THUNDER BAY — City council has rubberstamped a revised ask to a federal government fund meant to spur housing development.
Originally a $50 million ask, staff have said that the now $45-million application to the Federal Housing Accelator Fund, should it be approved in full, could help support the construction of roughly 1,700 new housing units over three years.
The program is meant to kickstart 100,000 new home builds across the country, with a focus on urban infill and affordable housing.
At Monday’s council meeting, Coun. Rajni Agarwal said that Thunder Bay continues to be in an extreme housing shortage situation, and waiting for approval of the application is not enough.
“[There is a] shortage for any type of housing for the university students [and] the international college students. There's [going to be] an intake of close to 2,000 international students coming [here] in September [and] there is no housing available for them,” she added. “We are having an urgency in this matter beyond anything that we can imagine for our city with housing being at a shortfall. These international students are paying a premium and they have no place to live.”
The councillor asked administration how they can reduce red tape and get more proactive in getting permits done.
“There have been many changes that [in fact have] increased permissions to build houses and homes and add additional units in Thunder Bay. So, this is work that will be continuing regardless of the application,” answered Joel DePeuter, the city’s director of development services. “[We also recognize] that the council has prioritized the development of housing in the strategic plan.”
DePeuter noted that Thunder Bay will face stiff competition for the federal dollars, and is unlikely to receive the full amount it’s seeking on paper.
Municipalities are expected to submit an action plan with their applications to the program, detailing specific steps they will take to reach their housing targets.
The city’s application lays out growth scenarios through 2026 that range from creating 865 new units all the way to 2,273 new units.
However, based on current trends and without support from the housing accelerator program, the city is on track for just 521 new builds in that time frame, staff reported.
The federal government included $4 billion for the housing accelerator program in the 2022 budget, running through 2027.
The deadline for the city’s application is on Friday, with an application decision expected to happen in November.
