Tag: canada

Housing and Homelessness

February 4, 2024

My local city Councilor jolted me with the following statement in his late January 2024 newsletter: “The issue that I want to focus on for this newsletter is Housing & Homelessness. If ever there was a time in recent memory when this issue was front and centre in the minds of pretty much everyone, this is it. Whether you’re homeless yourself, whether you can’t afford to buy a home, refinance your home, or rent an apartment, or whether you’re worried about challenges that will be faced by the next generation, our current crisis is affecting a majority of Ottawa residents”. Sixty-four percent of Ottawa households own a home! So, how could these issues affect the majority of residents? This statement did not resonate with me on several levels!

On one level, it is not front and center in my mind or my friends’ or neighbors’ minds. It is in the newspapers, on TV channels, and on the radio, but people I know do not discuss and are not interested in those subjects. It is infrequent if they talk about it, and when they do, they mention parts of downtown where people experiencing homelessness congregate. But people I know avoid downtown for lack of parking or the cost, especially since we find all our needs met in the suburbs. In our neighborhood, I have yet to see homeless people. I go out daily, know my neighborhood well, and have not seen homeless people to date. I believe it is a non-issue in my community.

When I talk with my friends, subjects of our discussions relate to the amazingly mild climate this year, the current popularity of hybrid cars, how they function, and whether we should get one, a hip replacement facing a neighbor, a trip by a friend visiting the Abu Simbel Temple in Egypt, and when Trudeau may resign. When nine men met to form a book club, we discussed the need for a men’s book club, the schools we attended, and how we should run our new-fangled book club; for example, should we have lunch before discussing books? Homelessness was never mentioned.

On another level, if my local city Councilor were serious about doing something about homelessness, he should have had some statistics on how many homeless are in our community. All I hear today is “evidence-based” policymaking. So, how about some numbers to substantiate the homelessness issue in general terms and as it exists in our community?

The other subject the Councilor mentions is housing and its affordability. These are current political challenges to satisfying the massive demand for housing created by the influx of newcomers to Canada. The various levels of government blame each other for the housing shortage. One reads that local governments take too long to approve applications for development proposals and charge hefty development fees. Both are disincentives for speedy housing construction. Recent federal government policy let too many students, refugees, and immigrants into Canada, which combined to create a high demand for housing that the construction industry has been unable to cope with. Beyond general curiosity, my friends and I ignore this subject; we all have a house, mortgage-free.

Unless the Councilor can identify homelessness as an issue in our community, I would suggest he focus on our local problems, such as poor road conditions, through traffic, and traffic congestion on surrounding major roads. Many streets are in an abysmal state with potholes. People traversing our community to avoid traffic tie-ups at major intersections endanger our walkers on the streets. The construction of sidewalks and additional streetlights would enhance safety. I believe road maintenance, safety, and traffic control are the real issues in our community. The Councilor could survey residents on what they perceive to be the problems in setting his priorities.

Is Touching Wrong?

January 16, 2024

The service at our favorite Sunday breakfast place was disappointing today. Usually, the hostess welcomes us, leads us to a table of our choice, and in a minute a waitress appears with coffee, ready to take our order.  Not today. We sat down and waited and waited.

Getting impatient to get our morning caffeine fix, Kathy asked a waiter walking by if we could get some service. In another five minutes, a waitress appeared and asked us if would like some coffee and said she would be back in a minute to take our orders. After a rather long time, coffee materialized on our table, but no order was taken.

In the past, the waitress asked if we were ready to order when delivering the coffee, but not this time. Since we have been coming here for years, we know what we like and order when the waitress appears. This sportsbar with multi-TVs on the walls showing hockey and other games, is doing phenomenal breakfast business on Sundays, and ordering early gets our food on the table before finishing our first cup of coffee.

Other customers came in and sat across from us and our waitress came with coffee and asked if they were ready to order while we were still waiting. That was upsetting; we were there long before the new customers and several others in “our zone” had even come and had waited patiently for service, assuming that the waitress was busy with other customers.

To get the waitress’s attention in the loud buzz, instead of shouting, which would have been impossible anyway because of the din, Kathy tapped the waitress’s arm. That did get her attention, and she turned around and told Kathy in an abrasive tone: “Do not touch me”!

Her reaction and tone of voice surprised me, but we asked her if she would take our order before filling the others. I also told her that the service today was inferior to what we were used to at the restaurant.  Offended, she claimed that she had other tables to serve as if we did not know that and as if that were an excuse for the poor service, without so much as an apology for overlooking us, which would have been understandable.   But then she hustled off to place our order in the kitchen without going back to the other customers to take their orders.

She never came back after this incident to fill up our coffee cups but hustled around a few times filling the cups of the other customers all around us. She studiously avoided making eye contact with us.

Another waitress came to fill up our coffee and delivered our orders to our table.  The second time she came to refill our cups, I asked her if she was now our waitress waitress. She seemed surprised that we did not know but confirmed that she was, and offered to fetch the manager if we had some issues with the service today. I had the impression that there was more to the story from the waitress’s comment.

We said “Sure”, and the manager appeared in a minute and profusely apologized for the service today, explaining that our first waitress “felt uncomfortable” by Kathy touching her arm and asking for another waitress. A friendly discussion ensued, and we assured her that we had always enjoyed our breakfast experience at the restaurant up until today. On leaving, the manager touched both Kathy and me a few times on the arm in a friendly, reassuring manner.

Although possible, I cannot believe that a young woman, a waitress doing her job, touched by someone who could be her grandmother, would feel uncomfortable by the physical contact. In a busy restaurant, there are ample opportunities for physical contact, intentional or not. I rather think that she took offense at us for having the temerity to ask a waiter to get service, implying that she was not doing her job.

Although we enjoyed our breakfast after the second waitress took over, what bothered me was the expressions used in this incident: “Do not touch me” and “The touching made her uncomfortable”. I have heard many stories recently taken up by human rights commissions about physical, psychological, and sexual abuse, bullying, discrimination, and similar accusations. I could see this young waitress following up on an incident like this and creating a huge hew-haw for nothing. Where do these young people today acquire this attitude of righteousness, to give expression to their dislike of being told to do their job? She was slow in providing service and wrong in not serving clients in the order they came in. Surely one can make mistakes, we all do, and the simple solution is to apologize.

My Rant for Today: Immigration Overload?

January 13, 2024

Driving to have coffee with my friend at Timmies, I listened to the daily talk show with a panel on immigration. One said the Canadian public is sympathetic to (and has an enviable record), welcoming immigrants. Based on that attitude and arguing that the economy needs immigrants for its continued growth, the government doubled immigration targets to the 500,000 range. In addition, another million people arrive in Canada annually as foreign students and temporary workers, many of these becoming permanent residents over time.

The combination of immigration and temporary workers and foreign students have coalesced into a momentous problem in Canada, resulting in an acute shortage of housing and a precipitous decline in healthcare (lack of nurses, doctors, unacceptable emergency department waiting times). Without question, the huge number of recent immigrants, foreign students and temporary workers are a major contributing factor to these problems. 

Up until a few years ago, with half the number of arrivals into Canada compared to the recent year, assimilation into Canadian society had occurred seamlessly without impacting housing and healthcare. Services provided paralleled demand. (In fact, it has just been revealed that the Canadian cabinet minister responsible for immigration was warned two years ago that we were facing a housing crunch, even before immigration levels were increased this past year!  This warning was ignored for political purposes!)

Now, Canadians are becoming aware of what the massively increased number of newcomers has wrought, and anecdotal evidence points to a shrinking welcome mat.

One panelist on the talk show said that we need immigrants for our economy to grow. OK. How many do we need? I’m not too fond of loose talk. Provide some metrics. Arguments with no evidence to back them up are useless. The bottom line is: how many immigrants, foreign students and temporary workers do we need for the economy?

People with skills required in Canada would be a great addition to the economy, but how many immigrants are skilled in occupations we need?  We are told that we need them for house construction; however, we are also told that only about 5% of immigrants work in the housing industry….

I’d like to know how many of the half million immigrants we allow to enter Canada qualify for the needed skilled categories. Equally importantly, how many of these needed people would be allowed to practice their trade in Canada without certification (medical licensing, trade licensing)? And how long would it take to get their licenses to be productive in Canada?

Without data to back up the justifications for even more immigrants, we, the Canadian public, are left with only anecdotal information and our own experiences of worsening health care access, inability to find family doctors, long wait times for emergency care and rapidly increasing housing and rents which all will translate into reversing Canadians’ goodwill towards immigration.

A Futile Assault on the Automobile

January 8, 2024

The Ottawa City Council approved a 4-storey, 18-unit residential building on a quarter-acre lot, in the middle of a residential area, without requiring parking. Yes, that is what they did, and I scratched my head, who is going to rent these units with no parking where there are no commercial facilities nearby? Oh yes, there is a bus, I think every half hour, that goes by the proposed development. But unless you are a hermit, happy to read books, and stay home, living without a car in this development will be a challenge.

What further upset me was that our local Councilor voted for the project and said in his newsletter that ‘we need more of this”. Does he not know that cars are part of the Canadian DNA? That cars are an integral part of our cities?

A key element of the official plan for the city is “densification” to permit population growth. Otherwise, the plan claims that “urban sprawl” will result. I guess, the planners never heard of “smart growth” or “planned growth” to alleviate the undesirable effects of urban sprawl (reduction of agricultural land, expensive infrastructure build, loss of wildlife, and pollution by increased car traffic).

A key justification for the approval was its location on a future “major transportation corridor”. The trouble is that the “corridor” has not been funded and the future may be decades away. These projects take decades to materialize while the construction of the building may take a year or two so the units would be rented without parking. Improved public transportation may be years away.

I cannot help thinking that the Council is also “social engineering” by encouraging the use of public transit.

But people have cars: statistics show that every 1000 people own 750 cars in Canada. And a building with 19 units will have at least 19 people living there or more likely, double, or triple that number. That translates into 14 or more cars. Since there is no parking on the major road fronting the proposed development, people renting there with cars will have to park on the side streets. I am sure neighbors will not like that and with the snowfall during the harsh Ottawa winters, it will create headaches for the snowplows. 

Canadians like their cars for the freedom they provide to go anywhere, anytime. Yes, mobility via the automobile does encourage urban sprawl. And yes, there are costs for this freedom (the public costs of infrastructure and private costs for fuel, insurance, etc.). However, Canadians decided that the costs are worth the freedom the car provides to get around (there are thirty million cars in Canada with a population of forty million).

As a result, the ubiquitous use of cars has left a huge imprint on the Canadian landscape. On a recent drive from Ottawa to Collingwood, we traveled on four-lane highways, the 401, and then north on the 400, crowded during the holiday travel season. We slowed down driving through Toronto, on six-lane highways in each direction. We saw a tremendous amount of pavement.

The number of highway construction projects indicates the huge public investments to improve the highway system. As well, governments attracted a fifteen-billion-dollar investment by Stellantis in Windsor and a similar investment by Volkswagen in St. Thomas, both in the EV battery business. Let’s face it, cars are not going away much as the Ottawa City Council would like to pretend.

The long drive allowed me to think that besides highways, the car industry includes innumerable gas stations and repair shops. And one cannot forget the outsized number of jobs the industry provides. Even with Amazon today, the retail industry thrives on huge shopping centers surrounded by mammoth parking lots for cars.

To my way of thinking, to assume that not providing parking will reduce the use of cars is illogical. Ottawa and other Canadian cities rely on cars for transportation. But the Ottawa City Council decided to not require any parking in a 19-unit residential building, rationalizing their decision on the availability of public transit—some system. OCTranspo, the Ottawa public transportation agency decided to cut service and increase fares given the financial losses suffered last year.

Are We Panicking About Housing?

November 27, 2023

Current headline news bombards us with titles like: “housing shortage”, “unaffordable housing”, and “people die on the streets for lack of housing”. These housing-related issues have materialized since 2015; we did not have these topics at that time.

However, all of these headlines spawn questions. For example, what is affordable housing? One metric the Central Mortgage and Housing Corporation (CMHC, the Canadian mortgage insurance company) uses is that no more than forty percent of after-tax family income should be used for housing. But does this metric apply today?

The median family income in Ottawa is just over $100,000 today, and the average house price is slightly over $600,000. The minimum downpayment is five percent for the first half million dollars, ten percent for the next half million, which translates into $35,000 for the average house in Ottawa. So, with this downpayment one needs a mortgage of $565,000 that would cost today circa $4.000 per month. The annual cost, $48,000, would therefore be over forty percent of the annual income of the average Ottawa family income. Which means housing is, in fact, unaffordable, unless one has a larger downpayment to reduce the monthly mortgage payment.

One way to look at housing issues is to identify factors creating demand for, and supply of, housing. Either decreasing demand, increasing the supply of housing, or doing both, would alleviate the current housing problem.

The major factors on the demand side are immigration and the entry of foreign students. Canada let in 430,000 immigrants and 550,000 foreign students in 2022. All of the housing demand can be attributed to these two classes of newcomers to Canada: there are 424 housing units per 1000 people in Canada, so the close to one million newcomers alone needed 400,000 units in 2022 when Canada builds only 250,000 units per annum (Census and CMHC statistics).

While the last two classes of newcomers are beneficial to Canada, they create a huge stress on the housing markets. They are beneficial in that Canadian fertility rates are below replacement rate, hence the rationale for increased immigration. Similarly, Canada is short of skilled construction workers, and therefore welcomes immigrants with such skills. And foreign students pay two or three times the university fees Canadian students pay and therefore contribute to the universities’ bottom line. But we must balance our priorities and perhaps providing housing is more important today than other objectives.

Most of the supply issues can be attributed to the shortage of skilled workers and the lack of land for development. Land is especially a major issue in some of our large cities. Vancouver is surrounded by water and mountains. Toronto’s expansion is limited on one side by water.

Densification has become the key word today to accommodate the increasing population. Densification requires rezoning by municipalities, that takes years. And vacant land development, where available, also takes years for approval.

Are there any solutions? On the demand side, the federal government could reduce the flow of immigration and the intake of foreign students to alleviate demand and pressure on housing. And municipalities could accelerate the approval process to increase the supply of housing.

The two levels of government, working in tandem, could alleviate the housing problem. However, both initiatives would also create negative consequences; Canada needs skilled people and universities favor foreign students. And an acceleration of municipal approvals may weaken environmental reviews and public engagement – both important review elements in the development process and expected by Canadians.  

The bottom line is that increased coordination between the different levels of government would go a long way to streamline the process of welcoming immigrants and foreign students entering Canada by making sure that housing is available.

The danger I see is that a panicky response today encouraging a hugely accelerated house construction program could result in an oversupply of housing in the next few years during which the federal government may change its priorities and reduce targets for immigration and the entry of foreign students.