December 10, 2010

CALGARY, AB – The Government of Canada joined today with the City of Calgary and the Calgary Homeless Foundation (CHF) to celebrate the official opening of a 33-unit building for low-income individuals, located in the community of Sunalta.

Lee Richardson, Member of Parliament for Calgary Centre, on behalf of the Honourable Diane Finley, Minister of Human Resources and Skills Development and Minister Responsible for Canada Mortgage and Housing Corporation (CMHC), along with Tim Richter, President and CEO of Calgary Homeless Foundation, attended the ceremony.

“Renovating rental properties not only helps to build strong and healthy communities, but most importantly, it improves the quality of life for residents,” said Lee Richardson, MP. “That’s why our Government is proud to have contributed to these projects in Calgary. We remain committed to giving a hand-up to those in need by providing safe, affordable housing that meets their needs.”

Through CMHC’s Rooming House Residential Rehabilitation Assistance Program (RRAP), the Government of Canada provided $375,000 toward the creation of 33 units. Human Resources and Skills Development Canada provided an additional $285,000 through the Homelessness Partnering Strategy, for a total of more than $660,000 in comprehensive renovations to the building including individual rooms and common areas.

The building was purchased by the CHF in 2009 for approximately $1.2 million, of which more than $1.1 million was provided by the City of Calgary. This money came from the Government of Alberta’s Municipal Block Funding Grant for capital development of affordable housing – part of the provincial government’s commitment to end homelessness in the province.

“A choice of housing options is important in every community. By working together we can leverage our resources to make difference to more people with fewer tax dollars,” said Jonathan Denis, Minister of Housing and Urban Affairs.

“Today’s opening is exactly what The City’s Block Funding program is designed to do, provide safe and affordable housing to Calgarians who need it the most,” said Mayor Nenshi. “This initiative showcases the importance of partnership between the private sector, all levels of government, and communities when addressing the challenges of affordable housing.”

“This affordable housing is an example of the public and private sectors and community working together to turn a building into a home,” said Tim Richter, CHF President and CEO. “The City helped us buy the bricks and mortar, using funds allocated by the provincial government towards ending homelessness, and the federal government and private businesses allowed us to renovate the building into a place tenants can be proud of.”



The following is a speech given by Lee Richardson, MP for Calgary Centre at the funding announcement.

Hello.

It’s a pleasure to be here on behalf of my colleague, the Honourable Diane Finley, Minister of Human Resources and Skills Development and the Minister Responsible for Canada Mortgage and Housing Corporation.

This is an important day for Calgary. We are celebrating renovation funding for two housing projects in the city, enhancing the quality and accessibility of housing for residents in this area.

At the Lodging House, funding from the Government of Canada helped to support upgrades that were recently completed to serve the 33 beds in this building, including complete renovations to individual rooms and some of the common areas. These renovations have extended the life of the building, which means that the Sunalta Building can continue to serve and assist members of our community for years to come.

This is great news for those in need, and for Calgary itself. By providing more rental housing for low-income residents and individuals at risk of homelessness, the Sunalta Building will also contribute to the economic and social well-being of the community.

This is also true for the downtown area, which will soon benefit from 59 newly renovated units at Sundial Apartments.

I’m proud to say that in total, these two projects in Calgary have received more than $900,000 in federal funding through the Residential Rehabilitation Assistance Program, delivered by Canada Mortgage and Housing Corporation. The Sunalta Building also received $285,000 from the Homelessness Partnering Strategy – a federal program implemented by Human Resources and Skills Development Canada that aims to prevent and reduce homelessness throughout the country. These contributions are supporting needed improvements that will preserve the quality of housing in this province.

The Government of Canada is committed to providing renovation funding for low-income households, as well as supportive housing in Calgary and across the country. In 2008, we committed $1.9 billion over five years to improve and build new affordable housing, and to help the homeless. It is thanks in part to this investment that we are here today. 

As part of this funding, the federal renovation programs were extended for two years. This means $16 million in federal funding, over two years, for renovation projects in Alberta.  This will allow us to renovate more projects like the Sunalta Building, to help ensure low-income Canadians can continue to live in a safe and secure environment.

With the current economic situation, it’s more important than ever that we all work together, and keep moving forward. That’s why our Government is taking timely and focused action to boost job creation.

Canada has returned to economic growth following the deepest economic recession since the 1930s. But the recovery remains tentative and fragile. We must stay the course and complete our stimulus plans.

That’s why implementing Year 2 of Canada’s Economic Action Plan remains a priority for our Government. This was a cornerstone of both the Speech from the Throne and Budget 2010 – Year 2 of Canada’s Economic Action Plan.

Today’s event marks an important step forward for the people of Calgary and demonstrates what we can achieve when we work together.  I want to thank and congratulate the folks at the Calgary Homeless Foundation for their leadership in spearheading the transformation of this building.  I’d also like to thank project sponsors of Sundial Apartments, the City of Calgary and the Province of Alberta for their contributions to affordable housing in this city.

I understand that this project also benefited from the time and energy of many volunteers, as well as in-kind support from numerous community members, the Sunalta Community Association, local businesses and the Calgary Homeless Foundation, whom I’d also like to recognize today.  Thank you for your commitment to your neighbours and your community. With your assistance, we have moved this project from a vision to a reality, and now more Calgarians have a place to call home. 

Together, we are helping to provide more housing options for residents of this city, and for that, we can all be proud.

Thank you.




Questions and Answers
INVESTMENTS IN AFFORDABLE HOUSING FOR ALBERTA




1.  How are funds under Canada’s Economic Action Plan being delivered?

Most of the funding under CEAP, $1.525 billion of the more than $2 billion, is being delivered by provinces and territories through amendments to existing agreements. Provinces and territories will design and deliver these initiatives, as well as cost-match the federal investment.

The federal government will directly deliver the remaining $550 million of this $2 billion funding: $150 million for the renovation and retrofit of social housing projects administered by Canada Mortgage and Housing Corporation (CMHC), and $400 million in new construction and repair for housing on-reserve through CMHC and Indian and Northern Affairs Canada.


2.  How do the amendments of the Canada-Alberta Affordable Housing Agreement work?  
For programs funded through the AHI and CEAP initiatives being delivered by Alberta, the province is responsible for program design and delivery in accordance with federal program parameters. Under the amended agreement, federal funds are targeted to households on or eligible to be on a waiting list for social housing. Funding may be used for new construction, major renovation and conversion as well as for the renovation of the existing social housing stock, depending on the initiative in question. The federal funds are cost-shared on a 50/50 basis.


3.  How will the two years of renovation funding be delivered in Alberta?
CMHC will continue to directly deliver the federal renovation programs in Alberta as the province has chosen not to cost-share or deliver this program.


4.  How much is Alberta investing under the amended AHI agreement?
Based on their approved plan, Alberta’s contributions are: $95 million for Canada’s Economic Action Plan over two years; $24 million for the two-year extension of AHI, for a total of $119 million.


5. How long will the funding under CEAP, AHI and the renovation programs be available?

There are two years of federal funding under both the stimulus measures in Canada’s Economic Action Plan and the extension of AHI and Housing Renovation Programs.


6.  What is the status of projects for years 1 and 2?

The federal government is working with its provincial and territorial partners, First Nations and non-profit and cooperative housing groups to ensure that housing related funding under Canada's Economic Action Plan is fully taken up by March 31, 2011. Year 1 funding was fully taken up as planned, and we are on track for full take up again for year 2.

As reported in the Sixth Report to Parliament (September 2010), more than 9,000 projects are under way or completed to improve social housing and First Nations housing across the country.


7.  What happens if projects are not completed by March 31, 2011?

We’re working with our partners including provinces and territories, First Nations and non-profit and cooperative groups to monitor the progress. We’re on track for full take up of year 2 funding. Projects are well underway.


8. Will there be more federal money for housing?

The Government of Canada’s commitment to affordable housing is significant.

In September 2008, the Government of Canada committed more than $1.9 billion over five years to improve and build new affordable housing and to help the homeless.  As part of this investment, the federal renovation programs for low-income households, and the Affordable Housing Initiative, were extended for two years.

Canada’s Economic Action Plan builds on this with a one-time investment of more than $2 billion over two years to build new, and repair existing social housing.

The Action Plan also provides up to $2 billion in direct, low-cost loans to municipalities through CMHC to fund housing related municipal infrastructure projects.

These investments will improve the quality of life for low-income households, Aboriginal Canadians, seniors, and people with disabilities, while creating spin off jobs in other industries.


9.  How do you respond to criticisms that CEAP funding is not flowing quickly enough?
Stimulating the economy and creating jobs is a priority for our government.  Housing investments are central to Canada’s Economic Action Plan.
All levels of government have been working very hard to get investments on the ground quickly. Together with the provinces and territories, our efforts have resulted in significant progress in implementing housing-related economic stimulus measures.
Canada’s Economic Action Plan provides $7.8 billion towards housing. This includes a one-time investment of more than $2 billion over two years to help build and renovate social housing for low- and moderate-income Canadians, including First Nations on-reserve, northern communities, seniors and persons with disabilities.
To ensure measures were implemented quickly, the majority of this funding, more than $1.5 billion is being delivered by the provinces and territories through amendments to existing agreements.

If asked about status of programs:

As outlined in Canada’s Economic Action Plan Sixth Report, significant progress has been made on housing related measures.


10.  Where can Canadians get information?

For more information 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. For more information on Canada’s Economic Action Plan, call 1-800-O Canada.


Along with financial support from the three levels of government, the project benefitted from the assistance of Calgary businesses and contractors, many of whom welcomed the project by providing materials and services in-kind, as well as support from the Sunalta community.

In addition to the official opening of this project, the federal government also announced funding of $546,000 for the renovation of Sundial Apartments, centrally located in downtown Calgary. Constructed in 1965, Sundial Apartments contains 119 units in total; 59 of which will be renovated for low income tenants. The project is being undertaken by the Calgary Drop-In and Rehab Centre Society, a community-based non-profit organization. The renovations are expected to be completed by early December.

Canada Mortgage and Housing Corporation has been Canada's national housing agency for more than 60 years. CMHC is committed to helping Canadians access a wide choice of quality, affordable homes, while making vibrant, healthy communities and cities a reality across the country.

In 2008, the Government of Canada committed more than $1.9 billion over five years to improve and build new affordable housing and to help the homeless. As part of this investment, the renovation programs for low-income households, including RRAP, were extended for two years. For Alberta this represents more than $16 million in federal funding for renovation programs off-reserve.

Canada’s Economic Action Plan builds on this with an additional one-time investment of more than $2 billion to build new and renovate existing social housing for low-income Canadians, plus up to $2 billion in low-cost loans to municipalities for housing-related infrastructure.