Housing

Recommendation 71

eyuser — Thu, 23 Jun 2022 02:07:14 +0000

Recommendation 71 eyuser Thu, 06/23/2022 - 10:07

Recommendation

71. Improve planning and inform investment for social and affordable housing by:

preparing and publishing 10+ year regional housing plans for each WA region, including the Perth metropolitan area, to provide a consistent evidence base and drive better housing outcomes across the state, to be refreshed at least every 5 years
conducting an initial regional housing plan pilot to resolve housing data coordination and management challenges, define requirements and establish methods of stakeholder input.

WA Government response

The WA Government responded to Foundation for a stronger tomorrow in February 2023. Recommendation 71 is fully supported. For further information please refer to the response document.

Vision – strategic opportunity

A global location of choice

Value-adding for strategic commodities

Strategy objectives

Maximise regional strengths to unlock strategic opportunities for Western Australia

Enhance cross-government coordination and planning

Suggested lead agencies

Department of Communities, Department of Planning, Lands and Heritage, Western Australian Planning Commission

Timeframe

a. 2026

b. 2023

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Recommendation 72

eyuser — Thu, 23 Jun 2022 02:04:56 +0000

Recommendation 72 eyuser Thu, 06/23/2022 - 10:04

Recommendation

72. Prioritise further infrastructure investment in social and affordable housing by:

assessing the level of sustained investment required to accelerate the All paths lead to a home – WA’s 10 year strategy on homelessness 2020–2030 and accompanying action plan, and support people experiencing or at risk of homelessness
undertaking a comprehensive audit of social housing assets, including assessments of housing stock condition and opportunities to extend the life of existing assets, as well as the opportunity to better use land assets
reviewing the social housing growth targets in the WA Housing Strategy 2020–2030 and setting revised evidence-based net growth targets aligned to forecast need
monitoring and reviewing the effectiveness of affordable housing mechanisms, including rental and home ownership programs and policy settings
developing a sustained social and affordable housing investment program informed by regional housing plans (see Recommendation 71a) and in line with revised social housing targets (see Recommendation 72c) and existing affordable housing targets.

WA Government response

The WA Government responded to Foundation for a stronger tomorrow in February 2023. Recommendation 72 is fully supported. For further information please refer to the response document.

Vision – strategic opportunity

A global location of choice

Strategy objectives

Support population growth and change

Maximise wellbeing, liveability and cultural strategic opportunities for our community

Suggested lead agencies

a - d. Department of Communities

e. Department of Communities, DevelopmentWA

Timeframe

a. 2023

b. 2024

c. 2023

d. 2025

e. 2032

Ongoing

e. Yes

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Recommendation 73

eyuser — Thu, 23 Jun 2022 02:02:26 +0000

Recommendation 73 eyuser Thu, 06/23/2022 - 10:02

Recommendation

73. Enable and diversify social and affordable housing providers and housing choice by:

investigating government financing mechanisms, including risk profiles, to support future investment in the sector
reforming policy to facilitate growth of registered community housing organisations and reviewing existing Community Housing Agreements to address provisions that limit, or disincentivise, the attraction of alternative financing and funding of new projects
leveraging government land assets, including greater opportunities for leasehold tenure, and providing financial and yield incentives to broaden private sector and institutional investment
facilitating voluntary participation by tenants and owners in longer-term leases through common and commercially available contracts.

WA Government response

The WA Government responded to Foundation for a stronger tomorrow in February 2023. Recommendation 73 (a-c) is fully supported; (d) is not supported. For further information please refer to the response document.

Vision – strategic opportunity

A global location of choice

Strategy objectives

Support population growth and change

Enhance cross-government coordination and planning

Get the most from our infrastructure and improve maintenance

Suggested lead agencies

a. Department of Communities, Department of Treasury

b. Department of Communities

c. Department of Communities, Development WA

d. Department of Mines, Industry Regulation and Safety

Timeframe

a. 2024

b. 2023

c. 2032

d. 2023

Ongoing

c. Yes

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Recommendation 74

eyuser — Thu, 23 Jun 2022 02:00:18 +0000

Recommendation 74 eyuser Thu, 06/23/2022 - 10:00

Recommendation

74. Respond to the need for affordable and available housing in regional areas by:

establishing the principles, criteria and models for government housing intervention in regional locations that are demonstrating market failure, informed by regional housing plans
independently reviewing all regional officer housing assets and programs across the public sector, including the Government Regional Officer Housing program, to assess and identify:
- implementation status and application of previous reviews
- effectiveness, efficiency and value for money, particularly in regard to duplicate programs being operated by multiple state agencies
- opportunities to consolidate housing programs across state agencies
- ability to respond to state agency and tenant needs
- appropriateness of models to specific regional property markets, including the risks of negatively impacting local market conditions
- opportunities for improvements in effectiveness, efficiency, value for money and responsiveness to the needs of agencies, tenants and regional locations
investigating innovative models for implementation that would provide high-quality regional officer and other key worker housing, while managing the cost to government.

WA Government response

The WA Government responded to Foundation for a stronger tomorrow in February 2023. Recommendation 74 is fully supported. For further information please refer to the response document.

Vision – strategic opportunity

A global location of choice

Strategy objectives

Maximise regional strengths to unlock strategic opportunities for Western Australia

Enhance infrastructure delivery and develop skills for the future

Get the most from our infrastructure and improve maintenance

Suggested lead agencies

Department of Communities

Timeframe

a - b. 2024

c. 2025

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Recommendation 75

eyuser — Thu, 23 Jun 2022 01:58:34 +0000

Recommendation 75 eyuser Thu, 06/23/2022 - 09:58

Recommendation

75. Improve Aboriginal housing outcomes and enable options for housing infrastructure by:

ensuring Aboriginal social and affordable housing activities and targets correspond with Target 9 of the National Agreement on Closing the Gap to increase the proportion of Aboriginal and Torres Strait Islander people living in appropriately sized (not overcrowded) housing to 88% by 2031
delivering sustained investments in Aboriginal housing and capacity building of Aboriginal Community Controlled Organisations to embed housing services into strategic organisational plans, attract and retain skilled staff, and deliver meaningful associated training opportunities, in accordance with Recommendation 6 in the Aboriginal cultural heritage, wellbeing and enterprise chapter
developing a clear, targeted social impact strategy to demonstrate housing need, to seek required funding from the Australian Government, as well as attract diverse financial participation from the private sector where possible.

WA Government response

The WA Government responded to Foundation for a stronger tomorrow in February 2023. Recommendation 75 is fully supported. For further information please refer to the response document.

Vision – strategic opportunity

A global location of choice

Serving the emerging consumer class

Strategy objectives

Maximise regional strengths to unlock strategic opportunities for Western Australia

Suggested lead agencies

Department of Communities

Timeframe

a. 2026

b. 2032

c. 2024

Ongoing

a - b. Yes

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Housing

eyuser — Wed, 22 Jun 2022 01:39:31 +0000

Housing eyuser Wed, 06/22/2022 - 09:39

Housing has long been recognised as an issue that no state government can address on its own. Participation by federal and local governments, as well as community and not-for-profit providers and private industry, is required for a balanced system that reduces cost and maximises choice.

In 2020, 1 in 5 (200,000) households were estimated to need some form of housing assistance from the WA Government. By 2030, 45,000 additional households are likely to need assistance.

Strategic justification

Housing affordability is an entrenched structural issue across Australia, influenced by economic and social conditions that sit outside the housing market, including population growth, household economics and access to finance. Australia is currently facing a period of peak demand for housing – amplified by the COVID-19 pandemic – affecting those most susceptible to price increases, who may be forced out of rental and ownership markets. WA’s social housing asset base is also ageing, inefficient and often misaligned with community need. A substantial proportion of state-owned housing stock is approaching end-of life. Without substantial ongoing investment and maintenance, operating costs will continue to increase, and assets will be lost at a rate greater than can be replaced.

Vision - strategic opportunities

A global location of choice

Sector challenges and opportunities

Housing is often described in terms of a continuum, reflecting varying levels and types of housing need and support. Social housing refers to subsidised rental dwellings for very-low to low-income households owned or managed by the state government (public housing), or not-for-profit organisations and local governments (community housing). Together with other supported and crisis accommodation services, social housing provides a critical safety net for the most vulnerable in the community.

The WA Housing Strategy 2020–2030 target is for 6% net growth of social housing by 2030. Given the trends, this is unlikely to adequately respond to latent and growing demand and housing stress. As a proportion of total housing stock, social housing (comprising both public and community housing) in WA has declined from 4.1% to 3.8% in the 5 years to 2020.

Monitoring and continued investment in affordable housing mechanisms will be critical, particularly noting the immediate focus on social housing, the strong property market conditions impacting housing availability and increasing costs, and the upcoming ceasing of significant National Rental Affordability Scheme allocations. Additional affordable housing mechanisms requiring state government support may need to be considered where progress towards established targets has to be escalated.

The availability of fit for purpose key worker and government officer housing is critical to respond to service need, and positively contributes to regional economic activity and liveability. Housing is an important, and often limiting, factor in attracting and retaining employees to regional areas who, in turn, support local economic activity and deliver government and community services such as health, policing and education. Some regional housing markets can be highly volatile and challenging to forecast. In locations subject to highly cyclical economies, particularly in many of WA’s mining and resources centres, local housing markets can swing between acute shortages with extraordinarily high costs and gluts leading to investor exodus.

The critical importance of improved standards of living and wellbeing for Aboriginal people is well recognised. Despite a range of programs and funding streams that seek to respond to housing needs for Aboriginal people across urban, regional and remote settings, progress to improve Aboriginal housing outcomes has been slow. Place-based analysis of housing needs, conditions, market activity and active housing programs and providers is critical to understanding and appropriately responding to housing priorities. Fit for purpose housing requires an understanding of the diverse housing needs of a range of community cohorts.

Substantial recent investment to boost homelessness services and the supply of social housing stock to 2025–26 have been welcomed by sector stakeholders. Beyond the next 4 years, the sector will require a sustained, transparent investment program to facilitate longer-term strategic asset and program planning.

Affordable housing programs bridge the gap between social housing and affordability of the housing market. Along with investment in social housing, adequate support for community members who would otherwise struggle to access appropriate housing in the market is critical. Monitoring and amending policy settings for a well-functioning housing market that is accessible to those on low to moderate incomes is vital to reduce pressure on social and affordable housing infrastructure.

While the sector will always require direct government participation, social and affordable housing is an asset class capable of attracting other sources of finance and service provision. Community Housing Organisations, for example, make a considerable contribution to social housing provision and can attract diverse funding, as well as offer a more tailored service and deliver housing choice to tenants.

Case study

The North West Aboriginal Housing Fund was established in 2016 to invest $200 million into initiatives intended to increase access to affordable, suitable and stable housing options for Aboriginal people living in the Pilbara and Kimberley regions. Ultimately, the fund aims to facilitate social and economic independence and wellbeing for north-west Aboriginal people and communities through investment in diversified housing options for working Aboriginal families. For further information, refer to: https://www.wa.gov.au/organisation/department-of-communities/north-west-aboriginal-housing-fund.