Thumbs Up On Social Housing Change

After CTF blows whistle on high income earners living in social housing, the government reviewed situation, raised rates on high income earners WINNIPEG, MB: The Canadian Taxpayers Federation (CTF) praised the provincial government today for addressing a problem raised by the CTF last fall – high income earners living in social housing and taking up space meant for low income people.

Last fall the CTF released Freedom of Information documents which showed there were more than 30 Manitoba Housing units with residents having household incomes over $70,000 annually; including five between $90,000-$159,999. At the time, the CTF encouraged the government to look into the matter more closely. Recently, the CTF receivedFreedom of Information responses that document how the government handled the situation. “We’re glad the government looked into the situation and raised rates on high-income earners in social housing to encourage them to leave,” said CTF Prairie Director Colin Craig. “The government should change one of its laws so that it can force high income earners out, and free up space for low income people, but raising the rates is a good start.” Government documents obtained through FIPPA by the CTF showed that bureaucrats discovered one person (living alone) earned $153,000 and only paid $370 per month. In another instance a couple were making approximately $137,000 annually but paid only $441 per month in rent. Overall, the number of high-income earners in social housing here higher than the figures originally provided to the CTF suggested.

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Bureaucrats calculated that by increasing rates on high-income families that were paying too little, the government could raise an extra $108,288-$316,975 per year in rent. However, the government maintains it cannot force people out due to restrictions in the Residential Tenancies Act. A briefing note suggests that rates for many high-income earners will now be set “in excess of the posted market rent. These households will naturally transition to the private market, as they will find more economical accommodations.” To view the government’s analysis on the top ten income earners and overall situation – click here. To view the government’s note on proposed changes – click here.