Question Period Note: CANNOR – Comprehensive Expenditure Review

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About

Reference number:
QP07 (Spring 2026)
Date received:
Jan 21, 2026
Organization:
Canadian Northern Economic Development Agency
Name of Minister:
Chartrand, Rebecca (Hon.)
Title of Minister:
Minister responsible for the Canadian Northern Economic Development Agency

Issue/Question:

CANNOR – Comprehensive Expenditure Review

Suggested Response:

• CanNor is implementing targeted spending reductions, mainly by sunsetting programs that are low-demand, duplicative, or outside departmental priorities.

• Savings of $9.28M will result from non-renewals of four programs scheduled to sunset over the next three years.

• An additional $2.02M core funding reduction in 2028-29 will reduce operating and salary budgets, affecting approximately 9 FTEs.

• While difficult for a small agency, these changes will align resources with strategic priorities and ensure sustainable delivery.

• Impacts on communities are expected to be limited, as alternative federal/territorial programs and CanNor’s IDEANorth fund provide ongoing support.

Background:

N/A

Additional Information:

• The Tourism Growth Program ($0.89M) Sunsets in 2026. Tourism is supported by ISED’s $20M Indigenous Tourism Fund and IDEANorth.

• The REGI Core, RHII Housing ($5.45M) programs have lower demand and overlap with some IDEANorth program activities on housing/innovation.

• The NICI program ($2.94M) ends in 2027. Inuit food security priorities continue through IDEANorth.

• The Core reduction ($2.02M) will be managed via attrition, potential relocation of staff to northern offices, streamlined project intake, and overall operating efficiencies.

• Residual risk is low, with flexibility in CanNor’s funding mechanisms, ensuring continuity in economic diversification support.