Question Period Note: Fish Harvester Benefit and Grant Program

About

Reference number:
DFO-2022-00103
Date received:
Dec 14, 2022
Organization:
Fisheries and Oceans Canada
Name of Minister:
Murray, Joyce (Hon.)
Title of Minister:
Minister of Fisheries, Oceans and the Canadian Coast Guard

Issue/Question:

What is Fisheries and Oceans Canada doing to help the fishing sector through COVID-19?

Suggested Response:

• In 2020 we launched the Fish Harvester Benefit and Grant Program, to support self- employed fish harvesters and self-employed crew.
• To date, the Program has issued about
$162 million to help the fishing sector through COVID-19.
• We will continue to engage harvesters to listen to their concerns while we deliver on our mandate to maintain sustainable fisheries across the country.

Background:

• The Fish Harvester Benefit and Grant (FHBG) Program is part of the Government of Canada’s COVID response strategy. Since its launch in 2020, it has provided support for non-deferrable business expenses, and income support to self-employed fish harvesters and self-employed crew.
• The FHBG Program has been delivered in two-phases:
o Phase One (2020) involved the issuance of: 1) one-time grant payments to provide emergency business expense support to address the non-deferrable business costs of self- employed fish harvesters; and 2) the first part of the benefit payment (60 per cent) to provide income assistance to eligible self-employed fish harvesters and self-employed crew.
o Phase Two (2021) involved confirming that the applicant-attested information provided in phase one aligned with Canada Revenue Agency (CRA) data. A phase-two application was required by all applicants who received payment in phase one. If eligible, and with the successful submission of the phase two application, the Program issued the second part of the benefit payment (the remaining 40 per cent).
• The benefit payment covered up to 75 per cent of income losses beyond a 25 per cent threshold for the 2020 tax year when compared to 2018 or 2019. The maximum benefit is $10,164.
• In February 2022, the Program waived interest charges on overpayment amounts owing until January 1, 2023, on which date the calculation of interest will commence on unpaid overpayment amounts owing. The Program has extended by a further three months the interest waiver period on overpayment amounts owing. The new waiver period will end on March 31, 2023.
• The interest waiver is intended to provide flexibility to individuals with repayment obligations affected by Hurricane Fiona and/or the lingering effects of COVID 19, who might benefit from the additional time and opportunity to earn income from upcoming fisheries without facing interest charges. The Program issued overpayment letters for a variety of reasons, including to individuals whose income losses were less than they forecast, or for those found to have been ineligible for the program. Recipients of overpayment letters had a right of appeal.

Additional Information:

If pressed on overpayments:
• Over the course of the Program, some individuals received funds in excess of their entitlements, and will have to repay their overpayment amounts.
• Some had losses less than they had forecast; others were ineligible for the Program. All had a right to appeal their overpayments.
• The Program has extended the waiver period on interest charges a further three months, until March 31, 2023 to assist individuals with overpayment obligations.