The City of Burnaby is creating a new reserve fund that will be used for projects related to supporting vulnerable and homeless members of the community.
The operating housing reserve won’t be a statutory reserve, meaning it won’t be legally locked in place for specific uses. But its intended purpose, according to a staff report, will be for funding operating expenses related to housing matters, such as the lease and operating costs of the warming centres and the homeless shelter, and staff costs on affordable-housing initiatives.
The reserve, which will not yield interest revenues on its own, will be funded by the interest earned from the city’s community benefit-affordable housing reserve, which is funded by density bonus contributions from developers. The new reserve will come with an initial deposit of $14 million, according to staff.
“I just want to compliment the staff for coming up with this idea,” said Coun. Colleen Jordan. “This will be able to assist us in funding the projects that we are now undertaking … that previously we didn’t have the capacity to fund without going into the property tax base for the city. I think this is a creative solution for doing that.”
Mayor Mike Hurley cited the work currently being done in the area of homelessness – namely the warming centres, which were intended to close on March 31 but was extended to May 31 – as an example of the need for the reserve. Hurley noted the warming centres and the shelter offer more than a place to sleep, as staff make “important contacts” with vulnerable individuals and connect them with services.
“Over the past two years this council has made good progress to address the housing needs of our community. That work continues today,” Hurley said.
“We’ve also taken action to support our vulnerable population by establishing warming centres and supporting a homeless shelter for people to get a safe night’s rest. … It’s about more than just providing physical spaces for people to lay their head and get some rest.”
