Thank you, Mr. Chairman. Mr. Chairman, I will cover the background of the report. Section 4 of the Northwest Territories Housing Corporation Act establishes a corporation which may provide, develop, maintain and manage housing for:
(a)senior citizens;
(b)families and individuals receiving social allowances or social assistance;
(c)individuals requiring minimal nursing care;
(d)families and individuals generally;
(e)students or apprentices and their families;
(f)staff, such as employees of the G.N.W.T. or its agencies; and,
(g)cooperative or non-profit organization housing accommodation.
The affairs of the Housing Corporation are to be conducted by a 13 member board of directors. The concept of eliminating the Board of Directors of the Northwest Territories Housing Corporation and replacing it with an alternative structure has been under consideration in some format or another since early in the 12th Legislative Assembly.
The Cabinet's "Strength at Two Levels" document argued that "a separate Housing Corporation has been viewed in the past as necessary to attract C.M.H.C. funding, but the G.N.W.T. Cabinet should make it an earlier priority to counter such a position if it still exists. A separate Housing Corporation is adding to the cost of government in the north (in a time of shrinking resources) and is not conducive to the transfer process. Similarly the Reshaping of Northern Government statement delivered on February 1992 by the Government Leader supported the immediate "elimination of the board of the Housing Corporation." Cost factors related to the board of directors has been discussed extensively within the Legislative Assembly. The Minister informed the House on February 17, 1992 that in addition to the estimated direct costs of $290,000 and estimated indirect cost $340,000 for the board operations, there was an additional consideration that "because it is a board of directors, they are responsible for paying goods and services tax on their supplies and materials. That cost is $775,000."
During the Second Session of the 12th Assembly, the Minister responsible for the Northwest Territories Housing Corporation brought forward Bill 16, an Act to Amend the N.W.T. Housing Corporation Act. This bill would have eliminated the board of directors.
The bill was defeated at the second reading on March 3, 1992. Several Members spoke against the principle of the bill and in each case commented that the initiative has been undertaken without an adequate opportunity for review. In addition, concerns were expressed that at the present time, Mr. Chairman, contact with the board of directors is the only method that the communities and regions have to influence government housing policy. Without the board, formal mechanisms for receiving and considering public input could have been limited.
Following the defeat of Bill 16 during the Second Session, the Minister wrote to the Standing Committee on Agencies, Boards and Commissions to request assistance in examining a process for eliminating the board and replacing it with an alternative vehicle, for community participation and input. This examination has now been completed.
During the Third Session, the Minister responsible for the Housing Corporation has again introduced amendments to the N.W.T. Housing Corporation Act. Bill 3, which would effect the elimination of the board of directors, was given first reading in the Legislative Assembly on December 4, 1992.