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MLAs clash over ATCO deal

Jason Unrau
Northern News Services

Yellowknife (Jun 12/06) - Calling Minister David Krutko's deal to convert 830 gas worker accommodation units into housing a "big song and dance," Range Lake MLA Sandy Lee says she wants him to do a cost benefit analysis comparison with mobile homes.

"We are a guinea pig in the front line for a project that seems to be only benefitting the oil companies," said Lee during question period in the house on Tuesday.

"The Housing Corp. is so in love with this project they are failing to show us the numbers."

Countering Lee, Krutko, minister responsible for the Housing Corp., maintains the project provides good value for the money. The ATCO $220 million deal works out to $130,000 per unit, or about $100 per square foot of living space. That's much better than the $195 per square foot for a stickbuilt home, he said.

"At the end of the day, if you can buy a home for $130,000, and in Yellowknife it will cost you $330,000, we believe it's a good deal," said Krutko.

The minister added that the Canada Mortgage and Housing Corporation has already given its seal of approval, guaranteeing loans for the project.

Lee feels that with more than $200 million at stake, the GNWT should examine what that money would provide in terms of a mobile home option.

However, Krutko did not waver on the project, which is contingent on the pipeline getting built. He noted that the GNWT is getting the ATCO units at no charge and the costs involved are for moving, renovations and establishing the necessary property infrastructure to support the dwellings.

"We are working to ensure we're putting housing on the ground," he said. "And at the end of the day, we're moving forward with the approval of CMHC."