ONTARIO, January 11, 2025 –– Recently, the Canadian Federal Government released its 2024 Fall Economic Statement, setting its financial priorities for the coming year. Following a sustained push by the cooperative housing sector, the Fall Economic Statement included a commitment worth $362.6 million to extend the Federal Community Housing Initiative [FCHI] by 5 years. The programme was previously scheduled to end in 2028.
Housing cooperatives welcomed this news, as FCHI enables coops to be inclusive, mixed-income communities. FCHI provides rental assistance for low-income households living in housing co-operatives and non-profits. It ensures that those households pay no more than 30 percent of their income for their housing charge [rent]. Because the housing charges in coops are so much lower than in the private rental market, the cost to the government for this program is also low, compared to supporting the same households in the private market.
“The commitment to extend the Federal Community Housing Initiative reflects an understanding and appreciation of the inclusive nature of the coop housing model. Coops are relieved to be able to continue to offer secure and affordable homes to households with a range of incomes into the future, especially persons with disabilities, seniors and young families, because of this programme extension,” said Tim Ross, Executive Director of the Cooperative Housing Federation of Canada.
He added; “Coop housing changes lives, and the deeply affordable cooperatives homes made possible by the Federal Community Housing Initiative will be a lifeline for many, especially at a time when 57 percent of Canadians fear losing their home if their financial situation were to change.”
FCHI is available in British Columbia, Alberta, Ontario, Quebec and Prince Edward Island. In other provinces, responsibility for rental assistance rests with provincial governments.
“The financial stability provided by the extension of FCHI will also allow co-ops to pursue refinancing to undertake repairs and renewal, as well as development,” added Cassia Kantrow, President of the Cooperative Housing Federation of Canada. “Going forward, we hope this program can be made permanent and extended to new coops being developed. We also hope rental assistance programs can be as strengthened in jurisdictions where provinces hold responsibility.”
Beyond today’s FCHI extension, CHF Canada continues to emphasise the critical need for more investments in cooperative and non-profit housing across the country, including those that:
- Build significantly more coop homes. Canada must, at minimum, double the proportion of non-profit and coop homes available to Canadians; this will require dedicated resources such as scaling the Cooperative Housing Development Program to meet co-op construction demand.
- Advance Indigenous housing rights by implementing $4.3 billion for the Urban, Rural, and Northern Indigenous Housing Strategy, led by the Indigenous housing sector. Providing culturally appropriate, and affordable housing is an important way for Canada to advance reconciliation.
- Accelerate the Canada Rental Protection Fund. Coops and non-profits are ready to purchase relatively affordable properties, which can stabilise rents and keep tenants secure in their own communities. The government should rapidly implement this fund, and delegate fund management to the cooperative and non-profit housing sector.
CHF Canada remains committed to working alongside all levels of government, cooperative housing members, and sector partners. Together, we can build a future where everyone has access to housing that meets their needs.
https://thecooperator.news/canada-cooperative-housing-development-programme-launched/
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