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LAC LA RONGE INDIAN BAND LAUNCHES NEW ON-RESERVE HOME OWNERSHIP LOAN PROGRAM.

LA RONGE, SASKATCHEWAN (June 9, 2005) - The Lac La Ronge Indian Band, in partnership with the BMO Bank of Montreal and Indian and Northern Affairs Canada, launched an innovative housing and loan program today to promote private home ownership on reserve. The loan program was made possible through a $1.7-million contribution from Indian and Northern Affairs Canada and financial support from BMO Bank of Montreal.

“Lac La Ronge Indian Band has created a unique loan program to address our housing needs,” Chief Tammy Cook-Searson said. “The option for home ownership gives Lac La Ronge Indian Band members the opportunity to create their own wealth through self-investment.”

“BMO Bank of Montreal is pleased to announce its participation in the housing loan program with the Lac La Ronge Indian Band,” said Ron Jamieson, Senior Vice President of Aboriginal Banking for BMO. “Our On-Reserve Housing Loan Program is designed to assist First Nations communities with developing alternative financing programs for affordable, quality housing.”

While the BMO housing program is in use on 18 First Nations in Canada, the Lac La Ronge initiative is a first for the Prairies.

“First Nation housing is a shared responsibility between the Government of Canada and First Nations,” said the Honourable Andy Scott, Minister of Indian Affairs and Northern Development and Federal Interlocutor for Métis and Non-Status Indians. “The Lac La Ronge Indian Band loan program is an example of new and innovative approaches to on-reserve housing that will lead to sustainable improvements for its members.”

Under the program, Lac La Ronge Indian Band is providing a one-time financial grant to eligible individuals to assist them with accessing loans for construction or purchase of owner-occupied, single family dwellings. Members who already own homes may access loans for renovation with no down payment.

Individuals qualifying for a mortgage with the BMO would be able to access a $5,000 grant from the First Nation and a $15,000 short-term loan repayable to the First Nation over 10 years. Conventional mortgage financing with the BMO would provide the balance of the financing.

As a further incentive for members to build new homes, the First Nation will install utilities from the edge of the lot. New home construction and renovations will provide training and employment opportunities for members. To date, more than 50 members have submitted loan applications for either new construction or renovations.

The First Nation has also set up a housing authority comprised of an appointed Elder and an elected board of directors, representing all six of Lac La Ronge’s communities. While the housing authority will not evaluate loan applications, it will assist with mortgage applications and act as liaisons between band members and BMO Bank of Montreal.

Lac La Ronge Indian Band is located about 240 kilometres north of Prince Albert. With a total membership of nearly 8,000 and an on-reserve population of about 5,000, it’s the largest First Nation in Saskatchewan.

For further information, contact:

Chief Tammy Cook-Searson
Lac La Ronge Indian Band
La Ronge, Saskatchewan
(306) 425-2183

Ron Jamieson
BMO Bank of Montreal
Aboriginal Banking
Toronto, Ontario
(416) 927-2660

Trevor Sutter
Manager, Communications
Indian and Northern Affairs Canada
Saskatchewan Region - Regina
(306) 780-6429

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