Background:
National Housing Co-Investment Fund
In May 2018, the federal government announced the National Housing Co-Investment Fund (NHCF). Through the NHCF, the Government of Canada will work with partners to create up to 60,000 new affordable units and repair up to 240,000 affordable and community units over the next ten years. Investments will also support the creation or repair of at least 4,000 shelter spaces for survivors of family violence, the creation of at least 7,000 new affordable units for seniors and 2,400 new affordable units for people with developmental disabilities.
Project funding available through Canada Mortgage and Housing Corporation (CMHC) under the Co-Investment Fund is provided under two streams; a non-repayable loan, which can cover up to 40% of project costs, and a low rate, long-term repayable loan. Eligibility under for the non-repayable loan portion is dependent upon the project score; the higher the score the more opportunities there are for non-repayable funding. Points are awarded based upon meeting and/or exceeding criteria such as:
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The degree to which there is community inclusion through the provision of on-site services to tenants
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A minimum of 30% of the units must be at CMHC’s median market rent (MMR) to ensure ongoing affordability for residents
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A minimum of 20% of the units must be designed with accessible features
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Energy Efficient – project model based upon the reduction of greenhouse gas emission and energy conservation
Ontario Long-Term Affordable Housing Strategy
Prior to the introduction of the Federal National Housing Strategy, the Province of Ontario announced the Long-Term Affordable Housing Strategy a modern framework for social housing. The City of Windsor, as Service Manager (CMSM) for Windsor and Essex County, was allocated funding in 2018/2019 under the Province’s Investment in Affordable Housing (IAH) rental capital program. In addition, funding under the three-year (2019/2020, 2020/2021, 2021/2022) Canada Ontario Community Housing Initiative (COCHI) and Ontario Priorities Housing Initiative (OPHI) was provided to the Housing and Children’s Services Department as Consolidated Municipal Service Manager (CMSM).
The IAH program offers a 20-year forgivable loan with the intent to provide affordable rental housing units. The rental housing capital component program will fund up to 75% of the total capital cost per unit or $150,000 per unit, whichever is less, for qualifying new builds, acquisition and rehabilitation or commercial conversion to residential rental projects. Participating landlords are required to maintain rents at 80% of the then current CMHC average or alternate market rents each year for the 20 year affordability period. Participating municipalities are required to set the property tax rate equivalent to the single residential rate for units receiving funds under this component.
The Province of Ontario’s new stream of rental housing capital component funding falls under the Ontario Priorities Housing Initiative (OPHI) program. This program funds up to