CHF Canada re: Federal Decision On Subsidy Surplus Accounts

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CHF Canada warmly welcomed yesterday’s announcement by Minister of State for Social Development Candice Bergen allowing Section 95 program housing co ops to keep accumulated subsidy surpluses when operating agreements expire.

“CHF Canada’s 900 member housing co ops welcome the decision announced today on the eve of National Housing Day,” said CHF Canada’s Executive Director Nicholas Gazzard in a media release. “It allows them to keep subsidy surplus funds to use as rent-geared-to-income assistance for vulnerable low-income households.”

For some time, CHF Canada has encouraged the federal government and CMHC to adopt a common sense approach to the rules around rent-geared-to-income subsidy.

The new rule changes are retroactive, meaning co-ops whose operating agreements have expired can receive refunds if they’d returned subsidy surpluses to CMHC.

“It is such good news that the federal government and CMHC are working with us, as positive and effective partners, to ensure the success and sustainability of Canada’s housing co-ops,” said CHF Canada President Anne Davidson to Minister Bergen (both pictured right) during the announcement held at Twin Rainbows Housing Co-op in Vancouver, BC. “We are confident that this positive working relationship bodes well for dealing with the challenges of federal agreements that are ending.”

For more information about the campaign to protect co op affordability, visit www.chfcanada.coop/eoa.