Building Safer Communities Fund
Terms and Conditions

1. Authority

The authority of the Minister of Public Safety and Emergency Preparedness Canada (hereinafter referred to as "the Minister") to make grants or contributions is found at paragraph 6(1) (c) of the Department of Public Safety and Emergency Preparedness Act, S.C. 2005, ch.10.

A Memorandum to Cabinet titled Combating Firearms Crime and Completing the Prohibition of Assault-Style Firearms was ratified on January 25, 2021 granting policy authority to create a separate program stream to invest $250 million over five years to support municipal and Indigenous community action against gun and gang violence.

2. Program Description and Objectives

The BSCF will:

  1. Support municipalities and Indigenous communities to develop community-based prevention and intervention strategies and initiatives to tackle gun and gang activities.
  2. Increase the knowledge of the nature, scope and challenges of the identified recipients to tackle gun and gang activities.
  3. Support recipients to develop a plan to sustain successful prevention and intervention activities on completion of the program.

The BSCF contributes to the Federal Government 's leadership role in promoting community safety by providing funding to municipalities and Indigenous communities, which will in turn enhance efforts in communities for preventing and reducing gun and gang violence.

The objective of the BSCF is to support municipalities and Indigenous communities in their efforts to address gun and gang prevalence by providing a determined funding allocation to put in place community led projects to combat gun and gang violence and address knowledge gaps concerning the impacts of interventions in gun and gang violence.

The Department of Public Safety and Emergency Preparedness Canada (hereafter Public Safety Canada or the Department) is responsible for administering contributions agreements to municipal governments as well as Indigenous governments, which then can further distribute all or a portion of the funding, to support gang prevention and intervention initiatives, in accordance to their respective needs.

The Department will continue to work in collaboration with municipal and Indigenous governments to understand the gun and gang violence-related priority issues and will continue to facilitate a coordinated national data collection strategy.

2.1 Expected Results and Outcomes

The activities and outputs of the BSCF are expected to support the following results:

Short-term expected results:

Medium-term expected results (3 years):

Long-term expected result:

3. Eligible Recipients

The following classes of recipients will be considered eligible by the Minister under the BSCF:

  1. Indigenous (First Nation, Inuit or Metis) governments, including a Council of a Band within the meaning of subsection 2(1) of the Indian Act, R.S.C. 1985, c.I-5, or a government established under the authority of self-government agreement, which has been approved and has force of law under an act of Parliament or a legislature; and,
  2. Municipal and regional governments.

The recipients are referred to collectively as 'communities'.

Municipal governments and Indigenous governments as explicitly defined and meeting the mandatory attributes are the only initial eligible recipients to receive contributions under the BSCF. Communities within the province of Quebec will receive funding through the BSCF II extension with the Province of Quebec due to legislative requirements under the M-30 Act.

Government departments as defined in section 2 of the Financial Administration Act (including the RCMP) and federal Crown corporations are not eligible for funding.

However, initial eligible recipients may further distribute funds to ultimate recipients to further the objectives of the program.

An initial recipient may further distribute funding to following classes of ultimate recipients:

  1. Indigenous Organizations and Communities;
  2. Government (provincial / territorial/ regional/ municipal) and Public Sector Entities;
  3. Educational Institutions;
  4. Not-for-Profit Organizations;
  5. For-Profit Organizations; and,
  6. Individuals.

4. Eligible Types of Initiatives and Activities

Under the BSCF, the Department provides funding to municipal governments as well as Indigenous governments to support their efforts in combating gun and gang violence by:

  1. developing local and community–based strategies and initiatives
  2. building capacity to better understand the nature, scope and impacts of the types of prevention and intervention initiatives implemented
  3. enhancing evidence-based and targeted prevention and intervention activities
  4. advancing knowledge and evidence of what works, and
  5. developing a data collection strategy and system

Funding provided to initial eligible recipients may be further distributed to eligible ultimate recipients, as outlined in section 6. BSCF funding will support new and incremental activities and is not intended to replace or displace other funding for ongoing initiatives.

Funding received under the BSCF may not be used by eligible recipients to fund ongoing core activities, which includes police officer salaries.

Activities eligible for support are those that contribute to the achievement of the BSCF objectives and are domestic in scope. Eligible activities include:

  1. Development of a strategy on gun and gang violence;
  2. Development and delivery of prevention intervention initiatives addressing risk factors associated with gun and gang violence, including but not limited to mentoring, counselling, skills development and recreational opportunities;
  3. Development or enhancement of data systems to support data gathering/reporting on gun and gang crime or on results achieved;
  4. Development of knowledge to fill gaps at the community/recipient level, including research, and sharing of information and/or best practices related to gun and gang violence;
  5. Outreach and recruitment of preventative initiatives or intervention participants;
  6. Public awareness and education;
  7. Collaboration and integration of horizontal initiatives related to gun and gang violence;
  8. Development of a plan to sustain successful preventative initiatives or intervention activities beyond the end of the contribution agreement;
  9. Other prevention and intervention initiatives to respond to emerging/urgent crisis as developed in consultation with the program authority.

The funding provided is not to be used for any costs already supported through existing police service agreements.

5. Assessment Criteria

Identified eligible recipients must submit for consideration by the Department a prevention and intervention plan to combat gun and gang activities that outlines how they plan to spend their funding allocation over the duration of the agreement. These plans should outline the prevention and intervention initiatives they expect to fund in order to build community capacity to reduce gun and gang activities in their jurisdiction. Plans should include descriptions of initiatives to be funded, sustainability plans and activities, their links to the BSCF objectives and expected results.

The outlined initiatives must be new under the BSCF and implemented with a view to measure its results and consider its time-limited nature. Projects commenced under previous BSCF contribution agreements are eligible activities under the BSCF for 2026-2029. Projects for Indigenous recipients may allow for scaling up existing projects.

Assessment of applications from recipients will consider the following:

In order for the Minister to provide an initial recipient with the authority to further distribute funding to ultimate recipients, as outlined in Section 11, the initial recipient must demonstrate the ability to:

  1. Meet expected results and contribute to transfer payment program objectives;
  2. Undertake or oversee reviews or audits related to the funding;
  3. Implement;
  4. Managing a clear, transparent, and open decision-making process, including that undertaken in the selection of the ultimate recipient(s) and projects or activities to be funded;
  5. Implementing and managing written funding agreements with ultimate recipients;
  6. Managing reporting from ultimate recipients and consolidating this information to meet the performance and financial reporting requirements outlined in their funding agreement with the department;
  7. Managing and leveraging internal controls to ensure funding is provided to ultimate recipients for the intended purposes;
  8. Applicants may be required to submit additional information in order to facilitate this assessment.

6. Method of Determining the Amount of Funding

6.1 Development of the BSCF crime severity ranking

The BSCF targets identified communities. Two ranked lists, one for large and small municipalities and another for Indigenous communities, were developed based on two critical elements – a set of proxy indices and population data – which together will permit the program to address the needs of the communities.

In the absence of specific indices on gang-related firearm violence across Canada, three primary proxy indices are considered and combined in an effort to identify Canadian municipalities and Indigenous communities at greatest risk for gang-related firearm violence: (1) Homicides by firearm from Statistics Canada's Homicide Survey (as per CC, Section 85); (2) incidents of firearms offences captured in Uniform Crime Reporting Survey (UCR) (i.e., referring to Statistics Canada's violation [150], "total firearms, use of, discharge, pointing" from their Incident-Based Crime Statistics data and adhering to sections of the Criminal Code of Canada articulated below); and (3) organized crime/street gang-involved crime from the UCR (i.e., crimes for which police have confirmed or strongly suspect that the offender and/or victims were members or prospective members of an organized crime group or street gang). The data from the years available since the last BSCF ranking (i.e. 2020-2024) were averaged for each proxy indicator, then ranked based on volume of the proxy indicator. The communities were ranked into tiers for each indicator, and the minimum ranked indicator of the three proxy indicators was chosen as the rank for the community. This means multiple communities can be ranked in the number 1, 2, 3 tier, etc. A community's overall rank reflects its highest severity (closeness to rank #1) in one of the proxy indicators, meaning a community does not require a homicide to take place within the jurisdiction, but rather could be reflected for high firearms incidences or elevated levels of organized crime/gang activity.

Indigenous communities are ranked separately from large and small municipalities in relation to population for the following reasons:

6.2 Development of the BSCF funding allocation

After the 2 ranked lists are created, the funding formula outlined below is applied to determine the amount of funding allocated per recipient, with the funding formula applied to each list separately:

Base Funding + Severity Top-Up + Population Adjustment = Total Notional Allocation Per Recipient

Capacity building – In determining which communities would be funded, factors of evidence, readiness and ability were included. Consideration was given for cultural identity (ensuring distinctions – First Nations, Métis and Inuit – were represented in the funding) and uniqueness to allocate funding. The program ensured Indigenous communities would not be disadvantaged due to administrative burden via a Call for Proposals model to put forward a compelling proposal.

7. Eligible Expenditures

The following categories of expenditures are considered eligible, insofar as they relate directly to project expenses:

  1. Salaries and wages and benefits;
  2. Professional and consultant costs, not limited to audit and evaluation expenses and professional fees related to the preparation of financial statements;
  3. Costs related to childcare services incurred by the recipient or the project participants. These costs would only be eligible to cover childcare costs incurred to enable parents/legal guardians to participate in activities;
  4. Access/admittance fees for project participants in recreational or cultural activities;
  5. Transportation, inclusive of vehicle rental costs, non-capital vehicle leases and related insurance, bus tickets, tokens and other participant-related transportation reimbursements;
  6. Recruitment and training costs;
  7. Costs associated to conferences, including conference room, virtual conferences and associated equipment rental;
  8. Travel, accommodations and related expenses in accordance with National Joint Council Guidelines as well as other reasonable participant related transportation reimbursements;
  9. Incremental rent, normal utilities such as electricity, heat, water and telephone, insurance, and maintenance of offices and other buildings where the expenses are directly related to the development and implementation of the project;
  10. Office equipment, supplies and materials, including computers, printers/scanners, and communications equipment and associated costs, and educational or outreach materials;
  11. Minor renovations to the facility where the interventions are taking place (principally required to enhance security or to ensure program fidelity), where deemed essential for the success of the project. Minor renovations are defined as $10,000 in total or less, over the course of the project;
  12. Translation and simultaneous interpretation costs;
  13. Meals and/or refreshments for participants in activities and workshops directly related to the project;
  14. Honoraria, defined as time-limited remuneration for a volunteer service or participation in project delivery that is consistent with, and essential to the attainment of, the project 's objectives. This can include, but is not limited to, volunteer services and guest speakers; but cannot be provided for individuals whose participation in a project is already being compensated (e.g., by their employer) or is being accrued as part of an in-kind contribution;
  15. Further distribution of funds by the initial recipient(s) to the ultimate recipient(s); and,
  16. Administrative expenses as agreed to by the parties of the Agreement, which should not exceed 15% of the total budget, if not already included in other line items.

The following expenditure category is only eligible for Indigenous recipients:

  1. Culturally appropriate expenditures, including gifts/honoraria in the form of gift cards (for a maximum of $ 200 per individual per event per day), community feasts, ceremonies and ceremonial meals, gatherings, and circles; and gifts/honoraria up to $250 per individual per event per day for events with overnights (i.e. camps, out of community travel requiring overnights, etc.). Communities may spend up to $20,000 in the first year of the agreement, and up to $30,000 in subsequent years if a detailed plan of activities is provided to the Department.

For fiscal year 2026-27, due to the timing of the program renewal, the Minister may reimburse eligible retroactive expenditures incurred as of April 1, 2026. The retroactive expenditures will not cross fiscal years. The Minister shall not reimburse an applicant for costs incurred should the funding agreement not be executed.

8. Ineligible Expenditures

  1. Goods and services that, in the opinion of the Government of Canada, are normally provided by the First Nation community or by the federal, provincial, territorial or local municipal government;
  2. Cannot be used to pay for regular or ongoing police services;
  3. Core or ongoing operating expenses;
  4. Hospitality, that does not meet the eligible expenses criteria;
  5. Interest charges or costs of borrowing; and
  6. Amortization.

9. Applicable Requirements for Contributions

9.1 Maximum Amount and Period

The maximum contribution payable shall not exceed $25,000,000 per recipient. Notional allocation per recipient has been determined using a methodology that considers a municipality/Indigenous communities 'severity based on three proxy indices (firearms homicide data, mean firearms incidence, and mean organized crime data) and their population to determine a per year funding allocation.

9.2 Stacking

For any contributions, the maximum level of Total Government Assistance (federal/provincial/municipal assistance for the same purpose and eligible expenses) shall not exceed 100% of eligible expenditure.

The program will require all eligible recipients to disclose all confirmed and potential sources of funds as part of the work plan.

The program will ensure that transfer payment assistance respects these stacking limits and that the federal contribution is based on the Total Government Assistance (federal/provincial/ municipal assistance for the same purpose and eligible expenses). This includes assistance such as all grants, contributions and any other assistance, including non-monetary/in-kind contribution being considered.

The repayment of any amount exceeding the Total Government Assistance limit will be calculated on a pro-rated basis (federal/provincial/municipal assistance for the same purpose and eligible expenses).

9.3 Basis and Timing of Payments

Payments will be issued to recipients pursuant to the provisions of the Treasury Board Policy on Transfer Payments and based on the reimbursement of eligible expenditures. Payment frequency will be based on cash flow requirements and the Agreement 's risk profile. The assessed level of risk will also determine requirements for a holdback provision to be included in the Agreement.

Progress payments will be issued to reimburse the recipient for expenditures incurred. They will be based on receipt of financial and non-financial project reporting outlining activities and expenditures to date, and acceptance thereof by the Minister.

Where advance payments are required for the successful implementation of the project, they will be issued in accordance with the recipient 's cash flow requirements and the project's risk level.

Recipients must meet, and continue to meet, the specific Terms and Conditions of the Contribution Agreement, prior to payments being made.

Provided that the recipient has met the terms and conditions of the contribution agreement, a final payment will be made only upon receipt and acceptance of final deliverables as stated in the Agreement.

9.4 Additional Contribution Funding Approaches for Transfer Payments to First Nation, Inuit and Metis Recipients

9.4.1 Fixed Contribution Funding

The Minister will consider utilizing a fixed contribution funding approach for Indigenous recipients when the amount of the contribution can be based on a reliable estimate of the funding required to achieve the objectives of the project.

A fixed contribution approach allows the recipient, in a single-year funding agreement, to retain unexpended funding remaining at the expiry of the contribution agreement provided that the obligations and objectives set out in the contribution agreement are met and the recipient agrees to use the unexpended funding for purposes consistent with the objectives of these Terms and Conditions.

9.4.2 Flexible Contribution Funding

The Minister will consider utilizing a flexible contribution funding approach where a recipient has demonstrated the capacity to manage transfer payments. A flexible contribution approach can be used for First Nation, Inuit and Metis recipients when they have demonstrated capacity to effectively manage transfer payments.

This approach enables the recipient to redirect funding among the cost categories established in the funding agreement. It also allows the recipient, in a multi-year funding agreement, to roll-over unexpended funding remaining at the end of each fiscal year for use in the next fiscal year to further achieve results toward the funding objectives. A request or notification letter must be made in writing by the recipient, prior to the end of the fiscal year, to roll-over unexpended funding to the next fiscal year. Before approval by the Minister of such a request, the funding manager will consider the recipient's:

All unexpended funding from Canada at the termination or expiry of a funding agreement, will constitute a debt due to Canada and will need to be reimbursed.

9.5 Monitoring and Reporting Requirements

A schedule of financial and non-financial reporting requirements based on the risk level will be included within each Agreement.

Recipients are required to provide the Department with reports outlining progress towards eligible activities undertaken in support of their approved project.

In addition, recipients will be required to provide financial reports, at a minimum annually, outlining the costs incurred in relation to their approved project, including a final accounting of eligible expenditures. The reporting will include a list of ultimate recipients, including names of organizations/individuals and amount of funding allocated and expended.

9.6 Performance Measurement Strategy

Public Safety Canada will facilitate a coordinated national strategy to measure performance under the BSCF to ensure effective implementation and a consistent approach to reporting across all jurisdictions.

As initial eligible recipients, Indigenous communities as well as municipal governments will be required to report annually on performance indicators outlined in Sections 4 and 5.

The Annual Performance Report (APR) template will be provided by Public Safety Canada and will collect information on each individually funded projects, including but not limited to:

10. Further distribution of contribution funding

Further distribution of contribution funds by an initial recipient to one or more persons or entities must be clearly defined and pre-approved as part of the contribution agreement. The Minister will ensure that fair and transparent processes are in place. The Minister will review all documentation relevant to the selection process, but will not exercise control over the selection of the ultimate recipients (one or more persons or entities). In making distributions, an initial recipient will not be acting or representing itself as an agent of the Government of Canada.

11. Official Languages

Public Safety Canada will work with individuals, communities and organizations in their preferred official language. The BSCF 's overall objectives are to be implemented within the broader context of the linguistic duality of Canada by supporting projects that will service official language minority communities while being mindful of gender and diversity issues.

Funding Agreements will include provisions to ensure that recipients address the needs of the Official Language Minority Community identified in their proposal.

Public Safety Canada is committed to the obligations of the Government of Canada as set out in Part VII of the Official Languages Act.

12. Intellectual Property

If a project produces intellectual property, the Recipient retains copyright for any work produced under the funding agreement. However, in situations where Public Safety Canada wishes to use the intellectual property produced by a Recipient, the Recipient shall retain copyright for any work produced under this agreement but may give Public Safety Canada a royalty-free, permanent and non-exclusive license.

13. Gender Based Analysis +

Gender-Based Analysis Plus (GBA+) is an analytical tool used to assess the potential impacts of policies, programs, services, and other initiatives on diverse groups of women and men, taking into account gender and other identity factors. The "plus" refers to other intersecting factors beyond gender such as age, education, language, geography, culture and income.

Public Safety (PS) supports the inclusion of robust gender- and diversity- based analysis into the development of all policies, programs, services, communication strategies, public consultations, legislation and other departmental activities, noting its particular importance in the realm of security, technology, countering crime and emergency management.

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