The Current Rent Geared to Income System Perpetuates Poverty

Lack of Uniformity Across the Province:

The disparity in maximum income limits per household, as stipulated by the HSA (Housing Services Act) for eligibility, creates an unjust scenario across different regions. This lack of consistency results in unequal rights for residents. For instance, an individual on the RGI waiting list in Toronto who relocates to Kingston faces substantially lower maximum income limits per household. Consequently, the eligibility of the person diminishes upon moving, leading to inequality across the province. This discrepancy potentially constitutes a violation of constitutional principles under the Canadian Constitution Charter, demanding a reassessment of the current system.

Challenges Faced by Couples in RGI Mixed-Income Communities:

Couples residing in RGI mixed-income communities encounter precarious situations, especially in the unfortunate event of the death of one partner. In buildings that combine both market rent and RGI units, surviving spouses may grapple with untenable financial burdens. For instance, if one spouse passes away, the surviving partner may face exorbitant market rent prices, despite having no immediate medical or pressing issues. Existing city policies place them in a situation where they are no longer financially equipped to maintain their current living arrangement in the market rent unit due to a reduction in income following the death of a partner.

Proposed Solutions:

To address these critical issues, we implore the Province under the HSA to establish a uniform eligibility criterion across the province. Additionally, swift and decisive steps are needed to safeguard the rights and well-being of residents, particularly surviving spouses. We propose that the Province institute policies and procedures facilitating the immediate transition of surviving spouses from market rent units to available RGI units within the same building based on income eligibility. This compassionate and practical solution aims to prevent further upheaval in their lives during an already challenging time. For example: In 2022, the Official Poverty Line for a single person is estimated to be approximately $27,343, with the deep income poverty threshold set at $20,508. For a couple, the poverty income is calculated as $54,686, and the deep income poverty for couples is $41,014. Notably, in Kingson, the allowable income for a one-bedroom unit is restricted to $36,000, whereas in Toronto, it is $58,500 for a one-bedroom unit for a couple.

Call to Action:

It is imperative to protect and support those who have contributed to our community. Therefore, we urge the swift implementation of these changes to demonstrate our commitment to the well-being of residents and reinforce the sense of unity and compassion that defines our community. Acting promptly will ensure that vulnerable surviving spouses are not left in financial distress and can continue to call our community their home as opposed to the present system of having a surviving spouse put on the waiting list for 5 to 10 years for an RGI unit.

The proposed reforms will contribute to a more equitable and compassionate RGI system across the Province for all municipalities and Cities.

PS Today, across Ontario there are more than 200,000 thousand on the RGI waiting list province-wide and most likely far more.