Good afternoon, Mr. Speaker. I have very serious concerns on the new rent scale, which is to be implemented in just a few days.
The scale is based on the theory that high income tenants would be in private homes. To save funds, CMHC is cutting back to free up public housing for those in need. These theories are well intended; however, off the highway system, like in Nunavut level II and III communities, the new rent scale will cause some undue hardship and a lot of headaches for the Cabinet and NWT Housing Corporation because the level II and III communities in Nunavut, Mr. Speaker, do not have a market for private homes.
I realize the Housing Corporation has various programs for home ownership. For example, in Pangnirtung there will be 42 tenants affected, yet this fiscal year there are only 12 applicants approved for home ownership. What other alternatives do the other 30 tenants have, as there is no private home market in this community. Will the NWT Housing Corporation assist these 30 people for home ownership next year? It has been difficult for these high-income earners to get financing from the banks because the lots available in Nunavut communities are only available on leased basis.
Another problem that I have a concern on is in the way the rent scale is based on family disposable income. Many Inuit in level II communities live with the family members not by choice, but because of the shortage of housing in these communities. That is the reality today, Mr. Speaker.
There are real facts that are of concern to many Inuit that are legitimate concerns. Such as, what do you do when a family member refuses to pay the rent and accumulates a debt.