A citizens group in Ayr is expected to receive a $240,000 loan from the region to finish a 21-unit affordable housing project.
But in approving the funding at the region’s community services committee meeting on Tuesday, regional Coun. Geoff Lorentz, who represents Kitchener, said he felt they were setting a precedent for similar requests in the future.
“We understand that the need is very great. I’m just a little concerned, are setting a precedent here that every time someone goes through the motions and then finds out their budget is overrun and there’s a large shortfall needed that the region’s going to pick up the tab?” he asked, noting the staff report didn’t indicate how the loan would be recovered.
The funding would come from the region’s housing revolving loan fund, which currently has a balance of $450,000.
