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Auditor general releases damning report on Housing Corp.

Yumimi Pang
Northern News Services
Published Monday, June 02, 2008

NUNAVUT - The Nunavut Housing Corp. is not meeting its responsibilities to provide affordable housing to Nunavummiut, according to a report by Auditor General Sheila Fraser.

"The corporation does not ensure that the public housing program is delivered in compliance with its policies and its agreements with community partners," wrote Fraser in a report that was tabled in the legislative assembly on May 22.

The Nunavut Housing Corp. is a public agency established in 1999 to deliver housing programs to Nunavummiut with a goal of fair access to affordable housing. The corporation manages public housing, which accounts for more than half of all Nunavut's dwellings. In 2007 there were more than 1,200 Nunavummiut on the waiting list for public housing.

The report, which assessed several criteria, prompted at least one member of the legislative assembly to call for a change in the Nunavut Housing Corp.'s management.

"I think the auditor general has been very modest but she clearly states that the Housing Corp. has not conducted its operations as it should," said Tagak Curley, member for Rankin Inlet North. "Clean house and change the management."

Curley, whose previous business background included constructing 200 housing units and 11 office buildings including the legislative assembly, added that he felt that the corporation does not have senior project managers or engineers to troubleshoot the complex program.

"It's riddled with inexperience," he said.

In response to Curley's suggestion that the corporation should dismiss its executive, the minister responsible for the Nunavut Housing Corp., Patterk Netser said, "That's not going to happen. I think they're doing a great job in delivering the housing programs that we have in spite of the staff shortages that they incur or experience."

Netser said that most of the issues raised in the audit can be directly related to the 23 vacant positions within the corporation, and the fact that executives within the corporation must then make everyday operational decisions.

"So put two and two together and you wonder why we have these deficiencies within the corporation," said Netser. "We've known that for some time now, that we have severe housing shortages, and that we are understaffed to take on the mandate that's given to the Housing Corp.."

However, Curley took a different view.

"The thing is, whose responsibility is it to hire these 23 people? It's not hard to find 23 people. If they can't even hire people, that's no one else's problem but that executive with the Nunavut Housing Corp.. To me they're not doing their job," said Curley.

Peter Scott, president of the Nunavut Housing Corp., agreed that the corporation is short on resources to deliver on expectations. He said the 23 vacancies are in a variety of positions including finance, program delivery and technical positions. He said filling those vacancies has been difficult due to strong competition in the southern markets.

Public housing is meant for individuals who would otherwise have to spend more than 30 per cent of their household income on housing. Applicants are supposed to meet basic criteria to be eligible, but for at least 71 out of 80 files reviewed, Fraser found that the eligibility of the applicants couldn't be concluded.

Scott admitted that lack of documentation does occur.

"Is it something life threatening? No," said Scott, noting that some cases of lack of documentation are when elders know an applicant personally and do not find it necessary to get certain documents like those stating how long a person may have lived in the North.

The report also found that housing applications weren't properly assessed and the appeal process for applicants and tenants is not clear.

The examination highlighted the need for good maintenance of existing public housing, but the Nunavut Housing Corp. was using "incomplete and outdated information about the condition of its units" with more than 550 condition rating reports missing and more than 1,800 not up-to-date.

The report stated that the construction of new units under the Nunavut Housing Trust is a necessity, given Nunavut's fast rate of growth. The audit noted that because the corporation didn't plan for risks like lack of interest from contractors and workers not appearing for their jobs, there have been delays in the Nunavut Housing Trust Delivery Strategy.

Scott admitted some of the difficulties should have been anticipated knowing the trades situation in the south.

The audit revealed that of the 96 public housing units to be built in the summer of 2007, by the end of the year, only 20 had been completed, putting the overall goal of 725 new units by 2010 in jeopardy.

In the eyes of Netser, none of the issues raised by the audit are a surprise, and he believes the report can be used to Nunavut's advantage.

"I think it's a great report," said Netser. "I think we can take this report to the federal government and tell them that this is the auditor general's findings and we have severe housing issues in the North. I think it's a good tool to use it to leverage extra funding."