The supply of affordable private rental accommodation is a growing concern in communities where rental housing supply has not kept pace with the growing housing needs of wage earners. Mine workers, oil and gas workers, government workers and employees of new aboriginal governments and businesses all need affordable housing and have the means to pay reasonable market rents. The shortage affects the Northwest Territories' potential for economic development and is an issue for GNWT recruitment and retention as well.
The GNWT intends to help the private sector to respond to the demand for affordable rental accommodation in non-tax based communities by introducing a four part program consisting of:
- • ensuring private developer access to affordable financing by accepting contingent liability of mortgages for eligible projects;
- • increasing availability of reasonably priced and financed lots by providing lot development financing from a revolving fund for non-tax based communities;
- • providing developers with business plan development through existing GNWT staff expertise; and
- • providing developers with information about cost effective techniques to encourage innovation and lower cost construction techniques.
Housing is not just an issue for smaller communities. Earlier this month, the Honourable Roger Allen, Minister Responsible for the NWT Housing Corporation, signed an Affordable Housing Agreement with the Government of Canada which will provide $7.5 million in new federal funding over four years to help address housing issues in the Northwest Territories. The funds will be used for assisted rental housing for low-income seniors and singles and to increase the supply of affordable housing for low-income families. We will work to ensure that the new funds complement our other housing initiatives and do not distort the decisions of private developers. We are looking for long-term solutions to the affordable housing issue.