The federal government is pledging billions of dollars in new funding to address Canada’s housing crisis, but much of it will only be available if provinces and territories agree to certain conditions, says Justin.・Prime Minister Trudeau announced this on Tuesday.
Speaking in Dartmouth, New South Wales, Prime Minister Trudeau announced that the federal government will create a new $6 billion Canada Housing Infrastructure Fund.
The money will be used to build and upgrade water, wastewater, stormwater and solid waste infrastructure, which cities say is critical to building more housing.
The Prime Minister’s Office said in a news release that $1 billion of the $6 billion in the fund will go directly to local governments for “urgent infrastructure needs.”
Efforts are needed to address the “shortage” of intermediate housing
The remaining $5 billion will be set aside for states and territories, but they will only be able to access the funds if they make certain commitments.
These include additional permits for “missing intermediate” housing, including duplexes, triplexes, townhouses and apartment complexes, and a three-year freeze on development fees for cities with populations of 300,000 or more.
The federal government said states have until January 1 to reach an agreement. For applicable areas, the deadline is April 1st.
If no deal is reached, the money would flow directly to the cities.
Prime Minister Trudeau announced Tuesday that the federal government will add $400 million over three years to the Housing Acceleration Fund, allowing the construction of 12,000 more homes.
The announcement is the latest in a series of announcements Prime Minister Trudeau and his cabinet members will roll out across the country ahead of the April 16 federal budget.
On Monday, Prime Minister Trudeau announced $1 billion for the national school lunch program. Last week, he announced new measures for renters, including a renter bill of rights.
Further in the future
