Canada Mortgage and Housing Corporation

Canada Mortgage and Housing Corporation

February 18, 2010 13:00 ET

Canada Mortgage and Housing Corporation: Canada's Economic Action Plan Delivers Housing-Related Infrastructure Loan For the City of Cranbrook

CRANBROOK, BRITISH COLUMBIA--(Marketwire - Feb. 18, 2010) - The Government of Canada announced today that the City of Cranbrook has been approved for an infrastructure loan as part of Canada's Economic Action Plan.

The announcement was made by the Honourable Jim Abbott, Parliamentary Secretary to the Minister of International Cooperation, on behalf of the Honourable Diane Finley, Minister of Human Resources and Skills Development and Minister Responsible for Canada Mortgage and Housing Corporation (CMHC).

Cranbrook has been approved for almost $2.9 million in a low-cost loan from CMHC's Municipal Infrastructure Lending Program (MILP) to renovate, modernize and expand the City's main firehall (Fire Hall #2), including the addition of two new bays for fire trucks, the renovation of the office space to provide a dispatch area and offices and dormitories for the firefighters. This will accommodate future growth in the residential area of Cranbrook.

"Our Government understands the importance of infrastructure in maintaining strong and prosperous communities," said Parliamentary Secretary Abbott. "This program is opening the door for municipalities of all sizes to meet their housing-related infrastructure needs. Canada's Economic Action Plan is creating jobs and stimulating the economy right here in Cranbrook."

Canada's Economic Action Plan provides up to $2 billion in direct low-cost loans to municipalities, over two years, for housing-related infrastructure projects through the MILP. Municipal infrastructure loans are available to any municipality in Canada and provide a new source of funds for municipalities to invest in housing-related infrastructure projects. These low cost loans can also be used by municipalities to fund their contribution for cost-shared federal infrastructure programming.

"The City of Cranbrook greatly appreciates the funds made available through CMHC's Municipal Infrastructure Lending Program," Mayor Scott Manjak said. "The funds made available through this program will allow the City to update and expand our Fire Hall number 2 in order to provide enhanced safety and better Fire and Emergency Services for our residents."

Eligible projects include infrastructure related to housing services such as water, power generation and waste services, as well as local transportation infrastructure within and into residential areas, such as roads, sidewalks, lighting and green space.

As Canada's national housing agency, CMHC draws on more than 60 years of experience to help Canadians access a variety of quality, environmentally sustainable, and affordable homes — homes that will continue to create vibrant and healthy communities and cities across the country.

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

More information, including applications forms, for municipalities wishing to apply for loans can be found at: www.cmhc.ca/housingactionplan.gc.ca.

BACKGROUNDER

HELPING MUNICIPALITIES BUILD STRONGER COMMUNITIES

CMHC Municipal Infrastructure Lending Program

Canada's Economic Action Plan provides up to $2 billion in direct low-cost loans to municipalities over two years through Canada Mortgage and Housing Corporation (CMHC)'s Municipal Infrastructure Lending Program (MILP) for housing-related infrastructure projects in towns and cities across the country.

These infrastructure loans are available to any municipality within Canada and will provide a new source of funds for municipalities to invest in housing-related infrastructure projects. Only infrastructure projects serving new or existing residential areas may be considered.

Eligible municipal infrastructure projects must directly relate to housing, thereby contributing to the efficient functioning of residential areas. Projects include infrastructure related to the provision of housing services such as water, wastewater and solid waste services; power generation; local transportation infrastructure within or into residential areas such as roads, bridges and tunnels; and residential sidewalks, lighting, pathways, landscaping and green space.

There will be a focus on funding projects that are shovel-ready, as this is a targeted, short-term, temporary measure intended to create jobs.

These low-cost loans will significantly decrease the cost of borrowing for municipalities and can be used by them to fund their contribution for cost-shared federal infrastructure programming.

Eligible loans will be approved largely on a first-come, first-served basis, provided the proposal meets eligibility requirements. However, CMHC will also seek to facilitate equitable access to the program and will work to encourage applications from urban and rural municipalities across Canada.

CMHC will screen applications against program eligibility, readiness to proceed and Canadian Environmental Assessment Agency (CEAA) requirements.

For more information or to make an application, municipalities can visit CMHC's website at www.cmhc.ca/housingactionplan.gc.ca.

Contact Information

  • CMHC, BC
    Jeanette P Wilkinson
    Communications & Marketing
    604 737-4025
    or
    CMHC, National Office
    Charles Sauriol
    Media Relations
    613-748-2799
    www.cmhc.ca
    or
    Office of Minister Finley
    Michelle Bakos
    Press Secretary
    819-994-2482