Management Transfer Program

Community housing is one of the three ways social housing is provided in NSW. The other ways are through public housing and Aboriginal housing. The three streams of social housing are primarily accessed through a single system - Housing Pathways - which has one application form and one housing register for applicants.

Registered community housing providers are generally not-for-profit organisations managed by a Board of Directors. They manage the properties that they own and they also manage other properties that are owned by the Government, or that are rented from private landlords with Government funding. They also manage properties for various entities on a fee-for-service basis.

• Benefits of community housing providers
• Types of community housing providers
• Community housing eligibility
• Community housing tenants’ rights
• Community housing rent
• Repairs and maintenance
• Do community housing organisations provide good service?
• Rehousing community housing tenants
• What if something goes wrong with a community housing provider?
• Making a complaint about a community housing provider
• How can tenants get involved?
• Regulation

Benefits of community housing providers

Community housing providers are a cost-effective way to deliver social housing as they can:

• access additional revenue from Commonwealth Rent Assistance at no extra cost to tenants
• save GST on costs for the purchase and management of new housing as not-for-profit organisations.

A number of providers also deliver another type of housing, called affordable housing. This is housing that is appropriate for the needs of a range of very low to moderate income households and priced so that these households are able to meet basic living costs.

Types of community housing providers

There are a number of different types of community housing providers, the main ones are:

• general social housing providers who offer secure, long-term housing services and also link clients to specialist support from other community organisations in response to the needs of their tenants and the local community
• specialist homelessness services who provide short-term crisis accommodation and/or short- to medium-term transitional housing to support people who are homeless or at risk of becoming homeless and who are in crisis.

Community housing eligibility

People who are eligible for public housing are also eligible for community housing. There are different criteria for eligibility for affordable housing, crisis accommodation and transitional housing. For more information see the Community Housing Eligibility Policy.

Community housing tenants’ rights

As a landlord, community housing providers will have a lease with the tenant under the Residential Tenancies Act 2010. The lease will outline the rights and responsibilities of the landlord and tenant according to the law.

Community housing rent

NSW Community Housing Rent Policy sets out the requirements for rent policies operated by community housing providers in NSW.

Community housing rents are assessed as 25% of assessable income. Community housing providers can also assist people on moderate incomes with affordable housing options. The rent for those properties may be higher than 25% depending on the tenant’s individual financial circumstances.

Repairs and maintenance

Community housing organisations are responsible for the repairs and maintenance of the property including organising emergency repairs.

Do community housing organisations provide good service?

Tenant surveys show that tenants that live in community housing properties are very satisfied with the services they receive and the homes they live in. Communities and Justice (DCJ) also monitors the performance of community housing providers to ensure they continue to provide quality services to tenants.

Rehousing community housing tenants

Community housing tenants can apply to their community housing provider to be rehoused.

What if something goes wrong with a community housing provider?

Community housing providers are subject to an independent regulatory system ensuring a high standard of service is provided. If a community housing provider fails to comply with the regulatory code they can lose their registration status and DCJ can appoint a new provider to manage the properties so that the rights of tenants are unaffected.

Making a complaint about a community housing provider

Community housing tenants must first seek to resolve any issues directly with their community housing provider. Tenants can do this in person, in writing or by telephone to their community housing provider. Community housing providers must make information about internal complaints and appeals processes accessible to community housing clients.

For further information refer to the Housing Appeals Committee website.

How can tenants get involved?

Community housing providers aim to deliver services that reflect the needs of tenants and communities and are keen to involve tenants in the development of these services.

Different community housing providers have different approaches to tenant participation. Some community housing providers invite tenants to sit on their management boards, others run local management committees. If tenants want more information about how to get involved, they should contact their community housing provider to find out what is happening in their area.

Regulation

Under Community Housing Providers (Adoption of National Law) Act 2012 (NSW) a community housing provider must be registered with the Registrar of Community Housing. The Registrar is responsible for registering and regulating community housing providers. The Registrar reports directly to the Minister for Department of Communities and Justice.

The National Regulatory Code sets out the performance requirements that providers must comply with under the National Law. It focuses on the achievement of outcomes in the following areas:

• tenant and housing services
• housing assets
• community engagement
• governance
• probity
• management
• financial viability.

What is the Social Housing Management Transfer (SHMT) Program?

The SHMT Program is the transfer of management of Communities and Justice (DCJ) social housing properties to community housing providers (CHPs) in certain locations in NSW. There are around 14,000 properties transferring through this process. The SHMT Program is a key initiative under the Future Directions for Social Housing in NSW (Future Directions).

The transfers that are currently under way will see approximately 32% of social housing in NSW being managed by CHPs. The transfers are occurring in nine locations across four DCJ Districts. There will be no DCJ Housing presence in these locations when the transfers to CHPs take place.

What are the benefits of the SHMT program?

By increasing CHP management of social housing properties the NSW Government will be able to:

• make the most of community networks to deliver better long term outcomes for our tenants and applicants
• make the social housing system stronger and more diverse
• access more sources of funding that are available to community housing providers to better support tenants
• enhance the capacity and size of the community housing sector.

Funding for leased properties

Funding for the leasing program will not change and will continue to be provided by DCJ on an annual basis. Rent paid to the landlord also remains unchanged.

What are the strengths of CHPs?

The community housing sector has been active for over 30 years and currently manages around 28,000 properties across NSW.

NSW CHPs have an average tenant satisfaction rate of 79 per cent. This is largely a feature of their experience in facilitating support services and undertaking meaningful community engagement.

What safeguards are in place to monitor the CHPs?

All CHPs who are selected to provide social housing services are required to be registered with the National Regulatory System for Community Housing (NRSCH).

The NRSCH aims to ensure a well governed, well managed and viable community housing sector that meets the housing needs of tenants and provides assurance for government and investors. For information about the NRSCH please refer to http://www.nrsch.gov.au.

Where will management transfers occur?

Current management of social housing in the following locations will be transferred to CHPs by 2020:

• Northern Sydney District (excluding Ivanhoe Estate)
• Mid North Coast District
• Hunter New England (excluding Lake Macquarie LGA and Newcastle LGA)
• Shoalhaven LGA

When will transfers of leased properties to CHPs take place?

It is expected that all leased properties within each of the transfer locations will be transitioned by December 2019. DCJ will inform the landlords/agents of the specific transition timeframes.

At the time of transfer, your lease/s will be transferred to the CHP via a Deed of Assignment and Consent (Deed) that is signed by the landlord/agent, NSW Land and Housing Corporation (LAHC) and the CHP.

DCJ will endeavour to make the transition of all leased properties to each CHP as seamless as possible.

For landlords who currently lease to DCJ

What does this mean for the landlord/agent of the leased property?

When the transfers occur, CHPs will assume the tenancy management responsibility for the social housing properties in each location. This means there will no longer be a DCJ Housing presence, and CHPs will become the point of contact for landlords.

What should I do now?

You do not need to do anything right now.

DCJ will send you a Deed of Assignment and Consent (Deed) for your execution, when your leases/s is/are ready to be transferred to the CHP.

DCJ will continue to be your point of contact for all tenancy management matters until the management of your property or properties is transferred to the CHP.

DCJ will continue to keep you and any tenants informed ahead of any changes to assist with the transition of the transfer of the lease to the CHP.

For landlords about to enter into a new lease or renew an existing lease with DCJ

What should I do now?

You do not need to do anything right now.

The lease that you enter into and sign off will include the following clause:-

Despite anything else in this Lease the landlord agrees that New South Wales Land and Housing Corporation can assign or transfer this lease without consent to any social housing provider as defined in section 136 of the Residential Tenancies Act 2010.

DCJ will continue to be your point of contact for all tenancy management matters until the management of your property or properties is transferred to the CHP.

DCJ will continue to keep you and any tenants informed ahead of any changes to assist with the transition of the transfer of the lease to the CHP.

Who can I talk to about leasing arrangements?

For all current property lease matters please contact your DCJ District contact.

For all matters relating to the SHMT Program, please email the Management Transfers mailbox at:
ManagementTransfers@DCJ.nsw.gov.au

Upon receipt of your email, a staff representative from the SHMT Program will be in contact you to assist you with your enquiry.

For Tenants

If a headlease tenant needs to report a maintenance problem after the transfer date, they should call the new community housing provider directly.

Where can I find more information?

For more information about the SHMT Program.

For more information about Future Directions.

Are all your questions answered?

If you have any questions about the transfers or want to talk to someone, you can:

• Call the Housing Contact Centre on 1800 422 322. This is a free call from landlines, most mobile phones and the phones in your local DCJ Housing office.
• Speak to your local Department of Communities and Justice client service team.
• Visit Management transfer program