NDP home plan double-counts thousands of Liberals’ units
4,900 residences included in 33,700 total because additional $75 million kicked in
VICTORIA The NDP government’s plan to build a record amount of affordable housing will doublecount almost 5,000 housing units that were funded under the previous Liberal administration.
The new government promised the “largest investment in affordable housing in B.C.’s history” in last week’s provincial budget, with $6.2 billion allocated over 10 years to build 33,700 units of affordable rental, student and supportive housing — but almost 15 per cent of that total is the 4,900 housing units already started and funded by the Liberals.
The Liberals spent $355 million in February 2016 and $500 million in September 2016 on housing, which then-premier Christy Clark trumpeted as “by far the biggest amount that any government has invested in British Columbia’s history in affordable housing.”
Of that pot of money, 852 housing units are complete and 4,430 are in development or construction.
The NDP was able to count the bulk of those units as its own in last week’s provincial budget because it topped off the Liberal investments with another $75 million that the new government said was needed to improve affordability.
“We’re taking $75 million to ensure those 4,900 rental homes are actually affordable,” Housing Minister Selina Robinson said. “They were just too expensive.”
Robinson said the $75 million was used as capital to drive down the development and mortgage costs, thereby lowering the final rent.
She said that meant a Vancouver project with 61 units saw planned rents of $2,428 a month for threebedroom units fall to $1,663, and rents of $950 for one-bedroom units fall to $845.
In a Kelowna project, she said it drove the price of a three-bedroom unit from $1,483 a month to $1,129.
“What would be the point of having a project that people couldn’t afford, and calling them affordable housing?” Robinson asked. “That’s a misnomer. We put in additional capital grants to make sure they meet people’s needs ... that’s enough to get them to the point where they are actually affordable.”
However, the money also allows the NDP to take 100 per cent of the credit for old units by increasing new funding by only nine per cent. Robinson rejected the suggestion it was done for that reason.
“Why wouldn’t we count projects that we’re choosing to make investments in?” she said.
“This is our government fixing an old government problem, because it was not good enough. They ignored affordability.”
Liberal critic Shirley Bond said the government should provide a clear list of all the proposed projects, including the ones already in progress from the previous government, so the public can see exactly what is being built.
“This seems to be another example of the B.C. NDP not keeping the promises they made to British Columbians,” Bond said.
“The premier promised to build 114,000 new homes and they have reduced that to 33,000 in the budget. And now it seems the NDP is not only double-dipping when it comes to taxing, they’re double counting some of the 33,000 units.”