Privacy  
CanEquity Mortgage Canada
Canadian mortgage rates,
mortgage calculator & news.

Canadian Mortgage News

February 2002 National News Archive

 

Related Links:
National Archive
2002 Archive
January 2002
February 2002
March 2002
April 2002
May 2002
June 2002
July 2002
August 2002
September 2002
October 2002
November 2002
December 2002


CanEquity Mortgage News RSS 2.0 Feed

CanEquity Mortgage News Atom Feed

About RSS and Atom Feeds

Portable Document Format Printable Version Page d'accueil franšais

Canada and Northwest Territories Sign Affordable Housing Agreement

YELLOWKNIFE, Northwest Territories, February 5, 2002 — The Governments of Canada and Northwest Territories today announced the signing of an Affordable Housing Agreement which will help increase the supply of affordable housing in the territories. Over $45 million in new funding, demonstrates commitment by both governments to work together to address the affordable housing problem.

The announcement was made jointly by the Honourable John Manley, Deputy Prime Minister and Minister of Infrastructure and Crown Corporations and the Honourable Roger Allen, Minister responsible for the Northwest Territories Housing Corporation (NWTHC).

"This agreement means that access to affordable housing will be easier for more people in the territories," said Deputy Prime Minister Manley about the agreement. "This signing follows the meeting of federal, provincial and territorial ministers responsible for housing in Quebec City, on November 30, last year, where we reaffirmed our mutual commitment to joint action on affordable housing. This bilateral agreement between our two levels of government means a great deal to those in need of affordable housing in the Northwest Territories."

Minister Allen said he too was happy with the signing. "There is a need for more affordable housing in the territories and this agreement will help our funding go further. We will work to ensure the affordable housing needs of territorial residents are met for the longer term and this will be done by continuing our close working relationship with the federal government. "

Under the bilateral agreement the territories will use the federal funds for assisted rental housing and affordable home ownership over the next five years.

The NWTHC will provide capital contributions or monthly subsidies to reduce the housing costs to more affordable levels.

In January 2001, the Speech from the Throne indicated the Government of Canada would help stimulate the creation of more affordable housing. The $680 million in federal funding for this initiative was confirmed in the 2001 federal budget on December 10, last year.

Persons and organizations interested in more details on this initiative should contact the NWTHC.

For further information please contact:

Jennifer Sloan
Director of Communications
Office of the Deputy Prime Minister
(613) 952-4900

NWT Housing Corporation
(867)920-3002

Peter De Barros
CMHC
(613) 748-2143

Backgrounder: Affordable Housing Initiative

The 2001 Speech From the Throne indicated the Government of Canada would help stimulate the creation of more affordable rental housing. The federal/provincial/ territorial housing ministers met twice to finalize details of an affordable housing initiative that would address the needs and priorities of individual jurisdictions while meeting the goal of increasing the supply of affordable housing. The final framework was developed and agreed to on November 30, 2001 and includes the following:

  • Provinces and territories have the primary responsibility for design and housing program delivery;
  • Provinces and territories require flexible programs to address their housing needs;
  • The initiative needs to create affordable housing for low to moderate income households and;
  • Units funded will remain affordable for a minimum of 10 years.
  • Provinces and territories will be required to match federal contributions overall

Other Government of Canada Housing Support in the Northwest Territories

The $7.5 million federal contribution over the next five years builds on current Government of Canada expenditures on housing in the Northwest Territories. The Government of Canada currently supports housing with $40 million in annual grants, contributions and subsidies which serve low income families, seniors, persons with disabilities, Aboriginal people and victims of domestic violence.

This includes funding for over 2,600 low income households in existing social housing and for renovation programs such as the Residential Rehabilitation Assistance Program (RRAP), Home Adaptations for Seniors' Independence (HASI), Emergency Repair Program (ERP).

Other Government of the Northwest Territories Support in Housing

The Government of the Northwest Territories through its crown corporation the NWT Housing Corporation will spend over $48.5 million in addition to housing funding from the Government of Canada in the Northwest Territories this year. Funding supports the NWT Housing Corporation's wide array of housing programs and subsidies targeted at lower and middle income residents who are in housing need.

Corporation programs support the Territories extensive public housing network as well as homeownership and home repair programs that include the Extended Downpayment Assistance Program (EDAP), Independent Housing Program (IHP), EDAP Repair, IHP Repair, Sale of Housing Materials Program, Northern Territorial Rental Purchase Program, Sale of Public Housing Initiative, Seniors and/or Disabled Maintenance Program, Elders on the Land Initiative. In addition, the NWT Housing Corporation cost shares many of the programs funded by the Government of Canada through the Canada Mortgage and Housing Corporation (CMHC).

Further information is available from the NWT Housing Corporation web site: nwthc.gov.nt.ca

Affordable Housing Program Agreement Summary

Objectives:

  • to increase the supply of affordable housing in the Northwest Territories
  • the housing must be affordable for at least 10 years

Programs:

Funding under this agreement will create:

  • Independent Housing Program which will enable low income families to access modest housing through home ownership
  • Assisted Rental Housing which will provide rent geared-to-income housing for low income seniors and singles.

Administration:

  • the programs will be administered by the Northwest Territories Housing Corporation (NWTHC)
  • NWTHC is responsible for the selection of projects

Financial Provisions:

  • Maximum CMHC funding under the agreement is $ 7.5 million
  • Average overall CMHC funding will not exceed $25,000 per unit
  • NWTHC will provide $37.8 million in capital contributions or subsidies

Accountability:

  • NWTHC will provide an annual audit and performance report on the use of CMHC funding
  • CMHC will lead an evaluation of the program in 2006 and the NWTHC will be invited to participate

Communications:

  • NWTHC and CMHC have agreed on a communications protocol which will be open, transparent and will recognize the contributions of each party to this initiative

News source: Canada Mortgage and Housing Corporation (CMHC)

 

Top of page