In response to the COVID-19 pandemic, both the Federal and British Columbia Provincial governments have announced various economic relief initiatives meant to address financial impacts of the pandemic.
Details for a number of the announced relief initiatives are limited; however, they will address an array of issues and may be applicable to individuals, businesses or Indigenous communities.
Below is a brief summary of announced and available economic relief resources for Indigenous communities, businesses, and individuals and how these resources can be accessed.
Please direct any questions with respect to this article to the authors or to anyone in the Clark Wilson Indigenous Law Group.
1. Federal Funding
| Relief Name | Available / Announced | Description | Uses | Notes | |
| 1. | Interest-free loans and non-repayable contributions for Indigenous businesses | Announced | $306.8 has been allocated for this program. Small and medium-sized Indigenous businesses may be eligible for loans and non-repayable contributions delivered by Aboriginal Financial Institutions (AFIs) and administered by the National Aboriginal Capital Corporations Association (NACCA). | Intended for immediate liquidity needs. Contact NACCA and/or your local AFI for more information. | Visit NACCA’s webpage for an FAQ page and to sign up for its email list. See more information from Clark Wilson here. |
| 2. | Indigenous Community Support Fund | Available. | $305 million has been allocated for this program. Funds will be allocated to Indigenous communities and organizations that are providing services to Indigenous peoples off-reserve. |
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More information can be found here. |
| 3. | Federal Public Health Funding | Available. | $100 million has been allocated to support Indigenous community public health needs. | These funds are intended to respond to immediate health needs in Indigenous communities, and are being managed by ISC along with (in BC) the First Nations Health Authority (“FNHA”) | Funding requests can be made through either ISC at this link, or the FNHA at this link. |
| 4. | Canada Emergency Response Benefit | Available: March 15 – October 3, 2020. | Up to $2,000 a month for individuals who were forced to stop working because of COVID-19, are ill, or are still employed but not getting paid. Must have earned at least $5,000 in the 12 months prior to applying and expect to be without employment income for at least 14 days. |
No restrictions on uses. | More information can be found here. |
| 5. | Canada Emergency Wage Subsidy | Available to eligible employers.[1] | Provides eligible employers a 75% wage subsidy for up to 12 weeks. | Intended to keep employees who have been or would have been laid off employed during COVID-19. | More information can be found here. |
| 6. | Canada Emergency Commercial Rent Assistance | Announced | The federal government is working with provincial and territorial governments to provide loan relief to commercial landlords who lower or forgive rent for small businesses. | Rent relief for commercial tenants. | The Prime Minister’s announcement can be found here. |
2. Provincial Funding
| Relief Name | Available / Announced | Description | Uses | Notes | |
| 1. | Emergency Benefit for Workers | Announced – available in May 2020. | A one-time $1,000 payment to those individuals who have lost employment income as a result of COVID-19. | No restrictions on uses. | Applications not yet available. |
| 2. | Temporary Rental Supplement Plan | Available. | A temporary rental supplement of $500 per month paid directly to landlords. Available to those households that have experienced an income loss or reduction as a result of COVID-19. | Rental payment subsidy paid directly to landlords. Tenants and landlords both need to apply. | More information can be found here. |
3. Other Financial Resources for Businesses
| Relief Name | Available / Announced | Description | Uses | Notes | |
| 1. | Canada Emergency Business Account | Available at some lending institutions. | Small businesses and not-for profits who paid between $50,000 – $1,000,000 in payroll may qualify for up to $40,000 interest-free loans. | May be lending institution specific. | Speak directly with lending institution. |
| 2. | EDC Loan Guarantees and BDC’s Co-lending Program | Available. | Export Development Canada is offering loan guarantees for small and medium-sized businesses on loans up to $6.5 million. The Business Development Bank of Canada is offering term loans for operational and liquidity needs for small and medium-sized businesses. | May be lending institution specific. | More information on these programs and CEBA can be found here. |
| 3. | Support from Financial Institutions. | Available. | Various relief offered by Canada’s largest banks. | Interest rate reduction, payment deferral and other relief. | Speak directly with lending institution. |
4. Other Resources
| Relief Name | Available / Announced | Description | Uses | Notes | |
| 1. | BC Hydro Utility Bill Payment Deferral | Available to small businesses and individuals. | A utility payment deferral program for individuals who have lost employment and small businesses that have been forced to close due to COVID-19. | Defer hydro payments. | More information can be found here. |
| 2. | BC Hydro Customer Crisis Fund | Available to individuals. | A grant program which offers up to $600 to those who have lost income or are experiencing other financial crises as a result of COVID-19. | Grant funds may be used towards utility expenses. | More information can be found here. |
| 3. | ICBC Payment Deferral | Available to businesses and individuals. | An insurance payment deferral program for those who have lost income or employment due to COVID-19. | Defer ICBC insurance payments. | More information can be found here. |
There are still many outstanding questions for the applicability of announced and available funding to Indigenous communities, businesses and individuals residing on reserve. With respect to the applicability of economic relief Indigenous governments and businesses, we note the following:
- Some Indigenous government owned businesses operating on-reserve as a tax exempt corporation do not appear to be eligible for the Canada Emergency Wage Subsidy as these are not “taxable corporations”, yet they may sustain heavy losses resulting from the pandemic.
- Limited partnerships in which the limited partners consist of one or more First Nations Bands may not be eligible for the Canada Emergency Wage Subsidy, as “Bands” are not considered eligible employers.
The Federal Public Health Funding is currently available to assist communities in responding to COVID-19, including preparing and implementing Pandemic Response Plans. Clark Wilson’s Indigenous Law Group has prepared a draft Pandemic Response Plan and is ready to assist your community in responding to this pandemic.
Our Indigenous Law Group has also written other articles related to the COVID-19 Pandemic: Indigenous Governance during COVID-19: A series, Indigenous Business Group – Employment Commentary, and Liability Protection for Indigenous Governments and Their Businesses Providing Essential Services.
This list of resources is current to April 22, 2020. We will continue to update this resource as additional information becomes available.
As always, we are happy to assist with any questions you may have.
[1] Unclear if available to Indigenous governments, awaiting further program details.
