Thank you.
Market Housing Initiative
The purpose of the Market Housing Initiative is to attempt to improve availability of rental accommodation for essential services personnel such as teachers and nurses who are working in smaller communities. The committee recognizes that the lack of rental accommodation has caused serious implications for delivery of essential programs and services. Members support the corporation’s efforts to address the need for the market housing communities to encourage all parties to work together to achieve positive results.
CMHC Funding
The funding through Canada Mortgage and Housing Corporation to support operation amortization costs for public housing — is declining on a yearly basis and will lapse entirely by 2038. This will result in a total shortfall of O&M funding of over $340 million. Committee members recognize the critical importance of this funding to maintain social housing. Members support the efforts of the Minister and the government in working with their provincial and territorial counterparts to lobby the federal government to retain investment in Canada’s social housing programs.
Affordable Housing Initiatives
In 2006 the federal government committed $50 million to the Northwest Territories through the Northern Housing Trust to be drawn down over three years. This funding was matched by the GNWT. The program is delivered through the Affordable Housing Initiative, AHI. It commits the government to construction of as many as 533 housing units within those three years.
The availability of suitable land and the lack of land within the communities continue to have significant impacts on delivery of housing under the AHI. Given these challenges, committee members expressed concern about the corporation’s ability to meet commitments within the designated time frame. Members encouraged the Minister and officials to negotiate the extension of funding through the federal government.
Committee members also understand that under the Northern Housing Trust agreement, if land issues cannot be resolved in the community, the corporation has no choice but to move new housing to new communities that do have available lots. Members encourage all parties involved in the process to continue to work to resolve these outstanding issues.
Internal Audit Function
As a part of the reduction exercise the Housing Corporation is proposing to eliminate the internal audit function. The two audit positions will be re-employed within the NWT audit bureau. Committee members expressed concern about the reduction and noted that one of the key findings from the Auditor General’s report was the lack of effective monitoring and evaluation of its operations. Members noted that the loss of this function diminishes the capacity of the corporation and the LHOs to carry out these important functions. The Minister and his officials indicated that the reorganization of the corporation would help to focus the operations on the continued improvement through monitoring.
Reporting to the staff training committee. Members are prepared to accept this approach but to see some significant results and improvement in the future through regular updates to the committee.
Mr. Chair, I’d like to pass this along to the EDI chairman. Thank you.