CESO Joins Coalition of Canadian Charities Asking Ottawa for $10 Billion Stabilization FundMarch 26, 2020
CESO is one of over 150 Canadian charities that have joined together to sign a letter to the Government of Canada asking for urgent financial support to prevent the collapse of the charitable sector, and its vital programs, due to the COVID-19 crisis.
Canada’s charities are a critical part of the Canadian economy, contributing more than eight percent to Canada’s GDP and employing more than ten percent of working Canadians.
Without immediate support from the federal government, many Canadian charities face the risk of massive layoffs, which would greatly impede their ability to support and sustain programs that provide for vulnerable people and communities.
The Emergency Coalition of Canadian Charities is recommending the following:
- The immediate establishment of an emergency $10 billion stabilization fund that will allow charities to survive, retain staff, cover critical expenses, and continue essential, frontline operations during the pandemic;
- Loan guarantees to Canada’s banks to ensure that charitable organizations have easy access to urgent, substantial short term low- or no-interest loans to support their operations;
- Increase the Charitable Donation Tax Credit through to the end of 2021 from 50% to 75% (in line with the rate that is provided for political donations) to encourage Canadians to donate;
- Continue to flow already-contracted funds to charities and allow for maximum flexibility and re-budgeting as charities struggle to deliver and/or redesign their programs in the wake of COVID-19; and
- Ensure that charities have access to the same recovery programs that businesses do at every step.
These measures will help ensure Canada’s charitable sector survives and can continue providing vital support to communities and families in the wake of COVID-19.