June 25, 1999

To:Planning and Transportation Committee

From:Commissioner of Urban Planning and Development Services

Commissioner of Community and Neighbourhood Services

Subject:Education and Promotional Program for Second Suites

Purpose:

Proposal for a promotional campaign and an education and support program for small landlords, complementing the proposed zoning by-law changes, registration system, and "add-a-suite" program.

Funding Sources:

Funds are available for the program in the 1999 approved operating budget.

Recommendations:

It is recommended that:

1. This proposed education and promotional program for encouraging the creation of new second suites, and providing information for homeowners of both new and existing second suites, be approved, and the Commissioner of Community and Neighbourhood Services be authorized to expend up to $20,000 to purchase services for this purpose.
2. Appropriate City Officials be authorized to undertake all necessary action to give effect hereto.

Council reference:

In May 1999, Council requested the Commissioner of Urban Planning and Development Services to, within 60 days, amend the City's planning documents to permit second suites as-of-right in all single and semi-detached houses, subject to appropriate building, fire and property standards being met and consistent with the approach taken in the 1994 provincial legislation. The proposed Official Plan and zoning by-law amendments will be before the July 12, 1999 meeting of the Planning and Transportation Committee.

In conjunction with the 60 day directive to amend the City's planning documents, Council requested the Commissioner of Urban Planning and Development Services and the Commissioner of Community and Neighbourhood Services to report on ways to encourage homeowners to create second suites, including the feasibility, cost and possible source of funds for (1) a promotional campaign for homeowners; (2) an education and support program for small landlords; and (3) an incentive program (e.g. capital grants, interest free loans).

This report outlines an initial proposal for a promotional campaign and an education and support program for small landlords, including homeowners with second suites. Development of incentive programs will be considered as part of a future report on registration of second suites, and in a report to Community Services Committee July 14, 1999, about a proposed Add a Suite program.

Comments and/or Discussion and/or Justification:

As outlined in the report to Council dated May 10, 1999 by the Commissioner of Urban Planning and Development Services "The Development of a Small Landlord Education Program, a Registration By-Law and an Enforcement Strategy for Second Suites", often the problems which arise between the landlord and tenant of a second suite occur because neither party fully understands or respects the rights and responsibilities of the other. This is made worse by the fact that the Tenant Protection Act, which regulates both rents and tenancy matters, is relatively new.

The purpose of this report, therefore, is to outline a proposal for an education program for small landlords, homeowners with second suites or who are planning to create a second suite, and a promotional program to encourage the development of second suites. The overall intent of the program is to ensure that landlords and potential landlords can access information about the legal and "business" issues involved in developing and operating a rental suite in their home.

Council has requested the Commissioner of Urban Planning and Development Services and the City Solicitor jointly report to the Planning and Transportation Committee on an implementation plan for the registration of second suites. It is intended that the education program proposed in this report would be linked to the registration program as appropriate.

Finally, the Commissioner of Community and Neighbourhood Services will be reporting to the Community Services Committee about potential uses for the Mayor's Homeless Initiatives Reserve Fund. One use which will be recommended is to provide financial assistance to homeowners with existing second suites to bring those units up to health and safety standards, and to homeowners wishing to create a second suite. If this program is approved, the education program will be linked to program delivery.

Education Program Proposal:

The goal of the education program would be to encourage homeowners to create and operate affordable rental units in their own homes, and for small landlords to be informed of rights, obligations and best practices around operating their rental housing. The initial focus of the education program will be on current homeowners with second suites, and homeowners who are planning to create a second suite.

Funding for the program can be made available from the approved 1999 operating budget. It is estimated that a maximum of $20,000 will be required in 1999.

The program would include developing two booklets/workbooks (creating a suite, operating a suite), a pamphlet for tenants living in second suites, promotional materials and a series of information sessions for current/prospective second suite homeowners. The workbooks would be distributed with the assistance of landlord organizations, organizations which operate rent registries, upon request, and would be used as the basis for information sessions. In addition, if the registration program and/or the financial assistance program are approved, the workbook would be given to participants of those programs and who would also be invited to attend information sessions, and to connect with organizations which can provide ongoing support.

Planning, Municipal Standards and Shelter Housing & Support staff will produce the first workbook about creating a second suites. This workbook will focus on the regulatory environment (e.g. the by-law, fire safety, Ontario Building Code, etc.). As with all written materials produced under this program, it will be made available in multiple languages. Staff will also be responsible for promotional materials such as media releases and fact sheets. The timing of this part of the program, and the products produced, is dependant upon the timelines of related activities (by-law, registration program, incentive program).

A partnership of the Landlord Self Help Centre and City of Toronto Housing Help Centres will, through a purchase of service, prepare the second workbook, an information pamphlet for tenants living in second suites, and conduct several pilot information/training sessions. Both organizations have long histories of providing services to landlords with second suites, have undertaken similar outreach activities, and are well aware of the issues and concerns of both homeowners and tenants.

The program would run this fall and winter. Depending upon results and demand, staff will report back to Community Services Committee next spring with recommendations for a longer term program. More detailed information about the proposed education and promotional program is provided as appendix A.

Conclusion:

This report outlines a proposal for an educational and promotional program to encourage homeowners to develop second suites. The program would begin this fall/winter, with extensions dependant upon results and demand. Design and delivery of the program would be carried out with assistance of the Landlord Self Help Centre and Housing Centres, both of which have extensive experience working with landlords who have second suites.

Attachments:

Appendix A: Appendix A:Description of Proposed Education and Promotion Program

Contact:

Joanne CampbellBarbara Leonhardt

General ManagerDirector, Policy and Research

Shelter Housing & Support DivisionCity Planning Division

392 - 7885392 - 8148

Shirley HoyVirginia M. West

CommissionerCommissioner

Community and Neighbourhood ServicesUrban Planning and Development Services

Appendix A:Description of Proposed Education and Promotion Program

Purpose of Education Program:

To encourage homeowners to create and operate rental units in their own homes.

To inform new and existing homeowners with second suites, and small landlords, about rights, obligations and best practices.

Objectives:

• to promote development of new second suites;
• to promote improvements of existing second suites to at least minimum standards;
• to provide information to landlords and prospective landlords about:
• creation/improvement of second suites
• the business of operating a second suite
• rights and obligations of landlords and tenants
• developing and maintaining good landlord and tenant relationships
• to provide information about City programs, rules and policies related to second suites including enforcement of standards, registration, and financial and/or other incentives
• to foster linkages between homeowners with second suites and organizations which provide support to landlords and to tenants seeking affordable housing
• to ensure the education program is developed in consultation with landlord and tenant organizations and meets the following criteria:
• can be delivered by community organizations and others locally;
• is available in a timely manner;
• will remain up-to-date, and subject to ongoing improvements

Stakeholders:

Homeowners/Homeowners with existing second suites

• direct education

Landlord and Tenant Organizations

• can deliver education program, provide input into development of program including ongoing improvements
• part of ongoing linkages with homeowners for such supports a suite registries, placement of tenants, mediation supports, business advice/information, etc.

Real Estate, Banking, Insurance, Building industry

• input and education about City initiatives
• encouragement to support initative

City Departments (City Planning, Shelter Housing & Support, Fire Services, Municipal Licensing and Standards, Buildings/Chief Building Official)

• content input
• may assist with delivery
• funding (recommended through Shelter Housing & Support using allocation from Mayor's Homelessness Initiatives Fund)

Provincial and Federal Governments

• awareness of City initiatives

Timing:

The program would begin in late fall, after the "as-of-right" by-law has been approved, and after the harmonized property standards by-law has been approved. These two by-laws form a critical part of the education program, and it makes sense to wait until they are implemented before rolling out the program.

The first wave of program delivery would initially be offered on a smaller scale in fall/winter 99 to permit evaluation and improvements should the program be extended. Estimate 3 to 5 sessions with class sizes about 20 - 25 each, to be offered in various City locations.

Program Design:

Program design and delivery will be developed with assistance of representatives from Housing Help Centres and Landlord Self-Help. Both organizations have a history of working with homeowners who have second suites. Landlord Self-Help provides legal assistance to low income landlords. Housing Help Centres focus on placing tenants in affordable units and providing support to both the landlord and tenant to maintain the tenancy over the long term.

It is recommended that the City provide funding, through a purchase of service agreement, to a partnership of Landlord Self Help and Housing Help Centres, to develop written materials and deliver information sessions. Initially classroom training would not be extensive and would be done on a pilot project basis. If the program is successful, some form of longer term education program and longer term funding may be required.

In addition, staff will seek input from other stakeholders including the real estate, banking, insurance and building industries with respect to content and deliver of the education program.

Principles:

• local delivery wherever possible for purposes of convenience which may spur increased participation
• local landlord and tenant organization involvement in delivery wherever possible to foster linkages and ongoing support
• multiple methods of delivery and multi-media (written materials including pamphlets and workbooks, web-site, class-room, etc.)
• multi-language and plain language as is possible
• understanding that operating a second suite is seldom the owner's full time job and can make demands

Products:

1.Creating a Second Suite (booklet / workbook)

• this project would be carried out by staff of Shelter Housing and Support, with assistance of various City departments, primarily because of the detailed and changing technical issues involved. Landlord Self Help and Housing Help would be consulted on content.
• rules, processes and best practices for creating a new second suite
• information can also apply to bringing existing suites up to standards
• information about things to consider before creating a second suite
• references to other sources of information and contacts (e.g. video about fire safety)
• staff currently drafting booklet - first edition to be finalized after approval of second suite bylaw and harmonization of property standards
• the "workbook" component is intended to also serve as a guide for classroom training
• production costs (printing, translation) estimated at $3,000; this work will require future updates as changes in legislation, etc. occur

2.Operating a Second Suite (booklet / workbook)

• this project would be run by the partnership
• builds on information providing in "Creating a Second Suite"
• rules, processes and best practices for operating a second suite including the homeowner/tenant relationship, maintenance and eviction prevention
• contacts/supports information including the role of Housing Help Centres with respect to marketing of units and mediation of landlord and tenant problems

the "workbook" component is intended to also serve as a guide for classroom training

• recommend funding joint partnership between Landlord Self-Help and Housing Help Centres to research and prepare the booklet in the amount of $5,000 with an additional $3,000 for production costs (printing, translation); this work will require future updates as changes in legislation, etc. occur.

3.Living in a Second Suite (pamphlet)

• this project would be run by the partnership
• information for tenants of second suites about rights and obligations, with special emphasis on the distinctive relationship between tenants and homeowners, and maintaining a good homeowner/tenant relationship
• recommend funding joint partnership between Landlord Self-Help and Housing Help Centres to research and prepare the pamphlet in the amount of $1,000 (inclusive of production costs).

4.Various promotional materials

• this project would be carried out by staff
• media releases, fact sheets, pamphlets, etc. to promote second suites, provide information updates, etc.
• recommend these be prepared by staff, with budget of $3,000 for printing, translation and distribution costs

Delivery:

Classroom sessions for Landlords:

• the pilot curriculum
• regular information sessions in various parts of the City on a schedule to be determined based on funding available, timing of bylaw approvals, etc.; estimate 3 to 5 sessions Fall '99 with 20-25 people each
• sessions organized and delivered by a partnership of Housing Help Centres and Landlord Self Help. Recommend funding in the amount of $5,000 through a purchase of service to Landlord Self Help and Housing Help Centre partnership to conduct 5 information sessions beginning Oct. 99 in several City locations (may be more sessions - subject to negotiation of purchase of service agreement) (for pilot, sessions will likely concentrate on municipalities which already have accessory apts. as of right)

Information sessions for other stakeholders about initiative:

• as requested
• delivery by City staff, Councillors, Landlord Self-Help, Housing Help, as appropriate
• the purchase of service agreement with the partnership would include undertaking local area outreach to other stakeholders to promote initiative as part of the overall City staff lead communication initiative

Written Materials:

• Promotional materials to be multi-lingual with stock provided to landlord and tenant organizations, home-builder associations, Toronto Real Estate Board, etc.
• Booklets/Workbooks to be provided on request
• If approval given for registration program and/or financial/incentive program, the booklets/workbooks could be included as part of information outreach for those programs
• Homeowners encouraged to provide copy of tenant pamphlet to prospective/current tenants

Evaluation:

Staff will monitor and evaluate this program based on criteria such as feedback from clients, and will make recommendations about extending the program, delivery method, etc. next spring.