Federal government invests in northwestern Ontario affordable housing projects

The federal government is investing over $84 million to help repair and build nearly 5,000 affordable homes in Northern Ontario, and Indigenous communities across the province.

The funding is coming through the Affordable Housing Fund (AHF), a $14-billion fund initiated in 2017 as part of the National Housing Strategy.

The fund provides contributions and low-cost loans to housing providers to build, renovate, and repair existing and affordable community housing.

Members of the District of Thunder Bay Social Services Administration Board (TBDSSAB) joined Minister of Indigenous Services Patty Hajdu and Thunder Bay-Rainy River MP Marcus Powlowski in Thunder Bay on Thursday to announce the new projects on behalf of Minister Sean Fraser of Housing, Infrastructure and Communities.

"It's about saving affordable housing that's already in place, something that's actually one of the most cost-effective ways to make sure that we can ensure people have a safe place to live," said Hajdu.

"But also building new units and supporting builders like the TBDSSAB and other partners to be able to build quickly."

In total, nonprofit, co-operative and public housing providers will build nearly 231 new homes and repair 4,735 housing units in the region.

As part of the initiative, a Frequent Builder Framework will provide housing providers with track records for building multi-residential units with additional funding for future projects to help expedite applications for the AHF and the Apartment Construction Loan Program.

"They likely will have sites selected, they will have contracts and relationships with builders and they've been in the business, so they understand how quickly they need to act to meet the need," said Hajdu.

She added that it would also help address the $380 billion gap in infrastructure for First Nations communities.

"I'm excited about this announcement because it will go to so many First Nations that are working so hard to save housing units in their communities, that will provide better housing and safer housing and more up-to-date housing for families that are often living in very crowded situations," said Hajdu.

Almost $6 million in funding for Thunder Bay alone

The District of Thunder Bay Social Services Administration Board has received over $2.9 million toward repairs for 2,109 units across the city. 

Brian Hamilton, a member of the TBDSSAB's board of directors, said he was thankful for the federal government's investment in a more prosperous and sustainable north.

Generally, the TBDSSAB offers Rent-Geared-to-Income Housing based on 30 per cent of gross monthly income.

He said that at the board level, they have struggled with asset management, maintaining assets, and making them into sustainable units in the long term. 

"This indeed is a humongous step in the right direction," said Hamilton. "This $2.9 million that was just announced is going to actually fuel many, many projects throughout the Thunder Bay district, not only here in Thunder Bay in achieving a more sustainable, safe and dignified living for the clients that we serve."

Two shelters in the city will also receive a combined $3 million toward the completion of 37 units.

Hajdu said the money dedicated to helping with shelter renovations and expansions, along with improving deeply affordable rent, will help with the encampment in Thunder Bay. 

"If people don't feel that the shelters that they're staying in are safe or can accommodate them in a way that supports their dignity, it can be a real deterrent for people using those spaces," said Hajdu.

"This money will go a long way to help those shelter services be able to really think through some of those challenges."

Nationally, it takes nearly 64 per cent of income to buy an average priced home, according to the RBC Housing Affordability Report.

"People on fixed incomes don't have an ability to increase their income whether we're talking about seniors or people with health issues or people living with disabilities. We often think people could maybe earn a little money on the side. That's not an option for a lot of people," said Hajdu.

Poverty, food insecurity and 'a lack of a place to stay'

Powlowski agreed that affordable housing is essential for many people with limited incomes.

"It's really hard to get your life organized if you don't have a place to live. And, with this money, I think we'll go a long way in being able to provide affordable housing for the people of Thunder Bay," said Powlowski.

He added that with the average person finding increasingly unaffordable housing, there must be more inexpensive housing in areas like Thunder Bay.

"Certainly, if a good part of your income just goes to paying for your housing, it will make it that much more difficult to buy food and everything else you need in life," said Powlowski.