TABLE OF CONTENTS

Acknowledgements

1. Executive Summary
2. Key Issues Addressed During Development Phase
3. The Slocan Valley Housing Needs/Market Assessment
4. The Slocan Valley Site Selection Process
5. Cost/Benefit Analysis of Three Construction Methods
6. Research Into Modular Construction
7. Researching the Straw Bale Model
8. Architect Selection
9. Building Design Issues
10. Management Models
11. "Shelter" Versus "Service" Costs
12. Issues Around Donated Labour and Materials
13. Methods of Dealing with Donated Materials and Labour
14. Zero Interest or Low Interest Financing
15. Achieving Community "Buy-in" and Participation

* Please note that the Appendices are not included in this web document.

ACKNOWLEDGEMENTS

Funding for the Slocan Valley Seniors' Housing Development Proposal and Report was provided by the Real Estate Foundation of British Columbia, and is gratefully acknowledged.

Many people were instrumental in the development of this proposal, and the following is far from an exhaustive list. Apologies to any people whose special contributions we have inadvertently missed, your assistance was very much appreciated:

* Passmore Seniors Branch #116, for participating in the steering committee and donating meeting space
* Rural Alternative Research and Training Society (RARTS) for participating in the steering committee and donating meeting space and handling committee funds prior to incorporation
* Village of Slocan for their offer of donated land
* Tammy Avis, Janice Andreaschuk and Linda Miller for their offer of land on flexible terms
* Eric Clough, for his research and design work, and his donation of time and expertise
* Joan Reichardt, Seniors Health Promotion Network
* Ike Barber and Cam Milne, Slocan Forest Products for their donation of lumber and assistance to solicit wood donations from other mills
* Kalesnikoff Lumber and Goose Creek Lumber
* Eric Nygren, Regional District of Central Kootenay Director for grant-in-aid assistance
* Jim Gouk, Member of Parliament for support of application for Revenue Canada Charitable Tax Status
* Community Services Branch of B.C. Housing Management Commission for Community Housing Initiatives (CHI) Grant Funding
* Nelson & Area Home Support Staff for information regarding services and for distributing applications
* Ministry of Health, long-term Care Staff for information regarding services
* Heather Street for tour and sharing information regarding Salmo Seniors' Services
* Staff at numerous facilities for information about and/or tours of their seniors' housing projects, including:
The Links Housing Co-op, Woodland Park Co-op, Rosewood Manor, Rota Villa, Kiro Manor, Beaver Valley Manor, Bluebell Manor, McBride Manor, Abbey Manor, Salmo Senior Citizens, Trail Elderly Citizens Housing Society, Cedar Grove Estates, Jubilee Place, Dr. Brouse Lodge, Nelson Kiwanis Housing, Columbia View Lodge, Castleview Care, Fruitvale Seniors Housing, Erickson Golden Manor, Catalpa Apartments, Glaser Terrace, Rebeka Manor, Swan Valley Care Facility, St. Andrew's Abbeyfield, St. David's Abbeyfield, St. Margaret's Abbeyfield, Copper Beaches Seniors' Room and Board
* Thomas Loh and Habib Gonzales for their information, workshops and tours of Straw Bale Construction
* Ric Baker, Senior Flood plain Engineer, of B.C. Environment Lands and Parks for his assistance defining flood plain requirements
* Phillip Jackson, Environmental Health Officer, Central Kootenay Health Unit for his assistance with water and septic issues
* Tamara Morris, Nurse Supervisor, Key Home Health Care Inc., for information re: services to seniors
* Lynn Wood of B.C. Housing, Penticton, for consultations regarding operating budgets
* Shayne Ramsay, Patricia Darling and Doug Watkins from B.C. Housing, Burnaby for meeting with directors and funding the geotechnical and environmental Phase I studies of the Passmore site
* Keith Veerman and Lynda Trstensky of West Kootenay Power for meetings regarding grants for energy efficient construction
* Wayne Voykin family for allowing testing of their water well
* Slocan Valley Merchants and Businesses for moral and financial support and advertising assistance
* Walter Swetlishoff and his Mt. Sentinel woodworking students for the site sign and other building projects
* George Perrier for his digging of test holes with back hoe
* Truus Meier-Drees for comments on home design for seniors
* Numerous volunteers who have worked on design, management, and resource development committees and events
* Raeburn Hurst, long-term care assessor
* Dave Wahn (RDCK Landuse planner), Serge Zibin (Min. of Health, Central Kootenay Health Unit) and Nelson Ames, Medical Health Officer for information regarding regulations pertaining to water, sewer, and community kitchens
* orm Zaitsoff, Realtor, for research & public meeting presentation regarding costs of ownership/rental in Valley
* Instructor Michael Fortune and Kootenay School of Arts students at B.C. Centre for Wood Design
* Jean Spratley, Seniors' Counselor and Lucy Methuen, Seniors One-Stop

Judy Gayton, Non-Profit Housing Consultant

Purpose of the Feasibility Study
Results of the Slocan Valley Seniors' Housing and Service Needs Survey in 1995/96 distributed to approximately 2000 residences in the Slocan Valley indicated that a large number of seniors were experiencing difficulty in their rural homes. Many needed or had assistance with a wide variety of functions, from home and yard maintenance to meal preparation. More services were needed; and some seniors would benefit from and consider residence in a serviced seniors' housing complex in the near future. 95 seniors indicated that they needed assistance with meals, transportation, managing medications, and increasing social contact, and many others indicated difficulties with home and yard maintenance, dealing with stairs, and so forth.

Passmore Seniors Branch 116 and Rural Alternatives Research and Training Society (RARTS) formed a joint committee to investigate ways to meet seniors' services and housing needs. It was determined that a serviced seniors' housing complex would be an appropriate method of meeting the needs of many seniors at risk of having to leave the valley to find safe and suitable accommodation as they age.

Significant Progress of Feasibility Study to Date:
Activities ranged from site selection to investigation of management models, and three different methods of construction were thoroughly researched and costed. On-site conventional construction was the method chosen over the other two alternatives which were on-site straw bale construction and factory built modular construction.

* The entire Slocan Valley has become involved in the development process. The Society has a 12 person Board of Directors representing all areas of the Valley, and significant participation of other residents on various committees of the Society, notably the building, management, and resource development committees.
* The original steering committee is now a Non-Profit Society with Charitable Tax Status.
* A 2.5 acre building site has been donated.
* Preliminary drawings for a 10-unit serviced seniors housing complex are complete.
* Over $160,000 of cash and in-kind donations of materials and services for the proposed building has been received or promised.
* B. C. Housing has funded Geotechnical and Environmental Phase I reports.
* B.C. Housing Project Officer Patricia Darling has been assigned to the development.
* B.C. Housing is prepared to cover approximately $932,000 of the estimated $1.27 million project capital cost through its Homes B.C. non-profit rental program, provided the Society can raise approximately $340,000 for an equity contribution.
* A project operating budget estimated at $351/unit/month (net of debt service) has been reviewed by Lynn Wood, B.C. Housing Property Portfolio Manager, and deemed reasonable and supportable.
* Research continues into the most cost-effective method of providing services for purchase by residents who wish to pay for meal service and assistance with laundry, housekeeping, transportation and personal care.
* Expressions of Interest have been received from seniors wishing to place their names on an applicant list, and marketing is underway to solicit applications for housing from those wishing to move into the project in the late fall of 1998.
* B.C. Housing has not yet determined market rents, but has set the core need income threshold at $19,000, which is that of two neighbouring cities, Castlegar and Nelson.
* We hope to secure a conditional unit allocation from B.C. Housing in time to enable us to keep to the development timeline proposed, which would see construction start in the spring or summer of 1998, with initial occupancy of the building this winter.

There are a great many unique development issues relevant to rural areas, quite distinct from those encountered in urban locations. Some of the items listed below will be dealt with in any project feasibility study, but those of particular interest to development in rural areas are worth noting so that project proponents avoid costly and time-consuming mistakes.

1. The importance of paid staff during the project feasibility stage: Project development anywhere is difficult and time-consuming. Paid staff can fulfill the multiple functions of co-ordinator, facilitator, contact person, advisor, mediator, record keeper, and team leader. Staff provide continuity and experience, and keep the process moving forward. Volunteers are invaluable, but need someone to co-ordinate and guide their efforts. In the long run both time and money will be saved by using paid staff.

2. Determining housing need: Problems may be symptoms of something else (i.e., need for help, not housing). Take care to differentiate between the need for services such as transportation, and the need for a different form of accommodation.

3. Distinguishing between need and demand: Examine the housing market and adjust your thinking to local circumstances which are much different from those in population centres. Watch for false positives and negatives; people are eager to please and to help and may feel that the project is a good idea, but have no intention of moving into it themselves. Be ready to abort or modify your plans at any stage. Reality cannot be ignored; the stakes are too high to proceed on the basis of the thought, "If we build it, they will come." You can risk this in urban areas with huge markets to draw on, but not in rural areas. Provide many opportunities and ways to obtain community input/feedback. Don't ignore the experience of others (i.e., Studio apartments have proven difficult to market in many areas).

4. Things to consider when selecting sites: Many situations in rural areas are quite different from urban centres. Normal considerations such as site size, price, and so forth are not enough to consider. Research local land use regulations, subdivision requirements, any zoning requirements, building codes, and so forth. Check title for any restrictive covenants, which could even include building design guidelines. Watch for flood plains, forest reserves, agricultural land reserves, and any possible treaty land claims or archaeological sites. Note rights of way, easements, and so forth. Research the history of the site and its previous uses. You need to be aware of possible environmental considerations such as contamination. Consider highway access and road maintenance issues. Obtain geotechnical information for the site and surrounding areas. You need to ensure not only that the site itself is suitable for building and servicing, but be aware of surrounding properties. Be aware of snow slide and landslide hazards, and consider defensible space for interface fires. Check locations of neighbouring water and septic systems. Consider such things as sunshine and prevailing winds. Then consider any terms of purchase, and any tenure issues, such as whether or not the proponent should own the land, or the Provincial Rental Housing Corporation if a provincial unit allocation for non-profit rental housing will be sought.

5. Services: Check availability and cost of providing water, sewer, septic, gas, electricity, phone, television, fire protection, ambulance and emergency response to the building.

6. Amenities: Check distance of stores, bank, post office, medical help, places away from the highway to walk, and public transportation. How far are the nearest neighbours?

7. Things to consider when selecting designs: Take into account what local residents are accustomed to and comfortable with, and what models they have seen for aging in place. Rural seniors are accustomed to gardening and outdoor space, and a great deal of privacy. Few rentals are available, so most own their own homes mortgage free, and feel that they live there very affordably. Designs must take into account affordability, operating costs, and comfort (for example radiant floor heat was chosen because it holds heat during frequent rural power outages). Where possible local materials should be considered to reduce transportation costs, and to reflect local character. As with all projects, durability, toxicity, maintenance, and appearance all enter into design and materials considerations. As well, snow load is a consideration in the interior. Disabled accessibility features, lots of natural and artificial light, and Homes BC design guidelines should be incorporated. Designs should, when possible, provide for future expansion.

8. Things to consider when selecting construction method: When considering anything other than conventional building construction methods, difficulties can be encountered with financing, insurance, bonding, and community acceptance. B.C. Housing is not particularly comfortable with unconventional building construction, or with anything outside of a standard public tender process and use of a general contractor. If other methods are considered, issues around flexibility, suitability to climate, time to construct, materials storage, volunteer labour, contributed materials, capital and operating costs, financing and insurance must be carefully considered.

9. Management models: Ensure members of the management team are representative of the area. When setting up a management structure consider issues around continuity, developing and maintaining management skills, duties of board members versus staff, versus residents and volunteers, Consider not only cost , but also accountability for each management function. Ensure that the constitution and bylaws include mandatory clauses required for B.C. Housing and CMHC assistance in the event that you require their funding. Ensure that the management structure you set up can qualify for charitable tax status. Determine any services to be provided outside of normal residential tenancy requirements, and how these will be provided and paid for.

10. Determining operating costs: Determine the usual costs such as mortgage, taxes, utilities, replacement reserves, and so forth, and add in staffing to meet duties which need to be performed. List all tasks from maintenance to rent collection and tenant relations, and plan staffing levels according to needs. Bear in mind maximum approval levels for operating budgets from BC Housing, and ineligible costs.

11. Determining capital and operating costs of eligible vs. Any ineligible spaces: Based on government housing guidelines, separate out spaces considered extra to a standard non-profit rental building (i.e., additional space for community offices). You will be required to fundraise to cover these capital costs, and over time to cover the operating costs associated with the extra spaces as well. Examine ways to bring costs down through grants, low-cost financing, donations of time, money and materials. If there will be government involvement or financing of the project, there are many complications associated with donated labour and materials. Ensure that these issues are worked through prior to counting on savings. Do a cost/benefit analysis of any cost saving measures ( if you use volunteers and donated materials what happens if something goes wrong? Is timing of help reliable? Are materials under warranty?

12. Community buy-in and participation: Use individuals, service clubs, businesses and stores, schools, local media (lots of pictures), posters, newsletters, targeted and membership mailouts, fun and informative events. Serve refreshments at meetings, and at public gatherings include entertainment whenever possible. Use working committees to broaden your base of community support; working on a project gives people ownership and increases public knowledge and support.-- Recognize volunteers and helpers, and keep the community constantly updated and informed. Tell good news stories. Solicit, acknowledge and take into account community input. All of this also helps immeasurably in marketing the project to prospective tenants.

13. Fundraising: Be creative. See Appendix J for resource committee ideas and schedule.

14. Marketing: Informal marketing begins during the development stage as discussed in 11 above. Once the site, design, cost, services, development schedule, and so forth are determined, final marketing can commence. You need to know what amount of rent will be required to cover costs, and any restrictions on residency. This involves one-on-one contacts from referrals (word of mouth, personal referrals, expressions of interest from media ads and meetings and mail-outs through home support agencies and waiting lists of other facilities information tables, etc.). Exchange information regarding incomes, needs, qualifications, costs, restrictions, and so forth. A key consideration for many prospective tenants is whether or not they can bring their pets. This has to be decided prior to final marketing being undertaken.

15. Stages of marketing: The following are the different stages of marketing: surveys, initial contact/mailing list, information updates and meetings, expressions of interest, applications, tenant selection, wait lists.

16. Ongoing management: Membership in Non-Profit Housing Association is strongly recommended, and a Board and staff education and training plan should be established.

The Questionnaire
A questionnaire regarding seniors' housing and service requirements was distributed throughout the Slocan Valley (approximately 2,000 households). Responses indicated that large numbers of seniors were experiencing difficulties managing in their rural homes, and that some would consider moving into specially designed seniors' accommodation within one to ten years, provided that the location, type and cost of housing met their expectations and needs.

Steering Committee Interpretation of Needs Data
The steering committee formed by 4 representatives of the Passmore Seniors' Branch 116 and 4 representatives of the Rural Alternatives Training and Research Society were cautious in their interpretation of this needs data. Problems are somewhat easy to identify, but there may be a variety of potential solutions, some of which would be more helpful or realistic than others.

* Responses could not be extrapolated into proportions of the population because the survey respondents were not randomly selected, but rather were those residents who had reason to complete and return them, and could have represented a disproportionately large percentage of the population as target population. Therefore, without more information, the actual number of people in difficulty could not be quantified.
* Even when a problem, such as difficulty preparing meals, had been identified, it was difficult to determine what an appropriate or marketable solution would be. Perhaps a wheels to meals program would be a cheaper and better solution than attempting to build a rental housing complex with a meal service, for example.

Those seniors who indicated an interest in some form of future housing complex could obviously not make any determination of whether they would actually want to move into such a complex until more was known about its proposed location, type, size, cost, and potential occupancy date. False negative and false positive responses to the question of who might move into such a complex would be the rule rather than the exception prior to a more concrete proposal being put to potential residents. None-the-less, the numbers of respondents experiencing problems were high enough to generate concern that seniors might have to leave the Valley as their age advanced and their health deteriorated, and to warrant the exploration of possible solutions to their service and housing difficulties.

A two-pronged approach was taken, one focusing on initiatives to provide funding for such services as a seniors' volunteer co-ordinator position, and the other with a focus on developing a proposal for a serviced seniors' housing complex. This report deals with the housing project initiative. It should be noted that the design of the housing project was strongly influenced by the survey responses, in that it was considered important that the housing project could provide a location for provision or co-ordination of community-based services needed by other area seniors not resident in the building. This would spread the benefits of the project to the entire service area.

Tenure
Based upon survey responses, very few seniors indicated a willingness to move from their current accommodation into another equity situation. In other words, the vast majority of those who indicated they might consider a move within the next 1-5 years, indicated that they would be interested in rental, rather than purchased accommodation. For all of the above-noted reasons of not knowing details of building location, type, size, amenities, cost, and so forth, the preferred tenure option to be explored in the feasibility study was rental. It was acknowledged that this would eliminate a source of building financing, and would place more onus on the developing group to find alternate ways to reduce the costs of the residence. The risks of attempting to develop an equity model for such a "new" form of housing in the valley were deemed to be too great. If a first phase of housing were to become a reality and provide an example to area residents of what could be achieved, it might be possible in future to develop a phase 2 equity project.

The Committee was fully aware that just because a need is present, this does not mean that there is a market for any particular solution. They were faced with the challenge of working with and for the community to develop a housing proposal which was attractive enough to rural seniors that they would view the housing as a solution for themselves, and actually move from their current homes into the project. This is a very different proposition from building a complex in an urban centre or highly populated area, where there is likely to be a large enough target population to move into any number of housing types. For reasons of economy of scale for construction and operating costs, a minimum number of 10 units was deemed a reasonable target. It was decided that planning for a small complex with the possibility of future additions would be the prudent course, and to err on the side of conservative numbers of housing units in a possible phased development. The complex could grow in future if the demand justified another phase. Space for future expansion would become one of the criteria for site selection.

Timing of Marketing
Throughout the development of the housing proposal, it was understood that the actual "market" for the housing would only be identified when details of the proposal were presented to potential residents, and actual applications for housing were received. A final decision to proceed to construction would have to be deferred until the actual demand for housing units was quantified.

Site selection in a rural area also entails entirely different considerations than in urban centres. These considerations are highlighted below.

Traffic Patterns
The Slocan Valley is a 55 kilometre long, narrow valley with scattered population and some small neighbourhood centres. The northern end of the geographic area served is the Village of Slocan, and the southern end is Playmor Junction which lies approximately half way between the cities of Nelson and Castlegar. Many possible building sites were identified, but the three short-listed sites were in the Village of Slocan next to the elementary school, in the Passmore area next to the Passmore Hall, and midway between the two near the community of Winlaw.

Most residents use either Nelson or Castlegar on a somewhat regular basis as service and shopping centres. Therefore residents from the northern end of the Valley are more likely to frequently travel south on their way to town, than residents from the southern end of the Valley are to travel north to Slocan. Travel patterns were an important factor in site determination as well. It was felt that seniors living in the Village of Slocan had more services and neighbours nearby than those of their more rural counterparts, and therefore might be less likely to suffer from transportation, service and isolation problems identified by many survey respondents. It was also felt that they were used to traveling south to go to Nelson or Castlegar, and that they would be more inclined to move into a seniors' housing project to the south of their current homes than would residents in the southern end of the valley be to moving north where they had less occasion to travel from their current homes. Somewhat the same argument held for the Winlaw site, with the more southerly Passmore site scoring higher on the travel pattern criterion than the other two. As with any real estate, location is critical to people's acceptance of a place to live.

Water
The Kootenays has an extremely high number of "Boil Water Advisories" compared to other areas in the province, and a very large number of community water systems. Most urban sites are serviced by treated municipal water systems, and are served by storm and sanitary sewer systems. In rural areas issues of the availability of sufficient, clean water which meets Ministry of Health standards, and issues of adequate sewage treatment through septic fields or package treatment plants approved by Ministries of Environment and Health, are critical.

Any site considered must have available surface or well water in sufficient quantity and quality to meet the needs of a multi-unit complex. If more than one household uses a surface water source, treatment is required. Treatment may also be required for well water, depending upon results of chemical, sediment, and bacterial testing. Water sources must meet B.C. Drinking Water Quality Standards on potable water, Canadian Drinking Water Quality Standards on potable water, and local government guidelines on potable water. Water sources must be a minimum of 100 ft. from any sewage disposal or septic systems, and more if other factors call for more distance, and, if shared, require management in the form of utilities or community water user groups.

The Passmore site selected for the Slocan Valley Seniors' Housing project has three potential water sources: a community water system which treats water from the Slocan River, a well (water table is at about 17 feet, with an existing well on the site producing a high volume of good quality water), or water piped from the River and treated on site. In spite of the fact that the community water system has been constructed to meet all Ministry of Environment and Health standards, the management structure has not yet been determined because the Regional District of Central Kootenay has just taken over jurisdiction for this function from the Province and has commissioned a study about how to manage these systems. Because the site is in a newly subdivided and relatively undeveloped area, the user fees for the community water system are not yet determined. Therefore, in order to get approval from B.C. Housing for a development on the Passmore site, two alternate water sources besides the community water system had to be identified, and verified as acceptable by the Health Unit.

Sewage Disposal
Sewage treatment poses unique problems in rural areas as well. Percolation tests on the soil determine whether or not a septic field system is viable, and how large it must be for various types and sizes of buildings. Current requirements are for one septic field of the prescribed size, plus one back-up septic field for future use. No buildings or roads or parking can be on either field, so the size of the building site must accommodate two full septic fields large enough to service all future development on the site. This can add significantly to the amount of land required. Ground water table elevations tests indicating the height of the water table are required, as well as percolation tests which indicate the rate at which water soaks into the soil. The Passmore site had excellent percolation, and is large enough to accommodate up to 24 units of seniors' housing with the required septic fields and a well if needed as an alternate water source. Appendix E details septic and water requirements outlined in the Central Kootenay Health Unit Subdivision Policy.

Many of the above tests must be done at certain times of the year (i.e., high or low water) and if not scheduled and undertaken at the appropriate time can set a development back a full year.

Access
The Department of Highways regulates subdivision, and site selection should take into consideration access to public roads and highways. Each lot must have legal and reasonable access, and this should be verified prior to site selection. As well, adequacy of roads, lanes, and emergency vehicle access should be verified. It is important to know who is responsible for and the estimated cost of road maintenance, snow plowing, and so forth. The Passmore site has panhandle access to the paved highway, and fronts onto a dirt back road which is maintained by the Regional District.

Natural Hazards
Natural hazards such as flooding, erosion, landslides and avalanches must be taken into consideration in rural areas. So should the possibility of "interface fires" be considered, and site plans should allow for protection of any structures from possible wildfires.

The Passmore site lies just inside the flood plain boundary for the Slocan River. There is a restrictive covenant on title which sets requirements for minimum height of floors above the 200 year average flood levels. This precluded a basement, and alternate plans had to be made for storage areas and mechanical/electrical rooms. As with all other aspects of the feasibility study, flexibility is required when new evidence presents itself. The group quickly decided that storage areas on the same level as living units were more usable, and decided the restriction on basements was a minor disappointment which would not adversely affect the building design, cost, or function. Once it was discovered that there was a restrictive covenant on title regarding the flood plain, the group had to contract for a topographical survey so that elevations could be taken throughout the site to ensure compliance with the flood plain restrictions was feasible. The survey was then used to draft a topographical map, and all documentation provided to the Senior Flood plain Engineer for B.C. Environment, Lands and Parks and to the Chief Building Inspector for the Regional District. They assure the owners and potential funders (B.C. Housing in particular) that the land is suitable for the building, and that no additional costs or risks should be associated with its location within the flood plain. This took approximately a month to complete.

Restrictive Covenants, Easements, Liens
A title search should turn up any restrictions or conditions to watch for. Many lots in the new Passmore subdivision have restrictive covenants regarding building design, for example. Just prior to donating the site to the seniors' group, the developers agreed to leave this restrictive covenant off the seniors' site if they were provided with input into the building design to ensure that it would not, in their opinion, negatively affect the sale of other lots in the new subdivision. A neighbour has a water well on the Passmore site, and has registered an easement to provide himself access to his well. This may create difficulties in the approval process through B.C. Housing, and if this proves to be the case, it is likely that the panhandle through which the easement crosses will be sold to the neighbour outright if B.C. Housing objects to the easement on the seniors' property.

Utilities
Cost of providing electricity, telephone, and other utilities to the site should be considered. Electricity and telephone are readily available to the Passmore site. There is no natural gas, but this is not available anywhere in the Valley, so it was not a greater difficulty with this site than with any of the others considered.

Amenities
Proximity to amenities such as shops, post office, bank or credit union, restaurants, clinics, and so forth is a serious consideration for seniors. Unless they live in one of the small villages or neighbourhoods, however, almost all seniors in the Slocan Valley depend upon cars to get from their current homes to these services, and this is nothing new to them. As driving becomes difficult or impossible, availability of transportation becomes a real problem, as noted in the survey responses received. The Passmore site is not very near to any amenities, except the Passmore Hall next door. Just across the highway there is a small organic food store. Slocan Park, 4.5 kilometres away, has a medical clinic, post office, credit union, gas station and store. Part of the planned service component for the housing complex will be help with transportation arrangements for residents, whether by volunteer, public transit, or special contract. It is also hoped that deliveries can be arranged to the site for such items as groceries and prescriptions.

Sunlight, Prevailing Wind, Views
It is important to consider the amount of daylight available on any given site, as well as viewscapes, and such things as protection from weather systems. The Passmore site is flat and open, and provides as nice a viewscape and as much potential sunlight as any of the other sites considered in the Valley.

Protective Services
Proximity to fire and ambulance and police protection is another consideration when sites are evaluated. The Passmore fire hall is within a few hundred yards of the site. There is an ambulance unit in Winlaw, about 15 minutes distance. The building's fire alarm can be wired directly into a response system through the Nelson fire department, which is staffed 24-hours a day and acts as a relay station to outlying departments.

Agricultural and Forest Land Reserves, Potential Land Claims, Heritage or Burial Sites
Care must be taken to investigate location of Agricultural and Forest Land Reserves, any potential Native Land Claims or past burial sites or artifact finds. None of these factors proved to be a problem at Passmore.

Costs
In relation to total project costs, land costs are insignificant in most rural areas when compared to land costs in the Lower Mainland, for example. Still, any capital savings in a small project make the development more viable, so cost remains an important consideration in site selection. Other important factors being comparable, the goal is still to acquire and service land as cheaply as possible to bring down project costs.

The Passmore site (which was the chosen property) was donated to the Seniors on the condition that they build the housing project within a mutually agreed time limit (See Appendix D). The Village of Slocan had offered a 60 - 99 year lease to the Seniors for one dollar, and the Winlaw site was offered at an attractive price with flexible payment terms.

The cost of new construction, particularly in the Kootenays, is a big concern. Construction of rental housing provides little or no return for investors because market rents in most places cannot support repayment of a mortgage loan, even at today's relatively attractive mortgage interest rates. Purpose-built rental housing, therefore is seldom constructed. This problem is magnified in areas with scattered populations, and in areas where incomes tend to be low and cannot support the required rental rates.

Part of the feasibility study for the Slocan Valley Seniors' Housing Project entailed examining potential ways to reduce construction costs. One of the major components of this research was to compare the construction and operating costs, along with other potential costs/benefits of three types of construction: standard wood frame, on-site construction; modular housing which is factory-built and delivered to the site; and straw bale, on-site construction using a significant amount of volunteer labour. As well as determining differences in material and labour costs, such things as community acceptance, availability of mortgage financing and building permit approvals, potential energy savings, environmental considerations, and suitability to climate were considered.

Use of One Common Design Vs. Three Different Designs
In order for this to be a truly comparative study, it was decided to compare these construction methods for one building design; not three different designs. Partly for this reason, the initial Slocan Valley Seniors' Housing design was based upon a 12 foot module (See Appendix F). This fits standard building materials simply and easily, and allows for straightforward modular construction. In addition, it works easily for a post and beam structure with straw bale infill.

Manufactured homes are a popular and affordable housing option for many British Columbians. The number of manufactured homes delivered to B.C. home sites in 1988 was only 481. Numbers peaked in 1994 at 1,852, with figures in 1997 indicating 1,322 homes delivered. This is close to the 10 year average of 1,368 homes. A Manufactured Home Survey completed at the end of 1994 indicated that five manufacturers were responsible for over 90% of manufactured housing industry sales in B.C. Of those, four were based in B.C. and one in Alberta. The B.C. firms were Chaparral Industries Inc., Moduline Industries (Canada) Ltd., NorTec Design Group Ltd., and SRI Homes Inc.

The term "mobile home" refers to a home which is constructed in a factory on a steel sub-frame in accordance with CSA Z240 Series standards which were adapted from the National Building Code to accommodate the size and transportation constraints of the homes. The term "modular home" refers to a home built in a factory in one or more sections and assembled on site. These homes are constructed in facilities which are certified to CSA A277 standards, ensuring that construction conforms to standards no less than those prescribed in the National Building Code.

Manufactured homes located on freehold land qualify for conventional mortgage financing with minimum down payments of 5% for qualified first-time buyers and 10% for all other purchasers. CMHC also provides mortgage insurance for manufactured homes. B.C. Housing has worked with a group building a multi-story seniors complex from manufactured components.

Advantages over Site-Built Homes
Advantages include very fast delivery of finished product, and the benefits of building in an environmentally controlled space. Delivery times for single family homes average six weeks, compared to three to six months for site built homes. This saves considerably on interim financing costs.

Quality
Quality of homes has improved significantly since the days of "trailers" and factory built homes are built to meet National and B.C. building codes. Interior finishes can be indistinguishable from site-built (including gyp roc wall finishes etc.). Some manufacturers even have multi-story home plans. Modular homes built to normal building code are meant to be assembled on site, and are not meant to be moved after transport to the building site. CSA Z240 standard homes are specially built to be able to be moved, so have lower roof pitches and are not good for heavy snow load areas. Double wide CSA Z240 homes can have higher roof pitches and therefore can handle more weight. CSA Z240 homes must be completely finished to be certified as meeting the approved standard prior to shipping from the factory.

Transportation
Transportation is the main limiting factor for the dimensions of the house. In 1995, the cost of transporting a multiple section home from the manufacturer to a local site was approximately $1,000 including loading and off-loading, transport permit fees, a pilot car and driver and mileage. Shipping a similar home to the interior of B.C. from the Lower Mainland cost about $4,500 that year.

Pre-Design Consultation
Two modular builders were consulted by telephone before the planning of the building was started. These are Chaparral (From the Okanagan) and Britco (from the Lower Mainland). Once the preliminary plans were completed, they were sent to both firms for further comment and preliminary cost estimates.

Chaparral indicated that they were not really interested in spending any serious time on the project. They reported that they could not compete with site building on a project like this. Their firm specializes in factory built single homes and simple industrial type structures. They cannot compete with local contractors on multiple dwellings. They estimated a construction cost in excess of $100 per square foot. Chaparral is an open, non-union shop.

Preliminary Cost Estimates
Britco, a union shop, was and still is seriously interested in the project, but indicated that they cannot complete with local construction when there is a considerable travel distance involved. They have been successful with multi-story modular construction in the Lower Mainland, and have completed some seniors' housing projects at competitive costs of about $83 per square foot (not including foundations). Their estimators projected a completed project cost of $90 to $95 per square foot (not including foundations). Part of the problem is associated with connecting pre-installed plumbing and electrical work. Too much site finishing is required, and the distance from factory to site increases costs. Crews have to be housed during site construction, and it is impossible to compete with local labour.

Changing the roof configuration to a flat or very low pitch would reduce the cost, but it should be pointed out that it would also reduce the construction cost if the building were built completely by local labour. Transportation costs of the units and the construction crews will still be a major factor.

Other Factors Considered
Another factor considered by the group in evaluating this construction method was that there would be little or no opportunity to make use of volunteer or donated labour or materials if the modular method were selected. The capital cost of the actual building would not be appreciably lower or any lower than a building constructed completely on site, and there would be no benefits in the form of local employment or community involvement.

Decision Not to Proceed with Factory-Built Development Model
When it became apparent that there was potential for significant donations of materials and labour for conventional construction, any possible advantage of using the modular method disappeared, and this option was not considered further.

Factory-built housing is still a very cost-effective method of providing single-family accommodation in the Kootenays, but the benefits do not translate into similar cost savings in a multi-family building such as the one proposed for the Passmore site.

Load-bearing Vs. Non Load-bearing Straw Bale Walls
Considerable research was undertaken in relation to the suitability of straw bale construction for this project. It has been determined that non-bearing straw bale walls could be suitable building material. No attempt was made to adapt a building based on bearing walls of straw though a straw bale/concrete sandwich panel was considered and would provide a workable construction solution. One possible method is to use plaster on the inner and outer surfaces of the straw bales as the bearing material. It must be reinforced and thick enough to serve as a long, thin structural column. This implies a plaster thickness of a minimum of 1" on both sides of the wall, adequately reinforced with welded wire mesh and properly secured to the foundation and the plates at the top of the wall. Control joints are necessary and shear walls at appropriate intervals are necessary. A second method is to pre-compress the bales and tie them down to insure compression over time. A number of methods have been used experimentally, but there is no way to know how they will behave over time. Uncompressed straw bale walls will settle from 4 to 6 inches in the first months.

Educating the Committee
There was very little knowledge of straw bale construction amongst the committee members, and there was initially some resistance to this "odd" building form. Therefore local experts Thomas Loh and Habib Gonzales were brought in to provide print and audio-visual information and presentations. Committee members attended a straw bale construction workshop, and toured some completed and some "under construction" straw bale homes.

Additional Square Footage/Cost Required in Original Design
In the originally proposed cruciform building design, the thickness of the walls required in straw bale construction increased the actual footprint of the building by approximately 10%. The cruciform design of the building had more exterior wall space than some other designs, which was a disadvantage to the straw bale comparison. If the construction costs per square foot remained the same as equivalent frame construction, this would have increased the area of the building by nearly 900 square feet. No additional plumbing, mechanical or electrical work would be required; therefore the increase in the cost of the overall building due to increased square footage was estimated at $40,000.

Other Costs and Concerns
Experienced contractors familiar with straw bale buildings agree that a building with non-load bearing straw bale walls does not save construction costs (assuming the work is done by qualified construction workers who are paid for their work). If savings are anticipated from use of volunteer labour, complications arise regarding contractor/society liability, WCB coverage, warranties, availability of volunteers when needed and for the length of time required, and willingness of lenders to finance and mortgage guarantors to insure the construction. Unlike single-family dwellings, there are no area builders with experience in constructing multi-family dwellings in our geographic/climatic conditions.

The Vapour Barrier Debate
Research is still under way in many cool wet climates (including the Kootenays) regarding the advisability of constructing straw bale walls without vapour barriers. Purists argue that one of the main advantages of straw bale wall construction is the "breathability" of the wall. Skeptics argue that condensation within the wall is inevitable. Many recently constructed straw bale structures have been monitored for some time with moisture sensors, but the group felt that the information is still incomplete, and on the advise of the designer felt that it is unwise at this time to consider construction of a straw bale residence for seniors without a vapour barrier.

If the construction is actually equivalent and includes an appropriate vapour barrier and interior finish, then the cost of materials for a straw bale wall itself is approximately 34% greater than a standard, well-insulated frame wall. Labour costs will increase as well. Since the actual walls, looked at in isolation, are not a major cost in the construction of a building, the increase costs for the straw bale walls would not appear especially significant in the overall budget. The extra material cost for this building would be approximately $10,000.

Problem of Supply, Transport, and Storage
There is also a concern about the supply, transport, and appropriate storage of the quantity of straw required prior to construction start.

Community Acceptance
Since straw bale construction is still considered to be an "alternative" building type in our region, there could be a problem of community acceptance of the building form. Valley seniors may have some resistance to considering residence in a seniors' facility of any type, and any factors which might have a negative marketing impact had to be seriously considered. Initial reaction from the seniors' committee was great skepticism. It should be noted that after several workshops and tours, acceptance by the committee and comfort levels with the concept increased significantly.

The determining factors given most weight after study were capital and operating cost and the items noted above. There were, however, environmental considerations which were seriously examined.

Environmental Factors
Environmental factors initially provided some of the strong arguments in favour of straw bale construction. These included:

* Straw is a waste product which , in the past, was often burned;
* If left to rot or tilled into the soil the rotting straw releases methane gas into the environment;
* Using straw to replace wood saves forests;
* Using straw to replace fiberglass insulation is an environmentally preferred solution because it requires less energy to manufacture and does not produce toxic fumes if burned.

Although some of the above are true:

* Rotting organic material also manufactures topsoil;
* Forests also produce organic material which emits methane as it breaks down into the topsoil which feeds the forest;
* A post and beam building uses nearly as much lumber as a frame building. The group and designer felt strongly that a weight-bearing straw bale wallshould not be considered for this project and that the straw bale construction should only be used as infill. The actual structure of the building should be post and beam construction;
* Cellulose insulation is a good replacement for fiberglass. It is mostly recycled paper, manufactured with a fraction of the energy costs of fiberglass. Cellulose is environmentally neutral, causing no known health hazards.

Potential Operating Cost (Energy) Savings
Considerable time was spent researching potential operating cost savings related to straw bale wall construction. The conclusion was that potential savings would be minimal because factors other than the R value of the walls are more important to long-term energy conservation.

Sample calculations were performed on generic 200 sq. ft. room, and based on a simple wall component of 200 sq. ft. Annual heating costs were determined for various wall and window configurations, using the cost of electric heat (there is no natural gas in the Slocan Valley).

Annual heating costs for 200 sq. ft. wall should be as follows:

Single pane glass		$478.00
Dougle pane glass		$238.00
Triple pane glass		$160.00
Low E glass with internal mylar film		$106.00
Single uninsulated wall		$160.00
2X4 wall - fiberglass	R12	$40.00
2X6 wall - fiberglass	R24	$20.00
2X8 wall - fiberglass	R32	$15.00
Straw bale on edge	R32	$15.00
Straw bale flat	R50	$9.50
Ceiling heat losses	R40	$13.00
Infiltration losses (200 s.f. room)
1 air change every 2 hours		$35.00
Same with heat recovery system		$12.00

Using the above figures, suppose a 200 sq. ft. room with 200 sq. feet of wall (w/80 sq. ft. low E glass and 120 sq. ft. of wall.)

If wall is R24, the annual heating cost will be:

80 sq. ft. low E glass at an annual cost of 53 cents/sq. ft.	$42.40
120 sq. ft. of wall	$12.00
Infiltration with Heat Recovery system	$12.00
Total	$66.00/year
Same room with straw bale wall (laid flat)	$60.00/year

The difference of $6/year for the above room would translate into $300/year for the proposed 10,000 sq. ft. seniors' building, and was deemed to be insignificant, particularly in light of the additional capital costs, concerns regarding condensation and vermin, and possible complications already discussed regarding building permits, funding, insurance, liability, and so forth in the straw bale construction option.

Future Potential for Multi-Family Dwellings
It should be emphasized that much research is ongoing into the potential of straw bale construction, and whether it is feasible in cool, wet climates such as the Kootenays. Once more data is available, it may be proven to be feasible to use straw bale construction, even for multi-family residential applications. There are growing numbers of area residents who are building straw bale single-family homes. Regulatory authorities, lenders and insurers place fewer impediments in the way of such single-family construction provided building codes are adhered to and building permits have been issued.

Regrettably, the group was faced with current constraints of regulatory agencies and lack of adequate data to enable them to consider straw bale construction for the seniors' residence at this time. Group members were very impressed by what they learned about straw bale construction, and will watch with interest research under way on area straw bale structures. In future, this alternative may be more feasible for multi-family dwellings and could be investigated again if a subsequent phase of the project is contemplated.

Selection of a skilled architect to work closely with the seniors' committee was critical to the success of this project. Three people had come forward after reading initial publicity about the formation of the planning committee, and it was decided that the three individuals/firms would be interviewed.

Early on it was determined that plans for this multi-family building would have to be overseen and approved by an architect licensed to practice in B.C. One of the candidates with a particular interest and expertise in straw bale construction was not yet registered in B.C., although he practiced in Ontario and was in the process of obtaining B.C. credentials.

A local landscape architect was affiliated with an architectural firm in Kelowna, and would act as their employee with their firm providing inspections and supervision and engaging engineers as required. A Nelson architectural firm also expressed interest in providing services.

Experience and Knowledge Required by Firm
The committee was seeking individuals/firms with the following experience and knowledge:

* multi-unit residential design experience
* design of seniors' housing or other seniors' facilities
* experience working with volunteers of a community-based non-profit
* familiarity with the BC building code and Ministry of Health design standards for areas of potential public use by seniors
* experience with CMHC, BCHMC or other social housing development processes and standards
* experience with seniors multi-unit market housing
* experience with group process around design issues
* developing multi-unit residential buildings in a rural area (i.e., site servicing issues)

Importance of Local Presence/Representative for Firm
Because of the fact that one candidate was not yet licensed to practice in B.C. nor was he associated with a firm, the choice was between the Kelowna and Nelson firms. The group felt that a local presence was critical to the success of the design development process, and only considered a firm as far away as Kelowna because they had a local representative who lives in the Slocan Valley. This would dramatically reduce disbursements for travel, long-distance and couriers, and make more frequent meetings and site inspections workable, as would also be the case with the Nelson firm.

Ethical and Legal Issues Around Donation of Professional Services
Initially the group hoped to have preliminary designs and some portion of architectural services donated. We found that B.C. legislation prohibits this practice, and the two firms were asked to submit full-service proposals using the standard fee schedules approved by the Architect's Institute. Other groups should be cautioned against asking for donation of architectural or other services to save money. This is grounds for complaints to the Architect's Institute, and could result in serious disciplinary action.

Reference Checks
References of both firms were extensively interviewed, with some emphasis on experience and skill at working with volunteer committees in a collaborative design process. The firm of Fulker-Maltby in Kelowna was engaged, using Eric Clough, a landscape architect who resides in the Slocan Valley as a designer employed by their firm. Serious emphasis on group process during the interview and selection process has paid off, resulting in a high satisfaction level within the design committee and an excellent working relationship between designer and client group.

Lack of Local Examples/Models & Need to Reflect Rural Lifestyle
A unique factor to be considered as a "design issue" in a rural area is the fact that local seniors don't have a model already available to view of a similar complex to the one proposed. Most have lived in rural homes most or all of their lives, and the idea of moving into an apartment-type complex in their rural community is quite novel and might be viewed with considerable skepticism, if not downright resistance. Design features which are closely identified with a rural lifestyle such as direct access from every home to the outdoors, privacy, potential to keep a pet, and outdoor gardening space were critical to project acceptance and marketing. Site amenities such as walking paths well off the highway which would provide safe outdoor exercise were important. The building couldn't look like a large, imposing, city-style apartment block, and needed to be attractive enough to have significant appeal.

Accessibility and Security Features for Safe Aging in Place
Careful attention had to be paid to factors which contribute to safe aging in place. All common areas had to be disabled accessible, and take into account features like adequate lighting, ventilation, and security features such as hand-rails. Guidelines for seniors' accommodations were followed regarding types of door and fixture handles, location and height of switches and plug-ins, and types of window openers. Wheelchair turning circles were incorporated wherever possible to provide for adaptability to accommodate disabilities. Showers with built-in seating were selected rather than standard tub/shower combinations for safety reasons. Comfort and safety considerations entered into selection of flooring (non-slip, easily cleaned, durable, appropriately cushioned) and type of heating system proposed. A radiant floor system of heating was deemed to be the most comfortable for seniors. As well, it holds heat for many hours, and will provide residual heat during frequent power outages during snowy winter months. Some covered parking was included in the site plan because of significant average snowfalls.

Unit Type and Mix
The issue of unit type and mix was eventually resolved based upon B.C. Housing Non-Profit Guidelines. Initially the building design included a number of studio apartments with private bath, minimal "kitchenette" facilities and no separate bedroom (a bed-sitting room arrangement). It was felt that these studio units would be less expensive to build and operate than self-contained one-bedroom apartments, and that full kitchens would be redundant in light of the intention to serve at least the main meal every day in the common dining room. Initial marketing indicated that, given a choice, almost all potential residents preferred the one-bedroom apartment. When designs were forwarded to B.C. Housing, they indicated that they would not approve funding for a studio apartment without a full kitchen, which seemed to the Board to remove any significant saving in construction. Once a decision was reached to apply for a non-profit unit allocation from B.C. Housing, the studio units were deleted, and replaced by one-bedroom units. If a non-profit unit allocation is achieved, most rents in the building will be geared to occupant income rather than unit size, so there is no advantage in pursuing the studio apartment model.

Common Area Furnishings
Attention has even been given to design of common area furnishings. Arrangements were made with the Kootenay School of Arts students enrolled in the wood design program of the B.C. Centre for Wood Design, to produce prototype dining room/activity room chairs and tables which would be attractive, stable, comfortable, stackable, and affordable. Four beautiful prototype chairs have been designed and produced, and once a final selection is made, the tables will be designed to match.

Flexibility to Meet Homes BC Design Guidelines
When the project was initiated, it was not known whether or not a Homes BC non-profit rental housing unit allocation would be sought, so plans were made flexible to be able to be revised to incorporate B.C. Housing development guidelines if a unit allocation was sought. (Current revised design has been modified to meet Homes BC criteria, and a unit allocation is being requested.) Adequate common areas to allow for provision of meal service and other forms of assistance to seniors were considered critical, as the majority of initial survey respondents required some assistance to remain in their own homes.

Potential to Add Additional Units in Future Expansion
It is difficult to predict future needs for additional serviced seniors accommodation in the area, but some attention was paid to potential for future additional units to be built as needed. Building siting and design had to be carefully planned to accommodate the required double septic fields and associated restrictions around neighbouring drinking water sources, to allow for future additional units. The original cruciform design allowed for an additional 12 units in a similar configuration as the first phase building. The revised, more rectangular design which meets B.C. Housing Guidelines would allow for an additional 10 similar units in a future phase.

Minimizing Toxic or Allergenic Materials in Construction
Particular attention was paid to researching toxicity of buildings due to outgassing from various common building materials such as wood laminates and fibreboard. If possible, cellulose insulation will be used to replace fiberglass. Because wood products are being donated for construction, it is also hoped that cabinets and cupboards will be constructed of solid wood, rather than the more toxic laminated products. Other materials such as flooring will be selected from types which are known to be less toxic and less allergenic than their counterparts.

Natural and Artificial Lighting for Safety and Aesthetics
Adequate lighting was considered a key design feature for the comfort and safety of residents. Attention was paid to sizing and location of windows to ensure plenty of natural light and optimal viewscapes from units. As well, a skylight was designed into the central common area to take advantage of natural light and make it an especially welcoming space for socializing and meal service. Since isolation was a commonly identified problem amongst elderly valley residents who responded to the initial needs survey, considerable emphasis has been placed on the aesthetics and functionality of the common amenity spaces in the building to encourage social activity.

Need for Semi-Private and Public Common Areas for Variety of Uses
Because it was envisioned that over time area seniors other than residents might make use of the activity/dining space in the central core of the building, serious consideration was given to the provision of a more private gathering place for building residents. This resident lounge was designed to be able to be separated off from the larger activity area to provide a cozier, more family-like area separate from the more public activity area. This way residents of the building will still feel that they have their own gathering place, regardless of any public or community functions which may take place in the building.

For a similar reason, it was felt that having a fireplace in the lounge area of the building was a priority. It was felt that this will draw residents and visitors to the lounge during winter months or evening hours, and be a homelike and cozy addition to the common area. Most rural seniors have back-up wood heat in the form of stoves or fireplaces, and the addition of a propane fireplace (there is no natural gas) in the building should provide a substitute "magnet" to a gathering place which in their rural homes was the wood stove.

A coffee corner where residents and guests can heat up and serve beverages and light snacks in the common area outside of the main kitchen servery was also felt to be necessary to encourage use of the activity room and lounge, and allows the main kitchen to be closed off for security reasons.

Appropriate Size and Design of Amenity Areas
Size and design of the amenity areas, particularly the kitchen and dining area were closely scrutinized, because any space/equipment/capital or operating cost associated with an area deemed to be "over and above" that normally allowed in seniors' non-profit accommodation might have to be separately funded from other parts of the building. The implications for raising capital funds and ongoing operational funding for "excess" space could be serious. Discussions are ongoing with B.C. Housing regarding what percentage of amenity and kitchen space will be deemed to be part of the "Shelter" component of the building and operation. Seniors in the community feel very strongly that spaces which will serve as a base for outreach services (such as offices for visiting professionals and for a seniors' co-ordinator) are a priority, and a key feature of the project.

Management models from existing seniors' housing projects were researched. Options of live-in caretakers, off site caretakers, contract work, and volunteer participation were examined. "Shelter-related" duties and costs had to be separated out from "Service-related" duties and costs because if the B.C. Housing non-profit funding mechanism is used, only shelter costs are covered by their operating subsidies.

Selection of Non-Profit Model with Community Based Board
Because of the small size of the project (10 units in phase I), and the fact that residents will most likely include a number of frail elderly, it was decided that a non-profit management model would be best for the project rather than a co-op model. It was felt that it was very important to have a large enough board of directors and general membership to take on all of the management and volunteer tasks associated with development and ongoing operation of the facility. A 12 member board was decided upon, with society membership open to all interested applicants in the service area. Care was taken to solicit membership on the board by people representing all of the valley.

Use of Sub-Committees
As well, several key sub-committees were struck to deal with specific areas of management. Membership on committees is not restricted to board members, and is one of the ways of involving large numbers of valley residents in the project in order that knowledge of and support for the society's activities is very widespread. Three major standing committees include:

* Resource Committee
* Management Committee
* Building Committee

Ad hoc sub-committees are struck as required for specific activities such as public meetings, fundraising events, and so forth.

Importance of Including BCHMC/CMHC Mandatory Clauses in Constitution
B.C. Housing Non-profit development guidelines were taken into consideration in the drafting of the constitution and bylaws of the society, in order that the required unalterable Canada Mortgage and Housing and B.C. Housing clauses in the constitution were entrenched. This provided the opportunity to apply for a non-profit unit allocation in future if the Society selected this as the method of development and financing for the project. A copy of the constitution and bylaws is appended.

Importance of Charitable Tax Status from Revenue Canada
Similarly, careful attention was paid to inclusion of appropriate clauses in the constitution and bylaws to qualify the Society for Charitable Tax Status from Revenue Canada. Charitable Status was applied for and received. This greatly enhances the group's fundraising capability, in that it provides additional incentives for individuals, corporations and foundations to donate time, materials and money to the project.

Significant Management Questions to be Answered
In determining the management structure, some of the following fundamental questions had to be addressed:

* What are the roles of the Board Members, Members, Committees and Staff?
* What are the reporting procedures to the Board and Membership?
* Can Board Members be Residents?
* Can Residents be Society Members?
* How will the Board Members be recruited and elected?
* How will continuity be ensured?
* How will Board/Committee Members be educated in Roles and responsibilities?
* Which jobs will be done by paid staff, and which by volunteers?
* Can Board Members/Relatives of Board Members be paid for contract work?
* This is a unique situation in small communities where there may not be others in the community to perform certain jobs.

Job Descriptions
Job descriptions were drafted for Board Members and for Committees. These clearly outlined the authority of individual Board Members versus the collective, and the limits of authority of committees and their reporting relationship to the Board.

List of Duties Used to Draft Operating Budget for Management
To determine what duties will need to be performed once the project is occupied, a comprehensive list of jobs was compiled, including everything from tenant selection to seasonal grounds maintenance. (See Appendix I.) This was reviewed by B.C. Housing Management staff to ensure that all significant areas of society and building management were included in the plan. Then duties were designated as appropriate for either volunteer or staff or a combination of the two for drafting the initial budget for project staffing.

Minimizing Number of Employees/Contractors for Board to Supervise
Because of the small size of the project, and the many tasks involved in management and maintenance, it is impractical for the Board to hire specialists in all areas and have many part-time or contract employees performing work for the Society. Therefore B.C. Housing and the Management Sub-Committee for the project are recommending that a bookkeeper and one project manager be contracted, who will then sub-contract various duties as he/she deems appropriate. This way the Board will not have to supervise many individual employees or contractors providing services.

Based upon an estimate of time and wages required to perform all the paid functions in the comprehensive job list (Appendix I.) B.C. Housing indicates that the operating budget (See Appendix H.) is reasonable and supportable.

Resident Vs. Non-Resident Caretaker/Manager
The Board strongly prefers a resident caretaker/manager model for the building because of its remote location and the vulnerability of the elderly residents. B.C. Housing will not pay additional operating money for a resident caretaker for a project of this size, but this would not preclude an eligible resident (within B.C. Housing's current Core Need Income Threshhold or Upper Income Ceiling) from performing contract services.

Costs of Providing "Services" to Residents
Similar to building design considerations, any management and operating costs associated with provision of "services" to residents had to be separated from those associated strictly with "shelter" because of B.C. Housing's restrictions on funding services. Various alternatives are still being researched as to how to cost-effectively provide daily meal service, provide assistance with housekeeping or laundry, assist with transportation, and other services such as visiting professionals or grocery and prescription deliveries. These services will not be included in tenant rents, and could be contracted for separately or provided by volunteers as needed by residents. Until final tenant selection takes place, it is difficult to predict the number of residents who will desire the various services. Discussions have already taken place with Home Support to allow for "pooling" of home support hours for eligible residents, and various businesses and individuals have been approached regarding making proposals for meal service, transportation and housekeeping assistance.

Policies Around Community Use/Outreach
Policies are also being developed regarding community uses of the building which could enhance the lives of residents and neighbours or provide additional funds for operations.

As with operating costs, it was necessary to separate ongoing operating costs associated with spaces in the project determined to be in excess of those ordinarily funded by B.C. Housing for seniors' apartments. These might include such items as the additional heating costs of spaces such as an office for visiting professionals, or the cleaning costs and maintenance costs for additional kitchen/dining room space for provision of a meal service. If a Homes B.C. unit allocation and operating agreement are the financing mechanism for the shelter portion of the project, the Society will be responsible for separately funding the operations of any spaces or activities attributed to the provision of services for residents other than those usually provided in a landlord/tenant agreement.

Throughout the capital and operating budget formulations, an attempt was made to separate out the "non-shelter" or "ineligible" costs associated with providing needed services to residents.

An extremely important function of the Board and, in particular, the Resource Sub-committee, was to examine ways to bring costs down through grants, donations of time, money, materials, and volunteer labour. Some important cautions should be noted by groups endeavouring to move outside of the standard project development model under which 100% of project financing is through an insured government mortgage. A careful cost/benefit analysis and risk assessment has to be undertaken to ensure that donations actually benefit the project, and that the complications which can arise from using donated materials and labour, for example, don't outweigh the initial cash savings.

Use of Volunteer Labour
Use of volunteer labour may create many complications. Time availability of volunteers is a big issue. Volunteers may not be able to be counted on to complete promised jobs precisely when they are needed in order not to hold up the next trade. Other paid work or unforeseen family circumstances might take precedence over the volunteer's time commitment. Who is responsible for the work of a volunteer if the work is deemed to be of an unacceptable quality? It is highly unlikely that general contractors will take on the liability for, or warranty the work of even the most skilled volunteers. As in the case of designers, partial donation of services or labour or discounted bid prices may not even be legal.

This being the case, if a person works under a standard pay agreement, there is still some potential for that person to make a cash donation to the project, but such donation cannot be fully counted on until received. It could be unwise to reduce the project budget by an amount promised in the form of a donation back to the Society because unforeseen circumstances may interfere with the pledge actually being paid to the Society at the time and in the amount promised.

Use of Donated Materials
Some similar concerns as noted above for volunteer labour could arise around donated materials. Things to be considered are who certifies the materials to be of appropriate standards outlined in the specifications, ensures that they arrive on time and in sufficient quantity, and provides warranties. Other questions, such as how to achieve fair credits for donated materials, also deserve consideration.

Appropriate Questions to Pose

* If donated materials turn out to be defective, who bears the responsibility/cost of replacing them?
* Is the cost of a volunteer co-ordinator or clerk of the works more than the savings which might be achieved through donation of materials and labour?
* Will use of volunteers or donated materials jeopardize financing, insurance, or warranties on the project?
* What constitutes adequate and appropriate storage space for donated materials; will it be available; and at what cost?

Wood products for the Slocan Valley Seniors' Housing Project are being donated to the Society by several local mills. A local manufacturer has offered to custom build wood-frame windows for the project, only charging for a portion of the labour. The Board now has to attempt to determine whether these custom-built windows will actually be less expensive (even with the donated wood and partial donation of labour) than mass-produced, ready-made windows which would be supplied, installed, and under warranty by a general contractor.

Similar determinations will have to be made with cabinets, doors, and other wood elements in the proposed building. In the case of actual lumber products such as beams, studs, sheathing, and so forth, the savings are more straight-forward.

Wood Showcase
Donation of all the wood for the project will also help to meet the Board's objective of making the project a "showcase" for local wood products, and will enhance the project's appeal and support. It also provides a model and incentive to others to donate materials and services.

In spite of all of the above cautions, there are ways to mitigate risks associated with donated labour and materials. The importance of donations cannot be underestimated in times of high building costs and limited funding. The Slocan Valley Seniors Housing Society is attempting to raise over $300,000 through donations of materials and labour, in combination with numerous fundraising activities. Donation of the building site, excavation and fill, and wood products alone will reduce project capital costs by approximately $130,000. A comprehensive fundraising campaign has been under way for some time, and has already netted over $15,000 in individual donations. As well, grant applications have been submitted to various Foundations for a total of $70,000. In combination with major fundraising activities yet to come (such as the Seniors' Hike for Housing), the group hopes to achieve significant savings through donations of additional materials and labour.

Using Tender Documents, Contract Documents, & Change-Orders to Mitigate Risk
In order to reduce risk, all materials will have to meet the architect's specifications, and have CMHC approval. The architect will certify by change-order any materials which differ from those in the specification as equivalent or better before such material can be accepted and incorporated into the construction. Tenders will be let with as many individual prices as possible, in order to negotiate "up front" a fair credit from the contractor (cost less any restocking charges) for donated materials received in accordance with the construction schedule.

Using Tax-Deductible Personal Cash Donations vs. Donated Labour
To achieve savings in labour costs, the method to be used is to recruit qualified workers to the job, who will hire on for full wages with the general or sub-contractor, and who wish to make personal, tax-deductible cash donations to the Society after they have been paid. This way the contractor is not liable for the hiring, firing, supervision, or quality of work of "volunteers". All of the contractor's usual rights, responsibilities, and control over his/her workforce remains in place. It is the individual workers who will choose whether or not to make cash donations to the seniors' housing project.

Using a Technical Co-ordinator
A grant application has been submitted to Human Resources Development Canada to provide for the services of a technical co-ordinator, to ensure that use of donated materials or labour does not interfere with the scheduled course of construction, and that all aspects of appropriate contract credits and so forth run smoothly.

The Society is now considering the possibility of acting as a sub-contractor, and bidding on specific parts of the construction such as: carport construction, painting, landscaping, or construction of decks and privacy spaces for exteriors of each unit.

Funding for Woodworker Wages to Produce Furnishings
As well, Human Resources Development Canada funding is being requested which would pay the wages of several qualified woodworkers to produce from donated wood, the dining tables and chairs designed by students from the B.C. Centre for Wood Design at the Kootenay School of the Arts. Finishing work such as common area feature walls, hallway wainscotting and railings may also be considered.

Separate Pricing During Tendering
Sections of the construction contract which can logically be separately priced and potentially deleted from the general contract (such as excavation for septic fields and services, portions of the landscaping such as plant stocks etc.) will be tendered such that the bidders will give separate prices and or credits for segments of the work or materials which may be donated.

Benefits Outweigh Risks
In this way it is felt that significant savings can be achieved through the use of donated materials and labour. Additional benefits will be more involvement by the community, and therefore more feeling of community ownership and responsibility for the project. These benefits can be achieved with very little risk to the project, and are well worth pursuing.

Another potential way to save money is to obtain financing at reduced interest rates. We have learned that it is against the law for Credit Unions to provide financing over a certain spread below their posted rates. Because interim financing and mortgage interest rates are quite low right now, the impact of reduced interest rates is much less than it would have been during the early 80's, for example, but is still worth examining. If any portion of the take-out financing can be obtained at reduced rates, the benefits can be significant.

The Society has made preliminary inquiries to the Columbia Basin Trust regarding the availability of low-interest loans, and has had discussions with local financial institutions about local, community-based investment funds. The Columbia Basin Trust has only within the last few weeks begun to examine its role in providing this type of community assistance, and as soon as proposals are invited, the group will submit an application for a cash grant or for zero or low-interest financing.

Discussions with B.C. Housing Development Project Officers indicate that on some projects they have worked with in the past, additional costs of accounting for and managing separate construction financing loans at different rates may have outweighed any interest savings. This problem could be mitigated through the use of the technical co-ordinator position for which funding is being requested from Human Resources Development Canada. If low-cost financing is available for a portion of the take-out financing, not just the interim financing, the picture changes significantly. The experience of such international housing groups as Habitat for Humanity which use zero interest take-out mortgage loans has proven the financial benefits to those housed in homes they build. Money saved is then re-invested in more affordable housing stock. Land, and cash grants and donations appear to be B.C. Housing's favoured mechanisms for bringing capital costs down. For the reasons stated above, interest-free or low-interest financing is still being pursued, and depending upon the results of negotiations with local lenders and the Columbia Basin Trust, will be presented to B.C. Housing as legitimate methods of bringing costs down.

As noted earlier in the report, community understanding and support for a project such as this in a rural area can be hard won. Rural seniors pride themselves on their independence, and may see apartment-type living as foreign and undesirable. Many see moving into serviced seniors housing as a negative reflection on friends, neighbours and family who in previous times "looked after their own." Many seniors, rural or urban, view moving from their family homes as a move of last resort, and an acknowledgment that they cannot manage as well as they did when they were younger. These are difficult mind-sets to change.

Providing Opportunities for Community Members to Become Involved
One of the most successful ways to achieve community support, and to make the idea of serviced seniors' housing acceptable to prospective tenants and their families, is to provide area residents with opportunities to participate in the work of the development of the project. This increases their knowledge of what is proposed, and creates a pool of ambassadors for the project who help to spread the word about its merits to friends and acquaintances. This carries far more weight than any advertising or publicity campaign ever would. In the case of the Slocan Valley, this participation was achieved through having a large board of directors (12 members) representing the entire geographic area intended to be served by the project. Inviting non-board members to sit on working sub-committees and to participate in public events spread the work, the knowledge, and the support for the project throughout the community.

Good Relations with Local Businesses and Media and Lots of Advertising
Heavy emphasis was placed on keeping the public informed through the local print and broadcast media. Appendix K includes copy from numerous stories and advertisements run in local and regional publications. Posters were also heavily used, and the co-operation of Valley businesses and organizations increased public awareness and support.

Building Up a Mailing List and Providing Newsletter Updates and Invitations
A mailing list was built up from initial survey respondents, and added to as folks asked to be included in information updates as they learned about the project through public meetings, media stories, fundraising events and so forth. Regular project development updates were sent out to those on the mailing list, as well as invitations to information meetings and public events.

Interesting, Well-Planned Meetings with Refreshments/Entertainment
Care was taken to carefully plan each public meeting so that agendas were interesting and informative, that many members of the project development team made presentations on their area of interest or work, and that refreshments and/or entertainment was provided.

Partnerships with Local Schools
Because of the importance of the local schools in the social fabric of the rural community, good use was made of partnerships with teachers and students. Shop students from Mount Sentinel High School carved a sign for the donated construction site, and a large public celebration was held on Ground Hog Day to mark the donation of the land and progress of the project development committee. Over 200 people turned out for an update, bonfire, music, and the unveiling of the sign made by the high school students.

Woodworking students donated projects they had made from local wood (ranging from inlaid chess boards to elegant garden furniture) for a raffle to raise money for the seniors' project. Students and their instructor made coin banks in the shape of little wooden houses which were placed at local businesses for selling support buttons for the project. Details of some very successful fundraising activities follow in another section of the report.

Support of Politicians
This type of community support also solidifies the support of local, provincial, and national politicians, who can assist the project in numerous ways. For example, the Regional District Director recommended approval of funds from his Grant-In-Aid budget to assist with development activities; the Member of the Legislature supports the project and attends public functions whenever possible; and the Member of Parliament assisted with timely approval of the Society's application for Charitable Tax Status from Revenue Canada, and provided information and support for a grant application to Human Resources Development Canada.

Provide for Community Input, and Respond to Community Wishes
As well as keeping the community constantly involved, informed, and updated, it is important to solicit their input about the project, and to take into account their wishes and suggestions. Lots of opportunities were given to people to pose questions and to make suggestions, either verbally at meetings, or on comment forms or mail-outs. This also assists the Board and Committees to know that they are on the right track in their development of project plans, and helps to sustain their energy through the long process.

The high level of community knowledge and support for the project eases the transition into one-on-one marketing and tenant selection for the project.