Canadian Government Executive - Volume 28 - Issue 01

January/February 2022 // Canadian Government Executive / 19 HOUSING ers, consider a strict national tax on foreign home ownership (which influences housing affordability) and use informational tools at their disposal to educate citizens on the risks of taking on too much debt. While the federal government should be providing provinces and territories with financial resources to implement housing policy, there is a need for increased collaboration between these levels of government. Any funding provided must allow for enough flexibility for provincial governments to adapt housing programs to their specific market realities and regional differences. Similarly, provinces and territories would also have to ensure that any housing policies implemented at the regional level are aligned with the guidance and priorities established by the federal government, which can be facilitated by determining agreed-upon shared values between municipal, provincial and federal governments. Provincial and territorial governments also have their own housing funding programs that can be leveraged to increase affordable supply. Despite the fact that there are current initiatives that provide funding to supply northern and indigenous housing, more can be done to improve affordability in the northern regions. All levels of government involved in delivery housing programs, particularly territorial governments in these areas, must involve Indigenous housing providers and allow them to take the lead on which initiatives reflect their reality. Despite the financial requirements of increasing housing supply and the limited financial resources at the local level, municipal governments are likely the best positioned for responding to housing affordability challenges. They are more responsive to their citizens’ needs and they have the tools at their disposal to promote affordable housing at minimal cost. For example, municipalities can strategically use land zoning to create affordable rental units where there is a limited supply and remove or convert existing housing stock to meet a specific community’s needs. In addition to creating new affordable housing, these tools can also be leveraged to preserve existing rental housing that is affordable and prevent this existing supply from being demolished and converted into private homes or condominimums. For example, municipalities can enact by-laws for rental housing that have a certain number of rental units. Some other high-impact initiatives from municipalities include grants and loans, albeit at a higher cost. Municipalities can also leverage their proximity to the community to work with local stakeholders in the development of housing policies by using various education and advocacy measures. Through consultations, housing needs assessments, identification of existing assets, opportunities for housing development, clarification of roles and responsibilities, and the creation of a robust development plan, they can prioritize efforts and achieve buy-in from different stakeholders involved. Finally, non-governmental institutions also have the ability to play a big role in the creation of affordable housing. Municipalities can leverage this non-governmental expertise by creating public-private partnerships with financial institutions, developers and non-profits to increase capacity to finance, deliver and manage programs. This will increase access to resources while also providing the necessary oversight from the public sector to ensure alignment with affordable housing objectives. It is clear that a lot more can be done to increase affordable housing supply; however, the changing dynamics of intergovernmental relations over the years have increased the complexity of effectively managing the crisis. To promote accountability at all levels of government, the aforementioned division of responsibilities must be clear at all levels and buy-in is required. To facilitate this buyin between different levels of government, there must be proactive collaboration in addition to effective sharing of resources - particularly financial resources. The complexity of this issue requires each level of government to have access to the tools required and then work together to solve it. Conclusion It has been widely accepted that housing affordability is one of the biggest challenges of our time. Limited housing supply and record demand has accelerated prices and increased inequality. Over time, different levels of governments have seen shifting responsibilities, which has added complexities for addressing the issue of housing affordability. Today, the federal government has created Canada’s first national housing strategy to motivate stakeholders to increase affordable housing supply. They must continue to provide policy guidance and the financial means to facilitate the process at other levels of government. This support, however, must provide some flexibility for regional realities but should be aligned with a shared value system established between the federal and provincial levels of government. Finally, municipal governments should play a larger role in the provision of housing by leveraging their proximity to the community and the tools at its disposal to promote affordability. To conclude, each level of government has its role to play, but this does not mean that they should work in isolation. Instead, the only way we can begin to hope to solve the affordability crisis is through the full cooperation, collaboration, and sharing of resources among all levels of government as well as non-governmental institutions. The affordable housing issue cannot be addressed without considering the housing crisis northern Canadian communities are currently facing. Much of the current supply in these areas is in extreme disrepair and poses a real risk to the communities living in these regions.

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