This is page numbers 2759 - 2820 of the Hansard for the 16th 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 housing.

Topics

The House met at 1:30 p.m.

---Prayer

The Speaker

The Speaker Paul Delorey

Good afternoon, colleagues. Welcome back to the Chamber. Orders of the day. Item 2, Ministers’ statements. The Minister of Education, Culture and Employment, Mr. Lafferty.

Jackson Lafferty

Jackson Lafferty Monfwi

Mahsi, Mr. Speaker. [English translation not provided.]

Mr. Speaker, increasing the number of aboriginal teachers is a primary goal of the Department of Education, Culture and Employment. With that in mind, I am pleased to announce the expansion of our Teacher Education Diploma Program and Aboriginal Language and Culture Instructors Program. In September 2009, we will be delivering these two programs in the Beaufort-Delta. The program has been a success at Thebacha Campus in Fort Smith and in Behchoko. Having these two programs available in Inuvik, allows education to be more accessible to those who want to stay in their home riding.

Students will have the option to complete the teacher education and aboriginal language and culture diplomas in their communities or can do their final year in Fort Smith to finish a full bachelor of education.

Making education more accessible will give us more aboriginal teachers, language instructors, and program staff in our schools. The program is a key focus on the language and culture of the Beaufort-Delta region. It will help to preserve our strong past

while teaching our children the skills they need for the future.

I wish to thank all those who have worked and are working to make the Teacher Education and Aboriginal Language and Culture Instructor programs a success. We have many partners in these programs, including Aurora College, the divisional education councils, Northwest Territories’ Teachers Association, University of Saskatchewan, Indian Teacher Education Program. I look forward to seeing this program grow in the future.

The Speaker

The Speaker Paul Delorey

Thank you, Mr. Lafferty. The honourable Minister responsible for Industry, Tourism and Investment, Mr. Bob McLeod.

Bob McLeod

Bob McLeod Yellowknife South

Mr. Speaker, the impacts of the current economic downturn are being felt worldwide and the Northwest Territories is no exception. We are not immune to global market forces. We cannot control or influence these forces. Now, more than ever, it is critical that the department’s programs and services focus on the needs of our business community and can help them weather this economic storm.

The economy is cyclical and eventually the economy will recover. We must look at the key elements of a robust operating environment for our businesses and ensure that these elements are positioned to operate efficiently and effectively when the eventual recovery of the economy occurs. These key elements are markets, policies and regulations, infrastructure, human resources, and access to capital.

The Northwest Territories is blessed with a tremendous resource base. The Territory has been endowed with an abundance of minerals and petroleum resources and, at the same time, its natural beauty is unparalleled. These are the Northwest Territories’ competitive advantages. As the economy improves, these attributes will once again drive a flourishing economy.

This government and this department are working to ensure that there is an efficient and effective

policy and regulatory regime in place. The government has been engaged in the Northern Regulatory Improvement Initiative. We have negotiated socio-economic agreements with each of the operating diamond mines and the Mackenzie Gas Project to ensure employment, procurement, and value-added opportunities for Northwest Territories residents; a good example of leveraging our competitive advantages. These agreements have resulted in significant contributions to the evolution and growth of our territory’s business sector.

The physical infrastructure must also be in place. This territory needs a transportation network in place that will facilitate the export of goods and the import of material required to produce those products. The departments of Transportation and Municipal and Community Affairs will be moving forward with projects under the Building Canada Fund.

To produce goods and services requires resources, not just raw materials and land, but people in entrepreneurship. The people of the Northwest Territories are one of our most significant resources, but we are aware that there is a significant labour shortage in the Northwest Territories. We are looking to bring workers into the Northwest Territories. To achieve this, the Department of Industry, Tourism and Investment and the Department of Education, Culture and Employment have entered into a memorandum of understanding with the diamond mines. In 2009-2010 the department will be initiating the National Marketing Campaign, a program intended to promote the Northwest Territories as a great place to visit, work, and live. The Department of Education, Culture and Employment will be delivering the Provincial Nominee Program.

Last, but not least, our entrepreneurs and businesses must have access to capital and information on markets. To address this, the department has a territorial network of regional community economic development officers, business development officers, community transfer economic development officers, and Community Futures staff to promote and provide information on funding and development resources available through the Northwest Territories Business Development and Investment Corporation, Community Futures organizations, the Canada-Northwest Territories Business Service Centre, and the Federal Aboriginal Business Canada Program.

As well, we have the newly developed Support for Entrepreneurs and Economic Development, or SEED, program. This program adds to the support available to small businesses. We have also made a decision to make the Opportunities Fund a more

active fund and will work with the standing committees to do so.

Finally, I would like to highlight to colleagues the ongoing and oft unheralded work that we do as a government to lobby and leverage federal funding and investment to develop, promote, and sustain small businesses in the Northwest Territories. The pending extension of Canada’s highly successful strategic investments in Northern Economic Development Program funding, a total of $30 million for our Territory, was a direct result of this effort. Similarly, the Prime Minister’s commitment to establish and fund a Northern Economic Development Agency in the North is also a reflection of long established efforts by our government to secure the federal support and interest of economic and business development in the Northwest Territories.

We remain confident that in time the nature and magnitude of our region’s natural resources will allow us to rebound from the economic challenges that we now face. In the interim our government will continue to support and develop the economic conditions and investment climate that will allow us to grow and build capacity in our business and, by doing so, in our people and our communities.

I encourage all businesses to take advantage of the program and services that are in place to help them move through the challenging times and position themselves for the future.

In closing, I believe we have good people and good programs to assist our business community. I invite all of my colleagues in the House to bring forward new ideas to help us address the needs of the business community in the Northwest Territories.

The Speaker

The Speaker Paul Delorey

Thank you, Mr. McLeod. Item 4, returns to oral questions. Sorry. Item 3, Members’ statements. The honourable Member for Frame Lake, Ms. Bisaro.

Wendy Bisaro

Wendy Bisaro Frame Lake

Thank you, Mr. Speaker. Nice of you to remember we’re over here.

Some Hon. Members

Ohhh.

Wendy Bisaro

Wendy Bisaro Frame Lake

Mr. Speaker, I want to speak today about the public rental housing subsidy and some of the difficulties that we have had since it’s been transferred from the Housing Corporation to Education, Culture and Employment. I guess I

could be considered lucky, because I wasn’t here in April of 2005 when that responsibility was transferred to the Department of ECE. But I’ve been hearing about that impact for almost two years now, even before I started work in this building.

The issues of my constituents are with service or, more correctly, lack of service in most cases. Instead of the promised one-stop shop, public housing clients now must visit two offices instead of one. There is a lack of coordination between the local housing office and the income support office, and dealing with two agencies thoroughly confuses my constituents. They tell me there’s no consideration or management of the whole person or problem. Income support tends to only consider what falls under their umbrella and/or their policies. They seem unable to look outside the box, so to speak. So housing concerns are ignored; concerns which are often the cause of the income support issue. Income support offices are rigid in their application of policies. Clients report an attitude of “my way or the highway” rather than “what’s the problem and how do we find a solution to your problem”.

The stated goal of this change in 2005 was harmonization, the famous one-stop shopping reason. We have failed miserably in achieving this goal. In November 2006 this House debated a similar motion. The concerns about the impact of the transfer and the complaints voiced then are still the same today. I’d like to give a couple of quotes from November 1, 2006, Hansard record: “Tenants are having to wait three weeks to have their assessments done;” “It has not added any more benefits to the beneficiaries of the program;” and, thirdly, “What we’re struggling with here clearly are implementation problems.”

Today, over two years later, the same issues still exist and, despite the efforts of the Housing Corporation and Education, Culture and Employment to effect improvements, things are only marginally improved. Change is not always better and in this case it has been proven to be worse than the original. I believe we need to admit that a mistake was made and we need to use a time travel machine to take us back to early 2005, a time when we had a public housing rental subsidy system that worked, and we need to stay in that 2005 space for this program to operate the way it should.

The Speaker

The Speaker Paul Delorey

Thank you, Ms. Bisaro. The honourable Member for Weledeh, Mr. Bromley.

Bob Bromley

Bob Bromley Weledeh

Thank you, Mr. Speaker. Throughout the Northwest Territories, people are having public housing issues and these issues are common throughout. I would like to mention several today. The income threshold at which whole economic rent is demanded is too high relative to income and ability to pay. A confusing Rent Subsidy Program now involving two-stop shopping rather than one has caused an upsurge in arrears that lingers on and is causing anxiety amongst tenants. Finally, delays in assessments, highly variable incomes necessitating frequent rent subsidy adjustments and delayed payments can combine to yield penalties such as rent increases to full economic rent. This deadly combination can lead tenants into a downward spiral that benefits neither our citizens nor our government.

Mr. Speaker, when our public housing tenants finally get to where they begin making a decent wage and they can begin to establish themselves financially, we almost immediately kick in a requirement for 30 percent of their salary to be paid out in rent. In actual fact, this amounts to 50 percent of their gross income. This substantial burden comes while the tenant is likely trying to deal with other debts and with solidifying their financial status. Further, because it is diabolically based on gross income, this degree of levy does not fully consider ability to pay, which is related to number of dependents, medical situation, et cetera. Were it to be based on take home pay, that would be a different story. Well, this is a federal policy and is an actual problem that GNWT could clearly take the lead on.

Secondly, Mr. Speaker, the ongoing insistence that the government shows to house the Rental Subsidy Program in ECE has caused an increase in arrears, many of which remain today. This situation is not working, causing people to shift back and forth between income support in ECE and Housing Corporation is confusing and unfair. The remedy is clear.

Finally, Mr. Speaker, many of our housing tenants have unpredictable or seasonal employment that causes their incomes to fluctuate, sometimes wildly as in the case of sport hunting guides. Assessments do not seem to take this fact into account, leading to assessments that the tenant is sometimes unable or late to pay. At this point the rent gets kicked up to full economic rent and thus the spiral begins.

Mr. Speaker, our housing programs are key for the people of the Northwest Territories and we have a good record of getting things built on the ground.

But when it comes to administering rent subsidies, we have less than a sterling record. Let’s not cling to our ways, Mr. Speaker, but show our adaptability and change or admit mistakes as required. Mahsi.

The Speaker

The Speaker Paul Delorey

Thank you, Mr. Bromley. The honourable Member for Nunakput, Mr. Jacobson.

Jackie Jacobson

Jackie Jacobson Nunakput

Thank you, Mr. Speaker. Today my Member’s statement is on housing. Our situation in Nunakput is a serious problem. In fact, the housing situation in the Northwest Territories is a serious problem. Low capital housing projects are planned for Sachs Harbour. In Paulatuk, the rental officer is flown in to deal with people’s arrears and quickly flown out again. More and more administration seems to be done out of the Inuvik regional office level and not being done in the community level. That is wrong, Mr. Speaker. The regional office is working hard and they have good staff, but often they are using Inuvik solutions for small community problems. The government says they are committed to the community capacity building. The government has to start fulfilling their promises made earlier.

Nunakput communities cannot find the manager because the money is given to the regional offices. It is so low that it is unattractive for many people in other jurisdictions. Giving smaller governments responsibility but not enough money is called downloading, Mr. Speaker. There is a serious disconnect between the Department of Education, Culture and Employment and the NWT Housing Corporation in small communities. Each community must have one-stop shop where residents can go and not get the runaround, where there problems can be addressed, coordinating in a full complement of administrative services at the community level would start making a dent into the problem.

Each community must be given money, resources and a commitment is needed to fulfill the roles that they have been assigned to do. Without that, it is like setting them up to fail, Mr. Speaker. Housing core responsibility of the government such as water, health care, education, protective services. However, recent developments of the government seem to contradict this principle. This government must get serious and tackle the real issues with real solutions.

Mr. Speaker, I seek unanimous consent to conclude my statement.

---Unanimous consent granted

Jackie Jacobson

Jackie Jacobson Nunakput

Last fall I encouraged the government to fund a series of regional meetings composed of all the levels of government, businesses and organizations who, with considerable knowledge in the area of housing, were to generate recommendations to the government to consider while evaluating housing conditions. Many are calling it a crisis.

Thank you, Mr. Speaker. I will have more questions for the Minister of NWT Housing Corporation at the appropriate time. Thank you.

The Speaker

The Speaker Paul Delorey

Thank you, Mr. Jacobson. The honourable Member for Great Slave, Mr. Abernethy.

Glen Abernethy

Glen Abernethy Great Slave

Thank you, Mr. Speaker. Today I would like to talk about an aspect of the Public Housing Rental Program that I am concerned about. Like the other Members, I, too, want to see an efficient administration of subsidy programs that provide cost-effective services to clients who need support for their housing costs. We all know that housing costs can be very expensive in the NWT. We understand the importance of this program for our residents, whether they live in small communities or large communities in the Northwest Territories. The area that I am concerned about is public housing when it is supplied by private sector landlords. I know that in Yellowknife and some of the larger communities it makes good sense to provide a rental subsidy to clients who are living in privately owned and operated housing. This increases the housing options available to our residents.

We all know residents who need some assistance with housing costs only. On other fronts, they are managing well, have a job and are meeting their household expenses. Clients like these and the government could be well served with leases with private sector landlords.

However, I’m concerned about the Housing Corporation’s program which acquired housing through leases with the private sector landlords; agreements that guarantee rent to these landlords and pay the landlords to provide maintenance costs for the units, something that other landlords would cover through rent collection. My understanding is that the rental rates are at a premium. The additional maintenance costs or services are definitely at a premium. These are long-term leases, Mr. Speaker. It is another premium to the landlords or a significant benefit to the landlords at the GNWT’s expense. I think these kinds of services are not a cost-effective way to provide a

public housing subsidy. They are not the best use of the limited financial resources that we have as a government.

Mr. Speaker, later today I will be asking the Minister responsible for the NWT Housing Corporation questions about this type of public housing rent and subsidy. Thank you, Mr. Speaker.

The Speaker

The Speaker Paul Delorey

Thank you, Mr. Abernethy. Members’ statements. The honourable Member for Hay River South, Mrs. Groenewegen.

Jane Groenewegen

Jane Groenewegen Hay River South

Thank you, Mr. Speaker. Obviously, this is a housing theme day today. Mr. Speaker, during the 13th Assembly a policy was put

in place that would see free rent and full utility costs covered for seniors living in public housing units. Mr. Speaker, this causes a problem in market communities where often seniors have been involved in the wage economy, have pensions, have owned their own homes and do have some means to pay. In and of itself, there is nothing wrong for providing free rent to seniors. Where it becomes a problem is when we can’t provide free housing to all seniors over 60. If we could only do it for a few, how do we decide who should benefit from this generous policy? Is it sustainable over the long haul?

All other housing programs that this government has are means tested, but not rent for seniors over 60 who are living in social housing. If you live in a care home, a monthly fee is applicable. If you are in extended care, a monthly fee is applicable. If you live in the seniors home, a fee is charged, so it is an anomaly and I don’t think it came about because seniors themselves said we don’t want to pay anything. I never once heard that before that policy went into place.

I support assisting our seniors in ways that help them live long, healthy and independent lives, but it seems that it would make more sense to include seniors in the means tested policy of all other housing programs. Then I think our government would be in a position to help more seniors, including those who are challenged with the ever-increasing costs of staying in their own homes. The Home Repair Program, the fossil fuel subsidy program are programs that could be enhanced for seniors in their own homes if we did not have all of our resources being consumed by this very generous free policy.

I would not support anything but a phased-in approach if we were to change this policy, taking into full account the seniors’ ability to pay ensuring

that no economic hardship would result. Mr. Speaker, we have created an unfair and inequitable policy that leaves some seniors with little or no support while providing accommodation including all utilities for some at absolutely no charge regardless of their means to pay. Mr. Speaker, I don’t know why we as a government cannot devise a policy that would address this inequity. Thank you, Mr. Speaker.

The Speaker

The Speaker Paul Delorey

Thank you, Mrs. Groenewegen. The honourable Member for Kam Lake, Mr. Ramsay.

David Ramsay

David Ramsay Kam Lake

Thank you, Mr. Speaker. In the five and a half years that I’ve been a Member of this House, some decisions that the last government made are still causing me to wonder what they were thinking. Of course, nothing will ever top the Deh Cho Bridge, Mr. Speaker, and I’ll just have to accept that I may never understand that decision. Right behind that was the decision to take $30 million for Social Housing Policy from the Housing Corporation and transfer it to ECE. The program was being delivered by Housing staff throughout the Territory and for all intents and purposes the system was not broken. For reasons still unknown to me, the government decided to grab the $30 million, transfer it to ECE and then hire 14 people to deliver the same program that was being delivered by Housing with their existing staff. Mr. Speaker, not only did ECE have to hire 14 new employees, it cost the government $1.5 million more per year to administer the program. I believe this is completely ridiculous. That $1.5 million could be better spent in other areas of our operation.

Mr. Speaker, I don’t have a crystal ball, but the economy does not seem to be getting any better and you can rest assured our revenues are going to be shrinking. To be spending $1.5 million that we don’t need to be spending is foolhardy.

In 2006 Members passed a motion calling on the government to reconsider the transfer. The last government didn’t listen to us at the time, Mr. Speaker. The government wants us to keep waiting for things to improve, but the bottom line is things are not getting any better. Maybe there is some hope. The mover and seconder of the motion back in 2006 are now both Cabinet Ministers. I know they supported sending the money and the responsibility back to Housing. It was something they believed in. My colleague from Inuvik Twin Lakes, Mr. Robert McLeod, stated during the debate on the motion that “I really challenge the government to be big enough to listen to what they are being asked to

do.” My colleague from Range Lake, Minister Lee, stated “it is not the right move, the government has not met the burden of making their case.”

Mr. Speaker, here we are over two and a half years later and the government still has not made their case. How much longer are we going to allow this to continue? Where is the proof, Mr. Speaker, that this is actually working? Mahsi.

The Speaker

The Speaker Paul Delorey

Thank you, Mr. Ramsay. The honourable Member for Sahtu, Mr. Yakeleya.

Norman Yakeleya

Norman Yakeleya Sahtu

Thank you, Mr. Speaker. I phoned communities in the Sahtu and certainly the people have a lot of concerns with the social housing here, and since it’s been transferred over to the Department of Education, Culture and Employment, things haven’t gotten any better. Actually, the one conversation that I had this morning was that it’s actually gotten worse and that it’s really hindering and frustrating a lot of people in my community because of the implementation that in theory looks and sounds very good but in practicalities, in reality, it’s not working very well. It’s putting a lot of people in jeopardy in terms of their credit with Housing or with their arrears. It’s changing a lot of people’s ways of looking at how social housing is being delivered in the Sahtu region.

I received two letters from two students who are living in social housing in Tulita and it doesn’t give a very good picture. I’ll be tabling these letters in the House for the Members here to read from these two students who are working very hard to get an education, to get a good job, to live in a house that they can probably say is theirs. They are doing everything that they can do to be productive members of society and in the Sahtu community of Tulita; however, because of the transfers and the difficulties that they are experiencing, it doesn’t seem like they’re getting very far. For them, they seem like they could only just say, what’s the use in trying? What’s the use trying to get a job, go to school and see if they can do any good for themselves? These young people who have families, who are working very hard to get into school, make some productive choices, but because of the system and the way it is, because of the Social Housing Agreements that were negotiated with the federal government, these agreements here don’t seem to be working for the people.

I think, Mr. Speaker, that we should really go after the federal government looking at these Social Housing Agreements and see how it has an impact

on the people in the Sahtu. These young students, they are very frustrated with the Housing administrative programs and they’d like something to be done. I think that it’s about time that this government is big enough to do something at this time. Thank you.

The Speaker

The Speaker Paul Delorey

Thank you, Mr. Yakeleya. The honourable Member for Nahendeh, Mr. Menicoche.

Kevin A. Menicoche

Kevin A. Menicoche Nahendeh

Thank you, Mr. Speaker. I want to talk today about my concern about the transfer of the public housing rent subsidy to income support in Education, Culture and Employment. I have always been against this transfer. It did not seem like a good idea to me from the beginning, more than four years ago.

In the NWT we have always acknowledged that many people need help with their housing costs to keep housing affordable. In fact, many people consider that providing access to affordable housing is a longstanding obligation of this government like education and health care. In small NWT communities, no one felt embarrassed to be in public housing. Everyone was located in public housing of some kind. Even the government provided housing for its staff. The Northern Stores provided housing for its manager. The RCMP had housing. There were not very many homeowners except for a few government senior managers in Yellowknife and regional centres.

However, the government changed things. Some of those changes have not been for the better. Now if you need help with your housing costs you have to access the Income Support Program. I know working mothers who pay $500 to $600 a month for their rent and have a regular job and now have to be as income support client. They have to report their income regularly to an income support officer. These concepts may work well somewhere else in Canada, maybe in a big city like Toronto; however, they have not worked well here.

I do not think that we have served our people well by making so many Northerners become clients on social assistance. I think we can change back to the understanding we had in the NWT, that housing is an extraordinary expense in the NWT and that most Northerners need assistance to manage those costs. I think it is time for the government to acknowledge that sometimes the way we do things in the NWT is the right way for us and we don’t need to change things just to be in fashion with southern Canada. Thank you very much, Mr. Speaker.