Good afternoon.
The difference between social housing and affordable housing is very important. Social housing is housing that does not belong to the private market. It therefore belongs to society or communities. Public housing often belongs to municipalities or the government, or non‑profit organizations and housing cooperatives. There are three forms of social housing in Canada, which in the past were funded directly by the federal government, before it was withdrawn in 1994.
Under current provincial programs, there are different formulas that are still funded and others that are less so. Since the withdrawal of the federal government, there is no longer any low‑income housing or public housing. This is housing that is very much in line with the needs of low‑income people, particularly tenants who are seniors, many of whom currently live in low‑income housing.
In the national housing strategy, the government talks about affordable housing, which can be anything and everything. It can include housing that can be rented for $2,000 a month, according to the rates set by the various programs.
At the moment, there is no definition of affordable housing. Depending on the various initiatives of the national housing strategy, it may be based on a percentage of income or a percentage of the median rent in the area, which often results in very expensive and unaffordable housing for the average core housing need renter, which includes 1.2 million Canadians. If memory serves me correctly, the median income of these Canadian households is about $18,000, and in Quebec it's even a little less. Therefore, they can't afford most of the private rental housing that has been built under the national housing strategy.
That's why we're calling for investments to be focused on social housing, in order to get out of this wave of real estate speculation, which is excluding people from city centres. We think that the only way to produce housing with guaranteed occupancy and not to encourage real estate speculation is to get out of the private housing market and to build more housing outside the private market in various forms, whether it is co‑operative, non‑profit or public housing.
With regard to your second question, in the economic situation we're facing, we need that kind of infrastructure, among other things, to encourage the local economy. In Quebec, a number of studies have been done on the financial benefits in the local economy, but I'll save those arguments for another discussion, perhaps.
You're probably going to be interested in what we're recommending, Mr. Ste‑Marie. I learned this morning that there are also shuttered housing units in Joliette. That said, it is mainly in Montreal that there are federally funded housing units that are now shuttered because they need to be renovated. Of course, they are everywhere in Canada. They can be renovated quickly. We think that would be a concrete measure to take, and it would not prevent investment in the development of new social housing. Such a measure would, at the very least, make these units available to people who need them. In Quebec, 40,000 people are waiting for public housing or low‑rent housing. We believe that we cannot do without these 300 housing units that are currently shuttered and that are still, for the most part, under federal responsibility.
The second measure we are asking for is a contingency fund. This is what other groups across Canada are asking for as well, and there are all kinds of petitions going around. We think this could easily be implemented on the CMHC side. It could be complementary to income support measures for people whose income is not enough to pay their rent, even with the $2,000. We know that there are people who are suffering further income losses because of the pandemic.
At FRAPRU, we do not recommend a private rent supplement; we prefer social housing. However, in the current circumstances, people need quick support, and rent supplements can be a way to keep tenants in their homes. Because the federal government has funded such programs in the past, this is manageable. In Quebec, there is already a program in place that would send a clear signal to the provinces to help tenants, for example.
The last measure does not pertain to homelessness, but has more to do with the medium term. Plans for the recovery phase should include investments in social housing. That way, we won't find ourselves in a worse situation after the pandemic than we were in before the pandemic, in terms of the housing and homelessness crisis facing cities big and small across Canada and Quebec.