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Released February 19, 2008



New Affordable Housing and Shelters Renovations across
Newfoundland and Labrador

The residents of Botwood and Peterview will benefit from three new housing developments in these central Newfoundland and Labrador communities, thanks to an investment of more than $2.4 million, through the Canada-Newfoundland and Labrador Affordable Housing Agreement which is cost-shared 50/50 with the Federal and Provincial Governments. In addition, shelters in Happy Valley-Goose Bay, Gander and Marystown have been able to renovate or upgrade their facilities and continue providing assistance to victims of family violence throughout the province, through an investment of $236,000 from the federal/provincial Shelter Enhancement Program.

The Honourable Loyola Hearn, Minister of Fisheries and Oceans, on behalf of the Honourable Monte Solberg, Minister of Human Resources and Social Development and Minister responsible for Canada Mortgage and Housing Corporation (CMHC), and the Honourable Shawn Skinner, Provincial Minister Responsible for Newfoundland Labrador Housing (Housing) and Minister of Human Resources, Labour and Employment, made the announcement today.

"The Government of Canada is delivering on its commitment to create affordable housing for those who need it most in Newfoundland and Labrador, as well as across Canada," said Minister Hearn. "These projects will give low and middle income Newfoundlanders and Labradorians access to safe, quality affordable housing and help them build a stronger future."

"Creating new affordable housing units and renovating existing shelters is an excellent example of what can happen when governments, as well as the private and non-profit sectors come together in partnership," said Minister Skinner. "We’ve been able to build stronger communities, with healthier choices that can provide individuals with dignity, hope and a place to call home."

Ship Cove Homes Inc. is the private sector developer for three seniors duplexes (six two-bedroom units, one is fully accessible) being constructed in Botwood. The development is being funded with $210,000 through the Affordable Housing Program. Construction on Ship Cove Homes began in October 2007 and was completed in January 2008.

Another 12 seniors’ apartments (10 one-bedroom and two two-bedroom units, two of which are fully accessible) are also being developed by the non-profit organization, Botwood Senior Citizens Housing Committee. The project will receive $1.2 million in Affordable Housing Program funding, with construction anticipated to be completed by April 2008.

In Peterview, 10 one-bedroom apartments for seniors and individuals with physical and intellectual challenges are being developed by non-profit sponsor,Your Strength is Our Strength Club Inc. The project will receive $1 million in Affordable Housing Program funding. The developer also received $10,000 directly from CMHC in Seed Funding to assist during the initial planning stages. In addition, CMHC provided mortgage loan insurance toward this project which has assisted the proponent to create this affordable housing development. Construction is anticipated to begin in April 2008 for completion by October 2008.

The Canada–Newfoundland and Labrador Affordable Housing Program Agreement involves investments of over $40 million in the creation of affordable housing units in Newfoundland and Labrador.

In Newfoundland and Labrador, the federal renovation programs are administered and delivered by Newfoundland Labrador Housing. The Shelter Enhancement Program is cost-shared 25 per cent by the provincial government and 75 per cent by the federal government.

Three facilities were assisted under the Shelter Enhancement Program in 2006-07, and have now completed their renovations. The shelters that will benefit from a $236,000 federal/provincial investment are:

Libra House Happy Valley-      
  Goose Bay 10 beds $150,000 new siding and roofing
Cara House Gander 12 beds $ 57,000 upgraded the electrical & new doors
Grace Sparkes House Marystown 12 beds $ 29,000  painting and window replacement 
         

 Federal/provincial home renovation programs provide financial assistance to ensure that housing occupied by low-income households meet basic health and safety standards. These programs assist with home modifications and adaptations to enable seniors and persons with disabilities to live independently in their own home, near family and friends. They also help with funding to improve or create shelters for victims of family violence and preserve housing for people who are at risk of homelessness.

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Media contacts:

Jenny Bowring
Communications Manager
Newfoundland Labrador Housing
709-724-3055
jmbowring@nlhc.nl.ca
Dawn L. Ring
Consultant-Communications and Marketing
Canada Mortgage and Housing Corporation
709-772-5973
dring@cmhc.ca
Ed Moriarity
Director of Communications
Department of Human Resources, Labour and Employment
709-729-4062, 728-9623
edmoriarity@gov.nl.ca
 

BACKGROUNDER

Canada – Newfoundland and Labrador Affordable Housing Agreement

The Canada–Newfoundland and Labrador Affordable Housing Program Agreement involves investments of over $40.9 million in the creation of affordable housing units in Newfoundland and Labrador.

Breakdown of combined contributions of the two governments is as follows:

 

Phase I Contributions

Phase II Contributions

Federal

$15,140,000

$5,310,000

Newfoundland and Labrador

$15,140,000

$5,310,000

Totals >

$30,280,000

$10,620,000

Phase I

Objectives:

  • To increase the supply of affordable housing in Newfoundland and Labrador.
  • Housing must be affordable for at least 10 years.
  • Program:

  • Funding under this agreement will be used for the creation of affordable housing.
  • Funding is available to private developers and non-profit organizations interested in developing housing for low- to moderate-income families, seniors, non-elderly singles, disabled persons and persons with special needs.
  • Administration:

  • The program is administered by Newfoundland Labrador Housing (Housing).
  • Housing is responsible for the selection of affordable housing projects.
  • Financial Provisions:

  • Maximum CMHC funding under the agreement is $15.14 million which was matched by the Province of Newfoundland and Labrador in previous spending.
  • Funding is available at $35,000 per unit including federal and provincial dollars.
  • Phase II

    Objectives:

  • To increase the supply of affordable housing in Newfoundland and Labrador.
  • Housing must be affordable for at least 10 years.
  • Program:

  • Funding under this agreement will be used for the creation of affordable housing.
  • Funding is available to private developers and non-profit organizations interested in developing projects for low-income families, seniors, non-elderly singles, disabled persons and persons with special needs.
  • Administration:

  • The program will be administered by Housing.
  • Housing is responsible for the selection of affordable housing projects.
  • Financial Provisions:

  • Maximum funding under the agreement is $10.62 million which is funded 50/50 by CMHC and the Province of Newfoundland and Labrador.
  • Funding is available at $100,000 per unit including federal and provincial dollars.

  • BACKGROUNDER

    Federal/Provincial Home Renovation Programs
    Newfoundland and Labrador

    In Newfoundland and Labrador, federal/provincial home renovation programs are delivered by Newfoundland Labrador Housing (Housing) on a cost-shared basis. In Newfoundland and Labrador, most components of the federal RRAP program are referred to as the Provincial Home Repair Program (PHRP) which is cost-shared 62/38 per cent by the provincial and federal governments.

    Provincial Home Repair - Homeowner
    This program provides funding assistance to eligible low-income homeowners who own and occupy substandard housing and enables them to undertake emergency repairs or to bring their dwellings up to a minimum level of health and safety. Financial assistance is available in the form of a grant (non-repayable loan) to a maximum of $5,000 per unit ($6,500 in Labrador). Repairs exceeding this level may be addressed under a repayable loan of up to $10,000 ($13,000 in Labrador).

    Provincial Home Repair - Persons with Disabilities/Seniors
    This program provides funding to homeowners and landlords to modify existing buildings to accommodate low-income persons with disabilities or to pay for minor home adaptations that will enable low-income seniors to live independently in their homes. Financial assistance is available in the form of a grant (non-repayable loan) to a maximum of $7,500 per unit. Repairs exceeding this level may be addressed under a repayable loan of up to $10,000 ($13,000 in Labrador).

    Provincial Home Repair – Emergency Repair

    The Emergency Repair Program assists low-income homeowners to make emergency repairs required for the continued safe occupancy of their houses. Only those repairs urgently required to make a house safe are eligible for assistance. Financial assistance is available in the form of a grant $5,000 per unit ($6,500 in Labrador).

    Provincial Home Repair - Rental/Rooming House
    This program is targeted toward non-profit community-based landlords of affordable housing, to pay for mandatory repairs to units and beds occupied by low-income tenants. Funding is based on cost of eligible repairs and number of eligible units within a project. Grant funding is $24,000 per unit in Newfoundland ($26,000 per unit in Labrador).

    Provincial Home Repair - Shelter Enhancement
    This program assists in repairing, rehabilitating and improving existing shelters for victims of family violence and in acquiring or building new shelters and second- stage housing, where needed. Up to $24,000 per unit or bed unit is available to improve existing shelters ($36,000 per unit in Labrador).

    Provincial Home Repair - Conversion RRAP
    This program provides financial assistance for the conversion of non-residential property into units or beds to create affordable housing for low-income households. Landlords may receive up to $24,000 per unit in Newfoundland ($36,000 per unit in Labrador).