moved:
That, in the opinion of this House, the government should reach agreements with the government of Quebec to reactivate the co-operative housing program, introduce a renovation assistance program for rental housing and reintroduce a social housing program, while leaving complete authority for all these programs in the hands of the government of Quebec.
Madam Speaker, the motion I have the honour to present today in the House is composed of two very distinct parts, the reinstatement of several social housing programs and the transfer of authority for such programs to Quebec. I will first comment on the two parts separately before explaining how they are linked together.
Let us begin with the reactivation of social housing programs. Canada is one of the industrialized countries investing the least in social housing. In fact, in 1990, the national social research institute noted that social housing accounted for only 4 per cent of all housing in Canada, whereas it varied between 15 and 40 per cent in most Western European economies. One can wonder why there is such a difference in housing policies between governments facing the same economic ups and downs.
This government replaced an administration renowned for its weak commitment towards social housing. Nevertheless, if our new government goes on the way it chose in the last budget, its record after one mandate will be even worse than the previous one's.
A review of the social housing situation over the last few years is imperative. In accordance with a 1986 federal-provincial agreement, funding for social housing built in Quebec was shared by Quebec and Ottawa. In the case of low-cost housing, federal funding was at 59 per cent. For housing cooperatives and non-profit housing for low-income persons, it reached 75 per cent. Pierre Graveline, journalist at Le Devoir , mentioned in an article published on April 5, 1994 that one out of six households renting their dwelling must spend more than half its income in rent and one out of three spends more than 30 per cent. Since this is too much for some of them, the number of claims presented by owners who want to cancel the leases and recover their rent has increased by 250 per cent between 1990 and 1993. In all, 341,000 households have a core housing need in Quebec and would be admissible to social housing, and I am not counting the 20,000 totally homeless persons.
In fact, between 1989 and 1994, federal expenditures for the building and renovation of housing units have gone from $112 million to zero. As for federal budgets for building new cooperative housing, they went from $7.2 million in 1988 to nothing in 1992.
Therefore, people who need housing in Canada have lost a total of $119.2 million. Even if, during the last campaign, the Liberals committed themselves to unfreeze the CMHC's budget in order to make it possible to build 5,000 new cooperative housing units annually in Canada, they have made no provision for cooperative housing and the building of housing units. On February 16, 1994, when answering a member of the Bloc Quebecois who was asking if the rents of the recipients would in fact increase by 5 per cent of their income, the Minister of Public Works declared, in this House: "One cannot put a hand on one's heart and plead for new social housing for Canadians across this country and only look at one side of the ledger, which is to cut expenditures and duplication, without looking at the other aspect in terms of revenue increases".
How can this government make such statements? How can this government calmly contemplate the idea of charging the population it wants to help for the cost of the assistance it brings? This is what will happen in fact. The government will say to the have-nots of our society: We will help you find housing because you are poor, but you will have to pay an additional 5 per cent of your income for rent to cover the costs of that help.
How can any government look at a social housing program as if it were a business deal meant to bring in profit?
Does the word "social" mean anything to this government? Madam Speaker, the poor should not have to bear the cost of social housing. Governments should cut unnecessary spending and reinvest these amounts in programs for the neediest members of our society.
Different problems require different solutions. People on low incomes who are home-owners need financial help to make repairs. The RRAP program which has just been reinstated can provide a partial response to this kind of situation. Unfortunately, the program has its limitations: income criteria are such that very few people living in urban areas can take advantage of the program.
On the other hand, certain needs are no longer being met. Take, for instance, people who would like to be part of a housing co-operative. This type of housing meets a specific need. Often it may be the only way for low and middle-income families to become home-owners.
In its report released in May 1991, the Conseil de la famille said that "a housing co-operative is an excellent way to help families become acquainted with the responsibilities and advantages of home-ownership".
It is also a fact that housing co-operatives generate employment, whether we are talking about construction or renovation. Furthermore, every new co-operative housing unit that is built provides governments with significant tax revenues, including personal and corporate income tax, contributions to the Canada Pension Plan, sales tax and development tax. Finally, providing access to home ownership makes it possible to free accommodation for other families that are in need.
There are also people on low incomes who want access to low-cost rental housing. As we all know, there is no budget for building new units. According to the FRAPRU, we would need at least 195,000 new social housing units in Canada. In Saint-Sauveur alone, in my riding, an estimated 3,000 new units would be required. However, this government has decided not to build any.
When he appeared before the Standing Committee on Human Resources Development, Mr. Brown, president of the canadian housing coalition, questioned payments made under the Canada Assistance Plan for housing. Like other coalition members, he feels that this money could be better spent. They decry the fact that a good part of this money goes towards paying the rent and ends up in the landlord's pocket. According to Mr. Brown, it is not an investment. Instead of being invested in co-op or non-profit housing programs, this money is just poured down the drain. We agree with Mr. Brown.
Current rehabilitation assistance programs for rental housing are inadequate. As a matter of fact, studies have shown that instead of dealing with things that are important for tenants, such as insulation and soundproofing, renovations are done for purely cosmetic reasons. Between 1990 and 1992, in Quebec alone, $44.84 million went towards painting against $7.31 million for insulation and soundproofing. One will understand that poor insulation affects only tenants since they are the ones who have to pay for their own power and heating bills. It was also noted that there was no systematic control of rent increases after renovations.
A study undertaken by the City of Montreal in 1989 showed that renovations had disastrous consequences for tenants. It was found that the average rent increase was $127 a month. Similarly, a CMHC survey concluded that subsidies benefited landlords, not their tenants.
Indeed, slightly more than half of these tenants stayed in their apartments after the renovations and they experienced an average rent increase of 11 per cent. So, we can draw the conclusion that, in the end, tenants pay for part of the landlord's investments and that rents still keep on increasing.
To remedy such a situation, we believe that the government should implement measures to ensure that subsidies for renovations benefit tenants.
The government could also be in favour of grants being directly paid to tenants, which would allow them to get some decent housing or even buy a house. This would help people who spend more than 25 per cent of their income on rent. As we have seen, the needs are great and the programs are inadequate.
Let us now talk of Quebec's control. The Canadian government stresses the fact that it needs the cooperation of the provinces. In Quebec's case in particular, we believe that this cooperation is unnecessary, since the whole housing assistance budget should be transferred to Quebec, and Quebec should have total control over it.
The federal government entered the social housing field by virtue of its spending power, whereas social housing is first and foremost a provincial jurisdiction. Mr. Justice Duff, on behalf of the Supreme Court of Canada, stated in 1938, in the referral on the Ontario Adoption Act: "Provinces have the responsibility to care for people in need". Nobody will deny the fact that social housing is for people in need.
We demand that the federal government give back to Quebec total control over social housing programs. We demand also that it transfer to Quebec the amounts that are due to it according to the needs of the Quebec people.
As it was said over and over again, 25 per cent of all renting households in Canada that spend more than 30 per cent of their income on rent are in Quebec, and 33 per cent of those which must set aside more than 50 per cent of their income just for rent are also in Quebec. It shows how important social housing is for Quebec. It is important that the Quebec government be able to decide, according to its needs, its organizational structures and its social priorities, where it wants to invest.
For investments to be more efficient, it is important that the decision-making process be exclusively in the hands of provincial and local authorities. It is important that the allocation criteria be based upon the situation in Quebec, and not the situation in other parts of Canada. Also important is the harmonization of the social housing programs with other social programs made for and by Quebec, for and by its citizens. Quebeckers do not want the federal government to interfere in areas of jurisdiction they consider their very own.
Thus, to get better social housing, we need massive investments, under various forms, to meet the needs of all Canadians and Quebeckers. However, Quebec wants these investments to be managed by its own government, according to its needs, its standards and priorities. Social housing is only one component
of social programs, which fall under provincial jurisdiction. Quebec must be put in charge as soon as possible.