With the recent change in government, we often get questions regarding the impacts of government changes on existing funding programs available in Canada. Will the funding programs our clients accessed in the past still be available? Will pending applications still be reviewed as they were pre-election? As the Canadian Government Funding Experts, Mentor Works would like to help small businesses understand the effects of the shifts in government so that entrepreneurs and management teams can plan their projects and effectively manage cash flows.
How does a new government change provincial funding and Ontario government grants?
With any federal election, provincial programs such as the Southwestern Ontario Development Fund (SWODF), Eastern Ontario Development Fund (EODF), Rural Economic Development Fund (RED), and Northern Ontario Heritage Fund Corporation (NOHFC) programs continue unchanged. This is because provincial Ministers are still available to provide final approval and sign contractual funding agreements.
Some programs are jointly funded by the federal and provincial government, such as the Canada Job Grant or Growing Forward 2. These programs are the result of large, multi-year agreements that allocate set funds for particular priorities. As these programs are typically delivered by the provinces, these funds generally continue un-impeded during Federal elections.
How will Canadian government funding be affected by the election?
Federal programs will vary in their ability to move forward during and after elections. Funds such as CME Smart Advanced Technologies for Global Growth and the FedDev ON Training Productivity Initiative are funds allocated to industry associations to manage, and as such are generally unaffected by government change, as they review and approve projects directly. These programs continue to have funds and approve applications until their allotment is exhausted.
Federal funds that are administered by Federal agencies and departments, such as the suite of programs offered by the Federal Economic Development Agency for Southern Ontario (FedDev Ontario) including Investing in Business Innovation (IBI) and Investing in Business Growth & Productivity (IBGP), put their approvals of applications on hold during elections, but still do the initial review to prepare projects to move forward as soon as a new government in place. New elected officials will then review existing vetted projects and provide responses to applicants.
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While it’s certain that changes are ahead as new political priorities are implemented and new potential programs launched, key existing programs are not expected to change radically in the near term. Mentor Works will assist businesses through this transition by identifying new government funding programs and find substitutes for expiring government grants and loans. Stay updated on all of these changes by subscribing to Mentor Works’ weekly Canadian government funding newsletter, or follow us on Twitter for daily blogs and interesting articles from around the web.