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Housing and governance in the Netherlands international Conference on social housing Milano, 5th march 2009. Rogier Noyon, board of directors of Stadgenoot. History of Dutch social housing. First housing associations 1850-1900 Housing Act 1901
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Housing and governance in the Netherlandsinternational Conference on social housingMilano, 5th march 2009 Rogier Noyon, board of directors of Stadgenoot
History of Dutch social housing • First housingassociations 1850-1900 • Housing Act 1901 • Largeincrease in number of housingassociations • Smallscale • Largeproduction of houses 1916-1925 • Productionafterworld war II • Government’srole • 1995, housingassociations more orless independent • Building without subsidies
Today in the Netherlands • 16,5 million inhabitants • 7 million houses • 4 million owner-occupied houses (56%) • 3 million rented houses (44%) • 2,3 million social houses (33%)
Today in Amsterdam • 740.000 inhabitants • 380.000 houses • 103.000 owner-occupied houses (27%) • 277.000 rented houses (73%) • 192.000 social houses (51%)
Stadgenoot 35.000 houses in Amsterdam. 400 new houses each year Social houses are not profitable How to build without subsidies? We are rich!
72 areas • 10 areas with relatively many dwellings, strong influence • 20 average areas/ influence • 22 areas with little dwelling/ influence • 20 areas without dwellings/ influence
Our stock as a train exploiteren huur woningen
Our stock as a train aankoppelen exploiteren afkoppelen nieuwbouw verkoop huur woningen
Our stock as a train aankoppelen exploiteren afkoppelen nieuwbouw verkoop huur woningen revolving fund kwaliteits-verbetering waardever-zilvering
Stadgenoot We are rich! But: Who owns Stadgenoot?
Nobody! Regulation by 1 law 2 financing structure 3 self regulation
Rules governing social rented sector: BBSH • Assure good quality in dwellings • Guarantee financial continuity • Priority to special attention groups • Involve tenants in policy and management • Quality of life • Housing of those in need of care
Financing and guarantee structure • First security: Central Fund (CFV) • Secondary security: social housing guarantee fund (WSW) • Tertiary security: state backup • Open capital market • Financing by colleagues
Government Local authority Subsidy CentralFund Housing organisation Rent subsidy WSW Guarantee Tenants Rent Loans Financialinstitutions
Current issues • Relationship government vs. social housing organisations (more regulation or opting out): more selfregulation • Production needed, but what about the financial crisis? • Investing in neighbourhoods • Corporate Tax, like the private sector • European dimension • Imageproblem (“associations have lots of – public - money and do nothing”) • Focus on Good Governance in a complex world
Self regulation Good governance: three items: - Strong demands on functioning of the board of directors - Strong demands on functioning supervisory board. More internal control means less or more selective control by the government - Stuctural proces of sociale accountability towards stakeholders Tool = Governance Code
Governance Code • Aedes (alliance of housing associations) made the AedesCode in 2002 • The code contains standards for good management, control, transparancy, external responsibility and financial control. What to do and what not! • Guidelines for the internal control (what is a good supervisory board, how many people, how to select them, integrity) • Measuring is knowing: • examination by an independent external organisation, check on the social and financial preformance) • Benchmarking, comparison to other housing associations
Transparancy: from vertical to horizontal accountability • Without transparancy no accountability! • Transparancy towards tenants and stakeholders • Examples: • Publish your policy (annual account) • Publish your internal controlsystem (regulation of the board) • Limit the payment of the boardmembers (The Balkenende norm)
Structure Stadgenoot stakeholders Local authorities Supervisory board Social anchorage Performance deals 2 members Board of executives Representatives of tenants management organisation tenants employees
Supervisory Board • Surroundings more complex: quality and professionality on a higher level • Board watches over the principles, housing efforts, finance and relation with stakeholders • Board is sparring partner on a strategic level for the board of directors • Board watches over the integrety within the organisation (based on the governance code) • Not on the chair of the board of directors, but not to far away (proper distance) • Board approves the annual report and the budget • Board is the employer of the board of directors
How good are we in being good? • Surveys • Conferences • Debate • Publications • Sponsoring • Etc.