Affordable Housing Grant Policy

Yarmouth, Nova Scotia

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TOY 83 - Affordable Housing Grant Policy Town of Yarmouth AFFORDABLE HOUSING GRANT POLICY Effective: August 14, 2025 TOY 83 1.0 LEGISLATIVE AUTHORITY This Affordable Housing Grant Policy (the Policy) derives its authority from Section 57(4) of the Municipal Government Act. 2.0 PURPOSE The purpose of the Affordable Housing Grant (the Program), funded by the Government of Canada, is to: a) temporarily incentivize the creation of affordable housing supply within fully serviced areas of the Town of Yarmouth in conjunction with the priorities and targets set out in the Town's 2024-2027 Housing Accelerator Fund (HAF) Action Plan; b) promote a broader range of housing choice for all ages, income groups, family types and lifestyles and support housing opportunities for low-income households; and c) encourage innovative housing types, such as co-housing and accessory dwelling units, as alternative means of accommodating residential growth while providing more affordable housing options. 3.0 DEFINITIONS a) "Accessory dwelling unit" means the use of a building or part of a building for a dwelling unit that is secondary and subservient to another dwelling unit on the lot. b) "Affordable Housing Grant Agreement" means an agreement signed between the Town and the applicant under this Policy (i.e., a property owner, or their agent). The agreement defines the terms and conditions under which the affordable housing grant will be made. The Affordable Housing Grant Agreement cannot be altered without prior approval from the CAO. c) "Affordable Housing Rental Program" means the program administered by the Province of Nova Scotia to provide capital grant funding towards the creation of new housing units for low- and moderate-income households in Nova Scotia. d) "Affordable housing unit", in general, means housing for people who, because of financial or other circumstances, need assistance to cover their housing cost. For the purpose of this Program, an affordable housing unit means an affordable housing unit as defined by the Province of Nova Scotia through its Affordable Housing Rental Program and/or as defined by the Canada Mortgage and Housing Corporation. For information purposes CMHC considers TOY 83 - Affordable Housing Grant Policy housing to be affordable when a household spends less than 30% of its pre-tax income on adequate housing. e) "Affordable Housing Reserve" means the Town of Yarmouth reserve fund provided through the Housing Accelerator Fund, funded by the Government of Canada, for the specific purpose of promoting affordable housing. f) "CAO" means the Chief Administrative Officer of the Town of Yarmouth. g) "Canada Mortgage and Housing Corporation (CMHC)" is a Canadian Crown corporation that serves as the national housing agency of Canada. h) "Federal funding program" means the funding offered by CMHC, including but not limited to the National Housing Co-Investment Fund and Rapid Housing Initiative. i) "Construction costs estimate" means the total estimated cost of construction of the building, including but not limited to design, materials, labor, site preparation, structural, mechanical and electrical components. j) "Building conversion" means a development that changes the use of a property from a non-residential use to a residential use resulting in net new affordable housing units. k) "Dwelling unit" means one or more habitable rooms designed, occupied, or intended for use by one or more individuals as an independent and separate housekeeping establishment, in which cooking, sleeping, and sanitary facilities are provided for the exclusive use of such individual(s). l) "Missing-Middle Housing" means a wide range of residential housings forms that fall between single detached homes and high-rise apartment building. Examples include semi-detached and duplexes homes, triplexes, fourplexes, townhouses rowhouses, courtyard housing, apartment buildings with less than 4 storeys or accessory dwelling units. m) Non-market housing" means rental or for-sale housing provided for low and moderate- income groups not traditionally served by the private market. It is typically made affordable through public and/or non-profit ownership of housing units or through rent supplements that allow low-income households to access housing in the private market. n) "Non-profit housing provider" means a charity or society incorporated under the Nova Scotia Societies Act (Ch. 435, R.S.N.S. 1989) whose mandate includes but is not limited to, the supply and management of affordable housing units. Other models may include non-profit subsidiary organizations of for-profit housing developers who may partner with other social service organizations with the goal of supporting/developing affordable housing units and other non-market housing. o) "Town", means the Town of Yarmouth. TOY 83 - Affordable Housing Grant Policy p) "Vacant building" means the building has been vacant for at least 6 months, unless otherwise determined by the Town. 4.0 ROLES AND RESPONSIBILITIES 4.1 The CAO, or their delegate, shall expend the funds contained in the Affordable Housing Reserve in accordance with the provisions contained in this Policy. 4.2 The CAO may further delegate any or all the authorities under this Policy to one or more employees of the Town. 5.0 GOALS The Program aims to: a) distribute grant funding, on or before December 31, 2028, to support the construction of at least 36 eligible affordable housings units as set out in the Town's HAF Action Plan; and b) manage and distribute available grant funding in a responsible and transparent manner, while balancing any constraints on how the available funding may be used. 6.0 GENERAL PROGRAM ELIGIBILITY 6.1 The grant may be provided only to eligible affordable housing units that have been approved for funding under a federal funding program and/or the provincial Affordable Housing Rental Program. 6.2 Applicants must have valid a Development and Building Permit issued between January 22, 2025, and June 30, 2027, inclusive. 6.3 The Development and Building Permit referenced in Section 6.2, shall be for one or more of the following: a) the construction of a new accessory dwelling unit; b) the construction of new missing-middle housing; and/or c) a building conversion, or reuse of vacant buildings. 6.4 Unless otherwise approved by the CAO, eligible applications may only be accepted until June 30, 2027 (inclusive), or until all of the funds in the Affordable Housing Reserve have been awarded, whichever occurs first. 6.5 Projects must include a construction cost estimate prepared by a qualified professional such as an architect, engineer or a project consultant at the time of the application. 6.6 The development must be located within the Town boundary and be on a fully serviced lot pursuant to the Town's Subdivision Bylaw. 6.7 The development must comply with all applicable legislation. TOY 83 - Affordable Housing Grant Policy 6.8 The application must be submitted by the registered owner of the lot, or an authorized agent acting on behalf of the registered owner. The applicant can be for-profit or a non- profit housing provider. 6.9 Affordable housing units must not be used as a short-term rental or a per-night rental. 6.10 The Missing-Middle Housing Grant cannot be combined with the Revitalizing Rental Stock Grant and vice versa. 6.11 Where an applicant is found to be in violation or in contravention of any Town bylaw or is subject to any outstanding work orders or any other enforcement procedures of the Town or any other governmental authority, the application may not be accepted, may be refused, deemed ineligible, or any pending grant disbursements may be cancelled. 7.0 GRANT STREAMS The Program consists of two grant funding streams: a) Missing-Middle Housing Grant (Section 8.0) b) Revitalizing Rental Stock Grant (Section 9.0) 8.0 MISSING-MIDDLE HOUSING GRANT 8.1 Purpose To incentivize the construction of missing-middle housing forms. 8.2 Grant Description The Missing-Middle Housing Grant provides $10,000 per eligible unit, to a maximum of $50,000 per application, per building. 8.3 Grant Eligibility In addition to general eligibility requirements identified in Section 6.0, the project must consist of missing-middle housing. 9.0 REVITALIZING RENTAL STOCK GRANT 9.1 Purpose To incentivize the revitalization of existing rental stock and retention of such housing stock at greater levels of affordability than may otherwise be contemplated. 9.2 Grant Description Revitalizing Rental Stock Grant provides $10,000 per eligible unit, to a maximum of $50,000 per application, per building. 9.3 Eligibility TOY 83 - Affordable Housing Grant Policy In addition to general eligibility requirements identified in Section 6.0, the total grant cannot exceed 50% of the overall construction cost estimate as determined at the time of the Building Permit application. 10.0 GRANT APPLICATION REQUIREMENTS 10.1 An application for a grant under this Policy must include the following: a) A completed application form (attached in Appendix A to this Policy). (i) A written authorization from the registered owner of the subject property may be required - as applicable. (ii) Applications may be submitted to the Town, by mail, e-mail or in person. b) An executed funding agreement provided and approved by a federal funding program and/or the provincial Affordable Housing Rental Program. The agreement must identify the number of affordable housing units to be constructed. c) A copy of the approved Development Permit and Building Permit for eligible development. d) A project schedule indicating the following key milestones: (i) Project start date (ii) Estimated date of completion of framing inspection (for Missing Middle Housing Grant only); and (iii) Estimated date of project completion. e) Construction cost estimates - The applicant must provide an invoice/quote, or a cost to construct budget provided a qualified professional such as an architect, engineer or a project consultant at the time of the application; f) Any other information that may be requested by the CAO, or delegate. 11.0 GRANT APPLICATION REVIEW 11.1 Applications will be reviewed by the CAO and/or delegate(s). 11.2 Funding will be committed in the order that applications are received, provided that the project meets all applicable eligibility criteria and the application is complete. 11.3 Program intake may pause or cease to occur at the discretion of the CAO, based on available funds in the Affordable Housing Reserve. 11.4 Final approval of all applications for the Program, and the amount thereof, is at the sole discretion of the CAO. 11.5 Notification of the decision by the CAO will be emailed and/or mailed to applicants after it is made. 11.6 Due to limited funds, not all eligible applications may receive funding. TOY 83 - Affordable Housing Grant Policy 12.0 DISBURSEMENT OF GRANT FUNDS 12.1 No grant funds will be disbursed to successful applicants until: a) the successful applicant has: (i) entered into an Affordable Housing Grant Agreement with the Town; and (ii) obtained a Building Permit1 from the Town for the eligible development; and b) the following applicable milestone(s) have been achieved: Grant Stream Required Milestone Exception Missing-Middle Housing Framing inspection approved under the applicable Building Permit on or before June 30, 2028. If the eligible Missing-Middle Housing consists solely of an accessory dwelling unit, on Occupancy Permit must be issued on or before June 30, 2028. Revitalizing Rental Stock Full completion of the development and issuance of an Occupancy Permit on or before June 30, 2028. N/A 1 Substantial revisions to the issued Building Permit attached to the grant application form, including but not limited to, reductions in the number of affordable housing units, may void the application or require the application to be resubmitted. 12.2 Funding available under this Policy will depend upon the following considerations. a) Number of grant applications received and availability of funding for HAF. b) The Town receiving federal funding for HAF. Despite approval of an application under this Policy, planned disbursement of funds may be cancelled by the CAO at any time based on availability of funds in the Affordable Housing Reserve; and c) Construction progress - The Town will periodically confirm project commencement and/or construction progress. If no progress is demonstrated within 6 months of the issuance of a Building Permit for the eligible development and the CAO or delegate determines the project is at risk of not being completed, the grant may be withdrawn. 12.3 Prior to disbursement of any grants under this Policy, the Town may withhold payment should any of the following be determined: TOY 83 - Affordable Housing Grant Policy a) the property taxes and/or water utility fees for the property have not been paid in full, or, b) the property is in violation of Town bylaws, including, but not limited to, the Building Bylaw or the Land Use Bylaw. 13.0 OUTCOMES REPORT 13.1 Funding recipients will be required to submit an outcomes report outlining how the funds were used in accordance with this Program. These reports will be made publicly available. 13.2 The Town reserves the right to request additional information or explanation for such reports. 13.3 Staff of the Town will provide an information report annually to Council on the Affordable Housing Grants approved under this Policy. Clerk's Annotation for Official Policy Book Date of Adoption: August 14th, 2025 I certify that this 'Affordable Housing Grant Policy' was adopted by Council as indicated above. Town Clerk: Date: TOY 83 - Affordable Housing Grant Policy Appendix A Affordable Housing Grant Application SECTION 1 - Program Description This Program is intended for homeowners, non-profit housing providers, and for-profit developers interested in creating additional affordable housing units through new construction, building conversions, or the reuse of vacant buildings. Note - this grant application form shall be read and completed in conjunction with the Affordable Housing Grant Policy. ELIGIBILITY REQUIREMENTS - Eligible properties must be located within the Town boundary and be a fully serviced lot pursuant to the Town's Subdivision Bylaw. - The eligible unit must: o comply with all applicable federal, provincial and municipal legislation, including zoning and building regulations; o be self-contained with a kitchen area and full bathroom; and o not be a short-term rental or per night rental unit. - The applicant must reside at the subject property (applies to grants for accessory dwelling units only). GRANT DETAILS - This program offers a one-time grant. - The Missing-Middle Affordable Housing Grant provides $10,000 per eligible unit to a maximum total of $50,000 per application per building. - The Revitalizing Rental Stock Grant provides $10,000 per eligible unit, to a maximum of $50,000 per application, per building GRANT DISBURSEMENT Approved grants are issued in a single lump sum upon: - issuance of a development and building permit; and - confirmation of a completed framing inspection for new construction; or - issuance of occupancy permits for accessory dwelling units, new units created from building conversions, or reuse of vacant buildings: and - fulfillment of all other Program conditions required for payment. TOY 83 - Affordable Housing Grant Policy SECTION 2 - Applicant Information Applicant Name: Civic Address: Mailing Address: Home Phone: Cell Phone: Email: SECTION 3 - PROJECT DESCRIPTION 1. I am applying for a Grant under the following category: o Missing-Middle Housing: Examples include semi-detached and duplexes homes, triplexes, fourplexes, townhouses rowhouses, courtyard housing, apartment buildings with less than 4 storeys or accessory dwelling units. o Revitalizing Rental Stock: Renovation of existing housing stock into affordable units, or reuse of vacant buildings. 2. For accessory dwelling units, are you the current homeowner who resides at the subject property as your primary residence? Yes No (Proof of residency at the property in form of a driver's license and utility bill will be required) 3. Attachments included: o Building Permit(s) o A project schedule with the following key milestones: - Construction / project start date - Estimated date of completion of framing inspection (Missing-Middle Housing applications only) - Estimated date of project completion o Written Property Owner Authorization, if required o Construction Cost Estimates o Executed funding agreement from Province of Nova Scotia and/or the Government of Canada with identification of affordable housing units approved for funding. For more clarity, affordable housing units must be approved for funding under a federal funding program and/or the provincial Affordable Housing Rental Program. TOY 83 - Affordable Housing Grant Policy SECTION 4 - APPLICANT SIGNATURE In signing this application, the applicant understands and agrees that: - Affordable housing unit(s) must: - comply with all applicable federal, provincial and municipal legislation, including the Town of Yarmouth Land Use Bylaw, the Town of Yarmouth Tax Policy and other applicable bylaws and regulations. - be self-contained. - not be used as a short-term rental or a per-night rental at any time throughout duration of the Agreement. - have an occupancy permit issued by the Town of Yarmouth on or before June 30, 2028, for ADUs and building conversions and vacant building reuse. - Owner must obtain a valid Development and Building Permit for the eligible development from the Town of Yarmouth after January 22, 2025. - Affordable housing unit(s) of new construction (excluding ADUs) must have a framing inspection completed and in full compliance on or before June 30, 2028. Applicants are advised that applications will be assessed on a first-come, first-served basis, or until available funds in the Affordable Housing Reserve have been exhausted, whichever occurs first. The grant will be disbursed as a one-time sum subject to Section 12 of the Affordable Housing Grant Policy (Disbursement of Grant Funds). The applicant must comply with all program requirements to obtain grant approval and payment. Applicant Signature: Date: SECTION 5 - COLLECTION OF PERSONAL INFORMATION NOTICE Collection of Personal information via this form is authorized under the Access to Information and Protection of Privacy Act, 2015 and is needed to process your Permit Application. Questions about the collection and use of the information may be directed to the Town's Municipal Clerk by email: [email protected] or by phone 902-742-8565. Please send completed form to: By email: [email protected] By mail/in person: 400 Main Street, Yarmouth NS, B5A 1G2 Attn: CAO's Office Subject: AHAF Grant Application