Claim: “City’s 15% affordable housing regulation removed… only 7% affordable.”

Fact: City policy is being followed. This policy was approved on April 19, 2022, during the previous term. 

The City’s Inclusionary Zoning - Affordable Housing Policy states:

for any projects proposing a residential density greater than 2.0 FAR, the City requires either:

• a minimum 15% of residential FAR as Below-Market Rental Units; or

• a minimum 6% of residential FAR as Non-Market Rental Units.

The Beedie Living proposal, which was referenced in the Facebook post, contains 7% Non-Market Rental Units in the form of women’s transition housing and housing for the KFN. The Beedie project FAR is 5.26, and the provision of 7% non-market rental is aligned with city policy. 

Policy Definitions

Non-Market Rental Units – units intended to serve very low-income households through agreements with a non-profit housing society or BC Housing for households earning less than $30,000 and renting at shelter rates or rent geared to income.

Authors’ note: This is more expensive to provide and more in demand. It is disappointing that that is the way the market works. Partnerships with the Province, BC Housing and other non-profit housing organizations are required to ensure non-market rental units are created.

Below-Market Rental Units – units intended to serve households considered low-income by the Housing Income Limits (HILs) applicable to Port Moody as published by BC Housing on an annual basis at the time of occupation. Annual rent increases as permitted under the Residential Tenancy Act. Below-market rental units will be rented at 20% below Canadian Mortgage and Housing Corporation median rent for the Tri-Cities area.

Authors’ note: Rental rates are set by BC Housing based on median rents as determined by CMHC. We understand that these rates may not be affordable to everyone.

Floor Area Ratio (FAR) – is the figure obtained when the Floor Area of all Buildings on a lot, calculated in accordance with section 5.3.4 of the City of Port Moody Zoning Bylaw, is divided by the area of the lot upon which the buildings and structures are situated

How did we get here?

TL;DR version: The inclusionary Zoning policy is based on work done by the Affordable Housing Task Force and was endorsed by Council on April 19, 2022. 

The details: The road to inclusionary zoning policy started back on June 16, 2020, when Council passed the following resolution:

RC20/285 THAT staff be directed to carry out the eight recommendations of the Affordable Housing Task Force as presented and recommended in the report dated June 16, 2020, from the Affordable Housing Task Force regarding Final Report from the Port Moody Affordable Housing Task Force;

AND THAT staff report back on timeline implications, and how the recommendations will be implemented.

The report from the Affordable Housing Task Force included direction on Inclusionary Zoning, and at a subsequent closed meeting on November 21, 2021, Council received a presentation and memo from staff and Coriolis Consulting on the feasibility of inclusionary zoning policy (released March 8, 2022). In the closed meeting, Council passed the following resolution:

CC21/175-176 THAT staff be directed to report back with a draft Inclusionary Zoning Policy as recommended on pages 15-16 of the report dated June 16, 2020 from the Affordable Housing Task Force, using FAR instead of percentages and using 15% instead of 12.5%.

Subsequently, Council received the presentation from Coriolis and staff on April 19, 2022. You can watch the presentation and discussion here (memo and attachments are also found here). It was unanimously endorsed. You can review the minutes: Minutes: April 19, 2022, Agenda Item 7.1.

Almost three years later, municipalities are still in the same situation, and while there are new programs like BC Builds, these programs still require the contribution of city-owned land, although the Province is a significant land owner. Ultimately, the province is “responsible for providing British Columbians access to more affordable, safe and appropriate housing, and for supporting local governments and residents to build vibrant and healthy communities.”

What about other municipalities?

British Columbia currently does not have provincial legislation enabling mandatory inclusionary zoning, which would allow municipalities to require a specific percentage of affordable units in all new developments. Consequently, existing inclusionary housing policies are different across the region and in cities without policies, these are negotiated on a case-by-case basis.

In the Metro Vancouver region, several municipalities, other than Port Moody, have implemented inclusionary housing policies in an attempt to increase affordable housing. These policies typically encourage or require developers to include a portion of affordable units in new residential developments. It is important to note that policies are not the same as bylaws.

Metro Vancouver has developed a Regional Model Policy Framework for inclusionary housing. This framework aims to assist member municipalities in adopting or updating their policies to better meet affordable housing targets. 

The province has promised tools for bylaws to accompany Bills C44, 45, and 47, which are yet forthcoming. In August 2024, the Province provided Interim Guidance: Inclusionary Zoning and Density Bonus, but has not yet provided the “tool” - this is expected this year.

City of New Westminster: The city has inclusionary housing policies, adopted in 2019:

• Option 1 – Applications requesting Official Community Plan (OCP) amendment and/or exceeding Density Bonus Policy, requires a minimum of 20% of total units or floor area as built affordable rental units.

• Option 2 – Applications within OCP / Density Bonus Limits, requires a minimum of 5% of total units as built non-market rental units.

• Option 3 – Applications within OCP / Density Bonus Limits, requires a minimum of 10% of total units as below-market rental units.

*New West has usually achieved below this target.

City of Burnaby: The city’s original policy required 20% non-market units, based on floor area, excluding density bonusing. In practice, this policy achieved 11-15% non-market units. In October 2024, Burnaby council considered changing the policy due to “challenging economic conditions”.

Final thoughts

While several Metro Vancouver municipalities have implemented inclusionary housing policies, the absence of provincial legislation for mandatory inclusionary zoning means these policies vary and are often implemented through negotiations with developers. We wait to see what the province will provide this year that will support the development of affordable housing, as per their responsibility, while we continue to advocate for livable communities for people, regardless of financial means.