RECOMMENDATIONS:
1. As
part of the Town’s role in support of the provision of rental and affordable
housing, and in particular advocacy, it is recommended that Council:
(a) request
the Federal Government to give effect to the recommendations of the Task Force
on Urban Issues and give immediate attention to financial incentives focused on
changes in taxation policy in support of such housing, including further
consideration of a full rebate of the Goods and Services Tax (GST) on new
rental housing;
(b) request the
Provincial Government to pursue additional initiatives, complementary to those
recommended by the Federal Task Force on Urban Issues, in support of the
creation of rental and affordable housing;
(c) endorse
the Housing Supply Strategy for York Region, and continue to work in
partnership with the Region on the application of policy and financial
incentives to encourage rental and affordable housing development;
(d) request the
Region and the Province to ensure that the shelter allowance portion of social
assistance funding is geared to local housing costs; and
(e) establish
a Housing Sub-committee of 3 to 4 Councillors and staff to further
review and make recommendations to Council on:
· a
public/private partnership with the Region of York and the development industry
on a demonstration housing project proposal to secure a Markham allocation of
Community Rental Housing Program funding; and
· a
strategy for public involvement in the supply of rental and affordable housing
in Markham, including working collaboratively with the Region of York on a
public education and awareness campaign offering information about housing
policies/activities in Markham.
2.
As part of the Town’s role in support of the provision of
rental and affordable housing, and in particular policy initiatives, it
is recommended that Council:
(a) request
the Housing Sub-committee (recommended above) to further review and make
recommendations to Council on:
·
the identification of possible government lands for
further consideration for demonstration housing projects and the appropriate
next steps;
·
the preparation of an inventory of parcels suitable for
intensification by either infill or redevelopment for higher density and rental
and affordable housing;
·
how the program for a new Official Plan might consider
land use policies in support of new rental and affordable housing opportunities
including, but not limited to, increased densities, innovative forms of mixing
ownership and rental units and incorporating housing for seniors;
(b) authorize
Staff to initiate a study to determine the housing stock projected from current
planning approvals, and the projected housing stock and land requirements for
the Town and to provide recommendations regarding further approvals and policy
requirements to meet Markham’s housing stock requirements to 2021;
(c) authorize
Staff to establish a monitoring program for housing stock, and in particular
rental and affordable housing;
(d) authorize
staff to work with the Markham Centre Steering Committee and area
landowners to explore potential
opportunities for constructing rental and affordable housing within Markham
Centre, and to report to Council.
3. As
part of the Town’s role regarding the provision of rental and affordable
housing, and in particular financial initiatives, it is recommended that
Council request the housing sub-committee (recommended above) to further review
and make recommendations to Council on Terms of Reference and a budget proposal
for a study to identify and recommend possible financial incentives that the
Town might employ to encourage/support the production of rental and affordable
housing (including the financial implications of the development of any Markham
owned lands surplus to Town requirements for affordable housing) to be
undertaken under the direction of the Commissioner of Corporate Services.
PURPOSE:
This
report responds to the Development
Services Committee direction of June 4 2002 (Appendix ‘D’) that Staff prepare a
report regarding the recommendations of PricewaterhouseCoopers contained in
their report “Housing Needs Housing Choices”, May 2002 regarding the
recommendations of the Markham Task Force on Affordable Housing.
EXECUTIVE SUMMARY:
Beginning in June 1999, Council initiated a
series of requests intended to develop information and possible responses for
the Town in regard to the provision of more affordable and rental housing in
Markham. These initiatives included:
·
establishing
the Markham Task Force on Affordable Housing;
·
endorsing the recommendations of the Task Force;
·
seeking
advice from Staff regarding the Task Force recommendations;
·
inviting a presentation by the Region regarding
the Region’s Housing Supply Strategy;
·
directing Staff to prepare a strategy for
second suites; and
·
requesting Staff to report on the
recommendations provided by PricewaterhouseCoopers.
A broad range of opportunities and
recommendations have emerged through these initiatives.
During this period Council also developed and
adopted a Strategic Plan for Markham that provides some indications of
Markham’s role regarding housing.
As requested, this report reviews and provides
recommendations from Staff, regarding the recommendations identified by
PricewaterhouseCoopers. In some cases, Staff is recommending immediate, or no
further, action. In others, Staff has identified possible further action to be
coordinated through a proposed housing sub-committee of Council.
In combination, the recommendations of Staff
are intended to provide the opportunity for Council to move forward on a
commitment to the provision of rental and affordable housing in Markham,
including:
·
an immediate request to senior levels of
government for continued financial support;
·
development of a demonstration housing project,
in partnership with the Region of York and a private and/or not-for-profit
sponsor, that would qualify for the current allocation of Community Rental Housing Program funding;
and
·
focusing on the delivery of further specific
actions and community involvement in support of rental and affordable housing.
BACKGROUND:
The background is included in Appendix ‘A’ to
this report.
DISCUSSION:
This Section is focussed on identifying a role
for Markham in support of the provision of rental and affordable housing,
summarizing the substantive themes of the PricewaterhouseCoopers
recommendations and Staff’s recommendations in response. A more detailed
discussion regarding each of the consultants’ 17 recommendations is provided in
Appendix’A’.
Defining Markham’s Role In Rental and
Affordable Housing
The role that Markham adopts in regard to
rental and affordable housing relative to other government, private sector and
community interests will determine how the Town will respond to initiatives of
the other stakeholders. Housing has moved into the forefront of government
policy and is demanding attention in regard to issues of affordability, tenure,
financial policies, housing programs and funding initiatives, growth
management, transportation policy, and the shelter requirements of a growing
and increasingly more diverse population.
Markham’s role must be defined in the context of the roles played by
senior governments and the authority and resources available to the Town.
Federal Government
The Federal Government is in the midst of
reviewing its role in housing most notably in response to the final report of the Prime
Minister’s Caucus Task Force on Urban Issues, entitled “Canada’s Urban Strategy
A Blueprint for Action”, released in November 2002. The Strategy
identifies A National Affordable Housing Program oriented toward the delivery
of rental housing, the establishment of public/private partnerships to deliver
new housing and development of financial tools to support the delivery of more
affordable housing. The Task Force identifies the Federal Government’s current
budget commitment, the $680 million Federal Affordable Housing Program, as “…
the basis for a long-term National Affordable Housing Program”. Most of the
Program recommendations relate to financial initiatives supporting the delivery
of housing (Appendix ‘B’). This illustrates that the delivery of more
affordable housing is primarily a financial challenge, and points to the
identification of complementary financial incentives for housing by other
levels of government as a logical primary focus for further consideration.
Provincial Government
The Province is similarly engaged in policy reviews
addressing Smart Growth and The Provincial Policy Statement that will likely
define its role regarding housing. The Province has recently announced its
participation in The Community Rental Housing Program, a five year cost sharing
program with the Federal Government intended to support rental housing through
the provision of an average Federal funding grant of $25,000 per qualified rental unit,
across the Province, and a $2000 per unit Provincial funding grant to offset
PST costs in rental construction (Appendix ‘C’). The Province is being urged to
provide further financial support for affordable housing though direct funding,
changes in taxation and revisions to legislation that will permit financial
incentives by local governments. As with the Federal Government, the
emerging Provincial role has a strong financial focus, possibly with the
use of revisions to legislation to extend municipal responsibilities.
Region of York
As the Consolidated Municipal Service Manager (CMSM)
for York, the Region has authority for policy, planning, financial
management and service delivery in regard to housing. Much of this
responsibility is coordinated through the Region’s Community Services and
Housing Department, and the York Region Housing Authority. The Region’s “Housing Supply Strategy”,
approved in 2002, comprises a series of program areas relating to housing, with
a particular focus on affordable ownership, non-profit and rental housing. The
Strategy calls on the Federal and Provincial governments to change taxation
policies and funding programs to support the development of more affordable
housing.
The Strategy establishes the Region’s role as leader
and sponsor, but in partnership with the area municipalities and other
stakeholders. The Region is clearly supportive of local initiatives that are
supportive of the Strategy. This role is consistent with the Region’s
responsibilities as CMSM. Markham in turn, has the option to engage with the
Region in pursuing/implementing affordable housing opportunities as Council
determines to be appropriate. This collaborative approach is effective in
focusing municipal efforts in support of affordable housing and reflects the
role that the Markham has traditionally pursued. The Region has formally asked
Markham “to participate in meeting the goals of the Strategy by endorsing it
and giving consideration to adopting local strategies and initiatives to
encourage affordable housing.”
Town of Markham
The Town of Markham has an established record of
cooperation with the development industry, government and community groups in
the development of housing for Markham residents.
Markham has benefited from
participation in a variety of housing initiatives, generally involving senior
government funding support, for the delivery of housing intended for residents
with specific incomes or housing needs. Historically, the Town’s role has centered
on development approval, as provided for under the Planning Act. Markham
has also established a strong working relationship with the development
industry, encouraging the industry to respond in innovative ways to the housing
market and facilitating efficient “value-added” development approvals. In
addition to the provision of new market housing Markham has focused on
improvements in the design and development of new communities.
Markham’s Strategic Plan
The Town’s Strategic Plan, “Preserving the Past –
Building for the Future”, was approved by Council in November 2002. Statements
within the Plan provide insight regarding Council’s current thoughts on
possible policy directions, and a Town role, regarding housing. Several components of the Plan include statements that have
implications for housing:
Community
Trends
Elements of a
“Community Vision”
·
“We support the
provision of a wide range of …housing types to meet the needs and expectations of different age, income
and ethnic groups.”
Areas for “focus and priorities in decision-making”
·
pursuit
of programs and opportunities for housing and effective growth management via
optimization of current infrastructure through infill and intensification.
Strategic Initiatives
·
main
street revitalization, balanced live-work solutions and a new Official Plan.
A
Role
for Markham Regarding Rental and Affordable Housing
Based on the anticipated and
identified roles of senior governments, the Town’s past experience and the
directions suggested in the Strategic Plan, Staff has identified the
following components to express the Town’s role regarding the provision of
rental and affordable housing:
·
Advocacy/Partner: The Town as advocate and
partner with senior governments, the community and the development industry in
the application of supporting policy and financial incentives for increasing
the supply of rental and affordable housing;
·
Policy: Continuing to change the Town’s housing
mix to incorporate a larger proportion of higher density dwelling units and
rental housing that will be intrinsically more affordable and available to a
wider market;
·
Finance: Identifying Town financial incentives
for rental and affordable housing, to complement financial incentives, grants
etc. from other levels of government, and if available, the use of surplus
Town-owned land, and support for the use of other surplus government land for
the development of suitable affordable housing.
It is evident that the Town
is one of many players in the housing market and must perform its appropriate
role in this market, based on its authority and resources. Staff believe that
the Town has demonstrated over many years, a continuing commitment to the
provision of new housing for Markham residents and that Council has managed to
define a role for the Town that is both collaborative and supportive in the
approval of housing and the creation of new residential communities.
Advocacy Component:
PricewaterhouseCoopers Recommendations 1,2,6,7,13,14,15 relate primarily
to the advocacy component of Markham’s role regarding the provision of rental
and affordable housing. These
recommendations encompass matters such as:
·
consultation and cooperation with senior governments,
the development industry and community groups in the delivery of rental and
affordable housing;
·
identifying appropriate public/private partnership
opportunities to support or collaborate on;
·
encouraging/requesting senior governments to identify
and provide financial incentives through direct program sponsorship or changes
in fiscal policy; and
·
establishing a program for public involvement,
education and awareness of housing needs and opportunities within the
community, in cooperation with the Region of York.
Having regard for the advocacy component of Markham’s role, it would be
appropriate for Council, among other things, to:
·
express support to senior levels of government for
further and continuing financial support for the study and development of new
rental and affordable forms of housing;
·
express support for the York Region Housing Supply
Strategy and continued collaboration with the Region on a proposal for a
public/private partnership and a public education and awareness campaign
offering information about housing policies and activities in Markham;
·
and confirm its continuing commitment to the
approval and delivery of rental and affordable housing for Markham, in
cooperation with other levels of government, housing providers, and community
groups.
Policy Component:
PricewaterhouseCoopers Recommendations 3,4,5,8,9,10,12,16,17 relate to
the policy component of Markham’s role regarding the provision of rental and
affordable housing. These
recommendations encompass matters such as:
·
support for a stronger Provincial Policy Statement
respecting the provision of rental and affordable housing;
·
preparing inventories to identify surplus government
lands that would be suitable for
housing demonstration projects and lands that would be suitable for
intensification by either infill or redevelopment;
·
undertaking studies that relate to identifying housing
needs, housing stock/market analysis, and housing policy opportunities that
might be addressed through the Official Plan;
·
considering zoning permission for second suites and
reduced parking requirements for specialized forms of housing; and
·
identifying opportunities to increase the range of
housing mix, cost and tenure within Markham Centre.
Second Suites offer a potentially safe, viable, community-based and
privately financed means to increase the supply of rental and affordable
housing in Markham. As part of its resolution on June 4, 2002, the Development
Services Committee directed Staff to prepare a strategy for Second Suites.
Staff has completed a review of strategy options and required administrative
changes to implement these options. Zoning
permission for second suites is a significant action that a municipality can
take in support of increasing the stock of affordable rental housing through a
community-based initiative. Staff plans
to present the results of this review to the Committee on February 18th
2003.
Having regard for the policy component of Markham’s role, it would be
appropriate for Council, among other things, to:
·
identify a preferred strategy for second suites (at a
future meeting of Council);
·
give further consideration to the possible use of
surplus government lands for demonstration housing projects, a study of lands
suitable for intensification or redevelopment purposes, and possible land use
policies in support of rental and affordable housing opportunities; and
·
authorize Staff to initiate a study of housing stock
and land requirements to provide recommendations regarding further policy
requirements to meet Markham’s housing needs, and to establish a monitoring
program for development as contemplated in the Official Plan.
Finance Component:
PricewaterhouseCoopers Recommendations 8 and 11 relate to the finance
component of Markham’s role regarding rental and affordable housing. These recommendations encompass:
·
the identification of lands surplus to Town needs which
could be made available for affordable and rental housing; and
·
a study to determine the potential impact of Town
financial incentives in support of rental and affordable housing.
Having regard for the finance component of Markham’s role, it would be
appropriate for Council, among other things, to authorize a study, to be
undertaken by the Finance Department, to identify and recommend possible
financial incentives that the Town might employ in support of rental and
affordable housing, including potential financial implications of the
development of surplus Town lands.
FINANCIAL CONSIDERATIONS:
There are no financial considerations at this time.
BUSINESS UNITS CONSULTED AND AFFECTED:
If
Council determines that a study of Town financial incentives for rental and
affordable housing is to be considered, the Commissioner of Corporate Services
will be involved in this process, and will direct the preparation of Terms of
Reference for the study.
ATTACHMENTS:
Appendix ‘A’ Background
and Detailed Discussion of
PricewaterhouseCoopers Recommendations
Appendix
‘B’ Extract from Report of the Prime Minister’s Caucus Task
Force on Urban Issues
Appendix
‘C’ Affordable Housing
Program/Community Rental Housing – Extract on Federal
and Provincial Contribution
Appendix
‘D’ Extract of Minutes of Development
Services Committee, June 4, 2002
Document: Q:\Development\Planning\MISC\MI464\dscFeb42003tl3.doc
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Valerie
Shuttleworth, M.C.I.P., R.P.P. Director of Planning and Urban Design
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Jim Baird, M.C.I.P., R.P.P.
Commissioner of Development Services
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