HIP. The policy and procedures contained in this document apply to the following housing providers:

Transcription

1 HIP Housing In Peel Subject: 2015 Cost and Revenue Indices Date: August 22, 2014 Replaces: 2014 Cost and Revenue Indices HIP P&P dated July 27, 2013 Applicable to The policy and procedures contained in this document apply to the following housing providers: x Municipal & Private Non-Profit Federal Non-Profit x Co-operatives Rent Supplement* *incl. former OCHAP/CSHP Note: This document does not apply to Peel Living. The 2015 cost and revenue indices for Peel Living will be communicated separately. Content This document contains the following information: Legislation Purpose Mixed Non-Profits 100% RGI Non-Profits Applying the Indices Questions Appendix 1: Table 1: 2015 Indices Mixed Non-Profit Projects Index, HSA, O. Reg. 369/11 Table 2: 2015 Indices 100% RGI Non-Profit Projects Index, HSA, O. Reg. 369/11 Appendix 2: 2015 Market Rent Index by Housing Provider Name Peel Region Legislation Housing Services Act, 2011 O. Reg. 369/11 Purpose The purpose of this document is to communicate the 2015 indices for costs and revenues to calculate subsidies under the Housing Services Act (HSA). The indices in this document are used to calculate subsidy for all housing providers in the Region of Peel. The notification for Peel Living of these indices will be done outside of this HIP. The Cost Indices for mixed non-profit and 100% RGI non-profit projects are Page 1 of 6

2 used to calculate operating subsidies. The Market Rent Index is used to calculate the operating and rent-geared (RGI) subsidies for section 110 housing providers (formerly section 103). The Ministry of Municipal Affairs and Housing (MMAH) issues the Market Rent Indices each year that reflect changes in the market rents for each area. Mixed Non- Profit Projects Mixed Non-Profit Projects are to use Appendix 1, Table 1, which presents a combination of indices for costs and revenues for mixed projects. In addition they are to use the MRI Table in Appendix 2 to determine indices for Benchmark Revenues which varies depending on location as based on information from the MMAH. 100% RGI Non-Profit Projects 100% RGI Non-Profit Projects are to use Appendix 1, Table 2, which presents indices for costs for 100% RGI projects. Applying the Indices The numbers provided in the 2015 tables are percentages and must be converted into an index factor before it can be used to prepare your budget form for your 2015 fiscal year (O. Reg. 369/11 section 6.1). The following are examples of a Positive Index and a Negative Index: Positive Index Example Negative Index Example Index = 2.34% Index = (2.34)% Decimal = Decimal = (0.0234) Index Factor = plus 1 = Index Factor = (0.0234) plus 1 = Questions If you have any questions pertaining to this document, please contact your Housing Programs Administrator at the Region of Peel. Attachments Appendix 1: Table 1: 2015 Indices Mixed Non-Profit Projects Index Table 2: 2015 Indices 100% Non-Profit Projects Index Appendix 2: 2015 Market Rent Index by Housing Provider Name Peel Region Page 2 of 6

3 Appendix 1 Table 1: 2015 Indices Mixed Non-Profit Projects Index, HSA, O. Reg. 369/11 Item Index description 2015 Index Benchmark Costs Benchmark Revenues Administration and maintenance Ontario CPI all-items 2.85% Insurance Ontario CPI % homeowner's home and mortgage insurance subindex Bad Debt Market Rent Index Appendix 2 Electricity Ontario CPI - Electricity 8.08% Water Ontario CPI - Water subindex 6.81% Natural Gas Ontario CPI - Natural gas 39.41% Oil and Other Fuel Ontario CPI - Oil and 11.28% other fuel Capital Reserves Ontario CPI all-items 2.85% Indexed Market Rent Market Rent Index Appendix 2 Vacancy Loss Market Rent Index Appendix 2 Non-Rental Revenue Factor of 1 Factor of 1 Page 3 of 6

4 Appendix 1 continued: Table 2: 2015 Indices 100% RGI Non-Profit Projects Index, HSA, O. Reg. 369/11 Item Index description 2015 Index Benchmark Costs Administration Ontario CPI all-items 2.85% and maintenance Insurance Ontario CPI % homeowner's home and mortgage insurance subindex Bad Debt Ontario CPI all-items 2.85% Electricity Ontario CPI - Electricity 8.08% Water Ontario CPI - Water subindex 6.81% Natural Gas Ontario CPI - Natural gas 39.41% Oil and Other Fuel Capital Reserves Ontario CPI - Oil and 11.28% other fuel Ontario CPI all-items 2.85% Page 4 of 6

5 Appendix 2: 2015 Market Rent Index by Housing Provider Name - Peel Region Source: Region of Peel, based on MMAH Information BRAMPTON Housing Provider Building No. MRI District Building Type (Row/Apt/Mixed) 2015 MRI Chegoggin 93 Brampton (West) Apartment 1.6% Indo-Canadian 94 Brampton (West) Row 1.6% Northwood Park 96 Brampton (West) Row 1.6% St. Mary's Seniors 90 Brampton (West) Apartment 1.6% Union Village 91 Brampton (West) Apartment 1.6% MISSISSAUGA Housing Provider Building No. MRI District Building Type (Row/Apt/Mixed) 2015 MRI Aghabi Place 69 Ahneen 76 (Northwest) Row 1.6% Arbour Mill* 51 Armagh House 113 (South) Apartment 1.6% Barbertown 100 Bayanihan 92 Bristol Road 77 (Northeast) Mixed 1.6% Britannia Glen 78 Camille's Place 101 Cervantes Lions Court 102 Coral Place 103 Dan Benedict 104 Edenwood 105 Erin Court 106 (South) Apartment 1.6% Fletcher's Creek 79 (Northeast) Row 1.6% Forest Ridge* 33 Forestwood 80 Page 5 of 6

6 Appendix 2 Continued: 2015 Market Rent Index by Housing Provider Name - Peel Region Source: Region of Peel, based on MMAH Information MISSISSAUGA (continued) Housing Provider Building Building Type 2015 MRI District No. (Row/Apt/Mixed) MRI Forum Italia 81 Hope Villa 82 (Northeast) Row 1.6% International Ladies Garment Workers Union Housing Co-operative 107 Kancro 88 Kimbermount Place 109 Las Americas 108 Lom Nava 83 (Northwest) Row 1.6% Mahogany Place** 95 (Northeast) Mixed 1.6% Shalimar 84 (South) Stacked/Row -11.7% Tannery Gate 85 Tatry 86 Tomken Grove 70 Turtle Creek Manor 71 (South) Apartment 1.6% Villa Esparanza 87 (Northeast) Row 1.6% Windsor Hill 73 Wisma Mega Indah 74 Yarl 75 (South) Apartment 1.6% **Mixed building types Calculation: (no. of apartment units x 2015 MRI) + (no. of row/townhouse units x 2015 MRI) Page 6 of 6