Ministry of Municipal Affairs and Housing - Conditional Letter of Commitment

Ministry of Municipal Affairs and Housing

Housing Programs Branch
777 Bay Street, 14th Floor    
Toronto ON M7A 2J3    

December 20, 2023

Ms. Donna Stewart
Chief Administrative Officer
Manitoulin-Sudbury District Services Board
210 Mead Blvd.
Espanola, Ontario P6E 1R9

Dear Ms. Stewart:

Re: Espanola Supportive Housing, Espanola – 4 units
       Manitoulin-Sudbury District Services Board
       Conditional Letter of Commitment (CLC)
       Homelessness Prevention Program (HPP) 2023-24 – Supportive Housing
       New Facilities (Conventional) Component

Based on the recommendation of the Manitoulin-Sudbury District Services Board, the Espanola Supportive Housing project in Espanola has been conditionally approved for funding in the amount of $1,745,720 for 4 units under the Supportive Housing - New Facilities (conventional) component of the Homelessness Prevention Program (HPP).

The funding is conditional upon the Manitoulin-Sudbury District Services Board obtaining all required approvals for the project. Noting a Contribution Agreement was signed December 4, 2023, and an Alternate Security Letter was completed by the Ministry and Manitoulin-Sudbury, December 13, 2023.

In addition, the project is required to start construction within 120 days of signing the Contribution Agreement. Projects that do not meet the construction start timelines may have their funding reallocated.

Funding for the project is also conditional on the fulfillment of the ministry’s terms and conditions for the HPP and the achievement of specific construction milestones.
Conditions for HPP – Supportive Housing - New Facilities component funding include, but are not limited to:

  • The province and the Service Manager (SM) for the jurisdiction in which the project will be built signing a Transfer Payment Agreement;
  • Obtaining any required project-specific Municipal Housing Facilities Bylaws or Agreement or any other required Agreement by the Service Manager and/or other party and the proponent;
  • For Supportive Housing New Facilities Projects, providing proof of ownership or long-term lease to permit the development of the proposed project over the minimum 20-year period;
  • Obtaining the first permit that permits the demolition of an existing structure or the construction of the foundation of the project and/or permits a subsequent phase in the construction process;
  • Providing written confirmation of construction start within 120 days of the date of the signing of the Contribution Agreement, as per Appendix “B” of Schedule “D” of the HPP Transfer Payment Agreement. Any project that does not meet this requirement may have their funding re-allocated;
  • Obtaining a Certificate of Insurance (COI) and any required insurance as part of the Contribution Agreement;
  • Obtaining approval of mortgage financing in the form of a mortgage commitment satisfactory to the ministry;
  • Service Manager or Ministerial Consent (as applicable) under the Housing Services Act, 2011;
  • Confirmation in writing of existing support services, if required;
  • Confirmation of compliance with current Ontario Building Code requirements; and,
  • Fulfillment of all other conditions precedent to the implementation of the project as set out in the proponent’s submission to the procurement process and as outlined in the Program Guidelines.

Please ensure that the project progresses in meeting these conditions.
Service Managers are required to report to the province when a Contribution Agreement is signed and comply with the program’s guidelines as specified in the HPP Transfer Payment Agreement.
Once the Contribution Agreement has been signed, security has been registered on title, and the required conditions have been fulfilled, the ministry will advance HPP funding to the Service Manager as per the project’s funding schedule. The Service Manager, in turn, will advance the funding to the proponent based on the completion of construction milestones.

Please see the attached preliminary funding schedule for a description and breakdown of the funding for your project.
The project must abide by the communication protocol set out in the HPP Transfer Payment Agreement signed between the province and the Manitoulin-Sudbury District Services Board.

The province will co-ordinate the official announcement of this funding and will notify the Manitoulin-Sudbury District Services Board in advance.
As the Service Manager, you are required to keep the contents and details of this letter as well as the approval of the project which is the subject of this letter confidential. This may include but is not limited to the use of in-camera council meetings and protection of this information and the approvals resulting from this letter. This practice is consistent with our usual communications protocol for housing programs.
Thank you once again for your interest and participation in the HPP. Yours truly,
Dan Lawrence

Acting Director
Housing Programs Branch

c.Cindy Couillard, Housing Team Lead, Municipal Services Office, MSO-Northeast

Funding Schedule
Manitoulin-Sudbury District Services Board
Homelessness Prevention Program (HPP) 2023-24 – Supportive Housing (conventional)

Project Name                               # of Units       Proponent Type           Total HPP

Espanola Supportive Housing              4              Municipality                     $1,745,720

Payment No. Milestones %   Total HPP Funding
1 Signed CA, Registration of Security 50 $872,860
2 Structural framing completed for new construction or 50 % completion for acquisition and rehab projects 40   $698,288
3 Confirmation of Project Completion, Confirmation of Occupancy and Initial Occupant Report 10 $174,572
Total   100 $1,745,720