[homeles_ot-l] FW: Toronto Star: Rent Bank runs out of money

[Lynne Browne]

FYI

   _____  

From: Jennifer Ramsay [mailto:ramsayjg at lao.on.ca] 
Sent: April 30, 2008 5:45 AM
To: hhno-on at povnet.org
Subject: [hhno-on] Toronto Star: Rent Bank runs out of money

 

Letters to the editor are always helpful, particularly if you have personal
experience with your local rent bank, and particularly if you are outside of
Toronto.  The government is embracing the program with one hand, but not
holding out an annual allocation with the other.

 

Jennifer Ramsay

Advocacy and Outreach Coordinator

Advocacy Centre for Tenants Ontario (ACTO)

425 Adelaide Street West, 5th Floor

Toronto, ON M5V 3C1

HYPERLINK "http://www.acto.ca/"www.acto.ca

416-597-5855 x5168

Toll free: 1-866-245-4182

E-mail: ramsayjg at lao.on.ca

 

 

HYPERLINK
"http://www.thestar.com/News/Canada/article/419837"http://www.thestar.com/Ne
ws/Canada/article/419837

 

Rent bank runs out of money 

Agencies scramble, but province says funds will be available

Apr 30, 2008 04:30 AM Laurie Monsebraaten 
Social Justice Reporter

Emergency housing agencies across Ontario are scrambling to help families
facing eviction in the wake of news this week that funding for the
province's rent bank program has officially run out.

"We are really in shock," said Gladys Wong of the Neighbourhood Information
Post who co-ordinates eight rent bank programs in Toronto. "For low-income
families dealing with a sudden illness, death or job loss, this program has
been a life line. Without the rent bank, who will these families turn to?"

The program, which allows low-income households facing short-term cash
problems to borrow money interest-free for rent, helps people who are not on
welfare and not living in subsidized housing. It was lauded last year by
Premier Dalton McGuinty for "helping families stay in their homes during
tough times." Since it began in 2004, the program has provided $18.8 million
to help 13,200 households avoid eviction.

The City of Toronto received notice from the housing ministry yesterday that
the rent bank is not being funded for 2008-09, said Councillor Joe Mihevc,
chair of the community development and recreation committee.

"This is one of the most cost-effective programs in terms of keeping
low-income working families housed," said Mihevc. "Not to renew the rent
bank with stable funding makes absolutely no sense."

There was no money allocated to the program in last month's provincial
budget.

However, in an email yesterday, a spokesperson for Housing Minister Jim
Watson said the program is not ending and that funding would be made
available.

To questions in the Legislature, Watson said the government is "very proud
of the program."

"It gives people the dignity of a roof over their heads," he said, adding
that it has helped the province save $7.7 million in emergency shelter
costs. "We will be there to help those individuals and to help those service
managers by providing funding, as we have since 2004." 

Neither Watson nor his office would explain why the government is not
prepared to allocate a specific amount to the program this year.

Last year, the province allocated $4.8 million to rent bank programs,
including $1.2 million in Toronto. 

One of those helped was James Thiruna, 48, a computer programmer who is
delivering sandwiches part-time for $8 an hour because he can't find work in
his field.

Thiruna, who pays $700 a month for an apartment above a store, said that
when his car broke down in 2006 and needed $550 in repairs, he was facing
eviction until he was able to secure a $700 no-interest loan from the rent
bank.

Thiruna repaid the loan in $50 monthly instalments last year. But about
three months ago he got behind again and took out another loan to avoid
eviction.

"I have a very good record. I always pay them back," he said.

Landlords like the program too, said Bob Deb, a property manager for GIC
Investments. "When someone gets several months behind in their rent and I
know they have an intention to pay, I refer them to the rent bank and we
don't evict them," he said.

 

Lynne Browne 
Coordinator, Alliance to End Homelessness 
147 Besserer Street, Ottawa ON  K1N 6A7 
613-241-7913 x 205, lbrowne at ysb.on.ca 
www.endhomelessnessottawa.ca 

 


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