Presentation: Council Action List - 10% Affordable Housing
A summary presentation of the affordable housing staff report, comparing other CRD municipal policies and outlining next steps.
Council Action List
10% Affordable Housing
PURPOSE OF REPORT
At the July 16, 2019 Council meeting a motion was passed directing staff:
To report back on the possibility of requiring 10% affordable housing units in all new multi-family developments.
This report presents information on that topic for Council consideration.
Background
The Town has taken action on the topic of affordable housing over many years:
- A Housing Gaps and Needs study was completed in 2020
- Long-time contributor to the CRD Regional Housing Trust fund
- Policy in Official Community Plan (2011)
- Community Amenity Policy includes reference to affordable housing
Recent development applications
Recent development applications have included CAC’s, some have included housing contributions:
| Project Address/Name | Amenity Contribution |
|---|---|
| 242/244 Island Highway | $27,500 cash |
| 7 Erskine | $3500/unit |
| 9 Erskine | $3500/unit, rental project, 10% of units to be affordable and secured by a Housing Agreement Bylaw |
| 298 Island Highway | $3500/unit |
| 3, 5, 7 Helmcken 1449 Burnside Road |
$3500/unit, support for existing tenants to relocate. |
| 2861 Craigowan | $750,000 cash contribution for affordable housing initiatives or CRD Housing Trust Fund. Housing Agreement Bylaw includes Rental only covenant, relocation package, right of first refusal for new units, 33 most senior tenants granted rent in new buildings at current rental rate for comparable units. Offsite improvements including signalization of Shoreline Drive and Island Highway, Island Highway lane improvements, sidewalks, bike lanes on Shoreline Drive, pedestrian lighting. |
Housing and Community Amenity Contributions:
Current CAC policy states ‘Community amenity contributions are not expected for residential units that would be in perpetuity non-market, below-market or for special needs’.
The economics of development are challenging. Costs and risk continue to escalate.
The current policy supports a CAC or affordable housing. The exception is very large projects (like 9 Erskine Land or Christie Point).
What are other CRD Municipalities doing?
- The approach is varied, and each seems to have customized policy that meets local needs and capacity.
- Cash contributions are used in a variety of ways (including to help offset DCC’s and other fees and charges)
- Many have a combined CAC and Housing Amenity policy
- Larger projects seem to have more flexibility for negotiation
Other Tools for Consideration
- CRD Housing Trust Fund
- Strata Conversion Policy
- Amending the Town’s Community Amenity Contribution policy
Issues for Council Consideration
- Risks associated with the impact of additional costs to development. The most significant risk is development not proceeding at all.
- Capacity of staff to manage a complex policy is limited
- Engagement with the development community to understand their concerns and the impact to future development if Council wishes to proceed with the development of a policy.
Next Steps
Staff recommend amending the existing Community Amenity Policy to collect cash contributions to be forwarded to the CRD Regional Housing Trust fund (over and above our usual annual contribution).
RECOMMENDATION
THAT the report titled “Action List—10% Affordable Housing” dated April 8, 2021 from the Director of Development Services be received.
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