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National housing strategy sought

Maple Ridge councillor wants to know why feds won't re-institute tax breaks to help rental housing

The evidence keeps coming in, that the costs of dealing with homelessness are three or four times what it costs to provide someone a home, says Coun. Cheryl Ashlie.

So will the federal government ever create a national housing strategy or reinstate tax breaks and incentives to encourage investors to build rental or apartment projects?

Ashlie posed the questions to MP Randy Kamp at Monday’s Maple Ridge council workshop.

She said the topic came up at the Union of B.C. Municipalities convention adding there are no good incentives for investors, following removal of those incentives previously.

“Is there any consideration around that … to reduce that impact?”

Kamp said he hasn’t heard Finance Minister Jim Flaherty say he wants to do that.

But he said he’ll raise the question with the minister.

“If not, can we have the answer back as to why not?” That area continues to come up in discussions about housing, Ashlie said.

According to a 1998 study for the Canadian Federation of Apartment Associations, the tax changes began in 1972 and clamped down on capital cost allowances and tax deferrals and slapped taxes on gains made when apartment buildings were sold.

Kamp, though, pointed out that the federal government gives money directly to the provinces for housing, and that tax incentives from previous programs add up to about $2 billion a year. The federal government believes those decisions should be made at the local and provincial levels, he added.

For instance, the federal government gave B.C. $90 million under the Affordable Housing Framework program last July.

“I know that … some people would like a more robust, comprehensive national housing strategy, but this is the approach the federal government has taken,” Kamp said.

Coun. Al Hogarth wanted to know if the government would change building standards, requiring new homes to be adaptable for those with physical disabilities. That would allow people stay in their homes as they age.

However, the building code is a provincial matter.

Hogarth said something as simple as installing sink drains lower can make it easy to convert a condo to accessible housing, allowing people to stay in their homes.

Peter Simpson, CEO of the Greater Vancouver Home Builders Association, supported tax breaks for apartment owners and the call for a national housing strategy.

“When it comes to building market rental housing … there’s very little being built. “The problem is, there’s very little return on investment.”

Incentives would help and are long overdue, he added.

Simpson said affordable rental housing also helps local business by providing a ready supply of labour.