Mahsi, Madam Speaker. Madam Speaker, within the Northwest Territories Housing Corporation, there's always been concerns about the rising cost of electrical power and heating fuel usage to all their rental units. I believe I've offered up suggestions as to how to combat the fuel usage and the rising cost of the diesel fuel in the past by incorporating wood pellet boiler systems to their units as a central unit which is when a central heating system is set up, it can heat up to multiple units. And I'm not talking about the apartment buildings. This is like replacing if you have five house, you have five furnaces, five fuel tanks, that's a lot of fuel usage. When you put a central heating system, like a wood pellet boiler, you can connect all five units which is saving you, you can realize significant savings then. Because, you know, biomass district heating systems reduce reliance on imported fuels, reduce fuel consumption and provide, you know, significant savings overall to the utility costs. And it's known to cut greenhouse gas emissions which we're trying to reach at some point. And we're just not getting there with housing.
I recall back in 2014, I'm just recalling from memory, that we sent a few ministers, or MLAs at that time, to Norway to look at the wood pellet boiler systems and I think it was to introduce them into the NWT. Mind you, those two MLAs, or Ministers, were Ministers of Housing Corporation at some point. But nothing was ever incorporated at that time which is quite surprising considering, you know, the rising cost of living to all residents of the Northwest Territories, even people that rent. And it just shocks me that we haven't even contemplated that yet. We're in the 19th Assembly. And with that, I'm going to have questions for the Minister of Northwest Territories Housing Corporation at the appropriate time. Mahsi.
Applause
Thank you, Member. Members' statements. Member for Monfwi.
Member’s Statement 940-19(2):
Thank you, Madam Speaker. Later today, I will be tabling photos of the home of a constituent from Whati.
The Housing Corporation is asking this constituent to sign a refinance agreement for $140,000. Madam Speaker, the photos I will table later today show that this House has a lot of problems. Madam Speaker, they are using assessed value, not actual value, to determine how much the house and property is worth, which is another way of saying Housing Corporation decides on its own how much the house is worth. Most places in Canada, the price of houses are determined by market value. Quote, "The price at which an asset will sell for in the competitive setting". End of quotation.
Madam Speaker, there is no competitive setting outside of the capital and regional centres in the Northwest Territories. Since Housing owns most homes in small NWT communities, people have no choice but to accept the deal Housing Corporation gives them or they become homeless. There is a clear power imbalance between the buyer and seller.
This buyer feels she has no choice but to sign. She does not want the nine people living in the house or the newborn baby to become homeless. In this case, the Housing Corporation is asking for $140,000 for a house that does not even have a flushing toilet and is in poor condition. Madam Speaker, this is my understanding of assessed value works in simple terms. In 2017, I purchased my car for $60,000. Today, its market value is $20,000. Madam Speaker, if Housing was to sell my car, they would assess its value and try to sell it for $60,000 purchase price. It is unfair for the person buying that car to pay more than $20,000 market value. Madam Speaker, can I have unanimous consent to conclude my statement.
Unanimous consent granted
People buying these houses are overpaying for a house that is going to depreciate in value over time just so they do not get put on the street. There is no housing market in small communities. Very few homes are ever bought or sold. Madam Speaker, there should be an ombudsman or a third party to oversee the sale of houses and ensure houses are fairly valued.
I think in these situations, the Housing Corporation has a conflict of interest. On one hand, they are mandated and governmentfunded to provide programs to the people. On the other hand, they act like a corporation to try and turn profit. I think that is why the public distrusts the Housing Corporation. Madam Speaker, I think the Housing Corporation should become a department of the Government of the Northwest Territories and cease to be a corporation so they can act only in the best interests of families and NWT residents. Madam Speaker, I will have questions for Minister of Housing at appropriate time. Thank you.
Applause
Thank you, Member. Members' statements. Member for Yellowknife North.
Member’s Statement 941-19(2):
Thank you, Madam Speaker. When providing public housing, the government should not be paying market rent. However, Madam Speaker, as we know, right now in order to get a income housing allowance you must be placed on a public housing waitlist. Why is this? It's because we know providing people housing in public housing we own is cheeper than paying market rent. Yet despite this, presently income assistance is paying market rent for 885 people at a cost of $7.3 million a year. Additionally, our own Housing Corporation is paying another $3 million in market rent to Northview instead of building public housing, Madam Speaker. We need to build and own and operate more public housing.
We hear this continued concern about operations and maintenance. Where are we going to find the O and M money? Well, it's in the ECE income assistance budget presently, Madam Speaker. There is $7.3 million of operating money that we are giving to private landlords, predominantly in Yellowknife, predominantly to Northview, which could be hundreds of public housing units built. I will have questions for the Minister of Housing about whether and when we are going to build some more public housing and actually put an end to our public housing waitlist which, right now, is simply being paid at market rents well above what the rate should be. We save money by building housing. We save it in health, we save it in justice, and we save it in income assistance. Thank you, Madam Speaker.
Applause
Thank you, Member. Members' statements. Member for Kam Lake.
Member’s Statement 942-19(2):
Thank you, Madam Speaker. Yesterday as my child got dressed for hockey, children in the Ukraine braced for war. As Russia makes the worst kind of history, we must grapple with the best way to be activists for humanity. Again, we face the interconnectedness of the world.
Two years ago, I stood in this House and spoke about the rising cost of construction and healthcare and the vulnerability of the North to surprise events ranging from faulty sterilization machines at the new hospital to climate change, the global pandemic, and now a war that will continue to escalate costs and uncertainty everywhere.
We need to approach this vulnerability differently or simply be overwhelmed by it. Our businessasusual solution to our priority issues, like social housing, is to throw more money at it. This is a game the NWT cannot win. Supply chain disruptions, labour shortages, and unpredictable inflation will keep us chasing escalating capital and operating costs with little hope of keeping pace. In addition, housing cost challenges across the territory will have huge impacts on housing costs in Yellowknife. We need different solutions.
CMHC recognized this issue through yesterday's $80 million announcement to drive innovative specific to northern housing logistic supply chain and trained labour issues. They recognize building housing the way we are doing it today isn't working. Working within our budget requires creativity, trusted partnerships, and collaborative leadership.
Madam Speaker, the Housing Corporation told this House during our first budget cycle the solution to our northern housing problem is half a billion dollars or partnerships and preferably both. The federal $40 billion National Housing Strategy has made it clear they would like to work with Indigenous governments and NGOs to get this money moving across Canada. We must facilitate those partnerships. Examples of successful publicprivate partnerships for public housing exist across Canada. Cooperative ventures between the public and private sectors and Indigenous governments are building on the expertise and each partner to share cost, revenue, and responsibility. Fair financial relationships between all parties need to be signed with a common unified goal of housing as a fundamental factor of thriving communities. Examples of this already exist.
The Housing Corporation has transferred vacant stock to Indigenous organizations to renovate with federal dollars. Transferring to NGOs for federal capital grants and has worked with viable and third party construction companies to build housing while the corporation takes on the longterm obligations of operations and maintenance without the capital cost. Everybody wins but no one does it all. Madam Speaker, I seek unanimous consent to conclude my statement, please.
Unanimous consent granted.
Thank you, Madam Speaker, and thank you, colleagues. These are all great examples, but they are exceptions rather than the rule, Madam Speaker. Finding and supporting these partnerships need to become our priority Number 1. Thank you.
Applause
Members' statements. Member for Hay River North.
