Thank you, Mr. Chairman. The inclusion of the Housing Corporation in the social programs envelope highlights the importance of adequate housing in the social needs of northerners. Committee Members frequently note that achieving the goal of adequate social housing for all northerners would have effects that would eliminate many of the social difficulties experienced by our people.

The effect of the $47 million in cuts to social housing funding by the federal government in 1992 are still being felt quite strongly by northerners and by the government. But the committee is concerned that the Housing Corporation has still not yet responded to the "new reality" forced upon us by those funding cuts. The corporation has outlined plans for corporate restructuring; however, and committee Members hope that his restructuring will make the corporation better able to meet the social housing needs of northerners with the reduced funds available.

The fact that many of the corporation's staff work in headquarters -- almost 100 person years -- is the most obvious area of concern. Effective delivery of social housing needs a flexible, decentralized organization with most of the resources focused in the communities. Local housing authorities should be given the flexibility and the ability to be innovative, to develop solutions that will work for their communities.

Of course, the Government of Canada still has the fiduciary responsibility to provide housing for the First Nations of the north and of all of Canada. The committee appreciates that the government was able to arrange for about $9 million in federal funding earmarked for providing housing on reserves, even though most northern aboriginal people do not live on reserves. This government, and its successors, must continue efforts to make the federal government live up to their responsibility to provide this housing.

On a related note, committee Members are concerned over the reliability of O and M funding provided by CMHC for rental housing. While the Minister assured the committee that the agreement with CMHC was a secure long-term arrangement, committee Members would urge the government not to take that funding for granted. The government must continually monitor the fiscal and political climate in Ottawa, and make every effort to prevent the federal government from considering this as another possible cutback target.

Finally, the committee wishes to again point out their concern over adequate housing for elders. Most elders would prefer to live at home as long as possible rather than move into an institution. Home care programs offered by the Department of Health and Social Services can make this possible. However, if the elder's home is inadequate, poorly heated, poorly constructed, or otherwise unsuitable, then home care is not a realistic option. The Housing Corporation should make the provision of adequate housing for our elders a priority in their goal of ensuring that all northerners have access to adequate housing. Thank you, Mr. Chairman.