Thank you, Mr. Speaker. Mr. Speaker, earlier today I spoke about the need to take action on very high rents in the City of Yellowknife. The Minister yesterday committed to developing a new rent supplement program by the end of six months. Can the Minister provide a bit more detail about the development of that program and what the scope of it is going to entail? Thank you, Mr. Speaker.
Masi. Minister responsible for the Northwest Territories Housing Corporation.
Thank you, Mr. Speaker. I would love to be able to stand here and say that we have all of the answers figured out. The honest truth is that we don't. However, I do know that the data shows that one in six households in Yellowknife are in core need due to affordability. That tells me that we have a serious problem with people being able to afford the rental accommodations in the Yellowknife area and, therefore, a rent subsidy program makes sense. It actually makes more sense than building more public housing when you do it on a costanalysis basis. Thank you, Mr. Speaker.
Thank you to the Minister. I appreciate that she is well aware of this problem. It seems like this new program will not build houses. How is it going to save money or subsidize the cost of living for renters? It does not sound like we have much of a program, just an idea of one, but we do have that sixmonth commitment, so I am trying to tease out a few pieces of this so we can understand where we are going to be in six months.
It probably won't be a big leap to actually develop this program. It would be a program on its own. Public housing is still a need, and we will still be looking at that. However, we do currently provide a transitional rent supplement program that is ineffective because it ends after two years and, in my opinion, people don't often have the skills that they need or the income to be able to be left without that support. So instead of having a transitional rent support program, it's merely transferring it over and actually having more of a long term. Like I said, it is more cost effective to provide subsidies to people to deal with affordability than try to build new buildings. The longer-term plan would be to have buildings, but the shorter-term intervention is to provide subsidies.
Does the Minister have an idea about the range of these subsidies? Is it going to be targeted at lower-income earners or is it going to be a broader range that will capture the middle class as well, people with good-paying jobs but who are still facing a very high cost of living burden? So what's the range, the income range?
Due to the high needs of residents within the whole Northwest Territories and our current wait list to access public housing support, we will not be, probably, at this point extending our income threshold. So it would be for people who are at moderate to low income. I don't know the exact rate for Yellowknife, but I believe it's under $100,000 a year.
Masi. Oral questions. Member for Kam Lake.
Mr. Speaker, it would be nice if the Minister did have that information because I know from personal experience that the current rent supplement program doesn't capture middle class earners and it does not do a lot to support that bracket, and that's a very important bracket. When we want to attract new labour, when we want to encourage young people to stay in the North, we've got to do more than just offer SFA, student financial assistance, and municipal loans; we need to offer real opportunities in the North, and that starts with a place to live.
So again, will the Minister commit to developing a program that supports renters and specifically that supports middle-class renters, expands that income bracket so we can support more people who are struggling to make ends meet in the City of Yellowknife? Thank you.
As I stated earlier, we have a huge number of people in need within the Northwest Territories as a whole. We have over 600 families with children that do fall within our current income assessment. At this point, I am not willing to expand the income thresholds as they currently are. If we ever get to the place where we can address all of the low-income people within the Northwest Territories, then I would look at expanding that, but at this current point we cannot.
Masi. Oral questions. Member for Tu Nedhe-Wiilideh.
