Ottawa committee keeps $7M for social housing
Last Updated: Wednesday, May 16, 2007 | 9:48 AM ET
CBC News
An Ottawa city council committee has decided that $7 million originally earmarked for social housing will remain dedicated to that purpose, even though city staff had recommended it be used to keep down taxes for homeowners.
The money was part of $60 million in one-time funding from the provincial government that staff had recommended putting in a special tax stabilization reserve fund. Money would be pulled out of the fund in tight budget years to offset possible tax increases for homeowners.
However, the city's corporate services committee decided Tuesday that it would remain dedicated to social housing.
"We've got the money, we have the need, it's time to move on," said Coun. Diane Deans, one of most councillors on the committee who voted against the staff proposal.
Other uses for money 'unacceptable': advocate
Advocates for the 11,000 Ottawa families waiting for social housing told the committee that their needs have already been put off too long.
Joseph Zebrowski, the president of the Co-operative Housing Federation of Canada's Ontario Council, said that his group has worked with the city to identify priorities and projects that need to get moving.
"The money's really late coming here, and to have it sit in some unmarked account for a long time, where it could be tempting to put it to other uses, is just unacceptable," he said.
Karen Sexsmith, the managing director of the Co-operative Housing Association of Eastern Ontario, said funding delays can cause the cancellation of social housing development projects, which take up to two years to put together.
"So even though it's a little bit of money, it can make or break a project."
The move doesn't mean new social housing projects will go ahead, city staff said. They expect the funds will be used to repair existing units.
The corporate services committee also voted to spend $10 million of the provincial money on rural road repairs, something that West Carleton Coun. Eli El-Chantiry had been pushing.
