To View the recorded session with Elizabeth Tang on the CECRA Federal Funding please click HERE
Answers to additional questions posted during the session that were unavailable at the time are posted below:
Question: What if my tenant hasn’t paid rent for April and May?
Answer: CECRA provides rental relief for small business tenants for the months of April, May and June 2020. If the small business tenant is eligible, it would be expected to pay no more than 25% of monthly gross rents for each of those months.
Business owners may also be eligible for other credit support programs such as: 1. funding supported through the EDC Loan Guarantee for Small and Medium-Sized Enterprises (SMEs) 2. the BDC Co-Lending Program for SMEs Employers may also be able to take advantage of other measures the government has put in place including deferring GST/HST payments and income taxes. Learn more about these measures at Canada’s COVID-19 Economic Response Plan.
Question: Will property owners be penalized for fraud on the part of their tenant? What are the consequences for a tenant that is in breach of their rent reduction agreement or attestation? Will property owners be liable for submitting a false attestation?
Answer: The property owner is responsible for ensuring that its own representations are correct and not false or misleading. However, the tenant is responsible for being truthful in its own attestation. The property owner is entitled to rely on the declaration and attestation of the impacted tenant(s) and will be required only to confirm that it has no knowledge, acting reasonably and without investigation, of any falsehood or misrepresentations in the attestation submitted by the impacted tenant(s). . Any false or misleading information provided by the tenant and/or the property owner may result in a determination by the CECRA administrator that the tenant and/or property owner is not eligible to receive financial or other benefits through CECRA. If by the tenant, the previously forgiven rent shall become due and owing to the property owner. The property owner will not be personally liable to repay any amounts received under the program in the event of tenant misrepresentation or fraud. However, a property owner will be required to reinstate the original rent amount, take reasonable efforts to recover rent amounts previously forgiven and repay the amounts collected/recovered to CMHC, after payment by the tenant of all amounts owing to the property owner.
Contact: Elizabeth Tang
|Knowledge Transfer Specialist – Outreach
Partnerships and Promotions, Client Solutions
Telephone: 604 737-4052