City Operating Budget increases housing investments by 30%

HAMILTON, ON – The City of Hamilton is spending 30 per cent more on housing residents in need in 2023 than in 2022 and 55 per cent more than five years ago.

The City's tax operating budget passed on March 29, 2023 allocates $70.1 million towards housing and related services and is an investment the City shares with the provincial and federal governments.

The additional 30 per cent, or $16.4 million, is being invested across the housing continuum and includes:

• An additional $4 million for affordable housing initiatives to help enable non-profit development and acquisition of affordable housing;
• A $1.1 million top-up in rent supplements and operating subsidies to social housing providers to keep affordable units on the market after their agreements end;
• $550,000 in cost-of-living adjustments for community shelters funded through additional provincial investments in the Homelessness Prevention Program; and
• $2.6 million to enhance staffing and services at the YWCA Transitional Living Program, a 65-bed facility that offers transitional housing for up to two years for women.

All levels of government have a role to play in Canada’s housing continuum:

• The City of Hamilton acts as Service Manager, coordinating and delivering housing services and benefits, a role it took over from the province in 2001. As a municipality, the City is responsible for funding allocations, performance management, strategy development and implementation as it relates to the development of new housing and support for existing housing programs, often in collaboration with service providers and other governments.
• The provincial government is responsible for providing the legislative framework for community housing and homelessness services. It also provides funding to municipalities as Service Manager to fund services or deliver them directly.
• The federal government is responsible for the National Housing Strategy, which includes investments in housing initiatives, support programs and tax incentives to support both renters and homeowners in securing housing, and provides a platform for the public, private and non-profit sectors to come together.

In 2023, with contributions from all three levels of government, the total investment in housing and housing-related programs will reach $146.6 million, comprised of 52 per cent in City funding, 26 per cent in provincial funding and 22 per cent in federal funding. Over the past 10 years, the City of Hamilton's portion of the housing support budget has increased by 2.2 per cent and is greater than the provincial and federal contributions combined.

The City has continued to see a need for support across the housing continuum, including ongoing capacity pressures within community shelter space, a 6.5 per cent increase on the Access to Housing wait list for rent-geared-to-income housing for 2022 over the previous year, and a lack of sufficient funding to make a significant difference in the housing system as a whole.

In addition to the increased investments in housing and housing supports in 2023, the City of Hamilton has a Housing and Homelessness Action Plan that guides decision making on how the Hamilton community will address affordable housing and homelessness issues. Additionally, the City is in the process of finalizing a housing sustainability and investment roadmap in partnership with community organizations that will prioritize best housing investments that will yield maximum community benefit.