Housing crisis: federal government is failing Albertans, politicians say
Posted Aug 1, 2023 4:38 pm.
Last Updated Jun 24, 2024 4:07 pm.
Provincial and municipal politicians in Alberta are demanding more from the federal government to help deal with the housing crisis.
Edmonton has an “urgent need for permanent supportive housing,” says Mayor Amarjeet Sohi. And Alberta is simply not seeing its fair share of funding, according to Calgary Mayor Jyoti Gondek.
The mayors of Alberta’s two largest cities joined Jason Nixon, the Alberta minister of seniors, community and social services, in asking for more funding from the federal government as part of the Rapid Housing Initiative (RHI).
The letter was addressed to federal Housing Minister Sean Fraser.
“Alberta, like all provinces in Canada, is facing a housing and cost of living crisis that has created an urgent demand for supportive and affordable housing,” the letter reads.
“Alberta’s provincial and municipal governments share a commitment to working together with all orders of government to find innovative housing solutions and increase the supply of deeply affordable housing.”
The federal government is failing Albertans who need affordable housing now.
Today Mayor @AmarjeetSohiYEG and Mayor @JyotiGondek joined me to demand that Ottawa give Alberta its fair share of housing funds.
Here is our joint letter to Minister @SeanFraserMP. #ableg #cdnpoli pic.twitter.com/JyCF6k3ak2
— Jason Nixon (@JasonNixonAB) August 1, 2023
The RHI is a federal program launched in 2020 that provides funding to cities and non-profit organizations to build affordable homes for vulnerable Canadians, including those experiencing homelessness.
The federal government offered $2.5 billion during the first two rounds of project funding.
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Last month the Canada Mortgage and Housing Corporation (CMHC) approved six-of-39 Alberta applications for the RHI. The funding provided to Alberta was $38.3 million – a fraction of the $1.5 billion set aside by Ottawa as part of the program’s third round of funding.
“We’re the 4th largest province, we have 12 per cent of the population, and we are just not seeing that money come back to us,” said Gondek. “I think it’s a matter of ensuring that local government is better able to connect with provincial and federal governments.
“There seems to be this disparity that exists.”
Edmonton’s mayor says the situation is particularly dire in Alberta’s capital, and additional funding would go a long way.
“We requested support for seven projects to develop 288 units for a total of $67 million of federal support. The City of Edmonton and Government of Alberta were prepared to commit $43.5 million towards these projects.
“This amount is only four per cent of our total ask, meaning many unhoused Edmontonians will continue to live outdoors without the support they need as a result of this decision.
“So that means 288 families or individuals no longer have the opportunity to have a place to call home.”
WATCH: Alberta announces another round of funding for affordable housing solutions
An estimated 3,000 people are homeless in Edmonton. The first two phases of Ottawa’s Rapid Housing Initiative allowed Edmonton to build nearly 500 supportive housing units.
“These projects would have supported those who need it most, including newcomers, Indigenous Peoples, women and children,” said Sohi.
‘We’re asking for fairness’
Nixon is accusing Prime Minister Justin Trudeau of “short-changing” Albertans.
“We’re asking for our money, and we’re asking to be treated the same as the rest of the country,” said Nixon. “And we do not want to see the federal government investing Alberta dollars in other provinces in order to buy votes rather than help deal with what is a significant challenge in the province of Alberta.
“I actually want to stress that we’re not asking for a special deal in the province of Alberta. We’re asking for fairness and our money.
“Our province is prepared to step to the plate, but the federal government cannot disregard its responsibility, and the first thing it needs to do is make sure it gives Alberta its fair share of our money.”
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Meanwhile, the Alberta NDP says part of the blame falls on the provincial government.
“For Jason Nixon and the UCP to minimize their role in this addressing crisis is highly irresponsible,” said Janis Irwin, the NDP’s housing critic. “We all know we need immediate action on the housing crisis, and that requires all orders of government to come to the table, but the UCP are happy to point fingers elsewhere for their own failures.”
Political play?
Political scientist Lori Williams says the finger pointing is happening because there are political gains to be made.
“Particularly in a province like Alberta where the general sense, at least on some issues, is the federal government isn’t as generous to or even fair to the people of Alberta, or the kinds of industries involved in Alberta, as they are to other parts of the country. And there are some reasons for that, and there is some truth to it,” said Williams, a professor at Mount Royal University.
“The bottom line is, even though there is political advantage in the short term to be gained by saying it’s somebody else’s fault or saying it’s somebody else’s problem to solve, I think there would be much more in gains made if the various governments worked together to find solutions.”
Nixon maintains the UCP government is doing its part to solve the housing crisis, with affordable housing projects planned over the next three years, rent supplements and affordability payments.
In their letter to the federal housing minister, Nixon, Sohi, and Gondek are asking Ottawa to reconsider its funding allocation to unfunded applications. They also want the federal government to develop an “equitable funding model.”
WATCH: Keeping Alberta affordable: calls to address housing shortage
