Program Enables Labrador Homeowners to Renovate Their Homes

LABRADOR CITY, NEWFOUNDLAND AND LABRADOR--(Marketwire - Dec. 21, 2011) - Through an investment of approximately $208,000, the Provincial Home Repair Program (PHRP) has enabled 49 homeowners with low-income throughout Labrador to make renovations and repairs over the past year. The Honourable Peter Penashue, Minister of Intergovernmental Affairs, on behalf of the Honourable Diane Finley, Minister of Human Resources and Skills Development and Minister Responsible for Canada Mortgage and Housing Corporation (CMHC), and the Honourable Tom Hedderson, Minister Responsible for Newfoundland and Labrador Housing Corporation (NLHC) made the announcement today.

"Renovation projects like these are a good way to get the local economy moving and put construction workers and trades people to work quickly," said Minister Penashue. "Most importantly, our contributions are helping those who need it most, by improving the quality of housing for individuals and for families in Labrador."

"Through this investment, families with lower incomes are able to make renovations and repairs to their homes that will help meet their future needs," said Minister Hedderson. "The Provincial Home Repair Program continues to be a successful program throughout Newfoundland and Labrador that is providing excellent results within our communities."

The types of repairs that can be undertaken with a PHRP loan or grant include upgrades to heating, electrical or plumbing systems, and renovations and retrofits to structures, foundations, windows, doors, roofing or siding. Applicants are assessed in the order in which they are received and priority is given to emergency repairs. Applicants must be homeowners with annual incomes of $32,500 or less. The PHRP has provided more than $200 million to assist approximately 50,000 low-income households throughout the province since it began 36 years ago.

In September 2008, the Government of Canada committed to a five-year investment of more than $1.9 billion in housing and homelessness to address the needs of low-income Canadians, those at risk of homelessness, and the homeless. This included a two-year renewal of the Affordable Housing Initiative and renovation programs until March 31, 2011 with a commitment to consult on the use of the investments for the 2011-2014 period.

On August 16, 2011, the Governments of Canada and Newfoundland and Labrador announced a combined investment of close to $41 million under the new Agreement for Investment in Affordable Housing 2011-2014. Following the signing of this agreement, the provincial government through NLHC extended PHRP for another three years.

The provincial government is investing an additional $12 million in PHRP over the next three years, for a total provincial investment of $24 million. This increases the total PHRP budget for program years 2011-2014 to $36 million. This investment directly supports the goals of the Social Housing Plan for Newfoundland and Labrador - Secure Foundations, released by the provincial government in August 2009, and outlines a long-term vision for social housing. It is aimed at improving the housing circumstances of low-income households and helping to create healthier communities.

PHRP serves an average 2,500 households annually, mostly in rural communities throughout the province. A maximum grant of $5,000 is available to homeowners on the island while in Labrador a maximum grant of $6,500 is available. Homeowners whose repairs exceed these levels may apply for a low-interest repayable loan of up to $10,000 ($13,000 in Labrador).

To find out more about how the Government of Canada and Canada Mortgage and Housing Corporation are working to build stronger homes and communities for all Canadians, call CMHC at 1-800-668-2642 or visit www.cmhc.ca/housingactionplan.