Finance Committee on Oct. 8th, 2014

[Michael Shapcott]

Thank you.

The first recommendation is that we believe the federal government needs to increase its spending on its federal homelessness strategy.

In 2013 it announced a five-year extension, but it froze the funding. We know that most of that money, 80%, goes to 10 large municipalities, with the rest going to 51 smaller municipalities. So our first recommendation is to increase the federal homelessness strategy funding by 10%.

Secondly, the federal government announced in 2013 a five-year extension of the investment in affordable housing program. We're recommending it should be doubled to $500 million, because once again the funding was frozen for a five-year period when the need is growing.

Thirdly, we join with many others—municipalities, housing organizations, and others—in saying that the federal government needs to reconsider its decision to allow an overall decline in federal housing investments. This is one of the reasons that the federal government can make a $2 billion investment in affordable housing, as it did in 2009, yet we can still be further behind now than we ever were before, because in the background more money is being taken away.

[Marjolaine Boutin-Sweet, NDP, Hochelaga, QC]

I agree with you that the money spent on housing and homelessness is an investment and not just an expense.

I would like you to speak more about homelessness. The 2013 budget contained a reorientation of HPS, and a large portion of the budget was set aside for housing. A number of groups had a problem with that. In Quebec, the RAPSIM, the RSIQ, the Government of Quebec and the City of Montreal felt that all the eggs were being put in one basket.

I know that, in Quebec, we prefer a general and community approach. I would like your opinion on that.

[Michael Shapcott]

We certainly think the housing and homelessness needs across the country are different. They're different in Vancouver from what they are, for instance, in a small community in rural Newfoundland and Labrador, and different again in downtown Toronto, where I happen to live, from say, some parts of Quebec, which you're more familiar with.

There isn't such a thing as a “one size fits all”, and we're always very cautious when someone proclaims that there is a magic solution that will meet all the needs of the 200,000-plus homeless people in the country.

Certainly, Housing First is a very robust model. The federal government and the Mental Health Commission of Canada demonstrated through the At Home/Chez Soi project that for the 3,000 homeless people who were part of that project, it was the difference literally between life and death and resulted in housing stability. So we know that that model works, but it doesn't work for everyone, and it shouldn't be imposed.

Similarly, on the financing thing we're saying that the federal government does need to increase investments, but we also think the federal government needs to look for alternative and other investments as well. We know that the federal government alone can't solve the housing and homelessness infrastructure needs of Canadians.

[Marjolaine Boutin-Sweet, NDP, Hochelaga, QC]

Mr. Coulombe, you mentioned that 76% of the cost for infrastructures go to the municipalities. Recently, the FCM mentioned that no portion of the new building Canada fund was reserved for the municipalities. Given that the municipalities have such a large bill and they are responsible for the vast majority of infrastructures, what would you recommend to the federal government for the next budget with respect to this?

[Robert Coulombe]

Indeed, the municipalities assume 76% of the bill. For the municipalities to benefit from the investment, they would need to find an economic formula. In the context of economic activity, the federal government receives 30 cents on every dollar for taxes, and the same is true for the Government of Quebec. However, the municipalities collect absolutely nothing.

We want to continue our efforts. However, to ensure that the communities can continue to make these efforts, we need the government to be more involved. The building Canada fund has done a considerable job in helping the country to weather the crisis. Everything the municipalities have done together with the provinces and the federal…

[The Chair, Conservative, James Rajotte]

Just finish up briefly, please.

[Robert Coulombe]

At the end of the day, it created economic activity. In Quebec alone, from 2008 to 2014, 220,000 work-years were created through the infrastructure plan.

[The Chair, Conservative, James Rajotte]

Thank you.

On behalf of all of my colleagues, I want to thank all of our guests for being here this afternoon.

I apologize for the shortened time, but we have a vote in about eight minutes, colleagues. I encourage you to make your way to the House.

Thank you very much, everyone.

Mr. Romoff, we're out of time, so I'm not sure what—

[Mark Romoff]

Mr. Chair, could I be so bold as to just mention to the committee members that should they wish to learn a little more about public-private partnerships, the council runs the largest conference in the world. It will be held in Toronto, November 3 and 4.

[The Chair, Conservative, James Rajotte]

That was a free ad for that. Good point.

If there's anything further you wish the committee to see, please submit it to the clerk. I'll ensure that all members get it.

The meeting is adjourned.