Cracks in the Foundation: Solving the Housing Crisis in Canada;s Poorest Neighbourhood

Published September 2006 by Pivot Legal Society.

EXTRACT FROM THE REPORT:

Executive Summary

“When the world arrives in Vancouver in 2010, what kind of city will they find?”
– Mayor of Vancouver, Sam Sullivan in his inaugural speech, 2005

If no new low-cost housing is built and the current stock of low cost housing continues to close and deteriorate at its present rate, visitors to Vancouver in 2010 will see nearly three times as many homeless people living on the streets of Vancouver as they see today, according to findings in Pivot Legal Society’s housing report, Cracks in the Foundation. Visible poverty and homelessness will be apparent throughout the city, as all shelters in Vancouver are currently operating at or near capacity.

The authors of this report demonstrate that this unprecedented level of homelessness will have significant economic and social consequences for us all. As well as tarnishing our reputation as one of the world’s most livable cities it will:

• result in more crime, disorder, drug use and dealing throughout the city;

• add to the taxpayer’s burden due to increased spending in social services, health care, ambulance costs, and criminal law enforcement; and,

• impact tourism, small businesses and property owners.

Our current level of homelessness is costly. Between 2002 and 2005 the cost of homelessness to Vancouver’s taxpayers rose 49 percent from $25,120,000 to $51,460,000 (based on a B.C. Government cost assessment of services that includes hospital, ambulance, police incarceration, emergency shelter and food aid).

According to government figures, it requires up to $40,000 per year per to provide the above services to a homeless person. In contrast, according to the City of Vancouver, the cost to provide supportive housing is between $7,300 to $13,370 per year. Factoring in the cost of building housing units, it would cost between $22,000 and $28,000 per person per year to build social housing for those who are currently homeless.

The provision of housing for those who are currently homeless would represent a savings to taxpayers of between $10,328,000 and $15,492,000 per year. The overall human and social benefits of housing our homeless neighbors would be incalculable.

The Housing Plan for the DTES (2005) produced by the City of Vancouver (the “City”) states that, “Homelessness will likely increase unless existing low-income housing is preserved or replaced.” The City has also determined that we require a net increase of 800 units of social housing per year to meet the demand for low-cost, supportive housing.

Continued...

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