O'Rourke Denis: Social Housing Reform (Housing Restructuring and Tenancy Matters Amendment) Bill — Second ReadingText is subject to correctionO'Rourke Denis: Social Housing Reform (Housing Restructuring and Tenancy Matters Amendment) Bill — Second Reading[Sitting date: 07 November 2013. Volume:694;Page:14517. Text is subject to correction.]DENIS O’ROURKE (NZ First): The Social Housing Reform (Housing Restructuring and Tenancy Matters Amendment) Bill is one of the most objectionable and patently stupid bills this Government has produced. It is an utterly misconceived and completely inadequate response to the intensifying New Zealand housing crisis—a crisis that the Government watched develop for 5 long years. Its priorities are saving money and reducing the size of State services rather than ensuring that the needs of people—especially those at the lower end of the socio-economic spectrum—are adequately met.New Zealand First is committed to the provision of a genuine social housing service by the Government as a fundamental responsibility in order to ensure that people are able to buy a home or for people for whom homeownership is inappropriate to have a fair rental related to their income and to have the stability in their lives that they deserve.The social housing deficit in New Zealand is now huge. More and more Kiwis are unable to afford a home; many will never be able to afford one. Their need is for options for long-term rental housing which in this country only the State can reliably provide for low-income people. National has never really understood social housing and this bill proves it. Its legacy of social housing stuff-ups always has to be remedied by later more-enlightened Governments.There are two categories for New Zealand First’s total opposition to this legislation: first the abdication of responsibility for social housing provision to non-Government providers as a matter of social policy and second the reviewability of tenancies in the heartless and socially destructive way proposed in this awful bill. The laying-off of social housing provision to such a large range of community housing organisations and to such a large extent as the 20 percent targeted by the Government will not solve our housing needs. It is unrealistic and it is risky both socially and economically and it is wrong in principle as a proper application of taxpayers’ money.New Zealand First’s policy is that taxpayer-funded social housing must be met in these three ways: first directly by the Government through Government agencies—especially Housing New Zealand not just as a landlord but as a full-responsibility social agency—to provide a comprehensive rental housing service not just buildings. There are too few houses already to meet the need for rental properties generally and especially for low-income people in the main centres. New Zealand First’s policy is to make rental housing affordable and accessible to these people and to offer a range ofoptions to meet all social needs. New Zealand First believes that it is unwise to confuse social objectives with property investment objectives in both the State sector and non-governmental organisations. The outcome would be risky uncertain and unlikely to be acceptable in practice. The State would be better to provide social housing directly and not rely so much on the NGO sector.The second way is by local government which should be capitalised with loans at very concessionary interest rates by the Government so that there would be no burden on rates to help provide a social rental housing service and also to provide public rental housing units to complement Housing New Zealand.The third way is by a few well-qualified non-government providers that can prove the need for them and their ability to meet the need. There is a place for some of those organisations such as those that provide refuges for women. There are others too such as Habitat for Humanity and the Salvation Army. But these are a discrete and relatively small area of need—nowhere near the 20 percent proposed by the Government. Some of these NGOs give little confidence. One in Queenstown recently lost its charitable status and others run at a loss.The Government’s social housing policy reduces the scope of the operation of Housing New Zealand. It will transfer large sums of money to community housing organisations. But what about their competency? Can they be relied upon in the long term? Will they become a nightmare to monitor? Those organisations will own the housing funded or gifted by the Government but how do we know it will be well spent and managed? There will be no State asset in return. What happens if a recipient organisation fails? Where do the assets go? How transparent and accountable are the processes for allocating funds to community providers? What safeguards and risk management have been put in place for the funds allocated to non-property community providers? Will they have enough competence in the housing market when private investors have lost many millions of dollars in the building and property market themselves?These are just a few of the questions left unanswered by this bill. The bill also contains new provisions for moving people out of State houses if they are financially able to do so. That should not be an objective in itself. Three-yearly reviews for new and existing tenants will lead to significant social problems as health education and community well-being suffer. There are good reasons for people especially the elderly to choose to remain in State house rentals even if they are assessed as able to move elsewhere. People who have good reasons to stay are likely to be nudged out of State rentals when it is not their best option.The bill will allow Housing New Zealand to forcibly obtain information from people. Will it become the housing police? This is utterly objectionable policy. All this stress especially for the elderly and for other vulnerable people cannot be done in the lenient way asserted by the Government. I have heard some speeches by members opposite saying there will be no problem in this respect but very few people out there in the world of rental housing actually accept that for one moment. We in New Zealand First certainly do not. There is so much wrong with this bill and its whole worthless underlying philosophy that New Zealand First will certainly vote No.