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Potential federal grant cuts could delay Richmond housing plans

Government of Canada announced Richmond would receive $35.9 million through the Housing Accelerator Fund in January
housing
Cut to a federal grant could mean slower permit processes for building homes in communities.

Possible cuts to a federal grant meant to support more housing could raise concerns for communities like Richmond.

In January, the Government of Canada announced the City of Richmond would receive $35.9 million through the federal Housing Accelerator Fund.

The fund aims to expedite more than 1,000 units of new housing over the next three years and 3,100 over the next decade.

On Oct. 28, Conservative Leader Pierre Poilievre called the housing accelerator fund a "disastrous program" and said his party would abolish it.

Poilievre explained his party would instead use the money to fund his plan to scrap the federal sales tax on new homes sold for less than $1 million.

However, Housing Minister Sean Fraser stated in the House of Commons on Tuesday that several Conservative MPs had written to him saying the program would help their communities build more housing.

Richmond Mayor Malcolm Brodie told the Richmond News that the $35.9 million is a "sizable grant" from the federal government that required "an extensive application" from the city.

"Any changes to (the) program are bound to have a negative effect on the building of housing," said Brodie, adding the fund was intended to improve the housing situation amid a regional and provincial housing crisis.

"This was to assist with our efforts and it will certainly get in the way of our plans if it doesn't come to fruition."

Brodie said the city is hoping to be able to apply the funding the way they envisioned it.

"With more people and more demands on housing, and certainly the affordability question, we clearly need more housing."

He stated the city is looking at the contents and implications of a cut, if any, before making any further responses.

"To talk about cuts to it or implications if another party gets elected, that's going to be more difficult to speculate," he said.

"We'll see the implications of it in due course."

-with files from the Canadian Press

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