Municipal Affairs
October 11, 2006

Minister Announces Restoration of Funding to Community Enhancement Program

The Honourable John Ottenheimer, Acting Municipal Affairs Minister, announced today that government has restored funding to the Community Enhancement Program (CEP). Due to the immediate employment support needs created by the closure of the Fortune fish plant government had directed some $1.3 million on an interim basis from the $4 million budgeted under CEP to assist the people of that community.

�The closure of the Fortune Fish Plant has had a very significant and lasting impact on the lives of workers and the community. That heightened impact justified an intense and immediate response from government, making it necessary to temporarily divert funding from the Community Enhancement Program to Fortune,� said Minister Ottenheimer. �I am pleased to announce today that, as promised, CEP funding has been fully restored.�

Minister Ottenheimer noted that this necessary response to Fortune caused some communities to express concern that their employment support needs and the corresponding infrastructure enhancements coming from that employment would not be fully met. Meanwhile others expressed concerns about changes regarding income threshold and the limiting of hours an individual can work on a CEP project if they worked the maximum hours on a project in the previous year. After careful deliberation and consultation, government has reconsidered its position and will not be implementing the proposed requirements.

�Government has listened,� said Minister Ottenheimer. �Although these proposed changes to the Community Enhancement Program were made with the intention to ensure employment assistance is best directed to the people who need it most, the concerns raised by stakeholder groups made it necessary to reconsider those changes.�

The minister noted that when the $4 million under CEP is combined with the $1.3 million for Fortune, an estimated $2 million response to the closure of the Marystown fish plant and another $2 million under the provincial Brush Cutting Program, government�s investment in employment support programs totals $9.3 million.

The Community Enhancement Program is a provincially-funded, targeted employment creation program focused on creating short-term employment initiatives for eligible participants. The program utilizes a community-based sponsor and delivery model. Employment assistance will be provided through community projects that will strive to provide an enduring benefit to communities.

Media contact:
John Tompkins
Director of Communications
709-729-1983, 690-2498

2006 10 11                                      11:10 a.m.


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