The shelter system is full, and the Shelter, Support and Housing Administration's (SSHA) existing long-term capital budget is insufficient to meet the needs of the system and those who rely on it. Shelter demand continues to grow at unprecedented rates, and additional pressures on shelter capacity are expected due to the closure of temporary COVID-19 hotel sites as part of the Council approved COVID-19 Transition and Relocation Plan. There is currently no capital funding to replace this lost capacity. SSHA has made efforts to maximize capacity within the shelter system, however demand for shelter space continues to outpace capacity. In addition, SSHA has become increasingly reliant on temporary short-term leases and contracts to address demand and replace lost shelter capacity. This approach is costly and creates significant operational complications. To improve shelter system stability and recovery, maximize resources, and be more responsive to the needs of people experiencing homelessness, a strategic plan for shelter infrastructure in the City of Toronto is needed. The purpose of this report is to outline a long-term, proactive approach to capital planning through the new Homelessness Services Capital Infrastructure Strategy (HSCIS). Solutions mobilized during the pandemic, while necessary to support the health and safety of shelter clients and save lives, are becoming more costly and challenging options for the long-term sustainability of Toronto's shelter system. This report seeks approval for a plan to increase the total number of new long-term and permanent spaces in the base shelter system by 1,600 spaces between 2024 and 2033. The majority of these new spaces will be used to replace the temporary spaces expected to be lost through the planned COVID-19 hotel site closures. Funding will also go towards other projects needed to support recovery and stability in the shelter system, including moderately growing shelter capacity in areas where there is significant need (families, youth, and Indigenous peoples), and developing a flex space to help facilitate expected state of good repair (SOGR) projects that necessitate client relocation. SSHA is committed to working collaboratively with shelter operators and other community partners to implement the HSCIS. This report also provides an update on SSHA's 2024 Shelter Infrastructure Plan as required by the Emergency Shelter Development Process (ESDP), approved by City Council in 2017. The infrastructure plan provides updates on progress on the Housing and Shelter Infrastructure Development project (HSID, formerly 1,000 beds), the George Street Revitalization (GSR) project, and recommends new projects as part of the HSCIS that will begin in 2024. In addition, this report provides an update on the Council-approved phase two of the COVID-19 Shelter Transition and Relocation Plan, and outlines next steps for phase three. Moving forward, this work will be integrated with the HSCIS approach to transition from the emergency-focused COVID-19 response to a long-term, proactive approach to capital planning for Toronto’s shelter system. The recommendations in this report will help address infrastructure challenges and create stability within the shelter system until adequate housing solutions are in place. The new spaces will also help address immediate pressures on the shelter system. However, in addition to these new shelter spaces, and in alignment with previously approved approaches, it's essential that the City also continue to invest in supportive housing to help people experiencing homelessness permanently leave the shelter system for housing. It is also critical that the City continue to work with the federal and provincial governments to establish sustainable and collaborative solutions for refugee claimants arriving in Toronto requiring access to shelter spaces. At a time when shelter demand is growing at unprecedented rates, investments in both housing and shelter projects are critical to helping people who are in immediate need of shelter, and helping more people transition out of the shelter system permanently into housing than are entering homelessness.
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