Question Period Note: Support for Rural & Small Communities

Support for Rural & Small Communities

• Investing in rural and small communities is a priority for the Federal Economic Development Agency for Southern Ontario (FedDev Ontario). We understand how important it is that businesses in every part of the region, especially those in rural and small communities, are supported as they grow and create jobs.

• Our investments are helping businesses in these communities to bring new products to market, adopt new technologies, and increase production capacity, all while creating sustainable, skilled jobs and promoting economic growth.

• Southern Ontario is home to a large population in small and rural communities (more than 3 million people). These areas often rely on traditional industries (e.g., manufacturing, agri-food) and sectors hardest hit by the pandemic (e.g., tourism).

• FedDev Ontario’s ongoing programming supports not-for-profit organizations and businesses in small communities or rural areas with projects that foster community economic development and participation in new growth opportunities.
o For example, Kinectrics Inc., which provides testing, inspection, certification and engineering consulting for electric power markets, received a $2.5 million repayable contribution towards $41.4 million in total project costs to support the development of Canada’s first nuclear laundry facility in Teeswater, which decontaminates and repairs personal protective equipment (PPE). The project led to the creation of 55 jobs and maintained another 10, and increased company sales by $13.2 million, including $8.8 million in export sales.
o For example, EcoPoly Properties Inc. (EcoPoly), which provides recyclable and biodegradable plastic products for the agricultural and food services sector, received a $5 million investment to support the adoption of new, automated, high-speed manufacturing equipment at their facility in Orillia. Through this investment, which will create 54 skilled jobs, EcoPoly is supporting the agriculture and agri-food sector to move toward a zero-plastic waste future.

• Small businesses in rural southern Ontario may also be eligible for financial support from their local CFDC, which receive support for their operating costs from the Agency through the CFP.

• On February 13, 2023, the Agency announced renewed investment in the region’s CFDC network with nearly $40 million allocated over the next three years to southern Ontario’s 36 CFDCs.

• FedDev Ontario also delivers the Community Futures Program (CFP). Earlier this year, the Agency announced renewed funding of nearly $40 million over the next three years for southern Ontario’s 36 Community Futures Development Corporations (CFDCs) so they can continue to provide business services, community planning support and funding to small- and medium-sized enterprises (SMEs) in rural areas.