Thank you, Mr. Chairman. I am pleased to present the 1996-97 main estimates for the NWT Housing Corporation.

For 1996-97, we are asking the Legislative Assembly to approve a total capital contribution of $46.87 million. In addition, we are requesting approval for a total O and M contribution of $58.374. This totals $105.244 million of GNWT funding. This contribution level is $6.721 million less than that provided in 1995-96, a reduction of six per cent.

One of the corporation's major goals is to maximize the number of homes provided each year with the level of capital contributions provided. I am pleased to report that, despite a reduction in our capital contribution of $2.13 million and a reduction of over $4.5 million to our O and M contribution, we will actually help more families this year. The new downpayment assistance program was well received by NWT residents and the interest in this program will allow us to deliver over 300 new units this year.

The review of the main estimates by the Standing Committee on Social Programs resulted in several recommendations for action. I would like to briefly address those recommendations.

The funding reduction targets suggested by the committee have been met. Care has been taken to meet these targets in areas that will not see a corresponding cut in federal costshared dollars and will have the least impact on community level resources and services.

The first phase of restructuring the corporation is complete. Further restructuring and downsizing options will be prepared by June. The administrative and organizational reductions recommended by the standing committee, although difficult, will be acted upon.

The standing committee recommends that more could be done to reduce the high cost of utility expenditures in public housing. The Housing Corporation agrees and is committed to working with local housing organizations, tenants and government departments to bring these costs down.

The standing committee was supportive of the corporate goal to complete a new housing needs study in the fall. The corporation has not completed a housing needs study since 1992 and this information is now dated. Careful planning will go into the design of the needs study questionnaire so that it can serve a number of purposes. Information collected will help in the planning of home ownership programs, as well as assessing the viability of the Mortgage Investment Corporation. Given our new fiscal reality, questions will focus less on people's wants and more on their housing needs.

Once this issue is resolved, negotiating the transfer of social housing to the GNWT can proceed. One benefit of negotiating a transfer agreement will be greater flexibility to address the NWT's unique housing needs. This flexibility can be passed on to communities that will be taking greater control over housing.

Before I close, I would like to tell Members of one area where we have made significant progress in empowering communities. Starting this fiscal year, local housing organizations are being block funded. A change from deficit funding means that LHOs will have greater flexibility to spend their budgets on local priorities. It also means LHOs will have an increased level of accountability to the community and to public housing tenants. This change can only improve how housing is delivered in NWT communities. That concludes my remarks, Mr. Chairman. I welcome the opportunity to discuss these plans with Members. Thank you.