Hundreds denied rent supplement after N.S. quietly changed eligibility rules - Action News
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Nova Scotia

Hundreds denied rent supplement after N.S. quietly changed eligibility rules

At the end of January, the Nova Scotia government decided a person would now have to spend at least 50 per cent of their pre-tax income on housing in order to qualify for a rent supplement, up from 30 per cent.

To qualify, applicants now have to spend at least 50% of their pre-tax income on housing, up from 30%

A man looks at the camera
Brian Dauphinee told CBC in April he was worried he wouldn't qualify for the rent supplement under the new requirements. Shortly after, he found out this was the case. (Paul Palmeter/CBC)

Brian Dauphinee is being renovicted from his $637-a-month Halifax studio apartment at the end of August, and is about to anxiously wade into the city's increasingly expensive rental market.

But the 69-year-old, who lives on a pension, will do so without the help of a rent supplement. He's one of hundreds of people who have been denied financial aid in recent months under a change made to the joint provincial-federal program.

"I was holding on hope that something might come through, and it certainly didn't. So they wasted my time," Dauphinee said. "And then all of the rents in the area here are sky high, they just seemed to all of a sudden magically start to double and triple."

In late January, the province quietlychanged the eligibility rules for theCanada-Nova Scotia Targeted Housing Benefit, a supplementdesigned to help low-income people pay for housing. In order to qualify, a person must now be spending at least 50 per cent of their pre-tax income on housing, up from 30 per cent.

Numbers provided recently to CBC News bythe Department of Municipal Affairs and Housing show that since the change, 324 applicants have been deniedfor not meeting the new 50 per cent threshold.

The province saidit is offering more rent supplements than in previous years. But the new restrictions mean some applicants who would have qualified under the old rules are now out of luck.

Housing advocates argue the new thresholds don't recognize the reality of skyrocketingrents, and that it's no longer just the lowest-income people who can't afford somewhere to live.

In April, Housing Minister John Lohrtold CBCNews the change was made for budgetary reasons.

"We could see that the demand for the program was exceeding what the budget would offer," Lohr said."So,we felt the need to prioritize ...this to those most in need, and that's why that decision was made."

A man in a suit sits in front of a Nova Scotia flag.
Housing Minister John Lohr said the decision to change the threshold had to be made in order to meet the program budget. (CBC)

A spokesperson for thedepartment said in a statement that the Houston government has put$21.6 million in this fiscal year'sbudget toward the program, and aims to provide at least 1,000 new rent supplements.

"This year the province will provide 8,000 rent supplements, which is 1,000 more than the previous year and 3,000 more than 2021," spokesperson Heather Fairbairn said.

Denied support

Tara Kinch, thecommunity support and outreach manager at Chebucto Connections in the Halifax community of Spryfield, works with low-income clients to complete and submit their rent supplement applications.

She said she has seen more people denied support since the changes, and wait-times have risen to new levels.

She said thechanges mean only the lowest-income people are now eligible, but they aren't the only ones who need the help.

"It's a much wider population that's strugglingwith housing security," she said."We're looking at people that have full-time jobs, and some working multiple jobs, that are housing insecure or are trying to access the shelter system or living in their cars. So it's not just people on income assistance or it's not just seniors."

Rural areas not immune

The new 50 per centthreshold isn't calculated based on an applicant's actual rent, but is based on theCMHC average market rentfor the area where they live.

For Halifax, the average market rent used in the calculationis $1,032for a one-bedroom unit, according to figures provided by the Housing Department.

But housing sector workers say the numbers used by the province don't reflect what someone hunting for an apartment now will have to pay. For example, inCumberland County, the number is just $707.

"We have many clients that are looking for apartments and the one bedrooms are $1,100, plus heat and lights," saidAiden Kivisto, the manager of community development withthe YMCA of Cumberland.

"There's this misnomerthat if you're living in a smaller community that the rents are going to be cheaper, but that's just not the case. That's just not what we're seeing here."

Is N.S. doing enough to meet demand for affordable housing?

1 year ago
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As a way to counter Nova Scotia's housing crisis, the province has been funding the construction of more low-cost rentals. But the total number hasn't been publicly available until now. The CBC's Nicola Seguin explains.

Kivistosaid based on the market rent figure used, someonein his area would have to be living in deep povertyto qualify for the supplement. Those who aren'thave few options.

Kivisto and Kinch both said the best way to help people afford rent and stay housed isto build more non-market housing that can have rent geared to income.

"The rental subsidy,it's a good interim measure, but it's not a solution to our housing crisis," Kinch said."We need all levels of government to be building more affordable housing for people so that they can have a safe, stable place to live and not have a fear ofbeing evicted or not being able to afford their rent."

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