Oshawa to receive Government of Canada stimulus funding for four local projects



    OSHAWA, ON, Sept. 9 /CNW/ - The City of Oshawa will benefit from more
than $3.5 million in funding under the Government of Canada's Economic Action
Plan. The Honourable Gary Goodyear, Minister of State for the Federal Economic
Development Agency for Southern Ontario (FedDev Ontario), made the
announcement today at the Oshawa municipal airport.
    Through the Community Adjustment Fund (CAF), the Government of Canada
will invest in four local projects in the city. Projects include improvements
to the municipal airport and repairs to local sidewalks (see Backgrounder for
details).
    "These investments will create jobs and strengthen the local economy,"
said Minister of State Goodyear. "Oshawa is a dynamic community with unique
strengths and challenges. We recognized the challenges, and are delivering the
specialized support that communities such as yours need."
    "The City of Oshawa values and appreciates the commitment and support of
the federal government as it continues on its path of diversification and
revitalization," said John Gray, Mayor of the City of Oshawa. "These projects
will further stimulate our economy and improve our critical and much needed
infrastructure."
    Up to $102 million will be invested through the CAF for 2009-2010 and it
is the government's intention to support a total of 90 projects in communities
across Southern Ontario. Approved projects must meet the terms and conditions
set out in their funding agreements. A complete list of approved projects in
Southern Ontario will be made available online at www.ic.gc.ca/caf on
September 10, 2009.
    Applications for 2010-2011 CAF project funds will be accepted by FedDev
Ontario later this year. A public announcement will be made once details are
finalized. For more information on the Agency, please see the FedDev Ontario
Backgrounder.

    CAF is just one in a series of initiatives introduced in the Government
of Canada's Economic Action Plan designed to address the short-term effects of
the economic decline on communities across Canada, while preparing our
communities for long-term growth.

    This news release is available online at: www.ic.gc.ca/caf and
www.actionplan.gc.ca.



    
    -------------------------------------------------------------------------
    Backgrounder
    -------------------------------------------------------------------------

                        CANADA'S ECONOMIC ACTION PLAN
                        -----------------------------

             NEW REGIONAL DEVELOPMENT AGENCY FOR SOUTHERN ONTARIO

         ABOUT THE FEDERAL ECONOMIC DEVELOPMENT AGENCY FOR SOUTHERN
         ----------------------------------------------------------
                           ONTARIO (FEDDEV ONTARIO)
                           ------------------------
    

    In Canada's Economic Action Plan, the Harper Government committed to
providing short-term stimulus to communities hard hit by the recession while
delivering long-term funding designed to promote economic growth, job creation
and innovation. Budget 2009 provided $1 billion over five years for a new
economic development agency for Southern Ontario.
    On August 13, 2009, Prime Minister Stephen Harper formally launched the
Federal Economic Development Agency for Southern Ontario (FedDev Ontario).
This new agency is charged with delivering federal government economic
development programs tailored to the specific priorities of workers,
businesses and communities in Southern Ontario.
    The Prime Minister announced his intent to have Minister of State
(Science and Technology) Gary Goodyear assume responsibility for the Agency
and that B.A. (Bruce) Archibald will serve as the agency's first President.
Further announcements on the staffing and location of district offices are to
be expected throughout the fall.
    In its first year of operation, FedDev Ontario will focus on putting
economic development programs into action. The Agency will assess immediate
opportunities and needs, and then bridge into broader program initiatives once
the agency is fully operational.
    FedDev Ontario and Industry Canada will work with community stakeholders
to identify and support projects that address current economic challenges.
    The Agency will initially use existing programs and partnerships to
expedite the provision of funds. This will start money flowing immediately
into Southern Ontario communities and businesses.
    Funding in the first year will be approximately $206 million, including
operating costs, focused on three priority areas: economic development,
diversification and community development.

    The Southern Ontario Development Program has been established to promote
economic development, economic diversification and job creation. A core
program, it will deliver close to $100 million in funding over 2009-10.
    FedDev Ontario will help Southern Ontario communities diversify their
local economies, including into a wider range of value-added and technology
driven products and services. It will provide the tools for its partners in
the region to build on their strengths, positioning Southern Ontario to
succeed in the knowledge-based economy.

    
    PROGRAMS TO BE ADMINISTERED BY FEDDEV ONTARIO
    ---------------------------------------------
    

    Southern Ontario programs to be administered by, or in conjunction with,
FedDev Ontario include:

    Community Adjustment Fund in Ontario

    The Community Adjustment Fund (CAF) is a short-term economic stimulus for
communities impacted by the global recession. Part of Canada's Economic Action
Plan, the Fund supports projects that create jobs and maintain employment in
and around communities that have been most severely affected by the economic
downturn.
    Funding is available for eligible projects that can be completed before
March 31, 2010. Applications for 2010-2011 CAF project funds will be accepted
by FedDev Ontario later this year.

    National Research Council - Industrial Research Assistance Program

    The National Research Council's Industrial Research Assistance Program
(NRC-IRAP) stimulates wealth creation for Canada through technological
innovation. It provides financial and technological assistance to small and
medium-sized enterprises, targeting those engaged in research, development,
adaptation, adoption, or commercialization of innovative products, services or
processes.
    IRAP already has $67.3 million in funds available, and will receive an
additional $27.5 million to further build the innovative capacities of
Southern Ontario's small and medium-sized enterprises.

    Community Futures Program

    Ontario's Community Futures Program will receive an additional $30M from
the Community Adjustment Fund in 2009-2010. The Community Futures Program
assists rural and northern communities to strengthen and diversify their
economies.
    The Program is implemented through Community Futures Development
Corporations (CFDCs), located in communities across the province, including 37
in rural Southern Ontario. Small and medium-sized enterprises as well as
non-profit organizations can receive repayable financing and important support
services.

    Business Development Bank of Canada

    The Business Development Bank of Canada (BDC) will invest a total of $50
million in Southern Ontario through venture capital firms and the BDC's own
programs. These funds will help develop a high-performing, sustainable venture
capital industry in the region.



    
    -------------------------------------------------------------------------
    Backgrounder
    -------------------------------------------------------------------------
    

    The Government of Canada's Economic Action Plan committed $1 billion to
provide timely, targeted economic stimulus to communities throughout Canada
under the Community Adjustment Fund (CAF). In Ontario, CAF will provide $348.9
million over two years to support adjustment measures in communities most
affected by the global economic downturn.
    In 2009-10, Ontario will receive $102.2 million for projects in Southern
Ontario.
    Listed below is a breakdown of the projects approved for CAF funding
under the first intake in Oshawa.

    
    -------------------------------------------------------------------------
    Funding Recipient  Project Title               Total CAF contribution ($)
    -------------------------------------------------------------------------
    City of Oshawa     Repair of Local Sidewalks                     280,000
    -------------------------------------------------------------------------
    City of Oshawa     Improvements to the Oshawa
                       Municipal Airport                           1,072,050
    -------------------------------------------------------------------------
    City of Oshawa     Rehabilitation of a Vacant
                       Lot for Redevelopment                         270,000
    -------------------------------------------------------------------------
    City of Oshawa     Improvements to Streetlights
                       and Parking Meters                          1,900,000
    -------------------------------------------------------------------------
    Total                                                          3,522,050
    -------------------------------------------------------------------------
    





For further information:

For further information: Gary Toft, Director of Communications, Office
of the Honourable Gary Goodyear, (613) 943-7599; Media Relations, Industry
Canada, (613) 943-2505


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