Funding Snapshot

Maximum Award:
$200,000

Grants of up to $65,000 for a single building, or up to $200,000 for a portfolio of buildings, to cover up to 80% of your eligible costs. Eligible Indigenous communities may qualify for a grant of up to 100% of eligible costs.

Open To:

• Canadian municipal governments (e.g., towns, cities, regions, districts and local boards thereof);
• Municipally owned corporations, such as municipal housing service providers; or
• Non-profit, mission-driven affordable housing providers, including cooperatives.
• An Indigenous community is an eligible lead applicant if they are partnering with a Canadian municipal government on an eligible project, or if they have a shared service agreement with a Canadian municipal government related to municipal infrastructure, climate change or adaptation.

Application Deadline:

Applications are accepted year-round.

Eligible Costs:

See the eligible costs table for details.

This funding helps housing providers plan retrofit work over time. A pathway study looks at retrofit options over 10 and 20 years. This approach allows organizations to phase work based on budgets, building needs and capacity. It also evaluates different ways to achieve energy or greenhouse gas (GHG) reductions, or both, helping housing providers compare options and choose the approach that best meets their goals while maintaining affordability and building performance.

A retrofit pathway study can support decisions about when and how upgrades can be completed as part of asset management or capital planning. The pathway study can apply to a single building or a portfolio of buildings. 

Instead of focusing on a one-time deep energy retrofit, a pathway study looks at different retrofit options and timelines. This approach allows housing providers to compare different combinations of measures, understand costs and energy impacts over time, and coordinate retrofit work with future capital funding opportunities and equipment replacement schedules. It also supports a phased approach, where upgrades are completed over time as building systems reach the end of their useful life.

A retrofit pathway study helps housing providers understand:

  • how their buildings perform today
  • what repairs or replacements will likely be needed over time
  • how energy-efficient upgrades can be integrated into existing asset management or capital plans

At a minimum, a retrofit pathway study is expected to:

  • Establish a clear baseline of current energy use and GHG emissions for the building(s) being studied.
  • Identify and document building components and systems expected to require repair or replacement over the next 30 years, along with energy-saving upgrades that could be completed at the same time to reduce energy use or GHG emissions.
  • Identify appropriate energy conservation measures (ECMs) that align with the energy and GHG reduction targets described in the scenario requirements section.
  • Compare different retrofit scenarios that show how and when ECMs could be implemented, considering when systems will need to be replaced, costs, energy savings, GHG reductions and potential efficiencies from completing work at the same time.
  • Assess the financial implications of these scenarios, including capital costs, available funding, capital reserves and anticipated savings from reduced energy use.
  • Identify factors that may affect retrofit decisions beyond energy, GHG and cost considerations, and support the integration of energy efficiency into existing capital planning processes.

Together, these elements help housing providers include energy efficiency in long-term planning and choose retrofit approaches that support their organizational goals.

Eligible projects

Retrofit pathway studies must include at least three scenarios: 

  • one “like-for-like” scenario based on standard replacement 
  • at least two higher-performance scenarios meeting energy or GHG reduction targets

Performance scenarios must achieve:

  • 10 years: ≥50% GHG reduction or ≥40% energy reduction
  • 20 years: ≥80% GHG reduction or ≥60% energy reduction

See the application guide and the retrofit pathway study guidance document for more details.

Time to complete projects

Projects are typically expected to be completed within two years of FCM approval.

Notes

Funding is stackable with other funding programs.

We reserve the right to make changes to eligibility criteria and the types of projects funded through this offer.


How to Apply

1.    Review the application guide. Make sure to look at the eligibility criteria and required document sections. 
2.    Visit the FCM funding portal to create your profile and request a PIN to access the system. Already have an FCM funding portal profile? Skip to step 3. 
3.    Complete the pre-application form available on the FCM funding portal following the instructions in the application guide
4.    Eligible projects will be invited to submit a full application.  


Quebec municipalities

FCM has an agreement with Quebec's Ministère des Affaires municipales et de l’Habitation (MAMH) that allows the ministry to review applications to GMF before they are submitted to FCM. Quebec municipalities and municipally-owned corporations interested in applying should contact GMF.

Municipally-owned corporations are not included in the agreement with MAMH. They must obtain authorization from the Quebec government to secure an agreement with FCM, in accordance with the Ministère du Conseil exécutif. Private non-profit organizations can submit to GMF directly.

Once you have completed all the steps in the ‘How to apply’ section, submit your application by following the steps below. Note that the content of the links is available in French only.

  1. Save your application form using the appropriate file name.
    • Save the application form to your local device with the following filename: FMV_ "your municipality's name"_ "date" (YYMMDD). For example: FMV_TownofABC_180228.pdf
  2. Log in to the Portail gouvernemental des affaires municipales et régionales using your username and password. 
    • To submit your form click on “File Transfer”.
    • In the “Recipient” drop-down list, select the applicable program.
    • Upload your files and press “Transfer” once your request is complete.
  3. Receive confirmation from MAMH.
    • MAMH assesses the applications to ensure that the projects submitted do not conflict with Quebec's government policies and directives. Once the assessment has been completed, MAMH informs the applicant of their decision and sends compliant applications to GMF for review.
    • MAMH requires up to 15 working days to review the application and forward it to GMF.
  4. Receive approval from GMF.
    • GMF will inform the applicant once they receive the application from MAMH and review the submission. If the application is approved for funding, an agreement between FCM and the applicant is prepared.

Need help to see if this is the right funding for you?

Contact our Outreach team who can answer any questions you have relating to this funding opportunity.

Funding Snapshot

Maximum Award:
$350,000

Grants of up to $200,000 for a single building, or up to $350,000 for a portfolio of buildings, to cover up to 80% of your eligible costs. Eligible Indigenous communities may qualify for a grant of up to 100% of eligible costs.

Open To:
  • Canadian municipal governments (e.g., towns, cities, regions, districts and local boards thereof);
  • Municipally owned corporations, such as municipal housing service providers; or
  • Non-profit, mission-driven affordable housing providers, including cooperatives.
  • An Indigenous community is an eligible lead applicant if they are partnering with a Canadian municipal government on an eligible project, or if they have a shared service agreement with a Canadian municipal government related to municipal infrastructure, climate change or adaptation.
Application Deadline:

Applications are accepted year-round.

Eligible Costs:

See the eligible costs table for details.

This funding helps housing providers complete the assessments needed before a deep energy retrofit that achieves significant energy or greenhouse gas (GHG) reductions, or both. The grant supports work at the pre-construction stage to assess implementation approaches and estimate the impacts and outcomes of a future capital retrofit project.

Housing providers can use a one-time retrofit study grant to assess the approaches needed to implement an eligible project in detail, including:

  • technical evaluations and energy models
  • financial options analysis
  • site assessments
  • engagement activities 
  • detailed project planning

These approaches must demonstrate and validate the project’s environmental, social and economic benefits, in line with GMF’s environmental thresholds for Sustainable Affordable Housing (SAH).

Eligible projects

The purpose of SAH funding is to enable affordable housing providers to pursue ambitious energy and/or GHG reductions through retrofits of existing buildings.

Projects must seek to achieve the following GHG and/or energy targets:

  • 50% annual GHG reduction; and/or
  • 40% annual energy reduction 

One-time retrofit study grants are flexible and can be used for a range of activities, depending on the applicant’s needs, including:

  • project planning and coordination
  • technical assessments and studies
  • design and costing work
  • community, resident and equity‑focused engagement
  • climate risk, resilience and mitigation planning 
  • partnerships and procurement approaches 
  • financial and funding assessment 
  • capacity development

See the application guide for more details.

Time to complete projects

Projects are typically expected to be completed within two years of FCM approval.

Notes

Funding is stackable with other funding programs.

We reserve the right to make changes to eligibility criteria and the types of projects funded through this offer.


How to Apply

1.    Review the application guide. Make sure to look at the eligibility criteria and required document sections. 
2.    Visit the FCM funding portal to create your profile and request a PIN to access the system. Already have an FCM funding portal profile? Skip to step 3. 
3.    Complete the pre-application form available on the FCM funding portal following the instructions in the application guide
4.    Eligible projects will be invited to submit a full application.  


Quebec municipalities

FCM has an agreement with Quebec's Ministère des Affaires municipales et de l’Habitation (MAMH) that allows the ministry to review applications to GMF before they are submitted to FCM. Quebec municipalities and municipally-owned corporations interested in applying should contact GMF.

Municipally-owned corporations are not included in the agreement with MAMH. They must obtain authorization from the Quebec government to secure an agreement with FCM, in accordance with the Ministère du Conseil exécutif. Private non-profit organizations can submit to GMF directly.

Once you have completed all the steps in the ‘How to apply’ section, submit your application by following the steps below. Note that the content of the links is available in French only.

  1. Save your application form using the appropriate file name.
    • Save the application form to your local device with the following filename: FMV_ "your municipality's name"_ "date" (YYMMDD). For example: FMV_TownofABC_180228.pdf
  2. Log in to the Portail gouvernemental des affaires municipales et régionales using your username and password. 
    • To submit your form click on “File Transfer”.
    • In the “Recipient” drop-down list, select the applicable program.
    • Upload your files and press “Transfer” once your request is complete.
  3. Receive confirmation from MAMH.
    • MAMH assesses the applications to ensure that the projects submitted do not conflict with Quebec's government policies and directives. Once the assessment has been completed, MAMH informs the applicant of their decision and sends compliant applications to GMF for review.
    • MAMH requires up to 15 working days to review the application and forward it to GMF.
  4. Receive approval from GMF.
    • GMF will inform the applicant once they receive the application from MAMH and review the submission. If the application is approved for funding, an agreement between FCM and the applicant is prepared.

Need help to see if this is the right funding for you?

Contact our Outreach team who can answer any questions you have relating to this funding opportunity.

 

Are you preparing to submit an Adaptation in Action implementation project application?

Watch this webinar recording to learn how to strengthen your submission. This session shares practical guidance informed by recent application rounds to help you navigate a competitive funding environment. You will hear directly from GMF outreach and funding experts on how to present your project clearly and avoid common challenges.  

In this session, we explore questions such as:

  • What are the key elements of a strong application?
  • If you have several project ideas, which one should you prioritize for this funding?
  • What does meaningful engagement and collaboration look like?
  • What types of projects can this funding support?
  • How will your project be evaluated?

While the session briefly touches on feasibility studies, it is focused primarily on helping communities strengthen their applications to implement on-the-ground climate adaptation solutions.

Speakers:

  • Agathe Moreau, Outreach Advisor, Community Canopy and Adaptation
  • Taranjeet Kaur, Advisor, Funding – Adaptation

The webinar was delivered in English with French simultaneous interpretation (SI).  

FCM’s Local Leadership for Climate Adaptation initiative is delivered through our Green Municipal Fund and funded by the Government of Canada. 

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Event Details

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Trees, when planted and managed strategically, bring numerous benefits to communities, such as building climate resilience, reducing energy bills, improving air quality and supporting mental well-being. Through the GMF’s Growing Canada’s Community Canopies (GCCC) initiative, municipalities in Quebec can now access up to $10 million in funding for Tree planting and up to $175,000 for Urban forestry plans and studies funding to plant, grow and strategically manage their community canopies.

If your community is planning a tree planting or urban forest management project and need guidance on the next steps to apply for funding, join our hands-on workshop. You’ll learn how to prepare a strong application. We’ll guide you through the application process with key steps and requirements. The 2-hour workshop will include presentations, document walkthroughs and a question and answer session.  

By attending this workshop, you will:

  • Learn how to complete the Tree planting or Urban forestry plans and studies funding application.
  • Better understand the required information and level of detail needed for a high-quality application.  
  • Be able to align your project activities, indicators and budgets with grant reporting expectations.  
  • Hear about different project types, recognize common pitfalls and gain practical tips.
  • Boost your confidence in completing the application.  

This workshop is for municipal staff from small and medium-sized municipalities in Quebec, who are actively preparing, or considering preparing, a Tree planting or Urban forestry plans and studies funding application.  

Join us on Wednesday, July 8, from 1 p.m. to 3 p.m. ET.

This workshop will be offered in French with simultaneous English interpretation.  

Register today  


This workshop was created in partnership by Tree Canada and FCM’s Green Municipal Fund for the Growing Canada’s Community Canopies initiative, which is delivered by the Federation of Canadian Municipalities and funded by the Government of Canada.  

 

 

government-of-canada-logo

 

The Green Municipal Fund's Growing Canada’s Community Canopies is a $291 million initiative, ending in 2031, funded by the Government of Canada and delivered by the Federation of Canadian Municipalities. Capacity building is enabled through a partnership with Tree Canada. GCCC will support the planting of at least 1.2M trees across Canada by end of March 2031. 

Circular deconstruction is helping communities across Vancouver Island recover valuable materials from buildings and post-industrial sites instead of sending them to landfill. By reclaiming timber, metals, bricks and other materials for reuse, rural communities are creating new economic opportunities, supporting workforce development and strengthening local resilience through circular economy approaches.

Communities involved in this work anticipate significant local benefits, including $2.57 million in potential direct economic contribution, circular economy assessments for 12 businesses, expanded reclaimed lumber processing capacity and skills development training for displaced workers. 

This article series highlights how communities across Vancouver Island are building partnerships, strengthening local economies and creating new opportunities through circular economy approaches in the construction sector.

Heap of old cracked rotten scrapped pine wood decking planks

 

Articles in the series

Recycling waste powers circular economy jobs in British Columbia 
Municipalities across Vancouver Island and the coast are finding innovative ways to divert construction and demolition materials through material exchanges, market studies and stakeholder collaboration. Discover practical lessons from communities working to launch circular economy projects, recover more value from waste and create new economic opportunities.

Empowering a local workforce in Port Alberni through a circular economy
After mill closures impacted Port Alberni, local partners came together to create workforce development programs focused on sustainability and circular economy opportunities. Discover how training initiatives and community collaboration are helping workers transition into emerging industries.

A framework for advancing circular economy in rural communities 
Rural municipalities face unique challenges and opportunities when managing construction and demolition waste. Explore how collaboration, community partnerships and material recovery initiatives can help strengthen local economies and build long-term resilience.
 

Want to explore all GMF-funded projects? Check out the Projects Database for a complete overview of funded projects and get inspired by municipalities of all sizes, across Canada.

Visit the projects database

Urban trees are everywhere—lining streets, shading playgrounds and beautifying neighbourhoods. Sustaining that canopy, however, requires more than just hitting planting targets.

That’s why municipalities across Canada are developing urban forest management plans (UFMPs): strategies that define how trees are governed, maintained and protected over time.

Our guide, ‘Creating an Urban Forest Management Plan For Your Community’, supports this work, helping municipalities set clear, long-term goals for their urban forests. 


Peyton Meters

Peyton Meters

Engagement Manager, pipikwan pêhtâkwan

Miles Peart

Miles Peart

Manager, Urban Forestry, City of Vaughan

Jeff Boone

Jeff Boone

Project Manager, City of Saskatoon

With a background in business management, Miles Peart is the Manager of Urban Forestry at the City of Vaughan. He has led numerous forestry projects, including Vaughan’s first-ever UFMP; he describes the plan as a “playbook” that advances stewardship of “green infrastructure assets.”

Pulling from the Tree Cities of the World program, co-led by the United Nations, Peart outlines core pillars for urban forest governance: knowing your tree inventory—including location, species, size and more—setting an ordinance to govern trees in the jurisdiction, allocating adequate resources at the city-level to create and implement the UFMP, and establishing clear responsibility and accountability between staff.

A successful UFMP requires coordination between several municipal departments, from housing to transport. “There’s nothing better than the UFMP exercise to bring everybody together to highlight the importance of trees as assets,” Peart says. 
 

The pressures shaping urban forestry, from climate to housing 

Jeff Boone, Project Manager at the City of Saskatoon, has worked in urban forestry since 2006. He says that Saskatoon’s UFMP, approved in 2021, was developed largely in-house, with consultant support on tree protection and canopy targets.

Creating the plan was no simple matter; the prairies see major temperature swings—from plus to minus 40—and shifting weather patterns, where a single storm can wipe out thousands of trees.

As well as dealing with extreme weather, Saskatoon’s trees are mostly made up of elm and ash, Boone says. This lack of biodiversity poses a risk to the city’s canopy; Boone is particularly concerned about Dutch elm disease, a fungal infection clogging the trees’ water systems.

The pressures on the canopy are not only environmental. In Vaughan—one of Canada’s fastest-growing municipalities—another pressure is housing demand. Peart is candid about the tension: existing trees aren’t always in the right place when it comes to future developments — for example, they might stand in the way of a new sidewalk being installed.     “Our jobs are really to look after the trees for our grandchildren,” he says. “The decisions we make here today have to strike that balance between many competing priorities.”

How a community manages its urban forest will determine whether future generations inherit neighbourhoods that are cooler, more resilient to climate risks such as flooding, and more supportive of public health and wellbeing.
 

Community meeting to build a strategic urban forest management plan.

 

Creating a strategic urban forest document that accounts for this “wide variety of circumstances” can be a challenge, Boone adds—but like Peart, Boone has found that UFMPs are a “very, very useful document in laying a foundation for internal departments working together.”

Thanks to Saskatoon’s UFMP, when Council approves a plan—such as an active transportation strategy—Boone’s team are more likely to be at the steering table from the get-go, fostering greater collaboration when it comes to tackling issues like building more sidewalks. While conflict remains inevitable, “working together at the outset can at least smooth the edges of the conflict a lot,” Boone says.
 

Equity depends on who is involved, and how

Successfully implementing a UFMP is no small feat, and it’s important to celebrate milestones. “[It’s] the best opportunity to engage with all kinds of stakeholders,” Peart says, from City councillors to residents to community partners.

Those community partners are critical to the sustainability of a UFMP.

“Don’t just draw a box and think, ‘this is what urban forest planning is,’” says Peyton Meters, Engagement Manager at pipikwan pêhtâkwan, an Edmonton-based Indigenous public relations and engagement agency. “Let that bloom and let those seeds get planted from the different partnerships you make.”

For Meters, that means moving beyond simply informing or consulting communities. Referencing the International Association for Public Participation spectrum, she encourages municipalities to work toward deeper involvement and collaboration, where residents are not only reacting to plans, but helping shape and carry them forward.

Meters adds that many communities are already running urban forest activities, and that low participation is often a reflection of how organizations engage with communities, and not whether people care. “Everything starts with relationship first, and then the work can happen next,” she says.  
 

Community members enjoying access to a healthy urban canopy

 

Saskatoon offers a practical example. Boone explains that residents had previously been required to water city-planted trees placed in front of their homes during the first period after planting. As a recent UFMP outcome, the city removed that requirement “so we could create more equal access to that tree-planting opportunity,” he says.

The trees didn’t change, but the expectation did. By removing the watering obligation, the city reduced the burden on residents who might not have had the time or capacity to take that on.

Peart brings it back to basics. In municipal work, he says, staff are “in service to people”—not only to trees. Urban forest decisions, in that view, need to make sense in everyday terms: safety, public health, equity, careful use of tax dollars and resilience in the face of climate change.

Looking ahead, when it comes to creating UFMPs, Meters says that Indigenous worldviews encourage planners to think beyond today’s challenges. “We're not only thinking about what's going to be important for your municipality here and now,” she says, “but for the seven generations in the future.”     

The perspectives highlighted in this article are explored further in the webinar “Develop an urban forest management plan for your community’’, which features examples of how municipalities are building urban forests that are adapted to their communities’ needs. 


This article shares key takeaways from “Develop an urban forest management plan for your community,” a past webinar hosted by GMF.

Watch the webinar

 

 

government-of-canada-logo

 

The Green Municipal Fund's Growing Canada’s Community Canopies is a $291 million initiative, ending in 2031, funded by the Government of Canada and delivered by the Federation of Canadian Municipalities. Capacity building is enabled through a partnership with Tree Canada. GCCC will support the planting of at least 1.2M trees across Canada by end of March 2031. 

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Background

In Port Alberni, BC, the closure of the largest forestry mills—long-standing anchors of employment and economic activity—has had deep and far-reaching impacts on workers, families and the broader community. In addition, Port Alberni’s workforce faces pressures of lower-than-average labour force participation, with relevant factors including:  

  • An aging workforce (median age of 50), 
  • Lower educational attainment (only 11 percent of the population holds a bachelor’s degree compared to 29 percent provincially), 
  • Lower medium income, and;
  • Structural barriers to participation such as access to transportation and child care.

The circular economy, which represents a $6.1 trillion opportunity to Canada by 2030, is one potential source of new jobs for these underemployed workers.

The challenge

Port Alberni’s workforce has deep expertise in mechanical repair, equipment operation, fabrication, logistics and natural resource management—skills that can directly transfer into a circular economy. Yet, as mill closures reshaped the local labour market, many workers were left without clear pathways to apply this experience in new and sustainable industries. Workers directly and indirectly impacted by mill curtailments need training and upskilling to access current job opportunities and help build new ones in a shifting local economy. Synergy Foundation wanted to find solutions to help this transfer happen.

The challenge was not a lack of skills or motivation, but the absence of inclusive, community based pathways to help workers transition into sustainable, future focused roles. The urgency to diversify the local economy alongside longstanding structural barriers – including access to transportation, childcare, affordable housing, and limited access to post-secondary education - highlighted the need for short-term, place-based funded training and paid training with supports that could connect displaced workers to immediate job opportunities while supporting a more resilient, future-oriented workforce. 

Group of workers in a brightly lit industrial setting wearing yellow hard hard and orange safety vests.

Green Building Foundations, Manufacturing and IT Course, March 2026.

The approach

With funding from the Canada Retraining and Opportunities Initiative, Synergy Foundation undertook a project to assess Port Alberni’s evolving workforce and explore emerging circular economy sectors.

The project draws on key contributor engagement from:

  • Local employers and business owners,
  • First Nations and Indigenous-led organizations,
  • Post-secondary institutions and training providers,
  • Workforce development and employment service organizations,
  • Sector specialists and industry associations, and;
  • Municipal and regional economic development and sustainability representatives.

Components include:

1. Labour market study and workforce development plan
Shaped by the voices of local key contributors, this concrete action plan names leads and partners, defines success and sets timelines, budgets and funding opportunities.

2. Funded training and work placements
Four community-tailored circular economy skills training programs offered by local providers (North Island College and Coastal Restoration Society) focus on hands-on learning, with wraparound participant supports. 

“The training has been really positive. We’ve gained hands-on experience, earned new certifications, and built confidence along the way. It feels good to invest in myself and be part of work that supports a circular economy in our community.”
-    Green Building Fundamentals: Manufacturing & IT Training Participant, April 2026

The results

The development plan created through this project is a phased 10-year strategy to build a circular economy workforce that will transform Port Alberni into a hub for green building, marine innovation, environmental restoration and regenerative tourism.

Project results include:

  • Identified four priority training pathways aligned with strong local demand, particularly in construction and sustainability‑related projects:
    • Green building fundamentals: deconstruction and salvage,
    • Green building fundamentals: manufacturing and IT,
    • Maritime industry and environmental restoration and remediation,
    • Tourism operator sustainability.
  • Established a steering committee to guide program design and ensure community ownership.
  • Designed training programs that are short‑term, practical and directly connected to employment opportunities.
  • Prioritized Indigenous partnerships and knowledge to support culturally relevant and inclusive workforce development.

Anticipated outcomes during the 2026 training courses include:

  • 48 individuals trained
  • 15 individuals placed into new jobs

“When we invest in community-based initiatives, we invest in people. By supporting workers and employers through times of transition, we strengthen local resilience and empower communities to create solutions for the future. Projects like this, which prioritize green innovation and local capacity, help future-proof our communities while advancing our collective environmental goals.” Patty Hajdu, Minister of Jobs and Families and Minister responsible for the Federal Economic Development Agency for Northern Ontario

Lessons learned

Some recommendations for similar projects include:

  • Partner with local businesses with direct opportunities for employment.
  • Work with businesses to understand skills needed to train future workforce.
  • Provide financial incentives and supports for trainee participation and retention.
  • In-person engagement is essential; more than 60 people attended one session. 
  • Put together a steering committee that represents the broader community to ensure outcomes reflect community priorities.

Contact
Tai Uhlmann, Senior Project Manager
Synergy Foundation
tai@synergyfoundation.ca 

Related resources

Want to explore all GMF-funded projects? Check out the Projects Database for a complete overview of funded projects and get inspired by municipalities of all sizes, across Canada.

Visit the projects database

Summary

This case study presents a practical framework that rural local governments can adopt to implement circular economy practices focused on construction and demolition (C&D) waste materials. Designed for communities facing economic transition, geographic isolation and limited staff and infrastructure capacity, the framework combines material market studies, in‑person engagement and community‑driven pilots to turn local waste streams into economic assets. By strengthening material exchanges and value‑add processing, rural municipalities can reduce costs, create jobs and improve long‑term economic resilience.

Highlights

This step‑by‑step approach is tailored to rural local governments and adaptable across different rural geographies and scales.

  1. Use material market studies to understand the C&D sector, identify opportunities in the circular economy and assess regional gaps.
  2. Foster community partnerships and diverse in-person engagement to validate data, identify priorities and support reuse locally.
  3. Leverage existing community assets rather than building from scratch.
  4. Support local jobs, social enterprises and small businesses.

Background

Why Rural Communities Need a Different Approach
Many rural communities have historically had resource‑based economies. As these industries decline or consolidate, communities are left navigating economic transition with limited tools and capacity. In rural contexts, success depends on flexibility, relationship‑building and making the most of existing local assets.

Rural local governments seeking to advance circular economy initiatives often encounter:

  • Small and inconsistent material volumes/markets,
  • Lost economic value in wasted construction, renovation and demolition activities,
  • High transportation and disposal costs,
  • Limited local processing infrastructure,
  • Capacity constraints amongst municipal staff,
  • Economic vulnerability following industry closures, and;
  • Lack of policy.

The challenge: Structural barriers in rural circular economy work

Synergy Foundation created a framework it describes as a community‑first pathway to circular economy. It consists of three steps:

1. Understand local barriers and opportunities

  • Start with material market studies that are right‑sized for rural contexts. These studies help communities:
  • Identify which C&D materials are realistically recoverable and have financial value,
  • Understand local and regional market potential,
  • Quantify economic and employment opportunities,
  • Understand existing transferable skills and training gaps, and
  • Assess regional gaps in policy that could support or hinder material reuse.
  • This data builds confidence for councils, staff and partners.

2. Design with the community, not for it

Rural communities benefit from in‑person engagement. This framework emphasizes:

  • Listening to what community members and businesses say they need,
  • Working through community connectors who already hold trust, and
  • Validating assumptions before designing solutions.

This step ensures initiatives respond to real demand, not abstract goals.

3. Build on what already exists

Rather than creating new systems from scratch, local governments should:

  • Leverage social enterprises, charities, makerspaces and small businesses,
  • Assess the potential of unused or underutilized public infrastructure or spaces,
  • Support partnerships that align economic, environmental and social goals, and;
  • Identify pilot projects that can grow over time.

The following examples illustrate how rural and remote communities can advance circular economy outcomes by supporting practical, low-cost initiatives that build on existing community assets and relationships.

Group of employees in safety vests stand in the doorway of a brown wood-paneled building.

qathet Regional District Reuse Shed with Kindred Rebuild, March 2026.

1. Reuse sheds as a low-cost, scalable pilot/hub

Reuse sheds at transfer stations, landfills or other key locations offer a practical starting point for communities looking to pilot C&D material reuse without significant upfront investment.

Example in practice: qathet Regional District (qRD)

  • qRD partnered with social enterprise Kindred Rebuild to establish a reuse shed offering a space at the local transfer station to recover reusable materials and diverts from landfill/disposal.
  • Materials are sorted, stored and offered free to the community, improving access to affordable building materials.

Local government:

  • Identified reuse as a priority in the community,
  • Supported site access and integration within existing waste management operations, and
  • Enabled a partnership with a trusted local organization to support operations.

2. Small-scale processing to increase material value and job creation

Material processing (e.g., denailing, sorting, grading) significantly increases the reuse potential and market value of salvaged materials while supporting local inclusive employment.

Example in practice: Cowichan Valley Regional District

  • The Reuse People of Canada, a registered charity, partnered with a local hauler to divert and reclaim lumber destined for hog fuel or landfill.
  • Salvaged wood is denailed and sorted, creating local jobs and producing a consistent reclaimed lumber supply for end users.

Local government:

  • Promoted services and diversion opportunities in the community.

3. In-person engagement to build material exchanges

In-person engagement consistently highlighted opportunities to connect material generators with processors and end users.

Cross-regional insights:

  • Relationship-building enabled immediate, low-cost material exchanges without new infrastructure.
  • Community partnerships, value-add activities and local processing can support new jobs, keep materials in use locally while retaining their value and create a circular economy hub for C&D materials.

The framework is designed to respond to challenges with realistic solutions. For example:

  • Transportation infrastructure limitations → Build on existing infrastructure to incorporate more backhauling services.
  • Geographic isolation and transportation costs → Focus on local reuse and value‑add rather than export‑dependent recycling.
  • Limited municipal capacity → Use partnerships and pilots to extend staff capacity.
  • Market uncertainty → Start small, test assumptions, build pilot projects and scale gradually.
  • Grant/funding cycles → Invest in relationships and ongoing presence, not one‑time studies.

The results

Key outcomes from the framework

Economic

  • Reduced reliance on costly waste export,
  • Local job creation through reuse and processing,
  • Retention of material value in rural economies, and;
  • Local supply chain resilience from external impacts such as tariffs.

Environmental

  • Increased diversion of reusable C&D materials, and;
  • Reduced emissions from long‑distance transport.

Social/governance

  • Stronger partnerships across sectors, and;
  • Alignment with community‑identified priorities.

“What makes the Circular Hubs project so compelling is its community-driven approach. By grounding circular economy solutions in local engagement and real-world pilots, it ensures that economic and environmental benefits are felt locally and sustainably.”
Jason Kouwenhoven, CPA, Manager of Environmental Services, qathet Regional District

The benefits for rural communities

This framework helps rural communities move from reactive waste management to proactive economic development. It supports affordability, strengthens local businesses and builds resilience during periods of transition. By keeping materials, money and skills local, communities gain greater control over their economic future.

Lessons learned

  • Invest in a local connector, someone already immersed in the community.
  • Prioritize in‑person engagement and networking whenever possible.
  • Ensure outreach and engagement reaches industry, social enterprise, innovators, artists and makers.
  • Avoid “pop‑in, pop‑out” approaches; continuity matters.
  • Start with existing assets and amplify the work people are already doing.
  • Pilot before scaling to reduce risk.
  • Be flexible.

Next steps

In the qathet Region, early action is underway through an emerging pilot that illustrates how rural communities can begin advancing circular economy outcomes using existing relationships and infrastructure. 

Kindred Rebuild, a local social enterprise, is diverting materials directly from an industrial site, strengthening local partnerships and increasing material reuse in the community. The pilot is focused on:

  • Diversion of high value materials directly from an industrial site, keeping them in local circulation.
  • Using existing on site storage infrastructure to enable higher material recovery, temporary storage, sorting, and redistribution through reuse sheds and retail channels.
  • Expanding local material availability, with the potential to reduce reliance on sourcing trips from the Lower Mainland over time.
  • Piloting direct material collection with a construction business, testing how recovery can be integrated into routine construction workflows without new infrastructure.

As experience grows, lessons from this pilot can inform future collaboration, targeted small scale processing, and policy development that better reflects rural realities. Further examples will be shared as this work evolves.

Worker in red ball cap and orange safety vest stands inside an industrial space.

Kindred Rebuild collecting excess materials from closed qathet mill, March 2026.

Contact
Tai Uhlmann, Senior Project Manager
Synergy Foundation
tai@synergyfoundation.ca

Related resources

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Across three BC regional districts Synergy Foundation studied, an estimated 20 percent of construction and demolition (C&D) materials are wasted each year. Material exchanges aim to keep valuable materials in use, reducing waste and contributing to a circular economy. 

Turning C&D waste into local economic opportunity

Large volumes of C&D materials such as wood, metal, concrete, windows, flooring and cabinets are landfilled each year despite having significant reuse potential and market value. Synergy Foundation commissioned material market studies in three BC regional districts and paired them with community engagement and pilot projects to develop regional exchanges for C&D waste materials. These exchanges demonstrate how local processing, community partnerships and value-add activities can create new jobs, retain material value locally and lay the foundation for a scalable circular economy hub for C&D materials.

C&D materials: lost value and economic impact

  • Approximately 33,000 tonnes of C&D material sent to landfill annually
  • 25 potential direct jobs from diverting half of C&D materials
  • $2.57 million in potential direct economic contribution
  • 3 regional districts engaged in material market studies
  • 12 businesses participated in Circular Economy Business Assessments
  • 3 pilot projects demonstrating local material exchanges and value-add processing
  • 140-150 tonnes/year of reclaimed lumber processing capacity enabled
  • 8,000 kg of plastic processing in one year, with increased capacity planned
  • 12 ongoing material exchanges with local businesses & organizations across all 3 regions
  • 196 organizations & businesses engaged

Background

The qathet (qRD), Alberni-Clayoquot (ACRD) and Cowichan Valley (CVRD) regional districts share economic histories rooted in primary resource and manufacturing industries and are navigating economic transition following mill curtailments and broader forest sector shifts. Construction and renovation remain a major economic driver, accounting for roughly 10 percent of the workforce and generating significant volumes of construction and demolition (C&D) waste materials. This sector is both a key source of waste generation and a major opportunity for circular economy solutions that support local jobs and economic resilience.

Barriers to keeping C&D materials in use

C&D materials represent one of the largest and fastest growing waste streams in Canada yet often retain significant value. Synergy Foundation wanted to better understand material flows, market potential and the conditions required to keep materials in use within the qRD, ACRD and CVRD, keeping in mind some key challenges limiting C&D material recovery, which include:

  • Limited understanding of the true economic value of C&D waste materials,
  • High contamination due to poor source separation practices,
  • Fragmented or nonexistent local markets,
  • Lack of connections between material generators, processors and end users, and;
  • Lack of enabling local policy and incentives.

The ultimate goal was to strengthen local circular economy capacity by increasing the diversion of C&D materials for reuse, recycling and value-added manufacturing.

Building place-based C&D material exchanges

Synergy Foundation received grant funding through the Province of BC’s Rural Economic Diversification and Infrastructure Program (REDIP) to develop circular economy hub strategies for the three regional districts and to better understand how the value of C&D waste materials could be captured locally.

  • Three material market studies were commissioned to:
  • Quantify recoverable C&D material volumes and value,
  • Identify priority materials with near-term market potential,
  • Estimate employment impacts, and;
  • Highlight barriers such as contamination, lack of sorting and policy gaps.

Multiple in-person engagement sessions brought diverse sectors together including local businesses, social enterprises and artists in order to:

  • Establish connections between local businesses,
  • Generate ideas and solutions around difficult materials, and
  • Validate priorities and next steps to drive further diversion efforts.

Three pilot projects were developed to showcase material exchanges in action.

1. Alberni-Clayoquot Regional District
The Alberni Valley Makerspace and a local construction business demonstrated how recovered C&D materials can support local fabrication and small-scale manufacturing via:

  • Processing approximately 8,000 kg of plastic in 2025, with a 2026 goal of 16,000 kg; and
  • Value-add activities such as turning construction plastics into 100 percent recycled consumer goods including wetsuit hangers made from recycled plastic culvert.
Recovered plastic culvert being transformed into tabletops

Recovered plastic culvert being transformed into tabletops at the Alberni Valley Makerspace, January 2026.

2. Cowichan Valley Regional District
The Reuse People of Canada (TRP), a registered charity, worked with DL Bins, a local hauler and waste management company, to enable salvaged wood reuse and processing by:

  • Building a consistent supply of affordable reclaimed wood for a range of buyers and end users,
  • Developing the capacity to process an estimated 140 to 150 tonnes per year of reclaimed lumber, and;
  • Working toward further goals such as bulk buying for contractors, supplying local film productions and performing wood processing such as trimming, grading and quality control.

In addition, TRP’s charitable mandate supports community benefit and inclusion, and it is hiring and training local Indigenous workers for a denailing pilot that will further increase the value of material resale and create local jobs.

3. qathet Regional District
Social enterprise Kindred Rebuild partnered with the qRD, local construction companies and an old mill site to expand their collection and reuse markets via:

  • Direct recovery from demolition and construction sites,
  • Collaboration with contractors to divert reusable materials, and;
  • Sorting and resale for community reuse.

Upcoming plans also include:

  • Piloting direct C&D collection from active construction sites,
  • Expansion of reuse categories,
  • Increasing access to affordable materials, and;
  • Offering training and workshops.

Opportunities enabled by regional material exchanges 

Together, the studies and engagement established a practical, place-based foundation for developing regional C&D material exchanges that support long-term circular economy outcomes. Importantly, the process is fostering direct connections between material generators and end users. Specific results include:

Environmental

  • Reduced landfill disposal of high-value C&D materials (including loads barged to Washington State), and;
  • Lower emissions through local reuse and processing.

Economic

  • Retention of material value within the local economy, and;
  • Job creation in reuse, processing and fabrication.

Social

  • Support for charities and social enterprises and their programs,
  • Improved access to affordable building materials,
  • Skills development and community participation.
     

“This project marks an exciting step forward in building a more sustainable and resilient local economy. By exploring new opportunities for reuse, innovation and job creation from construction and demolition waste materials we’re not only reducing landfill pressure—we’re investing in our community.”
John Jack, Board Chair, Alberni-Clayoquot Regional District

The benefits

Additional benefits from C&D material exchanges include:

  • Keeping money circulating locally rather than exporting waste and importing materials,
  • Creating new, place-based jobs,
  • Reducing environmental impacts of extraction, transport and disposal,
  • Strengthening partnerships between local businesses, community organizations and municipalities, and;
  • Reducing risk and uncertainty from external impacts (e.g., tariffs, pandemics) through strengthening local supply chains.

Key learnings for communities exploring material reuse

Across all three regions, engagement with contractors, waste haulers, social enterprises, Indigenous partners, recyclers, artists and makers consistently highlighted the need for:

  • Shared coordination,
  • Accessible storage and sorting space, and;
  • Central or shared facilities and training and upskilling opportunities. 

Additional recommendations include:

  • Build relationships and foster direct connections to drive implementation.
  • Demonstrate economic benefit to industry through practical examples.
  • Involve local champions and connectors to engage the community.
  • Build project schedules that work for participants: ensure key engagement doesn’t occur during busy summer months for the construction sector and consider early morning sessions.
  • Diversify key contributors: think outside the box regarding who should be part of the project.
  • Prioritize in-person engagement and personal relationships where possible.

Contact
Tai Uhlmann, Senior Project Manager
Synergy Foundation
tai@synergyfoundation.ca

Michael Moore, the Alberni Valley Makerspace
mmoore@albernimakerspace.ca

Beverley Dondale, The Reuse People of Canada
bdondale@trpcanada.org

Todd Clarke, Kindred Rebuild
tclarke@inclusionpr.ca

Related resources


 

Want to explore all GMF-funded projects? Check out the Projects Database for a complete overview of funded projects and get inspired by municipalities of all sizes, across Canada.

Visit the projects database

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