• Share
  • Email
  • Embed
  • Like
  • Save
  • Private Content
Expiry of Operating Agreements - Are You Ready?
 

Presentation on End of Expiry ...

Presentation on End of Expiry
Overview of Federal and Provincial Statistics
Demonstration of the new Assessment Tool

New Brunswick Non-Profit Housing Association Annual Conference 2012

- Phil Brown, President, Canadian Housing & Renewal Association (CHRA)

Statistics

Views

Total Views
251
Views on SlideShare
251
Embed Views
0

Actions

Likes
0
Downloads
0
Comments
0

0 Embeds 0

No embeds

Accessibility

Categories

Upload Details

Uploaded via as Microsoft PowerPoint

Usage Rights

© All Rights Reserved

Report content

Flagged as inappropriate Flag as inappropriate
Flag as inappropriate

Select your reason for flagging this presentation as inappropriate.

Cancel
  • Full Name Full Name Comment goes here.
    Are you sure you want to
    Your message goes here
    Processing…
Post Comment
Edit your comment

    Expiry of Operating Agreements - Are You Ready? Expiry of Operating Agreements - Are You Ready? Presentation Transcript

    • Expiry of Operating Agreements - Are You RAdy? May 11th, 2012
    • Expiry of Operating Agreements Outline for the day - Presentation on End of Expiry - Overview of Federal and Provincial Statistics - Demonstration of the new Assessment Tool - Group Table work - Operating differences between the pre & post - Discuss & determine steps to be taken & when - Present their findings to the group
    • New Brunswick Non-Profit Housing Association Annual Conference Phil Brown, President, Canadian Housing & Renewal Association (CHRA) May 11, 2012 Fredericton, New Brunswick
    • CHRA … since 1968, a voice for the full range of affordable housing and homelessness issues and solutions in Canada
    • 5 CHRA’s Four Pillars: 1. Keeping homes affordable 2. Ending homelessness 3. Renewing our communities 4. Supporting a sustainable housing profession
    • 6 Our Characteristics: 1. Membership-based – 250 members and growing 2. Diverse representation – Our members include social housing providers, every provincial/territorial housing department, municipalities & many others, like NBNPHA; the tent is large! 3. National - We advocate to the federal government
    • Social Housing in Canada • From 1949-1993, the Government of Canada funded the development of social housing, which was undertaken by provinces/territories, non-profits, and co-ops. • Across Canada, 5% of households – or around 615,000 - live in social housing where rent is subsidized. • Subsidies linked to mortgages flow to providers through CMHC, P/Ts or, in Ontario, municipalities • Some agreements/subsidies have already expired, with significant declines beginning around 2015.
    • As cited by Steve Pomeroy, Is Emperor Nero Fiddling as Rome Burns? Assessing Risk when Federal Subsidies End (2011)
    • Social Housing: The Challenge Once subsidies end, the challenge for social housing providers is whether they will have the capacity to continue to provide affordable housing to the same degree and to the same number of households.  This is because they may face cash-flow shortfalls and/or have capital repair/replacement liabilities
    • CHRA Research – Key Findings Was Chicken Little Right? (2006), Courage Under Fire (2011), Is Emperor Nero Fiddling as Rome Burns? (2011) • Identified financial viability and capital reserve replacement after expiry as key issues • As much as 50% of total social housing stock is at-risk • Projects which have high RGI ratios or high capital liabilities are more likely to have declines in affordability or be lost. • Size of provider matters when it comes to a group’s ability to research and plan ahead. • Actions proposed for providers at-risk lead to diminished affordability (i.e shallower rent subsidy)
    • CHRA Policy & Advocacy • Task Group on Expiry of Operating Agreements • CHRA Advocacy Plan • Strategic Outreach to MPs and members 2012-13 • Highlighting EOA issue within ongoing advocacy efforts
    • CHRA Technical Assistance • Simplified Assessment Tool (SAT) released at CHRA Congress 2012. • Developed in partnership with NBNPHA, and 4 other provincial non-profit housing associations • The SAT is a user-friendly tool to help social housing providers examine the likely impact of expiring subsidies. • Accompanying guide provides background and details options providers can consider to ensure they can continue to provide housing after expiry.
    • Looking Forward • Understand the impact • Improve communication – On potential impact – On opportunities for a champion • Define the ‘ask’ • Rally partners and allies
    • Thank You www.chra-achru.ca
    • Operating Agreements Before Expiry - Rules of operations - Subsidies - Mortgage payments After Expiry - Some restrictions removed - Subsidies end - Mortgage payments end
    • Rules that continue to Apply Non Profit Corporations: - Letters Patent - By-laws - Policies & Procedures
    • Things to Consider Continue to: - Operate as a Non Profit – Provincial Property Tax Exemption - Be Affordable - targeting low to moderate income clients - Be Viable - ensuring sufficient revenues for maintenance & repairs (Replacement Reserve) - Be Accountable – tenants, communities, lenders
    • How Many Units are Affected in NB? •Over 5,300 social housing units managed by Non-profit and co-op housing providers •Over 5,000 provincially owned & administered RNH & Public Housing units
    • When This Will Take Place?* 19 14 32 27 65 39 60 73 57 19 2000-2012 2013-2014 2015-2016 2017-2018 2019-2020 2021-2022 2023-2024 2025-2026 2027-2028 2029-2030 Number of Expired Agreements 130 131 454 619 1017 766 628 1084 418 137 2000-2012 2013-2014 2015-2016 2017-2018 2019-2020 2021-2022 2023-2024 2025-2026 2027-2028 2029-2030 Number of units involved * Includes Non-profits, Co-ops and Skigin-Elnoog Projects only
    • Evaluate your Project How Do You Prepare?
    • Demonstration - CHRA web-site www.chra-achru.ca, Introduction to the New Evaluation Tool