Hamilton invests $50 million in safe, affordable housing
HAMILTON, ON - April 13, 2017 - In a historic investment, last night Hamilton City Council committed $50 million towards reducing the impact of poverty in Hamilton through investment in safe, affordable housing. With 6,000 residents currently on the housing waitlist in Hamilton, targeted investment in the quantity and quality of social and affordable housing will reduce this number and move residents into suitable homes.
The funds for the $50 million investment are derived from:
- $20 million by extending the payback term for existing City loans from the Future Fund; and
- $30 million at $3 million per year for 10 years derived from dividends resulting from the merger of Horizon Utilities Corporation and other local utilities into the new entity known as Alectra.
In June, City staff will present recommendations to the General Issues committee on how these funds could be allocated and align with the City’s 10 year Housing & Homelessness Action Plan.
“With this investment of $50 million over 10 years, as a City we are making a historic investment in affordable housing. We are sending a clear message that Hamilton is committed to reducing poverty. Affordable housing must be the cornerstone of any poverty reduction plan. Working together with our Federal and Provincial partners we need to create a national housing strategy that will build a strong foundation for all of our residents.”
Fred Eisenberger
Mayor
“As a child of social housing in Hamilton’s east end, I know first-hand how important it is for a family to have a safe and affordable place to live. With rising rents and waitlists for housing getting longer, the time is now to invest in affordable housing to continue to reduce poverty in our city.”
Chad Collins
Ward 5 Councillor and Chair, CityHousing Hamilton
Quick Facts
- Hamilton, like many cities in Canada, has a short fall in social housing with almost 6,000 people on the social housing waitlist. The deferred maintenance of the social housing stock in Hamilton would require approximately $200 million to be brought into a state of good repair. At the same time, affordable private housing is increasingly scarce.
- Lack of stable and quality housing prevents full social participation and contributes to chronic poverty, poor health, and reduced educational attainment. Housing stability benefits our whole community: building strong, inclusive neighbourhoods; reducing illness and health costs; improving achievements and prosperity.
- Rents in Hamilton have increased by 22% over the past 8 years and in 2015 rose faster than in any other Ontario city. Those with the lowest incomes pay up to 69% on rent, putting them at risk of homelessness and with minimal resources to meet other needs, such as: health, nutrition, transportation, and personal or child development.
- The Housing and Homelessness Action Plan sets out five broad outcome areas (supply, affordability, supports, quality, equity) with measurable targets that can be achieved through successful implementation of 54 strategies over 10 years. The 10-Year Housing and Homelessness Action Plan requires $42.7 million per year to reach all targets. Current funding amounts to a shortfall of $30,244,000 annually.
“Unaffordable and poor quality housing is directly connected to poor health and wellbeing. These compounding factors contribute to the chronic stress of poverty which overwhelms one’s ability to create and sustain healthy home environments to grow and thrive. This significant investment in the quality and quantity of safe affordable housing in Hamilton creates a foundation upon which those living in poverty can build to achieve good health, wellbeing and opportunity.”
Dr. Elizabeth Richardson
Medical Officer of Health