Download CCW 16-359 - County of Simcoe

To:
Committee of the Whole
Agenda Section:
Division:
Department:
Human Services
Social and Community Services
Social Housing
Item Number:
CCW - 16-359
Meeting Date:
October 25, 2016
Subject:
Call for Proposals for Municipal Contributions for Affordable Rental Housing
Development Partnerships with Simcoe County Housing Corporation
Recommendation
That Item CCW 16-359, dated October 25, 2016, regarding the Call for Proposals for
Municipal Contributions for Affordable Rental Housing Development Partnerships with
Simcoe County Housing Corporation, be received; and
That the recommended projects for design and cost analyses as generally outlined in Item
CCW 16-359, be approved; and
That the County portion of the costs for design and cost analyses be funded by the Social
Housing Reserve.
Executive Summary
Item CCW 16-359 presents a summary of the evaluation of projects submitted by municipalities in
response to the County’s Call for Proposals (CFP) for Municipal Contributions for Affordable Rental
Housing Development in partnership with Simcoe County Housing Corporation (SCHC). Item
CCW 16-359 also recommends that the project submitted by the Town of Wasaga Beach be
approved for a schematic design and cost analysis, with a view to partially funding the project
under the Investment in Affordable Housing for Ontario 2014 Extension program (IAHE). Item
CCW 16-359 also recommends that a total of three projects submitted by the Town of Bradford
West Gwillimbury and the Town of Penetanguishene undergo a basic preliminary design and cost
analysis, with a view to funding the projects under future funding opportunities. Remaining projects
will be kept for future consideration.
October 25, 2016
Committee of the Whole - CCW 16-359
Page 2
Background/Analysis/Options
As per Item AHA 16-030 (September 16, 2016), eleven projects were submitted by six
municipalities in response to the County’s Call for Proposals (CFP) for Municipal Contributions for
Affordable Rental Housing Development in partnership with Simcoe County Housing Corporation
(SCHC), demonstrating a strong response and significant interest to develop affordable housing in
communities across Simcoe County. The following municipalities submitted proposals:
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City of Barrie, 2 proposals
Town of Bradford West Gwillimbury, 4 proposals
Town of Midland, 1 proposal
Town of Penetanguishene, 2 proposals
Township of Tay, 1 proposal
Town of Wasaga Beach, 1 proposal
The proposals offered land, or land and buildings, as well as various incentives such as waivers of
building permit and planning application fees, and property tax grants, which can be used by
SCHC to build new affordable rental housing. Staff evaluated the proposals according to the key
considerations outlined in the CFP document, which included location within a settlement area,
proximity to amenities, the type of municipal contributions being offered, and alignment with SCHC
redevelopment plans and Our Community 10-year Affordable Housing and Homelessness
Prevention Strategy.
As per Item AHA 16-030 (September 16, 2016), scoring matrix/evaluation guidelines were used to
evaluate projects. The scoring matrix/evaluation guidelines are attached as Schedule 1 to Item
CCW 16-359. The highest scoring proposal was from the Town of Wasaga Beach. The project
consists of 2 or 4 acres of vacant land currently being used for snow and aggregates storage at
174 Zoo Park Road, as well as contributions for building and planning fees, property tax relief,
legal and surveyor costs, geo-technical studies, hook-up fees, and cash in lieu of parkland fees.
The next highest scoring proposals included two projects that tied for second from the Town of
Bradford West Gwillimbury, and one project from the Town of Penetanguishene. In the Town of
Bradford West Gwillimbury, one proposal is for land located at 75 Melbourne Drive and the other is
for land located at 125 Simcoe Road. Each of these sites is approximately 7.5 acres, containing
existing structures, and part of the lands would be made available for affordable housing. Although
they both achieved the same score, the 75 Melbourne Drive project in Bradford West Gwillimbury
is recommended as ranking second followed by the 125 Simcoe Road project as third, due to the
fact that the Melbourne Drive location is adjacent to an existing SCHC seniors’ social housing
apartment building at 100 Miller Park Avenue. The adjacent location makes co-location of services
ideal to realize cost efficiencies and to maximize social supports. The proposal from the Town of
Penetanguishene is for 5.75 acres of vacant land at 159 Church Street.
It is recommended that a schematic design and cost analysis be undertaken for the highest scoring
proposal, from the Town of Wasaga Beach, with a view to funding an affordable rental housing
development by SCHC using Federal/Provincial funds under the Investment in Affordable Housing
for Ontario 2014 Extension program (IAHE). As per County Council’s approval of Item AHA 16-003
(January 22, 2016), $3 million in IAHE funds in each of 2017/18 and 2018/19 will be used for rental
development by SCHC. Any development by SCHC will require additional sources of funds beyond
the IAHE funds, since program funds typically cover 50%-60% of overall construction costs.
October 25, 2016
Committee of the Whole - CCW 16-359
Page 3
Projects that use 2017/18 Investment in Affordable Housing 2014 Extension (IAHE) funds must
start construction by April 2018. The results of the schematic design and cost analysis would be
brought back to County Council as early as possible in 2017. As it typically takes approximately a
year to complete the design development stage of the building and to prepare the tender
documents, approval for the construction would be required in the spring of 2017, in order to meet
the funding envelope timelines to begin construction in the spring of 2018.
It is also recommended that a more basic preliminary design and cost analysis be undertaken for
the proposals from the Town of Bradford West Gwillimbury at 75 Melbourne Drive and 125 Simcoe
Road, as well as for the 159 Church Street proposal from the Town of Penetanguishene. The
findings of the basic preliminary design and cost analysis for these three proposals would be
brought back to County Council. In alignment with the County’s Long Term Business Plan, the
intent would be to move ahead with one or more of these projects over the next three to four years,
subject to County Council’s approval, funding opportunities, and the continued availability of the
lands.
As funding opportunities from the Province can come with very tight timelines, it is important for
Simcoe County Housing Corporation (SCHC) to have the preliminary design phase completed so
that the projects can become shovel-ready as quickly as possible when funding opportunities arise.
Undertaking the basic preliminary design and cost analysis for these three locations in Bradford
West Gwillimbury and Penetanguishene would place the County in an ideal shovel-ready position
to be able to take advantage of future funding opportunities in a timely manner.
With respect to the City of Barrie projects, a separate approach could be utilized which may or may
not use the parcels of land contained in the Barrie proposals. The City of Barrie yields unique
opportunities for a specific rationalization plan for improved sustainability and long-term operations
of SCHC and other County operations. A larger site will be required as co-location of a number of
County services such as Ontario Works, Paramedic station(s), and Social Housing could be
incorporated. Part of a larger review could include the potential sale of SCHC scattered detached
Social Housing units, under the premise that the proceeds of sales could be used to partially fund
a larger build with a goal of increasing the overall number of units. As per Item CCW 15-404
(November 24, 2015), scattered housing represents a greater ongoing operational and capital cost
than multi-unit facilities.
It should be noted that all projects submitted under the Call for Proposals (CFP) were strong and
could be considered for opportunities to create affordable housing. For example, the submission
from the Township of Tay could be very viable if there was an opportunity to create housing in a
rural setting.
As stated in the Call for Proposals (CFP) documents there may be other partnership opportunities
with SCHC. The County recognizes that not all municipalities are at the same stage in their
development of affordable housing. This CFP was part of the first three year Implementation Plan
cycle. As Our Community 10-Year Affordable Housing and Homelessness Prevention Strategy is
further implemented and future funding opportunities become available, additional CFP’s may be
issued to complement the SCHC long-term growth plan and the Strategy’s implementation plan.
The following table shows a summary of the submissions, ranking, and next steps:
October 25, 2016
Committee of the Whole - CCW 16-359
Municipality
Location of land
Land Size
Ranking
Wasaga Beach
174 Zoo Park Rd
4 acres
1
75 Melbourne Dr.
7.5 acres
2
125 Simcoe Rd.
7.6 acres
3
5.75 acres
4
Bradford West
Gwillimbury
Bradford West
Gwillimbury
Penetanguishene 159 Church St.
Page 4
Next Steps
Schematic Design
& Cost Analysis
Basic Preliminary Design
& Cost Analysis
Basic Preliminary Design
& Cost Analysis
Basic Preliminary Design
& Cost Analysis
Future Consideration –
Separate Approach to be
Planned for Unique Barrie
Rationalization Plan
Future Consideration –
Separate Approach to be
Planned for Unique Barrie
Rationalization Plan
Future Consideration
Barrie
26 Mary St.
.22 acre
5
Barrie
58 Maple Ave.
.31 acre
6
Tay
280 Park St.
3.2 acres
7
27 Queen St.
.9 acre
8
514 & 516
Holland St.
.75 acre
9
2.15 acres
10
Future Consideration
.79 acre
11
Future Consideration
Bradford West
Gwillimbury
Bradford West
Gwillimbury
Penetanguishene 111 Church St.
Midland
415 William St.
Future Consideration
Future Consideration
Financial and Resource Implications
A schematic design and cost analysis for 174 Zoo Park Road, Wasaga Beach, would cost
approximately $150,000. This includes architectural fees for basic site plan development with the
Town, floor plans development as well as survey and geotechnical costs, and a cost consultant’s
project budget. If the project is approved to proceed in spring 2017, staff could move immediately
into the design development of the site to meet the ministry timelines for the program funds. Basic
preliminary design and cost analysis for 75 Melbourne Drive and 125 Simcoe Road, Bradford West
Gwillimbury, and 159 Church Street, Penetanguishene, would cost approximately $75,000 each.
All design and cost analysis expenses will occur within the remainder of 2016 and throughout
2017. It is recommended that the County portion of these costs be funded by the Social Housing
Reserve. Soft costs like this may also be funded with Federal/Provincial program funds for work
carried out after April 1, 2017.
If these projects move forward, additional capital funds will be necessary. These amounts will be
determined as project design and costing proceeds.
Relationship to Corporate Strategic Plan
October 25, 2016
Committee of the Whole - CCW 16-359
Page 5
Item CCW 16-359 supports Council’s Strategic Direction:
Growth Related Service Delivery: Create and strengthen partnerships with key stakeholders to
support communities through the delivery of sustainable services.
Specifically, the Social and Community Services strategic initiative:
 Develop and implement a long-term affordable housing and homelessness prevention
strategy.
Item CCW 16-359 is also consistent with Our Community 10-Year Affordable Housing and
Homelessness Prevention Strategy.
Reference Documents
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Item AHA 16-030 (September 16, 2016) Call for Proposals Process Update for Municipal
Contributions for Affordable Rental Housing Development
Item AHA 16-003 (January 22, 2016) Investment in Affordable Housing 2014 Extension –
Rental Development Component
CCW 15-404 (November 24, 2015) Simcoe County Housing Corporation Development Plan
Attachments
Schedule 1: Evaluation Guidelines
Schedule 1 Evaluation Guidelines.pdf
Prepared By
John Connell, Acting Implementation Manager, Social Housing
Brad Spiewak, Maintenance and Facilities Project Manager
Approvals
Arfona Zwiers, Director, Social Housing
Greg Bishop, General Manager, Social and Community
Services
Trevor Wilcox, General Manager, Corporate Performance
Mark Aitken, Chief Administrative Officer
Date
October 13, 2016
October 13, 2016
October 16, 2016
October 17, 2016