Family and Community Services

Affordable housing project opens in Saint-Jacques (05/07/27)

NB 942

July 27, 2005

SAINT-JACQUES (CNB) - The Government of Canada and the Province of New Brunswick officially opened a new affordable housing project in St. Jacques today. Funded under the Canada-New Brunswick Affordable Housing Agreement, the $1.8-million project will create 20 new units of affordable housing for seniors and persons with disabilities.

Taking part in the official opening today were Premier Bernard Lord, Madawaska-Restigouche MP Jean-Claude D'Amours and Finance Minister Jeannot Volpé. A capital contribution of $315,000 was provided by the Government of Canada, and the provincial government is providing about $360,000 in ongoing rent supplements on nine of the units.

"This ability to establish partnerships with non-profit organizations represents the strength of the Affordable Housing Agreement," Lord said. "These groups know the needs for housing in their own region of the province. Such partnerships with non-profit groups improve the quality of life."

"The Government of Canada is committed to supporting affordable housing for those Canadians who need it most," D'Amours said. "These homes in Saint-Jacques, funded partly through Canada Mortgage and Housing Corporation (CMHC), go a long way to creating access to safe and affordable housing in our community." He spoke on behalf of federal Labour and Housing Minister Joe Fontana.

To date, 18 projects have been approved for funding under the Canada-New Brunswick Affordable Housing Agreement. These projects represent a total of 245 new construction housing units in New Brunswick, involving 164 new rent supplement units. These investments exceed $18.5 million under the Canada-New Brunswick Affordable Housing Agreement. This amount consists of $12.7 million in lifetime costs for rent supplements and $5.8 million in capital grant contributions.

05/07/27

EDITOR'S NOTE: Background information follows. MEDIA CONTACTS: Robert Duguay, Family and Community Services, 506-444-3684; Todd Selby, CMHC, 902-221-1827.

Canada-New Brunswick Affordable Housing Agreement

Phase I

Objectives:

• To create and sustain rental housing for low-to moderate-income New Brunswick households through new construction or rehabilitation.
• Housing must be affordable for at least 10 years.

Program:

• Funding under this agreement will be used for a Rental Housing Program:
• Funding is available to private non-profits, co-operatives, community or private developers 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 the New Brunswick Department of Family and Community Services.
• Family and Community Services is responsible for the selection of affordable housing projects.

Financial Provisions:

• Maximum CMHC funding under the agreement is $14.98 million, to be matched by the Province of New Brunswick for a total of $29.96 million.
• Overall average CMHC funding will not exceed $25,000 per unit.
• The Province of New Brunswick will provide rent supplements for low and moderate income households who occupy their housing.

Phase II

• The recently announced Phase II of the agreement increases the total investment under the Canada-New Brunswick Affordable Housing Program Agreement by $15.14 million in funding by 2008. The Government of New Brunswick will contribute at least 50 per cent of the matching
• funding; up to 10 per cent may come from municipalities and other third parties.



• Under Phase II, funding will be:



• used for the Rental Housing Program in Phase I plus a new rent supplement program;
• targeted to urban areas with considerable housing needs; and
• targeted to persons on or eligible to be on a waiting list for social housing.

05/07/27