1. ACTION OTTAWA: RE-ALLOCATION OF CANADA-ONTARIO AFFORDABLE HOUSING FUNDS FROM DOVERCOURT CO-OPERATIVE TO THE OTTAWA MISSION

ACTION OTTAWA : RÉAFFECTATION DU FINANCEMENT DU PROGRAMME CANADA-ONTARIO DE LOGEMENT ABORDABLE DE LA DOVERCOURT CO-OPERATIVE À THE OTTAWA MISSION

Committee RecommendationS

That Council approve the following:

1. In accordance with the 2009 Action Ottawa Selection Committee, direct staff to request authorization from Ministry of Municipal Affairs and Housing to allocate to Holland Properties Association, for the provision of 18 affordable rental housing units, $700,000 of 2003 Canada-Ontario Affordable Housing Program funding that was previously allocated to Dovercourt Housing Co-operative.

2. Direct Staff to negotiate with Holland Properties Association a Municipal Housing Project Facilities Agreement to provide for a grant of $10,000.00 from the City in lieu of building permit fees subject to: (i) Holland Properties Association executing a contribution agreement with the Minister of Municipal Affairs and Housing that provides for funding under the 2003 Canada-Ontario Affordable Housing Program for the project, (ii) the Municipal Housing Facilities By-law (2006-1), and, (iii) Council enacting a Municipal Housing Project Facilities By-law for this project.

3. That the City Clerk and Solicitor be authorized to forward the project specific Municipal Housing Project Facilities by-law directly to City Council for enactment in accordance with the Municipal Housing Facilities By-law 2006-1, subject to successful negotiation and execution of the Municipal Housing Project Facilities Agreement.

RecommandationS DU Comité

Que le Conseil approuve ce qui suit :

1. Aux termes du Comité de sélection de 2009 d’Action Ottawa, enjoindre le personnel de demander au ministre des Affaires municipales et du Logement l’autorisation d’allouer à Holland Properties Association, pour la prestation de 18 unités de logement abordable, 700 000 $ du Programme Canada-Ontario de logement abordable (2003) auparavant affectés à Dovercourt Housing Co-operative.

2. D’enjoindre le personnel de négocier avec Holland Properties Association un accord relatif aux ensembles d’habitations municipales afin d’assurer une subvention de 10 000 $ de la Ville, en compensation des droits de permis de construire, sous réserve des conditions suivantes : (i) la signature d’un accord de contribution entre Holland Properties Association et le ministre des Affaires municipales et du Logement prévoyant le financement du projet en vertu du Programme Canada-Ontario de logement abordable (2003), (ii) le Règlement municipal sur les ensembles domiciliaires (2006-1) et, (iii) que le Conseil adopte un règlement sur les ensembles d’habitations municipales pour ce projet.

3. Que le greffier et chef du contentieux de la Ville soit autorisé à soumettre directement à l’adoption du Conseil municipal le règlement sur les ensembles d’habitations municipales pour ce projet, conformément au Règlement municipal 2006-1 sur les ensembles domiciliaires, sous réserve de négociation fructueuse et d’exécution de l’accord relatif aux ensembles d’habitations municipales.

Documentation

1. Deputy City Manager's report, City Operations dated 5 November 2009 (ACS2009-COS-CAS-0017).

Report to/Rapport au:

Community and Protective Services Committee

Comité des services communautaires et de protection

and Council / et au Conseil

5 November 2009 / le 5 novembre 2009

Submitted by/Soumis par:

Steve Kanellakos, Deputy City Manager/Directeur municipal adjoint,

City Operations/Opérations municipales

Contact Person/Personne ressource: Stephen Arbuckle, Acting Manager of Housing,Community and Social Services Department/Gest.Logement, Services sociaux et communautaires

(613) 580-2424 x44117, Stephen.Arbuckle@ottawa.ca

Kitchissippi (15)

Ref N°: ACS2009-COS-CAS-0017

SUBJECT:

Action Ottawa: re-allocation of canada-ontario affordable housing funds from dovercourt co-operative to the ottawa mission

OBJET :

ACTION OTTAWA : RÉAFFECTATION DU FINANCEMENT DU PROGRAMME CANADA-ONTARIO DE LOGEMENT ABORDABLE DE LA DOVERCOURT CO-OPERATIVE À THE OTTAWA MISSION

REPORT RECOMMENDATIONS

That the Community and Protective Services Committee recommend that Council approve the following:

RECOMMANDATIONS DU RAPPORT

Que le Comité des services communautaires et de protection recommande au Conseil d’approuver ce qui suit :

BACKGROUND

On September 10^th 2008, Council approved the 2008 Action Ottawa Selection Committee recommendation to allocate $700,000 of Federal-Provincial Funds under the Canada-Ontario Affordable Housing Program to the Dovercourt Housing Cooperative to support the construction of a new 10-unit apartment building. Council’s recommendation was accepted by the Minister of Municipal Affairs and Housing and a conditional letter of commitment was issued by the Ministry allocating $700,000 of capital funding for the construction of 10-units.

On September 17^th 2009 the Board of the Director’s of Dovercourt Housing Co-operative issued a letter to the Affordable Housing Unit stating that, “While the members had approved of proceeding with this project in principle in 2007 and the Board acted in good faith on this direction, the membership reversed its position on June 11^th 2009 and voted against proceeding with the project.”

On September 10^th 2008 Council also directed staff to seek opportunities to directly allocate the remaining AHP funding and up to $100,000 in City incentives toward the acquisition of properties for the provision of permanent supportive housing. Staff had discussions with the Ottawa Mission and a number of other Charitable and Non-Profit Housing Providers and Support Service Agencies but was unable to facilitate the development of a feasible project within the 2008 AHP timelines and the remainder of AHP funds was allocated to Phase I and II of Beaver Barracks. The Ottawa Mission approached Housing Services in July 2009 notifying staff of their acquisition of an apartment at 199 Holland Avenue. On September 17^th, 2008, the Ottawa Mission submitted a proposal for review and consideration for funding to support the rehabilitation of their newly acquired apartment building.

The Ottawa Mission and 199 Holland Avenue

The Ottawa Mission purchased the property at 199 Holland Avenue in July 2009 to help meet the needs of graduates from LifeHouse, an intensive drug and alcohol rehabilitation program, Food Services Training Program and their Building Maintenance Training Program. These clients, both men and women, have graduated from one of the Ottawa Mission’s Programs and are ready to take on a more independent living arrangement and integrate back into the community. The apartment building at 199 Holland Avenue was constructed in 1952 and is comprised of 9-storeys and 36 units (19 – one bedroom and 17 – two bedroom units) on the east side of Holland Avenue and the west side of Hinton Avenue North in the Hintonburg neighbourhood of Ottawa.

The building was fully occupied on acquisition. The Mission plans to implement a rental take-up plan that would provide for a mixed income building consisting of 18 supportive units rented to the Ottawa Mission graduates and 18-units rented to non-subsidized tenants. The premise is that the graduated tenants would be better served in a different community than that of the Mission’s main shelter facility.

Holland Properties Association was incorporated by the Ottawa Mission for this acquisition, have the same Executive Director and similar Board members. Prior to acquiring the property, the Mission completed an extensive due diligence process that included inspections of all accessible structural, cladding and roofing elements, of mechanical and building electrical systems and conducted a fire safety report. The studies identified various upgrades and renovations that are required, some of which are mandatory to meet current Building and Fire Code provisions. Building Components requiring rehabilitation and retrofit to which the AHP funding will be applied:

(1) Structural elements (particularly balconies)

(2) Upgrades to the fire alarm system

(3) Upgrades to the elevator

(4) Upgrades to windows and Window seals

These capital renovations will extend the economic life of the building and ensure that tenants are safely and comfortably housed. The result of these reports, when taking into account the required upgrades, indicated that the acquisition of 199 Holland Avenue provided very good value.

The Dovercourt proposal provided 10 new affordable rental units with the $700,000 in funding, whereas the Ottawa Mission/Holland Properties Associates project will provide 18 affordable rental units. Since the Mission has already acquired the apartment building, all of the re-allocated funding can be directed toward the necessary renovations.

The proposal by the Ottawa mission provides stable and well integrated supportive housing in a vibrant urban community with easy access to a variety or services, employment opportunities, transit and amenities. The Ottawa Mission proposes to provide housing support workers to help their clients become self sufficient community members with access to suitable support, skills training and resources. The 18-units in this 36-unit apartment building will help disadvantaged and previously homeless persons transition back into the community and society.

Housing Services Staff have notified the Ministry of Municipal Affairs and Housing of Dovercourt Housing Co-operative’s decision to withdraw from the Affordable Housing Program and of the potential re-allocation of funds to The Ottawa Mission and Holland Properties Association if approved by Council.

CONSULTATION

This report was not subject to consultation.

RURAL IMPLICATIONS:

There are no rural implications associated with this report.

LEGAL/RISK MANAGEMENT IMPLICATIONS:

There are no legal/risk management impediments to implementing any of the Recommendations arising from this Report.

FINANCIAL IMPLICATIONS

Capital spending authority to support the amount of $10,000 as identified in the recommendation for grants in lieu of building permit fees, is currently available for transfer from the Affordable Housing Capital Building Fund project (901001).

The $700,000 in funding from the 2003 Canada-Ontario Affordable Housing Program will be provided in accordance with milestones in the Provincial-Contribution Agreement will be provided by Ministry of Municipal Affairs and Housing directly to the proponent.

SUPPORTING DOCUMENTATION

N/A

DISPOSITION

Housing Services will notify the Province of Council approval and recommendation. Upon receiving Provincial approval, the Housing Branch will inform proponents that they may proceed with development.

Housing Services will work to ensure timely implementation of all necessary funding agreements for Holland Properties Association’s Proposal.

Corporate Development & Environmental Law Branch will bring project specific Municipal Housing Facility by-law before Council for enactment.

Corporate Development & Environmental Law Branch and Housing Services will review and approve the form and content of the Municipal Housing Project Facilities Agreement (MHPFA) for the project.