150 cut off from Rent Assist after income threshold drops

Changes to the Rent Assist program that came into effect on July 1 mean 150 households no longer qualify for support,because their incomes are higher than the program now allows.

The changes to the Rent Assist program are for households thatdo not receiveEmployment and Income Assistance (EIA).

Rent Assist recipients will now have to contribute 28% of their income to rent, up from 25%.That changeputs the earningsthreshold lower; for a single-person household, it's down from$25,584 to $24,129.

A department of Familiesspokesperson said despite fewer people qualifying for the benefit, the government won't save money from the change because the number of people applying for support is growing.

The government has been tinkering with several aspects of housing assistance since taking office in April 2016.

• Review of rent subsidy program worries working poor in Manitoba
• Manitoba government hiking rent for some tenants in public housing

Kirsten Bernas of the Right to Housing coalition said the changes erode efforts to help people get over the "welfare wall."

Harder to transition off welfare: Bernas

"It is those folks that are not on EIA that are affected by this change. The idea was you would continue to receive your benefit when you moved off EIA ... this change is now reducingthat support. So it will make it more difficult for people to transition off of welfare and into employment," Bernassaid.

The changes have Bernasand the Right to Housing coalition scratching their heads about the goal of the current government.

"I know the [Progressive] Conservative party campaigned on eliminating the welfare wall, so I am not really sure how this new policy is consistent with that campaign commitment. I don't see that," Bernassaid.

A spokesperson for Families Minister Scott Fielding wrote to CBC News saying the PC governmentincreased the budget for non-EIA Rent Assist by more than $30 million in 2017-18, compared to 2016-17 levels.

"The changes are occurring to ensure the Rent Assist program remains sustainable and helps the Manitobans who need it most," saidthe spokesperson.

Get Started Benefit cut, saving $200K

The PC government has also eliminated another source of funding for low-income people.

The Get Started Benefit is not related to Rent Assist, but to Employment Income Assistance (EIA). Theone-time payment is supposed to help with unexpected costs when participants leave EIA for work.

Over 1,000 people received the assistance in 2016-17. The government will save approximately $200,000 by cutting the benefit.