Question Period Note: SUPPORT FOR RURAL COMMUNITIES

About

Reference number:
ISED-RED-2022-QP-00004
Date received:
Apr 25, 2022
Organization:
Innovation, Science and Economic Development Canada
Name of Minister:
Hutchings, Gudie (Hon.)
Title of Minister:
Minister of Rural Economic Development

Issue/Question:

What is the Government of Canada doing to support and promote rural economic recovery and a better future for rural communities?

Suggested Response:

• Canada’s rural communities are a driver of economic growth, and home to a wide range of industries including agriculture, mining and tourism.

• Budget 2022 proposes a range of important programs and initiatives to support Canadians living and working in rural communities.

• These include increasing loan forgiveness for doctors and nurses in rural communities, and investing $4 billion for the Housing Accelerator Fund to help municipalities—including smaller and rural communities— build 100,000 new homes.

• The government will also continue its investments towards improving high-speed internet access in rural and remote areas.

Background:

N/A

Additional Information:

Rural and northern communities face unique and diverse infrastructure pressures. Following extensive consultations, a national Rural Economic Development Strategy was launched in June 2019, along with Canada’s Connectivity Strategy. A progress report on the Rural Economic Development Strategy (the strategy) was released in August 2021.

In line with the strategy, key investments in rural infrastructure and broadband are made through the Rural and Northern infrastructure stream of the Investing in Canada Plan. The stream provides funding for projects in small communities -- from roads to wastewater to connectivity -- supporting nearly 700 rural projects with $2 billion in contribution funding.

Rural communities are facing increased pressures to their economic and social infrastructure, all of which is stressed by the COVID-19 pandemic. One critical gap highlighted by the pandemic is the urgent need for access to high-speed Internet to access critical services such as health and education.

The Government of Canada recognizes connectivity as a priority for rural communities’ ability to recover from the pandemic, and is diligently working to increase connectivity through the implementation of the Connectivity Strategy and the Universal Broadband Fund. These investments will help ensure that 98% of Canadians will have high-speed Internet access by 2026, and 100% will have access by 2030.

A limited capacity in rural communities to plan, secure funding for, and implement projects is a critical issue. The interrelated challenges of rural and remote communities highlights the importance of an inclusive and whole-of-government approach to addressing these challenges. The strategy will guide a coordinated response that ensures that the critical needs of rural and remote communities are considered in federal recovery efforts.

In addition to the previously announced programs and initiatives that are supporting vibrant rural communities, Budget 2022 announces further action to support Canadians living in rural communities, including:
• $26.2 million to increase the forgivable amount of student loans for doctors and nurses who practice in rural and remote communities;
• $3.8 billion over eight years to launch Canada’s first Critical Minerals Strategy, which will create jobs in rural communities across Canada;
• $346.1 million to train 1,000 fire fighters and provide them with new equipment, and $169.9 million to create a new wildfire satellite monitoring system;
• $4 billion over five years for a new Housing Accelerator Fund to help municipalities—including smaller and rural communities—build 100,000 new homes;
• $29.3 million to create a Trusted Employer model and cut red tape for access to the Temporary Foreign Worker Program, and $48.2 million to create a new streamlined foreign worker program for agricultural and fish processing employers;
• $55 million to maintain and enhance the Trans Canada Trail;
• $470 million to help farmers reduce emissions by expanding the On-Farm Climate Action Fund; and
• Tripling the size of the Agricultural Clean Technology Program with a top-up of $329 million.