Thank you, Mr. Speaker. Mr. Speaker, last year MACA reviewed the funding model to community governments and is look at moving to a needs-based funding formula. I'd like to ask the Minister: what kind of feedback has the Minister received from community governments on this funding model? Thank you, Mr. Speaker.
Masi. Minister for Municipal and Community Affairs.
Thank you, Mr. Speaker. Mr. Speaker, we had a lot of feedback from the communities because a lot of communities were part of the group that reviewed the formula funding. We had a lot of feedback from the communities. We had a lot of feedback from the NWTAC, which represents all 33 communities in Northwest Territories. Thank you.
I'd also like to ask the Minister: what are we doing to ensure communities won't be negatively impacted by changes to the formula funding?
Our communities, they have stressed to us that they feel like they are challenged. We have given them opportunities to use some of their CPI funding that we distribute to them. I think it's up to 10 per cent that they can use to help with the O and M. Again, we won't know the potential impacts until we have a conversation with them as to the reduction in the Territorial Formula Financing.
How will the new formula funding take into account the rising cost of living?
When the formula funding review group reviewed all that, they took all that into consideration because they felt that in the past there has not been any increase due to inflationary costs and the higher cost of doing business. The plan was to initiate that work at the beginning of the life of the 18th Assembly, but we thought that, at that time, during the 17th Assembly, if we took advantage of the opportunity we had to start that work, when the new 18th Assembly came in, they would have all the information they needed to go forward. Rather than start the work now and have it done in two years, we did it in the17th, so Members coming in the 18th Assembly would have a better understanding of the challenges that our communities are facing.
Masi. Oral questions. Member for Mackenzie Delta.
Thank you, Mr. Speaker. Mr. Speaker, that leads me to my next question. When can we expect to see this new plan to be rolled out? Thank you, Mr. Speaker.
As Members have heard me say in the last two weeks that we have been here and even before that, the challenges that we're facing financially, I mean, we would love to be able to be in a position where we can help a lot of the communities with their challenges that they face. We have challenges of our own as a government, and it's one of the reasons we're trying to go through the exercise that we are going through, so we can be in a position to help our communities with some of the challenges they face. Plus, being able to invest into infrastructure which would create jobs in a lot of the smaller communities. As we well hear, that's an important priority to Members opposite. It is challenging times, but we are doing what we can to try and mitigate our way through that and be able to be in a position where we can deal with all the issues before us.
Masi. Oral questions. Member for Hay River North.
Question 120-18(2):
Thank you, Mr. Speaker. Earlier this week we learned that the NWT Housing Corporation plans to build 45 homes for the RCMP. My question is to the Minister responsible for the Housing Corporation. Do they know how many of those homes are supposed to be built in each region, in each community, and specifically in Hay River? Thank you
Masi. Minister responsible for the Northwest Territories Housing Corporation.
Thank you, Mr. Speaker. I don't know at this moment, but I can get the numbers and actually give it to all of the MLAs so they'll actually know how many are in each unit. Thank you, Mr. Speaker.
I understand from the Minister's previous comments in the House that the RCMP approached the Housing Corporation so the RCMP didn't have to negotiate with multiple companies in each community for housing. Instead of adding the 45 units to the hundred-plus market units that the Housing Corporation already needs to build, has the Housing Corporation considered implementing a program similar to the Rent Supplement Program, where local businesses could build and maintain these housing units or possibly utilize existing units and lease them to the Housing Corporation. This way the RCMP only have to deal with the Housing Corporation, and you're not putting the liability on the government; you're giving business to local companies.
Actually, I just got a package from upstairs and so there actually are 11 that are destined for Hay River, so I saved myself a trip for later. At this point, that's not under consideration. The NWT Housing Corporation will be procuring these units through a public process where local businesses will have the opportunity to submit a proposal. We have to keep in mind, though, with the serious financial situation that the NWT is in, the loss of the CMHC funding in 2032, that there may not be money for the operation and maintenance for public housing. So not only was the RCMP housing to support RCMP in the communities, it's also a revenue base that that we can continue to maintain the public housing needs within our communities.
It's not only the Housing Corporation that is hitting hard financial times. I think that instead of going to direct competition with local businesses, the Housing Corporation might want to consider an alternative, and I'd just ask that the Minister consider that in the future.
As stated earlier, we will be having a public process were people can bid. If there is an opportunity that they can bring us in a reasonable price, then we will certainly consider that option.
