Alberta to give $75 million to housing providers: Nixon

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The Alberta government will provide $75 million to four dozen agencies in 2024-25 to help low-income housing providers build more homes and face rising costs, the province's cabinet announced Tuesday.

Jason Nixon, Minister of Aging, Community and Social Services, said the funding was a 40 percent increase, or $21 million, over last year's budget.

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Nixon told Postmedia the funding will subsidize 48 housing providers and help house approximately 110,000 Albertans in 60,000 government-supported units.

“This is particularly to ensure that housing providers providing low-income housing can cope with the inflationary market they find themselves in,” he said.

The funds will ensure that Alberta housing operators “can manage the cost increases that we're seeing – from rising utility costs, increased personnel costs, the impact of the carbon tax and other components,” Nixon added.

The new funding does not cover Alberta's rent payments to those agencies, he said.

“We have to make sure we can keep what we have and we know they have to be able to pay their bills for that.”

$75 million will go to organizations in Calgary $20.4 million for the 2024 calendar year, according to Nixon. According to him, most of the funds will be allocated this year, and a part until 2025.

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“Honestly, they don't even come into the equation.”

Tuesday's announcement follows the federal government's pre-budget announcements on housing, including Prime Minister Justin Trudeau's promise last week to “address the housing crisis.” By 2031, 3.87 million new homes will be opened.

It followed Trudeau's announcement of a $1.5-billion Canada Rental Protection Fund and a $500-million low-cost loan program to build homes using “innovative” methods like modular construction.

Criticizing those commitments as a federal intrusion into provincial jurisdiction, Premier Daniel Smith introduced Bill 18 – Protecting Provincial Priorities – in the legislature last week. If passed, the legislation would require the federal government to obtain provincial approval before revising, renewing or entering into funding agreements with Alberta municipalities, universities or other “provincial entities.”

Nixon denied Tuesday's announcement was an example of sticking it to the federal government, noting the funding was included in Alberta's 2024 budget, presented in late February.

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“This is something we intend to do, not because of the federation,” he said. “Frankly, they don't even enter the equation. It shows that the Alberta government has and will continue to invest significantly in housing.”

However, since Bill 18 was introduced, Nixon said federal Housing Minister Sean Fraser has re-established contact with the Alberta government.

“We are pleased to be able to reach an agreement with the federal government,” Nixon said. “Minister Fraser is back at the table and ready to negotiate with the province on housing.”

The Federal Government's Budget 2024 will be released tonight.

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