OLDS — Some solution has to be found to prevent the bill the Town of Olds has to pay for Mountain View Seniors' Housing (MVSH) from rising further because taxpayers can’t afford it, town councillor Darren Wilson says.
Wilson gave that message as council listened to a presentation June 12 from MVSH chief administrative officer Stacey Stilling and Debra Steiger, its controller.
The town’s requisition, the amount it has to pay to help support MVSH, rose from $97,000, in 2010 to $620,000, in 2022.
Last November, that bill rose 17.5 per cent or $95,594, a tax increase of about one per cent for town residents, according to Brent Williams, the town’s chief administrative officer.
The town has no say in the size of requisitions and must pay them as requested.
Stilling conceded that requisitions have risen dramatically, but noted that in that time, the organization obtained several major assets such as Mount View Lodge in Olds in 2011 and Sundre Supportive Living in 2016.
She also said MVSH has been working hard to cut costs wherever possible.
Administrative expenses were cut by $170,000 over the past year-and-a-half, professional fees were slashed by $300,000 over the past three months and office space has been cut by 50 per cent.
In addition, MVSH board passed a motion to pay off $500,000 worth of debt. Refinancing of some loans saved them about $5,000.
Stilling pointed out that MVSH officials are required to submit an annual business plan to the provincial government.
Wilson agreed those moves are all steps in the right direction but he still remained concerned about the sustainability of the operation.
He described increased MVSH requisitions as “a big chunk for a residents.”
“I welcome and applaud you guys for all your initiatives on cost and cost control and enhancing revenue. But at the same time, that's kind of nibbling around the sandwich.
“And so I look forward in the coming months to you guys building on the work you're doing, hopefully driving more and more sustainability,” he said.
“As you said, requisitions are likely to still continue to increase. And this town is jammed right now. And not a good way in terms of wiggle room financially, to make things work. So I look for you guys to come up with those creative solutions down the way.”
Wilson said town council is “in a tight spot,” due to cost pressures from many angles.
He noted administrative staff will be bringing forward a tax bylaw next year that will include another MVSH requisition.
“I'm not sure I can support that tax rate bylaw (together with) some past increases. So I look forward – and continue to look forward -- to what you guys are doing.”
Stilling said MVSH is also in a tight spot in that 91 per cent of its residents are low-income and thus have little room to afford rent increases. And MVSH can only increase rents – in lodges only -- by $100 every six months.
“However, increasing the fee does not necessarily align with the resident ability to pay. Therefore, increases must further be absorbed by the subsidy," an MVSH PowerPoint presentation said.
Legislation also requires that all housing management bodies leave each low-income senior resident with disposable income of $342 per month.
The major reliance is on money from the provincial government. However, MVSH funding hasn’t been increased since 2018, despite the fact that costs have continued to rise.
Stilling said the provincial government is aware of the tough conditions MVSH and other similar organizations across the province face. Thus, a review of the entire lodge program had been planned but was stalled by the provincial election.
“They want to hear from housing operators about how we can do this differently. And what needs to happen to make it more successful. So we are anticipating that coming in. We've definite plans to work with it,” she said.
MVSH officials have met with Jason Nixon, the new minister of Seniors, Community and Social Services and Olds-Didsbury-Three Hills MLA Nathan Cooper.
Stilling said both men indicated support for MVSH and an understanding of its financial bind.
MVSH officials were asked if they’ve been trying to market their facilities.
Stilling said they have, through various media and by participating in several community events, including Seniors' Week activities.
"Since August 2022, we've increased our following on social media by 81 per cent," Stilling said. However, she said they still maintain a presence in print media because that’s still the platform preferred by older residents.
Besides, Stilling indicated, although requisitions have risen significantly they’re still a tiny part of the bill taxpayers pay.
“Four cents of every dollar for our taxpayers is going to the municipal requisition for Mountain View Seniors' Housing,” she said.
“I think it's four cents well spent for making sure that our seniors can continue to call Olds and other municipalities home.”
Councillors Wanda Blatz, Dan Daley and Heather Ryan echoed Stilling’s point.
“I think that families truly appreciate the fact they know their loved ones can be here close to family and friends,” Blatz said.
Ryan, who is also the chair of the MVSH board of directors, agreed with Stilling that the provincial government understands the bind that seniors housing facilities are in cost and revenue-wise.
"The government is well aware of the situation, that that there is a bit of brokenness within the program,” she said, adding provincial officials “stepped up to the plate,” enabling MVSH and other such agencies to obtain money due to the COVID-19 pandemic.
Wilson noted that during the election campaign, NDP leader Rachel Notley advocated more funding for stay-at-home care.
Stilling confirmed that, adding that the United Conservative Party government also indicated support for that idea.
“The UCP actually brought it out initially,” she said.
“But if you call the lodge home, then you can get home care in the lodge,” she said. “Wherever the residents call home, that's where the home care services will be able to be supported.
"How the government through Alberta Health and Alberta Health Services is going to navigate that we're not 100 per cent sure yet.”
Council voted to thank Stilling and Steiger for their presentation.