"That Roscommon County Council re-instate Social Housing Rent Caps for all tenants who are in receipt of a state benefit, allowance, subsidy or supplement in line with other Local Authorities." 

The following reply was read by the Meetings Administrator: 

The maximum rent cap was removed after discussions with the Housing Strategic Policy Committee and was implemented to:

·         encourage optimum use of local authority social housing stock;

·         facilitate the allocation of social housing to applicants who qualify for social housing and can’t afford to rent property on the open market; and

·         address inequities with regard to household income and applicable rent.

The Differential Rent Scheme means the maximum rent that is paid equates to 18% of all income.  In general, households with incomes of € 32,000 or less are not affected by the removal of the rent cap.  The Differential Scheme also includes a Hardship clause, should applicants wish to apply.

Cllr. Leyden spoke on her motion:

·         There is a new National Framework for Differential Rent scheme being developed by the Department whereas at present each Local Authority approves its own scheme which is unfair. There will be a transitional phase for this nationally.

·         The removal of the cap in Roscommon has had an unexpected negative affect financially  for some families and in some cases rents have increased up to 100%.

Cllr. Leyden was proposing to amend the motion to state that the Council introduce a rent cap whereby there is a maximum increase of €25pw or 25% increase of the 2018 rent, whichever is the lesser – this is in line with the Westmeath model. This should be a one year transition and tenants should not have to be making a plan to pay back arrears.

Members spoke in favour of the motion as follows:

·         There appears to be a larger contingent of people affected than was originally thought.

·         The hardship clause is not being utilised by tenants.

·         There was considerable discussion on the matter at the SPC last year but the figures on how many people would be affected and to what extent was not available at that time.

·         The rent increase should be referred back to the Housing SPC for consideration with all of the figures made available.

·         Need to review rent on annual basis going forward.

·         Need to take into account those on disability or social welfare

Mr. Martin Lydon, Director of Services confirmed that the last rent review took place in 2015 and would welcome and fully engage with a new National scheme. The D.R. scheme is based on income and the onus is on tenants to inform the council of any changes to income but rarely does this happen. This is a progressive scheme based on income and the Council deals with its tenants in a fair and considerate manner.

He outlined the figures of 68% of rents assessed led to less than €40pm increase; 75% - €80 or less pm; 82% - €100 or less pm and 217 tenants moved off maximum rent. The rents are also based on 18% of income figure.

On the PROPOSAL of Cllr. Cummins

              SECONDED by Cllr. Murphy

It was AGREED to refer the matter of the Differential Rent Scheme and review to the Housing SPC to be convened before end of May 2019