$77.2 million package to improve private rooming houses

The Victorian Premier John Brumby has announced a $77.2 million package of initiatives to assist vulnerable people living in rooming houses and respond to illegal and unscrupulous behaviour by rooming house landlords.

There are currently around 500 registered rooming houses in Victoria and over the last few years there has been a rapid expansion of privately run operations. It is estimated numbers could have grown to 1000 rooming houses around Victoria.

Whilst many private rooming house operators are fair and reputable, there is growing evidence of illegal and unscrupulous behaviour.

On 15 July 2009 Victorian Premier John Brumby announced the Rooming House Standards Taskforce to take “action on those predatory operators of intentionally sub-standard rooming houses who prey on some of the most vulnerable members of our community.”

Martin Foley MP was appointed Chairperson of the Taskforce and asked to report to the Minister for Housing, Richard Wynne MP, and the Minister for Consumer Affairs, Tony Robinson MP.

Taskforce Chairperson’s report

Taskforce Chairperson, Martin Foley MP has delivered his report and letter to the ministers which proposes 32 recommendations in four key areas:

1. Improving standards of safety and amenity
2. Mandatory registration of operators and premises
3. Strengthening compliance and enforcement
4. Increasing the supply of alternative affordable rental housing

Chairpersons report on the Rooming House Standards Taskforce (PDF Size 555KB, Pages 56)

Chairpersons letter to the ministers (Word Size 60KB, Pages 2)

Government response

The Victorian Government has delivered its response to the recommendations.

 Government Response to the Rooming House Standards Taskforce (Word Size 144KB, Pages 17)

The Government accepts all the report’s recommendations in principle and will provide $77.2 million for implementation.

A number of recommendations require further investigation, particularly those that involve complex changes such as amendments to legislation.

Immediately the Government will begin work to:

1. Develop a registration system through the Business Licensing Authority for all rooming house operators, that is linked to a statewide register
2. Introduce new laws to improve standards for safety and security in all Victorian rooming houses
3. Allocate $7 million to be used over three years for alternative crisis accommodation for families with children
4. Allocate $3.1 million to lease small not-for-profit rooming houses to accommodate around 400 people over three years
5. Allocate $50 million to build 200 new homes for use by families in housing crisis using funds from the Australian Government’s Nation Building Economic Stimulus Plan
6. Increase the power of the Director of Consumer Affairs Victoria to act on rooming house operators that are in breach of their responsibilities
7. Establish a $2.5 million private rental brokerage program to assist residents to establish sustainable tenancies in the private rental market
8. Establish a $2 million sustainability fund to improve energy and water efficiency in registered rooming houses

The Victorian Government acknowledges the work of the Taskforce Chairperson, Martin Foley MP and members of the Taskforce:

• Mr Mark O’Brien, Tenants Union of Victoria
• Mr David Wright-Howie, Council to Homeless Person
• Ms Kate Colvin, Victorian Council of Social Services
• Mr Owen Harvey-Beavis, Municipal Association of Victoria
• Mr Simon Roberts, Registered Accommodation Association of Victoria
• Mr John Enticott, St Kilda Rooming House Issues Group
• Mr Rob Leslie, Yarra Community Housing
• Mr Brian Pound, Community Housing Federation of Victoria
• Mr Robert Larocca, Real Estate Institute of Victoria