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2022-12-06 Growth Committee Agenda Packet - Open Session�B City of Saint John Growth Committee - Open Session AGENDA Tuesday, December 6, 2022 12:00 pm 2nd Floor Common Council Chamber, City Hall 1. Call to Order 2. Approval of Minutes Pages 2.1 Minutes of September 27, 2022 1 - 4 3. Approval of Agenda 4. Disclosures of Conflict of Interest 5. Consent Agenda 5.1 Quarterly Development Infographic 5-6 6. Business Matters 6.1 Community Standards Compliance 7 - 22 6.2 Community Enhancement Project 23 - 78 6.3 Affordable Housing Grant Program 79 - 102 7. Referrals from Common Council 7.1 A. Johnson — Envision Saint John Request 103 - 104 Recommendation: Refer to Envision SJ for their consideration 7.2 Fundy Tennis Association — Request to Present 105 - 107 Recommendation: Direct staff to schedule a presentation with Growth Committee 7.3 C. Stevenson Dangerous and Vacant Buildings Lists 108 - 110 Recommendation: Direct staff to contact applicant and share information about the City's compliance and enforcement programs 7.4 We Believe Saint John — Request to Present 111 - 112 Recommendation: Direct staff to schedule a presentation with Growth Committee 8. Adjournment K Growth Committee Meeting Open Session September 27, 2022 The City of Saint John MINUTES- OPEN SESSION GROWTH COMMITTEE MEETING SEPTEMBER 27, 2022 12:00 P.M. 2ND FLOOR COMMON COUNCIL CHAMBER, CITY HALL Present: Deputy Mayor John MacKenzie Councillor Joanna Killen Councillor Gerry Lowe Absent: Mayor Donna Noade Reardon Councillor Brent Harris Also Present: City Manager J. Collin Commissioner Growth and Community Services J. Hamilton Director Growth and Community Planning P. Ouellette Director Permitting and Development A. Poffenroth Manager Customer Service C. Smith Growth Manager D. Dobbelsteyn Communications Officer E. White Administrative Assistant K. Tibbits 1. Meetine Called to Order Councillor Killen called the Growth Committee open session meeting to order. 2. Approval of Minutes 2.1 Approval of Minutes — July 26, 2022 Moved by Deputy Mayor MacKenzie, seconded by Councillor Lowe: RESOLVED that the minutes of July 26, 2022, be approved. MOTION CARRIED. 3. Approval of Agenda Moved by Councillor Lowe, seconded by Deputy Mayor MacKenzie: RESOLVED that the agenda of September 27, 2022 be approved. MOTION CARRIED. 4. Disclosures of Conflict of Interest 5. Consent Agenda 5.1 Annual Report— Lord Beaverbrook Rink (Recommendation: Receive for Information) 1 Growth Committee Meeting Open Session September 27, 2022 5.2 Annual Report —Trade and Convention Centre (Recommendation: Receive for Information) Moved by Deputy Mayor MacKenzie, seconded by Councillor Lowe: RESOLVED that items 5.1 Lord Beaverbrook Rink Annual Report and 5.2 Trade and Convention Centre Annual Report, be received for information. 6. Business Matters 6.1 Draft Affordable Housine Action Plan Mr. Ouellette noted Saint John is taking action with respect to the affordable housing crisis in its community with the introduction of the Affordable Housing Action Plan. The plan will enhance Saint John as a vibrant and inclusive community with a range of diverse, safe, and affordable housing options. It incorporates a multitude of actions with various community partners. Executive Director of the Human Development Council, Randy Hatfield expressed support for the affordable housing report, stating it is transformational and speaks to an engagement with the municipality on an issue that traditionally is left to other levels of government. The report calls for a full-time employee to be embedded within the Planning Department to oversee the program. The report also calls for initial funding of $800K. Mr. A. Reid stated that the final draft of the Affordable Housing Action Plan consists of 39 actions; is comprehensive; and consists of public, private and non-profit housing solutions. Further efforts consist of getting the fund up and running, supporting National Housing Week, establishing a housing facilitator function within the City, establishing a Housing Advisory Committee, exploring governance enhancements, looking at surplus and under-utilized land policies, reviewing the city's zoning bylaws, and incorporating housing into neighbourhood planning. Actions for 2024 include a possible Municipal Plan review, review of Incentive programs, greater local coordination of housing programs, advocacy activities, monitoring and reporting and coordination of efforts with adjacent jurisdictions and a public awareness campaign. (K. Foulds, Re/fact Consultants, and E. Starr SHS Consulting, joined the meeting electronically) Referring to the submitted presentation, Mr. Foulds and Mr. Starr reviewed the final draft of the Affordable Housing Action plan including the housing needs assessment, gaps in the continuum, roles and responsibilities of government and community partners, a vision for the plan, plan objectives, stakeholder engagement, and plan implementation and next steps. Moved by Deputy Mayor MacKenzie, seconded by Councillor Lowe: RESOLVED that the Growth Committee: 1. Receive and file the submitted report; and, 2. Recommend Common Council adopt the submitted Affordable Housing Action Plan. ►� �•> t r �•� ► rya :� :� a. 6.2 Direct Residential SU000rt in the Neighbourhoods Referring to the submitted presentation Direct Residential Support in the Neighbourhoods, various community partners including representatives from ONE Change, PULSE, Crescent Valley Resource Centre and the Carleton Community Centre discussed the support each provides to the four priority neighbourhoods. Moved by Councillor Lowe, seconded by Deputy Mayor MacKenzie: Growth Committee Meeting Open Session September 27, 2022 RESOLVED that the submitted presentation entitled Direct Residential Support in the Neighbourhoods, be received for information. MOTION CARRIED. 6.3 Annual Report — Canada Games Aquatic Centre Referring to the submitted report, Amy McLellan, General Manager of the Canada Games Aquatic Centre commented on the 2021 Annual report for the centre, the value of the CGAC to the community and the role the Aquatic Centre plays in attracting and retaining residents to the area. Moved by Councillor Lowe, seconded by Deputy Mayor MacKenzie: RESOLVED that the Canada Games Aquatic Centre 2021 Annual Report be received for information. MOTION CARRIED. 6.4 Annual Report —Harbour Station Commission Referring to the submitted report, Mike Caddell, General Manager of TD Station, commented on the 2021 Annual report. TD Station has seen many challenges due to the pandemic which resulted in events being cancelled or postponed. The building had a shortfall of approximately $750K in 2021 and $40K of additional funding was requested from the City of Saint John to offset the shortfall. Extra legal expenses put additional strain on the budget. Mr. Caddell discussed challenges including many events going to the new facility in Moncton and the poor contract with the Sea Dogs. The City of Saint John is in discussion with a third -party management group to oversee the management of the facility and expects that the deficit will increase as a result. Part of that agreement, with exception of himself due to retirement, is that all full-time staff will remain with the building. Moved by Councillor Lowe, seconded by Deputy Mayor MacKenzie: RESOLVED that the Harbour Station Commission 2021 Annual Report be received for information. MOTION CARRIED. 6.5 Annual Report —Saint John Transit Referring to the submitted report Mr. Fogan, Director of Transit commented on the 2021 Annual Report and commented on the Private Member's Bill, which enabled the signing of the Management Services Agreement. This has led to the capability of Transit to transform and get other management staff involved in the day-to-day operation, with a mandate to modernize the transit service. Moved by Deputy Mayor MacKenzie, seconded by Councillor Lowe: RESOLVED that the Saint John Transit 2021 Annual Report be received for information. MOTION CARRIED. Adjournment Moved by Councillor Lowe, seconded by Deputy Mayor MacKenzie: RESOLVED that the open session meeting of the Growth Committee be adjourned. MOTION CARRIED. Growth Committee Meeting Open Session September 27, 2022 The open session meeting of the Growth Committee held on September 27, 2022, was adjourned at 1:50 p.m. Building permits received 634 INIQ09fil"Al" (5-year average same period: 701) November 2017 2018 2019 2020 2021 2022 ......................................................................................................................................................................................... . Value of construction$942 maill6ion projects (5-year average same period: $90.0 million) *single large scale project omitted. Number of residential units created 260 (5-year average same period: 253) Upcoming 19 projects with over 2000 new units planned. Additional permi activii Permis de construction re us 634 111fiUb"fi" (moyenne sur 5 ans pour la meme periode : 701) NOVEMBRE 2017 2018 2019 2020 2021 2022 ......................................................................................................................................................................................... . Valeur des pro'etsde 94.2 millions de dollars J construction (moyenne sur 5 ans pour la meme periode : 90.0 millions de dollars) * seul projet a grande echelle omis. Nombre d'unites residentielles creees 260 (moyenne sur 5 ans pour la meme periode : 253) A venir 19 projets avec plus de 2000 nouvelles unites prevus. 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AUTHORIZATION Primary Author Commissioner/Dept. Head City Manager Benn Purinton J Hamilton/A Poffenroth John Collin RECOMMENDATION It is recommended that the Growth Committee: 1. Receive and file the attached report and presentation on the Community Enhancement Project. 2. Recommend that Common Council aggressively pursue with the Province of New Brunswick the following improvements outlined by the Community Enhancement Project: a. The ability to implement a Vacant Building Tax and/or a Vacant Building Registry linked to the property tax system; and b. An improved Tax Sale process that better addresses building abandonment. 3. Endorse a 1-year pilot of an Unsightly Repair Program conditional on recommendation (2) being approved. 4. Direct staff to implement the enhanced programs and return to Growth Committee with any additional resource requirements. 5. Recommend that Common Council direct staff to amend the Beautification Grant Policy to migrate the Beautification Grant Program to the North End for 2023. EXECUTIVE SUMMARY The Community Enhancement Project is a holistic one-year review of the City of Saint John's Property By-law Compliance Programs. The project is meant to identify areas of opportunity and develop improvements to the City's Compliance W -2- Programs that will allow staff to better execute on Common Council's priorities. Council's Grow and Belong priorities are the areas where the City's Property By- law Compliance Programs can have the most impact and therefore the project was focused on developing improvements that relate to both Grow and Belong. In addition to better impacting Council's priorities, the project also evaluated opportunities to synergize compliance efforts with the overall strategic direction at the city, including neighbourhood planning initiatives and affordable housing action items. PREVIOUS RESOLUTION N/A STRATEGIC ALIGNMENT The Grow priority focuses on both population and economic growth with the goal of growing both the City's population at 2% annually and the City's tax base at 3% annually. The City's Property By-law Compliance Programs play a direct role in that by facilitating investment into mainly residential buildings. This not only has a direct impact on tax base growth, but it also allows for population growth by ensuring a supply of safe housing. The Belong priority focuses on enhancing quality of life, ensuring community safety and cultivating community pride by providing citizens with safe, clean and affordable neighbourhoods. The City's Property By-law compliance programs directly address those needs by addressing hazardous building conditions, ensuring neighbourhood cleanliness and enforcing general community standards. REPORT Under the Community Enhancement Project, improvements to the City's Property By-law Compliance Programs have been developed with a focus on three project goals: 1. Developing a Community -Based Approach 2. Facilitating Compliance 3. Enhancing Enforcement By addressing these needs, staff will have better tools to directly impact compliance cases in communities, thus achieving more growth, creating safe, livable neighbourhoods, and cultivating community pride. Addressing these needs will also prevent loss of housing stock which is critical for long term affordability. ME -3- Multiple improvements have already been implemented or are in the process of being implemented that will allow staff to better achieve Council's priorities as they assist in Developing a Community Based Approach and Facilitating Compliance. This includes the following: • Implementation of Focus Areas • Compliance Program Reprioritization • Establishing Program Coordination Meetings • Strengthening Relationships with Community Groups • Expanded Developer Notification List • Expanded Beautification Grant More information on these improvements can be found in the attached report under the "Implemented Improvements" section. There are various opportunities for the City to improve its Property By-law Compliance Programs and achieve the project goal of Enhancing Enforcement. Some of these opportunities could benefit from increased resources, although not required to implement, and others would require legislative change. A summary of these opportunities along with their potential effectiveness and the respective barriers is provided in the attached report under the "Areas of Opportunity Analysis" section. From this section, the following improvements are recommended to be implemented beginning in 2023 with the endorsement of Common Council: • Enhanced Minimum Standards • Unsightly Repair Program • Court Proceedings for Vacant Buildings Also from this section, the following improvements require change at the provincial level: • Vacant Building Tax / Registry • Improved Tax Sale Process It is recommended that those recommended changes be pursued with the Province. With the improvements and recommended changes developed under the Community Enhancement Project, staff will be in a better position and have a variety of tools to intervene earlier on in the enforcement process. This will i►R -4- prevent deterioration, reduce vacancy and reduce demolitions. The improvements and recommended changes developed under the Community Enhancement Project will allow for future growth, create safe, livable neighbourhoods, cultivate community pride and prevent loss of housing stock to ensure long term affordability. The attached report provides an in-depth review of the Community Enhancement Project. For more information on the project, please refer to the attached report. SERVICEAND FINANCIAL OUTCOMES Staff to implement the enhanced programs and return to Growth Committee with additional resource requirements. INPUT FROM OTHER SERVICE AREAS AND STAKEHOLDERS General Counsel provided guidance on the City's ability to implement an Unsightly Repair Program, a Vacant Building Tax and a Vacant Building Registry under existing legislation. ATTACHMENTS Presentation Community Enhancement Project Report 41.1 4 _ w o �U � • O z N N ^� W l0 U � � o f� LIJ a-1 E E O U I cu J- J l buo l,W }+ O h N Q O T 0 }, U O O O O 0 M �N U.O a 0 � 0 V .0 _ ca cV M j ca L40 0.- C: U c C: a--+ 4..+ a--+ U a--+ N O O m CD O m -0 L- CL CL � N O +-+ 0 CD CD � U '� •� Q CT E O Q O txo .Um � C: O C: =3 C: W cn 0 v w U catw I � _ O • O O O fa m • UU �ci I 'C O � U O N 4— E � E O O O � N O O � N � U � N N }' O fV U p O N Ll N E L N Lli O N a E E 41 T •U E 4 � a)M U � L C: O w C: w to a) C: U •U L.L U ca � t]A pip •' -a:, +, O C: N E E O U 0 Li E ca tti0 O Goo lrlll-� go Q O L N E E N N a-- N O U � � L � Q O O U O }, L U (� N +N., c6 C6 U O O ca O � � O - Q Q DC � Lu N c% (Y) (Y) fi z aj N m 0 0 i N Q O ca ca }' C: m w _ 0 fu fu i a) co o E O > a +� _ > a) f _0 a) E U -0 Q Q E o U a) O C: ca >. 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Q� Q� N o •N ,— •N > O +-+ N _0 O •aU�_--+ •f-6 a-- m > — L L _0 QNco a •N -0LL i aQ.+ — C M a-J N U U i p U a.., U UC: O ca - � � •> ca a-J i p • • O U > u p U +-+ cn O cn� >•� V W J- l v a-J i (a 0 0 Q) o 0 ca N O U_0 N N ' �n 'gip O N O N — O cn O 2 • — cn aA _N U — O O }' }' O N' Q vi O w'� N 0_ ca O _ v >' '� > � N +_+ N � ' m i O 4-J cn U cn N U vi i O D �O CL O +�-+ 0 > 0 4A O� '— ca N ca a) — _ m U `~ a- a- m E> U N N ' o L cn O 0 O N O N 0 'O N -0E _ L c/) N � � � � O bA •— N O ca L cn U =3 N Co ro N O N O N U N N l�A "O •� •(a a-J Q N a--+ CAA ca U U .O � = c6 0 E cn cn Q i v 0 4- p v 0 O ca O U � a) b.0 4-J _ 0 •� cn 4- Q vi �_0 o � C 0 � ate1 L � ' 0-� � a--+ ro W ca •ca •(1) 'N Q N •— N O a N � � •� •L -CIOi N ate., rl � U bA .� O l0 •N a_, L l�A O cn U ' vi fu E N 0 N U L O N 0 0 Ll 0 (O T U N O � N � L O O U U a—+ N > `•� cn ca •U > N O cn � � � O 2 N •� N i N � � C 4 z m N O N .� w E Q E N l^w i i O _M r 7 i i O ca U L E > � 4A _O C: O Ln 4A L C: L E w =3 � O .0 0- -0 O w Ln U O i C: ._ =3 W V .C: O CL N L CL u u W W U U O O N N DC DC O U') N N c6 N O >- N U') N N ca ca U U _0 _0 a) a) O O N bA N N ca DC DC � N m ro co c +� co co U >. m > E a--+ i N � � Q m �A O O N L E O �A S E .� E t�A "m a u E $ . 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D E & § % g§E [ u E CL Ll- w 2 $E . . . — •7 m R/ 2 ca� " G 2N u ATTM 2 - Community Enhancement Project - Report.docx November 30, 2022 Purinton, Benn 1 Introduction...................................................................................................................................................................1 Overview of Compliance Programs..........................................................................................................................2 ProjectGoals.............................................................................................................................................................3 Linksto Affordable Housing.....................................................................................................................................4 ImplementedImprovements..........................................................................................................................................5 Developing a Community -Based Approach..............................................................................................................5 FacilitatingCompliance............................................................................................................................................6 Areasof Opportunity Analysis......................................................................................................................................7 Additional Vacant Building Penalties.......................................................................................................................8 Ehanched Minimum Property Standards.................................................................................................................13 AddressingAbandonment.......................................................................................................................................14 Additional Improvements and Recommendations.......................................................................................................17 AdditionalImprovements for 2023.........................................................................................................................17 Recommendations for Further Change....................................................................................................................18 Conclusion................................................................................................................................................................... 21 APPENDIXA — Best Practices Research....................................................................................................................23 Overview................................................................................................................................................................. 23 VacantBuilding Tax...............................................................................................................................................23 VacantBuilding Registry ........................................................................................................................................24 ReceivershipProgram.............................................................................................................................................25 Sources....................................................................................................................................................................26 APPENDIX B — Unsightly Repair Program Risk Analysis.........................................................................................27 The Community Enhancement Project is a holistic one-year review of the City of Saint John's Property By-law Compliance Programs meant to identify areas of opportunity and develop improvements to our Compliance Programs that will allow staff to better execute on Common Council's priorities. Council's Grow and Belong priorities are the areas where the City's Property By-law Compliance Programs can have the most impact and therefore the project was focused on developing improvements that relate to these priorities. The Grow priority focuses on both population and economic growth with the goal of growing both the City's population at 2% annually and the City's tax base at 3% annually. The City's Property !E:3 N By-law Compliance Programs play a direct role in that by facilitating investment into mainly residential buildings. This not only has a direct impact on tax base growth, but it also allows for population growth by ensuring a supply of safe housing. The Belong priority focuses on enhancing quality of life, ensuring community safety and cultivating community pride by providing our citizens with safe, clean and affordable neighbourhoods. The City's Property By-law compliance programs directly address those needs by addressing hazardous building conditions, ensuring neighbourhood cleanliness and enforcing general community standards. In addition to better impacting Council's priorities, the project also evaluated opportunities to synergize by-law enforcement efforts with the overall strategic direction at the city, including neighbourhood planning initiatives and affordable housing action items. OVERVIEW OF COMPLIANCE PROGRAMS COMMUNITY STANDARDS PROGRAM The Community Standards Program focuses on issues that directly impact the aesthetics, enjoyment, and pride of a neighbourhood, including unsightly premises, zoning by-law issues, and general upkeep of properties. The primary focus of the program is currently on cleaning up unsightly properties throughout the City. Staff work closely with property owners to encourage the voluntary cleanup of such properties. In instances where voluntary compliance cannot be achieved, allotice to Comply can be issued to the owner, giving them a specified period of time to remove the unsightly conditions. If the conditions are not remedied, the City has the power to remove the unsightly conditions and invoice the costs incurred to the property owner. MINIMUM PROPERTY STANDARDS PROGRAM The Minimum Property Standards Program enforces standards for the maintenance and occupancy of non -owner occupied residential buildings in Saint John. These standards help to ensure the safety, health, and well-being of those who live in and use the properties. The Minimum Property Standards by-law provides the minimum standards expected for all housing in the City. Common issues that City inspectors are looking for include smoke alarms that are working and in the proper location, safe exiting, bedroom windows meeting minimum size requirements, and that there are no holes in fire separations between units, among other items. DANGEROUS AND VACANT BUILDING PROGRAM Vacant buildings can sometimes attract vandalism, arson, mischief, or criminal activity. These activities will devalue properties in an area, contribute to deterioration and diminish community pride. The Dangerous and Vacant Building program monitors vacant buildings throughout the City. Staff work closely with property owners to repair and reoccupy or demolish vacant 3 buildings. When vacant buildings become a hazard to public safety, a Notice to Comply can be issued to the owner giving them a specified period of time to either repair or demolish the building and if the conditions are not remedied, the City has the power to demolish the building and send the costs incurred to the property owner. PROJECT GOALS Improvements to the City's Property By-law Compliance Programs developed under the project focused on three project goals: 1. Developing a Community -Based Approach 2. Facilitating Compliance 3. Enhancing Enforcement By addressing these needs, staff will have better tools to directly impact compliance cases in communities, thus achieving more growth, creating safe, livable neighbourhoods, and cultivating community pride. Addressing these needs will also prevent loss of housing stock which is critical for long term affordability. Each improvement developed or recommended under the project ties back to these desired outcomes. DEVELOPING A COMMUNITY -BASED APPROACH There are areas in Saint John that have older housing stock and, in some cases, experience less investment. As a result, these areas tend to have more compliance cases and due to the age of the housing stock, cases can have more deficiencies and potentially an increased level of hazard. Under the current by-law compliance approach, the entire City is prioritized equally. A compliance case near the City limits is prioritized the same way as a case in the South End. The case in the South End however will often impact significantly more residents. Under the Community Enhancement Project, the City's programs were refocused to prioritize areas where cases have a greater impact on residents. A community approach to by-law compliance has been developed, allowing staff to better focus efforts on specific communities that are the most impacted by compliance cases and have Property By-law Compliance work alongside neighbourhood planning efforts to drive change in those areas. FACILITATING COMPLIANCE The City's compliance programs always pursue voluntary compliance, ensuring property owners have fair and reasonable timelines and expectations to address by-law violations at their property. Formal enforcement action is used as a last resort if owners are unwilling or unable to comply with a by-law. This approach allows staff to resolve more cases with fewer resources and can also lead to better outcomes for the community. For these reasons, City staff work extensively with property owners to see by-law issues addressed without the need for formal enforcement action and generally have great success in doing so. However, enforcement cases 67i] 4 can be complex often requiring a suite of different solutions to allow voluntary compliance to take place. These solutions are crucial to address properties earlier on in the enforcement process, to reduce the amount of resources extended on formal enforcement action and see better outcomes on properties. ENHANCING ENFORCEMENT Under the City's Property By-law Compliance Programs, there are opportunities to address cases differently to have greater impact in the Saint John community. In some cases, there can be limited options to address properties through enforcement when an owner does not comply with a by-law. This is most notable in the Dangerous and Vacant Building Program, where effective enforcement action cannot be pursued until a building becomes a hazard to public safety. Additional enforcement options were evaluated in detail. Changes to the City's Property By-law Compliance programs are recommended that will allow staff to address more buildings through enforcement moving forward. LINKS TO AFFORDABLE HOUSING Improvements from the Community Enhancement Project will assist the City in achieving the goals of the Affordable Housing Action Plan, particularly around maintaining existing housing stock. Concerns about loss of existing housing stock was identified as an emerging issue in the Affordable Housing Action Plan's assessment of local housing needs. The greater proportion of older stock in the City means that certain stock may not be in as good a condition and can be at risk of falling into disrepair. The same stock also tends to be more affordable for this same reason. Aging stock may need to be revitalized or improved to ensure it can continue to provide adequate, safe housing. Improvements developed under the Community Enhancement Project will reduce the potential for loss of housing stock, allowing the City to achieve long term affordability. Under the Affordable Housing Action Plan's Implementation Strategy, there are three items that relate to this project. Those three items are: • Provide additional enforcement of minimum property standards to help maintain stock while preserving affordability. • Maintain on- going monitoring under the City's Dangerous and Vacant Building program and pursue remedial action under the program to secure active use of buildings and properties. • Seek additional provincial authorities to help the City enforce property standards, resolve delinquent property tax accounts and acquire forfeited buildings/properties for affordable housing use. Under the Community Enhancement Project, there are improvements that have been implemented as well as recommendations for further change that relate to these three action items. 51 The following section describes changes to the City's Property By-law Compliance Programs that have been or are in the process of being implemented under the Community Enhancement Project. A detailed summary of each of these improvements can be found in this section. These improvements will allow staff to better achieve Council's priorities as they assist in Developing a Community Based Approach and Facilitating Compliance. DEVELOPING A COMMUNITY -BASED APPROACH FOCUS AREAS To refocus Property By-law Compliance efforts on areas that affect the most citizens, focus areas were established. Additional consideration will be given to these areas when prioritizing enforcement and going forward, all compliance programs will focus on the same areas at the same time. This will allow the City's compliance programs as a whole to drive change in specific areas of Saint John. It is important to note that this does not mean focus areas will be focused on exclusively. Rather they will have an increased level of importance under the programs with the goal of driving overall change in specific areas of Saint John. Neighbourhoods to be considered for prioritization were established in the following areas: • South End • The Uptown • Waterloo Village • North End • Lower West Side Of the five areas identified, two will be prioritized at any given time. One of the five areas will be chosen as a primary area for a certain period of time and will be the main area of focus for the City's compliance efforts. A secondary area will also be chosen where additional focus will be provided by staff, although not to the same extent as the primary area. Currently, the Property By-law Compliance's primary area was chosen to be the South End. This selection was based on the density of compliance cases and to provide support to the existing neighbourhood plan in that area. The secondary area will be the North End which was also chosen due to case density and as a precursor to an upcoming neighbourhood plan. It should be noted that the primary and secondary areas can change and the need for an adjustment will be evaluated regularly, based on case density as well as the potential for synergy with neighbourhood planning efforts. COMPLIANCE PROGRAM PRIORITIZATION 61 Ci Properties in the primary and secondary areas will have a higher weighting in both the Dangerous and Vacant Building ranking criteria and in a newly developed Minimum Standards ranking criteria. To achieve this, the City's Dangerous and Vacant Building ranking criteria was reworked to provide additional weight to specific areas of the City. As a part of this improvement a Minimum Property Standards ranking criteria was also developed. Previously, the Minimum Property Standards program worked on a case -by -case basis and it was up to inspectors along with the guidance of their manager to prioritize their case load. The new ranking criteria will allow minimum standards staff to easily prioritize their cases. Additional weight will be given to the primary and secondary areas under this ranking system to align with the community focused goals. The Community Standards Program will continue to work on a case -by -case basis. The average length of a Community Standards compliance case is much shorter in comparison with the other programs and there is a constant inflow and outflow of cases. Given the frequent flux of cases and the shorter case length, it is impractical to develop a ranking system. Regardless, staff will incorporate the new community -based approach into day-to-day management of the program and will prioritize cases in the focus areas in conjunction with other Property By-law Compliance Programs. PROGRAM COORDINATION MEETINGS To ensure all Property By-law Compliance staff are dedicating attention to focus areas, program coordination meetings between enforcement staff have been established. These meetings will occur monthly in the primary area and bi-monthly in the secondary area to ensure the areas are being prioritized accordingly. The focus of the meetings is for each compliance program to provide a deliverable for the area and achieve that deliverable by the next program coordination meeting. The goal is to foster a team -based approach to driving change in a specific neighbourhood in the City through our compliance programs. STRENGTHENING RELATIONSHIPS WITH COMMUNITY GROUPS As work is done in these communities, compliance staff will be looking to meet with groups who work in these areas to find opportunities where common goals may be achieved. This may include meetings with affected neighbourhood groups to explain our programs to bring awareness and advocate for safe housing. Generating better links to these communities will allow Property By-law Compliance staff to have a greater impact in the area. This work will continue as the work progresses in focus areas. FACILITATING COMPLIANCE EXPANDED DEVELOPER NOTIFICATION LIST 6V 7 The Developer Notification List was launched in May of 2021 and provided owners of vacant buildings the ability to advertise their building for sale to a City email list of developers. If vacant building owners wish to sell their building, information on the building including asking price, a description of the property, a list of outstanding debts as well as photos is sent to a City email list of approximately 40 developers with the owner's consent. Since the program launched in May 2021, it has been a success. 11 vacant buildings have been listed and 6 have sold, recovering a total of approximately $100,000 of outstanding property taxes and water bills. Properties that are tax deficient are much more likely to head towards City demolition. It is likely that City demolitions have been prevented due to sales through this program. This program has been successful in situations where owners are unable to deal with their properties due to financial or time constraints. These constraints prevent them from addressing the issues with their properties that continue to deteriorate long term. However, these situations do not just exist in vacant building cases, they also exist within the Minimum Property Standards and Community Standards Programs. As part of the Community Enhancement Project, the Developer Notification List has been expanded. Owners of occupied buildings monitored under the Minimum Property Standards and Community Standards programs are now able to advertise their buildings as well. By providing owners with this option, City staff can facilitate compliance with our by-laws and potentially prevent future vacancy and deterioration. INCENTIVES The City's Urban Development Incentives Program and Beautification Grant can be used as an instrumental piece to drive voluntary compliance on Property By-law Compliance cases in Saint John. The financial benefit provided by City incentives encourage property owners to comply with the City's By-laws. Currently, the Incentive Program is only provided in the South -Central Peninsula. Where the North End will be a focus area for compliance programs going forward, it is important to provide incentives to encourage rehabilitation. As a result, the Urban Development Incentive Program and the Beautification Grant will be expanded to the North End. This will not only work to drive compliance on existing buildings but will also increase demand in that area potentially allowing for redevelopment of the vacant lots resulting from City demolitions over the past number of years. The Urban Development Incentives Program is scheduled to undergo a full review throughout 2023 and is planned to be expanded to the North End in 2024. The Beautification Grant is planned to be expanded to the North End in 2023. 6'i! 8 There are various opportunities for the City to improve its Property By-law Compliance Programs and achieve the project goal of Enhancing Enforcement. However, many of these opportunities either require legislative change or could benefit from increased resources. A summary of each of the potential opportunities is provided below along with their potential effectiveness and the respective barriers that prevent them from being implemented currently. ADDITIONAL VACANT BUILDING PENALTIES The Dangerous and Vacant Building Program works to address problematic vacant buildings throughout Saint John. These vacant buildings affect the quality of life for citizens as they can attract criminal activity and negatively impact property values in the surrounding area. The program monitors approximately 145 vacant buildings, the vast majority of which are not currently dangerous. This is down from a peak of 220 vacant building cases in 2018. Approximately 60 cases are resolved each year with two thirds of resolved cases being repaired and reoccupied and one third being demolished. The Dangerous and Vacant Building program has been a success throughout the years it has been operational, consistently producing results. There have been significant changes in Saint John as the program has operated over the years. These changes are shown in Figure 1 and Figure 2 which display the status of vacant building cases in 2017 and today in 2022. The green columns show the number of vacant buildings that are salvageable. The red columns show the number of vacant buildings progressing towards demolition. The blue columns are both the red and green columns combined showing the total number of cases. It should be noted that the "Progressing to Demolition" column does not mean the buildings are hazardous to the point that they should be demolished today. They are however in a state of deterioration and likely to be demolished within the next 5 years. In the 2017 chart, each building in the "Progressing to Demolition" column has since been demolished. 6191 W Figure 1: Dangerous and Vacant Building Program Case Status (2017) Figure 2: Dangerous and Vacant Building Program Case Status (2022) As shown on these charts, both the number of buildings headed towards demolition and the total number of cases have dropped significantly between 2017 and today. However, the number of salvageable vacant buildings in the City has remained at around the same levels over the past 5 years. To evolve the Dangerous and Vacant Building Program, increased efforts to address salvageable vacant buildings, seeing them repaired and reoccupied, are needed. City demolitions will still occur in the future, but not at the same frequency as in the past 5 years. Resolving salvageable building cases will require more effort and a strategic approach as many currently pose no safety hazard. 67� 10 To better address salvageable buildings, additional enforcement measures are needed. Staff often are able to work with owners to see buildings be repaired and reoccupied without the need for enforcement. However, some cases do stagnate and if they are not hazardous, there are no straight forward measures in place to disincentivize long term vacancy of a building. This is problematic because long term vacancy can often diminish community pride and, in some cases, can deter further investment into a neighbourhood. Furthermore, these buildings often continue to deteriorate and potentially become a hazard needing to be demolished, which is an undesirable outcome. Being able to disincentivize long term vacancy through enforcement would allow the City to see more buildings be repaired and reoccupied, avoid demolitions and positively impact community pride, growth and affordability. As part of the Community Enhancement Project, additional enforcement options for vacant buildings were analyzed in detail. The findings from the analysis are summarized in this section. Research on the best practices that other municipalities utilize for vacant buildings can be found in Appendix A. Recommendations are provided on which options to pursue beginning on page 15. VACANT BUILDING TAX A vacant building tax would provide a financial penalty to owners who leave their buildings vacant long term. As described in the Best Practices Research found in Appendix A, municipalities in Ontario and British Columbia currently impose additional property taxes on vacant buildings based on a percentage of the building's assessed value. These taxes were implemented to address affordability issues and reduce residences being purchased as an investment and being left vacant during that time. New Brunswick legislation does not currently allow municipalities to tax vacant buildings at a higher rate. It should be noted that applying this additional tax based on assessed value may have a limited effect in Saint John. Property tax based on assessed value can be costly when property values are high. In Saint John, vacant buildings can have low assessed values, in some cases less than $20,000. Low assessments will lead to a lower tax that may not disincentivize vacant building ownership. For this reason, if a vacant building tax were applied, a flat amount as opposed to a percentage equal for all vacant buildings may be more effective at disincentivizing vacancy than a percentage. Another difference to note is that in the provinces where these taxes are charged, the municipality is responsible for the collection of property tax. hi New Brunswick, the Province collects property tax for the municipality. If a vacant building tax were to be implemented, it may be easier for the municipality to identify which buildings are vacant and need additional tax. Having one party responsible for identifying which properties are vacant and require additional tax and another responsible for administering and collecting said tax could present logistical challenges. It also would mean that the Province would have the discretion to decide 6'tl 11 how much of the funding from the tax, if any, would go to the municipality Other municipalities in Canada do not experience these challenges as they are responsible for both. Despite these challenges, a vacant building tax is an excellent way to disincentivize long term vacancy. There is the potential for a vacant building tax to have a positive effect in reducing the number of vacant buildings in Saint John, especially if the challenges noted above can be addressed. However, to implement a vacant building tax in New Brunswick, legislative change would be required. VACANT BUILDING PERMIT Another method of applying financial penalties to vacant buildings that other municipalities in Canada use is a vacant building permit system. These programs require property owners to apply annually for a permit to register their vacant building with the City. The permit fee typically costs an equal amount for all vacant buildings. In some cases, the permit fee increases each year the building remains vacant. To be approved for the permit, owners must meet certain standards typically regarding security of the building and municipalities can secure the building at a cost to the owner should the need arise. Vacant building permit systems are more common in municipalities that deal with problematic vacant buildings that cause issues in their respective communities. A vacant building permit system would provide Saint John with the same ability as a vacant building tax, financially disincentivizing long term vacancy. It should be noted that as opposed to a tax, the City would manage this system and as a result would receive the financial benefit it provides. Under the Local Governance Act (the "LGA"), developing a by-law that requires vacant building owners to apply and pay for a vacant building permit is possible. However, the ability to do so is not directly outlined by provincial legislation as it is in other areas of Canada. Furthermore, there are challenges under current legislation that would make a vacant building permit less effective than in other regions of Canada. Based on legal analysis, the permit fee must be representative of the administrative cost of managing the permit system. This could include administrative costs associated with billing and collecting as well as the periodic monitoring of vacant buildings, which the City currently provides free of charge to vacant building owners. Based on these administrative costs, the City could potentially charge $1,000 to $1,500 for the permit. Currently, vacant building owners in Saint John pay anywhere from $1,000 to $10,000 in property taxes and water bills each year. At the amount of about $1,500, the permit fee could be seen as a cost of doing business to vacant building owners. It should be noted that approximately 10% of vacant building owners do not pay their taxes or water bills and in those cases this fee would likely go unpaid as well. The largest complication with a vacant building registry is collection. Municipalities in Canada that implement these permits typically can apply the cost of the permit to the outstanding property taxes if left unpaid. This provides a seamless collection method for municipalities, 611:3 12 ensuring they collect on most of the permit fees. In New Brunswick, the only method to collect unpaid permit fees is to pursue it in provincial court. This would be significantly more resource intensive than what other municipalities in Canada experience. Not only would hours be spent by Growth and Community Services and Finance on billing, General Counsel and Growth and Community Services would spend multiple hours or potentially days of work preparing for and attending provincial court for each property with unpaid fees. If the compliance rate for the fee becomes too low, the permit system becomes unfeasible from a resourcing perspective to enforce. Given the significant challenges surrounding collection as well as the other issues, it would be difficult to effectively implement a vacant building permit system in Saint John under current legislation. However, if a vacant building permit could be linked to the property tax system as it is in other municipalities, it could be very effective. UNSIGHTLY REPAIR PROGRAM One program that has been considered to try to drive change on stagnating vacant building cases is a program centered around repairing unsightly conditions. This program would use a section of the LGA that allows the City to repair unsightly dilapidated conditions on a building and charge the cost of the repairs to the property owner. If the bill goes unpaid, the City would be reimbursed for the costs by the Province and the bill would be placed on the outstanding property taxes. The goal of this potential program would be to provide City staff with additional enforcement measures to disincentivize long term vacancy as well as address buildings that are not yet hazardous but creating a significant negative impact on community pride. It is important to note that under this potential program, the City would primarily repair unsightly dilapidated conditions. Exterior unsightly conditions such as peeling paint, missing siding and broken windows could be addressed under this legislation. The City also can repair conditions that cause a building to be a hazard by reason of being vacant or unoccupied under the same section of the LGA. This means that unsecured windows, doors and other openings could be secured. However, the City cannot use this legislation to completely repair a derelict building. Any interior conditions are not able to be addressed under a reasonable exercise of this authority to repair. More details on the City's legal authority to repair buildings within the risk analysis found in Appendix B. While this may not provide a direct solution to resolving vacant building cases, implementing an Unsightly Repair Program would allow the city to disincentivize long term vacancy by applying the cost of these repairs to the property tax. The repairs will also improve the aesthetic of the building, addressing some of the negative impacts vacant buildings can cause with respect to community pride. It should be noted however that it is possible that exterior repairs are conducted and after repair, the building continues to sit vacant long term. Pursuing these repairs will not necessarily result in vacant building case being fully resolved. 611%] 13 The main benefit to an Unsightly Repair Program would be providing an additional tool to pursue voluntary compliance, similar to current enforcement programs. Staff would actively work with property owners and exhaust all options to see a vacant building be repaired and reoccupied by the owner. However, if voluntary compliance cannot be achieved, staff would be prepared to repair any unsightly conditions and secure the building at a cost to the owner. Focusing on voluntary compliance will minimize risk and allow staff to achieve better results. The Urban Development Incentive Program, the Beautification Grant and the Developer Notification List could all play a role in the pursuit of voluntary compliance under this program. Funding through the Urban Development Incentive and Beautification Grant programs may be available if owners can repair and reoccupy their building. The Developer Notification List could assist in helping an owner find buyers should they wish to sell. COURT PROCEEDINGS Under existing legislation, the City can pursue fines against a property owner in Provincial Court if a Notice to Comply expires. These fines can be pursued if the Notice is issued for unsightly or for hazardous conditions. The City can pursue fines for non-compliance with a Notice ranging from $240 to $10,200. These fines can be applied for each day that the offence occurs. Using this ability to pursue fines against vacant buildings is possible, however there are challenges associated which is why this tool is not utilized today. As mentioned in the section on Vacant Building Permits, pursuing charges in provincial court is resource intensive. General Counsel and Growth and Community Services spend days preparing for each case that proceeds to provincial court. It should also be noted that provincial court judges will often apply the minimum fine, meaning that these increased resources would be spent to achieve what could end up being a $240 fine for the owner. A $240 fine is unlikely to produce any form of compliance and therefore staff may need to attend court repeatedly, spending more resources, until the judge has enough reason to apply a significant penalty amount. Despite these challenges, the ability to pursue fines could still be useful in certain situations. In the past, the action of issuing a Notice to Comply and being willing to pursue it has resulted in owners taking steps towards compliance. If fines were to be pursued, it is possible that staff can achieve voluntary compliance by applying this ability in the right situations. If this tool were to be used, it is important that it is used in situations where staff have the best chance at achieving compliance given the associated resourcing demands. EHANCHED MINIMUM PROPERTY STANDARDS When rental buildings lack proper maintenance standards, they can deteriorate at an accelerated rate, causing unsafe conditions for tenants and in some cases can lead to a building being vacated. The Minimum Property Standards Program enforces proper maintenance and safety standards on C0i] 14 rental properties throughout Saint John. Currently, the Minimum Property Standards program is mainly complaint -based. When a complaint comes in, staff conduct an inspection of the building and provide the owner with a list of minimum standard deficiencies. If an owner does not take action to address the deficiencies, enforcement action can be pursued in provincial court, leading to a minimum $1,000 fine that can increase each time the property returns to court. Lack of maintenance can lead to life safety concerns and minimum standards deficiencies that will need to be addressed if the building continues to be occupied. The Affordable Housing Action Strategy has identified additional enforcement through minimum property standards as an action item. To ensure existing housing stock is safe, to prevent deterioration and to ensure existing housing remains in the City's housing inventory, the Minimum Property Standards program must address properties earlier on. Due to the complaint -based nature of the program, some properties will not be addressed until the building has already experienced deterioration. If the Minimum Property Standards program is to be used to its full potential, to enforce proper maintenance standards on buildings throughout the City, the program will need to move forward from a complaint -based approach and take a more proactive role in the community. This would include bringing awareness of this program to tenants throughout the City, conducting regular inspections of rental buildings without the need of a complaint and taking more properties through the enforcement process. This can be partially achieved with existing resources although there is opportunity to further enhance this program through additional resources. Enhancing the Minimum Property Standards Program would allow the program to better enforce proper maintenance standards earlier on in the enforcement process, ensuring that housing throughout the community remains safe and the potential loss of housing stock is minimized. ADDRESSING ABANDONMENT In New Brunswick, there are limited options for municipalities to deal with abandoned properties within their community. When the City of Saint John is dealing with abandoned vacant buildings, there are only two outcomes. Either the building will be demolished due to the associated hazard and become an abandoned vacant lot, or it will be sold at tax sale to a new owner who can repurpose it. If a building is demolished and becomes an abandoned vacant lot, the only path forward to redevelopment is through the tax sale process. This section analyzes solutions for abandoned properties and provides a summary of the current tax sale process. SAINT JOHN LAND BANK The Saint John Land Bank could be an instrumental partner in dealing with abandonment. The land bank currently works with the Province and can have a certain amount of outstanding property taxes waived on properties that they purchase. This allows them to make economic cases for purchasing buildings and lots that otherwise would go unaddressed due to outstanding tax arrears and other debts. The Saint John Land Bank's goal is to then utilize the property in a 15 way that best benefits the community, developing community gardens, providing affordable housing solutions, etc. The City could benefit by having more abandoned land and buildings transferred to the land bank. RECIEVERSHIPS Receivership programs are uncommon in Canada and more common in areas throughout the United States. These programs allow municipalities to take title from negligent vacant property owners without providing any compensation. Taking title from a property owner is the severest penalty that can be applied and these programs have a significant number of steps required. If an owner is present, these programs provide them with an abundance of opportunity to keep their property. As a result, these programs tend to be directed at dealing with abandonment issues throughout their region. In some cases, municipalities with receivership programs will work directly with non -profits to facilitate ownership transfers. hi Baltimore specifically, ownership is never taken by the municipality. Instead, the municipality goes through the receivership process and upon completion, ownership is directly transferred from the previous owner to a non-profit, who then sells the property at auction to a private developer. In New Brunswick, there is not legislation that currently allows for taking title without compensating the owner. This ability was pursued with the Province in the past, but they were not interested in providing Municipalities with the ability at that time. Although having the ability to take title would be a powerful tool, it is believed that the issues that it could solve would be better addressed through improvements to the tax sale process along with additional vacant building efforts. TAX SALE The best option currently for abandoned properties is property tax sale. When an owner has not paid their property taxes, the property can be sold at a tax sale auction to the highest bidder. This provides a direct solution to deal with abandoned properties as in most cases the taxes are not being paid. In most provinces throughout Canada, the municipality is responsible for management of the tax roll and as a result has direct control over the tax sale process. However, in New Brunswick, the Province manages the tax roll for the municipality and manages the tax sale process. It is beneficial to the City to not have to manage this process. However, the Province's current tax sale process often does not allow for abandonment issues to be addressed in atimely manner, specifically in Saint John. The length of time that the process takes from when an owner stops paying property tax, to when the Province moves forward with tax sale proceedings can allow for excessive deterioration, meaning that demolition often takes place prior to tax sale. Property I' 16 taxes are often not paid for a minimum of 4 years before tax sale proceedings commence and in many cases, the amount of time exceeds 4 years of non-payment. As part of the Community Enhancement Project, the tax situation was evaluated on a few recently demolished abandoned vacant buildings. In each case, it is estimated that there were anywhere from 5-10 years of outstanding taxes on each property prior to demolition moving forward. Had these properties been sold at tax sale earlier, it is possible that demolition could have been avoided. This would have retained tax base and housing for the City that has now been lost. Another challenge with the tax sale system is that the Province's process to dispose of unpurchased property is lengthy. When a property goes to tax sale, it must sell for the taxes outstanding at minimum. When there are no bidders, the Province purchases the property for the outstanding tax amount. The property is then owned by the Department of Finance, who transfers it to the Department of Transportation and Infrastructure ("DTP') to dispose of. DTI then assesses the property and sells it at market value. Typically they are able to sell, but if they cannot sell at market value then they hold onto the property. It can often take 3 years from when a property is purchased by the Province at tax sale to when it is sold by DTI. This results in a 7-year timeframe for this process start to finish. It is important to note that 7 years is often the best -case scenario and in most cases it takes longer. The lengthy disposal process provides additional delays to redevelopment of vacant buildings that continue to stagnate in the Province's tax sale system. Not only can the length of the Province's tax sale and disposal timelines result in abandoned vacant buildings being demolished, but their length also has an adverse effect on abandoned vacant lots. This process is currently the only available option to free up land that could be redeveloped and these extended timelines can delay redevelopment of these sites. This is most notable on land that the City has previously demolished vacant buildings on. The City can demolish vacant buildings that are a hazard to the safety of the public at a cost to the owner. If the City's demolition bill is not paid by the owner, the City submits the bill for reimbursement to the Province. The Province then adds the reimbursed cost to the outstanding property taxes. It is rare that the bill for the demolition is paid after it has been added to the outstanding taxes. In a lot of cases the outstanding tax bill, which includes the demolition bill plus tax levies unpaid prior to demolition, is greater than the value of the land. Most of these vacant lots are left abandoned until the Province addresses them through tax sale. They often do not sell when they get to auction, meaning they must go through the DTI disposal process as well. Currently, there are estimated to be 40 vacant lots where the City has demolished buildings that are awaiting tax sale. At the current pace, it will take approximately 4 years for every lot to be tax sold and then another 3-6 years for DTI to dispose of them. These abandoned vacant lots will continue to sit vacant until they are addressed through the tax sale and DTI disposal M 17 processes. These lots could potentially be redeveloped now if they were available to developers, but extended timeframes are preventing them from moving forward. In summary, the timeframe for tax sale proceedings is having adverse effects on the City of Saint John. Abandoned buildings are being demolished when there is the potential for them to be sold at tax sale and redeveloped. It is also causing unnecessary delays for abandoned vacant lots that could be redeveloped. The lengthy DTI disposal process is exasperating these issues. The tax sale process has the potential to address abandonment issues throughout the Province, but the current process will ultimately lead to more vacant building demolitions and cause unnecessary delays to vacant lot redevelopment. The following section provides recommendations for further changes the City could pursue to improve the effectiveness of Property By-law Compliance efforts. The recommendations incorporate the analysis from the previous section as well as best practice research found in Appendix A to develop solutions that work best for Saint John. Implementing these recommendations will allow staff to better achieve Council's priorities by enhancing enforcement. ADDITIONAL IMPROVEMENTS FOR 2023 ENHANCED MINIMUM PROPERTY STANDARDS To better enforce proper maintenance standards, the Minimum Property Standards Program will be enhanced beginning in 2023. Efforts will be taken to bring awareness of this program to tenants in the City, new cases will be generated through inspections without the need of a complaint and more formal enforcement action will be taken against problematic properties. The potential to further enhance these efforts through additional resourcing will be evaluated and reported back to Growth Committee in early 2023. Enhancing the Minimum Property Standards Program will better allow staff to enforce maintenance standards in order the prevent the loss of existing housing stock. COURT PROCEEDINGS Going forward, staff will be issuing Notices to Comply on vacant buildings with the intention of proceeding to court. This ability will only be used in certain circumstances as the ability to demolish will be used for hazardous buildings and the ability to repair will be used for salvageable buildings. However, when a case is between demolition and repair, not yet hazardous but not clearly salvageable, the ability to pursue fines in court will be considered. It should be noted that given the resourcing demands for both General Counsel and Growth and Community Services, only a limited amount of these cases can be pursued. 18 UNSIGHTY REPAIR PROGRAM If operated correctly, the Unsightly Repair Program has the potential to be an excellent tool to disincentivize long term vacancy. It would provide the City with the ability to address non- hazardous vacant buildings now, without the need for legislative change. However, it is also believed to be uncharted territory. During best practice analysis, no instances were found of a municipality repairing an unsightly building. It should be noted that of the municipalities researched outside of New Brunswick, none were found that had the ability to do this. An Unsightly Repair Program will be piloted for one year in 2023. This 1-year pilot, focused on using this ability to drive change on vacant building cases, would be limited to the North End and the South -Central Peninsula. The overall goal would be to drive voluntary compliance on vacant building cases with the goal of affecting as many as 15 buildings. During the pilot, the program will be thoroughly analyzed and staff will return to Common Council to recommend whether to continue with the program and if any further changes are required. With an Unsightly Repair Program in place, staff will be in position to better disincentivize vacant building ownership and prevent the deterioration of vacant buildings. The goal is to produce voluntary compliance throughout the focus areas, allowing for future growth, cultivating community pride and preventing loss of older housing stock. However, adding only the ability to repair unsightly buildings is not enough to drive overall change in the City with respect to vacant buildings. This program will be more effective at driving voluntary compliance if it is implemented alongside financial penalties for vacant buildings and an improved tax sale process. It is important that should an Unsightly Repair Program move forward, it should move forward alongside aggressive efforts to pursue those additional legislative and procedural changes with the Province. RECOMMENDATIONS FOR FURTHER CHANGE FINANCIAL PENALTIES FOR VACANT BUILDINGS In other municipalities in other provinces, financial penalties are applied to vacant building owners. These penalties are applied either through a tax or a permit system, but each serve the purpose of disincentivizing vacancy. There are significant challenges associated with implementing these penalties in Saint John. A vacant building tax cannot be done under current legislation and while a vacant building registry may be possible, it would face significant challenges that would make it difficult to enforce. Currently, City staff are not recommending any implementation of a financial penalty for vacant buildings. Instead, it is recommended that legislative change be pursued aggressively to effectively apply financial penalties to vacant buildings in New Brunswick. ICU 19 If legislative changes were made to allow municipalities in New Brunswick to financially disincentivize vacancy, both a permit system and a vacant building tax should be considered. In order to ensure the financial penalty achieves the desired outcomes while mitigating the potential complications, the legislative changes would need to allow for the following: I . The LGA would need to directly outline a municipality's ability to apply financial penalties to vacant buildings through both a vacant building tax and through a permit system. 2. The LGA would need to provide guidance on the amount that could be charged through a tax and through a permit fee. This amount needs to be significant enough to disincentivize vacant building ownership, even if the property has a low assessment. 3. Ideally, the municipality would be able to define criteria for when a vacant building can be exempt from the tax or from requiring a permit. 4. In the case of a tax, the municipality should be able to seamlessly identify which buildings are vacant and require additional tax. 5. In the case of a permit system, the LGA would need to provide a method for the permit fee to be added to the outstanding property tax bill if a vacant building owner does not apply and pay for the required permit. This could be done through a reimbursement process like what is done currently for demolitions and clean-ups under section 137. TAX SALE Increased vacant building penalties, while necessary to prevent speculation and disincentivize long term vacancy, could have an unintended consequence of potentially causing abandonment. Typically, abandonment occurs when the outstanding debts on a property become greater than its value. It is possible that by increasing the cost of vacant building ownership, that some additional properties become abandoned. Although abandonment is less likely today than in previous years due to increases in property values, better solutions are needed to address abandonments. Current processes do not effectively address these issues and buildings often remain abandoned for a significant length of time before they are addressed through tax sale or demolition. For the tax sale process to address abandonment and prevent loss of housing stock, the following must be achieved: L The tax sale process should prioritize areas with a higher population density. Properties in higher density areas not only can have an increased likelihood of selling at tax sale, but their abandonment also affects more citizens and is more likely to result in hazardous conditions, vandalism and other criminal activity, unsightly conditions, etc. 2. For high -density areas, a 4-year maximum requirement should be implemented. Any property in a high -density area should be sold at tax sale within maximum 2-4 years of non-payment. C�� 20 3. Should a property not sell at a tax sale auction, the DTI disposal process must allow for properties in high -density areas to be disposed of within maximum I to 2 years of tax sale. The Province also can facilitate the development of affordable housing through the tax sale process. To achieve this, the following options could be considered: I. Provide first right of refusal to non -profits willing to repurpose properties headed to tax sale as affordable housing. 2. If the Department of Finance purchases a property for the outstanding tax amount at tax sale, provide the Department of Finance the option to sell the property directly to a non- profit willing to repurpose it as affordable housing. These properties could be sold to non- profits for the outstanding tax amount with a certain amount waived. This is similar to abilities the Province already provides to non -profits when they purchase properties in tax arrears and would prevent the need to go through the DTI disposal process. To achieve the goals listed above, it is possible that legislative changes are required to allow the Province to operate these processes more efficiently. It is also possible that internal process or resourcing changes are required to achieve this. It is recommended that the City of Saint John ask the Province of New Brunswick to review their tax sale and DTI disposal processes and legislation to determine what is needed to address properties more efficiently and make necessary changes to achieve the goals listed above. If the goals listed above were achieved, the tax sale process would be significantly more effective at addressing properties. This would allow buildings to be sold prior to deteriorating and being demolished and would allow vacant lots to be freed up for redevelopment in a reasonable timeframe. This will not only allow for further growth in Saint John but will also be key to addressing affordability issues by preventing loss of existing housing stock and efficiently using land. The Province could decide to further prioritize affordable housing by providing first right of refusal to parties wishing to repurpose these lots and buildings as affordable housing. RECEIVERSHIPS The ability to implement a receivership program, providing the City with the ability to take title without compensation, could address abandonment issues throughout Saint John. However, the best solution to achieve better results for abandoned properties is through changes to the tax sale process. A receivership program would require a significant amount of resources to address issues that can already be addressed through tax sale. Therefore, it is not currently recommended that a receivership program be pursued. Instead, it is recommended that changes to the tax sale process be pursued with the Province. If changes are not able to occur at the Provincial level to better address abandonment through tax sale, AYA 21 pursuing additional municipal powers such as the ability to implement a receivership program could be reconsidered. Minimum property standards cases, vacant buildings cases, tax sale and demolition may seem like separate processes that address separate issues. However, these processes are often interconnected and abandoned buildings that proceed to tax sale or demolition often were once minimum standards buildings with owners who did not conduct proper maintenance. Proper maintenance may not be conducted for a variety of reasons. Typically, owners either are not willing or cannot afford to conduct proper maintenance. This can lead to life safety concerns and deficiencies that will need to be addressed if the building continues to be occupied. These deficiencies can be costly to repair and financial penalties can be administered through the Minimum Property Standards program if life safety items go unaddressed. If the owner cannot afford or does not want to spend the money to conduct necessary repairs, and continues to incur financial penalties, the building could become vacated or potentially abandoned. Had the building been properly maintained at the beginning, it may not deteriorate to this point and may not have been vacated. To prevent vacant building cases, the Minimum Property Standards Program needs to address properties earlier before significant deterioration occurs. Moving forward from a complaint -based system will allow for this and new tools such as the Developer Notification List and Urban Development Incentives may facilitate voluntary compliance that may not have occurred in the past. Going forward, with an enhanced Minimum Property Standards Program, staff will be in a better position to enforce maintenance standards earlier on to ensure buildings do not deteriorate to a point where they need to be vacated. If a building does get vacated, the property is at a critical junction. The owner is often going to decide one of three things. They may spend the resources to address any deficiencies and then reoccupy, they may sell the building or they may abandon it. An issue that can increase the likelihood of abandonment is indecision. If at this critical junction, the owner does not choose one of the three paths forward and instead elects not to address the problem, the extended vacancy of the building can lead to deterioration that will increase the likelihood that the owner will abandon the property. Indecision is common and happens for a variety of reasons; it is important to have tools that can address properties early such as the developer notification list and incentives. Appropriate penalties are also important to disincentivize long-term vacancy ensuring property owners decide, in a reasonable timeframe, what their path forward is with their property. Despite best efforts moving forward, there will be buildings that become abandoned. As previously mentioned, abandoned buildings have only two outcomes. Either the property is demolished because it becomes a hazard or it is sold at tax sale by the province to a new owner can repurpose it. If any properties become abandoned, it is important that the tax sale process is working C�:3 22 efficiently to ensure as many buildings as possible end up repurposed by new owners as opposed to being demolished. With the improvements and recommended changes developed under the Community Enhancement Project, staff will be in a much better position and have a variety of tools to intervene earlier on in the enforcement process. This will prevent deterioration, reduce vacancy and reduce demolition. The improvements and recommended changes developed under the Community Enhancement Project will allow for future growth, create safe livable neighbourhoods, cultivate community pride and prevent loss of housing stock to ensure long term affordability. C1'] 23 OVERVIEW Municipalities throughout Canada along with a few in the United States were researched to evaluate their practices with respect to code enforcement. The focus of the research was around vacant building practices to try to find solutions that will improve the Program's enforcement process. Three solutions were commonly found to deal with vacant buildings in their respective areas. Two of the solutions are differing ways to apply financial penalties to owners of vacant buildings. These financial penalties disincentivize long term vacant building ownership and help municipalities to offset costs associated with running a vacant building program. These financial penalties are typically handled in one of two ways, a Vacant Building Tax or a Vacant Building Registry. Another solution used in municipalities is a Receivership program which allows municipalities to take the title of a vacant building that is owned by a negligent owner. These programs are typically run in the United States although one municipality in Canada was found with a similar process. A summary of each of the solutions and some of the municipalities who use them can be found below. VACANT BUILDING TAX The Vacant Building Tax or Empty Homes Tax is a property tax that applies to all vacant buildings as a percentage of their assessed value. These taxes are currently used in high demand markets like Ontario and British Columbia with the intent of dissuading speculators who purchase property, leave it vacant, and then sell for a higher price later. Speculators who leave their properties uninhabited contribute to affordability issues throughout their municipality and these taxes are directly targeted at addressing affordable housing issues. VANCOUVER, BC Vancouver introduced the Empty Homes Tax in 2017 that that taxed vacant properties at 3% of the assessed value. In April 2022, this tax was hiked to 5% of the assessed value. Every homeowner in Vancouver is required to submit a declaration form declaring their home as occupied each year. If an owner meets the exemption criteria, they are not required to pay the tax. However, if an owner does not meet the exemption criteria or fails to submit the declaration form, the additional tax is applied. It was found that from the timeframe of 2016 to 2021, the amount of empty homes in the area dropped by 10%. It should be noted that while the implementation of the Empty Homes Tax correlated to a 10% drop in empty homes, there is no evidence to suggest that the Empty Homes Tax caused the drop. There could be a multitude of factors that caused this drop in empty homes. British Columbia originally only allowed this tax to be implemented in Vancouver, however recent provincial legislation changes have allowed it to be applied in various municipalities throughout the Province. Me] 24 WINDSOR, ON Municipalities throughout Ontario have also recently implemented a similar tax at 1% of the assessed value. This property tax was recently added to provincial legislation allowing municipalities in Ontario to tax vacant properties at an increased rate. Windsor Ontario was one of the most recent municipalities to implement this tax. Although Windsor does not have a formal vacant building program, they do have staff that monitor and issue orders for problematic vacant buildings, using its version of the minimum property standards by-law to do so. Windsor hopes the tax will further disincentivize vacant building ownership throughout the city, preventing speculators and negligent owners. VACANT BUILDING REGISTRY Another method of applying financial penalties to vacant buildings is a vacant building registry program. These programs require property owners to apply for a permit to register their vacant building with the City. The permit costs an amount that disincentivizes vacant building ownership and in some cases, increases each year the building becomes vacant. To be approved for the permit, owners must ensure their vacant building meets certain standards typically surrounding security of the building. If they are not approved, municipalities often can secure the building at a cost to the owner. Vacant building registries are more common in municipalities that deal with blight because of the vacant buildings throughout their region. WINNIPEG, MB Winnipeg has an extensive penalty system to disincentivize vacant building ownership. Their process involves a suite of requirements and financial penalties for owners who leave a building vacant. These penalties include the requirement to have a boarded building permit, a permit costing $2,500 minimum and allows owners to board their building to a specific standard outlined by the City. Owners must also pay an empty building fee equivalent to 1% of the assessed value of the building. The owner is also must pay inspection fees equivalent to $630 each calendar year. These fees are able to be added to the property tax roll if they go unpaid. Although this fee system has been in place for some time, it has correlated to more vacant building cases. In 2015, Winnipeg monitored 358 vacant properties and in 2020, that number increased to 570. In 2022 it increased again to 615. It should be noted that there is no evidence to suggest that the implementation of a vacant building fee system is the cause of the rise in the number of vacant building cases. SUMMERSIDE, PEI Summerside recently implemented a vacant building permit system. If buildings in Summerside are vacant 90 days under the new bylaw, the owner is required to get a permit and secure the 71 25 building. The permit costs $2,485 every four years. A rebate can be provided if the building becomes occupied within the four-year timeframe that the permit is valid for. Typically, municipalities with a vacant building registry can apply the cost of unpaid permits and fees to the outstanding property tax. Summerside currently does not have the ability to do this and must pursue unpaid fees in provincial court. Summerside currently has less than 10 vacant buildings that this fee would apply to. If a significant number of fees go unpaid, it would not be unreasonable from a resourcing perspective for Summerside to enforce this by-law RECEIVERSHIP PROGRAM Receivership programs are uncommon in Canada and more common in areas throughout the United States. These programs allow municipalities to take title from negligent vacant property owners. The properties are typically sold to private individuals who then redevelop them. Taking title from a property owner should not be taken lightly. It is the severest penalty that can be applied and as a result, these programs have a significant number of steps required. If an owner is around, these programs provide them with an abundance of opportunity to keep their property. As a result, these programs tend to be directed at dealing with abandonment issues throughout their region. BALTIMORE, MD Baltimore Maryland has an extensive receivership program which allows them to seize vacant buildings from negligent property owners. Vacant buildings in Baltimore are issued notices if they create a nuisance. If an owner fails to comply with the notice, Baltimore City's housing department can request the District Court to appoint a receiver to sell, rehabilitate or demolish the property. Baltimore City's typically appoints a non-profit organization as a receiver who then sells these properties to buyers that are required to rehabilitate the structure. The process takes approximately 8 months from when a receivership is filed to when ownership is transferred to the buyer. As the sale takes place, the receiver never takes title of the property and therefore does not become liable for the building. Once the sale goes through, all liens are wiped from the property. The program has been successful in Baltimore who has filed 500 receiverships per year on average. From 2011-2019, over 4500 receiverships were filed with approximately 2500 of those resulting in the properties being reoccupied. WINNIPEG, MB In addition to a suite of financial penalties, Winnipeg also has a process called Taking Title Without Compensation. This process allows Winnipeg to take ownership of a vacant building 26 without compensating the owner if the building is neglected by the owner for an extended period of time. There are other municipalities in Manitoba that have a fee and permit system similar to Winnipeg's however the Taking Title Without Compensation ability is unique to the City. SOURCES 'astonishing' drop in number of empty homes in Metro Vancouver ... Retrieved from https://vancouversun.com/news/local-news/astoni shing-drop-in-number-of-empty-homes-in- metro-vancouver-census Nearly 600 previously vacant structures demolished or now occupied in Winnipeg. Retrieved from https : //winnipeg. ctvnews . ca/nearly-600-previously-vacant-structures-dem oli shed-or-now- occupied-in-winnipeg-1.2263605 Vacant building receivership - Baltimore City Department of Housing ... Retrieved from https://dhcd.baltimorecity. gov/sites/default/files/Receivership%20Presentati on%2011.16.20.pdf How does receivership work in Baltimore? Retrieved from https://baltimoreheritage.github.io/vacant- buildings-101/guides/receivership/ 01 27 Repairing unsightly buildings would be an excellent tool to disincentivize long term vacancy and prevent deterioration. However, in order to move forward, any potential risks associated with repairing unsightly buildings should be analyzed and mitigated. Currently there are no municipalities in New Brunswick who use this authority to repair and in best practice research, no instances were found of a municipality outside of New Brunswick repairing conditions. This section analyzes the potential risks involved with moving forward with the City's authority to repair. AUTHORITY TO REPAIR It first must be established that the City of Saint John has the authority to repair buildings, and to what extent. The authority to repair buildings is provided within sections 128 to 143 of the LGA. Section 131 of the LGA states that: 131(1) No person shall permit premises owned or occupied by him or her to be unsightly by permitting to remain on any part of the premises (a) any ashes, junk, rubbish or refuse, (b) an accumulation of wood shavings, paper, sawdust or other residue of production or construction, (c) a derelict vehicle, equipment or machinery or the body or any part of a vehicle, equipment or machinery, or (d) a dilapidated building. 131(2) No person shall permit a building or other structure owned or occupied by the person to become a hazard to the safety of the public by reason of being vacant or unoccupied. 131(3) No person shall permit a building or other structure owned or occupied by the person to become a hazard to the safety of the public by reason of dilapidation or unsoundness of structural strength. As per section 132, the City can issue a Notice to Comply if a condition referred to in subsection 131(l), 131(2) or 131(3) exists. Section 137 provides the City with the power to clean, repair or demolish if a Notice expires in non-compliance: rL! 2s 137(1) If an owner or occupier does not comply with a final and binding notice given under section 132 within the time set out in the notice, the local government may, rather than commencing proceedings in respect of the violation or in addition to doing so, (a) cause the premises of that owner or occupier to be cleaned up or repaired if the notice arises out of a condition contrary to subsection 131(1), (b) cause the building or other structure of that owner or occupier to be repaired or demolished if the notice arises out of a condition contrary to subsection 131(2), or (c) cause the building or other structure of that owner or occupier to be demolished if the notice arises out of a condition contrary to subsection 131(3). As per section 137, the specific remedial action that can be taken (clean up, repair or demolish) is determined based on the violation that the notice is issued under. A notice issued under section 131(1) (unsightly dilapidated building) provides the city with the ability to clean up or repair as per 137(1)(a). A notice issued under section 131(2) (building is hazardous by reason of being vacant) provides the city with the ability to repair or demolish as per 137(1)(b). Finally, a notice issued under 131(3) (building is hazardous by reason of being dilapidated or structurally unsound) provides the city with only the ability to demolish as per 137(1)(c). The City's Unsightly Repair Program will focus on repairing conditions under section 131(1) (unsightly dilapidated building) although section 131(2) may be used under certain circumstances. It is important to note that, based on legal analysis, repairs must only address the conditions that gave rise to the issuance of the Notice to Comply. This means that if a Notice for unsightly conditions is issued, the City can only repair the conditions that cause the building to be unsightly. This may include peeling paint, broken windows and missing siding among a variety of other conditions. If the City issues a Notice under section 131(2) (building is hazardous by reason of being vacant), the City can only repair conditions that cause the building to be a hazard by reason of being vacant. This means that the City would only be able to address conditions related to the security of the building if the Notice was issued under 131(2). Both 131(1) and 131(2) will be used under this program to conduct repairs, however the repairs will primarily be conducted under 131(1) to address unsightly conditions. By only repairing the conditions that gave rise to the issuance of a Notice to Comply, the City would be exercising its authority to repair in a reasonable manner. WHAT IS CONSIDERED UNSIGHTLY Under paragraph 137(1)(a), the authority to either clean-up or repair is conditional upon the Notice to Comply arising out of a condition contrary to subsection 131(l), meaning, the premises being "unsightly" by permitting a "dilapidated building". This means that the City can only repair dilapidated conditions that cause the premise to be unsightly. In other words, the City cannot repaint a building because it does not like the colour of the paint or replace a door because it does not like the look of a door. The City must demonstrate that the conditions to be M 29 repaired is in a state of disrepair, thus causing the building to be unsightly. Examples of conditions that could be repaired include broken windows, missing siding and peeling paint. In summary, the City does not have the authority to deem something unsightly because it does not like the look of it. The City must demonstrate that the building is in a state of disrepair, thus causing the premise to be unsightly. As part of the Unsightly Repair Program, a ranking criterion has been developed that will rank all unsightly vacant buildings to prioritize enforcement action through repair. The criteria will rank buildings by providing points for each unsightly dilapidated condition. If a building scores higher than above a certain amount, it becomes eligible for enforcement action under the Unsightly Repair Program. LEGISLATIVE PROTECTION There is concern that City could be liable to the property owner or other individuals for any repairs conducted. This concern is heightened if a situation arises where repairs were conducted improperly due to poor workmanship. However, the LGA offers a degree of statutory protection when the City is exercising its authority to either clean-up, repair or demolish under section 137 as follows: 137(5) A local government or a person acting on its behalf is not liable to compensate an owner or occupier or any other person by reason of anything done by or on behalf of the local government in the reasonable exercise of its powers under this section. (emphasis added) This protection is subject to the "reasonable exercise" of the authority to either clean-up, repair or demolish. If the City goes beyond its authority and carry out repairs that are not required to address the conditions that gave rise to the issuance of a Notice to Comply, then, the City is not exercising its authority in a reasonable manner. It is important that the City reasonably exercise its authority to repair so that this statutory protection is in place. This will provide the City protection against any claims that could arise if the City moves forward with repairing conditions. REIMBURSEMENT With regards to recovery of costs incurred in exercising the authority under subsection 137(l), the LGA provides as follows: 137(3) The costs of carrying out any work set out in subsection (1), including any associated charge or fee, is chargeable to the owner or occupier and becomes a debt due to the local government. NQ 30 143(1) If a debt due to a local government under subsection 137(3) or 139 4 remains unpaid in whole or in part and the Minister of Finance and Treasury Board is of the opinion that the local government has made reasonable efforts to recover the unpaid amount, the Minister of Finance and Treasury Board shall, if the local government requests the Minister to do so before December 31 in any year, pay to the local government the following amounts in the following year: (a) the unpaid amount of the debt; and (b) interest on the unpaid amount of the debt (i) calculated at the same rate that is applied in determining the amount of a penalty under subsection 10(3) of the Real Property Tax Act, and (ii) accruing from the day the local government completes the work or measures in respect of which the debt arose to the day the local government makes a request under this subsection for payment in respect of the debt. 143(2) A local government shall make a request under subsection (1) by submitting to the Minister of Finance and Treasury Board a statement of the expenditures of the local government that gave rise to the debt. The City is still required to attempt to recoup the repair costs from the property owner. If the City is unsuccessful, then the City can apply to the Province for reimbursement by submitting a statement of expenditures, similar to what done currently for demolitions and unsightly clean- ups. The Province of New Brunswick was contacted, and discussions were had on the City's authority to repair. They agreed that the City has the ability to repair unsightly conditions and be reimbursed so long as proper procedure is followed. THIRD PARTY CONTRACTOR As part of this program, the City will be entering an agreement with one third -party general contractor who will conduct all repairs. If the program is approved, a Request for Proposal will be sent out in early 2023 for general contractors to bid with a proposal. A contract will be developed with the Contractor who submits the best proposal. The City will be evaluating bids with respect to price, but also with respect to contractor's experience to ensure they have the expertise necessary to conduct any repairs that may be necessary as part of this program. The contractor will be fully responsible for the quality of any repairs and will provide warranties to the repairs conducted as part of this contract. If for some reason a repair was conducted improperly, the contract will be required to return to the site to address the issues. The contractor will also be required to have an insurance policy. This, along WA 31 with the statutory protection, will limit liability against the City if the situation occurs where a repair is conducted incorrectly. FUTURE IMMUNITY GUIDELINE It is important to note that while this program will serve to disincentivize vacancy, repairs under this program will not prevent the building from continuing to be vacant. After repairs move forward, a building may deteriorate or be subj ect to vandalism that causes it to become unsightly again. Also, it is the responsibility of the property owner to perform the repairs necessary to prevent this. However, to prevent properties from being subject to an excessive number of repairs by the City, buildings that were repaired within the past 18 months through City action will be provided immunity from this program. It should be noted that this immunity does not prevent the building from being demolished by City action if it becomes a hazard. FINANCIAL LIMIT GUIDELINE To mitigate excess risk, there will be a limit that the City will spend on the repair of unsightly conditions. Applying this limit will reduce liability and ensure a property maintains economic feasibility, reducing the likelihood that it will become abandoned. Most vacant buildings tend to residential and range from single family homes up to four units. The table below shows the financial limit guidelines that will apply in those cases: If this financial limit is not able to be followed for a specific case and an adjusted limit is needed, City staff will provide both the adjusted limit and the reason why it is needed to Common Council as part of the report recommending the repairs. SUMMARY The City not only has the authority to repair certain conditions on buildings under the LGA but is also provided with statutory protection to do so, so long as the authority is reasonably exercised. Furthermore, all repairs will be conducted by a third -party contractor who will assume all responsibilities with respect to warranty and workmanship, further providing protection to the City. To further mitigate excess risk, internal steps will be taken such as limiting the amount that will be spent on repairs and providing temporary immunity to properties that were recently repaired. N-11 GROWTH COMMITTEE REPORT M&C No. N/A Report Date December 01, 2022 Meeting Date December 06, 2022 Service Area Growth and Community Services Chair Joanna Killen and Members of the Growth Committee SUBJECT: Affordable Housing Grant Fund AUTHORIZATION Primary Author Commissioner/Dept. Head City Manager Andrew Reid Jacqueline Hamilton I John Collin RECOMMENDATIONS Growth Committee recommends that Common Council adopt the Affordable Housing Grant Policy, with the goal of increasing the amount of new affordable residential units constructed in the City of Saint John. EXECUTIVE SUMMARY Federal and Provincial programs recognizing the need for more affordable housing can be characterized as a generational investment. The 10-year National Housing Strategy (2017), led by Canada Mortgage Housing Corporation (CMHC) and in collaboration with provincial governments delivers several components aimed to increase supply of affordable units, fund community housing projects, and provide benefits to help stabilize those struggling to afford rent. Locally, there is a documented need for more affordable housing units in Saint John (City of Saint John Housing Action Plan, 2022). In July, three options were presented to Growth Committee regarding the use of an $800,000 investment into affordable housing. Of key importance in the development of the finalized Program was ensuring the following: - Timely delivery of the Program to address housing shortfalls - Alignment with the City's Affordable Housing Action Plan and Municipal Plan - Incorporation of City's Housing Needs Assessment into the Program Saint John's Affordable Housing Grant Program (AHGP) seeks to take advantage of existing Federal/Provincial programs to provide flexible and targeted top -up grants that will aim to help create additional affordable units in our community. r0%] -2- Upon adoption by Council, staff will develop a formal application in accordance with the policy, create a grant agreement template for successful applicants, and roll out the program for applicants in January of 2023. Based on the parameters of the AHGP, staff anticipate that this program could assist with the immediate development of 30 to 60 new affordable residential units in the City of Saint John. PREVIOUS RESOLUTION On October 3, 2022, Common Council adopted the Affordable Housing Action Plan. Action Number 13 states: The City immediately establish a Saint John Affordable Housing Fund to fund the development of new affordable housing units and that the Fund is: a) Targeted to non -market housing on a priority basis b) Initially seeded through a $800,000 contribution and augmented via future provincial and federal funding programs (e.g. CMHC Housing Accelerator Fund) On July 261h, 2022, Growth Committee received and filed a report and presentation with regards to three possible options for the creation of a $800,000 Affordable Housing Grant Program for 2023. On May 301h, 2022, Common Council approved a motion to allocate funding from the Regional Development Corporation and the Federal Government for Affordable Housing, with $1,100,000 budgeted toward Affordable Housing & Neighbourhoods. Of the $1,100,000, $800,000 was earmarked towards a Grant Program for 2023 and the remaining $300,000 towards implementation of the 5- year Affordable Housing Action Plan. REPORT Housing is an urgent and pressing matter in Saint John. On October 3, 2022, Common Council adopted the City of Saint John Affordable Housing Action Plan. The Plan is a blueprint for a more coordinated approach to guide local action in the community over the short, medium and longer term. Development of an Affordable Housing Grant Program was identified as an immediate action in the Plan. Timeliness is key to coordinating with Federal/Provincial funding programs (e.g. CMHC's Rapid Housing Initiative). Through the creation of Saint John's AHGP, staff worked with Dillon Consulting to develop different grant options for consideration. Dillon Consulting has assessed these three options to determine the most functional approach that will work for Saint John and settled upon the attached Program, which is summarized below. E:ii] -3- The AHGP will have two tiers aimed at non-profit and private developers, with non-profit developers having access to $10,000 per affordable unit up to $200,000 and private developers $8,000 per affordable unit up to $160,000. Grants are evaluated on a 90-day cycle by a Grant Committee composed of City Staff and in accordance with an evaluation criteria as generally outlined in the Affordable Housing Grant Program Policy. Projects are prioritized according to project readiness and the evaluation criteria. Criteria ensures that projects are prioritized according to the City's established plans and policies, including the Affordable Housing Action Plan and Municipal Plan. Bonus funds are available towards projects that address market gaps in the form of an additional grant up to $50,000 (e.g. 3 bedroom units, vacant building retrofit, exceedance of accessibility or energy efficiency standards). Once a building permit for the project has been submitted, all developers are required to enter into a Grant Agreement with the City of Saint John which will define the terms and conditions in accordance with the Program. Disbursement of funds will occur after an occupancy permit is issued, unless otherwise approved by Common Council. STRATEGIC ALIGNMENT Common Council has established five priorities for their 2021-2026 term. Affordable Housing aligns with the following Council Priorities. Grow: • Population Growth o Grow our population at a rate of 2% annually by the end of Council's term. Belong: • Livable Neighbourhoods o Facilitate a mix of affordable housing in all of our neighbourhoods. SERVICEAND FINANCIAL OUTCOMES The Affordable Housing Grant program will utilize a one-time investment of $800,000 in operating funds as established in the 2022 budget adjustment. The $800,000 fund is a portion of funding that was allocated to the City from the Regional Development Corporation in the Spring of 2022. This funding was provided by a combination of federal and provincial dollars with part of the objective to support housing shortfalls. The AHGP will help facilitate E:1iI -4- the development of new affordable housing units throughout the City, increasing the quality of life of the future residents of these units. Augmentation of the fund may be sought through future provincial and federal funding programs (e.g. CMHC Housing Accelerator Fund). Based on the proposed policy, staff anticipate that this program could assist with the development of 30 to 60 new affordable residential units in the City of Saint John. INPUT FROM OTHER SERVICE AREAS AND STAKEHOLDERS The Policy was developed with the input of local housing provider stakeholders and reviewed by Growth and Community Services, Finance, and the General Counsel Office. Staff have also been in contact with the Regional Development Corporation and on the rollout of the program. ATTACHMENTS 1. Affordable Housing Grant Program Presentation 2. Draft Affordable Housing Grant Program Policy E-1YA 4—j M A am an Nil N N � � ca a--+ ro a-J +N-+ rq cn O U N .� • CD N .— 'gin O E Q.ca o O = _O v c, a) �O N N O 0 >. � E a)O O v Q v O-0 O p 4- Q O N N O O E C�0 _0 �.O o +j °= p.— Co o � ° �o �� 'v O � � Q � O Q O E ai _ 'U 4 O Q U f6 =3 0O U N O p O C L7 N _� o Qro o O � = 00 p 0 0 N4- cCD N� fV ca 2 U=� E O O 'gin N p Q fV N •— Q >' O O N O U O E O O U m Q 0 o 0wc� �,}'� O m ' N E� a=+ .No U ��070���2}'� moo" C: C:o ALA 0 < OUV O OU co 4— _0 O c � C6 E . EL = cn f6 O — V � U O a- j c O . 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O o 0 0 � E }' O 0-0 o E N E E 0 0 ca O U u U u v u Q U a-J • Ln N ` •O c L N ca =3 E 0 0 � V O� � � N 0 0 E M m • a- j �i �i V > w co Ln O • i1 Ln 'o 0- Ln O ca O J .=3 Q � •O > Q r O bn =3 a-+ 4-1 a-J O O a--+ 4- J DC a) n i1 Ln 4-J 'o CL Ln Ln ca No a-J L Q a- J •O Q .N Ln V Q • N a-J •O Q M •V W bn c W • N c O L.LJ C6 a--+ c� O U U 4-J a--' ateJ C: (D O �7 i N 4-J 4- 0 N C ca Q = vi � .O M O p 4- O O - N 4-1CL _� O O m o N 4--0 N w � ca ca M m Ln c O N I LO rn 70A DRAFT City of Saint John Affordable Housing Grant Program 1. Program Background The following program provides a framework for increasing the number of affordable housing units in Saint John's residential inventory. The program is aligned with Federal and Provincial Programs and implements the objectives of the City's Affordable Housing Action Plan (AHAP). 2. Policy Statement The City of Saint John supports the development of affordable and equitable housing throughout the City's Primary Development Area, as defined by the Municipal Development Plan. The purpose of the AHGP is to increase the number of affordable rental units on the City's housing market and ensure those units remain affordable, long term. 2.1 Policy and Program Evaluation The AHGP will be monitored throughout each grant cycle for number of affordable housing units committed. At the end of the first grant cycle, Staff will provide an update to Growth Committee that provides the total number of affordable units, the breakdown of unit structure, and the estimated timeline for construction and occupancy. 3. Definitions "Affordable Housing Rental Program" means the Program administered by the Province of New Brunswick's Department of Social Development to provide capital grant funding towards the creation of new housing units for low- and moderate -income households in New Brunswick. "Affordable housing unit" is defined by the Province of New Brunswick's Social Development Department (SD) through its Affordable Housing Rental Program and/or Canada Mortgage and Housing Corporation (CMHC). In the case of CMHC, affordable housing unit means a unit that provides a minimum depth of affordability where tenants pay no more than 30% of their before -tax income on housing costs and the unit remains affordable for a minimum of 20 years. "CMHC/Federal Funding Programs" means the suite of funding offered by Canada Mortgage and Housing Corporation which includes but is not limited to the National Housing Co -Investment Fund and Rapid Housing Initiative. "Construction costs, material or labour" means the total cost of construction of the building including site preparation, mechanical and electrical components. "Non-profit developer" means a corporation no part of the income of which is payable to or otherwise available for the personal benefit of any proprietor, member, or shareholder thereof. "For -profit developer" means a registered corporation that develops and provides housing. DRAFT "Townhouse" means a building containing two or more dwelling units arranged side by side each with an independent exterior entrance and separated vertically by a common wall extending from the foundation to the roof. "Vacant building" means the building has been vacant for at least one year and was either (1) previously used as an institutional building, or (2) has a minimum of 20% floor space that lacks basic facilities or is substantially damaged to the extent that the new facilities must be installed or the new components must be replaced or reconstructed to meet the By-law Respecting Standards for Maintenance and Occupancy of Buildings and Premises. 4. Goals Success of the AHGP will be determined by the number of affordable housing units to which the Program contributes and depth of their affordability. The Affordable Housing Grant Program is designed to achieve the following outcomes: • Address the following gaps in the local housing continuum identified in the Affordable Housing Action Plan: Supportive/special needs housing, housing to the most vulnerable households, and affordable rental housing; • Fulfilling the Affordable Housing Action Plan's principle of promoting public investment for public benefit; • Effective and meaningful distribution of funds to shovel -ready projects; • Supporting non-profit housing projects in providing long-term affordable housing options; and, • Incentivizing the use of the Province's Affordable Rental Housing Program 5. Affordable Housing Grant Overview The Affordable Housing Grant provides additional funding to projects approved under the Province of New Brunswick's Affordable Rental Housing Program and CMHC funding Programs. It is designed to provide additional funds to non- and for -profit developers via a "top up" grant to be used to directly impact the success and sustainability of the affordable dwelling unit. The Affordable Housing Grant will prioritize projects that meet the project readiness definition described in section 6.1 and are experiencing fiscal constraints. 5.1 Grant Description The Affordable Housing Grant consists of two tiers of grants based on non- and for- profit developers. Each tier provides a baseline grant and opportunity to access additional funding for innovative solutions to identified market gaps or issues. a) Tier 1: Non -Profit Development Otl DRAFT A Tier 1 grant base amount of $10,000 per affordable unit to a maximum of $200,000 per project is available to any non-profit developer that meets the program's eligibility requirements. An additional $50,000 is available in bonus funds for market gap solutions. Market gap solutions are determined by the City's Grant Committee. b) Tier 2: For -Profit Development A Tier 2 grant base amount of $8,000 per affordable unit to a maximum of $160,000 per project is available to any for -profit developer that meets the program's eligibility requirements. An additional $50,000 is available in bonus funds for market gap solutions. Market gap solutions are determined by the City's Grant Committee. 5.2 Grant Cycles a) Grant Cycle 1 opens after Council's adoption of the AHGP and closes after 90 days. b) Grant Cycle 1 prioritizes projects according to the highest point value awarded in Section 7.1 and 7.2. If there are remaining funds that have not been committed after 90 days, a second cycle will open and run for 90 days before closing and so on until all funds are committed. c) Funds may be committed during the second and subsequent grant cycles, previous to the 90 day cycle closing to ensure an expedited process for shovel -ready projects. 5.3 Eligible Expenditures a) The following expenditures are eligible under the Affordable Housing Grant: • Construction costs, materials; • Construction costs, labour; • Construction costs, other; at the discretion of the City's Staff Committee; • Consultant fees for professional services (e.g. drawings and design); and • Shared amenity costs such as appliances for shared laundry facilities, appliances or equipment for shared spaces like community rooms, storage or bicycle lockers, or other expenditures at the discretion of the City's Staff Committee. The cost of individual unit furnishings including furniture and appliances are not eligible. 5.4 Disbursement of Grant Funds a) The Affordable Housing Grant is disbursed upon completion of the project and issuance of an occupancy permit. b) Substantial revisions to the building permit submission attached to the application form, including but not limited to the reduction in number of affordable units, may void the application or require the application be resubmitted. DRAFT 6. Project Eligibility Requirements 6.1 Project Readiness Projects are prioritized by their "shovel readiness." Prior to application, a project must meet the following: a) For a project to be considered for the Affordable Housing Grant, all planning approvals must be in place. Planning approvals include confirmation that the project is in compliance with the Municipal Plan and Zoning By-law. b) The project must be aligned with the overall vision and objectives of the City's Affordable Housing Action Plan. c) Projects are encouraged to attach their building permit application to the grant application. The project will be considered ineligible should an applicant not obtain a building permit for the project within 12 months of applying for a grant, provided the applicant has participated in a pre -application meeting. d) Projects which have undertaken site preparation work or obtained a building permit but have not advanced past the pouring of foundations are eligible to apply for an Affordable Housing Grant. e) Confirmation of project readiness will be determined by City Staff at the time of the grant application. 6.2 Project Eligibility Each project shall meet the following criteria prior to entering into a grant agreement for an Affordable Housing Grant with the City of Saint John: a) The project shall be located within the Primary Development Area as defined by the City's Municipal Plan; b) The project shall be located within an Intensification Area as defined by the City's Municipal Plan or within a 1 kilometre radius of a transit stop; c) The project shall be appropriate to the area as determined by compliance with the Municipal Plan and Zoning By-law; d) Proof of funding sources including confirmation of Federal or Provincial funding and confirmation of funds from a Canadian Financial Institution shall be provided. The project must have received a letter of support through the Province's Affordable Rental Housing Program or a letter of intent through a CMHC Funding Program. e) The Grant Committee reserves the right to determine whether the application is complete or incomplete. 4 061 DRAFT 7. Grant Evaluation Criteria 7.1 Grant Committee Each Affordable Housing Grant Application is evaluated by a committee of Staff. The role of the Committee is to confirm eligibility of applications and evaluate each application in the context of the Policy criteria contained within this policy. a. The Committee shall be comprised of, at minimum, one Staff from the Department of Finance; one Staff from the One Stop Development Shop; two Staff from Growth and Community Development Services; and one Staff that represents the City's Legal Counsel. Membership in the Committee is not to exceed 7 Staff. b. Members of the Committee shall be approved or removed by the Commissioner. c. The Grant Committee will meet to review applications as needed at the closing of the first grant cycle, and as needed during each subsequent grant cycle according to the evaluation criteria. d. Funding will be committed in the order of the projects that score the highest number of points according to the evaluation criteria. Eligible projects that are not selected during the first cycle may be added to a waitlist and will be evaluated against projects in the subsequent grant cycle. 7.2 Evaluation Criteria To determine priority of funding per each grant cycle, each application will be evaluated under the following point structure. a. Affordable Unit Count (1 point per unit) b. Project is located within an Intensification Area as defined by Schedule A of the Municipal Plan (5 points) c. Application includes a building permit submission with full set of drawings, including site plan and floor plans or letter of commitment from the Department of Social Development (5 points) 7.3 Bonus Evaluation An additional $50,000 is available per project to support innovation and market gap solutions. a. Three Bedroom Units or Townhouses A project proposing one or more affordable three -bedroom units or townhouse units are eligible for an additional $2,500 per unit up to a maximum of $50,000. (1 point per three -bedroom or townhouse unit) b. Retrofitting Existing Buildings 5 ` 919j DRAFT A project which retrofits a vacant building into affordable units is eligible for an additional $5,000 per unit up to a maximum of $50,000. (0.5 point per retrofitted unit) c. Accessibility Standards A project which achieves better than minimum standards for accessibility towards new development or retrofitting is eligible for an additional $2,500 per unit up to a maximum of $50,000. (1 point per each additional accessible unit on top of provincial requirement) d. Energy Efficiency Project seeking to provide a high degree of energy efficiency to ensure long term affordability by meeting 2017 National Energy Code requirements will receive up to $50,000. (3 points) e. Other Other gaps identified by the applicant may be considered by the Committee for a maximum of $2,500 per unit up to a maximum of $25,000. 8. Administration a. Applications for the Affordable Housing Grant shall be made by completing Schedule A. b. Applications may be approved subject to the approval of a building permit. c. The Committee's decisions on applications are final. d. Applications and grant disbursement are subject to fund availability. e. Legal names of the property owner(s) are required and if an applicant is acting on behalf of the owner, property authorization from the owner of the property. f. Applications will not be considered if construction has already commenced on the project, as defined by the date at which the pouring of the footings or foundation has begun. g. Once a building permit has been applied for, the developer shall enter into an agreement with the City that outlines the terms of the grant disbursement (Appendix 1). The agreement may consider additional requirements the City determines to be necessary to secure the long term affordability of the eligible dwelling units. h. All costs associated with the preparation and submission of an application under this Policy are the responsibility of the applicant. The City shall not pay any costs incurred by an applicant in the preparation and submission of an application under this policy, or any costs incurred in relation to the execution and delivery of a Grant Agreement. `O DRAFT Fulfillment of bonus criteria which was applied for may be audited at the expense of the applicant upon project completion. 9. Budgeting and Payment of Grants a. The total grant cannot comprise more than 50% of the overall construction costs as determined at the time of building permit application; b. The City will only enter into a Grant Agreement the total value of which does not exceed $250,000 per project. c. Notwithstanding Section 5.4(a), disbursement of funds may occur earlier, prior to issuance of an occupancy permit, should a special need arise. A business case must be provided to the Grant Committee. The terms and conditions of disbursement will require Common Council approval through a grant agreement. d. Should a grant expire, the funds allocated to that project will revert to the Grant Reserve Fund and the next eligible project will be evaluated. e. Prior to payment of any grant under this Policy, the City may withhold payment should any of the following be determined: i. The property taxes and/or water and sewage fees for the property have not been paid in full, or, ii. The property is in violation of City By-laws including but not limited to the Building By- law, Zoning By-law, or Municipal Plan. III `[oya From: City of Saint John, New Brunswick To: Common Clerk Subject: Webform submission from: Request to present to council form Date: July 25, 2022 8:53:05 PM [ External Email Alert] "Please note that this message is from an external sender. If it appears to be sent from a Saint John employee, please forward the email to spamsample@saintjohn.ca or contact IT Service Desk at 649-6047. * * Submitted on Mon, 07/25/2022 - 20:53 Submitted by: Anonymous Submitted values are: About Person/Group Presenting First Name: Andrew Last Name: Johnson Address: Pitt Street Saint John, New Brunswick. E2L 2V8 Canada Day Time Phone Number: 5067210361 Email andrewt s-j gmail.com If you do NOT wish to have your personal information (address, phone number, email) become part of the public record, please check this box. No About your Request Topic of Presentation: Request Envision Saint John Proposal WIN Purpose for Presentation (what is the ask of Council): The purpose of this request is for Council to request that Staff instruction Envision Saint John to provide a brief economic opinion of the Heritage Areas, and their Tourism, Educational, and Cultural Values to Selling the City, and the typical do's and don't of how that value can be affected. Aka if there is 400 of the same building type and lose one type, no big deal, if there is only one type of that building, what's the value to the portfolio of assets, how many are critical, and what are the numbers which can be removed until we loose a market advantage that it currently enables? Background Information: The background information is to provide Council with additional information prior to 3rd reading of the affirmation of the removal of the lots 111 to 119 from the Heritage area, and it's longterm economic cost that it potentially can have to the tourism industry, and the educational insights which will be lost from it's removal. This is to allow for a fuller understanding of the information, and to enable some of the precursor paperwork that would be required in order to expropriate the property of 111-119 King Street East for the protection of the public tourism and cultural industry. Which does not provide directly any income for the current property owners and may be said to be competition to the current owner in order of importance of wills, my personal will is that a foreign non income tax paying citizen's desires do not trump those of the local tax paying citizens, and that changing the law to make their life easier, is not something that should ever be consider lightly, as it strains the patients of a normal citizen to obey the laws because they are the laws and they should be obeyed. It reinforces that there is something wrong with the system. However, much of what can be consider wrong, can also be consider miscommunication and misunderstanding, which might just require transparency and (a gentle nudge towards where the information is located, as we can't know what you don't tell us, and we can't remember everything you say all the time, without flaw, and 3rd party assistance is useful) An example of this is exit signage leading to safety, put up before we have an event, so that passive communication can be achieved. `[9L! From: City of Saint John, New Brunswick To: Common Clerk Subject: Webform submission from: Request to present to council form Date: July 7, 2022 3:46:31 PM [ External Email Alert] "Please note that this message is from an external sender. If it appears to be sent from a Saint John employee, please forward the email to spamsample@saintjohn.ca or contact IT Service Desk at 649-6047. * * Submitted on Thu, 07/07/2022 - 15:36 Submitted by: Anonymous Submitted values are: About Person/Group Presenting First Name: Dana Last Name: Brown Name of Organization/Group (where applicable): Fundy Tennis Association (FTA) Address: 2 Royal Lane Rothesay, New Brunswick. E2E3R3 Canada Day Time Phone Number: 5066473262 Email fundytennisna gmail.com If you do NOT wish to have your personal information (address, phone number, email) become part of the public record, please check this box. No ilWei About your Request Topic of Presentation: The UNBSJ / FTA Press Release re Indoor Tennis at UNBSJ Purpose for Presentation (what is the ask of Council): The purpose of the presentation is two -fold: 1- to inform city council about the work the FTA has been doing regarding the Fundy Region acquiring an Indoor tennis Facility 2 - To ask for the city's engagement on the project and ultimately their financial support on the project. Background Information: The Fundy Tennis Association, a not for profit incorporated business, was created in 2016 with its sole mission to facilitate the creation of an indoor tennis facility to serve the entire Fundy region. New Brunswick is the poorest province in Canada with publicly accessible indoor tennis courts per capita. FTA and UNBSJ have partnered, signed a letter of intend, completed a geotechnical survey of the proposed site and completed an architectural plan of the new proposed facility. All this information is available on our website. www.FundyTennis.ca Notable links: 1- UNBSJ / FTA joint press release (available as NEWS on our website) https://i rp.cd n-website.com/a49aa96f/files/uploaded/FTA%20-%20N R%20- %20Ten n is%20Ce ntre%20_FI NAL_16.06.2022. pdf 2- FTA project Brochure (available as VIEW CAMPAIGN BROCHURE on our website) https://irp.cdn-website.com/a49aa96f/files/uploaded/FTA%20Brochure%20-%20Digital.pdf 6 Key Success Factors for this project: 1- A formidable partner in UNBSJ and engaged support from TennisNB and Tennis Canada. 2- Our location is outstanding! Not stuck in some industrial park like Abony in Fredericton or the ATC in a Halifax industrial park. 3- Our project will not impact any existing local indoor businesses since there are none. And equally important we do not expect to impact the seasonal clubs but rather add a support option to the existing tennis clubs in the Fundy region. (8 tennis clubs in the Fundy region) 4- New Brunswick is the poorest province in terms of indoor facilities per capita in Canada according to a Tennis Canada report. (This will put us on a par with Nova Scotia) 5- The Fundy Tennis Association project team consists of a dozen talented and passionate volunteers who are determined to bring year round tennis to our region because it is such a worthwhile and impactful activity for both junior players and adults! (Actually from 3 years old until 83). Click Here for the real benefit! 6- We will have pickleball courts in our facility. Our current plan will provide a 'Sound Curtained' flex court which will provide 4 on demand pickleball courts. `191-1 ` IYA 14 Aug 2022 Dear Saint John City Council, Re: application to appear before Council to request that consideration is given to making whatever changes are necessary — including using provisions in the Local Governance Act - to enable a more proactive repair and maintenance programme to keep buildings from reaching the point that demolition is the only outcome with focus on 80 Main St. I am writing to discuss a property — 80 Main St [PAN 1652135] - on the Dangerous and Vacant Buildings list. 80 Main is an 1899 custom built duplex designed by famed New Brunswick architect George Ernest Fairweather that could still house two families if restored. Annual property taxes are currently $1946.50. The City of Saint John indicated it reached out to the owner on my behalf in 2021 to see if they would sell. I have also reached out via text, phone, email, letter, and realtor. I have not received any response although an individual known to the owner said the owner did receive my correspondence and they are not interested in selling. I recognize the owner is not required to sell, and I may not be the only party interested in buying it. As far as I understand, there is no property tax or other debt owing on the property. I did have a local restoration expert take a look at the exterior, from the adjoining neighbours' properties, and he indicated we have months not years to save this building. The City of Saint John did enter the premises on 14 Jul 2022 under the Saint John Unsightly Premises and Dangerous Building and Structures By -Law. I understand that the Local Governance Act, section 137(1)(a) allows for the City to clean, repair, or demolish and in fact can "cause the premises of that owner or occupier to be cleaned up or repaired if the notice arises out of a condition contrary to subsection 131(1)." Of note, the City of Ottawa just introduced, coming into effect January 2023, a new by- law introducing a permitting system for vacant buildings and a more intensive monitoring system. The ultimate goal remains for the owner to undertake the work themself, but the City is poised to step in and stabilize a building if it has to. I want to draw your attention to the loss of revenue for the City that the degradation of this building poses. The City invested time contacting the owner, monitoring the building, and entering and reporting on the premises. Unfortunately, 80 Main St. still has the distinct possibility of being demolished. Demolishing buildings has a profound impact on the City. Take for example the demolition of 110 Victoria St. in 2021. The City has not yet recouped the $14,531 demolition costs. 120 Main St. was demolished in 2019 and $17,947 remains outstanding for demolition. Further compounding these losses are the loss of annual IiDU] property tax and the impact to the community — both lots remain vacant. There are many more demolished buildings that the City of Saint John absorbed financially — here the City has an opportunity to take a new path, use the tools available to it, and be fiscally conservative while supporting our community and addressing housing needs. In terms of community, according to Google maps — this is what Main Street between Albert and Cedar (just up the road) looked like in 2009: And this is what the exact same stretch looked like in 2019. ere Puk A` OW r N Notice more than 5 buildings are gone and not replaced. Cars are gone too. This means, in a decade, property taxes, families, and community have left and are not replaced. ` 916-1 If dangerous elements were identified during the inspection, it is my hope that the City acts on the recommendations arising from the inspection that was undertaken as per the Saint John Unsightly Premises and Dangerous Building and Structures By -Law and that consideration will be given to taking steps to remediate any significant problems as per the Local Governance Actin order to save this structure in the hopes that it will once again be able to house families. In conclusion: from the outside (and the City would know more as a result of the inspection), it appears to be a situation that requires not only improved maintenance but likely some significant remedial repair work. Sadly, this seems to be a situation in which the present owner(s) meet their minimum legal requirements (paying their taxes) but they do not appear to be taking steps to maintain the building or remediate any of the potential damage. If the status quo remains, it seems likely that the building will fall into a that will eventually require demolition. The current practice of the City is to not intervene while buildings are being neglected and falling into disrepair and instead, the City seems to wait until such time as buildings deteriorate into such a state of decay that they most often need to be demolished before the City invests time and money into those buildings. I request that Council take a close look at whatever recommendations arise from the inspection that was undertaken and consider acting sooner, rather than later, to get whatever repairs and maintenance put in place to preserve this building in a neighbourhood that has already been neglected too much. I believe that the City can issue a "Notice to Comply". I would like for the Council to consider what steps that the City can do to if an owner fails to make those necessary repairs. The current paradigm of waiting for a building to fall into such disrepair that it needs to be demolished is failing to maintain the housing stock. There is an old proverb that states "a stitch, in time, saves nine." It may make sense that the City follow Ottawa's lead and develop a programme that would allow the City to make proactive repairs to save buildings. I ask for the opportunity to appear before Council to request that consideration is given to making whatever changes are necessary to enact a more proactive repair and maintenance programme to keep buildings from reaching the point that demolition is the only outcome. Sincerely, Carrie Stevenson Saint John, NB `sK From: City of Saint John, New Brunswick To: Common Clerk Subject: Webform submission from: Request to present to council form Date: November 8, 2022 9:34:50 PM [ External Email Alert] "Please note that this message is from an external sender. If it appears to be sent from a Saint John employee, please forward the email to spamsample@saintjohn.ca or contact IT Service Desk at 649-6047. * * Submitted on Tue, 11/08/2022 - 21:32 Submitted by: Anonymous Submitted values are: About Person/Group Presenting First Name: Daniel Last Name: Foote Name of Organization/Group (where applicable): WE Believe Saint John Address: 108 Penobscuis Loop Rd PENOBSQUIS, New Brunswick. e4g 2b8 Canada Day Time Phone Number: 5064342254 Email daniel.footena nbed.nb.ca If you do NOT wish to have your personal information (address, phone number, email) become part of the public record, please check this box. No 111 About your Request Topic of Presentation: Financial support for We Believe -Saint John Purpose for Presentation (what is the ask of Council): I would like to meet with the Growth Committee to talk about financial support for Canada's largest youth event that was held for the first time in 2018 and planning to be held on May 18, 2023 at TD Station. This is a large event that in 2018 brought 8000 students and educators to TD station and over 80,000 watching live stream across North America and beyond. Background Information: We Believe Saint John is a youth -led, grassroots community initiative based in Saint John, New Brunswick that engages students in volunteerism, leadership, and social action through year-round activities. We Believe is an international celebration to motivate students to give back both locally and globally to causes that they are passionate about. We Believe took place for the first time on May 17, 2018 at TD Station with more than 8,000 live - audience members and over 80,000 students watching via livestream. The students who participated were in grades 5 to 12 and come from all across the Maritime provinces and the state of Maine. We Believe now takes place every second year. Students are empowered to be the change they desire to see in the world. As you may know, our event scheduled for May 2022 is postponed due to the everchanging and uncertain circumstances regarding COVID-19. That being said, our event has been rescheduled for May 18 2023 at TD Station in Saint John, New Brunswick. Under the guidance of officials, we will have appropriate safety procedures in place for We Believe 2023. This will likely be the first large gathering for most of our students and educators since the beginning of the COVID-19 pandemic. WE Believe 2023 wants to celebrate the tenacity and perseverance of our communities and encourage everyone to support and give back to those who have worked tirelessly to help us get through these uncertain times while keeping our spirits high. I want to thank you for your continued support as we are preparing this incredible event to empower and motivate our youth. `N