Southern Ontario Spotlight - July 2021

Small businesses are the backbone of our economy and a source of jobs in every corner of the country. As the Government of Canada continues to make targeted investments to support economic recovery from the COVID-19 pandemic, it is critical that we support local businesses and the organizations that support them to future-proof, build resiliency and prepare for growth.

That is why the Government of Canada announced that businesses and organizations across Canada can now submit applications through the new Jobs and Growth Fund. Delivered by Canada’s regional development agencies (RDAs), including FedDev Ontario, this new fund provides $700 million over three years for projects that will help job creators to adopt clean technology, increase diversity, and implement digital technologies to strengthen capacity in critical sectors. This includes up to $70 million dedicated to businesses created after January 2020 that meet eligibility criteria.

“By investing in our job creators and the organizations that support them, the Jobs and Growth Fund will help to create quality jobs, pursue inclusive and clean growth opportunities, and empower businesses and communities from coast to coast to coast. Our government has a plan to finish the fight against COVID-19—and ensure a resilient economic recovery that creates good jobs and growth for all Canadians. Today’s announcement is an important step forward in getting us there.”

- The Honourable Mélanie Joly, Minister of Economic Development and Official Languages

Also announced was the opening of the Aerospace Regional Recovery Initiative (ARRI), a measure introduced by the Government of Canada to address the severe economic impact experienced by the aerospace sector throughout the pandemic. With a budget of $250 million over three years, this national initiative will help small- and medium-sized enterprises (SMEs) and not-for-profit organizations in the aerospace sector adopt green and sustainable practices, increase innovation, and strengthen their integration into global supply chains.

For more information on the Jobs and Growth and ARRI funds, as well as additional programming being offered, visit FedDev Ontario’s Funding Opportunities page.

The tourism sector has faced an unprecedented economic downturn over the past 16 months, with public safety measures keeping most Canadians at home and international borders closed. With vaccination rates steadily increasing and case rates on the decline, tourism businesses and organizations are ready to build forward and re-establish Canada as a world-class destination.

To support this critical sector, the Government of Canada launched the new $500-million Tourism Relief Fund to help businesses and organizations adapt operations to meet public health requirements and invest in new products and services to facilitate future growth, with a minimum of $50 million dedicated to supporting Indigenous tourism initiatives.

As part of the $1-billion in tourism support announced in Budget 2021, the Tourism Relief Fund, delivered by Canada’s RDAs including FedDev Ontario, will help tourism businesses bounce back and drive economic growth and job creation from coast to coast to coast.

This funding will also leverage the reach and expertise of national tourism organizations to support pan-Canadian or multi-regional activities addressing challenges facing the tourism sector on its path to recovery, like conferences and events, training and research, and strengthening networks.

“This funding will have a strong impact on tourism communities and families, giving many the opportunity to keep their staff, customers and operations safe for everyone and help to keep our economy open and progressive, as we continue to move forward.”

– Lesley Lavender, Executive Director, Prince Edward County Chamber of Commerce

At the end of June, the Government of Canada also launched the Major Festivals and Events Support Initiative (MFESI), part of the $1.9-billion announced in Budget 2021 to help support the arts, culture, heritage and sport sectors. FedDev Ontario is delivering MFESI in southern Ontario to help major, recurring festivals and events with annual revenues exceeding $10 million to adapt or enhance their activities to prepare for when they are able to welcome national and international visitors again. This initiative complements the $200-million Reopening Fund that will be delivered by Canadian Heritage over two years to support Canada's festivals, cultural events, outdoor theatre performances, heritage celebrations, local museums, amateur sport events and more.

Visit FedDev Ontario’s website to learn more about the TRF and MFESI.

Shared public spaces are the heart of communities across southern Ontario, with main streets, downtown cores, farmers' markets and other public places drawing in residents and visitors alike while supporting local businesses and jobs. In many communities, these spaces have remained empty as Canadians took precautions to stay safe from COVID-19.

Recently, the Government of Canada announced that applications are now being accepted for the new Canada Community Revitalization Fund (CCRF). Delivered by Canada’s RDAs, including FedDev Ontario, the CCRF aims to help communities across Canada build and improve community infrastructure projects so they can rebound from the effects of the COVID-19 pandemic. With a national investment of $500 million over two years, the Fund will support not-for-profit organizations, municipalities and other community groups, as well as Indigenous communities to: build new community infrastructure and revitalize existing assets; bring people back to public spaces safely as health measures ease; and create jobs and stimulate local economies. For more information on how to apply, visit FedDev Ontario’s CCRF webpage.

In addition, the Government of Canada recently announced the launch of a call for applications for the Canada Digital Adoption Program’s (CDAP) first stream, Grow Your Business Online, valued at $336.8 million. Recognizing that expanding digital adoption for businesses of all sizes is critical to Canada’s long-term growth and competitiveness, this first stream will award funding to not-for-profit organizations to support small businesses as they adopt digital technologies such as digital storefronts and e-commerce platforms, and expand their digital presence. For information on how to apply, visit the CDAP website.

Southern Ontario’s economic recovery is closely linked to the vitality of our local communities and their shared spaces, and FedDev Ontario remains committed to supporting communities as we build forward.

Toronto’s diverse neighbourhoods comprise a rich tapestry where art, dining, culture and sports collide. Those who live and work in the vibrant city and the more than 27 million people who normally visit each year contribute greatly to the local economy. However, the shift to remote work and business closures during the pandemic has impacted the city’s vitality.

That is why FedDev Ontario announced $19 million to support the recovery and revitalization of Toronto’s neighbourhoods. This includes an $18 million investment in the City of Toronto to deliver the Main Street Recovery and Rebuild Initiative, a first-in-Canada approach to retain and attract new businesses and bring foot traffic back to the city’s communities. Programming will prioritize marginalized communities and will help retail businesses get back on their feet with mentorship, advisory services and grants. This includes, for example:

• Support for plazaPOPS, which will help transform empty strip mall parking lots into green community gathering spaces while revitalizing commercial spaces that have been left empty as a result of the pandemic.
• Support for CaféTO, which will help main street restaurants continue to adapt to pandemic-related restrictions and attract patrons for dining experiences.
• A partnership with the Black Business and Professional Association, which will help support businesses in the neighbourhood of Little Jamaica that have been impacted by the pandemic.
• Funding for the ShowLoveTO initiative that encourages Torontonians to explore, shop and support local stores, restaurants and service providers in a safe manner.

“We need to ensure our businesses are set up for recovery post-pandemic, and in the years to come. Today’s support from the federal government will provide much needed help for our hard hit main streets and small businesses. Thank you to our federal partners for this funding that will be vital to the survival of our small businesses and in the success of our city.”

- His Worship John Tory, Mayor, City of Toronto

Together, these investments will support more than 3,300 Toronto businesses and protect over 5,760 jobs, further demonstrating the Government of Canada’s commitment to helping communities, families and businesses build forward from the pandemic in a strong and inclusive economic recovery.