Mr. Chairman, the allocation was based on looking at it on a LHO-by-LHO basis, as well as taking a look not only at what the current deficit is of the LHO but also what the specifics are that we are generating the deficit to determine whether or not there was an opportunity to work with the LHO on management or if it was a cash issue, and also recognizing that it has to be dealt with over a longer period of time and it won’t be immediate.
Debates of Feb. 21st, 2011
This is page numbers 5979 - 6032 of the Hansard for the 16th Assembly, 5th 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 community.
Topics
Consideration in Committee of the Whole of Bills and other Matters
Consideration in Committee of the Whole of Bills and other Matters
Polakoff
Consideration in Committee of the Whole of Bills and other Matters
Consideration in Committee of the Whole of Bills and other Matters
Consideration in Committee of the Whole of Bills and other Matters
Consideration in Committee of the Whole of Bills and other Matters

Bob Bromley Weledeh
Mr. Chairman, does every LHO get some support from the stabilization fund or is it just sort of those that have these specific problems?
Consideration in Committee of the Whole of Bills and other Matters
Consideration in Committee of the Whole of Bills and other Matters
Polakoff
Mr. Chairman, it is those that are in the most dire financial straits right now.
Consideration in Committee of the Whole of Bills and other Matters
Consideration in Committee of the Whole of Bills and other Matters

Bob Bromley Weledeh
Mr. Chairman, again, it is those that are cash strapped, but there is obviously an additional part to it. Is it where there are not management problems perceived, those are the ones that would get the cash? Is that correct?
Consideration in Committee of the Whole of Bills and other Matters
Consideration in Committee of the Whole of Bills and other Matters
Polakoff
Mr. Chairman, those would be the priority ones. Yes, the Member is correct.
Consideration in Committee of the Whole of Bills and other Matters
Consideration in Committee of the Whole of Bills and other Matters
Consideration in Committee of the Whole of Bills and other Matters
Consideration in Committee of the Whole of Bills and other Matters

Robert Hawkins Yellowknife Centre
Thank you, Mr. Chairman. I was just trying to follow that exchange that happened a moment ago. I am just trying to get a sense. A local LHO, what do they do with the revenue garnered through the rent process? I think the question I asked last week was how much on a recovery basis per LHO for rental. We have about a 76 percent
average. So where does that money go that they receive? Thank you.
Consideration in Committee of the Whole of Bills and other Matters
Consideration in Committee of the Whole of Bills and other Matters
Consideration in Committee of the Whole of Bills and other Matters
Consideration in Committee of the Whole of Bills and other Matters

Robert C. McLeod Inuvik Twin Lakes
Mr. Chairman, the rent that each LHO generates goes back into the operations. Thank you.
Consideration in Committee of the Whole of Bills and other Matters
Consideration in Committee of the Whole of Bills and other Matters

Robert Hawkins Yellowknife Centre
Mr. Chairman, just expanding a little further, so if there is almost 24 percent shortage here, how do they make up that recovery of that percentage?
Consideration in Committee of the Whole of Bills and other Matters
Consideration in Committee of the Whole of Bills and other Matters

Robert C. McLeod Inuvik Twin Lakes
Mr. Chairman, in some cases we will assist them, as I mentioned in my response to one of the other Member’s questions. There are some uncontrollables that we assist them with. The more money they generate, then the less assistance they would receive and the more money they receive from revenue, they would be able to put that back into their operations. That would keep them out of running a deficit situation. Thank you.
Consideration in Committee of the Whole of Bills and other Matters
Consideration in Committee of the Whole of Bills and other Matters

Robert Hawkins Yellowknife Centre
Mr. Chairman, in the last five years what has the department done to... How much money has the department bailed out these LHOs? Thank you.
Consideration in Committee of the Whole of Bills and other Matters
Consideration in Committee of the Whole of Bills and other Matters

Robert C. McLeod Inuvik Twin Lakes
Mr. Chairman, we don’t have that information with us at the moment. I will get the information and pass it on to the Member and other Members if they wish to receive the same information. Thank you.
Consideration in Committee of the Whole of Bills and other Matters
Consideration in Committee of the Whole of Bills and other Matters

Robert Hawkins Yellowknife Centre
Mr. Chairman, can I have that broken out by LHO, please? Thank you.
Consideration in Committee of the Whole of Bills and other Matters
Consideration in Committee of the Whole of Bills and other Matters
Consideration in Committee of the Whole of Bills and other Matters
Consideration in Committee of the Whole of Bills and other Matters

Robert Hawkins Yellowknife Centre
Mr. Chairman, on these particular LHOs -- and I wish to, of course, thank the Minister for willing to provide that information -- does it come with an accompanying deficit elimination plan of any sort to address that 24 percent shortfall? Thank you.
Consideration in Committee of the Whole of Bills and other Matters
Consideration in Committee of the Whole of Bills and other Matters

Robert C. McLeod Inuvik Twin Lakes
Mr. Chairman, we will work with the LHOs to come up with a deficit recovery plan and there are a number of things that some of the supports that we work with the LHO. We do an analysis of their LHO operations and where they can see some savings and that. We work quite closely with the LHO, because it is not our intent to have our LHOs in a deficit situation all of the time and not being able to provide service we expect of them. Thank you.
Consideration in Committee of the Whole of Bills and other Matters
Consideration in Committee of the Whole of Bills and other Matters

Robert Hawkins Yellowknife Centre
Mr. Chairman, if an LHO is in deficit, how does that reflect upon their operations? Would it affect their maintenance budget by and large? Does the Housing Corporation make up the shortfall on the maintenance budget? Thank you.
Consideration in Committee of the Whole of Bills and other Matters
Consideration in Committee of the Whole of Bills and other Matters
Consideration in Committee of the Whole of Bills and other Matters
Consideration in Committee of the Whole of Bills and other Matters

Robert Hawkins Yellowknife Centre
Mr. Chairman, is there a departmental break-even point where statistical average bank on that... By way of example, 90 percent of rent recovery is where it provides enough money for operations and maintenance of that LHO, or is there another number targeted? More specifically, what is the target for break-even point? Thank you.
Consideration in Committee of the Whole of Bills and other Matters
Consideration in Committee of the Whole of Bills and other Matters

Robert C. McLeod Inuvik Twin Lakes
Mr. Chairman, we expect to have our LHOs to collect 90 percent of assessments. Thank you.
Consideration in Committee of the Whole of Bills and other Matters
Consideration in Committee of the Whole of Bills and other Matters

Robert Hawkins Yellowknife Centre
Mr. Chairman, I think the Minister has been more than generous with his offer of information. I will take what he has offered. Thank you.
Consideration in Committee of the Whole of Bills and other Matters
Consideration in Committee of the Whole of Bills and other Matters

The Chair Glen Abernethy
Thank you, Mr. Hawkins. No question. We are on page 5-57, the NWT Housing Corporation, information item, local housing organizations, operations expenditure summary.
Consideration in Committee of the Whole of Bills and other Matters
Consideration in Committee of the Whole of Bills and other Matters
Some Hon. Members
Agreed.