Question Period Note: $500M Fund to Support Artists and Athletes

On April 17, 2020, the Prime Minister announced funding of $500 million to establish a new COVID-19 Emergency Support Fund for Cultural, Heritage and Sport Organizations. On May 8, 2020, the Prime Minister announced further details regarding this funding.

• Due to the unexpected cancellations of cultural and sporting events, and the closure of facilities as a result of the COVID-19 pandemic, many cultural, heritage and sport organizations are grappling with extraordinary financial pressures.
• The $500 million emergency support fund is an additional temporary relief measure. This fund was created to meet the financial needs of cultural, heritage and sport organizations facing significant losses due to COVID-19. The goal of the funding is to support business continuity for organizations whose viability has been negatively impacted by COVID-19. The Fund will provide financial support consistent with other assistance measures in place such as the Canada Emergency Wage Subsidy. It is administered by Canadian Heritage with the support of its partners.
• The Government is acting quickly to make sure that this money is provided without delay to cultural and sport organizations.

• On April 17, 2020, the Prime Minister announced new actions to protect Canadian jobs and provide more support to businesses and organizations dealing with the economic impacts of COVID-19.
• These actions included $500 million to establish a COVID-19 Emergency Support Fund for Cultural, Heritage and Sport Organizations to help address the financial needs of affected organizations within these sectors so they can continue to support artists and athletes.
• On May 8, 2020, the Minister of Canadian Heritage announced further details regarding this funding.
• The Fund will be administered by Canadian Heritage and divided among select departmental programs and Portfolio agencies as well as key delivery organizations. Specifically:
o Up to $326.8 million to be distributed by Canadian Heritage, of which:
 $198.3 million will be provided to the beneficiaries of arts and culture funding via existing programs as well as other organizations with demonstrated needs;
 $72 million will be provided to the sport sector;
 $53 million will be provided to the heritage sector via the emergency component of the Museums Assistance Program; and
 $3.5 million will be provided for COVID-related projects under the Digital Citizen Initiative;
o $55 million to be distributed by the Canada Council for the Arts to help artists and art development; and
o $115.8 million to support the Canadian audiovisual sector, to be distributed by the Canada Media Fund ($88.8 million) and Telefilm Canada ($27 million).
o The use of the remaining funds will be assessed based on needs.
• In order to accelerate the distribution of funds, a two-phased approach will be followed:
Phase 1
o A formula-based top-up to recipients of the following arts and culture programs: Canada Periodical Fund, Canada Book Fund, Canada Music Fund (via FACTOR and Musicaction), Canada Arts Training Fund, Canada Arts Presentation Fund, Harbourfront Centre Funding Program, and Building Communities Through Arts and Heritage Program.
o Funds to certain Sport Support Program and Athlete Assistance Program eligible recipients as well as formula-based top-ups to the bilateral sport agreements with provinces and territories will ensure funding is disbursed rapidly. Emergency funding will also be available to the Aboriginal Sport Circle and the provincial and territorial Aboriginal Sport Bodies. Existing agreements will allow for efficient and accelerated delivery.
o Funds will also be distributed by the Canada Council for the Arts, the Canada Media Fund and Telefilm Canada to support their recipients. Measures will be in place to avoid any potential duplication of funding between the Department and these organizations.
o Phase I also includes support to the April 7, 2020, announcement of the Digital Citizen Initiative’s Digital Citizen Contribution Program to help combat false and misleading COVID-19 information as well as the racism and stigmatization that are often the result.
o The streamlined process will use the most recent applications submitted to the program as a basis for topping-up existing funding. Eligible recipients will not have to apply for funding. Existing recipients of targeted programs will be asked to fill out an attestation. Once the attestation has been received and reviewed, funding will flow shortly thereafter.
Phase 2
o Up to $190.5 million of the up to $500 million announced funding will be distributed to non-regular recipient organizations working in arts, culture and heritage.
o This includes:
 Funding for eligible organizations with heritage collections through the emergency component of the Museums Assistance Program; and
 Funding for other organizations, which may include some that do not currently receive funding from Canadian Heritage, the Canada Council for the Arts, Telefilm Canada or the Canada Media Fund (e.g. non-recipient arts and culture organizations, small broadcasters, third-language producers, organizations in live music, local news organizations, magazines and community newspapers).
o Further details on Phase 2 will be announced over the coming weeks.
• At a minimum, all eligible organizations will be required to attest the following in order to receive support:
o they are in need of funding to support a continuity of operations and to safeguard jobs;
o they remain in operation at the time of application and plan to continue contributing to their sector in the future;
o they are not receiving funding from multiple sources to cover the same costs (e.g., Canada Emergency Response Benefit, Canada Emergency Wage Subsidy, Canada Emergency Business Account, and Canada Emergency Commercial Rent Assistance for Small Businesses); and
o where relevant, funds will be used to support workers such as the self-employed and freelance workers, artists and creators.
• Canadian Heritage is working closely with its partners, in particular the Canada Council for the Arts, Telefilm Canada and the Canada Media Fund as well as FACTOR and Musicaction, to distribute the funds through a streamlined process that will facilitate the rapid distribution of funds in a manner that is consistent across all organizations.
• The Emergency Support Fund for Cultural, Heritage and Sport Organizations complements other Government of Canada measures to help Canadian workers and employers impacted by the COVID-19 pandemic, including the Canada Emergency Response Benefit (CERB), the Canada Emergency Wage Subsidy (CEWS), the Business Credit Availability Program (BCAP), and the Canada Emergency Commercial Rent Assistance for Small Businesses.

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