2021 Market Rent Index and Indices for Non-Profit Projects (Revised)
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Jeeds(~ United Counties of Leeds and Grenville Gl'env1Tle Community and Social Services Division Directive Directive: 2021 Market Rent Index & Indices for Non-Profit Projects (Revised) Issue Date: August 25, 2020 Directive No.: DI R2020-10 Revision Date: December 18, 2020 Revision No.: 1 Applicable Policy: Type: Operational The policies and procedures in this Directive are to be implemented by Housing Providers/Cooperatives funded by the Municipality under the following programs. Provincial Non-Profit Housing Providers ~ Gananoque Family Housing ~ Gananoque Housing Inc. ~ Legion Village 96 Seniors Residence ~ Twp. of Bastard & South Burgess Housing Corp. ~ Brockville Municipal Non-Profit ~ South Crosby Non-Profit Housing Corp. Housing Corp. - Pineview Federal Non-Profit Housing Providers D Athens & District Non-Profit D Marguerita Residence Corp. Housing Providers D Gananoque Housing Inc. D South Crosby Non-Profit Housing Corp. - Rideau Lakes Federal/Provincial Cooperative Housing ~ Shepherds Green Cooperative Homes Inc. Housing Providers D Leeds Grenville Housing Department D Marguerita Residence Corp. (RGI Service Agreement) D Athens & District Non-Profit Housing (RGI Service Agreement) D Rent Supplement Program, including Providers with expired Federal Operating Agreement Page 1 of 3 J PedsC:~ United Counties of Leeds and Grenville Gretlv1TTe Community and Social Services Division Directive Directive: 2021 Market Rent Index & Indices for Non-Profit Projects (Revised) Issue Date: August 25, 2020 Directive No.: D1R2020-10 Revision Date: December 18, 2020 Revision No.: 1 BACKGROUND Each year, the Ministry provides indices for costs and revenues to calculate subsidies under the Housing Services Act (HSA) . The indices to be used for 2021 are contained in this directive. As you are aware, in late-September the province passed Bill 204, the Helping Tenants and Small Businesses Act, 2020. This legislation will freeze rents at 2020 levels so that the vast majority of tenants will not face a rent increase in 2021 . This required the Ministry of Municipal Affairs and Housing to make consequential regulatory amendments to Ontario Regulation 369/11 under the Housing Services Act, 2011 . The regulatory amendment, which is effective January 1, 2021 clarifies that the "market rent index" used in calculating housing provider subsidies for a fiscal year beginning in 2021 is to be based on the new rent increase guideline for 2021 (i .e. 0%) and not the previous guideline published in the Ontario Gazette (1 .5%). PURPOSE The purpose of this directive is to advise housing providers of the index factors to be used in the calculation of subsidy for 2021 . ACTION TO BE TAKEN Housing providers shall use the index factors in the table below to calculate subsidies under the Housing Services Act, 207 7 (HSA) on an annual basis. The percentages provided in the 2021 tables have been converted into "index factors" as instructed in 0. Reg. 369/ 77, Section 73 (1) (i .e. percentage converted to a decimal plus 1.0). Some benchmark index factors vary for townhouses and apartments. Figures in the following table that were revised from the original Directive DIR2020-10 issued on August 25, 2020 are italicized. MIXED NON-PROFIT HOUSING 100% RGI NON-PROFIT PROVIDERS HOUSING PROVIDERS TOWNHOUSES AND COSTS APARTMENTS TOWNHOUSES APARTMENTS Administration and Maintenance 0.9957 0.9957 0.9957 Insurance 1.0592 1.0592 1.0592 Bad Debt 1.015 1.015 0.9957 Electricity 0.8693 0.8693 0.8693 Water 1.0301 1.0301 1.0301 Page 2 of 3 United Counties of Leeds and Grenville Community and Social Services Division Directive Directive: 2021 Market Rent Index & Indices for Non-Profit Projects (Revised) Issue Date: August 25, 2020 Directive No.: DI R2020-10 Revision Date: December 18, 2020 Revision No.: 1 ACTION TO BE TAKEN - II MIXED NON-PROFIT HOUSING 100% RGI NON-PROFIT PROVIDERS HOUSING PROVIDERS REVENUES APARTMENTS TOWNHOUSES Natural Gas 0.9443 0.9443 0.9443 Oil and Other Fuel 0.7317 0.7317 0.7317 Capital Reserves 0.9957 0.9957 0.9957 Indexed Market Rent 7.000 7.000 Vacancy Loss 7.000 7.000 Non-rental revenue 1.0 1.0 REFERENCE 2021 Market Rent Index Table - SHN-20-06a If you have any questions, please contact the following: Caroline Rigutto, Policy and Program Review Analyst Phone: 613-342-3840, ext. 2368 E-mail: [email protected] Fax: 833-775-0561 Chris Morrison, Manager, Housing Department Phone: 613-342-3840, ext. 2328 E-mail: [email protected] Fa x: 833-775-0561 C. Morrison, Manager Date Housing Department Page 3 of 3 Attachment A 2021 Market Rent Index Table - SHN-20- 06a Apartment (Row) Townhouse Average Rent Average Rent 2021 2021 District Name Residential Residential (CA, CMA, Zone) Tenancy Tenancy Act Act CMHC RMS Guideline CMHC RMS Guideline 2018- 19 (with Rent 2018- 19 (with Rent % change Freeze) 2021 MRI % change Freeze) 2021 MRI Barrie Barrie CMA 1.8% 0.0% 0.0% 5.0% 0.0% 0.0% Barrie Zone 1 - South 1.8% 0.0% 0.0% 5.0% 0.0% 0.0% Barrie Zone 2 - North 1.8% 0.0% 0.0% 5.0% 0.0% 0.0% Belleville Belleville CMA 7.1% 0.0% 0.0% 4.0% 0.0% 0.0% Belleville Zone 1 - City of Belleville 7.1% 0.0% 0.0% 6.7% 0.0% 0.0% Belleville Zone 2 - City of Quinte West 7.0% 0.0% 0.0% ** 0.0% 0.0% Bracebridge Town Bracebridge Town 15.3% 0.0% 0.0% ** 0.0% 0.0% Brantford Brantford CMA 4.7% 0.0% 0.0% 2.0% 0.0% 0.0% Brant City Brant City 4.7% 0.0% 0.0% 2.0% 0.0% 0.0% Brockville CA Brockville CA 3.1% 0.0% 0.0% 11.7% 0.0% 0.0% Chatham Chatham-Kent CA 7.1% 0.0% 0.0% 9.8% 0.0% 0.0% Chatham Zone 1 - Chatham City 5.4% 0.0% 0.0% 6.9% 0.0% 0.0% Chatham Zone 2 - Wallaceburg 4.5% 0.0% 0.0% 8.1% 0.0% 0.0% Chatham Zone 3 - Rest of Kent 18.6% 0.0% 0.0% 13.9% 0.0% 0.0% Cobourg CA Cobourg CA 4.6% 0.0% 0.0% ** 0.0% 0.0% Collingwood CA Collingwood CA 4.8% 0.0% 0.0% ** 0.0% 0.0% Cornwall Cornwall CA 6.4% 0.0% 0.0% 13.0% 0.0% 0.0% Cornwall Zone 1 - City Centre 7.5% 0.0% 0.0% 18.7% 0.0% 0.0% Cornwall Zone 2 - City North 6.5% 0.0% 0.0% ** 0.0% 0.0% Cornwall Zone 3 - Outlying Areas ** 0.0% 0.0% ** 0.0% 0.0% Elliot Lake CA Elliot Lake CA 12.8% 0.0% 0.0% ** 0.0% 0.0% Georgian Highlands Town Georgian Highlands Town ** 0.0% 0.0% ** 0.0% 0.0% Gravenhurst Town Gravenhurst Town 4.3% 0.0% 0.0% ** 0.0% 0.0% Greater Napanee Town Greater Napanee Town 7.5% 0.0% 0.0% ** 0.0% 0.0% Guelph Guelph CMA 10.7% 0.0% 0.0% 4.6% 0.0% 0.0% Guelph Zone 1 - West 15.6% 0.0% 0.0% ** 0.0% 0.0% Guelph Zone 2 - South 7.2% 0.0% 0.0% 3.3% 0.0% 0.0% Guelph Zone 3 - East 4.3% 0.0% 0.0% ** 0.0% 0.0% Ministry of Municipal Affairs and Housing 1 Attachment A 2021 Market Rent Index Table - SHN-20- 06a Apartment (Row) Townhouse Average Rent Average Rent 2021 2021 District Name Residential Residential (CA, CMA, Zone) Tenancy Tenancy Act Act CMHC RMS Guideline CMHC RMS Guideline 2018- 19 (with Rent 2018- 19 (with Rent % change Freeze) 2021 MRI % change Freeze) 2021 MRI Zone 4 - Guelph/Eramosa/Puslinch ** 0.0% 0.0% ** 0.0% 0.0% Haldimand Town Haldimand Town 0.8% 0.0% 0.0% ** 0.0% 0.0% Hamilton Hamilton CMA 5.2% 0.0% 0.0% 1.1% 0.0% 0.0% Hamilton Zone 1 - Downtown Core 7.7% 0.0% 0.0% ** 0.0% 0.0% Hamilton Zone 2 - Central East 4.0% 0.0% 0.0% ** 0.0% 0.0% Hamilton Zone 3 - East End 3.4% 0.0% 0.0% 9.1% 0.0% 0.0% Hamilton Zone 4 - Central 3.6% 0.0% 0.0% ** 0.0% 0.0% Hamilton Zone 5 - West End 6.7% 0.0% 0.0% n/u 0.0% 0.0% Hamilton Zone 6 - Mountain 1.2% 0.0% 0.0% -2.6% 0.0% -2.6% Hamilton Zone 7 - Grimsby and Stoney Creek 3.3% 0.0% 0.0% ** 0.0% 0.0% Hamilton Zone 8 - Burlington 6.5% 0.0% 0.0% 1.3% 0.0% 0.0% Hamilton Zone 9 - Ancast./Dundas/Flambor./Glanbrk. 5.5% 0.0% 0.0% ** 0.0% 0.0% Hawkesbury CA Hawkesbury CA 3.4% 0.0% 0.0% 9.2% 0.0% 0.0% Huntsville Town Huntsville Town 3.4% 0.0% 0.0% ** 0.0% 0.0% Ingersoll Town Ingersoll Town 4.0% 0.0% 0.0% ** 0.0% 0.0% Kawartha Lakes CA Kawartha Lakes CA 15.1% 0.0% 0.0% ** 0.0% 0.0% Kenora CA Kenora CA 16.7% 0.0% 0.0% ** 0.0% 0.0% Kingston Kingston CMA 4.7% 0.0% 0.0% 25.8% 0.0% 0.0% Kingston Zone 1 - Downtown Kingston 3.2% 0.0% 0.0% ** 0.0% 0.0% Kingston Zone 2 - Southwestern Kingston City 0.8% 0.0% 0.0% ** 0.0% 0.0% Kingston Zone 3 - Northern Kingston City 9.1% 0.0% 0.0% ** 0.0% 0.0% Kingston Zone 4 - Rest of Kingston CMA 6.9% 0.0% 0.0% 11.2% 0.0% 0.0% Kitchener Kitchener CMA 2.2% 0.0% 0.0% 0.9% 0.0% 0.0% Kitchener Zone 1 - Kitchener (East) 5.7% 0.0% 0.0% 0.7% 0.0% 0.0% Kitchener Zone 2 - Kitchener (Central) 9.4% 0.0% 0.0% ** 0.0% 0.0% Kitchener Zone 3 - Kitchener (West) 5.8% 0.0% 0.0% -1.5% 0.0% -1.5% Kitchener Kitchener City 6.1% 0.0% 0.0% 0.0% 0.0% 0.0% Ministry of Municipal Affairs and Housing 2 Attachment A 2021 Market Rent Index Table - SHN-20- 06a Apartment (Row) Townhouse Average Rent Average Rent 2021 2021 District Name Residential Residential (CA, CMA, Zone) Tenancy Tenancy Act Act CMHC RMS Guideline CMHC RMS Guideline 2018- 19 (with Rent 2018- 19 (with Rent % change Freeze) 2021 MRI % change Freeze) 2021 MRI Kitchener Zone 4 - Waterloo City -4.9% 0.0% -4.9% 3.2% 0.0% 0.0% Kitchener Zone 5 - Cambridge City 4.1% 0.0% 0.0% 1.9% 0.0% 0.0% Kitchener Zone 6 - Two Townships -4.5% 0.0% -4.5% ** 0.0% 0.0% Lambton Shores City Lambton Shores City 2.9% 0.0% 0.0% ** 0.0% 0.0% Leamington CA Leamington CA 23.7% 0.0% 0.0% ** 0.0% 0.0% London London CMA 2.9% 0.0% 0.0% 3.8% 0.0% 0.0% London Zone 1 - Downtown North -5.9% 0.0% -5.9% ** 0.0% 0.0% London Zone 2 - Northeast 6.9% 0.0% 0.0% 9.9% 0.0% 0.0% London Zone 3 - North 4.9% 0.0% 0.0% ** 0.0% 0.0% London Zone 4 - Northwest 2.3% 0.0% 0.0% ** 0.0% 0.0% London Zone 5 - Southwest 7.0% 0.0% 0.0% 4.0% 0.0% 0.0% London Zone 6 - South Central 6.4% 0.0% 0.0% ** 0.0% 0.0% London Zone 7 - South 0.3% 0.0% 0.0% ** 0.0% 0.0% London Zone 8 - East 8.8% 0.0% 0.0% 12.9% 0.0% 0.0% London Zone 9 - St.