Non-profit receives funding to renegotiate contracts impacted by legislative overhaul
The Ontario Non-Profit Housing Association (ONPHA) has announced a new grant to support community housing providers in renegotiating their contracts, which have been impacted by a recent legislative overhaul.
ONPHA said it has received a $1 million grant from the provincial Ministry of Municipal Affairs and Housing. The funding will go towards ONPHA's Sector Transformation Enterprise Program (STEP), which guides housing providers through the process of renegotiating their operating agreements as their mortgages come up for renewal.
"ONPHA is pleased to receive this funding and put it towards a grant to help housing providers renegotiate their funding agreements with their Service Manager and the Province," ONPHA chief executive officer Marlene Coffey said in a press release.
The grant will provide up to $15,000 for one housing provider in each municipal service area to access expertise and prepare for the negotiations ahead.
"The grant will help housing providers access immediate capacity, better prepare for the transition ahead, and will establish best practices that will be used to develop initiatives for the rest of the sector."
The STEP program connects non-profit housing operators with pre-vetted professional services to assist them in optimizing their business models for the sector's transformation brought on by changes to the Housing Services Act in 2022.
The changes to the Act, effective July 1, 2022, are part of the Province's Community Housing Renewal Framework Initiative. These changes introduced significant alterations for community housing providers, particularly those entering new funding agreements.
"In light of the pressing challenges facing the community housing sector after the changes to the Housing Services Act in 2022, this grant will empower providers to approach negotiations from a position of readiness and expertise, ensuring effective preparation for the transformation ahead," ONPHA stated.
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The grant funding aims to ease the financial burden on non-profit housing operators who must hire external consultants to advise them through the complex negotiation process with their municipal service managers.
Founded in 1988, ONPHA is an independent association funded and directed by its members, representing Ontario's non-profit housing providers. ONPHA leads, supports, and advocates for the non-profit housing sector, promoting sustainable and equitable housing to create thriving communities.
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