[homeles_ot-l] Homelessness is bad for the government and it is not free- media release: Ont. Budget/ATEH presentation
Lynne Browne
lbrowne at ysb.on.ca
Fri Nov 21 16:10:50 EST 2008
Hello all,
Below is the Media Release, followed by the presentation made by the ATEH
Vice Chair, Marion Wright, at the Ontario Pre-Budget Consultations with
Finance Minister Dwight Duncan. The presentation was sent to the Mayor and
Council. We thank you in advance for your efforts to ask City Council to
seek more funding from the province for new affordable housing.
Lynne Browne
Coordinator, Alliance to End Homelessness (ATEH)
147 Besserer Street, Ottawa, ON K1N 6A7
HYPERLINK "mailto:lbrowne at ysb.on.ca"lbrowne at ysb.on.ca, 613-241-7913 ext 205
www.endhomelessnessottawa.ca
For immediate release, November 20, 2008. Please see media release below
with costing and background notes in presentation.
HOMELESSNESS IS BAD FOR THE GOVERNMENT and it is not free
Act on and fund poverty reduction in the 2009 budget, but recognise that
homelessness is the extreme indication of poverty.
This morning Marion Wright, Vice Chair of the Alliance to End Homelessness
(ATEH), spoke at the Ontario Pre-Budget Consultations with Finance Minister
Dwight Duncan. Jim Watson, Minister of Municipal Affairs and Housing, took
part in the session as did Ottawa Centre MP Yasir Naqvi. Ms Wright’s
presentation is attached and follows with costing and background notes.
Our understanding is that Minister Watson is meeting with the Mayor and
Council today and we have asked Council members to seek more than the 11.7
million for affordable housing from the Province and to seek additional
money to create new affordable housing in addition to funds for housing
repairs.
Ottawa and Ontario are facing the need to stimulate the economy to survive
the current economic downturn. ATEH stressed two points to Council from Ms.
Wright’s presentation on the Provincial Government’s strategic investments:
(1) act on and fund poverty reduction in the 2009 budget, but recognise that
homelessness is the extreme indication of poverty; and (2) homelessness is
bad for the Government and it is not free; the province can pay for the
creation of affordable housing in combination with other poverty reduction
measures or it can pay for emergency shelters, hospitals or jails for
homeless people.
ATEH recommended the 2009 Provincial Budget:
1. Act on and fund poverty reduction in the 2009 budget, but recognise
that homelessness is the extreme indication of poverty.
2. Act on substantially increasing public investments in affordable
housing in the 2009 budget as part of an overall economic stimulus package.
Ms. Wright gave six reasons why the Province of Ontario should act on
affordable housing as a priority:
1. Housing is good for the economy;
2. Housing is good for the government;
3. Stable housing is a precondition for economic stability;
4. Homelessness is bad for the government and it is not free;
5. Housing insecurity is bad for people;
6. Housing insecurity is bad for the economy.
The Alliance to End Homelessness will be advocating for these
recommendations with MPPs and other decision makers over the next months.
-30-
For more information or to arrange an interview with Marion Wright contact:
Lynne Browne
Coordinator, Alliance to End Homelessness
147 Besserer Street, Ottawa ON K1N 6A7
Cell (613) 513-6647, Office (613) 241-7913 ext 205
HYPERLINK "mailto:lbrowne at ysb.on.ca"lbrowne at ysb.on.ca
ATEH Presentation Notes
The Honourable Dwight Duncan, Minister of Finance
Ottawa Pre Budget Consultation, November 20, 2008, 9-12 p.m.
Presented by Marion Wright, Vice Chair of Alliance to End Homelessness in
Ottawa, which represents over 70 organizations helping people who are
homeless or at risk of losing their homes in Ottawa.
Setting the background for our community
In 2007
* only 73 new affordable housing units built in 2007 following 239
units in 2006
* 8,915 individuals stayed in shelters in 2007 and 1.237 were children
* 9,370 households are on the social housing waiting list and 2000 are
on the supportive housing waiting list
Now we are all facing the need to stimulate the economy to survive the
downturn.
For the past several months in Ottawa
* Shepherds of Good Hope shelter has been taking in the overflow from
some other shelters and people are sleeping on the floor in the dining hall
and chapel every night and this started before our current economic crisis.
There’s a severe lack of affordable housing to help people find and too
little supportive housing to move chronic shelter users into as the number
of people experiencing homelessness increases.
* The number of families in shelters has significantly increased in
the past few months too so we are using overflow accommodation for them as
well. Last year it took an average of 42 days to find housing for families.
Two recommendations for the Government’s strategic investments through its
five-point economic plan:
1. Act on and fund poverty reduction in the 2009 budget, but recognise
that homelessness is the extreme indication of poverty.
o Homelessness is a profound signal that the province needs to
strengthen its expenditures for all aspects of homelessness. This includes
homeless services, at risk of homelessness services and the creation and
maintenance of affordable housing along with other poverty reduction
measures.
2. Act on substantially increasing public investments in affordable
housing in the 2009 budget as part of an overall economic stimulus package.
o This is a priority even if a deficit is necessary. In terms of
economic multipliers, public investment in housing delivers just about the
biggest bang for the buck in terms of direct and induced jobs, other
economic activity, and increased taxes back to the Ontario government.
Six reasons why the Province of Ontario should act on affordable housing as
a priority:
1. HOUSING IS GOOD FOR THE ECONOMY: Every dollar invested in housing
creates two dollars in additional economic activity, and induces as much as
seven additional dollars in economic activity.
Supporting points:
a. A 2007 study of nine U.S. cities found that every dollar invested in
affordable housing had a multiplier effect of 1.93.
b. A detailed study of three housing projects in Oregon put the
multiplier at 2.1, and noted that the housing also leveraged as much as
seven additional dollars for every dollar invested.
c. An Ontario study in the early 1990s found that every 1,000 new co-op
homes generated 2,210 person-years of employment.
2. HOUSING IS GOOD FOR THE GOVERNMENT: New affordable housing
increases tax revenues for the province and for municipalities as well,
though of direct and induced jobs and other economic activity.
Supporting points:
a. The latest annual report from Toronto Community Housing
Company (the biggest landlord in Canada and largest provider of affordable
housing) reports that its single biggest expense in fiscal 2007 was $111
million in municipal property taxes - almost 20% of the entire budget.
TCHC's annual tax bill is 10% larger than the entire amount that it spends
annually on building operations, maintenance, community support and
community safety. An Ontario study in the early 1990s found that every 1,000
new co-op homes generated $45 million in tax revenues.
3. Stable housing is a precondition for economic stability: All the
other poverty reduction measures will not be effective if individuals and
families are not stably housed.
Supporting points:
a. The Report Card on Homelessness in Ottawa now has four years of data
that show the trend in the shelter use is at best flat. The trend in the
amount of affordable and supportive housing is also relatively flat and the
combination of high rents and low incomes creates homelessness.
4. HOMELESSNESS IS BAD FOR THE GOVERNMENT and it is not free: The
province can pay for the creation of affordable housing in combination with
other poverty reduction measures or it can pay for emergency shelters,
hospitals or jails for homeless people. There are no other options, but we
need to acknowledge the province has a choice.
Supporting points:
a. The Government of British Columbia says that the annual public cost
of homelessness is $30,000 to $40,000 per person annually. This is the
most-often cited official estimate and includes social services, health and
policing costs.
b. For Ottawa, that would be nearly 3 billion (8915 people X $30,000 =
$2,674,500,000.
c. We have no Ontario breakdown on homeless numbers yet but based on
estimates of up to 300,000 homeless people in Canada, the federal public
cost of homelessness is up to $12 billion annually.
5. HOUSING INSECURITY IS BAD FOR PEOPLE: Homelessness undermines and
halts an individual or a family’s ability to contribute to and participate
in all aspects of civil endeavor from work and education to physical and
mental health to engaging with others in their community.
Supporting points:
a. Numerous research studies at the international (World Health
Organization), national (Public Health Agency of Canada, Canadian Institute
for Health Information) and local levels all draw the direct link between
poor housing and increased morbidity (illness) and premature mortality
(early death).
6. HOUSING INSECURITY IS BAD FOR THE ECONOMY: In conclusion, a quote
from TD Economics (2003): "We are used to thinking of affordable housing as
both a social and a health issue... However, working to find solutions to
the problem of affordable housing is also smart economic policy. An
inadequate supply of housing can be a major impediment to business
investment and growth, and can influence immigrants’ choices of where to
locate."
Supporting points:
a. Toronto Board of Trade (2003): "The severe shortage of affordable
housing is one of the major issues facing the city. It is a longstanding
concern of the Toronto Board of Trade and a key component of the Board’s
call for a new deal for Toronto.
The Alliance to End Homelessness will be advocating for these
recommendations with MPPs and other decision makers over the next months.
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