Palmerston North city councillor Karen Naylor: The council has a long history of providing social housing

Palmerston North city councillor Karen Naylor says the city has a shortage of social housing. Photo / Kevin Bills Media

OPINION

Last week, the council decided to build medium-density social housing on the land at Summerhays St that was formerly the Terrace End Bowling Club.

With 570 people on the council’s social housing waiting list, including 273 being considered homeless (living in cars, on couches or facing eviction), the need for us to look at how we can help address the issue feels quite urgent.

We have agreed there will be a mix of subsidised and unsubsidised housing. The number of units is yet to be determined, but it has been agreed to include a shared green space.

Our council has a long history of providing social housing to residents who face barriers to finding accommodation. This is something we’re proud of and would like to increase. At present we have a mix of subsidised and unsubsidised housing.

The big question we now face is, how should this development be funded? Detailed designs and costings will be provided in a future report. Indication from council staff is this may cost $15 million to $30 million. We have $4.5m funding from the Government to contribute, and we’ll need to consider how much we debt fund, which is then paid off by ratepayers over the next 30 years.

There are limitations on how much we can borrow, and this was the subject of discussion last week during our long-term plan workshop, as we considered current and future debt limits and rates increase limits to be included in the draft plan, which will be consulted on next year.

Finding a sustainable way to progress social housing developments will be critical in determining how many homes are able to be built.

We’ve begun discussing whether we could adjust our social housing model or consider alternative models that would decrease the burden on ratepayers. This could include models that are able to attract additional government funding and partnerships with community housing providers. This will require further work and further decision-making.

It’s not a simple challenge to solve, but I’m looking forward to the debate about how we can deliver more for our community in a way that minimises the burden on ratepayers.

While Kāinga Ora is primarily responsible for the provision of social housing, there remain significant gaps within our community, and is why the council continues to be active in this space.

Finally, Saturday is your last chance to vote in the general election. Voting is a significant way to contribute to what happens in our communities. Make sure your voice is heard.

Karen Naylor is a Palmerston North city councillor.