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HomeMy WebLinkAboutCSD-15-085 - Development Incentives for Affordable Housing Staff Report ��c t R Community Services Department wmkitchene►:ca REPORT TO: Community and Infrastructure Services Committee DATE OF MEETING: November 2, 2015 SUBMITTED BY: Alain Pinard, Director of Planning, 519-741-2200 ext. 7319 PREPARED BY: Lauren Nelson, Planning Analyst, 519-741-2200 ext. 7072 Brandon Sloan, Manager, Long Range & Policy Planning, 519-741-2200 ext. 7648 WARD(S) INVOLVED: All Wards DATE OF REPORT: October 14, 2015 REPORT NO.: CSD-15-085 SUBJECT: Development Incentives for Affordable Housing RECOMMENDATION: That the City of Kitchener reaffirms its support to the Region of Waterloo regarding housing programs and requests that the City continue to be involved or notified of upcoming initiatives and programs aimed at improving the provision of affordable housing (all types); and That any further City initiative to develop a program and final report on a specific development incentive for affordable (rental) housing be identified in the 2016- 2019 Corporate Business Plan. BACKGROUND: Through the 2015 budget and business planning processes, City Council identified that the provision of affordable housing continues to be an important topic in our community. A new initiative was added to the work program regarding an investigation of the potential for development-related incentives to help encourage the inclusion of affordable housing units within new developments. The direction was to prepare a background, discussion report that reviewed relevant municipal programs across Ontario and identified the potential positive and negative implications. This report provides the results of that research, summarizes existing and upcoming Regional programs and outlines a number of possibilities for Council's consideration in moving forward with any further local-level incentives. REPORT: Affordable housing can be classified in multiple categories extending from rental units to home ownership and including assisted, subsidized or market housing. Government agencies adopt different definitions for affordable housing to differentiate between these ***This information is available in accessible formats upon request. *** Please call 519-741-2345 or TTY 1-866-969-9994 for assistance. 4 - 1 categories. The Provincial Policy Statement (2014) defines `affordable' as "not exceeding 30 percent of gross annual income or 10 percent below market price for ownership housing; and as not exceeding 30 percent of gross annual income or below market price for rental housing". The Region of Waterloo and City of Kitchener Official Plans utilize the same definition; although Regional Housing staff has identified a broad housing continuum (from shelters to publicly funded supportive housing to private rental housing). For the purposes of this report and discussion paper, the primary focus of the analysis is on potential incentives for affordable (rental) housing. The Development Incentives for Affordable Housing Discussion Paper (attached to this report) provides an overview of the current programs and policies within the region. The report also identifies some of the more recent tools used by some municipalities in Ontario to encourage new affordable housing developments. There are several upper and single-tier municipal programs and incentives in place as these levels of government are typically the Service Manager for Housing and/or have the mandate to plan for and establish affordable housing within their jurisdictions. Lower-tier municipal incentive programs are currently very limited. Highlights of the Discussion Paper include: • A summary of role of various levels of government with respect to affordable housing. The Region of Waterloo has legislative policy authority and the funding from the province to provide affordable housing, and are doing so with staff resources and programs; • Programs and tools through the Region of Waterloo. The Region has an Affordable Housing Strategy and an Action Plan for Households with Low to Moderate Income. The City participates on the creation and implementation of these initiatives. The Action Plan contains many directives, including the Region- led investigation of specific development incentives for affordable housing; • Local housing programs and policies in Cambridge, Waterloo and Kitchener. The City of Kitchener has allowed residential bonusing (which includes affordable housing) in the downtown for a long time. The new Official Plan includes numerous city-wide policies regarding the provision of affordable housing and allows the potential to expand the reach of bonusing. Staff will begin the preparation of implementation criteria for expanded bonusing in downtown and the rapid transit station areas in 2016. • Findings from research conducted showing current practices from nine Ontario municipalities, including descriptions of development incentives for affordable housing. Implementation tools are provided where possible; and, • A table featuring seven development-related incentives that could be considered further, including parkland dedication reductions, reduced parking requirements, waive application fees, surplus lands policies, property tax exemptions or grants, deferred or reduced development charges, and expanded bonusing. A brief listing of the potential benefits and drawbacks is provided along with commentary about the application and implementation tools. A Tax-Increment Grant program may have some merit in further pursuing at the City and Regional level. 4 - 2 The primary purpose of the Discussion Paper is to review current and potential programs and incentives related to affordable housing. Additional direction will be required through Committee/Council in order to confirm the next steps. Should Council wish to pursue a greater role in affordable housing, it would be appropriate to identify the development of this program in the 2016-19 Corporate Business Plan. Several business units within the City may need to be included in a more detailed feasibility analysis of specific incentives within an affordable housing program. It would also be helpful if Council would clarify the intended scope of the program with respect to the following- 1. That the program would target affordable (rental) housing as the primary segment of the housing continuum; 2. Whether it would include financial incentives, such as a tax-increment grant program, or specifically which incentives should be included; and 3. Confirm whether staff should continue to focus developing criteria for implementing the expanded density bonusing policies in the Downtown and rapid transit station areas or consider additional geographic areas, such as Nodes, sooner than anticipated. ALIGNMENT WITH CITY OF KITCHENER STRATEGIC PLAN: Strategic Priority — 3 Safe and Thriving Neighbourhoods Strategy — 3.4 Facilitate and promote housing developments that provide options for a diversity of lifestyles and household types. Business Plan #48 — Development Incentives for Affordable Housing FINANCIAL IMPLICATIONS: Potential high-level financial implications associated with development incentives are highlighted in the Discussion Paper (Table 2) and are dependent on further Council discussions and considerations. COMMUNITY ENGAGEMENT: INFORM — This report has been posted to the City's website with the agenda in advance of the council / committee meeting. REVIEWED BY: Tina Malone-Wright, Senior Planner, 519-741-2200 ext. 7765 ACKNOWLEDGED BY: Michael May, Deputy CAO (Community Services) Attachment: Development Incentives for Affordable Housing Discussion Paper 4 - 3 ves )�:S-U:Ssi:()n Fa�pe� orda sing City of Kitchener Planning Division October 2015 4 - 4 oIIIb IIIe (A°' ()inteints Introduction.............................................................................................................................. 1 ReportPurpose................................................................................................................... 1 What is affordable housing?................................................................................................... 2 Jurisdiction .............................................................................................................................. 3 Who is responsible for affordable housing in Ontario?............................................................ 3 Provincial Policy Context .................................................................................................... 4 CurrentPractice....................................................................................................................... 5 What is happening now through the Region of Waterloo and locally?..................................... 5 Regional Housing Programs ............................................................................................... 5 CurrentStatistics ................................................................................................................ 9 Current Local Housing Incentives and Policies ..................................................................11 How do other municipalities structure affordable housing in Ontario?....................................15 Lower-Tier Municipalities, not considered Service Manager for Housing............................15 Single-Tier Municipalities, not considered Service Manager for Housing ...........................16 Single-Tier Municipalities tasked with Service Manager for Housing Responsibilities ........17 Development Incentives.........................................................................................................21 What could the City of Kitchener do in the future?.................................................................21 Summary .................................................................................................................................26 III host (A° Ill iigt;iiires Figure 1: Affordable Housing Roles and Responsibilities ........................................................... 3 Figure 2: The Housing Continuum (Source: Region of Waterloo)............................................... 5 I host (A° ""Ill oIIIb IIIes Table 1: Consideration for Affordable Housing in Kitchener's Existing Policies .........................12 Table 2: Development Incentives for Affordable Housing and their Potential Implications.........21 III host (A°' AIpIpeind iices Appendix A: Government Responsibility for Affordable Housing in Ontario Appendix B: Region of Waterloo Action Framework (Housing Action Plan 2014-2024) Development Incentives for Affordable Housing Page i 4 - 5 6ll11 1 1 Report Purpose Affordable housing is a very broad topic that involves multiple levels of government, agencies, non-profit and private sectors, and the public. Each stakeholder has different needs, motives, expectations, roles, and responsibilities with respect to the various aspects of affordable housing. Many of these matters may be outside the purview of the City's Planning Division, and therefore this discussion paper will eventually focus on matters falling within the jurisdiction of an area municipality, given the policy and programming already in place at the Regional level. This document serves to provide an overview of additional development incentives that could be considered for implementation by studying and assessing other municipal programs in Ontario. Key questions explored throughout this report include: • Who is responsible for affordable housing in Ontario? • What is happening now through the Region of Waterloo and locally? • How do other municipalities structure affordable housing programs? • What else could the City of Kitchener do in the future? go 4 "JiV i r f, r I i o r�� „.,. ;.;l m(rrmirlr�rl�YIUIIIPO�/lGi///X119 11Ip%V100/a�%���dY11�0U1f7iy% Charles Village Apartments, 75 Charles Street East This apartment building close to a future ION light rail transit stop has 22 one- bedroom rent-geared-to-income units, two of which are wheelchair accessible'. ' House of Friendship. (2005). Charles Village Apartments:A Supportive Community. Retrieved from: LIU2 v\v\vl,/ ? fl li In Y� i r rl° Yi n,l l�,I f� � '(r� U c it i- Development Incentives for Affordable Housing Page 1 4 - 6 What is affordable housing Affordable housing can be classified in multiple categories extending from rental units to home ownership and including assisted, subsidized or market housing. Government agencies adopt different definitions for affordable housing to differentiate between these categories. Provincial Policy The PPS defines `affordable' as not exceeding 30 percent of gross annual Statement (PPS) income or 10 percent below market price for ownership housing; and as not exceeding 30 percent of gross annual income or below market price for rental housing2. Investment in Ontario's IAH Program Guidelines provides context for affordable housing Affordable under four different program components: Housing (IAH) 1. Under the Rental Housing component, affordability is defined as rents that do not exceed 80% of the Average Market Rent (AMR) for Waterloo Region as defined by the Canada Mortgage and Housing Corporation (CMHC); 2. Under the Homeownership component, funding is available for candidates with household income below the 60th percentile income level for the service area; 3. Under the Ontario Renovates component, affordability criteria for home owners' repairs include households below the 60th percentile income level for the service area, and for multi-unit rehabilitation, rental units must be at or below the AMR defined by CMHC; and 4. Under the Operating component, non-profit and cooperative rental projects with rents at or below the AMR are eligible3. Region of The Regional Official Plan uses the same definition for affordable housing Waterloo as the PPS for planning and policy purposes. The Region is also bound by the Province's IAH Extension Guidelines for programming purposes. In addition to the definitions for `affordable housing', the Region identifies several types of housing which are often perceived as `affordable' but in fact should be regarded separately. These include emergency shelters, time-limited residence, and supportive housing. City of Kitchener The City of Kitchener new Official Plan uses the same definition for affordable housing as the PPS, and defines low and moderate income households as those in the lowest 60 percent income distribution for the Region of Waterlo04. 2 Ontario Ministry of Municipal Affairs and Housing (MMAH). (2014). Ontario Provincial Policy Statement. @trl @V@ Om: "a/"=//// 1 I f flP....I r J on� i < « 1 i�li rl / ia` r ^d1d �046�3 3 Ontario MMAH. (2014). Investment in Affordable Housing for Ontario, Program Guidelines. Retrieved from: C City of Kitchener. (2014). City of Kitchener Official Plan A(t � Complete mplete and Health Kitchener. Retrieved from Development Incentives for Affordable Housing Page 2 4 - 7 asll� 1 IIII 110//111 1111111\11111110110 111111111111111110111111 lll�ll 1111 1111 l 10 \l 11 1111 1111 (1 Il 111 ( � 1 1 1� { \ 1 1»1 1 I V Who is ras onsib/e for affordable housincg, in Ontario? Affordable housing currently falls under provincial jurisdiction. The Ontario government develops policy and regulation for affordable housing, delegates responsibilities, and allocates resources for affordable housing to single- and upper-tier municipalities. As an upper-tier municipality, the Region of Waterloo has been delegated several responsibilities from the province regarding affordable housing, including the Service Manager for Housing. This means they have the legislative policy authority and funding to provide affordable housing, and develop and implement affordable housing strategies through the Region's staff resources and programs. As a lower-tier municipality, the City of Kitchener is responsible for keeping Official Plan policies up to date with relevant provincial and regional policies such as planning for a full range of housing including affordable housing, protecting the existing housing stock including affordable housing, and allowing for secondary dwelling units. The City and Region also have the ability to utilize tools such as a Community Improvement Plan (CIP) to encourage affordable housing. Figure 1 shows the general breakdown of the responsibilities at the provincial, regional, and municipal level with respect to affordable housing. gu�»Ili l,e 1 Al"h`aa11(,Aab e aalllus� lro e.1 a ur'ii(,A I»a s�1. )o1r'o sH b ».Besy;» 1 1 01 1 11 11011 1110 \l l4 »00 � 1111 11 0»Il 111 01111111111 01 0111 10111111\ l Ili 1 \� 0 » id 1 11 1 � 1 111115 � 1� 111u ) 1 111` 11��1�1» ,ti�`1��1111111111�1111�1) tll�ll»�1111 1111111»1.11 1'1111» ��11�1111111�11�'�1�.11�1.ti111 1 ft 1 1 1 �1 » �1 Il p pp 1 L. 11. 1 � 14 1 �1\ » 1 » 11 Iti 11 ..,, 1111 » 1 I1 1�1\\1111,,111 11 111�111111111� �l ha1 1� �0 \`\1 ��� 1 111 I1��V11111111111�111 11 11111 111 1 11 1`��111��111� �� �\\� ��111�1��1 � ��11 » ll l \11 11 1 \ I11111 �� 1 1 1 Ih1 � � 1 � 1 I � 9 \ 1 II 1 1 Illlm m�l „ m m mn m ����»ltii 11 not tl {l 111 11 �I, li 11111 .Iii I �i� 1 ,,„ 1111111 »�.111�1i1�i IIII 111111/1�liu l�»�11,.��»�» 1111 1 �l».li>1�1,11 1`11 o 1 �,1�lui�1 .�111111u 1 � 1 11 0 0 6, ,1 ,1 II 111 III ll II � 111 ( l \\ ` 111//111 ��11111111�V I�� �X111 ill 1111111111 11 ��11 1 � Il X11111 v 1 0 m ftl al 0 al 411 ml o0V 414 I i„` ftl1 414 1 , i„`. N1 i. IIT�V o W »1 { ( 11 1111 111111 1, �11 » ��1 11� \111111 ,�,� l �1, 11111.111� 1�1�1��.�11 I 1� �1, 1 I „1 41 4 Ali»�ul� .II�I.liolil 1 1 �11 � 1 � m Note: Figure 1 was adapted using information found through Province of Ontari05 and Region of Waterlo06 guiding documentation. For a full summary of the roles and responsibilities of each level of government, please refer to Appendix A. 5 Ontario MMAH. (2011). Municipal Tools for Affordable Housing. Retrieved from: Region of Waterloo. (2014) Housing Action Plan 2014-2024. Retrieved from: ono, 11, � I1 1 � I l I I ll Jf M ,I rl l((: Join 1 fl f....... J111'fi Development Incentives for Affordable Housing Page 3 4 - 8 Provincial Policy Context Affordable housing is an important component within provincial policy, including the Provincial Policy Statement (PPS), the Growth Plan for the Greater Golden Horseshoe, and the following key documents: • The Strong Communities through Affordable Housing Act stipulates requirements for housing and homelessness plans implemented by a municipal service manager. The Act also included amendments for the Planning Act to declare affordable housing as a provincial interest, and provide enhanced provisions for garden suites and second units'. • Ontario's Long-Term Affordable Housing Strategy introduced a vision to improve access to affordable housing and included several policies such as support of rent geared-to- income, personal asset building, and enhanced waiting lists for affordable homes$. • The subsequent provincial Long-Term Affordable Strategy Update: Consultation Discussion Guide included an updated vision so that every person has an affordable, suitable and adequate home through improved affordable housing supply, support services, and fair housing assistance9. Legislative Assembly of Ontario. (2011). Strong Communities through Affordable Housing Act. Retrieved deai� w+ �i�i $rOntario rMMAH (2010).n Ontario's Long Terml Affordable Housing(Strategy./Retrieved from: Ontario MMAH. (2015). Long-Term Affordable Housing Strategy Update: Consultation Discussion Guide. Retrieved from: �ltt2JlMi Yi i 1, c ,/A�w tI ,1, toi 1 �id 0889 Development Incentives for Affordable Housing Page 4 4 - 9 11111111 11111111 11 \ S 1 1 u 1 What is happening now through the Region of Water/o0 and IOcally Regional Housing Programs The Housing Services Act (HSA), 2011 required that each Service Manager for Housing in Ontario complete 10 Year Housing and Homelessness Plans by January 1, 2014. As the Service Manager for Housing, the Regional Municipality of Waterloo (Region of Waterloo) facilitated the creation of the required plans. This includes two locally developed system plans - All Roads Lead to Home: The Homelessness to Housing Stability Strategy for Waterloo Region (Strategy), and the Housing Action Plan for Households with Low to Moderate Incomes (HAP). These are accompanied by background reports and were developed with input from local municipalities. The broader and longer term Housing Action Plan helps to inform a more specific and shorter term Affordable Housing Strategy (AHS) that is focused on addressing immediate housing needs consistent with the Housing Continuum illustrated in Figure 2 and discussed below. a "II"`Ih e �Re(Il k')lrll W a te li,k'a ')) Homelessness to Housing Stability Strategy t tlll �; Housing Action lPlani /Al��� e r Development Incentives for Affordable Housing Page 5 4 - 10 Affordable Community Housing The Region of Waterloo owns and operates over 2,700 affordable (rental) housing units in Cambridge, Kitchener, Waterloo and the Townships, giving low to moderate income households an opportunity to rent housing at lower costs10 All Roads Lead to Home: The Homelessness to Housinq Stability Strategy for Waterloo Region 2( 012) This regional strategy includes both a policy and an action framework that are complementary in their approach to end homelessness. With the primary objective to end homelessness in Waterloo Region, the strategy's main efforts are to provide stability for those currently or at risk of experiencing homelessness and to support households in maintaining their housing by: a) Increasing housing retention; b) Reducing the length of time people experience transitional homelessness; c) Ending persistent homelessness; and, d) Increasing community inclusion" Waterloo Region's Housing Action Plan for Households with Low to Moderate Incomes (2013) This regional plan is a community response to local housing issues and strives to achieve well designed, safe, healthy, diversified housing and communities. Priorities of the plan result from community feedback, grouped into five key issue areas: • Housing affordability: not enough affordable housing options across the region for those on fixed income, or earning minimum wage, including seniors, Aboriginal persons, persons with disabilities, immigrants and victims of domestic violence; • Supports to obtain and retain housing: need for flexible supports to obtain and retain housing, especially for those living with lower incomes, homelessness, mental health and addiction challenges; • Range of housing: need for broader range of housing options (beyond housing form) that can accommodate changing demographics, growth and diverse community needs such as culturally sensitive housing, congregate living options and other models of housing; • Effectiveness of housing system: difficulty accessing housing and support to retain housing, and need for more awareness of available supports and services; • Retaining and maintaining housing stock: need to protect and preserve the existing affordable housing stock from falling into disrepair or being converted to higher cost housing12. 'o Region of Waterloo (2014). Waterloo Region Housing. Retrieved from 1 III Ill d��r" 11c °ll r `III ,/ i,ter n r 1 i, I h rl.Js h I(r //jli n,r r r f ol"II"I Il„I„I 11/Iiti,ll �r Region of Waterloo. (2012). Homelessness to Housing Stability Strategy: Summary Series. Retrieved from: r rJ1f -I[I U.Y ,e 1Jc vI,l iJ o ,/ i,t r nr ae ri�7 [II°�J'Ys„ it�ITJ„ ��i itlY�i � Ale°l i, IJ I 1fi i`i itIll11ll"il""/ i� „,1 r 1��1 11 ii 'I r1"I� IP t ili "r,� Il `n{( Development Incentives for Affordable Housing Page 6 4 - 11 Affordable Housinq Strategy 2014 —2019: Renewinq our Commitment (2014) This regional strategy addresses short term needs of lower and middle class households to find housing that is considered affordable and be able to maintain occupancy in their homes. Having exceeded its 2008 goal to create at least 500 new units of sustainable affordable housing, the Region of Waterloo's new goal is "to address the housing needs of at least 700 low to moderate income households"13. Given the role and responsibility of an upper-tier municipality, the Region currently has four main initiatives underway for affordable housing to achieve this goal: 1. New Affordable Rental Housing Program: targets the creation of 250 new affordable housing units by 2019; 2. Affordable Home Ownership Program: plans to help 100 low to moderate income households become first time homebuyers by 2019, in addition to over 300 households that have benefited from this program since 2008; 3. Ontario Renovates: To date, the program has helped 131 homeowners with repairs and accessibility modifications, and the Region has dedicated $2.15 million to continue the program through 2019 to assist with repairs for 250 units; and 4. Housing Assistance Program: plans to help 100 households maintain stable housing through rental assistance by 20191a Current Regional Incentive Programs Housing incentive programs at the Regional level reported in Housing Incentives and Funding Resource Guide15, include the Affordable Home Ownership Program, Affordable Housing Strategy, Brownfield Incentive Program, Development Charge Exemptions in Core Areas, new Multi-Residential property class, Rent Supplement Program, and Energy Assistance. Potential Future Incentive Programs Incentivizing and supporting affordable housing provision is an ongoing priority for the Region of Waterloo. Access to affordable housing was listed as one of 12 key indicators to measure the success of the Central Transit Corridor (CTC) in the CTC Community Building Strategy, which also listed protecting affordable housing options within the CTC as a key action to encourage a healthy and inclusive community16 12 Region of Waterloo. Planning, Housing and Community Services. (2013). Waterloo Region's Housing Action Plan— 2014-2024. Kitchener, Ontario. 13 Region of Waterloo. (2014). Affordable Housing Strategy 2014-2019:Renewing our Commitment. Retrieved from; i it I II 1a Region of Waterloo. (2015). Report CSD-HOU-15-02:Investment in Affordable Housing (2014 Extension)—Proposed Program Delivery and Fiscal Plan. Kitchener, ON. 15 Region of Waterloo. (2013) Housing Incentives and Funding Resource Guide. Retrieved from: �:��I vices:,l 1 I r I��l 1 / 1�� f 1te Retrieved ���I. �� fs Region of Waterloo. (2013). Central Transit Kiln/ resold c Corridor Community Building Strategy. d from: Sect 7 'I��� ! Development Incentives for Affordable Housing Page 7 4 - 12 Some of the Region's future strategic actions are listed below for further investigation, as featured in the Housing Action Plan 2014-2024: Action 1.2 Stimulate new rental housing opportunities by identifying new policies and potential development incentives (such as development charges) for private, public and not-for-profit sector developers to create new affordable housing stock; Action 1.3 Work with Area Municipalities to develop guidelines for implementing and monitoring numerical Affordable Housing Targets Region-wide; and, Action 5.5 Explore opportunities to expand Ontario Renovates, to broaden the program to rental units and secondary suites12. The full Action Framework is provided in Appendix B. Development Incentives for Affordable Housing Page 8 4 - 13 Current Statistics w ����m �A�,a�i'tr���«1I� Irra� il There are c gff�rr'dubl �litr lrk It 1616 it gut f�6,a 1h),u&616 iron luiik t�1W i��r gtraI"&attttA* �1 aa�AIit,nk6 of 1*:-I c�1efl' to-�,5 h��s il���i� � ���� iaal 6» �auiia rental buildings in the { � 9 611,tt ti�11&All i &ik,1i�k 21 I h Ilk it,11, . ttttul�tit�titi ltr,Ii t 4i�llltr� u�ii � �aII�Ir���nt�1 of Waterloo' � K RENTAL 6h,it0 n ik6t014dk 4�0ttlt0tltt�rlttta�tttldltt�t�t�Ittl�ltHilt rl . ��������� �� i�cip'l ; s'�i Community�ii���i�ulot�����d�°�rtt��a'�tu11���,�iwi�ul�trtG�t� �� �lnit wUElIng tsttil6btlutttf i a : , ' t fi " f ti i�,r C�r. II�rI�r.IU7st:r1 l r san gI arc;' jrarrl program , with art,,in ,.� • � �, 1 1'r �l ° f d � them In Rapid n � i 1t� 1VII ,! itl'' _ r. ,+ ✓ r r, Transit �/ �""`�(y H - - R J °1 4 Station Area The Community Housing program includes rental hrausirbg under the Housing Services Act(HSA), new rentall supply units and rent supplement units. TOTAL UNITS UNITS PER 100 PEOPLE Regional Program(amponent Cambridge Kitchener Waterloo Cambridge Kitchener Waterloo Rentall Housing(HSA) 2,414 3,649 989 1.90 1.67 1,00 New Relntal Sulppiy Units (200 r-2014) 489 693 11,801 0.39 0.32 1.82 I Rent Supplement Units 180 509 64 0.14 0.23 0.06 Ontario Renovates- (200 it 2U 114.) 29 42 46 0.02 0.02 0.05 Affordable Home Ownership (2008-2014) 221 51 19 0.17 0,02 0.02 Kitchener supported the integration of second units in city-wide residential l areas in its 1994 Official Plan and Zoning Bey-low, long before the provincial requirement for municipalities to allow for second units, adopted in the Planning Act in �;,�011111. ...,u.,.. . ... i t ifil by Area 4000 WUaitllist for Affordable Housing over Time Municipality Region of Waterloo (kJlUr,e 2014) Kitchener 3000 1,549 Waitlisted 07.71 per 100 people Cambridge 2000 1,252 Waitlisted 0.99 per 100 people* Waterloo 1000 79 Waitlisted 0.08 per 100 people* 0 2008 2009 2010 2011 2012 2013 2014 *IBasedr7 Census Year .....1..1.........Data. .............................. Development incentives for Affordable Housing Page 9 4 - 14 Recent Affordable Housinq Developments (in Kitchener) Kitchener Housing Inc. — 35 David Street With two types of rental options, Kitchener Housing Inc. tenants can pay market rent or rent geared-to-income (subsidized rent) to suit individual needs pending an application process. i r� B&/WAtb9 i ,r d1 uu r' �( .. lFlrdrkr�/1: .� ....�..iii..��u.......:...�................:......r.,. KW Rehabilitation — 108 Sydney Street The grounds of the new KW Habilitation office building at 108 Sydney Street are planned for a 22-unit affordable housing development17. t Habitat for Humanity—242 Kehl Street This 2015 Habitat for Humanity development with over 50 units makes homeownership possible for low-income families willing to volunteer and repay an interest-free mortgage18. fIN r r %i%����IfIfIIIG1 r, e/i% / �„ io�� 'i iwwuuiwNiUlliIDiP 17 KW Habilitation. (2015). 2014-2015 Annual Report. Retrieved from I ill„Fug,//v{,,,,�,V,{,,,,I Habitat for Humanity. Current Builds. Retrieved from illur, vrvrvi, Development Incentives for Affordable Housing liege 10 4 - 15 Current Local Housing Incentives and Policies The primary mandate for housing creation at the Regional level is specific to affordable housing, given the role of the Service Manager for Housing. In contrast, the local municipalities typically develop policies and programs for the creation of housing to achieve multiple goals, including but not limited to, affordable housing. For Kitchener, Cambridge and Waterloo, this includes Official Plan policies, Downtown/Uptown Community Improvement Plans (which offer development charge exemptions, park dedication reductions and application and permit waivers), Brownfield Financial Incentive Programs, new Multi-Residential property class for tax assessment, density bonusing, and other programs that could also be utilized by affordable housing developments. The City of Cambridge is currently investigating the implications of Tax Increment Grants and reductions to Development Charges specific to affordable housing. Further research and recommendations are expected over the next several months. In response to rising land costs and other considerations, the City of Waterloo has created a new Community Improvement Plan (CIP) for the Uptown area which is aimed at achieving several objectives. The Plan does include general provisions for affordable housing through a grant program for building renovations that create new affordable residential units. The grant is related to the increase in municipal property taxes for building renovations and varies by scale of redevelopment. With respect to affordable housing, Waterloo acknowledges it is likely that "the financial incentives included in the CIP will not be effective alone" and additional considerations could include: • Continued collaboration with the Region; • Developing a CIP for affordable housing by geography, such as LRT Station Areas, or City-wide; • Developing a policy for Uptown developers to make a financial contribution to support the off-site provision of affordable housing where land values may make the provision of affordable housing more financially viable; • Incorporate requirements for the provision of affordable (assisted or subsidized) housing into the sale or lease of City-owned lands; and/or • Support the provision of affordable housing through the application of density bonusing policies included in the current Official Plan19. The City of Kitchener has a number of Official Plan policies, By-laws and Council Policies that do require consideration of, and benefit, affordable housing. These are identified in Table 1 below in relation to the headings of municipal responsibilities as outlined in the Region's Action Plan for Housing. Kitchener also has a Development Charges rate within the Central Neighbourhoods that is lower than suburban areas. 19 City of Waterloo. (2015). Report IPPW2015-074: Recommended Uptown Community Improvement Plan. Waterloo, ON. Development Incentives for Affordable Housing Page 11 4 - 16 IM,fle Coinskieratoini For Aflbrdan l,,de II oi,m ing liuni x,,JtcJheiner's :::x sthng 'Vk�Jes ti Planning for a full New Official Plan Objective 3.2.2: range of housing "To provide a range and mix of housing, including affordable including affordable housing...in a coherent and efficient manner. housing New Official Plan Policy 4.C.1.12: "The City favours a land use pattern which mixes and disperses a full range of housing types and styles both across the city as a whole and within thin neighbourhoods." New Official Plan Policy 4.C.1.13: "The City will work with the development industry and other community members to identify and encourage innovative housing types and designs in the city where such innovation would: g)provide accessible and affordable housing to residents". New Official Plan Policy 4.C.1.15: "The City will collaborate and plan to implement the affordable housing targets and other recommendations established in the Region's Housing Action Plan." New Official Plan Policy 4.C.1.16: "Where a development application proposing residential uses is submitted for a site containing two hectares or more of developable lands, the City will require, wherever appropriate, a minimum of 30 percent of new residential dwelling units to be planned in forms other than single detached and semi-detached dwellings, and may include housing forms such as street or cluster townhouses and multiple residential buildings." New Official Plan Policy 4.C.1.17: "The City may require the allocation of lands for a minimum number of units of affordable housing when considering applications for new residential development to ensure that new residential developments satisfy the requirements of the Provincial Policy Statement relating to the provision of affordable housing. These lands will either be retained and developed by a developer as affordable housing or made available to a cooperative or non-profit housing group." New Official Plan Policy 4.C.1.18: "The City supports the principle that housing assistance be provided to members of the community who have difficulty accessing safe, suitable and affordable housing. The City, in cooperation with senior levels of government, the Region, private landlords, builders and community groups will continue to utilize existing programs and seek improved and cost effective senior government assistance to provide a range of housing options that address affordable housing needs across the housing continuum." New Official Plan Policy 4.C.1.19: "The City will encourage and support affordable housing to locate in close proximity to public transit, commercial uses and other ...................compatible non-residential land uses, parks and community facilities Development Incentives for Affordable Housing Page 12 4 - 17 ti II v >��VumlWum�4uum�mum�uu� and have convenient access to community, social and health services." New Official Plan Policy 4.C.1.20: "The City will support and attempt to accommodate residents who may wish to adapt their housing to better suit their circumstances and needs that may change over time,provided these changes to the housing do not significantly impact the nature or community character of the surrounding residential area." New Official Plan Policy 4.C.1.21: "The City will support developments in appropriate locations that allow residents to age in place." New Official Plan Policy 4.C.1.22: "The City will encourage the provision of a range of innovative housing types and tenures such as rental housing, freehold ownership and condominium ownership including common element condominium, phased condominium and vacant land condominium, as a means of increasing housing choice and diversity." Protecting existing New Official Plan Policy 4.C.1.42: affordable housing This policy invokes limitations on condominium conversions, where an applicant applies to convert existing rental apartments to condominium status. Condominium conversions are permitted only through a series of exemptions, one of which being where "the ✓ conversion will address and result in the creation of affordable housing for affordable home ownership". Conversion to condominiums does not necessarily mean loss of rental housing stock as many condominiums continue to be rented, and condominiums are often a more affordable way to own a home. Allowing for second New Official Plan Policy 4.C.1.23 and 4.C.1.24: dwelling units and "The City will support the addition of a second dwelling unit within a stand-alone secondary residential unit"and "stand-alone secondary dwelling units, such as a dwelling units on coach house dwelling or a garden suite as an ancillary use to all existing properties ✓ single detached dwellings". Development Charge By-law S. 3.10 (f): Development Charges shall not apply to "the enlargement of an existing dwelling unit or the creation of up to two additional dwelling units". Bonusing for Increased New Official Plan Policy 17.E.17.2. 1): Height and/or Density Height and/or density bonusing may be permitted in exchange for beyond existing zoning "the provision of affordable, special needs, assisted or subsidized housing" Zoning By-law 85-1 S. 5.19: A building may exceed the maximum floor space ratio for the zone in which it is located subject to the bonus value regulations for such zone and to the further condition that the facilities or matters, namely, residential floor area, amenity area or heritage conservation, are Development incentives for Affordable Housing Page 13 4 - 18 ti II v >��VumlWum�4uum�mum�uu� provided in accordance with the regulations. Regulations for residential floor area bonusing would include affordable housing units. (note: this currently applies in Downtown Zones) Enforce Codes and Municipal Code: Standards Enforcement of property maintenance is controlled by the Municipal Code, and includes chapters for garbage, heat in rented dwellings, lot maintenance, plumbing and drainage, property standards for maintenance and occupancy. The municipal code is enforced on a complaint basis. Condominium Conversions: Building audits to identify potential deficiencies of the Ontario Building Code, the Building By-law, Municipal Code or Ontario Fire Code are conducted for any condominium conversion application. All issues must be rectified prior to condominium approval. Council Policy 1-1080— Performance Securities: The City may require performance securities for development applications approved under Section 41, Site Plan Control, of the Planning Act. Performance securities can be imposed for new developments. The City of Kitchener has included `density bonusing' as an incentive for providing new residential development within certain downtown areas since at least 1992. Subject to certain criteria, if a new development includes residential dwelling units, the building could include a certain amount of additional floor space (which could translate to `density' or more dwelling units). Although new development is just now starting to take advantage of this incentive, the tool has been available for all residential, which includes affordable housing. The City's new Official Plan includes policies that provide a more detailed list of possible community benefits that could be considered for bonusing and this includes "the provision of affordable, special needs, assisted or subsidized housing"20. Implementation criteria need to be developed for zoning, bonusing agreements and the process. Through the Planning Around Rapid Transit Stations (PARTS): Central Plan, it is expected that one of the implementation measures will include these density bonusing provisions for the urban growth centre (downtown) and rapid transit station areas. Further work on this is expected in 2016. 20 City of Kitchener(2014). Official Plan—A Complete and Healthy Kitchener. Part E— Policy 17.E.17.2 1). Development incentives for Affordable Housing Page 14 4 - 19 How do ether municipalities struct ur affordable housing in Ontario Several Ontario municipalities have adopted development incentives specific to affordable housing through different means. Current practices from these municipalities are included below, along with a description of the incentive program in place and its means of implementation. The practices are also broken down by those municipalities that are tasked with the role of the Service Manager for Housing like several of the single-tier municipal examples, and those that are not, to emphasize their applicability to Kitchener. Kitchener is a lower-tier municipality that does not assume the Service Manager for Housing role and therefore it is not an exact comparison to the initiatives provided by a single- or upper-tier municipality (which are most of the examples below). Lower-Tier Municipalities, not considered Service Manager for Housing City of Mississauga The City of Mississauga, a relevant comparison for municipal structure for affordable housing programs, is lower-tier municipality falling under the jurisdiction of the Regional Municipality of Peel (upper-tier). Specific parking rates were developed for residential and visitor parking for affordable rental housing units based on observed demand, allowing non-profit, affordable housing providers to reduce costs related to parking space creation21. Implementation required a consultant study and prepared guidelines on the parking space demand in affordable housing developments. City staff use the Guidelines (as directed by the Zoning By-law) when reviewing parking requirements for new affordable housing development applications. 21 City of Mississauga. (2005). Parking Guidelines for Public and Private Non-Profit Housing. Retrieved from: I" 'J i i c'1-1 j � „i,a II Gr uY a �c 11 ,Joi `i� I Development Incentives for Affordable Housing Page 15 4 - 20 Single-Tier Municipalities, not considered Service Manager for Housing City of Barrie The City of Barrie is a single tier municipality, however it does not have the role of Service Manager for Housing, instead the County of Simcoe assumes this role. City of Barrie's approved Affordable Housing Strategy recommends policies and financial incentives for development yet to be implemented. The proposed incentives for future consideration/implementation include: • Demolition and Conversion of Rental Housing By-law: preserves existing rental housing for properties with more than six dwelling units by controlling demolition and conversion of rental housing to condominium tenure and other land uses; • Acquisition or Disposal of City Land for Affordable Housing: allows the City to acquire lands or dispose of surplus lands to encourage affordable development, and encourages School Boards to adopt an "Affordable Housing First" policy when selling surplus school lands; • Financial Incentive for Community Improvement Plans and Brownfield development: considering implementation of financial incentives in a Community Improvement Plan to support housing initiatives, not-for-profit development and brownfield redevelopment, however the type of incentive has not yet been determined; • Development Charges: allowing a portion of funds procured from development charges to subsidize new capital social housing project; and, • Bonusing: allowing height and density bonusing for affordable housing developments, pending a future Zoning By-law amendment authorizing such agreements22. City of Orillia The City of Orillia is a single tier municipality, however it does not have the role of Service Manager for Housing, instead the County of Simcoe assumes this role. Not-for-profit affordable housing is exempt from the By-law that requires new development to pay parkland dedication fees23. The program is implemented via amendment to the City's Parkland Dedication By-law and new municipal staff protocols such as updates to procedural manuals. 22 City of Barrie. (2015). Affordable Housing Strategy:A 10-Year Plan. Retrieved from: i IAA N Y'LIJ feI[. !i n l Il„ fe I l r`<<If i rl rd,,,,,1;r I e'%2 0„ r rl I JI`.l!J`% City of Orillia. (2010). Parkland Dedication By-law 2010-39. Retrieved from: r �Iii� rrP I�� OrIJ I i i-c e m t aIi d ir,d�J ol"i � Development Incentives for Affordable Housing Page 16 4 - 21 Single-Tier Municipalities tasked with Service Manager for Housing Responsibilities Some programs and incentive tools provided by other single-tier municipalities may not be directly applicable in the City of Kitchener because they operate at a different scale. The municipalities listed below are tasked with the responsibilities of a Service Manager for Housing, which is different than the role of an area municipality such as Kitchener. City of Kingston The purpose of the program is to acquire strategic properties within the city and resell the subject properties at 75 percent of the initial purchase price. Potential buyers must demonstrate how the development will be affordable and conform to the City's Official Plan policies and Zoning By-law provisions24. The City has committed financial contributions of$5 million over a 5-year period to secure the sites. The City has committed financial contributions of$5 million over a 5-year period to establish the Affordable Housing Capital Investment Program, which is available to private and not-for-profit housing projects. Funds are provided in the form of a forgivable loan after the proponent enters into an agreement, registered on title, guaranteeing affordable housing units and describing the terms of the loanzs Stimulates homeowner investment to create alternate housing options within the City and is comprised of two different funding stream S26. Under this program, secondary suites must meet applicable Zoning By-law and Building Code regulations. • Secondary Suites Municipal Fee Rebate: provides a forgivable loan for projects in areas of the City where construction of a secondary suite requires a planning application and covers eligible expenses up to a maximum of$7,000. The loan is forgivable upon the condition that the secondary unit is provided at an affordable rent to an income-qualified household for a minimum of one year. 24 City of Kingston. (2012). Affordable Housing Land Acquisition and Disposition Program. Retrieved from: �� / � i i fi:di l Il I f� '��� � 1�"✓ 1 � 1�t��( �� �� I I � `�i it i f i �r'I 10 l Idi` i /� l �r 'v' it i�� �', � itl�l sJ' t,,,,�. �. 1�d 13 •�I�./�0 ��'r J�.,f 25 City of Kingston. Capital Investment in Affordable Housing. Retrieved from: ',�„ i ng( I E°����� ��"��"(���� � 1 �/i t,.�Fll��l i�r�� i i i fi:di 111 I f� 'r���� � 1�"✓1 � r"t�1 �i rlleiJl��l ` sfi rl i f c i �i rl l„J„ �6 2533, 8c2,`2 c City of Kingston. City of Kingston Secondary Suite ) Affordable Housing Grant Program Guidelines. Retrieved from: le i i, t,ri n l�l I[eI Il 11 l r 1 r, 1111 8 Si i i rl ii r�l y A�te I,J"uIiJ 1Gl �2e 3 FII,II, .IIr 2 [,681 120 (d'1uwe wrl:F Development Incentives for Affordable Housing Page 17 4 - 22 • Secondary Suite Affordable Housing Grant: provides a forgivable loan of the less of $15,000 or 75% of the costs associated with developing a secondary suite. The dwelling unit must be located within an owner occupied household and the unit must be provided at an affordable rent to an income qualified household for a minimum of five years. City of Peterborough To implement a CIP, a municipality must first designate a community improvement project area via By-law. The CIP is administered by City planning, finance, and legal departments and reviewed after five years to ensure a monitoring program is in place. Funding allocation is reviewed by Council annually through a capital budget program. Community Improvement Program: A 15-year agreement between the landowner (and subsequent landowners) and the City registered on title, where all units in a proposed project must meet the City's definition of `affordable'. Under the CIP, an applicant may apply for the following three programs27. • Municipal Incentive Program: waives planning application fees, parkland dedication fees, and cash-in-lieu of parking fees once an agreement (above) is executed. • Development Charge Grant Program: as per the Development Charges Act, a municipality cannot exempt a particular class of development (such as affordable housing) from development charges without a Development Charge By-law amendment that shifts the costs of growth to other forms of development. The supply of housing, even units that are affordable, still impose costs of growth on the City, it would not be equitable to simply transfer the costs of growth onto other types of development. Instead, the City of Peterborough contributes $100,000 annually to its Affordable Housing Partnership Reserve Fund, from which grants can be awarded for new affordable housing units to offset the cost of development charges. • Affordable Housing Tax Increment Based Grant Program: for property rehabilitation that would cause for tax reassessment, the City provides a 100% tax grant for the increase in taxes for the first five years, and gradually decrease the grant by 20% for the remaining five years. The tax increment grant program is administered through the building permit process to ensure the total value of the grant does not exceed the cost of the work done. 27 City of Peterborough. (2011). Affordable Housing Community Improvement Plan. Retrieved from: �n li 0 ro it (rhrc V 1e l /Clly I � �1 � �� it„'I„Ill I�r� lr i lIl I I�'.��II ��� �`f ��''���h iii i.A,1.i1i i I C i tri H I IIII"Il'1„1 Development Incentives for Affordable Housing Page 18 4 - 23 City of Toronto A City incentive program for affordable rental and ownership housing permitting exemptions to parkland dedication fees for non-profit organizations constructing affordable housing28. The program is implemented via Toronto's Municipal Code (S. 415, Article III) and secured through a Contribution Agreement between the City and the private or non-profit individual where exemptions of$10,000 or more are provided by the City. lklklzil 11\1111 A City incentive program for affordable rental and ownership housing, permitting exemptions to planning application and building permit fees for non-profit organizations constructing affordable housing28. The program is secured via a Contribution Agreement between the City and the private or non- profit individual where exemptions of$10,000 or more are provided by the City. A City incentive program for affordable rental and ownership housing permitting property tax exemptions on 25 to 50-year terms for non-profit organizations constructing affordable housing28. The program is implemented via Municipal Housing Facility Bylaw No. 282-2002 and secured through a municipal housing project facility agreement for a minimum of 10 years, and may be registered on title. A City incentive program allowing non-profit housing to be exempt from the payment of development charges28. The program is implemented by By-law No. 476-1999 and secured through a Contribution Agreement between the City and the private or non-profit individual where exemptions of $10,000 or more are provided by the City. City of London Capital budget funding up to $15,000 per unit for not-for-profit permanent affordable housing targeted to low income individuals, families in core housing need, or transitional housing for those experiencing or at risk of homelessness to longer term independent housing. Upon project 28 City of Toronto. (2013). Development Charges for Subsidized Housing. Retrieved from: ,'pi rl i rl 1 O� I fl �� i tl i� c� r A ndNe 62346:�,,i� Development Incentives for Affordable Housing Page 19 4 - 24 completion, a grant may also be provided to offset planning fees, up to $24,000 per unit; maximum annual funding is allocated at $100,00029. The fund also finances not-for-profit sectors of affordable housing that do not qualify for existing government programs, up to $24,000 per unit. 1111111111 Financial assistance up to $48,000 per residential unit to: • Convert vacant spaces accessory to street-front commercial spaces; • Rehabilitate rental buildings that are vacant and uninhabitable; and, • Modify existing dwelling units to equip for occupancy by persons with disabilities30 29 City of London. Council Policies Chapter 11:Housing. Retrieved from: Iill rlllr1r�J hii � i„i � ,/� it Ii ,II/� . �ain it , •In i� /IJ � �ar�i iil /� Ii , .I. ,i I I fiii ,I ,r ,�. 30 City of London. (2015). Convert-to-Rent/Rehabilitation Assistance Program. Retrieved from: i., r ' I E������ vJ"�J"(,/ '�I��fiJ�� � i I� li�i I� :, li l I '1�,�(J �i rl I4.,11��l I i�rill it I f"�� Ji n lA � Development Incentives for Affordable Housing Page 20 4 - 25 N 0 N 0 .� c o 0 Q N a L N ..- U O "-' N L a Co 0 cu � E U Q E Co N s Y �,.. �. 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In addition to highlighting practices from other Ontario municipalities, the discussion paper introduces potential development incentives for consideration in Kitchener. Some programs work better for different segments of the housing continuum, and many of the development incentives considered through this discussion paper are most appropriate for `affordable housing' (PPS Definition) and `market rental housing'. The City's variety of existing programs, incentives and policies highlighted on pages 11 through 14 already cater towards the roles and responsibilities of an area municipality, and specifically target support for `affordable housing' as defined by the PPS, Regional Official Plan and City Official Plan. For other forms of housing in the Region's housing continuum, such as emergency shelters, time-limited residences or supportive housing, local level development incentives are not the most effective tools. Instead, funding contributions and support to existing Regional programs would be most appropriate. The City's Planning Division has already put the policy framework in place with a number of important and relevant policies in the existing and new Official Plans and for a number of potential affordable housing incentives (and related tools). We now need to turn to implementation. Further discussion is required on the benefits and drawbacks of the potential development incentives for affordable housing (including for any other options not identified). The following is a summary of the potential incentives that are described in this report: • Parkland dedication, planning application and building permit fees and development charge reductions already exist in the City's Urban Growth Centre. Typically these fees offset costs for core City business and infrastructure services; the loss in revenues would therefore have to be recovered from another source such as tax-supported Capital or Operating Budgets; • In May 2014, Council passed the Development Charges Bylaw stating intent to discontinue development charge exemptions prior to the next Development Charge Background Study and Bylaw currently anticipated for 2019, however reductions and/or exemptions to parkland dedication and planning application and building permit fees would still apply in the Urban Growth Centre; • Parking reductions supported by a Transportation Demand Management Plan or Parking Justification Report are currently considered on a case-by-case basis. This may be more appropriate than blanket parking reductions for affordable housing units, as it ensures that alternative modes of transportation are available to building occupants; Development incentives for Affordable Housing liege 26 4 - 31 • When selling surplus lands, the City has historically taken a market based approach; • Tax Increment Grants could be led by the City with opportunities to coordinate with the Region of Waterloo to increase the tax benefit to landowners; • The financial implications are often difficult to budget and may vary on an annual basis, given that uptake is dependent on the development industry; • The City currently has density bonusing policies and provisions that could benefit affordable housing and an expanded program with detailed criteria will be prepared shortly through existing committed projects; • The implementation of development incentives for affordable housing may trigger other interest groups to request reductions; equity and fairness to all applicants that are intending to achieve provincial, regional and city objectives must be considered; • It should be noted that future development applications for affordable housing will likely be in "intensification" situations within established areas and may require a Council decision. Applicants that are likely to utilize this form of incentive often build a form of housing that incites concerns about compatibility, density, design and tenure; and, • A new Strategic Plan is now in place, and one of the five priorities of the plan is "safe and thriving neighbourhoods", which emphasizes working with our community partners to provide a range of housing options and inclusivity. Many of the identified development incentives will require further discussion and consideration amongst various business units at the City. There are implications to Operations — Design & Development (parks), Financial Planning, Building, Planning and potentially Economic Development and others. Further scoping of any incentives that should be investigated in more detail (through a feasibility analysis or business case) would assist in a more focused effort. There is a high potential that many of the incentives or programs could be considered jointly with the Region, and thus, it would be important for the City and Region to continue dialogue and action on this topic. Development incentives for Affordable Housing liege 27 4 - 32 k� .................. LE 111111111,1111ill nl I • Establish legislative and policy framework • Create policies, programs and regulations • Set out provincial interests for housing that support housing needs • Partner with Service Managers to ensure financial • Make financial contributions to housing accountability through service agreements • Set out provincial housing strategies Province of • Provide annual reports on province-wide progress Ontario • Contribute to funding for affordable housing and homelessness programs • Engage the federal government to establish a long-term national housing strategy including sustainable funding for affordable housing. .................................. • Engage the local community in determining housing needs, • Owns and operates affordable housing Service establish a housing vision and determine priorities for (Waterloo Region Housing) Manager for helping people in need • Provides oversight and administration for • Develop and implement local housing and homelessness local non-profit and cooperative community Housing plans that address provincial interests and are consistent housing providers Region of with Ontario's Housing Policy Statement • Creates policies, programs and regulations Waterloo • Contribute to, coordinate and administer housing funding that address housing needs • Monitor and report on progress ................................... • Use local housing and homelessness plans to guide • Support the provision of a full range of development of municipal planning policies and approaches housing • Identify range of planning and financial tools that are • Works to protect affordable housing through available and create enabling frameworks for their use Official Plan policies • Develop and implement official plan policies and zoning to • Pass zoning by-laws that permit secondary City of direct development and promote the availability of a full suites Kitchener range of housing types to meet range of identified needs; • Enforce codes and standards this includes implementing policies to permit second units, as well as enabling policies needed to use planning and financial tools Table content consolidated from the following sources: i Ontario Ministry of Municipal Affairs and Housing. (2011). Municipal Tools for Affordable Housing. Retrieved /I/I A/'A/'A/,110 1 /,, I �� from b��1�", � °c C 2 i Region of Waterloo. (2014). Housing Action Plan 2014-2024. Retrieved from: 11(),f'A/Cli '[ o ('fr I l(,.),u,.,,,;I ,[g ,!, ......... Vr .......... n a:-1 '!A/I 1j] 4 - 33 Appet 41 II«egioi»7 of VV'aterloo Actiol))7 (1fotising Action, Fllan, 2014­2024) IillillillillillillilliillillillillillillilliillillillillillillillillillillillillillillillillillilliillillillillillillilliillillillillillilliillillillillillillillillillillillilliillillillillillillilliillillillillillilliillillillillillillillillillillillilliillillillillillillilliillillillillillilliillillillillillillillillillillillilliillillillillillillilliillillillillillilliillillillillillillillillillillillilliillillillillillillilliillillillillillilliillillillillillillillillillillillilliillillillillillillilliillillillillillilliillillillillillillillillillillillilliillillillillillillilliillillillillillilliillillillillillillillillillillillilliillillillillillillilliillillillillillilliillillillillillillillillillillillilliilililI S°t iiirat e g liii c m c°t liii 0 iiii °1 nill IIII IIII ove h o u s liii iiii g a If If o iiirda III4 liii IIII ty n Wa at i1 o o �4""�Iteg IIII o iiii Action 1.1 Create a new Affordable Housing Strategy (AHS) that targets local priority needs. Measure A new AHS is completed and approved by Regional Council. Timing Initial Action 1.2 Identify new policies and potential incentives for private, public and not-for- profit sector developers to create new affordable housing stock. Measure Policy and incentive opportunities are identified and to be actioned, provided funding is available. Timing Mid-term Action 1.3 Work with Area Municipalities (AM) to develop guidelines for implementing and monitoring Affordable Housing Targets and implement Region-wide. Measure An Affordable Housing Targets implementation and monitoring guide has been fully researched and implemented, pending Regional Council and AM approval. Timing Mid-term Action 1.4 Explore opportunities for land banking/surplus lands and opportunities to use Regional sites and other surplus sites (Area Municipal lands, school board land, etc.) for affordable housing development. Measure Report is delivered to Regional Council for consideration. Timing Mid-term Action 1.5 Work with the Heritage Planning Advisory Committee (HPAC) to explore opportunities to use incentives to retain heritage sites while creating affordable housing. Measure HPAC Affordable Housing Guideline created Timing Short term Action 1.6 Advocate to senior levels of government for adequate funding and legislation changes to better respond to local housing needs. Measure Number of advocacy efforts made to senior levels of government, support of community advocacy organizations. Timing On-going Strateglii c IIII' liii iiii f liii iiii 2 IIII �iiii d, suIII:)III:)arts iiii to dbtalhn and r °fa li iiii Action 2.1 Support the "Housing First" model where appropriate. Measure A "Housing First" policy is adopted in Community Housing by the Region and utilized when appropriate. Timing On-going Action 2.2 Evaluate eviction prevention best practices and develop a strategy to reduce evictions in Community Housing. Measure Eviction Prevention guide created in collaboration with Community Housing providers and implemented. Timing Mid-term Action 2.3 Explore opportunities with Waterloo Wellington Local Health Integration Network (WWLHIN) and other organizations to further integrate supports into existing Community Housing. Measure Create a community health framework to better connect Community Housing Residents with services. Timing On-going Action 2.4 Develop and pilot a portable rent assistance program (extension of the Transitional Housing Assistance With Supports program (THAWS). Measure Program created and implemented. Timing Initial Please refer to the "Homelessness to Housing Stability Strategy" for a broader community strategy to find, establish and retain housing. S°f ra te g liii IIII' liii iim c�f liii o n C n c o u ira g e a iiira n g e of h o u s n g o IIII:Aliii o iiii across a°f iiiiIll o Action 3.1 Explore housing needs and gaps in both the rural and urban areas and develop ways to respond where economies of scale do not exist. Measure Research on the different needs of rural and urban areas is completed and creative solutions identified. Timing Long term Action 3.2 Research the extent of rooming house operations across Waterloo Region and identify issues and potential solutions for both landlord and tenants in this housing model. Measure Scale of rooming house operations identified, issues and solutions identified. Timing Mid-term Action 3.3 Work with community partners to create housing solutions that meet the diverse needs of our community, especially for seniors, victims of domestic violence, persons with disabilities, the Aboriginal community and immigrants. Measure Continue supporting community partners in addressing diverse housing needs wherever possible. Timing On-going Strateglii c hniiiIptrove the °IIf f °f l iiii afthe II o u l ing systeniii Action 4.1 Review the current Community Housing access system (the `waiting list'), including a community consultation, to explore opportunities to improve the system to better address local needs Measure Community Housing access system review completed, bring forward report to Regional Council on improvements to the system. Timing Initial Action 4.2 Conduct an administrative audit for Community Housing providers to find efficiencies. Measure Complete audit and work with Community Housing providers to implement findings. Timing Short term Action 4.3 Increase access to information about resources to support housing system navigation. Measure Better awareness and utilization of local resources (e.g. 211, 311, Service First Call Centre) Timing Mid-term Action 4.4 Develop tools and programs to assist appropriate households to move from Community Housing system into private market housing. Measure New policies and programs in place to assist households move from Community Housing into private market rental or ownership opportunities. Timing Long term Action 4.5 Support a coordinated approach to engagement between Community Housing providers and private market landlords with respect to community support services. Measure Organize forums where providers and landlords can share information, network and create partnerships. Act as liaison for providers. Timing On-going Acton 4.6 Collaborate with local organizations to provide education on housing issues and resources as well as outreach to private sector tenants. Measure Host forum in conjunction with affordable housing stakeholders and private sector. Timing On-going Action 4.7 Engage a broad range of partners to develop resources for tenants and landlords that provide information about supports available to retain housing. Measure Resource developed with support of Community Housing, private market housing providers and tenants. Timing Short term. Action 4.8 Establish a housing system map that identifies local housing options and stakeholders. Measure Work with housing stakeholders to complete an affordable housing systems map. Share results with community. Timing Mid-term S iiirat lii IIII' liii iiii °f liii iiii 4""�I °fa li iiii aiii d thng a°flf iiir a III4 IIII houslhng stocIk liii iii Waterlbo Action 5.1 Develop condominium conversion implementation guidelines. Measure Guidelines created in collaboration with Area Municipalities, are incorporated into Regional and Area Municipal condominium conversion review processes. Timing Initial Action Develop a strategy for End of Operating Agreements for Community 5.2a) Housing providers for consideration by Regional Council. Measure Strategy created in collaboration with Community Housing providers and brought forward to Regional Council for approval and implementation. Timing Mid-term Action Work with providers with expiring Operating Agreements to ensure they 5.2b) remain as Community Housing providers over the long term. Measure Retention of Community Housing units with expired Operating Agreements. Timing Long term Action 5.3 Enhance the Region's role as a resource for alternative funding, support and tools. Measure Continual updates of Region's Housing Incentives and Funding Resource Guide, broader distribution of Guide. Timing On-going Action 5.4 Develop a long term asset management strategy for Community Housing providers. Measure Strategy developed in collaboration with Community Housing providers, brought forward to Regional Council for approval. Timing Short term Action 5.5 Explore opportunities to expand Ontario Renovates. Measure Options for expansion of Ontario Renovates researched, subject to senior levels of government funding, report brought forward to Council. Timing Initial Action 5.6 Strengthen the Community Housing sector through full implementation of the Housing Provider Performance Standards (HPPS) matrix. Measure HPPS implementation guidelines created and utilized. Timing On-going The Housing Action Plan builds on work that the community and the Region have already undertaken to address housing needs and gaps. Some examples of the work completed and underway across Waterloo Region include: 1. Increase housing affordability in Waterloo Region • Over 2,060 new affordable housing units created since 2001 under the Region's Affordable Housing Strategy • Over 200 households have entered into homeownership through the Region's Affordable Home Ownership Program 2. Expand supports needed to obtain and retain housing • 107 new affordable rental units with supports created since 2008 under the current Affordable Housing Strategy • 18 households currently assisted through the Temporary Housing Assistance with Supports Program 3. Encourage a range of housing options across Waterloo Region • New Regional Official Plan contains policies to encourage a range of housing types in new large developments • New Regional Official Plan contains policies to encourage Area Municipalities to allow for secondary suites and garden suites 4. Improve the effectiveness of the housing system • The Region has developed a Housing Provider Performance Standards (HPPS) Matrix, a tool to measure and monitor housing provider performance • The Region has implemented revised wait list related policies resulting from Housing Services Act, 2011 5. Retain and maintain existing affordable housing stock in Waterloo Region • New Regional Official Plan contains policies to protect the conversion of affordable rental housing to condominiums • Region has implemented the Ontario Renovates program to help lower income homeowners with repairs and accessibility modifications to their homes.