housing Corporation, joined the Honourable Ahmed Hussen, Minister of Housing and Diversity and Inclusion, and other provincial and territorial ministers at the annual meeting of federal, provincial and territorial housing ministers.

 

Provincial Government Releases RFP for New Affordable Rental Housing Program

The Honourable John G. Abbott, Minister Responsible for the Newfoundland and Labrador Housing Corporation, today announced that a request for proposals has been issued for the creation of new affordable homes in the province’s rental market. This request for proposals builds on the more than 1,000 housing options that have been created over the last two years and further highlights the ongoing commitment to increase access to safe and affordable housing, and ultimately improving health and social outcomes for Newfoundlanders and Labradorians.

A technical briefing for media will be held at 2:30 p.m. today (Wednesday, June 7), in the 3rd Floor Boardroom, Newfoundland and Labrador Housing Corporation Head Office, 2 Canada Drive, St. John’s, to discuss the request for proposals for the new Affordable Rental Housing Program. Minister Abbott will be available to speak with the media immediately following the briefing.

Media planning to participate are asked to confirm their attendance with Jenny Bowring at jmbowring@nlhc.nl.ca.

Budget 2023 included a $70 million investment for a new, three-year, Affordable Rental Housing Program. The program will provide one-time capital funding in the form of a forgivable loan to support the development of more than 850 new affordable rental homes throughout the province. These new homes will be developed through partnerships with the private and community housing sectors. The program will focus on supporting seniors, as well as other vulnerable populations, including young adults, Indigenous peoples, persons with disabilities, newcomers, women and children fleeing violence and people experiencing homelessness.

The proposal call and guidelines for both the Private Sector stream and a Community Housing Sector stream are available here. Newfoundland and Labrador Housing Corporation will also be hosting live webinars over the next two weeks to review program details and to be available to answer questions. A recorded webinar will also be made available on the Corporation’s website. Interested proponents may contact: Jennifer Knight at jlknight@nlhc.nl.ca to register for a webinar session.

Quotes
“Everyone deserves a safe and affordable place to call home. The Government of Newfoundland and Labrador welcomes the opportunity to partner with our private and community housing sectors to develop affordable rental housing and support increased economic activity throughout the province.”
Honourable John G. Abbott
Minister Responsible for the Newfoundland and Labrador Housing Corporation

“The Canadian Home Builders’ Association of Newfoundland and Labrador is thrilled with the announcement of the new Affordable Housing Program. This initiative is vital and we are thankful for the opportunity to provide feedback on the program. CHBA-NL looks forward to continuing to work with our government and its stakeholders to achieve the program’s goals.”
Alexis Foster
Chief Executive Officer
Canadian Home Builders Association-Newfoundland and Labrador

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Media contact
Jenny Bowring
Newfoundland and Labrador Housing Corporation
709-724-3055
jmbowring@nlhc.nl.ca

BACKGROUNDER

 
Fact Sheet: Investment in Affordable Housing
 
Program Overview
The Affordable Rental Housing Program provides one-time capital funding in the form of a forgivable loan to assist in the creation of affordable rental housing units throughout the province. The program is funded by the Newfoundland and Labrador Housing Corporation.
 
There are two distinct application streams – the Private Sector Stream and the Community Housing Sector Stream. Successful proponents will own and manage their project and rent to lower income households at or below rates established by the Newfoundland and Labrador Housing Corporation. These rates will be based on annual rental market reports published by Canada Mortgage and Housing Corporation.
 

Program Criteria Private Sector Stream Community Housing Sector Stream
Eligible Proponents Private Owners/Operators Non-Profit Organizations
Housing Co-operatives
Indigenous Organizations
Funding Per Unit $55,000-$95,000 $125,000-$180,000
Affordability Period 15-20 years 25-30 years
Max. Household Incomes $42,000 $38,000
Application Window Round 1: June-August 31, 2023 Open-ended (subject to change)

 
What determines the funding level?
The funding amount is derived from a combination of project location and incentive criteria designed to encourage viable projects and target desired program outcomes. An online self-assessment tool is available here to help determine the level of available financial assistance.

  • Geographical Location: Location impacts the capital cost of an affordable housing project as the value and availability of land, labour and materials vary throughout the province. Project regions are assigned for Labrador, St. John’s CMA and Island Communities.
  • Duration of Affordability: Projects that commit to a longer period of affordable rents will receive additional financial incentives.
  • Energy Efficiency: Projects that exceed minimum energy efficiency requirements will further reduce heating costs for tenants and will receive additional financial incentives.
  • Accessibility of Units: Projects that exceed minimum accessibility requirements will receive additional financial incentives.
  • Proximity to Healthcare: Locating affordable housing units in close proximity to healthcare amenities will receive additional financial incentives.

 
Housing projects that support the development of age-friendly communities enable Newfoundlanders and Labradorians, including older adults with disabilities, to age in place with dignity and autonomy. For example, housing projects that include social or well-being multipurpose areas, inside and/or outdoors, contribute to age friendly design. Please contact the Affordable Housing Manager at arhp@nlhc.nl.ca or 709-724-3059 to discuss potential options for incorporating these elements, including related costs, within your project.
 
Additional Program Details

  • Projects may be developed through new construction, conversion of a non‐residential building or an addition to an existing residential structure.
  • Projects must have a minimum of four units.
  • Funding is available for up to a maximum of 20 units for the Community Housing Sector Stream. To incentivize mixed-income models, the Private Sector Stream may receive per unit funding for the first 10 units of a project and 50 per cent of the units thereafter, up to the maximum of 20 funded units. For example, Newfoundland and Labrador Housing Corporation will provide per unit funding on the first 15 units in a 20-unit project, 18 units in a 26-unit project, or 20 units in a 30-unit project. Units not funded by Newfoundland and Labrador Housing Corporation would not be considered part of the Affordable Rental Housing Program and may be rented at market rates.
  • The maximum monthly rental rates are established by Newfoundland and Labrador Housing Corporation, based upon the rental market reports developed annually by Canada Mortgage and Housing Corporation. The following rates are applicable as of June 2023:
Rate Type Private Sector Rates Community Housing Sector Rates
Bedroom Bachelor 1 BR 2 BR 3 BR Bachelor 1 BR 2 BR 3 BR
St. John’s CMA $665 $730 $880 $840 $585 $645 $775 $740
Island Communities $650 $700 $795 $820 $575 $620 $705 $725
Labrador $665 $730 $880 $840 $585 $645 $775 $740

 

  • Projects must adhere to the technical requirements outlined in the request for proposals document, including visitable, universal design and accessibility requirements, in addition to all applicable building codes. Units must be of modest criteria and be self-contained residential units with a private kitchen and bathroom facilities. Institutional premises and personal care homes are not eligible.
  • Newfoundland and Labrador Housing Corporation will secure the forgivable loan with a registered mortgage, amortized over the life of the affordability period and operating agreement with the proponent.
  • Proponent submissions will be evaluated for demonstrated housing need and amenities available in their selected community to support the project, the capacity to deliver and manage the project, and the financial viability and sustainability of the project.

 
How to Apply

  • Both Private and Community Housing Sector Stream applications will be available on the Programs sections of the Newfoundland and Labrador Housing Corporation’s website with directions on how to complete and submit your proposal.
  • Interested proponents may contact the Manager of Affordable Housing at arhp@nlhc.nl.ca or 709-724-3059 for more information or assistance in responding to the proposal call.