Iqaluit (July 19/04) - Iqaluit's 14-bed homeless shelter almost shut down this month because the operators didn't have the money to pay their bills.

"We were close to the line," said Bill Riddell, chair of the Illitiit Society.

The Illitiit Society is a non-profit organization which aims to activate social service programs in Iqaluit. It oversees the homeless shelter, as well as the youth cottage that houses up to five Iqaluit youths.

In total, it costs the Illitiit Society about $350,000 a year to run the homeless shelter.

Facing closure in early July, Riddell called an emergency meeting with Ed Picco, the minister responsible for homelessness, after cheques from health and social services that the Illitiit Society was expecting didn't arrive.

At the meeting, Picco was concerned about the fate of the shelter and was open to helping them.

Riddell told Picco the funding arrangement with health and social services wasn't working, and that it was "inappropriate."

"Homelessness is not a health and social services problem. It is a housing problem," said Riddell.

The Illitiit Society told Picco that it would be better for them to deal with housing and income support because those departments are closer to its mandate.

A new funding arrangement is still being worked out.

The homeless shelter has $41,000 in funding to get them through to the end of August. After that, the fate of the shelter is up in the air.

It is a problem that must be cleared up quickly, said Riddell, who knows entire families in Iqaluit who literally have nowhere to live. During the day, they walk around. At night, they stay wherever they can. A homeless shelter is needed, it is always full, and until the housing crisis in Nunavut is solved there will be more and more people looking for places to stay, said Riddell.

Problems with funding run deep

But the problems with funding run deep. Since 1999, Riddell admitted, the Illitiit Society has never had audited reports. Now that they are in this bind, the GN has offered to do their books for free.

Picco's office has been contacted for an interview, but has not yet returned calls on the matter.