NT Community Housing Growth Strategy 2021-2030

27
NT Community Housing Growth Strategy 2021-2030 Discussion Paper A blueprint for transformation and growth March 2021

Transcript of NT Community Housing Growth Strategy 2021-2030

NT Community Housing Growth Strategy 2021-2030

Discussion Paper

A blueprint for transformation and growth

March 2021

Acronym Full form

ABE Aboriginal Business Enterprises

AHBA Affordable Housing Bond Aggregator

ANCA Australian Charities and Not-for-Profits Commission

CHIA Community Housing Industry Association

CHPs Community Housing Providers

CHLP Community Housing Leasing Program

CRA Commonwealth Rent Assistance

IHAS Industry Housing Assistance Scheme

LDM Local Decision Making

NCHS National Community Housing Standards

NDIS National Disability Insurance Scheme

NHFIC National Housing Finance and Investment Corporation

NRSCH National Regulatory System for Community Housing

NT Northern Territory

PBI Public Benevolent Institution

SDA Specialist Disability Accommodation

TFHC Territory Families, Housing and Communities

NT Community Housing Growth Strategy 2021-2030 Discussion Paper

Contents 1. Overview .......................................................................................................................................................................... 4

2. Why grow the community housing system in the NT? .......................................................................................... 5

2.1. A strong governance and regulatory framework .............................................................................................. 5

2.2. CHP sector across Australia .................................................................................................................................. 7

2.3. Positioned for growth ............................................................................................................................................ 8

2.3.1. Tax benefits and access to subsidies .......................................................................................................... 8

2.3.2. Access to targeted financing ........................................................................................................................ 9

2.3.3. Commercial and developer expertise ....................................................................................................... 10

2.3.4. Housing and tenancy management........................................................................................................... 10

2.3.5. Outcomes for tenants .................................................................................................................................. 11

2.3.6. Community renewal ..................................................................................................................................... 11

2.3.7. Emerging opportunities ............................................................................................................................... 13

3. NT social and affordable housing context ............................................................................................................. 15

3.1. What is the scale of community housing in the NT? .................................................................................... 16

3.2. Continuum of housing management ................................................................................................................ 17

4. What incentives will be used to grow the NT community housing sector? ................................................... 19

Discussion questions – community housing growth objectives ..................................................................... 19

4.1. Urban/Regional Growth Stream ....................................................................................................................... 20

Discussion questions – Urban growth stream ................................................................................................... 20

4.2. Remote Growth Stream ...................................................................................................................................... 20

Discussion questions – Remote growth stream ................................................................................................ 21

5. How will sector growth be enabled? ...................................................................................................................... 22

5.1. Principles for growth ........................................................................................................................................... 22

Discussion questions – principles for growth .................................................................................................... 22

5.2. Sector and community engagement ................................................................................................................. 22

5.3. Industry Development Plan ............................................................................................................................... 23

Discussion questions – Industry Development Plan ........................................................................................ 24

6. What are the timeframes for implementing the NT Community Housing Growth Strategy? ................... 25

Discussion questions – implementation .............................................................................................................. 25

Department of Territory Families, Housing and Communities Page 4 of 27

1. Overview

Territory Families, Housing and Communities (TFHC) is actively progressing work to grow the community housing sector in the NT. As part of this work, a NT Community Housing Growth and Reform Strategy (the draft strategy) is being developed that will aim to deliver on the following key objectives:

facilitate access to a range of national revenue streams, subsidies and policies to stimulate economic growth through construction and new supply of social and affordable housing;

reduce the cost of delivery across a suite of existing social and affordable housing programs through subsidies and lower cost, efficient tenancy and property management;

promote and boost diverse and innovative models of housing supply across social housing by more effectively utilising the private rental market;

optimise existing industry, social and affordable housing and improve asset performance through a client centred portfolio approach, which addresses underutilisation, overcrowding, and reduces homelessness;

sustain tenancies and improve services to social and affordable housing tenants;

break the cycle of multi-generational disadvantage through targeted access to education and training programs for social housing tenants;

strengthen communities through targeted “whole of site” approaches and community renewal; and

deliver tangible efficiencies to Government and improved tenancy management outcomes through early intervention and implementation of innovative practices through multi-agency responses for mutual clients.

Previously, the NT Government has undertaken a number of initiatives to grow and build the community housing sector in the NT. This includes supporting the establishment of Venture Housing in 2011 and the transfer of several 5 years leases to NGOs and registered Community Housing Providers (CHPs). In addition, there has been ongoing work with Aboriginal Business Enterprises (ABEs) and Aboriginal community controlled organisations to deliver programs under the $35 million tenancy management and property maintenance contracts through the Our Community. Our Future. Our Homes, remote housing investment package and the Town Camps Reform Framework.

In addition, in 2017-18, analysis and consultation was undertaken by KPMG with key sector stakeholders to inform modelling for the transfer of public housing dwellings to the community housing sector to facilitate sector growth in the NT.

In 2019, the former Department of Local Government, Housing and Community Development led the development of the NT Housing Strategy 2020-25 – A Home for all Territorians (NT Housing Strategy). Feedback from this process highlighted the ongoing need to grow the community sector in the NT. Stakeholders identified the need to grow the sector in urban and remote communities with a strong focus on the important role of Aboriginal community controlled organisations. Stakeholders also identified the scope for growth across both the social and affordable housing markets and in relation to specialised funding streams including Specialist Disability Accommodation (SDA) and aged care. This led to a number of key actions in the NT Housing Strategy that prioritise growing the community housing sector including:

Work with the non-government housing sector to develop a model for community housing in the NT

Improve the long term sustainability of the housing system through innovative funding options and improved access to Commonwealth Rent Assistance (CRA)

Support the growth of Aboriginal business enterprises to deliver housing construction and housing services in remote communities

Department of Territory Families, Housing and Communities Page 5 of 27

Design and deliver cost effective social and affordable housing programs aligned to current and future demand

In parallel with these activities, five organisations have become registered CHPs under the National Regulatory System for Community Housing (NRSCH) in the NT. Anindilyakwa Housing Aboriginal Corporation became a registered provider in February 2021. Four NT organisations are in the process of registering including a number of Aboriginal organisations from regional and remote areas. Aboriginal Land Councils are also considering structures and models to enable the growth of the Aboriginal community housing sector across regional and remote communities.

To further support the growth of the Aboriginal community housing sector, Aboriginal Housing NT (AHNT) was launched in August 2019 to be an independent peak body for Aboriginal housing. AHNT will work to create a new Aboriginal housing system which is diverse and flexible, allows for local control over services, generates local employment and suits the needs of Aboriginal peoplei.

As recognised by key stakeholders and the NT Government, the community housing system offers a wide range of social and economic benefits to the social and affordable housing system and broader human service system. And while the NT has made some progress to grow the sector, concerted effort is needed to fully capitalise on the opportunities that the community housing system can bring to the Territory.

The level of engagement from the NT Government and key stakeholders presents an opportune time to pursue the development of a comprehensive community housing growth and transformation strategy in the NT. This was confirmed at an Expert Panel convened on 4 December 2020 by TFHC that attracted a high level of participation and interest from key stakeholders across Government and the wider NGO sector.

The fiscal environment in the NT also calls for innovation and expertise to drive policies and programs which are not solely dependent on NT Government funding but will generate private sector investment and unlock subsidies and revenue from the Commonwealth Government.

The Final Report of the Territory Economic Reconstruction Commission, released in December 2020, states that ‘diversifying supply of affordable housing through the community housing industry can deliver economic growth outcomes, while also delivering additional social housing’ and includes a specific recommendation (PL2) to establish a sustainable community housing industry in the Territory.

2. Why grow the community housing system in the NT?

Not-for-profit CHPs are an increasingly important part of the social and affordable housing sector in Australia and play a critical role in assisting Australian households in the lowest two income quintiles. The 2019 Australian Infrastructure Audit recognised social housing as an important piece of social infrastructure in Australia that serves both a social and economic purpose and contributes to the effective functioning of societyii.

Social housing is a vital component of overall dwelling investment in an industry that accounts for around five per cent of Gross Domestic Productiii. The community housing sector is a strong and vibrant service system, positioned by States, Territories and the Australian Government to deliver improved system outcomes across social and affordable housing through strong governance and regulation, tax benefits, subsidised borrowing and high level tenancy and asset management capability.

2.1. A strong governance and regulatory framework

CHPs operate within a robust framework of policy and regulation to ensure a well governed, well managed and viable sector that meets the needs of their clients. CHPs rely on access to special concessions and exemptions as part of their charitable status to provide services to vulnerable and low income households.

Department of Territory Families, Housing and Communities Page 6 of 27

CHPs are required to meet specific conditions under Commonwealth law to maintain this status and ensure that their services align with the law as it relates to the provision of charitable housing.

The National Regulatory System for Community Housing (NRSCH) is a robust regulatory regime that aims to encourage the development, viability and quality of community housing and promote confidence in the good governance of registered CHPs for investors through accountability and transparency.

CHPs registered under the National Regulatory System for Community Housing (NRSCH) fall into one of three tier classifications. The distinction between the tiers is based on the risk associated with the scale and scope of a provider’s business, not its performance against the National Regulatory Code. The Tiers are generally classified as follows:

Tier 1 housing providers undertake asset procurement and development functions – with the ability to grow social and affordable housing supply through construction, purchase or acquisition – and have complex tenancy and property management functions that operate at scale. The majority of Tier 1 providers have portfolios of more than 1000 dwellings and have several developments in the development process.

Tier 2 housing providers face an intermediate level of performance requirements and regulatory assessment and are typically involved in moderately complex asset and tenancy management activities. These providers typically have portfolios of between 400 to 1000 dwellings.

Tier 3 housing providers typically involved in small-scale tenancy management activities. These providers generally have a portfolio of less than 100 dwellings and tend to operate in a single locality and serve a specific population groupiv.

Across Australia, there were 293 registered providers under the NRSCH at 30 June 2019. Figure 1 below shows the distribution of CHPs across each state and territory. As at 30 June 2019, the NT had three providers registered under the NRSCH. Two additional NT providers have subsequently registered, one Tier 2 provider and one Tier 3 provider, with a further four expressing an interest in registering or in various stages of the registration process.

In addition, 29 CHPs are registered under Victorian Government registration standardsv and 26 CHPs are registered under the Western Australian registration frameworkvi.

Figure 1 – NRSCH registered community housing providers by tier as at 30 June 2019vii - updated data for 19/20 not yet available.

Department of Territory Families, Housing and Communities Page 7 of 27

2.2. CHP sector across Australia

The community-housing sector across Australia has doubled in size over the past decade. There are presently around 552 registered and non-registered CHPs operating across Australia that differ substantially in size and scale, with the largest 38 CHPs collectively managing 82.5 per cent of the 100 000 dwelling portfolio. The community housing sector manages almost 25% of Australia’s total social and affordable housing dwellingsviii and an estimated $30 billion in housing assets. The community housing sector generate over $700 million a year in rental income. Since 2008, at least 25,000 new affordable homes have been built by CHPs.

Figure 2 – Size and scope of housing in Australia by year, by housing typeix

By comparison in the NT as at June 2019, there were 12 373 social housing units, 40.5% of which are public housing; 41.4% of which are state owned Indigenous housing; 3% are community housing, and 15% are Indigenous community housingx.

The emergence, growth and maturity of the CHP sector in Australia has been modelled on the experience of the not-for-profit CHP sector overseas, where it has been highly successful. One in 10 Londoners live in some form of community housing. In Amsterdam, it is 42%. The model is adaptable to rural districts, regional towns and large metropolitan areas.

CHPs also have the capacity to be more closely linked and engaged with the communities in which they work. The smaller size of CHPs compared to the state/territory wide public housing systems enable CHPs to engage closely with tenants and provide services targeted and responsive to the specific needs of local communities. In addition, the not for profit board structure of CHPs enables community representation at the highest level of the organisation, informing strategic organisational decisions.

Department of Territory Families, Housing and Communities Page 8 of 27

2.3. Positioned for growth

The housing sector has a large role in the Australian economy, accounting for a large share of household wealth. Residential construction in Australia contributes to approximately six per cent of employment and there are flow on economic benefits linked to consumer spending, manufacturing and business services that are generated through the construction of housingxi. Current and future growth of the social housing system in Australia is focused on the community housing sector. Over the past decade, Australian and state and territory governments have invested significantly in developing packages and programs that support the growth of this sector. Over this time a high performing, growth focused sector has emerged to respond to the growing demand for new supply across social and affordable housing.

The leading players in the community housing industry have taken a more sophisticated and commercial approach to their business, while focussing on their strong social purpose. The results they have achieved offer a template for wider industry development and as a provider of choicexii.

There are significant benefits to a CHP managed social and affordable housing system including tax exemptions, access to tax benefits, subsidies and access to targeted financing. As the CHP sector in Australia has matured it has developed high level commercial expertise, maximised tax incentives to support growth and achieved high performing housing and tenancy management results and positive outcomes for tenants.

2.3.1. Tax benefits and access to subsidies

The sector’s charitable status makes it exempt from GST, land tax and stamp duty. This helps to attract philanthropic donations – enabling CHPs to expand services to tenants and deliver new social and affordable housing output.

A public benevolent institution (PBI) is a not-for-profit organisation, as recognised by the Australian Charities and Not-for-profit Commission (ACNC), and ultimately the Australian Tax Office (ATO). The vast majority of community housing providers are not-for-profit entities with PBI status. As such, they can access a range of tax concessions including exemptions from GST and income tax to offer significant salary packing benefits. In addition, PBIs may be eligible to be endorsed as Deductible Gift Recipients (DGRs) by the ATO, which then enables them to receive tax deductible gifts and contributions, including financial donations. This creates an incentive for donors, who are able to claim the deduction from their taxable income when they lodge their tax return, and opens a sizeable revenue stream for such institutions.

Commonwealth Rent Assistance (CRA) is a non-taxable income supplement to eligible people who rent in the private rental market or community housing system. It is not available to people renting in the public housing system. CHPs incorporate this payment into the rent model, commonly charging tenants 25 per cent of income, plus 100 per cent of CRA. With the addition of CRA, CHPs can charge a higher rent than public housing providers thereby reducing the deep level subsidy of the social housing system income based rent model. In the NT, CRA expenditure per person in the population is $90 per annum, which is substantially below the national average of $179 per person per annumxiii. Noting the opportunity for increased revenue, the NT Housing Strategy 2020-25 identifies the improved capture of CRA in the NT as a key action.

Growth of the community housing sector would enable the NT like other jurisdictions, to more effectively attract CRA on a large scale and help to offset the funding gap between what it costs to supply, build, maintain and manage social housing and the amount low income tenants can afford to pay. In most jurisdictions, community housing rent setting policies require that CHPs are to factor in 100 per cent of the CRA that tenants are entitled to when calculating the rent for tenants or households. In this way, CRA is

In the NT, CRA expenditure per person in the population is $90 per annum which is substantially below the national average of $179 per person per annum.

Department of Territory Families, Housing and Communities Page 9 of 27

able to act as a subsidy to the sector by allowing CHPs to include 100 per cent of CRA in the rent calculations and thereby increasing rent revenue.

2.3.2. Access to targeted financing

CHPs are also able to access private finance to leverage existing assets or equity to grow their portfolios including through the National Housing Finance and Investment Corporation (NHFIC). NHFIC was established by the Commonwealth Government and commenced operation on 30 June 2018. NHFIC aims to improve housing outcomes for Australians by contributing to efforts to increase the supply of affordable housing. CHPs can access low cost finance via NHFIC’s Affordable Housing Bond Aggregator (AHBA). This finance is backed by a Commonwealth Government guarantee that was recently extended by $1 billion.

NHFIC supports the provision of social and affordable housing through:

The Affordable Housing Bond Aggregator (AHBA), providing loans to registered CHPs on terms more favourable than offered through commercial markets. Loans can be used to buy or build new social or affordable housing, maintain current housing, provide working capital or refinance existing debt; and

The National Housing Infrastructure Facility (NHIF), which provides finance for infrastructure projects that unlock new housing supply, particularly affordable housing.

NHFIC’s first AHBA loan to a CHP was announced in January 2019, and in March 2019, a $315 million social bond was issued. This bond provided funding for several CHPs at under 3% per annum fixed-rate interest-only over 10 years. This significantly cheaper finance will generate better cash-flow and greater financial certainty for these CHPs, resulting in up to 300 new affordable rental dwellings, enhanced support services and ongoing maintenance.

To be eligible for an AHBA loan, an organisation must be a registered and compliant CHP under the NRSCH or an equivalent State/Territory scheme and have demonstrated financial viability and assets that can act as security for the AHBA loan.

A leading case study, which demonstrates the value to social and affordable housing, is Blue CHP. Blue CHP is a leading Tier 1 community housing provider with specialist teams located in NSW and Queensland. Blue CHP works with partners to design and deliver transformational housing projects, offering services from project inception to handover while also delivering their own affordable housing.

Over its 10 years of operation, Blue CHP has delivered over 1,700 dwellings, retaining approximately 700 dwellings, worth more than $300 million.

In early 2019, they signed a deal with the NHFIC to borrow $70 million at an interest rate of less than 3% for 10 years. This is the first time the organisation have been able to secure long term finance. $55 million will refinance existing debt and $15 million has been provided for working capital, helping Blue CHP deliver more affordable housing. This refinancing deal will result in an estimated savings of $1 million per annum, which the organisation will reinvest back into their housing supply program.

In addition to funding under the NHFIC, there is opportunity for CHPs to become Specialist Disability Accommodation (SDA) providers under the National Disability Insurance Scheme (NDIS). SDA refers to accommodation for people who require specialist housing solutions to assist with the delivery of supports that cater for their functional impairment or high support needs. Funding under the NDIS for SDA properties is allocated to eligible participants, who then source the accommodation they require, in a market-based approach.

Not only is the NT housing and service system missing out on access to the capital funding and ongoing subsidies under the SDA, but importantly, people with disabilities in the NT are inadequately housed and not accessing the funding they are entitled to. A 2018 report by Summer Foundation and SGS Economics

Department of Territory Families, Housing and Communities Page 10 of 27

and Planning identified an estimated under supply of over 120 places across the Top End and areas of high potential SDA demand in Alice Springs, Katherine, Barkly, Darwin suburbs and Daly-Tiwi-West Arnhemxiv.

2.3.3. Commercial and developer expertise

Increasingly, CHPs have moved towards establishing skills based boards to govern their organisations. Key areas of expertise include legal, financial, construction and development, and risk management to support effective governance and organisational capability development. Consistent with the emergence of skills based boards, there is also a need for ongoing training and performance review of existing board membersxv.

Tier 1 providers in particular include complex structures including not for profit subsidiary companies, which quarantine different parts of the business. These organisations operate a commercial business and function at scale. While many in this group commenced managing social housing tenancies, they have significantly diversified their housing options and acquired experience raising private finance and partnering with the development industry. A 2016 report into the profile of Australia’s affordable housing industryxvi, noted that on average Tier 1 organisations held:

assets of $316 million

liabilities of $42 million

over 2,000 dwellings in management, with over half of these owned or on long-term leases

about 100 dwellings in a procurement pipeline

annual rent revenue of $20 million ($9,796 per annum per dwelling managed).

The 2019-20 NRSCH Financial Performance Snapshot Report noted that the overall financial performance of Tier 1 and 2 CHPs continued to increase. The snapshot noted a $222 million increase in housing debt in the community housing sector, from $695 million in 2018-19, to $917 million in 2019-20. This increase was largely due to an uptake of low-cost loans issued by the NHFIC. The value of housing assets held by CHPs is expected to substantially increase as NHFIC funded developments are completedxvii.

Larger CHPs are able to undertake property development or partner with developers who are willing to lower profit margins to support new supply of social housing. Lower developer margins, coupled with the tax advantages and lower borrowing costs available to CHPs through NHFIC can significantly reduce the overall cost of development. It is estimated that CHPs lower development costs can deliver up to 25-30 per cent more dwellings than would be achieved if completed properties were purchased from for-profit developersxviii.

2.3.4. Housing and tenancy management

CHPs bring commercial disciplines to the provision of social and affordable housing. They are innovative, entrepreneurial and, unlike private landlords, they are strongly regulated to protect tenants, to safeguard public funds and to ensure they remain solvent.

There is evidence that community housing providers have higher property utilisation rates, faster vacancy turnaround times, rent arrears and tenant debts are lower and their tenants are more satisfied with tenancy and asset management, and their services are more diverse. Unlike public housing providers, CHPs are regulated, so their contracts, leasing arrangements and performance outcomes are closely monitored to ensure compliance. This regulatory regime coupled with CHPs being “social purpose businesses” underpins a commercial approach with a social lens for many CHPs.

Department of Territory Families, Housing and Communities Page 11 of 27

2.3.5. Outcomes for tenants

The community housing sector has a strong and recognised track record of providing higher quality tenancy management and achieving overall higher tenant satisfaction. Through the NRSCH, CHPs are required to demonstrate and maintain satisfactory levels of tenant and resident satisfaction. The NRSCH Evidence Guidelines, set performance indicators and evidence requirements for the three tiers of registration, in relation to tenant satisfaction.

The NRSCH sets thresholds and collects data on tenant satisfaction with regard to matters relating to housing services, repairs, maintenance and property condition. In 2016, 96% of registered community housing providers in NSW met the regulatory threshold for tenant satisfaction when surveyed.xix

Tier 1 and Tier 2 providers are required to survey their tenants at least every two years and to meet the nationally agreed threshold of 75% of tenants satisfied with regard to housing services, repairs and maintenance. Data from the NRSCH shows that tenant satisfaction is consistently well above the nationally agreed threshold, with the median satisfaction rate at 91% in 2019-20xx.

Additional to this, the NRSCH system is seen to actively promote and empower applicants and tenants to make complaints within their provider’s complaints management system. As a result, the number of complaints to regulators is relatively low. Data also shows eviction rates to be low as a proportion of exitsxxi.

A registered community housing provider must meet a number of standard conditions of registration and regularly submit data to the registrar for assessment to ensure ongoing compliance. Regulation of community housing providers encourages a proactive approach to management by holding providers accountablexxii. During 2019-20, 129 compliance assessment were undertaken for registered CHPs, with just one provider assessed as non-compliant. CHPs are assisted to remedy non-compliance where necessaryxxiii

CHPs also run services for tenants such as work-readiness programs, social enterprise employment programs and education scholarships. These aim to break the cycle of disadvantage and provide pathways to enable tenants and their families to achieve their aspirations. These programs are funded through generated surpluses or through philanthropy or corporate sponsorships. This is something the private sector model is not geared up to do.

2.3.6. Community renewal

Urban renewal refers to the redevelopment of neglected sites from individual buildings to whole neighbourhoods. It is often associated with community renewal and is sometimes used interchangeably with the term urban regeneration. Community renewal is about working alongside tenants, neighbours and organisations to develop strong and resilient communities through collective action and positive change. Its focus is on building capacity, developing community assets and providing localised solutions to community and neighbourhood issues.xxiv

CHPs are increasingly the lead organisations in the delivery of community renewal projects as they provide a wide range of services, extending across housing and community building and are growing a portfolio of successful community renewal initiatives. In the NT there are opportunities to support community regeneration and renewal through the redevelopment of government-owned sites. As part of the broader economic reconstruction agenda for the NT, TFHC is considering sites that may be suitable for renewal under a partnership, model involving a community housing provider and private sector investment.

Department of Territory Families, Housing and Communities Page 12 of 27

Examples of mixed tenure urban renewal and redevelopment sites are discussed below.

Bonnyrigg

The Bonnyrigg redevelopment in Sydney’s western suburbs was the first public housing estate to implement the NSW Department of Housing’s Living Communities program. This program aimed to incorporate both ‘community renewal’ and ‘urban renewal’ strategies across three core elements:

Community building activities, including strengthening existing community networks and supporting the activities of the community and NGOs in the area

Improving community services and life opportunities, including improving programs related to community safety, employment and education for children, families and young people, health and community support, and estate amenity, including removal of rubbish and graffiti

Improving housing and open space areas, including improvement of estate layout, closure of walkways, public housing upgrades and replacement of some stock depending on condition and configuration, and increasing private mix.xxv

Developed on an 81 hectare site through Australia’s first social housing public private partnership, Bonnyrigg was undertaken with the aim of improving services to the area, building community capacity and renewing housing and public areas surrounding the local community.

Since commencement of the project, Bonnyrigg has seen decreased crime rates, an improved quality of life for many residents and an improved sense of pride in the neighbourhood and local environment. In 2013, 83% of tenants were satisfied with Bonnyrigg as a place to live.xxvi

The NSW Department of Housing recognised the importance of three interrelated aspects as contributing to community renewal – the built environment, the strength of the community itself and the services provided to the community.xxvii The community housing provider for the Bonnyrigg redevelopment, St. George Community Housing (SGCH) played a key role in the community renewal through provision of its tenancy management, rehousing, tenant engagement and maintenance services.

The Bonnyrigg estate has a mix of social and private housing, and aims to achieve a 70:30 private to public housing mix once the renewal is completed. This will retain most of the 833 social housing dwellings and include an additional 1700 private homes on the site. In 2015, the NSW Minister for Social Housing, Brad Hazzard, commented that “mixed communities are viable communities, and as a model, the mixed community delivers better outcomes for many people as it helps break the cycle of disadvantage”.xxviii The public private partnership ceased in 2015 at which time the NSW Government transferred the whole site to SGCH on a “property management contract” for complete management, including tenancy, property management, repairs and maintenance, rehousing and community engagement. SGCH continues to measure the social impacts and tenant satisfaction rates of tenants, which remain well above those of public housing.

Harts Landing

Harts Landing is an integrated, mixed-tenure residential development in Penrith, Western Sydney that demonstrates the benefits of community regeneration and renewal. Developed through a partnership between private developer PAYCE and community housing provider Evolve Housing to address the critical need for affordable housing in Western Sydney, Harts Landing blends the private, and community housing sectors to provide housing for more than 500 people. This innovative, sustainable housing model consists of 138 affordable and social housing dwellings and 130 privately owned dwellings in the 268 apartment complex. All apartments feature the same high level of quality build and fit out and residents at Harts landing share amenities within the precinct, including gardens, barbeque areas and other open spaces, to encourage engagement between neighbours and encourage community building. Located 100 metres from Penrith railway station, Harts Landing is positioned to take

Department of Territory Families, Housing and Communities Page 13 of 27

advantage of Penrith’s new government infrastructure projects that include the upgrading of public transport systems, green space improvements and new roads. The precinct is also within walking distance to a wide choice of Penrith’s current and planned retail. Harts Landing has won a number of awards, including the 2018 Urban Taskforce Development Excellence Award for Affordable Housing.

Social Housing Community Improvement Fund

In NSW, the Social Housing Community Improvement Fund (SHCIF) awards grants to organisations to improve facilities and amenities in social housing communities as part of its place-making approach to building communities. Under the SHCIF, delivery of specific projects or activities may be delivered through industry development or other one-off funding. This funding is focussed on improving community facilities, enhancing open spaces, improving safety, increasing accessibility and bringing tenants and their neighbours together.xxix

Better access to opportunities such as improved educational outcomes and pathways to training and jobs through building life skills, resilience and community engagement to break down stigmas and foster community leadership;

Timely access to effective and coordinated services such as integrated case management;

Building a stronger and safer community with a positive identity;

Supporting Aboriginal community healing and activities to foster community pride; and

Improved physical environment in social housing areas, including infrastructure and community facilities such as working with local councils and residents to improve the appearance of homes, streets, parks and community facilities.xxx

Waranyjarri Community Champions - Broome North

Waranyjarri is a development of over 10,000 new properties built in stages of approximately 2000 properties including social, affordable, Aboriginal and private housing in Western Australia. The first estate to be developed is Waranyjarri. One of the engagement activities initiated as part of the Broome North Community Building Plan was the establishment of a local resident group the Waranyjarri Community Champions who welcome new residents as housing is occupied, act as an information source between Landcorp (the Government-owned developer) and the community, and host the Broome North Community Group Facebook Page - which now has over 300 members and is a central source of information for Waranyjarri residents. Its aim is to build connections and a sense of community across all of the development.

2.3.7. Emerging opportunities

Housing supports economic growth and housing construction is a powerful enabler of the economy. NHFIC’s Building Jobs Report examined the important role the residential construction industry plays in generating jobs and growth across the Australian economy. The report found that $1 million of output in residential construction supports a multiplier of 2.9 which is around $2.9 million of industry output and consumption across the broader economyxxxi.

Between 2008-09 and 2017-18, the number of community housing dwellings more than doubled from 39,800 to 87,800 dwellings, while public housing stock decreased by 20,000 in the same periodxxxii. Although much of the growth in community housing stock can be attributed to the transfer of public housing to the community housing sector, the sector has used the revenue generated from the transfer of public housing dwellings to increase supply of both affordable and social housing.

Department of Territory Families, Housing and Communities Page 14 of 27

In August 2020, it was announced that CBUS one of Australia’s leading superannuation funds will invest up to $10 million in a pilot project in NSW to construct 96 new dwellings in partnership with the NSW and Australian Governments. CBUS will provide 25% of the investment and the NHFIC will provide 75% of the funding with the NSW Government contributing land in the form of a 49 year lease.

In early 2020, following a referral from the Minister for Families and Social Services, the Standing Committee on Social Policy and Legal Affairs, announced an inquiry into homelessness in Australia. The Inquiry received hundreds of submissions from across Australia that include a universal theme – the need for more appropriate and affordable housing to reduce the incidence of homelessness across Australia through the continued growth of the social and affordable housing system.

On 15 November 2020, the Victorian Government announced the Big Housing Build, a comprehensive investment package of $5.3 billion to deliver more than 12 000 new social and affordable homes across Victoria. More than half of this investment will be targeted to the construction of social housing through the community housing sector and for partnership opportunities between CHPs, industry, local governments and institutional investors.

It is timely for the NT to commence a strategy to grow and develop the community housing sector in the NT. Supporting the growth and development of the NT community housing sector directly aligns to a number of national and NT Government priorities and initiatives, including the National Agreement on Closing the Gap, the NT Housing Strategy, recommendations from the Territory Economic Reconstruction Commission, budget repair priorities and the NT Government’s policy agenda to support Local Decision Making and place-based solutions for Aboriginal Territorians and communities.

Department of Territory Families, Housing and Communities Page 15 of 27

3. NT social and affordable housing context

As noted in the NT Housing Strategy 2020-2025, the NT housing system is complex and unique and the NT Community Housing Growth model must be shaped to this context. The NT population comprises 246 000 people, making up just one per cent of the national population. In contrast, the NT is the third largest jurisdiction in terms of land mass. Almost 50 per cent of Territorians live outside the Darwin area, across four urban towns, 73 remote communities and more than 500 homelands and outstations.

As a result of this population and geographic profile, distance and scale create universal challenges for the cost of delivering programs and services and needs to be carefully considered in the establishment of a community housing sector in the NT. Across the Territory, there are 11 258 dwellings as of June 2020 (excluding GEH). Of these, 10 863 are social housing dwellings and 395 affordable rental dwellings. There are 5956 dwellings in urban and regional locations, 4917 in remote areas and 385 dwellings in town camp or community living areas.

In addition to these complexities, there is significant unmet demand for housing across the NT. Homelessness in the NT is 12 times the national average, with severe overcrowding accounting for 81 per cent of the NT’s homelessness ratexxxiii. Nationally, the rate of severe overcrowding is 21.8 per 10 000 people, yet the rate for the NT is 483.5 per 10 000xxxiv.

The need for additional dwellings is mostly driven by the pressure to relieve existing overcrowding among Aboriginal households, and to a lesser extent, meet the demand for population growth expected over the next decadexxxv. To meet these demand drivers, modelling indicates that around 8000 to 12 000 additional dwellings are required across the NT by 2025xxxvi.

Supply challenges also exist in urban and regional communities with wait times for public housing between two to eight years or more, depending on location and type of housing requiredxxxvii. An additional challenge is that dwelling bedroom configuration is no longer aligned to waitlist needs, for example there is significant demand and wait time for one to two-bedroom properties and limited availability within the current public housing asset portfolio. This is consistent with other Australian jurisdictions as the population ages and household size becomes smaller.

Alongside constrained supply, the NT public housing system also faces high cost pressures due to an ageing asset portfolio and high repairs and maintenance costs.

To more effectively respond to unmet housing need, greater effort is required to improve the long term sustainability of the housing system in the NT and undertake the system reform needed to enable access to a wider range of funding options to improve housing supply.

In response to the critical levels of overcrowding in remote communities, the NT Government has committed to investing $1.1 billion over 10 years in remote housing under the remote housing investment package, Our Community. Our Future. Our Homes. In addition, the Australian Government has agreed to provide matched funding of $110 million per annum over five years through the National Partnership for Remote Housing Northern Territory 2018-2023xxxviii.

Social housing in remote communities comprises all most all of the available housing stock. This housing market profile significantly differentiates remote communities from mainstream housing markets with a broader range of housing options that support diversified income streams and opportunities to leverage capital growth. The population of remote communities in the NT is predominantly Aboriginal with many individuals and families in remote communities, living on or close to their traditional land.

Under the Remote Property and Tenancy Management program, DTFHC contracts Aboriginal community controlled organisations, Aboriginal business enterprises, private business and regional councils, to provide

Department of Territory Families, Housing and Communities Page 16 of 27

tenancy management services and repairs and maintenance services. In some regions, DTFHC delivers these services directly.

In recognition of the continued connection to traditional land and decision making structures within remote communities, the NT Government has committed to the transfer of government service delivery to Aboriginal communities under the Local Decision Making (LDM) model. This model recognises that building, supporting and investing in strong Aboriginal governance is necessary to ensure local people drive solutions, and that Aboriginal organisations are supported in managing LDM.

Town Camps are a key form of housing for Aboriginal people living in urban/regional centres and remote regions. Town Camps are historic Aboriginal and Torres Strait Islander communities, in or adjacent to urban centres. There are 43 Town Camps across the NT, with over 3500 residents, living in 687 dwellings.

In 2019, the former Department of Local Government, Housing and Community Development released the Building our communities, together – Town Camps Reform Framework 2019-2024 (the Framework) which includes a strong focus on growing the Aboriginal community housing sector to support asset or management transfer of town camp dwellings. This will form a key consideration in the development of the NT Community Housing Growth Strategy.

Given the significant complexities and differences between remote, urban and regional communities in relation to housing market conditions, population profiles, cost of service delivery and proximity to services and the role of community controlled decision making – it is proposed that the NT Community Housing Growth Strategy will include two growth streams – Urban/regional and Remote.

3.1. What is the scale of community housing in the NT?

The NT currently has five registered community housing providers under the NRSCH. Collectively they manage over 900 dwellings as summarised in the following table, and have an important and ongoing role in the delivery of community housing in the NT.

Department of Territory Families, Housing and Communities Page 17 of 27

Community Housing Provider name Tier of registration

Number of community housing assets managed as at

31 October 2020

Anglicare NT Ltd Tier 3 109

Anindilyakwa Housing Aboriginal Corporation Tier 2 40

Community Housing Central Australia (CHCA) Tier 2 358

Venture Housing Company Tier 2 178

Yilli Rreung Housing Aboriginal Corporation Tier 2 270

Total community housing assets managed 955

Among the Tier 2 providers, Yilli Housing is one of the largest providers of community housing in the Territory, with a portfolio of 270 properties under management across the Darwin region. Yilli Housing is a non-government Aboriginal organisation that aims to deliver affordable accessible and sustainable quality housing to people in the Top End of the Northern Territory.

CHCA is based in Alice Springs and was formed in partnership with Tangentyere Council Aboriginal Corporation in 2009 to establish an independent Aboriginal controlled housing provider to act as the ‘tenancy and property management’ service provider on town camps. Since its inception, CHCA has grown to manage just over 350 dwellings and was registered under the NRSCH in 2017.

Venture Housing is a not-for-profit housing provider, focussing on providing rental housing for low to moderate income earners in the Territory. The Northern Territory Government established the Venture Housing Company by gifting assets and funding to the company in the order of $65 million.

Venture Housing manages a portfolio of 178 affordable housing dwellings, including a mix of units and townhouses, across Darwin and Palmerston. In addition, the company manages 10 dwellings for senior public housing tenants on behalf of the department and manages the National Rental Affordable Scheme (NRAS) compliance for 48 dwellings on behalf of investorsxxxix. Venture Housing is also working towards expanding to other locations in the NT, including Tennant Creek.

Anindilyakwa Housing Aboriginal Corporation became registered with NRSCH following the Groote Archipelago Local Decision Making Agreement and has 40 dwellings in its portfolio.

3.2. Continuum of housing management

In addition to leasing arrangements with registered CHPs, the NT invests in a range of policies and practices to support delivery of asset and housing management delivery. This includes:

Contracting arrangements for remote housing tenancy management and property maintenance to a range of private enterprises, ABEs, and Aboriginal controlled organisations,

Small scale leasing arrangements with non-government organisations, and

Transfer of asset ownership and full management to registered CHPs such as Venture Housing.

Under a future strategy for community housing, this range of activity may be represented as a continuum of housing management. At one end of the continuum are contracting arrangements for the delivery of specific asset and tenancy management services, where landlord obligations under the RTA remain the responsibility of Territory Families, Housing and Communities. At the point on the continuum where service outcomes and

Department of Territory Families, Housing and Communities Page 18 of 27

landlord responsibilities under the RTA are transferred to the housing provider, these organisations will need to be registered under the NRSCH. At the other end of the continuum are Tier 1 registered providers that have the governance, financial and operational maturity to not only take on tenancy and asset management responsibilities but also often undertake construction and asset development which increases organisational responsibility and risk on a large scale.

NT organisations may participate in housing and asset service delivery at any point along the continuum but as responsibility increases with the transfer of more complex financial and legal responsibilities so too does the requirement for demonstrated financial, governance and management capability as required through the National Regulatory Community Housing System (NRSCH) registration process.

Figure 3 provides a high level diagram outlining the continuum of housing management in the NT.

To ensure service delivery standards for social and affordable housing tenants are continuously improving and compliant with the Residential Tenancy Act 1999 and asset utilisation is consistently maximised, under the NT Community Housing Growth Strategy, organisations participating in either the Urban/regional and or Remote Growth Streams will be required to be registered under the NRSCH to undertake housing and asset management.

Department of Territory Families, Housing and Communities Page 19 of 27

4. What incentives will be used to grow the NT community housing sector?

Given the significant benefits of the community housing system, work undertaken to date within the NT, current trends across state and territory jurisdictions, case studies and best practice across the community housing sector in Australia and beyond, the following sections map out a model for the growth and transformation of the community housing sector in the NT. Central to this model is the opportunity afforded by the maturity of the sector across Australia. This enables the NT to capitalise on the learning and models that have been built over decades in other jurisdictions to implement a future focused, fast tracked growth model across the NT.

Fast tracking the growth of the sector will enable the NT to more quickly capitalise on growth opportunities including a significant increase in the uptake of CRA through large scale management transfers, greater capacity to access NHFIC loans to support new supply and more cost effective urban renewal activity.

Partnerships between local and interstate CHPs will also enable more cost effective and efficient industry development through shared partnerships between mature, interstate CHPs and local providers.

Reflecting these key drivers, it is proposed that the NT community housing growth strategy will aim to deliver on the following key objectives:

facilitate access to a range of national revenue streams, subsidies and policies to stimulate economic growth through construction and new supply of social and affordable housing;

reduce the cost of delivery across a suite of existing social and affordable housing programs through subsidies and lower cost, efficient tenancy and property management;

promote and boost diverse and innovative models of housing supply across social housing by more effectively utilising the private rental market;

optimise existing industry, social and affordable housing and improve asset performance through a client centred portfolio approach, which addresses underutilisation, overcrowding, and reduces homelessness;

sustain tenancies and improve services to social and affordable housing tenants;

break the cycle of multi-generational disadvantage through targeted access to education and training programs for social housing tenants;

strengthen communities through targeted “whole of site” approaches and community renewal; and

deliver tangible efficiencies to Government and improved client outcomes through early intervention and implementation of innovative practices through multi-agency responses for mutual clients.

In addition to delivering improved tenant and asset outcomes, these objectives will also support efforts to reduce cost and improve efficiencies within the DTFHC and significantly contribute to the delivery of the NT Government budget repair program.

Discussion questions – community housing growth objectives

1. Do you have any comments on the proposed NT community housing growth objectives?

2. Should any of the objectives be reframed, if so how? Are any missing?

Department of Territory Families, Housing and Communities Page 20 of 27

As detailed in the NT Housing Strategy 2020-25, the NT has a complex and diverse housing system across urban, regional and remote areas. In recognition of this diversity, the strategy will consider community housing growth across two streams – Urban/Regional and Remote.

4.1. Urban/Regional Growth Stream

The Urban/Regional Growth Stream may include transfer of a range of programs, dwellings and land packages through a staged release including:

Long term leases of public housing dwellings including whole of location or precincts to promote integrated service delivery, place making and neighbourhood renewal;

Long term leases of public housing dwellings across a dedicated geographic portfolio;

Leasing programs to maintain a flexible quota of social and affordable housing supply to support housing market stimulus and improve cost effectiveness;

NT Government owned land through long-term leasing, sale, or title transfer and public private partnerships to support construction of new social and affordable housing supply, including for targeted cohorts, Specialist Disability Accommodation and seniors.

The Urban Growth Stream aims to support the growth of local registered CHPs and fast track capability development through seeking to establish partnerships with larger interstate providers, as well as NGOs. This stream will be focused on major urban/regional locations including Greater Darwin, Katherine, Tennant Creek, Alice Springs and Nhulunbuy.

Discussion questions – Urban growth stream

3. It is proposed to fast track the growth of the community housing sector in the NT.

(a) How can the sector be supported to participate in this growth?

(b) What does the department need to do to ensure growth is achievable and sustainable?

4. What role can Tier 1 providers have in the growth of the NT sector and how can partnerships with local CHPs and Tier 1 organisations be supported?

4.2. Remote Growth Stream

The Remote Growth stream will be aligned to processes under Our Community. Our Future. Our Homes. and the Australian Government, National Partnership for Remote Housing Northern Territory 2018-2023. The Remote Growth stream will continue to promote local economic development and employment, with an emphasis on working in partnership with Aboriginal Business Enterprises (ABEs) and Aboriginal community controlled organisations.

In addition, the Remote Growth stream will be aligned to the Local Decision Making model and current and future agreements with Aboriginal communities and organisations to transfer housing management to Aboriginal community controlled organisations. The stages and structure of the Remote Growth stream will also be developed in close consultation with Aboriginal community organisations to ensure growth streams are aligned to appropriate regional and cultural decision making models.

In consultation with local Aboriginal community organisations, transfer options for management of Town Camps may be incorporated into the Urban/regional Growth Stream, or where appropriate the Remote Growth Stream and packaged to support the growth of registered Aboriginal CHPs.

Department of Territory Families, Housing and Communities Page 21 of 27

The Remote Growth stream may include transfer of social and industry housing leases on long-term leasing arrangements to registered Aboriginal CHPs on a whole of community/region transfer model.

To support the transfer of social housing leasing arrangements, further work is required to clarify the impact of the underlying leasing arrangements across 73 remote communities to inform future tenure arrangements. Consideration of how other challenges such as asset condition and higher infrastructure and service delivery costs will also be required.

To maximise the growth potential of CHPs particularly registered Aboriginal CHPs, it is anticipated that CHPs can choose to apply in both growth streams or focus delivery in either urban or remote locations.

Discussion questions – Remote growth stream

5. The transfer of housing and asset management across the Remote growth stream relies on the development and growth of registered Aboriginal CHPs.

a) How can Aboriginal organisations best be supported to build their capacity to become registered Aboriginal CHPs?

b) What does the department need to do to ensure growth is achievable and sustainable?

6. What role can Aboriginal CHPs from other jurisdictions have in the growth of the NT sector and how can partnerships with local providers and these organisations be supported?

Department of Territory Families, Housing and Communities Page 22 of 27

5. How will sector growth be enabled?

The approach to the growth of the community housing sector across the NT will be guided by core principles, sector and community engagement, a robust governance framework and structure, as well as a detailed implementation and risk plan.

5.1. Principles for growth

It is proposed that the strategy will be guided by the following principles:

Leveraging opportunity – cost effective utilisation of all available assets and programs to enable sustained, and (where possible) rapid growth

Leveraging partnerships – recognising the value of existing and future partnerships across the NGO, corporate, industry and government sectors required to achieve success

Person and family centred – prioritising the needs of individuals and families and placing them at the centre of housing responses

Building capability – attracting and developing high level expertise to build a strong, future focused NT sector

Culturally responsive –designed and paced for the NT context, recognising cultural diversity, needs and existing governance and decision making mechanisms (e.g. Local Decision Making) across regional and remote communities

Transparent – to support long term planning and investment the scope of incentives available to support the growth of the sector will be communicated to the sector

Future focused – utilise lessons learnt, evidence and innovation to prepare the department, sector, tenants and stakeholders for the future community housing system.

Discussion questions – principles for growth

7. Do you support the proposed principles for growth?

8. Should any of the principles be reframed, if so how? Are any missing?

5.2. Sector and community engagement

To ensure the growth strategy is effective and underpinned by the principles for growth, early and ongoing engagement with key sector stakeholders is critical. This will be undertaken initially with local sector stakeholders and then through the establishment of a Strategic Advisory Group and broader engagement with key sector stakeholders. This will ensure the structuring of Growth Streams and the Implementation and Governance Framework outlined below are tailored to attract CHPs, building strong partnerships and promoting capability development among current and emerging providers.

The Implementation and Governance Framework will include the establishment of:

a specialised team within DTFHC to drive the strategy and its implementation. This team has been established through existing resources.

Department of Territory Families, Housing and Communities Page 23 of 27

A Strategic Advisory Group comprising senior executives from the Department, interstate and NT experts, including CHIA, NT Shelter, AHNT, interstate Government representatives, key Aboriginal representative organisations to provide expertise and advice on establishing the sector in the NT.

An internal DTFHC Steering Committee to guide the development and implementation of the strategy across key program areas.

5.3. Industry Development Plan

Consistent with the approach of other jurisdictions an Industry Development Plan (IDP) for NT CHPs will also be developed to support capability development of CHPs. The IDP will be targeted to support non-registered CHPs to achieve registration and assist smaller CHPs to increase their capacity and capability. The IDP will be aligned to capability development areas prioritised under the National Regulatory Code, includingxl:

Governance, risk management and strategic planning

Providers should operate under the expert guidance of skilled boards

Boards should lead organisations in a strategic manner

Providers should operate with increased autonomy/ a reduced level of reliance on government

Providers should operate robust businesses with the capacity to take on specialised roles and responsibilities

Providers should enter new partnerships and relationships

Regulation

Eligible providers should have a clear understanding of the requirements of registration and ongoing regulation under the National Regulatory System

Organisations should understand the options that are available to them upon introduction of the new system

Workforce development

Providers, government and peak organisations should invest in, and be committed to the delivery and maintenance of a well informed and skilled community housing workforce

Increased property development experience and skills among providers

Providers should be skilled in assessing and negotiating terms of financial agreements

Construction and development

An increased number of providers with the capacity to undertake more complex roles as developers, either directly, in partnership or by procuring services

An increase to the opportunities for providers to undertake direct procurement and development of new social and affordable housing properties

Maximised ability of providers to make cost savings through in-house or brokered development and construction capacity, which capitalises on leveraging and tax concessions

Increased ability for providers to partner with other organisations

Finance

- Leaders should have a high level of understanding of the sector and be able to enter into financial agreements with providers and other partners with favourable terms through increased confidence in the sector

Department of Territory Families, Housing and Communities Page 24 of 27

The principles listed against each of the abovementioned development areas have been taken from the NSW Community Housing Industry Development Strategy and may be adapted to suit the NT contextxli. The Strategic Advisory Group will play a key role informing the development of the NT IDP.

The IDP will include a focus on opportunities to partner with a range of non-government stakeholders that have an interest in supporting sector growth and development to access tools, training and all available resources targeted to building the capacity and capability of CHPs. Through the IDP, the NT will seek to partner with academics, larger CHPs, the private sector, and peak organisations such as the Community Housing Industry Association to support sector growth and development, and, where available, seek to leverage national funding targeted to supporting CHP capacity building and capability development.

The IDP will also contribute to delivering on the NT Government’s longstanding commitment to supporting the growth and development of Aboriginal Business Enterprises in the NT, through partnering with organisations such as Indigenous Business Australia (IBA). As an enterprise that is invested in the financial success and economic independence of Indigenous Australians, IBA is well positioned to support Aboriginal housing organisations and registered Aboriginal CHPs to grow their capacity and capability.

The NT Registrar of Community Housing will also play a key role in overseeing regulatory requirements for the NT CHP sector and identifying and enabling capacity-building activity for community housing providers.

Discussion questions – Industry Development Plan

9. In addition to areas for capability development as outlined above – are there any other key capability gaps across the system (government, sector, housing industry, disability services) that also need to be considered to enable the growth of the sector in the NT?

Department of Territory Families, Housing and Communities Page 25 of 27

6. What are the timeframes for implementing the NT Community Housing Growth Strategy?

Implementation of the NT Community Housing Growth Strategy will be based on short, medium and long term timeframes commencing in 2021.

In the short term, a number of activities have commenced or will occur in parallel with the development of the community housing growth strategy. These include:

Land release in Darwin to support delivery of new SDA housing

Release of the John Stokes tender for housing management.

As program and/or asset transfer opportunities emerge, additional transfer packages may be released to the sector in parallel with the development and release of the NT Community Housing Growth Strategy.

Over the medium term, the NT Community Housing Growth Strategy will be developed and provided to the NT Government for consideration in 2021, including investment to support the growth of the sector. This will then enable the development and structuring of transfer packages across Urban/regional and Remote growth streams.

As part of the strategy, the NT Government will seek to establish a transfer target (as a percentage of the total portfolio) to be delivered by 2025-26. Wherever possible transfers will occur across Urban/regional and Remote Growth streams. Development of transfer packages will be informed by sector readiness, program, land or portfolio growth opportunities, and potential savings and sector viability generated through scale. In parallel to achieving the delivery of the transfer target, a review will be undertaken to identify the next phase of transfers under the remaining years of the NT Community Housing Growth Strategy from 2026-2030.

It is critical to ensure the strategy has a continuous pipeline of projects and initiatives to enable certainty in the sector and within Government. “Start and Stop” approaches previously adopted by some jurisdictions with no visibility or planning for future transfers proved problematic for effective community housing sector business planning.

Discussion questions – implementation

10. What key issues need to be considered in planning the implementation of the NT Community Housing Growth Strategy?

Endnotes i http://www.amsant.org.au/apont/about-aboriginal-housing-nt-ahnt/ ii https://www.infrastructureaustralia.gov.au/sites/default/files/2019-08/Australian%20Infrastructure%20Audit%202019%20-%206.%20Social%20Infrastructure.pdf iii Power Housing Australia, Australian Affordable Housing Report F2021 - http://www.powerhousingaustralia.com.au/wp-content/uploads/2020/08/PHA-eScan-2020-FINAL5-Comp.pdf

Department of Territory Families, Housing and Communities Page 26 of 27

iv Australian Housing and Urban Research Institute, Profiling Australia’s affordable housing industry - Inquiry into affordable housing industry capacity - https://www.ahuri.edu.au/__data/assets/pdf_file/0020/9083/AHURI_Final_Report_No268_Profiling-Australias-affordable-housing-industry.pdf v Housing Victoria, https://www.housing.vic.gov.au/victorian-housing-register-participating-agencies vi WA Housing Authority, http://www.housing.wa.gov.au/investorsandpartners/communityhousingorganisations/registeredproviders/Pages/registered_providers_under_community_housing_regulatory_framework.aspx vii Part 1 NRSCH Overview 2018-2019, Figure 1, National Regulatory System Community Housing https://www.nrsch.gov.au/__data/assets/pdf_file/0005/671189/Annual-Report-2018-2019-Part-1-23072019.pdf viii 2020 Report on Government Services, Productivity Commission https://www.pc.gov.au/research/ongoing/report-on-government-services/2020/housing-and-homelessness/housing ix 2020 Report on Government Services, Productivity Commission https://www.pc.gov.au/research/ongoing/report-on-government-services/2020/housing-and-homelessness/housing x 2020 Report on Government Services Figure 18.1, Productivity Commission https://www.pc.gov.au/research/ongoing/report-on-government-services/2020/housing-and-homelessness/housing xi Power Housing Australia, Australian Affordable Housing Report F2021 - http://www.powerhousingaustralia.com.au/wp-content/uploads/2020/08/PHA-eScan-2020-FINAL5-Comp.pdf xii CHIA National – A Plan for Community Housing 2018 xiii Report on Government Services, Part G, Table GA.6, and source: Department of Social Services (unpublished); ABS (unpublished) Australian Demographic Statistics, Cat. No. 3101.0 [data available on request]; tables 2A.2 and 2A.50. xiv SGS Economics & Planning and Summer Foundation, Specialist Disability Accommodation: Market Insights, 2018, https://www.summerfoundation.org.au/resources/sda-market-insights/ xv National Regulatory Scheme for Community Housing, National Industry Development Framework for community housing, 2014, https://www.nrsch.gov.au/__data/assets/file/0006/284604/Industry_Development_Framework.pdf xvi Australian Housing and Urban Research Institute, Profiling Australia’s affordable housing industry - Inquiry into affordable housing industry capacity - https://www.ahuri.edu.au/__data/assets/pdf_file/0020/9083/AHURI_Final_Report_No268_Profiling-Australias-affordable-housing-industry.pdf xvii https://www.nrsch.gov.au/__data/assets/pdf_file/0003/794352/NRSCH-Snapshot-Report-Performance-Financial-2019-2020-Updated-2-November-2020-circulated-out-of-session.pdf xviii Community Housing Industry Association, National Plan for Affordable Housing, 2018, communityhousing.com.au/wp-content/uploads/2018/11/6889_CHIA-2018-National-Plan-for-Affordable-Housing-A4-Booklet_FA-Digital-Portrait.pdf xix Community Housing Industry Association NSW, State of the Industry 2018: Community Housing in NSW, http://communityhousing.org.au/wp-content/uploads/2018/12/StateoftheIndustry-web.pdf, p. 34 xx https://www.nrsch.gov.au/__data/assets/pdf_file/0012/786594/NRSCH-Snapshot-Report-Performance-Non-Financial-2019-2020-Updated-13082020.pdf xxi https://www.nrsch.gov.au/__data/assets/pdf_file/0010/729469/Annual-Report-2018-2019-Part-3-10102019.pdf xxii NRSCH Annual Overview 2017-2018, National Regulatory System Community Housing, http://www.nrsch.gov.au/__data/assets/pdf_file/0019/643501/Annual-Report-2017-2018-Print-version-3.pdf, 2018 xxiii . During 2019-20, 129 compliance assessment were undertaken for registered CHPs, with just one provider assessed as non-compliant. CHPs are assisted to remedy non-compliance where necessary xxiv Places People Want to Live, Bridge Housing Limited, https://www.bridgehousing.org.au/documents/944-places-people-want-to-live-300119-lr/file, p.4, 2019 xxv The Bonnyrigg Living Communities Baseline Survey, City Futures Research Centre, University of NSW, https://cityfutures.be.unsw.edu.au/documents/30/Bonnyrigg.pdf, p. 15, July 2005 xxvi Newleaf Communities, The Bonnyrigg Living Communities Project, http://www.newleafcommunities.com.au/ xxvii NSW Department of Housing, Bonnyrigg ‘Living Communities’ Public Private Partnership Project Summary of Contracts, https://www.parliament.nsw.gov.au/tp/files/21191/BonnyriggPPPContractsSummary.pdf, 2007 xxviii NSW Department of Communities and Justice, New housing for Bonnyrigg, https://www.facs.nsw.gov.au/about/media/releases/archive/new-housing-for-bonnyrigg, 18.06.2015 xxix NSW Department of Communities and Justice, Social Housing Community Improvement Fund (SHCIF) https://www.facs.nsw.gov.au/about/reforms/future-directions/initiatives/community-improvement-fund, 24.09.2019 xxx NSW Department of Communities and Justice, Future Directions for Social Housing in NSW, p. 24, https://www.facs.nsw.gov.au/__data/assets/pdf_file/0007/348442/Future-Directions-for-Social-Housing-in-NSW-2016.pdf, 24.01.2016 xxxi Power Housing Australia, Australian Affordable Housing Report F2021 - http://www.powerhousingaustralia.com.au/wp-content/uploads/2020/08/PHA-eScan-2020-FINAL5-Comp.pdf xxxii Power Housing Australia, Australian Affordable Housing Report F2021 - http://www.powerhousingaustralia.com.au/wp-content/uploads/2020/08/PHA-eScan-2020-FINAL5-Comp.pdf xxxiii ABS 2016 Census. The ABS definition of homelessness extends beyond ‘rooflessness’ to include people living in severely overcrowded dwellings. xxxiv ABS 2016 Census. xxxv Department of Treasury and Finance, Population Projections, Northern Territory Government, Accessed 08/08/2019 from https://treasury.nt.gov.au/dtf/economic-group/population-projections

Department of Territory Families, Housing and Communities Page 27 of 27

xxxvi This method relies on the 2016 Census calculation average people per household, which is derived from the number of persons usually resident (NPRD) for enumerated dwellings. The modelling estimates that 7,000 extra dwellings would have been needed in 2016 to align the NT’s average people per household of 2.9 with the Australian average of 2.6. The dwelling number is then projected to 2025 based on a population growth of 0.5 per cent annually 2016-2021 and 1.0 per cent 2021-2025. xxxvii Department of Local Government, Housing and Community Development, 2019. Department of Local Government, Housing and Community Development 2018-2019 Annual Report https://dlghcd.nt.gov.au/__data/assets/pdf_file/0006/743892/dlghcd-annual-report-2018-19.pdf xxxviii The Commonwealth Government, National Partnership for Remote Housing Northern Territory, http://www.federalfinancialrelations.gov.au/content/npa/housing/national-partnership/NPA_remote_housing_NT.pdf Accessed 09.08.2019 xxxix https://www.venturehousing.org.au/looking-housing/housing-options-locations xl National Regulatory Scheme Community Housing, National Industry Development framework for community housing, January 2014, https://www.nrsch.gov.au/__data/assets/file/0006/284604/Industry_Development_Framework.pdf xli NSW Community Housing Industry Development Strategy 2013/14 – 2015/16, Department of Family and Community Services Housing NSW, 2014, https://facs-web.squiz.cloud/__data/assets/pdf_file/0009/333468/NSWCommunityHousingIndustryDevelopmentStrategy201314201516.pdf, pp. 16-17