Thank you, Mr. Krutko. Madam Minister.
Debates of May 24th, 1996
This is page numbers 619 - 646 of the Hansard for the 13th Assembly, 3rd Session. The original version can be accessed on the Legislative Assembly's website or by contacting the Legislative Assembly Library. The word of the day was communities.
Topics
Bill 11: Appropriation Act, 1996-97
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 637
Bill 11: Appropriation Act, 1996-97
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 637
Manitok Thompson Aivilik
Thank you, Madam Chair. I will be referring that to my experienced staff, Mr. Vern Christensen.
Bill 11: Appropriation Act, 1996-97
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 637
Bill 11: Appropriation Act, 1996-97
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 637
Christensen
Thank you, Madam Chair. The amounts that we show in our capital forecast for land development projects will vary from year to year depending on the demand that is forecast. If certain things happen affecting the demand for land in a particular community, then the amounts the department will bring forward in the subsequent fiscal year will be modified accordingly.
In Rankin Inlet, we would only plan to have one to two years of supply in advance of the demand that we anticipate occurring in the communities. So while a project may show a large amount of money being spent, it is being spent over period of time and the phase-in of that work will be adjusted to reflect the actual demand that is materializing for land in the community. If an excess supply is accumulated, subsequent work would be deferred. Thank you, Madam Chair.
Bill 11: Appropriation Act, 1996-97
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 637
Bill 11: Appropriation Act, 1996-97
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 637
David Krutko Mackenzie Delta
Thank you, Madam Chair. The process of the government is to now sell off government housing, Based on the Member from Rankin's statement, he said there will be no problem getting rid of these units. Have you looked into the scenario of what kind of an impact that will have with regard to this development and having people retaining government units? That will require the purchase of those units. That will have an impact on the number of properties you will have to develop.
Bill 11: Appropriation Act, 1996-97
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 637
Bill 11: Appropriation Act, 1996-97
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 637
Manitok Thompson Aivilik
Thank you, Madam Chair. The people who live in the staff houses are not the problem in this case. It is the people who are working on their own or the people who are in overcrowded situations who would like to build their own homes, in whichever way they can.
Those are the people we are trying to get the lots for. The houses have already been sold to the government employees who live in those homes. Thank you, Madam Chair.
Bill 11: Appropriation Act, 1996-97
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 638
Bill 11: Appropriation Act, 1996-97
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 638
David Krutko Mackenzie Delta
I don't know how many staff units there are, but there will be a change in circumstances from these people acquiring those houses. Those people who wanted their own houses didn't have the opportunity to purchase government houses. They took advantage of the ACCESS program or went to other areas to acquire those units. With the amount of residential houses on the market and because of this transaction, it will have an effect on the process. There will be a change in circumstances. Have you considered what that will be with regard to the costs of developing these subdivisions?
Bill 11: Appropriation Act, 1996-97
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 638
Bill 11: Appropriation Act, 1996-97
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 638
Manitok Thompson Aivilik
Thank you, Madam Chair. All of the units that belong to the government have already been sold. 1, for one, can say that when the first initiative to sell staff houses happened two years ago, most of all the units were already sold. In this case, the statement is not true. Thank you.
Bill 11: Appropriation Act, 1996-97
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 638
Bill 11: Appropriation Act, 1996-97
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 638
David Krutko Mackenzie Delta
I didn't mean not to tell the truth, I am just trying to use a scenario. The point I was making is there is a change in the real estate market because of the fluctuation. These dollars were put in the five-year capital plan and this only took place in the last two years. We are still within that time frame when the estimated $4.5 million was spent. We are talking about a short time frame when the government started getting into selling these units. I don't think that was taken into account because we are talking about a time frame of a five-year or 10-year capital plan. Circumstances haven't changed and dollars will roll, but almost $1.5 million a year for the next five years has been accounted for.
Bill 11: Appropriation Act, 1996-97
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 638
Bill 11: Appropriation Act, 1996-97
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 638
Manitok Thompson Aivilik
Thank you, Madam Chair. This plan has been in existence since 1993 and is until the year 2003. It is long-range planning. Thank you, Madam Chair.
Bill 11: Appropriation Act, 1996-97
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 638
Bill 11: Appropriation Act, 1996-97
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 638
Vince Steen Nunakput
Thank you, Madam Chair. Madam Chair, my question is to the Minister. What would be the consequences of amending the amount of funding per year? Are some tied in with negotiated contracts or is there a funding agreement between the hamlet and this government for X number of dollars a year? What are the consequences here?
Bill 11: Appropriation Act, 1996-97
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 638
Bill 11: Appropriation Act, 1996-97
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 638
Manitok Thompson Aivilik
Thank you, Madam Chair. The consequences would be that the people who are in the overcrowded situation, who would like to find some other way of building their own homes, wouldn't be able to as a consequences of those people. I will ask Vern to continue with this.
Bill 11: Appropriation Act, 1996-97
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 638
Bill 11: Appropriation Act, 1996-97
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 638
Christensen
Thank you, Madam Chair. The consequences would be, as the Minister points out, that there would be a demand for lots which are greater than the supply of lots that are available. The department is also, through the review of municipal legislation, looking at trying to create the opportunities for municipalities to borrow for land development projects. The major municipalities presently can borrow and finance their land development projects through borrowing. That ability is not available to hamlets such as Rankin Inlet at this point, but is an area that is under some consideration in the municipal legislative review, which would offer another opportunity to finance land development projects. Without that ability for an alternative source of revenue to develop land, it would force the creation of a deficit, in terms of the lots required, and people would need to wait until the land became available for their purpose. Thank you, Madam Chair.
Bill 11: Appropriation Act, 1996-97
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 638
Bill 11: Appropriation Act, 1996-97
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 638
Vince Steen Nunakput
Madam Chair, my question was whether there are negotiated contracts in place for this project, whether or not there was a funding agreement with the hamlet which commits this government to X number of dollars per year. Those are my specific questions. With regard to the consequences for shortage of housing, the Minister said this would probably be a result. However, I understand from the Minister that we can have a reduced amount for lots for Rankin if we didn't go with the option of the utilidor. In other words, they could build trucked lots for $18,000 per lot, rather than $50,000 for utilidor lots. There is an option available for a cheaper lot. That would serve the purpose of the shortage of housing.
I still require answers as to whether or not we are tied in with funding agreements with this community.
Bill 11: Appropriation Act, 1996-97
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 638