"It's interesting because it is part of a growing trend of the community sector being a part of an overall solution for housing needs.
"But the sad part about it is Housing New Zealand is being scooped back to the point where it can't really do its job anymore.
"The Government has taken nearly a quarter of a billion dollars in dividends out of Housing New Zealand and run down stock to the point where it can't cope even with emergency houses."
Mr Cunliffe said waiting lists for a Housing New Zealand home in the Tauranga area could be up to three years.
However a Housing New Zealand spokesperson said the current waiting time was about 45 days for a priority A family and about 75 days for a priority B family.
"It used to be a matter of days or weeks, but we just don't have the stock," Mr Cunliffe said.
"Meanwhile we are hearing some Housing New Zealand stock hasn't been properly refitted so we have empty homes, it's an emergency situation and it's a crisis, not the way New Zealand should be."
Mr Cunliffe said Labour's Kiwi Build scheme would help alleviate some of the issues across the Bay and the scheme would be set up as soon as Labour was voted in.
The scheme would see 100,000 new homes built with 10,000 per year within their first term.
"We want to put first home buyers back in the market with Kiwi build," he said.
Mr Cunliffe said there were three areas where Labour's policies would benefit people in the Bay of Plenty.
"More and better jobs, housing and children and families. The practical stuff that people need, more job opportunities, more training opportunities, more opportunities to buy your own home, lower power bills, lower mortgages and lower interest rates which means more money in the pocket.
"People talk about the rock-star economy, but the truth is people are not seeing anything of it, life just gets harder, we want a country that is fair for everybody not just the top couple of per cent," he said.