In addition to the new Social and Affordable Housing Contribution (SAHC) social housing properties will also be exempt from paying rates, bringing them in line with hospitals and schools.
Meanwhile, the major reform of Victoria’s planning system has been designed to speed up building approvals.
Social housing reform provides long-term funding certainty
Jago Dodson is Professor of Urban Policy and Director of the Centre for Urban Research at RMIT (jago.dodson@rmit.edu.au or 0415 554 889)
“This is a very significant reform of the social housing sector that provides long-term funding certainty for public and social housing agencies through a simple and broad levy on urban development. It also reduces complexity by streamlining the process for developers’ contributions to social housing.
“The policy will effectively ensure that social housing stock doesn't fall below 1.75% of the new housing stock. That is an important floor on the level of social housing in Victoria, particularly given expected future population growth.
“In conjunction with other mechanisms such as the Big Build program it will contribute to an expansion of the social housing stock to the benefit of households in housing need.
“While this is an important initiative it could have been bolder, such as via a higher levy rate. However, establishing this policy as a normal part of the social housing and urban development policy process is a significant step towards widening the range of mechanisms that retain public value from private development.
“We need the Federal government to step up with greater contributions to social housing, by at least matching the funding generated through the new mechanisms put in place in Victoria, thus doubling the stock generated. We also need systematic reform of our national housing system to improve policy coordination and remove inefficient subsidies.”
Social housing reforms ‘nowhere near enough’
Libby Porter is a Professor of Urban Planning, Centre for Urban Research, RMIT University (libby.porter@rmit.edu.au or 0487 177 859)
“This is a very welcome initiative as it practices the principle that gains from development must be shared more equally to build a fairer and more accessible housing system.
“While important, it is nowhere near enough to address deep housing injustice experienced by many Victorians.
“I urge the Government to use the momentum created by this fund to shift investment focus back to the direct provision, investment and maintenance of public housing.”
Victoria’s planning reforms make a “State Significance” pathway for approvals
Andrew Butt is an Associate Professor in Sustainability and Urban Planning in the School of Global, Urban and Social Studies (GUSS) and the Centre for Urban Research (CUR) at RMIT. (andrew.butt@rmit.edu.au or 0408 369 097)
“The notion that high value development proposals should have a clear pathway to assessment offers confidence for investment, but this should not be seen as a substitute for appropriate strategic planning.
“Just because these proposals are high value does not mean they should contradict agreed strategic planning at the local and state level. Local communities and local governments still need a role in shaping the places where we live and work.
“While it is good to provide a framework for the exercise of long-standing ministerial powers in planning decisions, the Victorian Planning system has for decades relied on transparency and community engagement to support its integrity and community confidence – this aspect of the system must remain central to ministerial decision pathways.
“The proposals for a fast tracked system need to be well-resourced by qualified expertise. The opportunity for a more certain decision making pathway should lead to better decisions, not just faster decisions.”
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