Report 2 - Housing Strategy [PDF - 5.8 MB] - City of Nelson

Report 2HOUSING STRATEGIES UPDATEOCTOBER 2014CITY OF NELSON

TABLE OF CONTENTS––––––––––––––––––––––––––––––––––––––––––––––––––––––––EXECUTIVE SUMMARY 1Nelson Housing Needs .............................................................................. 1Summary of Housing Strategies .............................................................. 2INTRODUCTION 3Project Overview ....................................................................................... 3What is an Affordable Housing Strategy? ............................................. 3The Housing Continuum ........................................................................... 4HOUSING NEEDS ASSESSMENT 5Affordability Analysis Recap .................................................................... 5Groups Experiencing Greatest Challenge in Nelson’s Housing Market ......................................................................................................... 7How Many Units Do We Need? .............................................................. 9AFFORDABLE HOUSING STRATEGY 13Housing Strategy Framework ................................................................ 13Strategic Directions ................................................................................ 13NEXT STEPS 21Implementation ....................................................................................... 21CLOSING COMMENTS 23APPENDIX A: TERMS & DEFINITIONS 25APPENDIX B: ACHIEVEMENTS SINCE 2010 29APPENDIX C: BENCHMARK STRATEGIES 33APPENDIX D: LEGISLATIVE CONTEXT 41City of Nelson -‐ FINAL Affordable Housing Strategy 2014 | October 2014 i

EXECUTIVE SUMMARY––––––––––––––––––––––––––––––––––––––––––––––––––––––––NELSON HOUSING NEEDSThe City of Nelson and community-‐based organizaWons have made considerable efforts and some success in encouraging the development of affordable housing since its 2010 Affordable Housing Strategy, notably the development of Anderson Gardens -‐ a 33-‐unit complex for persons with disabiliWes and low-‐income seniors.Other achievements since 2010 include establishing a working group, fostering partnerships, updaWng the Official Community Plan with housing related policy including supporWng the development of a Standards of Maintenance Bylaw and supporWng crime-‐free mulW-‐housing programs. The City of Nelson has also introduced a suite-‐ready policy, an expedite approval process policy, and policy to encourage the development of fee simple rowhousing.Even with success, there are sWll vulnerable residents who have li]le or no choice in the Nelson housing market. This Affordable Housing Strategy Update responds to these groups in need, listed as follows:1. At-‐Risk Youth and Young Adults;2. Persons with Physical and Developmental DisabiliWes;3. Low-‐income Seniors and Seniors in Rural Areas of Nelson;4. Low-‐income Families;5. Persons with Mental Health and AddicWons Issues; and6. People who are Homeless or At-‐Risk of Homelessness.The Strategy, which references 2014 circumstances, is intended to guide City Council and staff, as well as Nelson’s non-‐market housing providers and community organizaWons, in the coming years. It can also serve as a guide for private developers with understanding and responding to housing needs in Nelson.City of Nelson -‐ FINAL Affordable Housing Strategy 2014 | October 2014 1

The strategies are consistent with the City’s jurisdicWon, as outlined in the Local Government Act and the Community Charter. The authors have also included case study examples of where some of these strategies have been applied elsewhere, found in Appendix C. SUMMARY OF HOUSING STRATEGIESWithin the context of housing challenges in Nelson, the accompanying table outlines the proposed housing strategies for the City.Table 1: Summary of Nelson Affordable Housing Strategies -‐ 2014TIMELINESTRATEGY Short-termMedium-‐termLong-term1 Adopt Infill Housing Policy ✓2Review and Establish Inclusionary Policy + Inclusionary Zoning to be implemented through Neighbourhood Planning and MulN-‐Unit Development Projects✓3 Increase Density through MulNple Dwelling Unit Conversion RegulaNons ✓4 Update Nelson’s Heritage Strategy with Provision of Offering Heritage RevitalizaNon Agreements ✓5 Adopt a Standards of Maintenance Bylaw ✓6 Adopt a Family-‐Friendly Housing Policy ✓7 Adopt a Youth-‐Friendly Housing Policy ✓8 Adopt a Seniors-‐Friendly Housing Policy ✓9 Prepare an Accessible Housing Bylaw ✓10 Support AlternaNve Housing Forms + ConstrucNon Techniques ✓ ✓11 Improve Access to Rent Supplements (RAP, SAFER) ✓ ✓ ✓12 Promote the Home AdaptaNon for Independence Program ✓ ✓ ✓13 Advocate for Increased Rent Supplements for Persons who have Mental Health Issues ✓ ✓ ✓14 Prepare a Discharge Planning Policy for at-‐risk residents leaving hospitals/detainment ✓15 InvesNgate opportunity to Develop an AddicNons Treatment Facility with Dedicated Detox Beds ✓16 Encourage Landlord Discussions ✓ ✓ ✓17 Leverage UnderuNlized Land + Buildings Towards Increasing the Supply of Affordable Housing ✓ ✓18 Develop Prototypes and Promote DemonstraNon IniNaNves ✓ ✓19 Communicate Housing-‐Related InformaNon ✓ ✓ ✓20 Review and Monitor Affordable Housing Strategy in Fall 2017/Spring 2018 ✓2 City of Nelson -‐ FINAL Affordable Housing Strategy 2014 | October 2014

INTRODUCTION––––––––––––––––––––––––––––––––––––––––––––––––––––––––PROJECT OVERVIEWThe City of Nelson prepared their first Affordable Housing Strategy in 2010. The City engaged CitySpaces ConsulWng to prepare this work, which is available on the City’s website (h]p://www.nelson.ca/assets/City%7EServices/Pubs%7Eand%7EReports/Development%7EServices/2_HousingStrategy.pdf).Nelson has evolved over the last 4 to 5 years since the endorsement of the 2010 Affordable Housing Strategy, with several changes to the housing stock, housing proposals and programs, and economic climate. There has been recent staWsWcs released, including StaWsWcs Canada’s Census and NaWonal Household Survey. In response to these changes, the City of Nelson iniWated an update of their 2010 Affordable Housing Strategy, idenWfying aspects of housing that have changed, improved, worsened, or stayed the same. The purpose of this study is to idenWfy these changes, as well as idenWfy new and emerging housing needs in Nelson.WHAT IS AN AFFORDABLE HOUSING STRATEGY?An Affordable Housing Strategy idenWfies the current and emerging housing needs of a community by examining the housing gaps and issues. It also idenWfies strategic soluWons to respond to the unique needs of a community.This report, the Affordable Housing Strategy, is the second of two deliverables prepared for this project.• Report #1 -‐ Housing Needs Report Update: This baseline report examines relevant housing data including current housing mix, housing tenure, rental prices, housing sales prices, household income, housing vacancy rates, and affordability analysis. This report also includes a summary of the insights, observaWons and comments obtained from consultaWon with key informants, outlining their housing concerns for the community.City of Nelson -‐ FINAL Affordable Housing Strategy 2014 | October 2014 3

• Report #2 -‐ Affordable Housing Strategy Report Update: The second and final report reflects on the data research and community input, summarizing the housing gaps and issues in the City. This report outlines strategic acWons to move forward on implemenWng soluWons to housing issues.The strategic acWons idenWfied in 2010 are re-‐evaluated against the new and emerging housing needs in the community, and updated to reflect the changes to the housing situaWon over the past 4 to 5 years in NelsonTHE HOUSING CONTINUUMThe assessment of housing needs and issues is evaluated against the “Housing ConWnuum”. The housing conWnuum is a visual concept that illustrates both market and non-‐market housing. Non-‐market housing refers to housing below market rents or prices, ranging from emergency shelters through various forms of supporWve to rent-‐geared to income (RGI) rentals and housing co-operaWves. Moving across the conWnuum to the right is market rental and home ownership housing.Figure 1: The Affordable Housing ConAnuumNON-MARKETMARKETTYPESEMERGENCYSHELTERTRANSITIONALSUPPORTIVEASSISTEDLIVINGSOCIALHOUSINGINDEPENDENTLIVINGAFFORDABLERENTALRENTALASSISTANCEPROVIDEDIN PRIVATEMARKETMARKETRENTALLOWER COSTHOMEOWNERSHIPMODERATE &HIGHER COSTHOMEOWNERSHIPSmall Lots/UnitsFORMSHomelessSheltersSafeHousesSubsidizedRental Housingwith FundedSupport GroupHomesSubsidizedRental Housing,Families/Seniors/DisabledGrant AidedFamily/WorkforceRentalAssistanceProgram (RAP)RentSupplementsRentalHousingat MarketPricesSecondarySuites/DwellingsCoach/LanewayHousingManufacturedHomesCo-operativeHousingDetachedHomesSeasonalHomesHIGHLEVEL OF GOVERNMENTFINANCIAL ASSISTANCELOWThe mix of market and non-‐market housing varies depending on the community, as every community has a unique socio-‐economic makeup and community-‐specific needs. However, residents should have the opportunity to move across the housing conWnuum and find housing that is most appropriate and best suited to their needs and circumstances, and to find housing that meets the standards of adequacy, suitability, and affordability. 4 City of Nelson -‐ FINAL Affordable Housing Strategy 2014 | October 2014

HOUSING NEEDS ASSESSMENT––––––––––––––––––––––––––––––––––––––––––––––––––––––––Affordable Housing -‐ means a household spends no more than 30% of their gross income towards housing costs, without compromising their ability to pay for other necessities. For renters, this includes rent plus utilities. For home owners, this includes mortgage, property taxes, strata fees (if any), utilities and any related municipal services.AFFORDABILITY ANALYSIS RECAPDEFINING AFFORDABILITYAffordability is the relaWonship between household median income, and the esWmated income available for either purchasing a home, or renWng a place to live. Using CMHC’s standards, housing is considered unaffordable if a household spends 30% or more of its gross income on shelter costs. For renters, shelter costs include rent, and any payment for electricity, water, and other municipal services. For owners, shelter costs include mortgage payments (principal and interest), property taxes, condominium/strata fees (if any), and payments for electricity, water, and other municipal services. Households falling short of meeWng all three standards of housing are considered to be in core housing need. These standards are: • Adequate Housing: Dwellings reported as not requiring any major repairs. • Suitable Housing: Dwellings that have enough bedrooms for the size and make-‐up of resident households, according to NaWonal Occupancy Standard (NOS) requirements. • Affordable: Dwellings that cost less than 30% of total before-‐tax household income. Households spending more than 50% of their gross income on shelter fall below the standard of affordability, and are considered to be in “deep core need”. Housing is one factor in the overall cost of living for individuals and families. Other factors can include the cost of groceries, transportaWon, and childcare. City of Nelson -‐ FINAL Affordable Housing Strategy 2014 | October 2014 5

AFFORDABILITY IN NELSONMedian household income of different age groups and household types have been compared to rental and purchase prices in Nelson. Using these measurements provides an understanding of the housing types that households can afford to rent or purchase in Nelson. Across all household types (couples, single parents, and single individuals), youth and young adults earn the lowest median income and experience the greatest challenge with affording the average rental prices in Nelson. Table 2: Rental Affordability by Age and Household Type in NelsonAvailable for Rent @ 30% of Gross IncomeAGECouples Single Parents Singles0 to 24 $789 $431 $31625 to 34 $1,423 $565 $57735 to 44 $1,752 $748 $61345 to 54 $2,372 $956 $62355 to 64 $2,084 $1,282 $68865+ $1,198 $1,385 $644All $1,603 $894 $577Source: CitySpaces ConsulFng CalculaFons referencing StaFsFcs Canada, Taxfiler Reported Custom TabulaFon Family Tables, 2011 Single parents earning the median income have a lesser ability to buy a home compared to couple households. Single parents under the age of 34 are priced-‐out of the home ownership market, and likely most single parents between the ages of 35 to 44 are priced out as well. Low-‐income couple families are also challenged to purchase a home. Single individuals earning the median income levels or less in Nelson are completely priced out of the home ownership market. 6 City of Nelson -‐ FINAL Affordable Housing Strategy 2014 | October 2014

Table 3: Home Ownership by Age and Household type in Nelson Available for Rent @ 30% w/ 10% DownpaymentAGECouples Single Parents Singles0 to 24 $63,007 -‐$19,602 $45,91025 to 34 $208,997 $11,369 $14,07535 to 44 $284,698 $53,393 $22,48045 to 54 $427,521 $101,289 $24,78355 to 64 $361,089 $176,472 $39,75065+ $157,187 $200,132 $29,618All $250,416 $87,176 $14,133Source: CitySpaces ConsulFng CalculaFons referencing StaFsFcs Canada, Taxfiler Reported Custom TabulaFon Family Tables, 2011 GROUPS EXPERIENCING GREATEST CHALLENGE IN NELSON’S HOUSING MARKETThe data research and community consultaWon lead to idenWfying 6 groups with the greatest challenge finding affordable and suitable housing in Nelson: at-‐risk youth and young adults, persons with disabiliWes, low-‐income seniors and seniors living in rural areas, low-‐income families, persons with mental health and addicWons issues, and people who are homeless or at-‐risk of homelessness. Detailed analysis can be found in the Companion Report (Housing Needs Update). A summary of groups in need are provided below. They are not listed in order of priority. #1 AT-‐RISK YOUTH + YOUNG ADULTS Youth and young adults under the age of 24 have been idenWfied as having the lowest median incomes in Nelson, with limited choice in the City’s housing market. Youth aged 16-‐24 who are at risk of becoming homeless have been able to find shelter at Cicada Place. However, gaps sWll exist in the system as youth who are ready to leave Cicada Place are finding there are few affordable housing opWons available. City of Nelson -‐ FINAL Affordable Housing Strategy 2014 | October 2014 7

#2 PERSONS WITH DISABILITIESThe wait list for affordable housing dedicated to persons with disabiliWes has seen a major increase since the 2010 Housing Needs Assessment. Over half of the new Anderson Gardens units (completed in 2013) are occupied by persons with disabiliWes, with the reminder of residents being low-‐income seniors. The wait list for that complex is over 50 applicants – half of which are persons with disabiliWes. BC Housing wait list registry has 28 applicants for housing for persons with disabiliWes. In addiWon, conversaWons with key informants in the community have further idenWfied a need to reproduce a complex such as Anderson Gardens as this type of building – independent, accessible, and in good condiWon – is in demand in Nelson for persons with disabiliWes. #3 LOW-‐INCOME SENIORS + SENIORS IN RURAL AREAS OF NELSON The demand for affordable housing for seniors has significantly increased over the past 8 years and the number of seniors in Nelson is projected to grow over the coming decade. Median incomes for seniors appear to be quite healthy in Nelson compared to other household groups, and seniors are more likely to accumulate wealth over Wme. That said, seniors earning a fixed income (i.e. pension) are challenged to afford the average market rental prices in Nelson. The community has reported that seniors living in rural areas in Nelson are looking to downsize into smaller, more urban properWes in the coming decades. TransportaWon in rural areas is especially challenging for the senior populaWon. Condominium developments have the potenWal to fill the market gap for seniors who are downsizing, especially for those who own single-‐family homes in rural areas. However, this will not apply to all seniors, and a segment of the senior populaWon who cannot afford to purchase will need access to rental suites that are safe, accessible and affordable. Some seniors in rental suites will be able to apply for the SAFER rent subsidy, but will sWll need suitable and appropriate housing to meet their needs. #4 LOW-‐INCOME FAMILIES According to BC Housing, the City of Nelson has experienced a decrease in the demand for affordable housing for low-‐income families. However, community observaWons indicate that the number of families and children living in poverty in the City is evident, and affordability calculaWons support these observaWons. In Nelson, there are limited family-‐friendly rental opWons that are secure and in good condiWon, and 3-‐bedroom rental units are rare. In 2010, the Housing Needs Assessment idenWfied a need to assist low to moderate income families in their a]ainment of homeownership. Since then, a privately operated Rent-‐To-‐Own program has been introduced in Nelson, and at the Wme of this study had 97 qualified applicants ready for a property. The largest barrier to achieving housing for these families in the Rent-‐To-‐Own program is the low availability of with enough bedrooms to accommodate families. QualitaWve 8 City of Nelson -‐ FINAL Affordable Housing Strategy 2014 | October 2014

esearch has indicated that duplexes, fourplexes, and town homes would best fill this gap. #5 PERSONS WITH MENTAL HEALTH + ADDICTIONS ISSUES Community observaWons report that the prevalence of persons with mental health and addicWons issues is increasing in Nelson. StaWsWcs provided by Stepping Stones for Success supports this in that the proporWon of individuals who use the service and have mental health and addicWons issues has increased from 36% to 52% from 2006 to 2013. This rise in numbers could either be a]ributed to an increase in actual numbers, or a greater understanding and recogniWon of mental health and addicWons issues within the community. Police records also indicate that a high proporWon of calls (20% to 30% year-‐to-‐date) relate to mental health and addicWons issues. Insufficient housing exists for individuals who both reside in Nelson on a permanent basis and for those who travel to Nelson for addicWons treatment at the local hospital. The community idenWfied a shortage of supporWve housing for persons with mental health and addicWons, and a need for detox beds. #6 PEOPLE WHO ARE HOMELESS OR AT-‐RISK OF HOMELESSNESS Stepping Stones for Success recorded an increase in the average length of stay, from 9.5 days in 2010 to 16 days in 2013. Local food banks (the SalvaWon Army and Our Daily Bread) have also seen an increase in food bank visits over the past decade, with 1-‐in-‐5 individuals accessing this service being children. These indicators, along with the informaWon provided in the recent Homeless Report Card, and the prevalence of visible homelessness in Nelson, indicates that there is likely a need for more supplements and housing supports for the homeless. HOW MANY UNITS DO WE NEED?Income levels by age groups and household types, as well as housing wait list data, have been reviewed to inform an esWmated need of affordable housing units or programs in Nelson. These are conservaWve esWmates, and are inherently limited. A detailed financial feasibility study and business plan should be conducted for site-‐specific affordable housing projects, or mixed-income housing projects, in order to be confident in the project viability – financial, locaWon, partnerships, number of units, rent ranges etc. These esWmates are intended to provide a crude “snapshot” of demand, but are notably a moving target as changes in the community alters the demand and needs, especially changes in the economy.City of Nelson -‐ FINAL Affordable Housing Strategy 2014 | October 2014 9

Table 4: EsAmated Affordable Housing Units Needed in Nelson Units Reasoning Strategy10 -‐ 12 Second Stage Youth HouseCicada Housing Wait List + Unaffordable Private Market Rents compared to Median Income of At-‐Risk Youth/Young Adults‣ Second Stage Youth House (see Strategy #16)At-‐Risk Youth + Young Adults10 -‐ 15 units of Affordable bachelor or 1 bedroom unitsAccording to taxfiler income data, 290 young adults (under the age of 24) earn a median income of $25,000 or less, within BC Housing HILs*. There is an unknown number of young adults living with their parents, or have roommates. A conservaNve range of 5% to 10% has been applied.‣ Youth-‐friendly housing (see Strategy #7)15 -‐ 25 unitsAnderson Gardens wait list + BC Housing Registry wait list for persons with disabiliNes‣ Accessible Housing Bylaw (see Strategies #9, #15, #16)Persons with DisabiliNes15 -‐20 units affordable seniors housingBC Housing Registry wait list and Anderson Gardens wait list ‣ Seniors-‐friendly housing (see Strategy #8 and #16)Low-‐Income Seniors + Seniors in Rural Areas20 -‐ 35 units of senior-‐friendly rental housing in the private market10 -‐ 15 affordable family housingConservaNve range of 5% -‐ 10% of low-‐income seniors who rent. These units can be delivered through the private market, with eligible occupants applying the SAFER rent subsidy towards off-‐selng rental cost.‣ Seniors-‐friendly housing (see Strategy #8 and #9)BC Housing Registry wait list ‣ Affordable Housing (see Strategies #2)Low-‐Income FamiliesPersons with Mental Health + AddicNons Issues25 -‐ 50 family-‐friendly rental housing in the private market5 -‐ 8 units for persons with mental health issuesConservaNve range of 5% to 10% of low-‐income families who rent. These units can be private market rents, with eligible occupants applying the RAP rent subsidy towards off-‐selng rental costs.There are no wait lists nor income-‐related data to demonstrate a demand for affordable housing for persons with mental health and addicNons issues. That said, community observaNons idenNfied a need, and shelter staNsNc reporNng has observed increase in persons with mental health and addicNons issues. A conservaNve esNmate has been applied, and should be incrementally increased following unit absorpNon, wait list, and demand.‣ Family-‐friendly rental policy (see Strategies #16)‣ AddicNons Treatment Facility w/ dedicated detox beds (see Strategy #13 and #14)People who are Homeless or At-‐Risk of Homelessness8 -‐12 supplementsThe average length of stay at Stepping Stones Emergency Shelter has increased, and the recent homeless camp at Railtown indicates a need for immediate shelter for homeless. Need for increased homeless rent supplements to be applied in the private market rental stock.‣ Advocacy (see Strategies #13)10 City of Nelson -‐ FINAL Affordable Housing Strategy 2014 | October 2014

ImperaWve in this process is monitoring demand. As units are built, the City should monitor absorpWon of these units, observing how long the units are available unWl finally occupied. If a quick absorpWon rate is observed, and a wait list follows, then the number of units required per group in need can be revisited. If demand persists, then conWnue to encourage more units. If absorpWon rates are slow, then be cauWous on encouraging development of those types of units and revisit the proposed housing forms and who the intended target audience is. City of Nelson -‐ FINAL Affordable Housing Strategy 2014 | October 2014 11

12 City of Nelson -‐ FINAL Affordable Housing Strategy 2014 | October 2014

AFFORDABLE HOUSING STRATEGY––––––––––––––––––––––––––––––––––––––––––––––––––––––––HOUSING STRATEGY FRAMEWORKThe Nelson Affordable Housing Strategy is a guide for staff and Council to respond to and address housing challenges in the community, parWcularly increasing the supply of market and non-‐market housing for households with the least choice in the housing market. If the City of Nelson is to implement land use planning measures and incenWves to facilitate housing affordability, it will need to work in collaboraWon with local non-‐profits, the province, and the development community to successfully implement policies, regulaWons, and programs. These partnerships are noted where applicable. The proposed strategic direcWons outlined are within the parameters of the Local Government Act and other relevant provincial legislaWon. This is followed by a Wmeline for implemenWng the strategies. STRATEGIC DIRECTIONS1. Adopt Infill Housing Policy: From a policy perspecWve, the recently updated 2013 Official Community Plan has several policies that support and encourage increasing the housing supply in exisWng neighbourhoods through secondary suites and infill housing. These policies include encouraging the subdivision of large lots to compact lots, and encouraging detached secondary dwellings such as laneway homes, granny flats, and carriage houses. Legalizing suites and requiring new single-‐detached homes to be “suite ready” has been prioriWzed and established through City policy in recent years. Further, the City is currently reviewing the implicaWons of laneway homes and other forms of infill housing, and has issued building permits for laneway homes on a site by site basis. The City is currently reviewing a drap infill housing policy, which would be instrumental in increasing the supply of alternaWve housing forms, small lots, and rental suites. This strategy supports the adopWon of this policy. City of Nelson -‐ FINAL Affordable Housing Strategy 2014 | October 2014 13

2. Review and Establish Inclusionary Policy + Inclusionary Zoning to be implemented through Neighbourhood Planning and Mulc-‐Unit Development Projects: The OCP organized residenWal policies by neighbourhood. CollecWvely, a diverse mix of housing is supported and encouraged in Nelson at the policy level. Policy on housing form and mix is excellent; however, the requirement to include affordable housing units can be improved. Inclusionary policy is a regulatory tool that requires new residenWal development to include a percentage of affordable housing units as a condiWon of a rezoning applicaWon. SomeWmes it can be combined with other incenWves, such as density bonusing (currently under review by the City). If density cannot be achieved onsite, than payment in-‐lieu can be offered, open transferred into an affordable housing fund (already established in Nelson by policy). A rezoning applicaWon triggers the policy applicaWon. The percentage of required affordable housing units varies by community, typically ranging between 5% to 35%, with 15% being the most commonly applied. Inclusionary policy also targets the audience, specifying the household income levels eligible for the dedicated affordable housing units. Drafting new City policies require research, drafting, and consultation. Inclusionary housing policies are most successful when the development community collaborates on the policy, offering insights on feasibility. Developers are more likely to collaborate the inclusionary policy once its been adopted if they had input into its original creation.There is an opportunity for the City of Nelson to adopt an inclusionary policy to be applied to future neighbourhood plans, and future mulW-‐unit development projects. For a community of this size, and as a test of the policy, no more than 10% would be a realisWc expectaWon. As such, it is recommended that the city invesWgate the opportunity to establish an inclusionary policy requiring 10% of residenWal development to be dedicated to affordable housing. Should this policy be supported, it can be applied to future neighbourhood plans of Fairview, Waterfront, and Railtown, and to any new mulW-‐unit infill projects. The type of affordable housing for future projects can be negoWated on a project by project basis. Typically, these are private market development projects that have an a]ached Housing Agreement and registered on Wtle. Housing agreements have the ability to deal with ma]ers of occupancy that are beyond the reach of a Zoning Bylaw. It can specify: • Form of tenure of the units; • Availability to specific persons; • AdministraWon of units and means by which they will be made available to their intended occupants; and• Unit prices (rent or ownership). A housing agreement can be applied to a porWon of a new residenWal project, dedicated to meet the needs of residents in Nelson who have the least choice in the housing market. For example: a proposed 30 mulW-‐unit project with a 10% inclusionary housing policy can yield 3 units for affordable housing. Upon negoWaWon with the developer and consultaWon with the community, the 3 units can be secured with a housing agreement. For this hypotheWcal example, the 3 units could be dedicated to low-‐income families, with 3+ bedrooms. The administraWon of these units can be channelled through a local housing provider to match the units with a family in need. The family can apply the RAP rent supplement to offset the rental costs. 14 City of Nelson -‐ FINAL Affordable Housing Strategy 2014 | October 2014

Inclusionary zoning policy is specified in SecWon 903 of the Local Government Act, and established as a condiWon of rezoning applicaWons. 3. Increase Density through Mulcple Dwelling Unit Conversion Regulacons: There are several neighbourhood policies in the OCP which speak to mulWple dwelling unit conversions, whereby large single-‐detached homes can be converted into duplexes or mulWple dwellings while retaining character and original construcWon features of the home. From a regulatory perspecWve, there is an opportunity to introduce mulWple dwelling unit conversion regulaWons in the Zoning Bylaw. Provisions can include minimum required habitable floor area for each addiWonal unit created. The City of Nelson could review these opWons during a Zoning Bylaw update or as a Bylaw amendment. Example municipaliWes that have mulWple dwelling unit conversion regulaWons include Victoria, Vancouver, and Ladysmith. 4. Update Nelson’s Heritage Strategy with the Provision of Offering Heritage Revitalizacon Agreements: The City could update the 1994 Heritage Strategy with offering Heritage RevitalizaWon Agreements, that could result in retaining historic homes while increasing density in established neighbourhoods. A Heritage RevitalizaWon Agreement (HRA), is a formal, voluntary wri]en agreement negoWated between a property owner and the municipality. It essenWally agrees that the home owner restores or conserves a heritage building as a condiWon of receiving an approval that the property would otherwise not be eligible for. These discreWonary approvals can include varying uses and densiWes. The HRA can vary or supplement a broad range of bylaws, including uses and densiWes, in order to provide incenWves for the property owner to preserve property of heritage value. It can vary density in exchange for conserving or restoring heritage, without requiring a rezoning. CommuniWes in BC that have introduced an HRA have been able to gently increase density in established, mature neighbourhoods, while retaining historic buildings and neighbourhood character. The City of New Westminster has successfully implemented mulWple dwelling unit conversions in their historic residenWal neighbourhoods through HRAs, which have included the addiWon of secondary suites that otherwise would not have been permi]ed. The subject properWes can be either designated as “protected heritage” or as property that the local government simply considers worth conserving. Simply, an HRA can be used to deal with a property that has never before received any formal recogniWon of heritage character or value. Open, the HRA will result in those properWes not currently listed to be finally registered as part of the HRA. The agreement must be registered on Wtle, outlined under the Local Government Act (LGA), SecWon 966, Part 27. 5. Adopt a Standards of Maintenance Bylaw: The City of Nelson should adopt, administer, and enforce a Standards of Maintenance Bylaw, which outlines minimum maintenance standards for rental buildings and structures. This acWon was recommended in 2010, and has been incorporated as policy into the OCP, but has yet to be implemented. It could improve the quality and condiWon of the rental housing supply substanWally, including providing minimum standards for water, heat, City of Nelson -‐ FINAL Affordable Housing Strategy 2014 | October 2014 15

light, and venWlaWon. A number of municipaliWes have adopted Standards of Maintenance Bylaws, including the District and City of North Vancouver, New Westminster, Surrey, Delta, Richmond, and Terrace. 6. Adopt a Family-‐Friendly Housing Policy: The City should explore adopWng a family-‐friendly housing policy to support and encourage the development of rental units with 3 bedrooms or more. This can be incorporated as an OCP policy, and considered at a rezoning applicaWon stage for mulW-‐unit development projects. This could address the shortall of family-‐friendly rental units in Nelson, and also parWally address the need for affordable family rental housing in the community by ensuring the supply is available for low-‐income families to apply their rent supplement. A word of cauWon: like all housing forms, encouraging the development of a specific housing form/number of bedrooms should be done modestly as to prevent “over-‐building”. It is recommended that the City closely monitors unit absorpWon rates and revisit the policy if demand changes. 7. Adopt a Youth-‐Friendly Housing Policy: The City could adopt a youth-‐ friendly housing policy to support and encourage the development of affordable rental housing for youth and young adults. This policy could support the youth transiWon house concept that has received preliminary discussions by community-‐based organizaWons (see Strategy #15). The Youth-‐Friendly Housing Policy can be incorporated into the OCP. The Youth-‐Friendly Housing Policy would be considered progressive, as there are not other examples of this policy readily available. A potenWal example on how to implement this policy is through preparing a Housing Agreement with a new residenWal/mulW-‐unit project. The Housing Agreement can specify the types of tenants and rent prices. For example, with a 5% youth-‐friendly housing policy, a new 30-‐unit complex would be required to dedicate 1 or 2 units for youth. The Housing Agreement would specify these dedicated units for persons under the age of 24, within an affordable rent range of $275 to $330 per month for a bachelor unit. The Youth-‐Friendly Housing Policy can reach further on housing design suited for youth, including proximity to youth-‐friendly ameniWes and infrastructure. The specifics of such policy could be explored by the City in consultaWon and input from the community, including community-‐based organizaWons and youth themselves. 8. Adopt a Seniors-‐Friendly Housing Policy: The City should adopt a seniors-friendly housing policy to support and encourage the development of private market rental units that are suitable to seniors. This policy can, over Wme, increase the supply of senior-‐friendly rental housing, whereby seniors of all income levels could live – affluent seniors can pay market rents, and low-‐income seniors can apply their SAFER rent subsidy to the unit. 9. Prepare an Accessible Housing Bylaw: Following the endorsement of the Affordable Housing Strategy in 2010, the City of Nelson successfully implemented a ‘suite ready’ program for all new single-‐detached homes in order to support and encourage rental housing. An Accessible Housing Bylaw could achieve a similar objecWve: requiring new housing to be adaptable for accessibility. This includes barrier-‐free/adaptable showers; wider doors, stairs and hallways; reinforced walls and stairwells; among 16 City of Nelson -‐ FINAL Affordable Housing Strategy 2014 | October 2014

other features. The City of Vancouver recently adopted a similar bylaw that applies to all new mulW-‐unit development projects. 10. Support Alternacve Housing Forms + Construccon Techniques: The City of Nelson already supports and encourages a mix of housing forms through policy, and has been implemenWng the development of alternaWve housing forms such as laneway homes. There is an opportunity for the City to diversify the housing stock through alternaWve housing forms and construcWon techniques, first supported by policy in the OCP; and second through permi]ed uses in the Zoning Bylaw. Preliminary consideraWons include: • Shipping Containers: Shipping containers have been sourced as alternaWve construcWon material to build housing, and is increasingly being used to develop affordable housing projects. Policy could be established to support this construcWon technique, followed by an amendment to the Zoning Bylaw to add shipping containers as a definiWon, as well as specific provisions outlined in the general regulaWons secWon. A case study on the use of shipping containers for housing is provided in Appendix C. • Live-‐Work Studios: ConsultaWon with community stakeholders idenWfied an opportunity to support live-‐work studios in Nelson, parWcularly for live-‐work arWst studios that can further advance the arts-‐scene in Nelson while providing affordable studio-‐living space for arWsts. Preliminary locaWons for live-‐work studios were suggested for the upcoming Railtown District, which could offer a smooth transiWon from industrial uses to livable-‐commercial uses, housing studios with proper venWlaWon and architectural inspiraWon. The Zoning Bylaw has live-‐work studios as an established definiWon, and further specified in the general regulaWons secWon. It is found as a permi]ed use under the following zones: MU2, MU3, MU4. MU5, and CD3. Live-‐work units could also be considered as part of comprehensive neighbourhood plans, which could involve a Comprehensive Development Zone (CD-‐Zone) to encourage this use. • Pocket Neighbourhoods: Pocket neighbourhoods are clustered housing comprising of small single-‐detached homes, typically no larger than 1,000 square feet. The Zoning Bylaw could support this housing form by increasing the dwelling units per parcel, reducing parking, and including a definiWon of pocket neighbourhoods and/or cluster housing. This residenWal use could further support ideas brought forward from the community, such as clustering housing on underuWlized land. An example community with a pocket neighbourhood can be found in Appendix C. 11. Improve Access to Rent Supplements (RAP, SAFER): The provincial government has two programs where eligible low and moderate income households receive a rent supplement – SAFER (Shelter Assistance for Elderly Renters), and RAP (Rental Assistance Program). Eligible households may not be aware of this program, and could benefit from an increase in awareness and assistance with preparing their applicaWons. Awareness can be championed by community-‐based organizaWons, outreach workers, and the City, with support from BC Housing. 12. Promote the Home Adaptacon for Independence Program: The Home AdaptaWon for Independence program (HAFI) provides financial assistance for low-‐income seniors and people with disabiliWes to support home City of Nelson -‐ FINAL Affordable Housing Strategy 2014 | October 2014 17

modificaWons to promote safe, independent living. There is an opportunity to increase awareness to eligible households (both owners and renters), as well as to landlords who can apply for more than one unit and for common areas. In partnership with BC Housing, this program can be promoted by community-‐based organizaWons, outreach workers, and the City. Providing assistance to eligible households with preparing an applicaWon could be offered by community-‐based organizaWons. There are other programs for seniors that can be promoted by the City and community-‐based organizaWons, mostly designed to assist seniors to remain in their homes or rent affordably in the private market. These include the Seniors Home Owner Grant, Property Tax Deferral Program, BC Seniors' Home RenovaWon Tax Credit and, as menWoned earlier, the Shelter Assistance for Elderly Renters program (SAFER). 13. Advocate for Increased Rent Supplements for Persons who have Mental Health Issues: There are several examples throughout Canada where offering rent supplements to persons with mental health issues, and housing them through sca]ered sites/units, is an effecWve means to maintain security of housing. This “Housing First” approach requires financial support from senior levels of government. MunicipaliWes and community-‐based organizaWons have li]le opWons other than to advocate for these supplements in order to implement the Housing First model. 14. Prepare a Discharge Planning Policy for At-‐risk Residents Leaving Hospitals/Detainment: One of the challenges noted in the needs assessment was the occurrences of individuals being discharged from hospitals and police detachments into homelessness or inadequate shelters. There are several issues related to unplanned discharge, including worsening of mental health and addicWons issues if discharged into homelessness rather than housing.There is an opportunity to prevent homelessness and repeated cycles of paWent intake and detainment if adequate discharge planning is implemented. Specifically, it is recommended that a coordinated effort be iniWated between the local health authority, the Nelson Police Department, social service agencies, and the City of Nelson (where appropriate), on discharge planning paWents/detainees prior to their release. The coordinaWon can idenWfy a temporary or permanent housing unit for the resident upon discharge, transportaWon assistance if needed, and access to support services. The first step to implemenWng affecWve discharge planning is to formulate a discharge planning policy. This policy should describe the goals and objecWves of discharge planning, outline methods to assess the immediate needs of the client, steps in which to assist the client in finding affordable housing, and outline a streamlined process to assist the client (i.e. match with government benefits and supplements should the client be eligible). Successful discharge plans starts with the intake of a paWent or detainee, in order to establish resources and services in advance of releasing the client. Matching the client with a social worker is essenWal for navigaWng through processes, systems, agencies, and assisWng with the transiWon. The social worker can also assist with referrals, where required. 15. Invescgate the Opportunity to Develop an Addiccons Treatment Facility with Dedicated Detox Beds: AddicWons issues in Nelson were raised by community stakeholders. There is an opportunity to idenWfy a potenWal 18 City of Nelson -‐ FINAL Affordable Housing Strategy 2014 | October 2014

site for an addicWons treatment facility with dedicated detox beds, possibly near the hospital. A financial feasibility study and business case should be prepared to determine the regional need for an addicWons treatment facility and detox beds, locaWon suitability of Nelson compared to other communiWes in the region, and the overall viability of such project. Partnerships would need to be facilitated with Interior Health and other community-‐based organizaWons. 16. Encourage Landlord Discussions: One of the barriers to housing low-‐ income individuals, families, persons with disabiliWes, and persons who are experiencing mental health and addicWon issues is breaking-‐down misconcepWons and building support from the community, including landlords of private market rental housing. Some communiWes offer grant funding to facilitate landlord roundtable discussions, or workshops, to educate landlords on different types of tenants, and how housing them benefits the community. These discussions also find ways for landlords to find community support for responding to tenant issues and to prevent evicWon-‐caused homelessness. Engaging with the West Kootenay Landlord Society is a good group to partner with to iniWate this program. 17. Leverage Underuclized Land + Buildings Towards Increasing the Supply of Affordable Housing: ConsultaWon with the community lead to the idenWficaWon of several sites in Nelson that could be developed as affordable housing. These opportuniWes include new-‐building on vacant sites, redevelopment, upgrades or conversions. The City, through its adopWon of policies, can encourage the development of affordable housing should suitable development applicaWons be presented. In advance of these applicaWons, the City should make these policies widely available to the public, private sector developers, and non-profit housing providers, in order to foster a wide-‐spread community understanding of the City’s housing objecWves. It also allows the community to ask quesWons and have dialogue prior to any formal applicaWons. It may be worthwhile to facilitate targeted workshops with the City, private developers, and non-‐profit socieWes on how they can work together to build affordable housing in the community. 18. Develop Prototypes and Promote Demonstracon Inicacves: Originally recommended in 2010, this strategy can showcase examples of good affordable housing design and development. Examples and best pracWces in housing forms are evident throughout BC. The City can draw on these examples and develop housing prototypes that are best suited to Nelson’s streets and neighbourhoods. These prototypes could present examples of innovaWve housing forms: front-‐back duplexes; zero-‐lot line housing; coach houses on properWes with or without lanes. InformaWon guides can be developed that present these examples and illustrate the possibiliWes – ability to create housing opWons, preserve character of a neighbourhood, improve the streetscape and implement high quality architecture and design. To further demonstrate these types of innovaWon, a call for proposals could be made for builders, developers and home owners interested in working on innovaWve housing pilot projects. The City could then work with selected developers and local architects to introduce demonstraWon projects in certain neighbourhoods and expedite approvals. These demonstraWon projects could be promoted through public displays, in the local newspapers and on the City’s website. These pilot iniWaWves may City of Nelson -‐ FINAL Affordable Housing Strategy 2014 | October 2014 19

esult in amendments to the Zoning Bylaw to further streamline the approval process for such projects. Engaging local developers and architects can also build local capacity for the community to respond to local housing needs, and to foster innovaWve “made in Nelson” housing soluWons. 19. Communicate Housing-‐related Informacon: Originally recommended in 2010, there are opportuniWes to share housing related programs and iniWaWves to the public – especially the rental assistance program for seniors and low-‐income families. Through its exisWng channels of communicaWon, the City can assist other levels of government distribute informaWon about housing and tax programs, helping to raise awareness and increase residents’ access to potenWal grants, loans and other benefits. Specifically, use the City of Nelson’s website to provide housing informaWon and to promote housing programs and iniWaWves. Also disseminate informaWon about basic standards of maintenance to landlords and tenants, and provide informaWon about the rights and responsibiliWes of both tenants and landlords. These informaWon pieces can be communicated through brochures and informaWon sheets. 20. Review and Monitor Affordable Housing Strategy in Fall 2017/Spring 2018: A progress report on the Affordable Housing Strategy will help to re-‐ evaluate prioriWes, and idenWfy new and emerging housing issues. As standard housing indicator data relies heavily on StaWsWcs Canada Census, it is recommended that the next Nelson Affordable Housing Strategy be prepared following the next Census data release in late 2017 or early 2018 (census 2016 final data release is typically 1 year following data collecWon).20 City of Nelson -‐ FINAL Affordable Housing Strategy 2014 | October 2014

NEXT STEPS––––––––––––––––––––––––––––––––––––––––––––––––––––––––IMPLEMENTATIONThe following secWon outlines the proposed strategies that respond to housing issues in Nelson. To facilitate implementaWon, a short, medium or long-‐term Wmeframe is suggested. Specifically:• Short-‐Term: Considered immediate strategies that can be addressed within first 1 to 2 years of adopWng the Affordable Housing Strategy.• Medium-‐Term: Strategies can be addressed between 2 to 3 years of adopWng the Affordable Housing Strategy.• Long-‐Term: 3+ years, with components being planned within 1 to 3 years of adopWng the Affordable Housing Strategy.City of Nelson -‐ FINAL Affordable Housing Strategy 2014 | October 2014 21

Table 5: Strategy ImplementaAon TimelineTIMELINESTRATEGY Short-termMedium-‐termLong-‐term1 Adopt Infill Housing Policy ✓2Review and Establish Inclusionary Policy + Inclusionary Zoning to be implemented through Neighbourhood Planning and MulN-‐Unit Development Projects✓3 Increase Density through MulNple Dwelling Unit Conversion RegulaNons ✓4Update Nelson’s Heritage Strategy with Provision of Offering Heritage RevitalizaNon Agreements✓5 Adopt a Standards of Maintenance Bylaw ✓6 Adopt a Family-‐Friendly Housing Policy ✓7 Adopt a Youth-‐Friendly Housing Policy ✓8 Adopt a Seniors-‐Friendly Housing Policy ✓9 Prepare an Accessible Housing Bylaw ✓10 Support AlternaNve Housing Forms + ConstrucNon Techniques ✓ ✓11 Improve Access to Rent Supplements (RAP, SAFER) ✓ ✓ ✓12 Promote the Home AdaptaNon for Independence Program ✓ ✓ ✓13 Advocate for Increased Rent Supplements for Persons who have Mental Health Issues ✓ ✓ ✓14 Prepare a Discharge Planning Policy for at-‐risk residents leaving hospitals/detainment ✓15 InvesNgate opportunity to Develop an AddicNons Treatment Facility with Dedicated Detox Beds ✓16 Encourage Landlord Discussions ✓ ✓ ✓17 Leverage UnderuNlized Land + Buildings Towards Increasing the Supply of Affordable Housing ✓ ✓18 Develop Prototypes and Promote DemonstraNon IniNaNves ✓ ✓19 Communicate Housing-‐Related InformaNon ✓ ✓ ✓20 Review and Monitor Affordable Housing Strategy in Fall 2017/Spring 2018 ✓22 City of Nelson -‐ FINAL Affordable Housing Strategy 2014 | October 2014

CLOSING COMMENTS––––––––––––––––––––––––––––––––––––––––––––––––––––––––The City of Nelson and community-‐based organizaWons have made significant progress in encouraging diverse housing choice and affordable housing in the community, ranging from piloWng laneway housing to the development of Anderson Gardens – a 33-‐unit housing complex for low-‐income seniors and persons with disabiliWes. The updated OCP also includes new language to encourage the development of affordable housing, and other important iniWaWves such as supporWng the establishment of a Standards of Maintenance Bylaw. To conWnue down this road, the City of Nelson will need to dedicate Wme and resources to the housing strategies, including advocaWng to senior levels of government for addiWonal allocaWon of rent supplements, partnering with non-‐profit housing providers and private developers in the creaWon of affordable housing units, as well as monitoring and reporWng on the City’s progress towards the goals and objecWves of this Strategy. City of Nelson -‐ FINAL Affordable Housing Strategy 2014 | October 2014 23


APPENDIX A: TERMS & DEFINITIONS––––––––––––––––––––––––––––––––––––––––––––––––––––––––ADEQUATE HOUSING: means dwellings reported by residents as not requiring any major repairs. AFFORDABLE HOUSING: means a safe, secure, accessible living environment that allows people to live within their income level, and maintain quality of life. Affordable housing may take a number of forms that exist along a conWnuum – from emergency shelters, to transiWonal housing, to mass-‐market rental (also known as subsidized or social housing), to formal and informal rental, and home ownership. According to Canada Mortgage and Housing CorporaWon, for housing to be affordable, a household should not spend more than 30% of gross income on shelter costs. CORE HOUSING NEED: means a household living in a housing that falls below at least one of the adequacy, affordability or suitability standards and it would have to spend 30 percent or more of its total before-‐tax income to pay the median rent of alternaWve local housing that is acceptable. DENSITY BONUSING: is a municipal tool, permi]ed under the Local Government Act (LGA), that permits bonus density in zoning in exchange for the provision of ameniWes or affordable housing. This means that in specified zones, a developer can build to a higher density if a community amenity contribuWon or affordable housing units are provided as part of the project to the municipality. DETACHED HOME: As per CMHC, a free-‐standing home for one family, not a]ached to a house on either side. DUPLEX: As per CMHC, a duplex is a building containing two single-‐family homes, located one above the other. GROSS DEBT SERVICE RATIO: means the raWo that measures the percentage of gross annual income required to cover annual payments associated with housing and all other debt obligaWons, such as payments on car loans, credit cards, personal loans, etc. (CMHC, Debt Service Formula, 2014). City of Nelson -‐ FINAL Affordable Housing Strategy 2014 | October 2014 25

HILs (High-‐Income Limits): Housing Income Limits represent the income required to pay the average market rent for an appropriately sized unit in the private market. Average rents are derived from CMHC’s annual rental market survey, done in the fall and released in the spring. The size of the unit required by a household is governed by federal/provincial occupancy standards. In Nelson, the 2014 HILs was: • Bachelor Unit: $25,000 • 1 Bedroom Unit: $26,000 • 2 Bedroom Unit: $33,000 • 3 Bedroom Unit: $45,000 • 4+ Bedroom Unit: $49,500 *seniors rental housing cutoff has a higher high-‐income limit than non-‐senior households. In Nelson, their cut-‐off is $57,000 gross income. HOMELESSNESS: is the situaWon of an individual or family without stable, permanent, appropriate housing, or the immediate prospect, means and ability of acquiring it. HOUSING CONTINUUM: is a visual concept used to describe and categorize different types of housing, from non-‐market to market housing. Housing conWnuums are developed to assist with planning and program development and are usually tailored to the community or region in quesWon. On the non-‐ market end of the conWnuum are emergency services and transiWonal housing, which open require the most public funding, moving towards supporWve and social housing opWons in the middle of the conWnuum and then towards independent housing opWons on the right, where housing is typically provided by the private market. HOUSING FIRST: places priority on a rapid and direct move from homelessness to housing, instead of requiring people to graduate through a series of steps before ge|ng into permanent housing. There are four core principles to Housing First: • Consumer choice and self-‐determinaWon; • Immediate access to permanent housing with the support necessary to sustain it; • Housing is not condiWonal on sobriety or program parWcipaWon; and• social inclusion, self-‐sufficiency and improved quality of life and health. HOUSING OCCUPANCY STANDARDS: means housing must have enough bedrooms for the size and make up of a household. This means a home needs to have enough bedrooms for each cohabiWng adult couple, each adult 18 years or older, each child under 18 years old (two children of the same gender can share a room; two children under five years old of opposite genders can share a room). 26 City of Nelson -‐ FINAL Affordable Housing Strategy 2014 | October 2014

MARKET RENTAL HOUSING: means the private rental market that provides the majority of rental housing affordable to households with low to moderate incomes. This can include purpose-‐built rental housing as well as housing supplied through the secondary rental market such as basement suites, rented condominium units, or other investor-‐owned houses/units. NON-‐MARKET HOUSING: means affordable housing that is owned or subsidized by government, a non-‐profit society, or a housing cooperaWve; whereby rent or mortgage payments are not solely market driven. RENTAL ASSISTANCE PROGRAM (RAP): is operated by BC Housing, providing eligible low-‐income working families with cash assistance to help with their monthly rent payments. To qualify, families myst have a gross household income of $35,000 or less, have at least one dependent child, and have been employed at some point over the last year. ROW HOUSE: As per CMHC, also called a townhouse, a row house is one unit of several similar single-‐family homes, side-‐by-‐side, joined by common walls. SCATTERED SITE: is a “Housing First” approach to help low-‐income individuals access a self-‐contained rental unit (i.e. private apartment or secondary suite) and receive a rent subsidy to off-‐set the costs. Rather than offering housing in dedicated buildings to a targeted populaWon, this approach results in placing low-‐income individuals throughout the community. For situaWons where the tenant has mental health issues, offering a rent subsidy plus support can be applied. An example is the At Home/Chez Soi program in Vancouver, where 200 sca]ered site units were offered for persons living with severe mental illness. SEMI-‐DETACHED HOME: As per CMHC, this is a home for one family, a]ached to another building on one side. SHELTER AID FOR ELDERLY RESIDENTS (SAFER): is operated by BC Housing, and helps make rents affordable for BC seniors with low to moderate incomes by providing monthly cash payments to subsidize rents for eligible BC residents who are age 60 or over, and who pay rent for their homes. Seniors who own their homes are not eligible. SUITABLE HOUSING: means housing that has enough bedrooms for the size and make-‐up of resident households, according to NaWonal Occupancy Standard (NOS) requirements. City of Nelson -‐ FINAL Affordable Housing Strategy 2014 | October 2014 27


APPENDIX B: ACHIEVEMENTSSINCE 2010––––––––––––––––––––––––––––––––––––––––––––––––––––––––ACHIEVEMENTS SINCE 2010The City of Nelson has made several achievements since endorsing the Affordable Housing Strategy in 2010. These include establishing a Housing Commi]ee and Housing Reserve Fund, and incorporaWng new housing policies in the updated Official Community Plan (OCP) in 2013. The following table is a list of the recommended housing acWons from the 2010 Strategy, and the status of implementaWon. City of Nelson -‐ FINAL Affordable Housing Strategy 2014 | October 2014 29

Table 6: 2010 Housing AcAon Items – Status of ImplementaAon Housing Objeccves + AcconsImplementacon Status1. Provide a clear policy and vision for affordable housingAdopt Strategy in principleDram Policy StatementCompleteComplete2. Increase the supply of supporcve housingEstablish a working groupFoster partnershipsCompleteComplete3. Ensure safety standards in rental housingDevelop a Standards of Maintenance BylawSupport the development of Crime Free MulN-‐Housing ProgramReview health and life safety standardsPolicyPolicyNow part of Standards of Maintenance Bylaw4. Encourage the development of new rental housingReview secondary suites bylawIntroduce suite ready policyDram policy for infill housing -‐ coach houses, etc.Integrate incenNves for purpose-built rentalCompleteCompleteRegulacon under review / approval on site by site basisNot found -‐ facilitate accessory rental units in duplexes and townhomes are against building code now, but can be offered through Mulcple-‐Dwelling Unit Conversions5. Support the development of a mix of housing opconsExplore infill/intensificaNon in low + medium density areasEstablish a density bonus policyCompleteUnder review6. Promote innovacve approaches and designDevelop prototypes of housing formsPromote pilot iniNaNves as demonstraNonNot foundNot found7. Use financial tools and incencvesCreate a housing reserve fundLease City owned landCompleteNot complete -‐ Limited available City-owned lands30 City of Nelson -‐ FINAL Affordable Housing Strategy 2014 | October 2014

Housing Objeccves + AcconsImplementacon Status8. Support external groupsDedicate staff NmeExpedite approval processWaive fees, charges or provide grant in-‐lieun/aPolicy✓9. Promote exiscng programs and resourcesDedicate web page to links and informaNon resourcesMake informaNon available on best pracNcesNot completeSecondary Suites only / in progress10. Review and monitor strategy regularlyProduce a progress report on a regular basis✓City of Nelson -‐ FINAL Affordable Housing Strategy 2014 | October 2014 31


APPENDIX C: BENCHMARKSTRATEGIES––––––––––––––––––––––––––––––––––––––––––––––––––––––––CREATING A MORE ACCESSIBLE COMMUNITY FOR PERSONS WITH DISABILITIESCity of VancouverBuilding Bylaw No.10908In September of 2013, the City of Vancouver approved the Building Bylaw (VBBL) No. 10908, to take affect in January 2015. Formally referenced as the BriWsh Columbia Building Code, the amended bylaw is to be referred to as the Building Bylaw wherever it appears. Figure 3.8.5 of the Building Bylaw provides legislaWon regarding newly amended Adaptable Housing Requirements. These requirements focus on entrance doors to dwelling units; interior doors, corridors, and stairs in dwelling units; and kitchens in dwelling units among many other dwelling unit a]ributes. The concept of adaptable housing is propelled by the increasing number of individuals over 65 years in age. This demographic faces greater mobility challenges and isolaWon in current built form. RegulaWons seek to increase the ability of senior to age-‐in-‐place or overcome short-‐term mobility challenges at home. Adaptable housing strives to suit the needs of a large spectrum of residents, modifying the built form through minimal, cost-‐effecWve renovaWon. More detail-‐orientated regulaWons include wrist-‐friendly door hardware; number and placement of peepholes; and hallway and doorway widths. Adaptable housing construcWon is cost effecWve, as iniWal construcWon costs open account for specialized features such as reinforcements and grab bars, whereas insWllaWon through renovaWon can increase insWllaWon costs ten fold. The availability of suitable housing enables senior residents to age in place rather than seeking supporWve housing: providing cost efficiencies while negaWng stress related to displacement. City of Nelson -‐ FINAL Affordable Housing Strategy 2014 | October 2014 33

HOUSING FIRST: SITE SCATTERED RENT SUPPLEMENT PROGRAM FOR CHRONICALLY HOMELESS, AND PERSONS WITH MENTAL HEALTH + ADDICTIONS ISSUESAt Home/Chez SoiCanada-‐wideThe At Home/Chez Soi Project was set forth in 2008 as a five year research demonstraWon project, looking to idenWfy effecWve approaches to housing the chronically homeless in Canada. Supported by the Federal Government through a $110 million investment, the project took place in five locaWons across the country: Vancouver, Winnipeg, Toronto, Montreal, and Moncton. IdenWfying the strengths and weaknesses of exisWng approaches, the project created comparison through the Housing First (HF) model. This is a recovery-orientated model by which clients are provided housing and support services prior to a]aining sobriety or mental stability. This model funcWon on the basis that through the provision of support services and housing stability, recovery from chronic illness increases. Shipping container housing “before”(source: ANra)In Vancouver, ninety project parWcipants were accommodated at HF units sca]ered throughout the City. This included a variety of neighbourhoods from which various buildings could allocate up to 20% of total building units to the project. Site sca]ered units had many posiWve outcomes, including a decrease in emergency department services and fewer numbers of registered legal sentences. The cost of unaddressed homelessness was a primary area of interest throughout the At Home/Chez Soi Project. It is esWmated that current levels of homelessness cost the country seven billion dollars per year. Working from this figure, the project sought to reduce federal spending through the HF model. HF, site sca]ered intervenWon in Vancouver resulted in a total cost of $28,282 per high need person and $15,952 per moderate need person, per year. This resulted in a $24,190 reducWon in cost of supporWng high needs parWcipant, while it resulted in an increase of $2,667 for moderate need parWcipants. Many variables led to the offset of costs, including incarceraWon and hospitalizaWon.Shipping container housing “amer”(source: ANra)ALTERNATIVE HOUSING FORMS + CONSTRUCTION TECHNIQUES: SHIPPING CONTAINERSAcra Women’s Resource SocietyOneesan Housing for Low-‐Income WomenShipping container interior(source: ANra)The AWra Women’s Resource Society opened their newest housing development, Oneesan, in August 2013. The development consists of 12 single-‐units, providing accommodaWon to women at risk of homelessness, six of which must be over the age of 50. The development was made possible 34 City of Nelson -‐ FINAL Affordable Housing Strategy 2014 | October 2014

through the partnership of AWra Women’s Resource Society, BC Hydro, CMHC, as well as community partners. Roberts Creek Co-‐Housing, Aerial (source: Roberts Creek Co-‐Housing Website)Roberts Creek Co-‐Housing, 2 Bedroom homes (source: Roberts Creek Co-‐Housing Website)New wave design and construcWon techniques propelled the project: recycled shipping containers providing the basis for the development. Zoning for the site, located at 120 Jackson Ave, Vancouver, falls within the Downtown Eastside/Oppenheimer zone (DEOD). IdenWfied as a medium density, mixed-‐ use zone, the three storey self-‐contained development suites the community. The project sought to provide livable units that were both sustainable and cost effecWve. The financial implicaWons of an alternaWve construcWon technique were at the forefront of the project, proponents maintaining a thorough cost analysis throughout both planning and construcWon phases. The following factors were idenWfied as having notable influence on cost: site profile, project scale, suite size, and construcWon/durability. The Oneesan development provided cost savings of $22 per sq. p. at the Wme of opening. Cost that were site specific or one-‐Wme research and development costs were deducted in obtaining this figure. Inclusive of total expenditures the project cost $1,093,061. Having received the Real Estate of BC’s 2014 Land Award, the project has been deemed a success by both tenants and the real estate industry. The project has proven to be aestheWcally pleasing while providing much needed affordable housing. ALTERNATIVE HOUSING FORMS + CONSTRUCTION TECHNIQUES: POCKET NEIGHBOURHOODSRoberts Creek Co-‐Housing, Duplex (source: Roberts Creek Co-‐Housing Website)Roberts CreekCo-‐HousingCo-‐housing, also referred to as clustered housing, is a design movement that is gaining momentum. The concept builds on the ideas of community and sustainability. Acquired through the design of clustered small lot residences built surrounding a communal space, co-‐housing promotes interacWon as well as preservaWon of green space. While co-‐housing developments can vary in ownership and rental models, commonly homes are owned privately and faciliWes are shared among residents. Private developments can place restricWons on age and/or children, however, most new developments seek intergeneraWonal and inclusionary communiWes. Roberts Creek Co-‐housing is found in the Sunshine Coastal region of BC. The development consists of 31 homes, a mix of single-‐detached and duplex construcWon. The development sits on a 15 acre lot, of which only eight have been used to create the housing complex, leaving the remaining landscape for recreaWon and leisure. The development is legally structured as a bare-‐land strata, with each resident owning their home and having a common share in shared faciliWes and land. Shared faciliWes at Roberts Creek include a dining room, a children’s play room, a workshop, and a mulWpurpose room among City of Nelson -‐ FINAL Affordable Housing Strategy 2014 | October 2014 35

others. Cost of home ownership within co-‐housing developments is approximately at market rate and is rarely subsidized. However, quality of construcWon is open greater than industry standard and residents are provided the opportunity to decide appropriate costs as a group and acrue buying power. Individual lots sizes at Roberts creek are smaller than the local standard, averaging 3,800 squares feet. Flexible zoning is required in the development of co-‐housing communiWes, as lot size and setbacks open differ from standardized zoning. The District of Summerland has recently created a new zone accommodaWng pocket neighbourhoods: the ResidenWal Pocket Neighbourhood Zone (RPN). The RPN zone provides a minimum development site area of 1,300 metres squared, with a maximum of 4.047 metres squared. In line with current best pracWces, co-‐housing supports and increase in density while maintaining green space. Hollyburn Mews, Site Design (source: Geller Developments)Hollyburn MewsWest VancouverHollyburn Mews is a new development in West Vancouver that is inspired by the pocket neighbourhood concept, but altered in order to fit within the local land use designaWons and zoning of the municipality. The development is a collecWon of duplexes and laneway homes. The duplexes are side-‐by-‐side fronWng the street, and the laneway homes are located to the rear of the lot. Parking for the duplexes are located in the rear of the lot as well, and parking for the laneway homes are a]ached to the laneway home themselves. Each home has a dedicated outdoor amenity space. In this example, the lots are straWfied, and each home owner pays a maintenance fee of $128 per month. Hollyburn Mews, Duplex (source: Geller Developments)The duplexes and the laneway homes have idenWcal floor plans, except the lane way homes are a small version of the duplexes. Each home has the main living area on the ground floor (living room, kitchen, dining), with double master bedrooms upstairs, and a recreaWon room and flex space in the basement. The units at Hollyburn Mews sold at values less than neighbouring homes due to being on smaller lots, offering a more affordable home ownership opWon to the community.King Edward + Inverness StreetVancouverThis “no name” infill development in east Vancouver has a similar design to Hollyburn Mews. This project turned two standard single-‐detached lots and redeveloped it into 6 units: two front-‐back duplexes at the front of the lot, and two laneway homes at the rear of the lot. These homes offered a variety of bedroom sizes to accommodate different family configuraWons. The laneway homes are each 2-‐bedrooms. The “back” duplex units each have 4-‐bedrooms, while the “front” duplex units each have 36 City of Nelson -‐ FINAL Affordable Housing Strategy 2014 | October 2014

3-‐bedrooms. In addiWon, the 4-‐bedroom duplexes each had illegal secondary basement suites. Parking for the laneway homes were a]ached to the lane way homes themselves. Dedicated parking to the “back” duplexes were located at the rear of the lot as well. The “front” duplexes had on-‐-‐street parking. The lot is straWfied, and each unit, including the laneway home, can be purchased and owned. The price points for these homes carried from the 2-‐ bedrooms to the four-‐-‐bedrooms, offering opWons to aspiring homeowners. Similar to Hollyburn Mews, these newly constructed units were listed well below neighbouring houses due to the compact small lots and a]ached forms, offering a more affordable home ownership opWon in a well established neighbourhood close to ameniWes and transit.King Edward + Inverness Aerial Pre-‐DevelopmentKing Edward + Inverness “Back” Duplex (source: MLS)King Edward + Inverness “Front”Duplex with laneway home behind (source: MLS)STANDARDS OF MAINTENANCECity of North VancouverRental Premises Standards of Maintenance and Prevencon of Nuisances Bylaw No. 7931Bylaw No. 7931 of the City of North Vancouver outlines the obligaWons of a rental unit owner, within the district. The overarching maintenance of property includes foundaWons, exterior doors and windows, and roofing among other regulaWons with regard to structural integrity. Also listed are more variable, yet fundamental, provisions including plumbing, lighWng, venWlaWon, and pest control. Part 4 of the bylaw outlines maintenance standards for lodging houses by which all units that are used as sleeping, housekeeping, and dwelling units must comply. RegulaWons within Part 4 describe the responsibiliWes of the lodging house owner and operator with regard to lodging provisions: this includes the number of sinks, washrooms, and square footage of sleeping units. The bylaw reviews the registraWon of tenants through screening, in an a]empt to prevent or abate nuisances. Further described in part 5 of the bylaw, protocol on repeated nuisances, warnings and fees are established. The City Building Inspector may order any persons to comply with the regulaWons stated within. All provisions listed within the bylaw must be adhered to, in avoidance of financial penalty and/or incarceraWon. The adaptaWon of a standard of maintenance bylaw helps ensure that exisWng rental stock is maintained and preserved. City of Nelson -‐ FINAL Affordable Housing Strategy 2014 | October 2014 37

MULTIPLE DWELLING UNIT CONVERSIONSCity of VictoriaHousing Conversion RegulaconsThe City of Victoria has adopted housing conversion regulaWons as of July 2014. A house conversion as defined by the City, infers a change in use: converWng from a single detached home or duplex to a duplex, mulWple dwelling, boarding house, or other. The regulaWons set forth by the City in schedule G of the zoning bylaw, establish the zones where house conversion are applicable, along with restricWons and technical specificaWons. Theses include the minimum floor area permi]ed for self-‐-‐contained dwelling units and individual dwelling units, among others. Restored Jeff Residence from single-detached to mulNple straNfied units (source: Ankenman Marchand Architects)MulWple dwelling conversions operate outside of standard zoning regulaWons, permi|ng increased density. Examples of conversion can be found commonly in older buildings, built larger than modern development. In Vancouver, the Jeff’s Residence has been recognized for increasing residenWal density through its renovaWon and redevelopment. The 1907 dwelling now accommodates 17 rental units, that are adverWsed bellow market rental. The developer was also permi]ed to construct an addiWonal six rowhouses on the lot, an excepWon to the RT-‐5 zone, further increasing the availability of rentals. Through unit conversion, neighbourhood character can be maintained while creaWng invisible density. Jeffs ResidenceCity of VancouverThe Jeffs Residence is a historic single-‐detached Victorian home located in Vancouver. For years, this landmark building was neglected and maintenance was deferred, unWl a developer bought the property and planned to demolish the house and replace it with higher density mulW-‐unit housing. New townhouse development adjacent to Jeffs Residence achieved through density bonusing (source: Ankenman Marchand Architects) Residents of the neighbourhood shared strong senWment for the building, and requested the City to find a way to retain the historic house. From the developer’s perspecWve, it was more costly to restore the home than to demolish it and redevelop the site. The City implemented several tools to solve this housing issue. They first offered density bonusing to allow for townhouse development adjacent to the site (also owned by the developers), as a way to offset the cost of restoring the home. They also allowed for the exisWng heritage home to be converted into straWfied units through their mulW-‐unit conversion regulaWons. The house was eventually restored and converted into 7 units -‐ all were 2 bedrooms except the top floor which was a 1 bedroom unit. They were straWfied into condominiums for purchase. Adjacent to the site were 2 1/2 storey town homes ranging from 3 to 4 bedroom units. 38 City of Nelson -‐ FINAL Affordable Housing Strategy 2014 | October 2014

HERITAGE REVITALIZATION AGREEMENTSBurr Street HRA Development, AerialRelocated heritage house on subdivided parcel (source: MLS)Burr StreetNew WestminsterThe City of New Westminster has uWlized the Heritage RevitalizaWon Agreement (HRA) as a means to restore and conserve heritage property while also encouraging the by product of infill development, including increasing the number of secondary suites and subdividing properWes for infill/compact lots. An example of using an HRA is the recent project on Burr Street. The subject property was an old heritage home on a large lot. The property owner wanted to subdivide the lot and sell the other lot for profit. Subdivision was not permi]ed under the current Zoning and Subdivision and Servicing Bylaw. However, the property owner entered into an HRA with the City to restore the current house, as well as to infill the property with a home that had a rental suite. The property owner relocated an older heritage home from another part of the city to the subdivided parcel, placing it on a new foundaWon that had a high enough ceiling height and window allowance to permit a legal suite. The result of this project was 2 restored heritage homes, one of which was sold well below neighbouring homes because it was on a compact lot. It also created 1 new rental unit with the legal secondary suite. The City benefi]ed by adding 1 affordable home ownership home, 1 new rental suite, 2 restored heritage homes, and infill development that efficiently uses exisWng servicing and infrastructure. The property owner benefi]ed from the profit generated by selling the subdivided parcel. New foundaNon and legal secondary suite in relocated infill heritage house (source: MLS)City of Nelson -‐ FINAL Affordable Housing Strategy 2014 | October 2014 39


APPENDIX D: LEGISLATIVECONTEXT––––––––––––––––––––––––––––––––––––––––––––––––––––––––FEDERAL + PROVINCIAL POLICIES + PROGRAMSThe policies and programs of the federal and provincial governments affect affordability in many ways. UnWl 1992, the federal government was the major funder of new social and co-‐operaWve housing. When federal funding for new subsidized housing was eliminated as a deficit-‐reducWon measure, provincial and municipal governments began to take a much more hands-‐on approach to housing needs. In BC, the provincial government has been both proacWve and facilitaWve in the broad sphere of housing. In relaWon to affordable housing, the government is involved in several ways: • Using tax measures to influence housing affordability, including the Home Owner Grant, Property Tax Deferment Program, Families with Children Tax Deferment Program and the First Time Home Buyers’ Property Transfer Tax ExempWon Program; • Channeling funding for housing and rent assistance to seniors and working families through BC Housing; • Undertaking policy research related to housing; and• Amending legislaWon to provide local government with more tools that can be used in relaWon to affordable, rental, and special needs housing. BC PROPERTY TAX MEASURESIn BC, the Ministry of Small Business and Revenue administers several programs designed to assist homeowners. • The Home Owner Grant helps reduce the amount of residenWal property tax BriWsh Columbians pay. Home owners with an assessed value of up to $1,100,000 may claim 100% of this grant. The Home City of Nelson -‐ FINAL Affordable Housing Strategy 2014 | October 2014 41

Owner Grant is reduced on higher-‐value properWes by $5 for each $1,000 of assessed value over $1,100,000. The basic grant is eliminated on homes assessed at $1,164,000. Residents may qualify for a higher grant if they are a senior, a veteran, a person with a disability, or someone living with a person with a disability. • The Property Tax Deferment Program is a loan program that allows a home owner to defer annual property taxes if they meet the eligibility criteria – the principal criterion being age (55+). • The Families with Children Tax Deferment Program is a loan program that allows a home owner to defer annual property taxes if they are supporWng a child under specific circumstances: (i) a child is under the age of 18 and living with the home owner, or does not live with the home owner but child support is being paid; (ii) a child or stepchild of any age is a]ending an educaWonal insWtuWon; (iii) a child or stepchild of any age has a disability; or, (iv) a chid or stepchild of any age has a sever mental or physical impairment that requires assistance/supervision. • The First Time Home Buyers’ Property Transfer Tax ExempWon Program, introduced in 1994, is designed to help BriWsh Columbians buy their first homes through an exempWon or parWal exempWon from the Property Transfer Tax if the fair market value of the home is less than a threshold amount. As of 2014, the threshold was set at $475,000, with a proporWonal exempWon up to $500,000. BC HOUSING PROGRAMSBC Housing is a provincial agency that plays a vital role in helping meet the housing needs of BC’s most vulnerable residents. The agency works with non-‐ profit organizaWons and local governments throughout BC to increase housing opWons via capital and operaWng programs for low-‐income households. However, owing to federal and provincial budget restricWons, the actual number of new-‐build rent-‐geared-‐to-‐income housing units has been relaWvely small over the past 15 years, parWcularly outside major urban centres. BC Housing also manages two rent assistance programs: Shelter Aid for Elderly Renters (SAFER) and the Rental Assistance Program (RAP). While the SAFER program has been in place for decades, the RAP program was introduced in 2006 to help working families find suitable rental housing. In addiWon to the SAFER program, BC Housing offers other housing programs to help seniors age-‐in-‐place, or to secure affordable and suitable housing: • Home AdaptaWons for Independence. This program offers financial assistance to seniors for home modificaWons that improve accessibility, and promote safe and independent living. This program is offered for low-‐income people (of any age, This program is offered for low-‐income people (of any age, including seniors) with a permanent disability or diminished ability, and who are living in a home they own. Renters are also eligible, but would need the landlord to apply on their behalf. 42 City of Nelson -‐ FINAL Affordable Housing Strategy 2014 | October 2014

• Seniors Rental Housing (SRH). This program provides long-‐term affordable housing for seniors, using rent-‐geared-‐to-‐income (RGI) calculaWon in order to offer rents at 30% of gross income. The difference between SAFER and the dedicated Seniors Rental Housing is that SAFER is a]ached to the individual, who can apply the subsidy to any unit in the private market, while SRH is a]ached to a specific unit. Open, seniors will apply to both the SAFER and SRH programs at the same Wme in order to receive SAFER benefits while waiWng for a permanent SRH unit to become available. In addiWon, seniors over the age of 55 are eligible for the SRG program, while SAFER’s eligibility begins at age 60. • The Seniors Rental Housing Program uses the SRH Housing Income Limits as a guide for eligibility. For Southern BC, the limit is $57,000 (gross income). • Programs similar to SRH are the Assisted Living Program and Seniors SupporWve Housing Program. These programs cater to seniors who require on-‐site support. PROVINCIAL HOUSING LEGISLATIONFrom a legislaWve context, BC has both regulatory and empowering statutes related to housing. In summary: • The Local Government Act sets out specific requirements (e.g. Official Community Plan), and opportuniWes (e.g. amenity zoning) in Part 26. • The Community Charter provides municipaliWes with flexibility to use their regulatory powers in ways that responds to local issues and prioriWes. If housing is a significant local issue, municipal councils can be proacWve. • The Building Code 2012 contains specific provisions for new and exisWng secondary suites. • The Manufactured Home Park Tenancy Act sets out provisions related to the rights and obligaWons of tenants and landlords. • The Strata Property Act comes into play in relaWon to converWng rental housing in strata buildings. LOCAL GOVERNMENT ACT The Local Government Act (LGA) requires an Official Community Plan (OCP) to include housing policies of the local government that address affordable, rental, and special needs housing. The LGA provides flexibility to allow higher density (amenity zoning) in return for the provision of affordable and special needs housing. This enables a local government to enter into a registered housing agreement with a landowner that designates the occupancy of the housing units in terms of tenure, classes of person, administraWon of the housing units, rents and lease, sale or share price, and allows for variaWon of development cost charges (DCCs) according to different sizes, or number of lots. City of Nelson -‐ FINAL Affordable Housing Strategy 2014 | October 2014 43

The LGA also gives a local government the authority to waive or reduce a DCC for non-‐profit rental housing, including supporWve living housing, for-‐profit affordable rental housing, and a small lot subdivision designed to reduce greenhouse gasses (SecWon 933). The LGA also sWpulates that the BC Building Code applies to all municipaliWes. Part 9.36 of the Code applies to secondary suites, and was incorporated following a comprehensive policy review, resulWng in reduced requirements for things such as ceiling heights, and fire safety provisions. Some municipaliWes have opted to establish their own framework of equivalent requirements for exisWng suites, where it is open difficult to achieve the requirements of the Code, and is in the interest of facilitaWng their legalizaWon. COMMUNITY CHARTER The Charter gives municipaliWes the authority to legislate in relaWon to a number of broadly stated spheres of jurisdicWon. SecWon 224 sets out clear authority for a municipality to provide a property tax exempWon for a specified term where land or improvements are owned or held by a charitable, philanthropic, or other not-‐for-‐profit corporaWon. STRATA PROPERTY ACT The legislaWon comes into play regarding rental housing. In order for an owner to convert an exisWng rental building into strata lots, approval of the approving authority must be received. The Act specifically allows an approving authority to consider, among other things, the priority of rental accommodaWon over privately-‐owned housing in the area. If the approving authority approves the conversion, it may impose condiWons. BEYOND THE LEGISLATION Partnerships: Philanthropic Sector, Non-‐Profit Housing SocieWes + Private Market Developers Outside of the specific provisions of the Community Charter and the Local Government Act, local governments in BC have gradually become more acWve in housing. Together with health and social service providers, local governments have the earliest warning and clearest understanding of a community’s housing needs. They are also a logical enWty to facilitate mulW-‐stakeholder discussions. Larger BC municipaliWes have taken the step of assigning staff to work specifically on housing-‐related ma]ers. In most BC municipaliWes, however, limited resources preclude doing this and, instead, they must make progress incrementally, balancing compeWng community interests, and Council prioriWes. Partnerships have proven to be the best way to increase the supply of affordable housing. With limited government funding and borrowing, there has been an interest in exploring other funding sources, including the philanthropic sector and local government. In BC< community organizaWons such as the Vancouver FoundaWon, the BC Real Estate FoundaWon, and other foundaWons have been a source of grants for some housing providers. 44 City of Nelson -‐ FINAL Affordable Housing Strategy 2014 | October 2014

Other forms of local government contribuWons to partnerships include reduced fees and charges, and fast-‐tracking approvals. Rarely do local governments provide any cash contribuWon, or become involved in mortgage financing. Local governments someWmes become partners with a non-‐profit housing provider, and BC Housing to build (or acquire) more housing to meet the needs of people who live or work in the community. IncorporaWng a non-‐profit housing society can be achieved under the Society Act of BriWsh Columbia, in which the purpose is to be of a philanthropic, social or related nature. It is essenWal to understand that the greatest component of non-‐market rental housing is the operaWng subsidy (monthly subsidy to make up the shortall between rents and actual operaWng costs, including mortgage payments). BC Housing is the primary source of operaWng subsidies and the agency must target its resources to specific groups, usually those in greatest need with the least housing choice. In recent years, BC Housing’s supply-‐side programs have been Wghtly focused on people who are homeless or at-‐risk of homelessness. In the last several years, there has been a renewed interest in creaWng partnerships to assist people with minimal equity to become home owners. There are relaWvely few examples of this in BC. For a pilot project in Salmon Arm, BC Housing is selling 11 two-‐bedroom strata apartments to qualified buyers. The Canadian Mental Health AssociaWon is also administering a home ownership program. Private market developers are also potenWal partners, parWcularly in projects that involve home ownership. Some developers specialize in providing housing designed for families and individuals with modest incomes, and low or no down payment. Lending insWtuWons can also be viewed as potenWal partners. Through innovaWve mortgage products (e.g. laddered mortgages, springboard mortgages, second mortgages), individuals and families with good credit records, but limited cash flow, can ease their way into home ownership. Local credit unions and bank branch offices are also a potenWal source of advice; some offer home ownership literacy programs. Further, local governments could provide either land or staff resources, or a combinaWon of both, to facilitate the development of affordable housing. A few local governments have a long history of land banking for affordable housing (e.g., Saskatoon, Vancouver), but most local governments have few and sca]ered land holdings, and these are not always well located for housing purposes. However, if land is a possible contribuWon to a partnership, it is significant – whether in the form of a long-‐term lease at below-‐market rates, or a discounted sale. City of Nelson -‐ FINAL Affordable Housing Strategy 2014 | October 2014 45

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