Thank you, Madam Chair. Members of the Standing Committee on Social Programs, as members of the Accountability and Oversight Committee, were involved in the new pre-budget consultation process with the people of the Northwest Territories in late August of 2006. Hearings were held north and south of the lake, and gave ordinary northerners and non-governmental organizations the opportunity to provide input to MLAs on the priorities that the budget should focus on.
The committee met with the Minister and his officials on Wednesday, September 25, 2006, to review the draft business plan of the Northwest Territories Housing Corporation.
Members considered the draft main estimates, including the changes to the budget of the NWT Housing Corporation since the committee reviewed the business plan in September, on January 16, 2007.
The committee noted the total operating budget for the Northwest Territories Housing Corporation for 2007-2008 is planned at $119.270 million. Of this total amount, the corporation proposes $68.060 million in revenues or non-cash items, and a GNWT contribution of $51.210 million.
The following outlines committee members' issues from their review of the 2007-2008 budget-planning cycle.
Pre-Budget Consultations
Housing and lack of available land in the communities were once again major issues brought forward by residents during the pre-budget consultation process.
Members of the Accountability and Oversight committee heard that the lack of available and affordable rental units in communities like Fort Liard are impacting on the ability of the Dehcho Education Authority to hire and retain qualified teachers.
The committee heard many complaints about the way in which the NWT Housing Corporation delivers housing programs in the communities and how contractors are not always living up to their obligations. Members were told of examples where contractors had moved on to the next Housing Corporation contract without doing the final finishing work on the previous contract. Homeowners are finding it next to impossible to get some contractors to finish the work on their houses.
The Social Programs committee has discussed the issue of contractors not fulfilling the terms of contracts with the Minister and has received assurances that with the hiring of new technical officers in the regions and an improved inspection process, the issue of contractors not finishing should be resolved. However, contractors that abuse the process should note that if they continue to not fulfill the terms of contracts with the NWT Housing Corporation, they run the risk of being not allowed to bid on subsequent contracts.
Seniors also raised many issues during the pre-budget consultation process. The biggest concern is the gaps in services between seniors who choose to stay in their own homes and those seniors who are in Housing Corporation units.
Seniors living in Housing Corporation units do not pay any rent or major utility costs, and have all maintenance issues handled by their local housing authorities, whereas those seniors living in their own homes are responsible for the cost of utilities and paying for the upkeep of their homes.
Leaving aside the heating and power subsidies and homecare, there is a shortage of government programs that encourage seniors to stay in their own homes.
On a positive note, the Housing Corporation, as part of its program consolidation, has changed the eligibility requirements and income thresholds to access their repair programs. For example, there were many seniors that were not eligible for the previous Repair Program because they had already accessed funding through the Housing Corporation. Under the new Repair Program, the fact that you have accessed funding in the past is no longer a factor, and eligibility is determined by income and the nature of the problem.
This should make it easier for lower-income seniors living in their own homes to access funding for repairs, especially those residents who were among the first homeownership clients of the Housing Corporation and are now seniors.
Members also heard from seniors living in public housing who are more than willing to pay rent based on their income. There are cases of northerners retiring and liquidating significant assets, like their homes and businesses, so that they can move into public housing. This does not meet the intent of public housing, which is to help those who cannot meet the obligations financially or physically of running their own homes. It is anticipated that this will be dealt with through the Income Security Program review currently under way under the leadership of the Department of Education, Culture and Employment.
The committee plans to continue monitoring the issues that were raised during the pre-budget consultations and will be incorporating them into a transition report for the Members of the next Assembly, to make them aware of the situation and the steps taken by the Housing Corporation and the Department of Education, Culture and Employment to alleviate the problems. Madam Chair,
at this time I would like the Member for Great Slave to continue with the report.