Grants and Contributions to Promote Social and Political Development in the North and for northerners

Table of contents

  1. Introduction
  2. Legal and policy authority
  3. Purpose, program objectives and expected results
  4. Eligibility
  5. Type and nature of eligible expenditures
  6. Total Canadian government funding and stacking limits
  7. Method for determining the amount of funding
  8. Maximum amount payable
  9. Basis on which payments will be made
  10. Application requirements and assessment criteria
  11. Due diligence and reporting
  12. Official languages
  13. Intellectual property
  14. Repayable contributions
  15. Redistribution of contributions
  16. Other terms and conditions
  17. Effective date of terms and conditions

1. Introduction

This set of terms and conditions consolidates the former:

These terms and conditions have been consolidated to reflect support for activities that contribute to the overall social and political development of the North and Northerners.

Together, these activities are meant to align with the broader goals and objectives of Canada's Arctic and Northern Policy Framework:

These terms and conditions permit contribution and grant payments to a category of recipients, including a component specifically targeted to Indigenous Peoples and a component specifically targeted to other orders of government.

The purpose of these terms and conditions is to determine the provisions for making payments to promote the political and social development in the North. This will help to address gaps in social development outcomes experienced in the North and by Northerners, while accommodating a variety of programs that deliver on Crown-Indigenous Relations and Northern Affairs Canada's (CIRNAC) mandate with respect to Northern development.

Under the Department of Crown-Indigenous Relations and Northern Affairs Act, the minister has broad responsibilities in relation to northern development. While these responsibilities have evolved considerably since the 1970's and continue to evolve as further devolution of land and resource management is undertaken, the minister remains responsible for a range of northern development issues and has a mandate to create more economic opportunity and a higher quality of life in the North of Canada. These terms and conditions provide guidance for managing some of those responsibilities through funding arrangements, including activities related to consultation, research, capacity building and core activities.

Additionally, the federal government continues to recognize the need to fund outreach programs and other services offered to Inuit living in southern Canada. The services provided assure that counselling-type services are available to Inuit who have moved from isolated Northern areas into a highly complex urban environment in southern Canada.

For these terms and conditions, the North is defined as Yukon, Northwest Territories, Nunavut, Nunavik region, Nunatsiavut region and any other northern area which, in the opinion of the department, requires similar program or policy support.

2. Legal and policy authority

The Yukon Act (S.C. 2002, c. 7), the Northwest Territories Act (R.S.C. 1985, c. N-27), and the Nunavut Act (S.C. 1993, c. 28).

Department of Crown-Indigenous Relations and Northern Affairs Act, 2019.

The Department of Crown-Indigenous Relations and Northern Affairs Act mandates the Minister of Northern Affairs to:

  1. coordinate the activities of the departments, boards and agencies of the Government of Canada in the territories,
  2. develop and implement policies and programs to promote the social, economic and political development of the territories, and
  3. foster, through scientific investigation and technology, knowledge of the Canadian North and of the taking of various measures to support its development.

3. Purpose, program objectives and expected results

Each component has a specific objective and expected results, whether funded through grants or contributions as outlined:

Objectives Expected results
To promote the North's political and social development and to reduce gaps in social outcomes experienced by Indigenous peoples and other Northerners when compared to other regions.

Improve the quality of life of northerners.

Reduce gaps in social outcomes between Indigenous peoples and other Northerners and Canadians in other regions.

Enable northerners to assume increasing responsibility within the Canadian federation.

Narrowing the core housing need gap between Indigenous and non-Indigenous households in urban, rural and northern (U.R.N.) areas.

In the program alignment architecture, activities funded under this authority fall under The North/Northern Governance/Healthy Northern Communities and People.

4. Eligibility

4.1 Eligible recipients

Organizations, individuals, other levels of government and other non-federal entities, public or private, including Indigenous and non-Indigenous, that have an interest in political and social development in the North are eligible to receive grants or contributions.

4.2. Eligible initiatives and projects

The main activities, to be funded through grants and/or contributions, to be carried out under this authority are:

  1. Consultation: Projects centering on all types of facilitation and organization of forums, meetings and workshops; and the collection and dissemination of information or other activities that relate to the solicitation and exchange of information, ideas and points of view, in order to expand knowledge and understanding of northern political or social, issues and activities.
  2. Research and knowledge development: Projects centring on any direct or indirect research or the delivery of programming which expands the knowledge and understanding of northern political or social issues including climate change, or which take action to close gaps in social outcomes between Indigenous peoples and other Northerners and Canadians in other regions.
  3. Capacity building: Projects centering on measures, other than delivery of executive education and training courses, which support expert analysis of proposals and the development of positions; increase understanding and skills related to roles and responsibilities within organizations, including on-the-job training; or increase knowledge and skills to participate in the current political arena.
  4. Core activities: Ongoing support or administrative functions which enable eligible recipients to operationalize and carry out ongoing types of activities that promote political, or social development of the North.
  5. Northern infrastructure and housing priorities: To provide support to the governments of the Yukon, Northwest Territories, and Nunavut with the purpose of responding to housing and infrastructure needs in alignment with federal policies including the Arctic and Northern Policy Framework. Of this funding, a minimum of 60 percent must be used for housing and the remaining amount on housing related infrastructure.
  6. Urban, Rural and Northern Indigenous Housing Strategy: To support those activities associated with the Urban, Rural and Northern Indigenous Housing Strategy Framework which are intended to narrow the gap in core housing need. Funding is intended for Indigenous and Inuit communities in the Yukon, Northwest Territories and Nunavut including First Nation communities off-reserve and without modern treaty in the Northwest Territories and Métis communities in the Northwest Territories that are not affiliated with a national Métis organization. This includes those actives intended to:
    • increase suitability through new housing supply, acquisition of land and acquisition and conversion of buildings for housing across the continuum, that are culturally appropriate, climate resistant and located in safe communities
    • increase adequacy through housing repair programs
    • increase affordability through housing funding (such as rent subsidies) and finance tools, rent to own programs, and monetization of capital funding to accelerate construction of new housing infrastructure and buildings on flexible timelines

5. Type and nature of eligible expenditures

Expenditures, eligible for grant and or contribution funding which are, in the opinion of CIRNAC, reasonable and necessary for the recipient to carry out approved projects or core activities.

Core activity includes ongoing support or administrative functions which enable eligible recipients to operationalize and carry out ongoing types of activities.

A project is defined as an activity or series of activities over a defined period. A project produces defined outputs and realize specific outcomes in support of a public policy objective. Projects may include development of specific physical undertakings as well as other activities including research, program delivery, capacity building, workshops, meeting facilitation, and other activities to improve social outcomes.

Expenses that are only eligible for core activities:

  • staff training
  • other administrative costs

Expenses that are only eligible for projects:

  • data collection, analysis and reporting

Expenses eligible for both core activities and projects:

  • professional fees
  • communications
  • photocopying and printing
  • salaries and benefits for employees and casual workers
  • contract costs for administrative services
  • space rentals
  • purchase or rental of office equipment
  • travel, including meals and accommodations shipping costs
  • program, operational, delivery and administrative costs associated with initiatives or proposals targeted for the North, which aim to increase knowledge development, instructional material, enrollment or increased opportunities to access post-secondary education. Costs can include, but are not limited to those associated with:
    • expanding or creating or amending post-secondary educational curricula or learning or instructional materials
    • personal, salary, materials and resources required for the management of funds or delivery of programming
    • similar costs related to other initiatives aligned with the other goals and objectives of the Arctic and Northern Policy Framework
    • other costs necessary to complete the eligible activities to achieve the intended results of the funding provided approved in writing by departmental officials
  • housing:
    • construction (including building materials), operational, delivery and administrative costs
    • housing related infrastructure: work required to prepare a lot (sewage, electrical grid, water line) to enable the construction of housing

Closing the Northern housing and infrastructure gap: For the purposes of a 2-year (2022-2023 to 2023-2024) grant to the Governments of the Yukon, Northwest Territories and Nunavut, a minimum of 60 percent must be used for housing and the remaining amount on housing related infrastructure. Eligible expenditures are those which may include, but are not limited to:

  • planning
  • feasibility studies
  • research
  • consulting and engagement of any stakeholders
  • construction
  • renovations
  • operational funding for developing housing and infrastructure
  • costs for maintenance of infrastructure
  • transportation
  • community infrastructure items
  • professional fees
  • contract costs
  • personnel costs
  • administrative expenditures

Urban, Rural and Northern Indigenous Housing Strategy:

Eligible expenditures are those which may include, but are not limited to:

Operational funding:

  • salaries and benefits
  • professional fees
  • facilities
  • equipment and supplies
  • communications
  • domestic travel
  • meeting
  • legal fees
  • administration costs
  • provision of training and education
  • coordination of services/resources
  • capacity building and research and data collection

Increased affordability

  • emergency stays
  • rapid re-housing
  • temporary rental assistance
  • programs and initiatives to reduce barriers to home ownership, for example:
    • housing subsidy programs

Increased suitability

  • capital construction costs
  • materials, supplies, labour, tools, and equipment
  • professional fees, permits and inspection fees
  • tendering costs
  • feasibility and design studies
  • travel and associated hospitality for tradespeople working in remote areas
  • project administration fees
  • funding for land acquisition, land development for the purpose of affordable housing

Research and data Collection

  • measuring and developing better data
  • information
  • gap analysis
  • monitoring
  • reporting

6. Total Canadian government funding and stacking limits

Where possible and appropriate, the costs of an eligible activity will be shared with the recipient and/or with government and/or private sector. However, where sharing costs with the recipient and private sector are not feasible, total government funding (federal, territorial, and municipal for the same eligible expenditures) must not exceed 100% of eligible expenditures.

Recipients are required to declare any and all prospective sources of funding for the program or project, inclusive of all federal, provincial, territorial or municipal governments (total government assistance) and other sources that are expected to be received. Annual financial reporting shall show all sources of funding received by the recipient. Provisions for repayment shall be included in the funding arrangements. In the event that actual total government assistance to a recipient exceeds the stacking limit, CIRNAC will adjust its level of funding (and/or seek reimbursement, if necessary) so that the stacking limit is not exceeded.

7. Method for determining the amount of funding

The method for determining the amount of grant or contribution funding is based upon proposals and budgets submitted by the applicant and assessed against federal objectives for political and/or social development in the North, including objectives related to the need for outreach programs and the need to address gaps in social development outcomes as set out in Canada's Arctic and Northern Policy Framework.

Contributions shall be negotiated to be the least amount required to allow a proposal to proceed.

The method for determining the amount of grant funding, specific to the eligible initiative 'Northern Infrastructure and Housing' is based upon approved Budget 2022 funding to the Governments of Nunavut, the Northwest Territories and Yukon for this 2-year initiative.

The method for determining the amount of grant and or contribution funding as it relates to the Urban, Rural and Northern Indigenous Housing Strategy is based upon proposals and budgets submitted by the applicant and assessed against federal objectives for political and/or social development in the North.

8. Maximum amount payable

Promoting the political and social development of Canada's North

The maximum amount payable via grants and contributions per eligible recipient per year is $10 million except in the case of territorial governments with respect to advanced payments against agreed to devolution costs, where amounts payable annually will align with levels negotiated between Canada and the respective territory.

Northern infrastructure and housing priorities

The maximum amount payable with respect to the eligible initiative Northern infrastructure and housing priorities grants is:

  • $30 million to the Government of Nunavut for each of the 2022-2023 and 2023-2024 fiscal years
  • $30 million to the Government of the Northwest Territories for each of the 2022-2023 and 2023-2024 fiscal years
  • $15 million to the Government of Yukon for each of the 2022-2023 and 2023-2024 fiscal years

Of the eligible recipients' amounts, a minimum of 60% must be used for housing and the remaining amount on housing related infrastructure.

Urban, Rural and Northern Indigenous Housing Strategy

The maximum amount payable via grants and or contributions per eligible recipient per fiscal year is $10 million.

9. Basis on which payments will be made

Payments are made once an agreement/an amendment to an agreement is executed.

9.1 Contributions

Contributions are normally paid on the basis of achievement of performance objectives or as reimbursement of expenditures incurred. Advance payments may also be made based on a cash flow forecast from the recipient in accordance with the cash management section of Treasury Board's Directive on Transfer Payments. Advance payments include eligible expenditures directly related to the project incurred and may be retroactive to the date of the approval letter.

Where advance payments are necessary, they are limited to immediate cash requirements of the recipient. Monthly, quarterly or annual progress payments may be based on expenditure claims and a final payment of any sums due following receipt of the final claim, and a final payment of any sums due following receipt of the final claim and activities report and, if considered necessary by the department, following completion of a financial audit. Multi-year contribution agreement(s) will be determined based on the recommendation of the reviewers.

Hold backs will be applied in a manner consistent with Treasury Board's Directive on Transfer Payments and will take into account the management of risks and prudent cash management practices.

Fixed or flexible contribution funding approaches may be used for Indigenous recipients where appropriate, in accordance with Appendix K of the Directive on Transfer Payments.

9.2 Grants

With regards to eligible initiatives of "Northern Infrastructure and Housing Priorities" and "Urban Rural Northern Housing" CIRNAC will enter into a grant agreement with the eligible recipient which will contain the following terms and conditions:

  1. program/funding objectives
  2. eligible expenditures
  3. basis and timing of payments: CIRNAC reviews the expenditure plans and, if it is accepted, subsequently establishes the payment schedule. Grants are paid as advance payments and are made based on a cash flow requirement from the recipient in accordance with the cash management section of Treasury Board's Directive on Transfer Payments. Advance payments include eligible expenditures directly related to the housing and or infrastructure initiative incurred
  4. accountability requirement. The recipient shall maintain accounts and financial and non-financial records for the obligations in the agreement. The recipient shall not disburse funds received pursuant to a grant agreement or any part thereof for any purpose other than those contained in the agreement

The grant agreement will contain the following terms and conditions:

  1. program/funding objectives
  2. eligible expenditures
  3. basis and timing of payments: CIRNAC reviews the expenditure plans and, if it is accepted, subsequently establishes the payment schedule. Grants are paid as advance payments and are made based on a cash flow requirement from the recipient in accordance with the cash management section of Treasury Board's Directive on Transfer Payments. Any grant in excess of $250,000 will be paid in instalments, unless the full amount is required in a single payment to meet the objectives of the grant, in accordance with Section 6.4.2 of the Directive on Transfer Payments. Advance payments include eligible expenditures directly related to the project incurred and may be retroactive to the date of the approval letter
  4. accountability requirement: The recipient shall maintain accounts and financial and non-financial records for the obligations in the agreement. The Recipient shall not disburse funds received pursuant to this agreement or any part thereof for any purpose other than those contained in the agreement

10. Application requirements and assessment criteria

Note: Meeting the following criteria does not guarantee funding.

10.1 Application criteria

All grant or contribution programs administered under this set of terms and conditions are proposal-based.

Application criteria for contributions

Applicant proposals must:

  • establish eligibility (as outlined in Section 4)
  • establish relationship of proposed projects, initiatives, activities to program objectives and priorities as outlined in these terms and conditions and published program guidelines
  • include a detailed implementation plan which comprises a description and costing of activities and/or project initiatives as well as concrete deliverables/milestones
  • provide details on all sources of financial support (for example, from all federal government departments and organizations, other levels of government, the private sector, the applicant and other sources)
  • provide a payment schedule including basis and timing of payment
  • outline an evaluation plan and/or criteria for the measurement of success

Application criteria for grants

An application for grant funding will include criteria agreed to by CIRNAC and the recipients. These criteria must include, but not limited to:

  • establish eligibility (as outlined in Section 4)
  • establish relationship of proposed projects, initiatives, activities to program objectives and priorities as outlined in these terms and conditions and published program guidelines
  • provide a payment schedule including basis and timing of payment

10.2 Assessment criteria

Geographic distribution may be considered in the selection process (where applicable). At a minimum, proposals for grant or contribution funding will be assessed on the following criteria:

  • capability: The experience and capacity of the recipient (and identified project leader, where applicable) to manage the implementation of activities within their proposal successfully and complete the project/initiative in a timely manner
  • consultation and commitment: The extent to which the proposal has the support of relevant organizations and/or community or communities
  • implementation activities: The extent to which the proposal aligns with eligible activities and meets program objectives. The assessment process will consider timelines, cost-effectiveness and the degree to which activities will result in expected outcomes
  • project management: How the initiative or project will be managed, including project governance, management of project scope, human resources, risk management, deliverables, and project monitoring, control and reporting
  • project costs: A demonstration of a realistic assessment of estimated total costs and a justification of the level of funding required
  • cooperation and partnerships: With other governments, employers, community-based organizations and interested organizations to encourage strategic partnerships, minimize overlap and duplication and operate in synergy with other related social and political devolution programs

10.3 Assessment criteria (specific to programming addressing gaps in social outcomes)

For recipients to receive contribution funding for the reduction of gaps in social outcomes (such as the advancement of Post-Secondary Education (PSE) in the North and Arctic), they must complete a proposal in the manner prescribed by CIRNAC, and must submit the proposal to the appropriate CIRNAC office. At a minimum, proposals must include:

  • a description of the project
  • the objective(s) and expected outcome(s) of the project with linkages to program objectives and priorities
  • outputs that will be generated
  • expected milestones along with criteria for measurement of success
  • expected outcomes along with criteria for measurements of success
  • a budget for the project indicating anticipated overall financial support by source
    • other grant and contribution programs within CIRNAC
    • other federal government departments and organizations
    • other levels of government; the private sector
    • the applicant
    • other sources

11. Due diligence and reporting

Departmental systems, procedures and resources are in place to ensure due diligence in approving transfer payments, verifying recipient eligibility as well as managing and administering grants and contributions programs.

Recipient requirements will be set out in departmental recipient reporting documents. A general assessment is also conducted for all recipients regardless of the nature of their funding agreements to assess their risk level in managing funding received from the department. The results of this general assessment may impact a recipient's ability to access certain funding approaches as well as reporting frequency. To support a reduction in the reporting burden for grants, performance measurement data will be collected using various methods and sources. Frequency of reporting will be based on recipient risk.

Where applicable, in order for projects to receive continued funding, the eligible recipient for contributions will provide the department with program specific annual reports and financial statements which include the necessary information, as specified by the department in the duly signed agreement, sufficient to verify adherence to the program terms and conditions and demonstrate results for the most recently completed fiscal year. The purpose of the reports is twofold:

12. Official languages

Where a program supports activities that may be delivered to members of either official language community, access to services from the recipient will be provided in both official languages where there is significant demand and Part IV of the Official Languages Act is applicable. In addition, the department will ensure that the design and the delivery of programs respect the obligations of the Government of Canada as set out in Part VII of the Official Languages Act.

13. Intellectual property

Where a contribution is provided for the development of material in which copyright subsists, conditions for shared rights between the recipient and the Crown will be set out in the funding agreement.

14. Repayable contributions

Provisions for repayable contributions do not apply. Any contributions made to private firms under these programs are not intended to generate profits or to increase the value of a business.

15. Redistribution of contributions

Where a recipient delegates authority or further distributes contribution funding to an agency or a third party (such as an authority, board, committee, or other entity authorized to act on behalf of the recipient), the recipient shall remain liable to the department for the performance of its obligations under the funding agreement. Neither the objectives of the programs and services nor the expectations of transparent, fair and equitable services shall be compromised by any delegation or redistribution of contribution funding.

Recipients have full independence in the selection of such third parties and will not be acting as an agent of the government in making distributions.

16. Other terms and conditions

None.

17. Effective date of terms and conditions

These terms and conditions will come into effect on March 31, 2024.

Did you find what you were looking for?

What was wrong?

You will not receive a reply. Don't include personal information (telephone, email, SIN, financial, medical, or work details).
Maximum 300 characters

Thank you for your feedback

Date modified: