Government of Canada provides disaster recovery funding to the Northwest Territories
OTTAWA, ON, Feb. 20, 2025 /CNW/ - In 2023, the Northwest Territories experienced one of its worst wildfire seasons, leading to evacuation orders for almost two thirds of its population. A year later, another wildfire led to the evacuation of 380 residents from the community of Fort Good Hope. These devastating incidents were preceded by the significant damage to public infrastructure and private properties caused by historic levels of flooding across the territory in 2021 and 2022.
Today, the Honourable Harjit S. Sajjan, President of the King's Privy Council for Canada and Minister of Emergency Preparedness and Minister responsible for the Pacific Economic Development Agency of Canada, announced payments of over $23 million to the Government of the Northwest Territories through the Disaster Financial Assistance Arrangements (DFAA) program, to assist with response and recovery costs associated with the wildfires in 2024 and 2023, and extreme flooding in spring 2021.
When a large-scale natural disaster happens, the Government of Canada provides financial assistance to provinces and territories through the DFAA program. Through this support the Government of Canada covers eligible disaster response and recovery expenses that have been submitted by the province or territory and that exceed what they could reasonably be expected to bear on their own.
Extreme weather events and natural disasters are a growing threat to the safety and economic stability of Canadian communities. The Government of Canada has and will continue to work closely with the Government of the Northwest Territories to respond and recover from disastrous events such as the recent wildfires and flood.
Quotes
"In the last few years, we've seen the effects of climate change increase the frequency of disasters like wildfires and severe flooding. Our government is working very closely and collaboratively with the territory. This funding will help support the Northwest Territories with their recovery and rebuilding efforts, as we work together to adapt to the impacts of climate change. Prioritizing our resiliency towards recurring disasters will help strengthen our adaptability and our ability to better recover."
- The Honourable Harjit S. Sajjan, President of the King's Privy Council for Canada and Minister of Emergency Preparedness and Minister responsible for the Pacific Economic Development Agency of Canada
"The Disaster Financial Assistance Arrangements program is essential for the Government of the Northwest Territories' disaster response and recovery efforts. We have worked closely with affected residents and community governments to ensure cost recovery for eligible expenses related to evacuation, hosting efforts, and recovery activities. This funding from the Government of Canada is a vital link that demonstrates collaboration across all levels of government, providing community governments with the support they need. We remain committed to supporting residents and community governments in their recovery efforts while continuing to strengthen emergency preparedness. Canada's ongoing support, partnership and recognition of the impact of natural disasters and climate change on the daily lives of Northerners are vital for our security. Working together helps us improve our systems and ensures we are ready for emergencies."
- The Honourable Vince McKay, Northwest Territories Minister of Municipal and Community Affairs and Minister responsible for the Worker's Safety and Compensation Commission and Minister responsible for the Public Utilities Board
Quick Facts
- During the 2024 season, the Northwest Territories saw 172 wildfires that burned approximately 1.7 million hectares of land due to warmer than normal temperatures and lower than normal precipitation. From June 15 to July 6, 2024, the fire breached the community of Fort Good Hope and an evacuation order was issued, resulting in the evacuation of 380 residents out of a population of approximately 500. The fire reached 8,226 hectares in size; however, no structures were lost. Response costs include evacuation flights, providing Fort Good Hope's local emergency management organization with essential supplies and groceries, and providing supplies to host communities. For this event, the Government of Canada has provided an advance payment of $2,426,889.
- Between May 14 and September 22, 2023, there were approximately 303 wildfires across the Northwest Territories, that burned over 4.1 million hectares. A territorial state of emergency was declared on August 15, and, on August 23, it was estimated that 64% of the population of the Northwest Territories was under an evacuation order. By September 1, 2023, over 27,000 residents were evacuated. The communities of Fort Smith, Sambaa K'e, Wekweèti, Jean Marie River, Hay River, Enterprise, Kát'odeeche First Nation, Dettah, N'dilo, Ingraham Trail, Behchokǫ̀, Yellowknife, and Kakisa were evacuated. For this event, the Government of Canada has provided an advance payment of $9,946,052.
- From May 7 to June 6, 2021, the Northwest Territories experienced widespread flooding as a result of warm temperatures and annual ice break-up. The historical levels of flooding resulted in damage to public infrastructure, road closures, and significant damage to private properties. For this event, the Government of Canada has provided an advance payment of $10,713,334.
- In Canada, emergencies are managed first at the municipal level and if assistance is needed, the municipality requests it from the province or territory. If the emergency escalates further, provinces or territories can get help from the federal government.
- Eligible expenses under the DFAA include, but are not limited to, evacuation operations, restoring public works and infrastructure to their pre-disaster condition, as well as restoration or replacement of individuals' uninsurable principal dwellings, restoration of small businesses, and farmsteads and mitigation measures to reduce the future vulnerability of repaired or replaced infrastructure.
- Federal government payments are calculated on a per capita basis and cost-shared with the province or territory. Under the current DFAA program, the amount cost-shared is determined by an established formula and ranges from 50 to 90 percent of the costs of eligible expenses.
- Under the DFAA, provinces and territories have six months following the end of a disaster event to request financial assistance from the federal government. Once an event has been designated under the DFAA, provinces and territories have up to five years to submit their final claim.
- A request for payment under the DFAA is processed immediately following receipt of the required documentation of provincial and territorial expenditures and a review by federal auditors. Advance payments or interim payments, up to 50 or 60 percent of the projected federal share, can also be requested within the five-year timeframe.
- On January 29, Minister Sajjan announced additional details on the upcoming modernization of the Disaster Financial Assistance Arrangements (DFAA) program, which is anticipated to come into effect on April 1, 2025.
- For eligible disasters occurring on or after April 1, 2025, the modernized DFAA program ensures that in the face of increasing disaster costs and impacts to Canadians and all levels of government, financial assistance to provinces and territories will not only be delivered quickly and efficiently in the aftermath of a disaster, but also provide:
- Increased investments in strategic disaster mitigation and building back better to minimize disaster impacts on communities and the risk of future disasters;
- Incentives for risk reduction, pre-disaster planning, and improved hazard awareness to reduce the risks and impacts of disasters;
- Expanded support for people hardest hit by the impacts of significant disasters.
- The DFAA Guidelines for the modernized program are now posted, along with the DFAA Guidelines for eligible disasters occurring before April 1, 2025 (the former program). Since it can take a number of years after a disaster for final payments under the DFAA to be processed, the former program Guidelines will remain active until those events are fully closed and finalized. The DFAA Guidelines for the modernized program will be finalized when they come into effect on April 1, 2025.
- Since the inception of the program in 1970, the DFAA has been a reliable source of support for provinces and territories. As of November 2024, the Government of Canada has provided over $9 billion in post disaster assistance to help provinces and territories with the costs of response and returning infrastructure and property to pre-disaster condition.
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SOURCE Public Safety and Emergency Preparedness Canada