Intake One: Eligibility

Intake One

Nearly 600 applications with total requested funding of more than $750 million were received during the first intake of CAF in Southern Ontario, which opened on May 14, 2009, and closed on June 12, 2009.

The eligibility and selection criteria for the first intake are outlined below.

Eligible Communities

Projects in Ontario communities with a population of less than 250,000, including First Nations, will be eligible for support and would be given higher priority if the community:

• is rural* and supported by a single industry;
• has experienced an increase in Employment Insurance beneficiaries equal or greater than 20% over a one-year period; and
• has experienced major layoffs resulting in significant job losses.

* For the purposes of the Community Adjustment Fund, rural means any community with a population of 100,000 or less.

Eligible Applicants

Eligible Applicants in the communities defined above, are individuals or legal entities and include:

• non-profit organizations;
• post-secondary institutions;
• co-operatives;
• Indian Bands, as represented by their Chief and Council; and
• municipal governments and municipally-created organizations.

Selection Criteria

For the purposes of CAF, a project must meet all of the following criteria:

• the project can start quickly;
• it can be completed within the CAF timeframes* with no obligation for continued financial support; and
• it is incremental (i.e. not intended to replace existing funding).

* In Southern Ontario, projects must be completed by March 31, 2010. 

In Northern Ontario, projects must be completed by March 31, 2011.

Priority will be given to projects that:

• generate immediate employment (beginning as early as summer, 2009);
• create the most jobs per dollar invested;
• leverage funds from the province and other funding partners;
• build on collaboration agreements already in place (e.g. federal-provincial agreements and existing programs); and
• provide a legacy of longer-term ecological and/or economic benefits.

Projects approved under CAF shall:

• not increase slaughter house capacity;
• not counter with obligations set out under the Softwood Lumber Agreement; and
• not provide for direct assistance to workers.

The Community Adjustment Fund is designed to complement existing government programs and services. Projects eligible for funding under other existing federal infrastructure programs will be ineligible for CAF funding.

Eligible Costs

Eligible costs must be incremental and directly associated with the identified projects. They must be considered reasonable and necessary for the completion of the project. Examples of eligible costs include labour, operating, materials, capital expenditures, consultants, travel, research and development, administrative expenses, and any other costs which are deemed by the Department to be reasonable and required to complete the project. Eligible operating/overhead costs will not exceed 10 per cent of the total costs of the proposal.

Ineligible Costs

The following costs are not eligible for the purposes of the Fund:

• costs of membership in a professional body;
• fines and penalties;
• capital depreciation;
• non-incremental wages and/or fees for administrators;
• land or vehicle purchase;
• the tax on goods and services (GST) and any Ontario sales tax eligible for repayment or input tax credit;
• the applicant’s current debts;
• any costs that are not incremental to the applicant and directly related to the project.

Maximum Support

The total amount of CAF funding provided for a specific project will generally be based on the amount that is required to ensure that the project proceeds, in keeping with the expected results and benefits to the community.

Ongoing or normal operating costs of the Recipient are not eligible costs under this program.