Ethno-specific organizations are often criticized for threatening national unity, diluting Canadian identity, and promoting ghettoization and separatism. Drawing from two case studies, this article examines the role of Chinese ethnic organizations in responding to changing community needs in Edmonton and Calgary. The study results suggested that ethno-specific organizations can be an effective alternative in providing accessible and equitable social services for immigrants because they are more closely connected with and responsive to ethnic community needs. The study reveals the salience of ethnicity as both an important resource and a liability. On the one hand, ethnicity was utilized by the state as a way to mobilize ethnic political support to serve an ethnic-specific community; on the other hand, the same ethnicity also became a device for the state to legitimize its political agenda in multiculturizing ethno-specific organizations with an ultimate goal of assimilation. To build an inclusive society, it is imperative to treat ethno-specific organizations as an integral part of Canadian society and to adopt minority rights that recognize and accommodate the distinctive identities and needs of ethno-cultural groups and their ethnic communities.