REQUEST FOR DECISION
DATE: August 22, 2022 Report No. DEV-22-082
TO: Laurie Hurst, Chief Administrative Officer
FROM: Bill Brown, Director of Development Services
SUBJECT:
Title
Receipt of the Housing Needs Report by Council
End
RECOMMENDATION:
Recommendation
That Council receives by resolution, the Housing Needs Report attached as Schedule “A” to staff report DEV-22-082, pursuant to Section 585.31 of the Local Government Act and instruct staff to post it to the Township’s website.
Body
RELEVANT POLICY:
Local Government Act
STRATEGIC RELEVANCE:
The Housing Needs Report has no Strategic Relevance as most of the information contained in it is out of date.
BACKGROUND:
At their November 9, 2020, meeting, the Committee of the Whole reviewed the draft Housing Needs Assessment. The minutes of the meeting record the following:
Director of Development Services provided an overview of the report and
responded to questions from COTW. Comments included concerns relating
to the use of the CRD's Regional Growth Strategy data to formulate the
Province's draft housing needs report for Esquimalt as the Township has
noted discrepancies with the accuracy of the RGS data, inquiring with the
Province as to whether an extension may be granted to incorporate the
results of the 2021 census data in hopes to achieve a more accurate
reflection of housing needs in Esquimalt, and consideration of including a
disclaimer with the draft housing needs report if an extension is not granted.
The Committee of the Whole did not pass a resolution related to this matter. One of the issues brought up by the Committee was to wait and incorporate the 2021 census data into the report. Given that the Census results showed a slight decrease in population of 122 persons (-0.7 percent), adjustments to the Housing Needs Report were likely to result in negligible changes compared to the impact of rising house prices and interest rates.
Staff remains concerned about the use of old data in the analysis as well as the methodology used for population projections. In a dynamic housing market like Esquimalt’s, data even a few months old is out of date. Much of the data used in the analysis is 6 or more years old. The transition in Esquimalt’s housing market during that time has been significant.
It should be noted that there are currently over 1000 dwelling units under construction in the Township including a net 60 affordable units under construction by the Greater Victoria Housing Authority at 874 Fleming Street. In addition, there are approximately 1000 dwelling units in the development permit process or at the end of the rezoning process. This is far more than the 446 project additional household needs identified in the report although the distribution of units based on the number of bedrooms is likely short of 91 three-bedroom units projected in the report to be required by 2050.
The Report also indicates that there were 1,715 households in Esquimalt in Core Housing Need. A household is in “Core Housing Need” if it falls below at least one of the adequacy, affordability, or suitability standards, and it would have to spend 30% or more of its total before-tax income to pay the median rent or alternative local housing that is acceptable - see this link for details: <https://www12.statcan.gc.ca/census-recensement/2016/ref/dict/households-menage037-eng.cfm>. The relationship between the increase in housing supply in Esquimalt and the number of Households in Core Housing Need is currently unknown.
Notwithstanding the fact that most of the data in the Housing Needs Report is out of date and of questionable utility, there remains a statutory responsibility for Council to receive it and have it posted on the Township’s website. It is noted that there is nothing to prevent Council from adding a note with the report warning potential users that the data in the Report is out of date and should be used with caution.
ISSUES:
1. Rationale for Selected Option
There is a statutory obligation pursuant to Section 585.31 (3) of the Local Government Act for Council to receive the Housing Needs Report.
2. Organizational Implications
There are no specific organizational implications
3. Financial Implications
There are no specific financial implications
4. Sustainability & Environmental Implications
There are not significant sustainability and environmental implications.
5. Communication & Engagement
The Housing Needs Report must be received at a meeting that is open to the public and must be made publicly and freely accessible on an internet site that is maintained by the Township.
ALTERNATIVES:
1. That Council receives by resolution, the Housing Needs Report attached as Schedule “A” to staff report DEV-22-082, pursuant to Section 585.31 of the Local Government Act and instruct staff to post it to the Township’s website.
2. That Council receives by resolution, the Housing Needs Report attached as Schedule “A” to staff report DEV-22-082, pursuant to Section 585.31 of the Local Government Act and direct staff to post it to the Township’s website and in addition, instruct staff to post it to the Township’s website with a note stating that interpretation of the report should be done with caution as much of the data used in the report is out of date.