Thank you, Mr. Chairman. I am pleased to present the report of the Standing Committee on Social Programs on our review of the Northwest Territories Housing Corporation.
During the review of the main estimates, the Minister alerted the standing committee to a potential reduction in federal government funding for housing. The standing committee encourages the Minister to continue his efforts to work with the federal Minister of Housing to minimize the reductions necessary. As well, Members will be looking for ongoing briefings from the Minister on this situation and on possible options if some or all of the reductions cannot be averted.
When the NWT Housing Corporation first appeared before the standing committee in January, Members felt there were additional areas which could be considered for reductions or as new ways of doing business in the Housing Corporation. Suggestions were made in the first review of the business plan. These recommendations were all accepted by the corporation. The standing committee appreciates the corporation's work to address our suggestions.
After reviewing the NWT Housing Corporation's mandate and organization, the standing committee believes the corporation may need to be restructured. Members are pleased to see that the Minister will report to the standing committee on this area by June.
In the standing committee's January report on the business plans, there was an error. The standing committee had only intended to request that the corporation provide options for restructuring and/or dismantling the corporation by June 1, 1996. The standing committee is pleased to see that this is the kind of plan the corporation will bring forward.
The standing committee expressed concern over the reductions in areas where cost-shared federal dollars would be lost. The corporation has been asked to identify other options to reducing cost-shared funds.
One of the Housing Corporation's major costs is paying utilities. The corporation indicated that this was not an area where there had been much success in reducing client use. The standing committee believes more can and should be done to reduce this controllable expense. In response, the corporation has agreed to work with local housing authorities and the Department of Education, Culture and Employment to try to address utilities expenditures.
The corporation has indicated it can deliver the same number of housing units as in previous years for a lower cost. The standing committee supports the capital amount the corporation requested and encourages the corporation to continue to find ways to deliver more units for the same cost through new programs.
The upcoming housing needs study was discussed by the standing committee. Members feel the survey should capture housing needs as opposed to people's wants. As well, the needs survey should capture income information which would be useful in planning for home ownership potential, as well as in assessing the viability of the proposed Mortgage Investment Corporation.
The standing committee was concerned with the level of detail provided by the corporation. In the future, the standing committee would like to receive the corporation plan in advance if this is to replace the business plan. As well, the standing committee would like to have budget information to the division/department levels as well as position breakdowns by region.
Mr. Chairman, this concludes the report of the Standing Committee on Social Programs for the corporation. Thank you.