Good evening, Mr. Chair.
Thank you to the members of the committee for the invitation to appear tonight. I would love to be there in person; however, I am in Fredericton for work, so I am appearing from Fredericton today. I represent the Co-operative Housing Federation of Canada, the national voice of the co-operative housing movement.
As a bit of co-op history for starters, co-op housing is a very well-documented success story in Canada. For over 50 years, co-ops have been providing good-quality, affordable homes owned and governed by the community members who live there. There are more than 2,200 housing co-operatives located in every province and territory, and co-ops are home to more than one-quarter of a million Canadians.
Co-ops offer at-cost housing, meaning housing charges are increased every year simply to cover the costs of maintaining buildings in a good state of repair and investing in the future. That's why co-op homes cost $400 to $500 less per month on average in Canada when compared to similarly aged apartments in the private rental market. Co-ops also offer greater security of tenure: There's no outside landlord who might sell, renovict or unreasonably increase rents.
Co-ops are inclusive by design, as almost all operate on a mixed-income model, administering available rental assistance programs for a portion of households with low incomes. They build strong communities because co-op housing brings people together, and they allow people the chance to have a say in how their housing is run.
Now I have some remarks to offer related to the fall economic statement and implementation.
The first is related to the rental rebate. Bill C-59 proposes to extend the GST rebate to certain co-operative housing. We really appreciate this policy change, as we know it will be directly passed on to households in need that occupy new co-op housing. This is a big part of the power of co-op housing. The non-profit, community ownership model ensures co-op homes are affordable and remain affordable for generations to come.
The co-op housing sector is also ready to build. We're ready to play a larger role in the housing crisis. The fall economic statement also included some resources for the forthcoming co-op housing development program. A budget commitment for this program was first made in 2022 for the launch of a new co-operative housing supply program, and we are very much looking forward to the launch of this program. We heard recently from the minister, at a conference a couple weeks ago, that the program is expected to launch in early 2024. We really hope that is the case, because any further delay in the launch of the program is costly—there is a lost opportunity cost to that.
I'll also to speak to the importance of acquisition in the national housing strategy's set of programs. Between 2016 and 2021, Canada lost 370,000 homes rented at or below $1,000 per month. This happens through demolition, conversion to condo or increasing rents at turnover, which leaves fewer affordable housing options. Unfortunately, we're actually losing more affordable housing supply than we're seeing built under current federal programs.
We recognize and welcome the recently announced Canada rental protection fund, which is meant to stem the loss of affordable housing by enabling co-ops and non-profits to buy rental housing to keep it affordable. We look forward to working with the federal government and our partners to expedite that fund's launch, because so many renters are in precarious situations today and housing co-operatives are ready to help.
Last but not least, it also must be said unequivocally that we need a fully funded “for indigenous, by indigenous” approach to the urban, rural and northern indigenous housing strategy. It's much needed right away. There's a $4-billion commitment on the table. We know that's not enough. Indigenous people in communities across the country disproportionately experience housing need, and we need to see a robust and dedicated response. This will help to both address the housing crisis and advance reconciliation.
In conclusion, the co-op housing sector is ready to work closely with the public, private and non-profit sectors to build more of the housing we need. The co-operative housing movement in Canada is well established and has proven to be very resourceful, passionate and committed to a vision of co-op housing for all. We believe that a housing system that works for all must include more co-operative homes.
Thank you, Mr. Chair. I look forward to the members' questions.