City Makes Policy Changes To Support Affordable Housing
Fredericton (November 18, 2009) – The City of Fredericton is making changes to some of its planning policies to make it easier for non-profit organizations to build affordable housing units.
“There is a growing need for affordable housing units in our City,” said Councillor Mike O’Brien, who chairs the City’s Committee on Affordable Housing. “We have identified specific things we can do to make it easier for non-profit groups to fill this need.”
Speaking during the City’s third annual Affordable Housing Day forum, Coun. O’Brien said the City has come up with a four-point plan. First, the Affordbale Housing Committee will assume the role of advocate, facilitator and supporter for new affordable housing projects brought forward by the non-profit sector.
“We will take a proactive role in guiding them through the development process and educate them about who they need to be talking to,” said Coun. O’Brien. “The process can be daunting and we think we can provide valuable support.”
Secondly, the City will defer its requirement for upfront payment of land development fees and water & sewer connection fees, until the non-profits receive funding available from the provincial and federal governments.
“These upfront fees were placing a financial hardship on non-profit agencies waiting for funding from other levels of government to come through,” said Coun. O’Brien. “We will defer our fees as long as the non-profits have a letter of guarantee from the other levels of government so they have one less hurdle to overcome.”
Thirdly, the City is amending its land discount policy for community non-profit social agencies like Habitat for Humanity interested in building single, residential affordable housing units.
“These groups will be offered building lots we own at a discount that is 10 per cent below the current allowable price, which in effect would give them a 20 per cent discount over the asking price,” said O’Brien.
And fourthly, the City’s Committee on Affordable Housing will begin meeting with representatives of Saint John and Moncton to share ideas to encourage more affordable housing options. The four-point plan will go to City Council next Monday for ratification.
The third annual Affordable Housing Day form was sponsored by the City of Fredericton, the N.B. Department of Social Development, the Canada Mortgage and Housing Corporation, the Fredericton Community Action group on Homelessness and Service Canada. The forum included a panel discussion about the evolution of affordable housing in Fredericton. Keynote speaker for the event was Social Development Minister Kelly Lamrock.
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Media Contact: Joanne Thomson, Community Liaison Coordinator, City of Fredericton, Communications, (506) 460-2188.
