Open Letter: Loss of Thousands Rent Geared to Income Subsided Units

Recently non-profits have been advised an Amending Agreement for some of those projects would come into effect on June 29, 2024, whereby Rent-Geared-Income (RGI) units will need to revert to market rent as soon as turnover of the existing tenant occurs as the subsidies for those units will not be renewed beyond 2028. It further stipulates that this conversion will be permanent. What this means is that Canada will permanently lose thousands of RGI units for low-income residents. This is in addition to the loss of 370,000 affordable units under the Liberal government’s watch and another 800,000 units under the Conservative’s watch.

 

This poses a significant risk to thousands of Canadians, especially Indigenous communities which are already overrepresented in homelessness and housing need. The non-market housing sector plays a crucial role in communities across Canada, offering not just shelter but stability, security, and a sense of community for its residents. Canada is already faced with a housing crisis. It is widely recognized that for every affordable housing unit built, 11 will be lost. Without the continuation of these subsidies, homelessness will be further exacerbated.

 

April 4, 2024

 

The Honourable Sean Fraser
Minister of Housing, Infrastructure and Communities
House of Commons
Ottawa, Ontario K1A 0A6
Via email: [email protected]

 

Open Letter re: Loss of Thousands Rent Geared to Income Subsided Units

 

Dear Minister Fraser,

 

It has come to my attention that Canada will lose thousands of Rent-Geared-to Income (RGI) units, with significant impact for urban Indigenous peoples who are already overrepresented in the unhoused population. Non-profits with housing projects under the Urban Native Housing Additional Assistance Program are part of the CMHC Bilateral Agreements under the National Housing Strategy.

 

Recently non-profits have been advised an Amending Agreement for some of those projects would come into effect on June 29, 2024, whereby Rent-Geared-Income (RGI) units will need to revert to market rent as soon as turnover of the existing tenant occurs as the subsidies for those units will not be renewed beyond 2028. It further stipulates that this conversion will be permanent. What this means is that Canada will permanently lose thousands of RGI units for low-income residents. This is in addition to the loss of 370,000 affordable units under the Liberal government’s watch and another 800,000 units under the Conservative’s watch.

 

This poses a significant risk to thousands of Canadians, especially Indigenous communities which are already overrepresented in homelessness and housing need. The non-market housing sector plays a crucial role in communities across Canada, offering not just shelter but stability, security, and a sense of community for its residents. Canada is already faced with a housing crisis. It is widely recognized that for every affordable housing unit built, 11 will be lost. Without the continuation of these subsidies, homelessness will be further exacerbated.

 

This policy decision directly contradicts and undermines your claim that you want to add affordable housing stock in Canada. Your recent announcements of ‘new’ funding to increase the supply of affordable housing across Canada ahead of Budget 2024 will be negated by the loss of thousands of existing affordable housing and have devastating impacts for the most vulnerable members of our communities by 2028. If this is not rectified, efforts made to increase affordable housing supply will amount to little more than rhetoric as the government embark on an exercise of giving with the right hand and taking with the left.

 

In effect, your government will be directly responsible for the erosions of existing affordable units and contribute to increasing homelessness in Canada.

 

Urgent action is needed to reverse this detrimental outcome. This Amending Agreement must be withdrawn and RGI subsidies for these units must continue.

 

Thank you for your urgent attention to this critical issue.

 

Sincerely,

Jenny Kwan
Member of Parliament for Vancouver East
NDP Housing Critic

 

 

Latest posts

For six years, Rajesh Sharma has watched his parents grow older from half a world away.

The Vancouver area small businessman came to Canada from India, built a career, bought a home and met the income requirements to sponsor his mother and father.

His father’s health is failing. His mother now struggles to manage their home alone. Sharma spends his evenings arranging medical appointments from Canada and wondering how many more birthdays and family milestones they will miss.

Ottawa’s recent decision to suspend new applications for the Parent and Grandparent Program (PGP) until further notice has turned that uncertainty into something more final.

For Sharma and thousands of other immigrants, there is now no application date, no place in the queue and no assurance their aging parents will ever be able to join them permanently in Canada.

NDP immigration critic Jenny Kwan said the decision leaves Canadians and permanent residents with no date to apply, no guarantee the program will reopen and little hope of reuniting with aging parents caught outside the country.

“The government has shamefully once again suspended new intakes to the Parent and Grandparent sponsorship program,” she said.

“At this rate, it will take decades to clear the backlog. Families cannot afford to wait decades to be reunited with their parents and grandparents.”

Immigration, Refugees and Citizenship Canada announced July 15 that it will stop accepting new interest-to-sponsor forms and will not invite more potential sponsors to submit applications until further notice.

The department said it will continue processing applications already in the system and plans to approve up to 15,000 parents and grandparents for permanent residence in 2026.

The department currently has about 60,500 permanent residence applications under the Parents and Grandparents Program in progress.

Processing times are approximately 33 months outside Quebec and can reach 66 months in Quebec. About 54,000 expressions of interest from the original 2020 pool were still outstanding as of September 2025.

Kwan said the government is managing the backlog by restricting access rather than fixing a system that has kept families waiting for years.

“It has remained closed since 2020, shattering dreams of family reunification for thousands of Canadians and permanent residents,” she said.

“Families who have been eagerly waiting for the application system to reopen are once again being told by the Liberals that they are out of luck. It is a slap in the face of families who have waited so long to reunite with their loved ones.”

The suspension comes as Ottawa sharply reduces the number of parents and grandparents it plans to admit.

Under the 2026-2028 Immigration Levels Plan, the federal government has set a target of 15,000 admissions through the program in each of the next three years.

The previous plan had called for 21,500 admissions in 2026, meaning the new target represents a reduction of about 30 per cent.

*Click image or link to read the full news article - https://asianpacificpost.com/article/10670-%E2%80%9Chow-many-more-years-must-i-wait%E2%80%9D.html

Are you ready to take action?

Constituent Resources
Mobile Offices
Contact Jenny

Sign up for updates