Manitoba is losing subsidized rental housing units -- a delayed result of the federal government's withdrawal from funding social housing in the 1990s. As operating agreements between the federal government and housing providers expire, the subsidies expire with them. As a result, nonprofit housing organizations and housing cooperatives are having to make tough decisions. Many subsidized units have already been lost; many more are likely to be lost in the next two decades.
In the 1960s -1980s, thousands of units of social housing were built in Manitoba, the number of new builds dropped off in the 1990s. The federal government entered into long-term social housing operating agreements with provincial governments, nonprofit housing providers and cooperatives. These operating agreements have provided subsidies that reduced tenants' rents and laid out terms for how the housing would be managed, including details about reserve funds, subsidies and eligibility requirements for the subsidized units. In most cases these agreements were set for the term of the mortgage, usually 35-50 years.