Canada's Economic Action Plan creates jobs and improves housing on reserve in
Quebec

MONTREAL , Feb. 5 /CNW Telbec/ - The Government of Canada , through Canada Mortgage and Housing Corporation (CMHC), announced today an investment of $150,000 as part of Canada's Economic Action Plan to improve housing conditions for Mohawk Communities.

The Honourable Christian Paradis , Minister of Natural Resources, on behalf of the Honourable Diane Finley , Minister of Human Resources and Skills Development and Minister Responsible for Canada Mortgage and Housing Corporation (CMHC), made the announcement today.

"Our Government's Economic Action Plan is improving housing conditions for those who live in First Nation communities in Quebec . We are also stimulating the local economy by creating jobs," said Minister Paradis.

Through Canada's Economic Action Plan, the Government of Canada has committed $400 million over the next two years to help First Nation communities build needed new housing, repair and remediate existing non-profit housing for their members, and complement housing programs offered by CMHC. This investment will also provide an economic stimulus for many First Nations and surrounding areas by creating jobs.

The application calls for the year one (2009/10) new funding initiatives under Canada's Economic Action Plan were very successful and generated a large number of applications. As a result, CMHC will be fully allocating all the available funding for the fiscal year.

The year two (2010/11) application call is now open. Applications for this second round of funding will be accepted between February 1, 2010 and February 22, 2010 .

Through Canada's Economic Action Plan, some $45 million in federal investments will be made available to First Nations in Quebec to address immediate housing needs.

CMHC will allocate $150,000 to retrofit 48 social housing units in Kahnawake and Kanesatake to improve living conditions in these First Nations' communities.

More information on this and other measures in Canada's Economic Action Plan, the federal government's plan to stimulate the economy and protect those hit hardest by the global recession, can be found at: www.actionplan.gc.ca.

To find out more about how the Government of Canada and CMHC are working to build stronger homes and communities for all Canadians, call CMHC at 1-800-668-2642 or visit www.cmhc.ca/housingactionplan.

Backgrounder attached.

INVESTMENT TO IMPROVE ON-RESERVE SOCIAL HOUSING

The Government of Canada is committed to supporting First Nations through targeted investments to build and renovate housing. Today's announcement is the latest in a series of commitments by the federal government to improve housing conditions in First Nations communities.

This commitment is in addition to the federal government's annual investment, through Canada Mortgage Housing Corporation (CMHC) and Indian and Northern Affairs Canada (INAC), of approximately $277 million for on-reserve housing needs, and INAC's investment of approximately $118 million annually for First Nations on-reserve in the form of shelter allowance payments under the Income Assistance Program.

Under Canada's Economic Action Plan, the Government of Canada has provided $400 million over the next two years to support on-reserve housing. Of the $400 million committed, $250 million will be delivered through CMHC over two years for the creation of new on-reserve housing ( $125 million ) and the repair and renovation of existing federally-assisted on-reserve social housing ( $125 million ). The remaining $150 million will be delivered by Indian and Northern Affairs Canada (INAC) for lot servicing, renovations, new construction of high-density multi-unit dwellings, and renovations to support the conversion of band-owned housing to private ownership.

In 2007, the Government invested $300 million in the First Nations Market Housing Fund, which encourages market-based housing on-reserve and could create 25,000 new housing units over the next decade.

    
    Funding Breakdown - Mohawk Communities

    Kahnawake
    Total CEAP Contribution: $104,000
    Retrofit: $104,000 (36 units)

    Kanesatake
    Total CEAP Contribution: $46,000
    Retrofit: $46,000 (12 units)
    

For further information: Media: Charles Sauriol, CMHC Media Relations, [phone]; Julie Cohen, Communications CMHC, Quebec Region, [phone]; Michelle Bakos, Office of the Honourable Diane Finley, Minister of Human Resources and Skills Development Canada, [phone]