The City of Montreal has obtained from Quebec changes to two financial agreements related to the AccèsLogis program in order to make them more flexible in the distribution of funds granted by social housing, at a time when construction costs are rising sharply. .
In a context where thousands of social housing units promised before 2017 have still not seen the light of day in the city, the City has signed financing agreements with the Legault government under the AccèsLogis program, totaling $46.1 million in 2020 and 79.4 million the following year. An additional sum of 30 million was also granted this year, which “constitutes a major contribution in the realization of social housing projects”, indicate decision documents adopted Wednesday morning by the executive committee of the City.
However, the City is limited in the use of the envelopes received over the past two years, since these provide for a maximum amount that can be spent per promised social housing, which does not take into account the inflationary context, which has caused costs to jump building in Montreal.
Thus, so that the projects initiated thanks to the agreements signed in 2020 and 2021 “can continue”, the City succeeded in convincing the Ministry of Municipal Affairs and Housing to apply administrative flexibility to them. All in order to unlock projects that are currently “ at the conditional grant commitment stage, or at earlier stages in the processing process”, specify the documents of the City.
Concretely, indicates to the To have to Mayor Valérie Plante’s office, the modifications made to these agreements lift “the maximum subsidies per social housing” provided, “allowing projects to be financed at the height of the actual construction costs”. “It is an important step forward that we are taking today, which will allow us to optimize the use of additional envelopes”, adds the firm, which said it was “very happy” to have found a positive echo. in Quebec at his “long-standing request”… a few months before the next provincial election.
“However, this easing does not address the basic problem concerning the underfunding of social housing projects in Montreal in order to meet the crying needs of the metropolis in this area”, nuances the cabinet, at a time when approximately 23,000 households are listed. on the waiting list for social housing from the Office municipal d’habitation de Montréal. “Unfortunately, it will not make it possible to complete the financial arrangements for all the AccèsLogis projects under development. »
The modifications made to these two financing agreements must also be approved by the Agglomeration Council during its monthly meeting on August 25.