ACTION PLAN IMPROVING PUBLIC HOUSING DELIVERY A Response to the 2025 Performance Audit by the Office of the Auditor General of Canada

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3 | Page Table of Contents Message from the Minister .............................................................................................. 5 Executive

Summary ......................................................................................................... 6 Introduction .................................................................................................................... 8 About Nunavut Housing Corporation ............................................................................ 9 Challenges ................................................................................................................. 14 Audit Objectives ............................................................................................................ 16 Overview of the 2025 OAG Performance Audit ........................................................... 16 Audit Findings ............................................................................................................ 17 Audit Recommendations ........................................................................................... 17 Responding to Auditor Recommendations .................................................................... 20 Engagement with Stakeholders ................................................................................. 20 Housing Contact Line 1-844- Service Number ........................................................... 21 Enterprise Information Technology Systems ............................................................. 21 Operations Manual for LHOs ....................................................................................... 22 Progress Towards Nunavut 3000 Strategy ................................................................. 22 Strategic Partnerships and Collaboration .................................................................. 23 Action Plan .................................................................................................................... 30 Goal 1 .......................................................................................................................... 31 Goal 2 ......................................................................................................................... 33 Goal 3 ......................................................................................................................... 34 Monitoring Progress ...................................................................................................... 35 Moving Forward ............................................................................................................. 38

4 | Page List of Acronyms BCA................................................ Building Condition Assessments BDL ................................................ Birchcliff Development LTD CDO............................................... Community Development Officers CHTC .............................................. Canada Housing Transformation Centre CMHC ............................................. Canada Mortgage and Housing Corporation GN ................................................. Government of Nunavut HAF ................................................

Housing Accelerator Fund IT ................................................... Information Technology LHO ............................................... Local Housing Organization(

s) MMOS............................................ Maintenance Management Operating System NAC ............................................... Nunavut Arctic College NAHSI ............................................ Nunavut Affordable Housing Supply Incentive NAM ............................................... Nunavut Association of Municipalities NCCD ............................................. Nunavut Construction Corporation Development NDAP ............................................. Nunavut Downpayment Assistance Program NHC ...............................................

Nunavut Housing Corporation NTI ................................................. Nunavut Tunngavik Incorporated OAG ................................................ Office of the Auditor General OCBO ............................................. Office of the Chief Building Official PRS ................................................ Point-Rating System RSMS ............................................. Rental Scale Management System

5 | Page Message from the Minister I would like to thank the Office of the Auditor General of Canada (OAG) for the performance audit of Public Housing in Nunavut and the valuable insights provided. We recognize the importance of independent oversight in strengthening public accountability and ensuring that government programs deliver results for Nunavummiut. The Nunavut Housing Corporation (NHC) takes the report’s findings seriously and has accepted all recommendations.

The audit called for NHC to improve how it delivers public housing services, maintains housing stock, and reports on the progress of its public housing programs. This Action Plan for Improving Public Housing Delivery addresses these areas and aligns with our broader strategic vision for housing in Nunavut. The OAG findings and recommendations validate our plans to impro v e ho w NHC provides equitable access to suitable housing for families and individuals in all communities. We also acknowledge the progress already made and the ongoing efforts to strengthen NHC’s efficiency, transparency, and effectiveness.

These improvements are essential to building a more responsive and accountable housing system. In December 2021, we adopted the Katujjiluta Mandate aimed at improv ing housing conditions for Nunavummiut and set a clear direction for NHC t o fi n d i n n o v a t i v e w a y s t o rapidly increase housing supply. Since then, more than 855 residential housing units and 134 supported housing beds have been completed or are now in progress (as of December 31, 2024). For the first time, housing is under construction in all 25 of our communities.

In 2022, we launched Nunavut 3000 – also called Igluliuqatigiingniq , or Building Houses Together – to add 3,000 new housing units to the territory by 2030. Nunavut is on target to support the construction of 1,000 new homes by late 2025, in line with the Katujjiluta Mandate. Through Nunavut 3000, NHC is also launching new and renewed programs, modernizing its systems, deliver ing training for Local Housing Organizations ( LHOs) and tenants, improving our internal operations and client service approaches , and pursuing innovative partnerships to create more housing choices for Nunavummiut.

NHC will continue to focus our efforts on accelerating housing supply because we know that access to suitable and adequate housing is critical to improving our health and wellbeing, caring for their families, learn ing new skills, finding meaningful employment , and participating in cultural life. We appreciate the Auditor General’s work and look forward to continued collaboration as we work to implement all recommendations made to improve housing across Nunavut.

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Summary Purpose This Action Plan for Improving Public Housing Delivery has been developed in response to the May 2025 performance audit conducted by the Office of the Auditor General of Canada (OAG). The OA G’s audit took place between April 2022 and December 2024. It sought to determine whether Nunavut Housing Corporation ( NHC) provided Nunavummiut with equitable access to suitable public housing and managed the adequacy of public housing inventory.

Overview of Audit Findings The audit reviewed public housing allocations, responsiveness to the accessibility needs of tenants, maintenance and improvement of public housing stock, and progress of Nunavut 3000. Through its audit, the OAG identified three key findings: 1. NHC did not provide Nunavummiut with equitable access to suitable public housing. 2. NHC did not effectively manage the condition of its public housing inventory. 3. NHC was not clear in its communication on progress and faces challenges to meet its targets under the Nunavut 3000 strategy.

Addressing Audit Findings and Recommendations NHC has already taken significant steps to strengthen housing services and improve accountability.

Since the audit, the following actions have been completed or are underway: • Using community-centered approaches such as engaging communities to support improved processes • Improving collection efforts through updated policies and mandatory payroll deduction • Developing an operations manual to support Local Housing Organizations (LHOs) • Modernizing processes by investing in automated systems • Improving accountability through performance management and key performance indicators • Leveraging partnerships and developing programs to accelerate housing development • Releasing the 2024 progress report on Nunavut 3000 on construction status and how progress is measured

7 | Page To ensure that NHC is meeting its commitments to address all ten recommendations in the OAG report, NHC has developed an Action Plan to address the findings and recommendations in a way that is responsive to current challenges and proactive in anticipating future needs.

Key solutions include: • Reviewing the point-rating system and public housing applications process • Supporting LHOs with clearer guidance and tools • Assessing the housing needs of Elders and people with disabilities • Documenting accessible features in public housing units • Improving asset tracking and preventative maintenance • Enhancing oversight and communication • Rolling out two new Information Technology (IT) systems to support these changes • Increasing transparency and reporting on Nunavut 3000 progress These efforts reflect NHC’s commitment to accountability, equity, and better service for Nunavummiut.

To guide the implementation of this Action Plan, NHC has developed a n operational framework to structure and coordinate internal efforts to address the OAG’s recommendations. Within this Action Plan, NHC has outlined implementation steps and timelines for each action. A monitoring plan has also been developed with key performance indicators to support greater transparency and allow NHC to easily communicate its progress towards addressing recommendations in the OAG report. The NHC is committed to addressing the OAG’s recommendations and improving housing services across Nunavut.

NHC thanks the OAG for this important report and looks forward to demonstrating measurable progress and improving accountability as we implement our Action Plan.

8 | Page Introduction The Nunavut Housing Corporation (NHC) is responsible for ensuring that all Nunavummiut have equitable access to adequate, suitable housing. Meeting this mandate is uniquely challenging in Nunavut, where the housing landscape differs significantly from the rest of Canada. Housing demand far exceeds supply and Statistics Canada estimates that Nunavut’s population from 1999 will double by 2043. Nunavut Tunngavik Incorporated (NTI) performed an assessment in 2020 and found that 37% of the population was in core housing need.

This means that homes required major repairs, were inappropriate in size, and/or structurally unaffordable. Nunavut’s housing stock is aging as 60% of public housing units were constructed before Nunavut became a territory in 1999. In addition, the waitlist for public housing has grown to over 3,000 applicants in 2022, which demonstrates a need for increased supply. Delivery is complicated by high construction costs, a harsh and changing climate, logistical constraints, systemic overcrowding, and the ongoing impacts of colonization.

The performance audit conducted by the Office of the Auditor General of Canada (OAG) evaluated how NHC managed its housing services, public housing inventory, and public housing construction progress from April 2022 to December 2024.

Specifically, the audit focused on NHC's delivery in three key areas: • Provision of equitable access to suitable public housing for Nunavummiut • Management of the adequacy of its public housing inventory • Progress made towards the Nunavut 3000 Strategy The OAG concluded that NHC did not provide Nunavummiut with equitable access to suitable public housing and did not effectively manage the adequacy of its public housing inventory for Nunavummiut. The OAG also found that NHC was not clear in its communication on progress and faces challenges to meet its targets under the Nunavut 3000 strategy.

The OAG tabled its report in the Legislative Assembly of Nunavut on May 26, 2025, highlighting both systemic challenges and areas where internal improvements are needed. NHC accepts all ten recommendations and is committed to taking action. This report outlines an Action Plan to Improve Public Housing Delivery and sets out the NHC’s plan to address OAG recommendations.

9 | Page About Nunavut Housing Corporation Created in 2000, NHC is a public agency of the Government of Nunavut (GN) created through the Nunavut Legislature by the Nunavut Housing Corporation Act . NHC reports to the Legislative Assembly, Executive Council and Nunavummiut through its President, Board of Directors, and the Minister Responsible for the Nunavut Housing Corporation. This approach allows the Minister to maximize the effectiveness of the Corporation for the present and future benefits of Nunavummiut.

NHC’s mandate is to create, coordinate, and administer housing programs that provide fair access to a range of affordable housing options to families and individuals in Nunavut. NHC’s mission is to provide opportunities for all residents of Nunavut to have homes that support a healthy, secure, independent , and dignified lifestyle through working with our communities to allow them to assume the role of providing housing to Nunavummiut.

NHC’s core business includes: • Delivery of housing services related to public housing, staff housing and homeownership. • Providing education, training and support to 25 Local Housing Organizations (LHOs) that administer programs and maintenance on behalf of NHC. • Providing homeowner programs and services including support for financing and technical assistance.

10 | Page The NHCs executive team is structured as follows: Directorate and Corporate Headquarters The Directorate is accountable for the performance of the NHC and leads operations across the territory. This part of the organization is responsible for managing the Corporation to ensure consistency in all its activities across Nunavut, including the application of policies, standards and procedures, and the delivery of programs.

It also oversees the development of long-term strategies, policies, and operational guidelines on corporate matters for the Board of Directors, the Minister Responsible for the N HC, and for the Executive Council (Cabinet). In addition, it ensures that programs are delivered according to the NHC’s funding agreements with Canada Mortgage and Housing Corporation (CMHC). District Offices NHC’s District Offices in Kinngait, Arviat and Cambridge Bay support the delivery of programs and services to the communities and set regional priorities.

They work with LHOs to deliver various housing programs and services to Nunavummiut and ensure appropriate standards are upheld. Local Housing Organizations NHC relies on its partnerships with LHOs to deliver public and staff housing services and maintain housing inventory in each of the territory’s 25 communities. The LHOs pr ovide most of the day -to-day services associated with program delivery to individuals and families.

Responsibilities of LHOs include receiving and assessing public housing applications, maintaining public housing waitlists, allocating public housing units using the point-rating system, collecting rent from tenants, and maintaining and modernizing units in accordance with the NHC’s policies and procedures. The LHOs also provide valuable insight into community priorities, housing needs, and operational challenges.

11 | Page As shown below, NHC has a Directorate and headquarters that oversee three regional offices that, in turn, support the independent LHOs in each community of Nunavut. The LHOs are divided into two different types of entities: those established as Associations under the Societies Act, and those established as Authorities through Ministerial Orders to the Nunavut Housing Corporation Act. There are 19 LHOs that were established as Associations. These community-based entities are independent standalone organizations, which are governed by an elected Board of Directors.

As illustrated in the figure below, public housing tenants from each community are members of the LHO Association and elect the Board of Directors. The Board of Directors makes decisions on behalf of the LHO Association, though some key governance activities must be approved by the members, including changes to any by-laws or dissolving the Association. NHC does not have formal authority over LHO Associations beyond the terms of the Management Agreement and associated funding.

12 | Page Organizational Structure of LHO Associations: There are 6 LHO s that were established as Authorities (the Iqaluit, Kinngait, Kugaaruk, Taloyoak, Baker Lake, and Coral Harbour Housing Authorities) under the Nunavut Housing Corporation Act. Similar to a LHO Association, these organizations have a Board of Directors composed of community members. However, in LHO Authorities the Minister Responsible for the NHC is responsible for appointing board members. Another difference between LHO Associations and LHO Authorities is that the NHC approves any by -laws that the Board of Directors of LHO Authorities develop before they are considered effective.

13 | Page Organizational Structure of LHO Authorities LOCAL HOUSING ORGANIZATIONS • LHOs are distinct, independent organizations with their own Boards of Directors, by-laws, chart of accounts, and local staff. • Each LHO signs a Management Agreement with NHC committing to meet the business requirements for allocating public housing to Nunavummiut and maintaining public housing inventory in their municipalities. • Seventeen of the LHOs are also unionized and have distinct Collective Agreements.

14 | Page 3-Year Business Plan NHC submits an annual 3-year business plan to the GN as part of the government’s strategic and financial planning process.

Currently, NHC’s regular business includes the following objectives: • Making it easier for Nunavummiut to access NHC’s programs and services through increased tenant/client engagement, education, training, strategic partnerships, and digital delivery. • Introducing a new service delivery model that will improve how NHC delivers its programs and services in all communities. • Continuing to acquire, maintain, repair, rebuild, and construct public housing across the territory. • Improving the performance of NHC programs and services through regular business planning and measurement, as well as targeted program evaluation. • Engaging NHC partners, stakeholders and employees in the work to expand the housing continuum in Nunavut to include all types of housing, including affordable and market housing for rent or homeownership.

Challenges Meeting NHC’s mandate is uniquely challenging in Nunavut, where the housing landscape differs significantly from the rest of Canada. The territory experiences some of the lowest vacancy rates in the country. Housing demand far exceeds supply as the majority of Nunavut’s housing stock was constructed before Nunavut became a territory , and the population is expected to double by 2043. D elivery is complicated by high construction costs, a harsh and changing climate, logistical constraints, and systemic overcrowding. Nunavut’s housing sector is rife with systemic challenges that impede progress.

Some examples include: • A stagnant housing market with significant economic, social and cultural barriers to participation. • A housing crisis with low housing supply, severe overcrowding, aging housing stock and a long waitlist for public housing units in every community. • A growing and changing population that shifts housing demand for suitable and adequate housing, including meeting the needs of young people and Elders. • High construction costs, labour shortages and material scarcity are ongoing barriers in remote communities accessible only by air and sea. • Persistent rental arrears, often without structured repayment plans, limit NHC’s financial capacity to maintain or revitalize aging housing stock.

15 | Page • Communities lack capacity for community development, preparing land for development and managing aggregate supply for future housing development. • Systemic challenges to hiring qualified public servants for key positions complicate an already difficult agenda for change. Despite these challenges, NHC is committed to improving public housing delivery in the territory and expanding the available pool of housing.

16 | Page Audit Objectives Overview of the 2025 OAG Performance Audit The 2025 OAG performance audit took place from April 1, 2022, to December 31, 2024.

The audit focused on these areas: • Provision of equitable access to suitable public housing for Nunavummiut • Management of the adequacy of its public housing inventory • Progress made towards Nunavut 3000 Strategy The OAG audit team reviewed and analyzed key documentation and interviewed NHC officials from the NHC’s headquarters, directorate, and district offices, as well as LHO representatives, hamlet officials, construction partners, Inuit organizations and community leaders.

The audit did not include: • Management of housing inventory types other than public housing, such as staff housing • Procurement processes and contracting for new housing construction • Quality of housing unit maintenance or inspections • Compliance with terms and conditions of federal funding agreements • Performance or service delivery by LHOs, as they do not fall under the audit authority of the OAG NHC CORE PRINCIPLES • Equitable Access: Fair access to public housing units as determined by NHC’s point-rating system, which directs LHOs to allocate public housing units to those with the greatest need. • Suitable Housing: Housing that has enough bedrooms for the size and makeup of the household according to the National Occupancy Standard (NOS) – a common reference of how many people can be accommodated by a dwelling given the number of bedrooms. • Adequate Housing: Housing that meets the basic needs of its occupants including security, privacy, space, lighting, ventilation, basic infrastructure in good condition, and proximity to public services and employment.

17 | Page Audit Findings The OAG report indicated the following findings: • NHC did not provide equitable access to suitable public housing o NHC did not monitor whether point -rating systems used to allocate public housing units followed the NHC’s guidance o Limited monitoring by NHC regarding the equitable allocation of public housing units o Poor oversight of public housing waitlists o Accessibility needs not assessed • NHC did not effectively manage the condition of its public housing inventory o Ineffective information systems to manage public housing inventory o NHC did not monitor whether preventative maintenance of public housing was completed • NHC was not clear in its communication on progress and faces challenges to meet its targets under the Nunavut 3000 Strategy o Communication on progress against the Nunavut 3000 Strategy’s targets was unclear o NHC faces challenges to meet its public housing targets under the Nunavut 3000 Strategy by 2030 Audit Recommendations The OAG report included ten recommendations that align with their findings.

The table below outlines these recommendations and includes the paragraph reference in the OAG report. No.

Recommendation Paragraph Reference in OAG Report 1 The Nunavut Housing Corporation should monitor local housing organizations regularly to ensure that its guidance related to point-rating systems is followed and implemented. 19 2 The Nunavut Housing Corporation should monitor and maintain a record of all allocations of public housing units to applicants and take corrective actions if it identifies allocations that are not equitable, transparent, or in accordance with its policies. 24 3 The Nunavut Housing Corporation should develop and communicate clear guidance to the local housing organizations to assist them in assessing and prioritizing between existing 25

18 | Page No. Recommendation Paragraph Reference in OAG Report tenants requesting transfers and new applicants to ensure that public housing units are being equitably allocated to both groups. 4 The Nunavut Housing Corporation should develop a standardized approach to collecting and analyzing public housing waitlist information and ensure that it is implemented in every community.

The information should include data to capture public housing needs, including information on elders and persons requiring accessibility modifications. 31 5 The Nunavut Housing Corporation should conduct a needs assessment focusing on elders and persons living with disabilities.

It should use this information to plan modifications to current public housing units; plan for future builds, including where they are to be located; and ensure that these units are allocated accordingly. 35 6 The Nunavut Housing Corporation should determine which public housing units meet the accessibility needs of elders and persons with disabilities and should integrate this information into its inventory system. 36 7 The Nunavut Housing Corporation should ensure that the new cloud-based system being implemented includes comprehensive and integrated information on its public housing inventory to enable effective management of its public housing units and informed decision making. 45 8 The Nunavut Housing Corporation should enforce the requirement for the local housing organizations to submit their annual plans and semi-annual progress reports.

It should review these annual plans and the semi-annual progress reporting against them. 54 9 The Nunavut Housing Corporation should monitor, and document its monitoring of, preventative maintenance throughout the territory, including unit condition inspections, mould, and heat recovery ventilators, to ensure that housing units are adequately maintained. 55

19 | Page No. Recommendation Paragraph Reference in OAG Report 10 The Nunavut Housing Corporation should clearly and publicly report its progress toward its public housing construction targets under the Nunavut 3000 Strategy on a regular basis. This regular progress reporting should outline: • how it is measuring progress • the number of units started by year and the extent of progress toward completion • the number of completed units by year • the rationale for any future adjustments to the number of public housing units to be constructed in each community 65

20 | Page Responding to Auditor Recommendations NHC has accepted all ten recommendations in the OAG report and is committed to addressing audit findings. An Action Plan has been developed to ensure that NHC’s initiatives are responsive to current challenges but are also proactive in anticipating future needs. NHC has already begun to implement steps to support improving public housing delivery, including through enhancing service delivery to communities, updating guides to LHOs, improving communication, investing in modernized processes, and developing strategic partnerships.

Engagement with Stakeholders NHC is employing a community -centered approach to improving public housing delivery in the territory. NHC conducted engagements with key stakeholders, including Nunavut Tunngavik Incorporated, Regional Inuit Associations, District Offices, LHO Housing Managers and LHO Boards of Directors to identify challenges with the current governance model. These stakeholders acknowledged that significant challenges exist within the current model , and improvements are required to address Nunavut’s housing shortage.

There were varying reasons why stakeholders felt that challenges existed, including: • A lack of capacity at the LHO level, staffing (particularly for specialized positions). • A lack of funding, and insufficient communication and co- ordination between the NHC and LHOs. • Inconsistencies between LHOs (e.g., reporting, financial statements). • Outdated financial and oversight mechanisms.

Stakeholders also suggested the following solutions that could be implemented within the context of the current governance model: • Consistent reporting and collective agreements for LHOs. • More training opportunities for maintenance managers and the LHOs. • Increased co-ordination between LHOs (e.g., more meetings and opportunities for collaboration). Many of these recommendations are consistent with the findings of the OAG. Accordingly, NHC has already initiated efforts to implement these into the current Action Plan.

21 | Page Housing Contact Line 1-844-413-9355 Service Number In March 2024, NHC launched a new toll -free service number to provide better access to information on housing programs, LHO operations, and s taff housing. This service assists callers in finding the right person to help with housing questions or issues. The information line was created to ensure timely and accurate responses to individuals’ questions and concerns about housing programs and services. Within the first four months of launching, the line received 83 calls with inquiries.

Enterprise Information Technology Systems To support greater efficiencies and increase performance management , NHC is implementing two enterprise-wide information technology systems, which will address key audit recommendations. The Maintenance Management System will be used to manage the lifecycle of NHC’s public housing inventory . This cloud -based asset management platform consolidates data on accessibility, unit condition ratings, maintenance activities, leasing status, and property values.

The platform will make it easier to track housing accessibility and property conditions, enabling NHC to more efficiently meet the needs of current tenants, waitlisted individuals, and new applicants. To facilitate a smooth transition to the Maintenance Management System , NHC will deploy service request and preventative maintenance training modules across all 25 communities in 12 months. The second system is a cloud-based enterprise-wide Property Management System that will improve the administration of public housing to existing and future tenants.

This new property management platform centralizes data including leases, tenant information, public housing waitlists , overcrowding , and will support increased consistency of housing allocations across the 25 communities. With this new system, NHC can also better support and guide LHOs by relying on access to centralized data and the new Applicant and Tenant Portals. These tools make it easier for applicants to apply and, for those waitlisted, to check their status and stay informed, helping improve both service delivery a nd communication.

This Property Management System will roll out and be implemented over 18 to 24 months, commencing in July 2025, and will complement the Maintenance Management System Together, these systems will modernize NHC’s operations, improve housing accessibility and waitlist management, and support consistent service delivery across the territory.

22 | Page Operations Manual for LHOs To ensure that LHOs are supported, NHC has developed an Operations Manual for all LHOs to use as a companion document to the existing NHC Local Housing Policy Framework. This manual will support LHOs as a procedural and best practice reference tool. LHOs will be able to search through the document online using key words to seek answers for common concerns.

This manual was shared with LHOs in April 2024 and is intended to be a living document that outlines regional work priorities in collaboration with LHOs and supports the consistent delivery of programs in line with appropriate standards of practice.

The manual includes the following key sections: • Values, Ethics and Integrity in Management • Leadership and Management of an LHO • Organizational Planning • Human Resources (HR) • Financial, Accounting and Audit Preparedness • Purchasing and Material Inventory • Operations: Maintenance, Safety, Building and Janitorial • Operations Tenant Relations, Staff Housing, Homeowner & Boards NHC intends to update this document as priorities and procedures evolve to continue supporting LHOs.

Progress Towards Nunavut 3000 Strategy June 2025, NHC issued the Building Houses Together Igluliuqatigiingniq 2024 Progress Report to provide an update on the Nunavut 3000 strategy . The report outlines construction timelines, key events that have influenced housing development in Nunavut , and details progress in public housing – including funding information and the number of units completed and currently underway. The report also emphasizes the growth in Nunavut’s construction trades workforce.

It highlights strategic partnerships with organizations such as Nunavut Construction Corporation Development (NCCD), Nunavut Arctic College, Birch cliff Development, Pewapun Construction and Arctic Fresh Projects Inc. These partnerships are helping deliver trades training opportunities while build ing homes directly in communities. The full In planning Complete or under construction Progress Toward 2025 Housing Goal: 85% Achieved

23 | Page Progress Report, Building Houses Together – Iqluliuqatigiingniq Progress Report is available on the NHC website. Since the start of 6 th Assembly in November 2021, NHC has included in its count all new housing units, whether completed or under construction, across the full housing continuum, regardless of whether they are built by NHC, private sector, not-for-profits, individuals, Inuit organizations, or other levels of government. NHC programs such as NDAP and NAHSI are designed to promote solutions that complement the public housing program.

To track progress on Nunavut 3000, NHC uses: • Verified annual data from the Office of the Chief Building Official (OCBO), • Building permits data for units under construction, and • Occupancy permits data for completed units. As of OCBO’s December 2024 report , 855 new residential housing units have been completed, or are under construction, since the start of the 6th Assembly. Also, an additional 134 supported housing beds have been completed or are in development. This represents approximately 98 percent of the Katujjiluta Mandate goal of 1,000 housing units.

Looking ahead, b ased on NHC’s planned builds and insights from community builders, an estimated 200 additional building permits are expected in 2025. This would bring the total number of units completed, or under construction, to approximately 1,189, or 40 percent of the overall Nunavut 3000 target of 3,000 units by December 2030. Strategic Partnerships and Collaboration NHC is actively fostering new collaborations and strengthening existing partnerships and engagements with key stakeholders and communities to accelerate housing development and expand access to suitable housing across the territory.

These efforts ensure Nunavummiut receive greater support and improved access to public housing. To pr omote innovation and partnerships , NHC hosted territory-wide Housing Forum s in 2023 and 2025 , bringing together stakeholders to explore solutions to accelerate housing supply in the territory. The first Housing Forum held in June 2023, was attended by over 200 participants, including developers, community housing organizations , representatives from government departments, Inuit Organizations, researchers, LHOs and municipalities.

The event provided a platform for participants to share their ideas for housing in Nunavut and build connections to drive accelerated housing. The 2025 Housing Forum continued the momentum, convening over 300 stakeholders, policymakers, and community members to address territorial housing challenges. This forum also featured a half-day worksh op for LHO representatives focused on service delivery training. The following

section outlines key partnerships and collaborations NHC have developed over the past several years.

24 | Page Local Housing Organizations NHC delivers public housing services across the territory in close partnership with LHOs . LHOs are independent, community -based organizations with their own governance structures, staffing, and financial systems. Through Management Agreements, LHOs play a central role in delivering core housing services — such as tenant intake, rent collection, maintenance, and unit allocation — in alignment with NHC’s policies and standards.

While LHOs are not legal agents of NHC, they serve as essential partners in the community-based delivery of housing programs across all 25 Nunavut communities. NHC values the vital role that LHOs play in supporting Nunavummiut and is committed to continuously strengthening these partnerships through improved communication, collaboration, and capacity-building.

Guided by feedback from stakeholders and the Office of the Auditor General, NHC is t aking proactive steps to enhance support for LHOs — such as providing standardized tools ( like the Operations Manual) , expanding training opportunities, and improving coordination. These efforts reflect a shared commitment to effective, accountable, and community-informed housing services. Nunavut Construction Corporation Development NHC has a 10 -year partnership with NCCD through a Master Supply Agreement to deliver public housing in the territory .

This collaboration is designed to support economies-of-scale, workforce development, and to streamline housing delivery. Each year, an Annual Allocation and Purchase Agreement is negotiated to determine the cost , location and construction target for housing projects in communities. The agreement is designed to mitigate th e inflationary cost overruns and

schedule delays commonly associated with traditional infrastructure delivery by allocating shared risk, integrating resources, applying best practices and pursuing larger volumes. In the first two years of the Partnership Agreement, NCCD was awarded 316 housing units (public and staff) with a total contract value of approximately $ 239M, reaching all 25 communities in Nunavut. Of these 316 housing units, 296 are public housing. This collaboration strengthens Nunavut’s construction sector, creating job opportunities, training pathways, and economic stability for Nunavummiut.

As part of its commitment NCCD delivers skills training each year in the communities where it builds houses. During the first three years of Nunavut 3000, 134 training opportunities were created for Inuit. To date, 75 trainees have completed the program and approximately 46 of those have secured employment with NCCD.

25 | Page Birchcliff Development LTD In 2025, Birchcliff Development Ltd. (BDL) in partnership with NHC completed the construction of 24 new affordable housing units in Iqaluit valued at $12. 8 million (approximately $585 per square foot). BDL had a strong focus on training and employment for Inuit, which was an important outcome of this project. This project was a direct outcome of the March 2023 Nunavut Housing Supply Challenge, hosted by NHC.

In June 2025, NHC signed a construction agreement for 46 new housing units in Iqaluit (mix of public and staff housing) valued at approximately $24.9 million (or $560 per square foot). These units will help to address the critical housing shortage in the city. Nunavut Arctic College and Arctic Fresh Projects In 2025, NHC announced its partnership with Arctic Fresh Projects (AFP) to deliver a pilot housing initiative that combines new housing construction with hands-on trades training for Nunavummiut.

Through this collaboration, NHC aims not only to increase public housing supply in Igloolik with the construction of three new duplexes, but also to build local capacity by supporting a student -led build model in partnership with Nunavut Arctic College (NAC). By integrating AFP’s construction management expertise with NAC’s “Nailed It!” trades training pilot program, the initiative will offer a practical, community -based learning experience for 20 to 30 participants.

This alternative pathway into trades emphasizes hands-on learning and mentorship, helpin g to reduce reliance on southern fly -in workers, strengthen Nunavut’s skilled labour force, and supporting long-term housing sustainability in the territory. The partnership reflects NHC’s commitment to innovative, collaborative approaches to housing development that empower communities while addressing urgent housing needs.

Nunavut Arctic College and Pewapun Construction A partnership between NAC and Pewapun Construction aims to build affordable housing in Nunavut, provide hands- on trades training for NAC students , and create employment pathways for youth. A pilot project in Rankin Inlet is scheduled to be completed in summer/fall 2025 and enables 20 NAC students to construct three duplexes (six units) for future student housing using modular construction materials supplied by Pewapun . NHC provides land and oversee s design and construction, while NAC supplies students, instructors and coordinates training.

Kitikmeot Inuit Association In 2024, NHC and the Kitikmeot Inuit Association launched the Nunavut Pathway to Homeownership Pilot Program to allow four selected families to rent a unit while participating in a financial literacy and homeownership skills training program. NHC owns the fourplex in Cambridge Bay being used in the pilot and the cost of homeownership

26 | Page training is covered through the Memorandum of Understanding (MOU ) with Kitikmeot Inuit Association. Once they complete the program, eligible participants will have the option to purchase a home, supported by a grant of up to $30,000. Modular Housing In 2023-24, NHC partnered with Sakku Innovative Building Solutions to build and install 22 public housing modular units across 11 communities. In 2024 -25, NHC partnered with RCM Group to deliver 34 units in 15 communities . The project helped accelerate housing construction and increase Inuit participation in the local housing supply chain.

In 2025, NHC is investing approximately $40M in modular construction to deliver 54 new housing units (for affordable public and staff housing) to the territory. These new housing units will land in ten communities: Arviat, Baker Lake, Cambridge Bay, Gjoa Haven, Rankin Inlet, Kugaaruk, Igloolik, Clyde River, Taloyoak, and Grise Fiord. Agnico Eagle Mines Limited In 2025, NHC and Agnico Eagle Mines Limited (Agnico Eagle) signed a one-year MOU to share strategic resources.

Agnico Eagle will cover the cost of marine shipping valued at approximately $2M for 20 new modular housing units, which NHC will purchase and have delivered by Agnico Eagle to Rankin Inlet and Baker Lake. Supported Housing Activities / Canada Housing Transformation Centre The Supported Housing Working Group is a collaborative initiative co- chaired by NHC and the Departments of Family Services, Health and Justice.

Its purpose is to expand housing options by developing supportive and transitional housing, while fostering collaboration among government departments and Inuit organizations to address the unique needs of Nunavummiut, especially vulnerable groups. In November 2024, NHC created the Supported Housing Capital Program, offering eligible projects up to $150,000 per affordable housing unit or $100,000 per single room occupancy for supportive housing developments. Funding is provided through a forgivable loan with a minimum ten-year term.

In 2023, NHC formed a partnership with Canada Housing Transformation Centre (CHTC) to strengthen and support Nunavut’s non -profit housing organizations. This partnership provides financial resources, training, and technical expertise to support community -led housing initiatives. A key outcome of this collaboration is the creation of the Nunalingni Piruqpaalirut (Growth in Our Land) Fund (NPF), which offers $1.3 million in funding to help organizations advance affordable housing projects. The NPF is designed to help organizations bring their community ideas and initiative s to fruition.

The NPF aims to increase the affordable housing stock, reduce homelessness, and leverage resources available to expand the housing continuum.

27 | Page NHC is also supporting a whole-of-government approach to accelerate community housing projects that support individuals who require assistance to live independently. To date the Fund has delivered a total of $425,000 for 8 projects and 11 more projects are currently under review or in progress. Nunavut Tunngavik Incorporated and the Nunavut Association of Municipalities Land for Homes Housing development depends not only on funding and construction but also on the availability of suitable land.

Through the Land for Homes Initiative, NHC partners with NTI and Nunavut Association of Municipalities (NAM) to quantify and consolidate information on available land and future land availability. This $2.3M project is funded by Canada Mortgage and Housing Corporation (CMHC) through its Housing Supply C hallenge and resulted in the development of a portal to share information on land supply, a tool to evaluate land for development and monitor land supply. The project was completed in April 2023.

Since then, NHC has adopted the portal and tool, called the Land Hub, and is piloting its use for evaluating and tracking land for future public housing builds. Land Planning Community Visits NHC is committed to engaging communities on housing projects. NHC has visited communities in Nunavut to strengthen relationships and learn about each community, including land readiness, barriers to development and municipal capacity.

One of the important outcomes of these visits was choosing land for public housing units to be developed in 2024, 2025 and 2026 , with an eye to ensuring any land or community readiness gaps were filled prior to ongoing development in 2027 and beyond. These visits also provided opportunities to have meaningful conversations about land and housing development challenges in hamlets, from both the LHO and hamlet perspective. Community conversations identified key themes and recommendations and resulted in NHC adjusting how it delivered the Nunavut 3000 public housing program.

The community visits also allowed NHC to share information with hamlets and LHOs about Nunavut 3000. Promotional material for Nunavut 3000 was left in each community for sharing with LHO board and staff, and Hamlet staff and Council members. Housing Accelerator Fund NHC supported 17 municipalities in Nunavut to make a submission to the Government of Canada’s Housing Accelerator Fund (HAF), which provided $27 million in funding to the

28 | Page communities to improve land readiness for housing development. The support that NHC provided to the hamlets occurred as a direct result of the 2023 community visits, where NHC heard about challenges regarding gravel, land administration capacity, administrative processes, and financial constraints for new infrastructure and other land development. NHC, in collaboration with the NAM, worked with any hamlet who required assistance in their HAF application. The funding application identified a series of initiatives geared toward making system changes to accelerate housing supply.

The hamlets, with the support of NHC resources and the expertise of NAM, were successful in securing funding. To assist the hamlets in actioning the initiatives, NAM established a collaborative effort for hamlets to work together to complete the necessary work to accelerate housing supply.

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Action Plan To ensure that NHC is responsive to the OAG report’s findings and proactive in anticipating future needs, an Action Plan has been developed and will be implemented to improve public housing delivery. NHC has outlined implementation steps and timelines for each action. A monitoring plan has also been developed with key performance indicators to support greater transparency and allow NHC to easily communicate on progress towards addressing recommendations in the OAG report. The following

section provides further details on the goals, actions, timelines and implementation steps in the Action Plan. NHC has identified three goals aligned to the three overall audit findings.

31 | Page Goal 1 NHC will support Nunavummiut to have equitable access to suitable public housing Action 1: Review the point-rating system used to prioritize public housing allocations and improve the system and process for rating public housing applications.

Timeline: 12-18 months Implementation Steps: • Establish a dedicated project team to review and update its point-rating system (PRS) design, policy, and guidelines, as necessary. • Consult with front-line workers and subject matter experts to understand the impact of the existing PRS. • Based upon the consultations, NHC will examine potential improvements to the PRS that promotes fairness and equity. • NHC will support the LHOs to implement the PRS using new Property Management Software within 18-24 months. • Provide staff training and conduct quality-assurance reviews to support accurate use. • Use the function of the new Property Management Software to monitor and review applications to test for point accuracy.

Action 2: Increase support for and oversight of the LHO allocation of public housing units to support consistency with government legislation, policies, processes and the Management Agreements between each LHO and NHC.

Timeline: 12-18 months Implementation Steps: • Provide more oversight and training to support LHOs in keeping proper documentation of public housing unit allocations by transitioning to the new Property Management System. • Review and update the current Management Agreement for any required changes. • Conducting reviews, testing and verification of allocations. • Use the functions within the new Property Management System to better monitor and track allocations.

Action 3: Support LHOs by providing guidance and clear communications on balancing transfer requests from existing tenants against new tenant applications to improve equitable allocation of housing units. Timeline: 12-18 months

32 | Page Implementation Steps: • Provide a framework and guidance to LHOs on the following: o Assessing and prioritizing applications for transfers and new accommodations to support fair, transparent, and consistent housing allocations o Priority levels amongst transfer applicants, including those requesting transfers for health and safety reasons, improved accessibility and/or urgent or large repairs that require a vacant unit. o Transfers for National Occupancy Standard accommodation requirements to maximize use of public housing. • Develop templates for LHO use Action 4: Develop standardized approach to public housing waitlists in all communities using the new Property Management System, to include information on Elders and persons requiring accessibility modifications.

Timeline: 18-24 months Implementation Steps: • Review and examine the existing standardization framework for Public Housing waitlists. The information should include data to capture public housing needs, including information on Elders and persons requiring accessibility modifications. • Consult with front-line workers and subject matter experts to seek feedback on a standardized approach. • Based upon the consultations, NHC will finalize a standardized approach that recognizes community specific needs and share it with all communities.

Action 5: Assess accessibility needs of public housing applicants and consider these needs in unit modification plans and future building Timeline: 18-24 months Implementation Steps: • Assign a project team to conduct a desktop study of currently unmet accessibility needs of Elders and persons living with disabilities. • Determine and establish a method for tracking, monitoring and resolving modification and accommodation requests by community. • Review allocation of accessible and barrier-free public housing units to support alignment with the Management Agreement.

33 | Page Action 6: Document the features of all accessible and barrier-free public housing units within NHC’s inventory to support equitable allocation of public housing units with these features Timeline: 12 months Implementation Steps: • Conduct a desktop review of its public housing inventory to identify all units with accessibility features, including barrier-free units. • Continue the implementation of its new Maintenance Management System and record the features of all accessible and barrier-free public housing units in the database. • Track all accessibility modifications to public housing units Goal 2 NHC will continue to manage and improve the adequacy of public housing Action 7: Improve management and analysis of public housing assets through better information management, including consolidating and integrating housing data, tracking condition ratings, accessibility, maintenance activities, leasing data and property values.

Timeline: Phase I – 12 months; Phase II – 12 to 24 months Implementation Steps: • The service request and preventative maintenance modules will be live in all 25 communities by fall of 2026. • Further modules, including asset planning and energy and sustainability are expected to be completed by fall of 2027. • Quality assurance processes, data validation and training plans for NHC and LHO staff are in place to support module completion. • Assemble project working groups to support and refine processes for module rollouts. • Allocation of a data analyst to support data extraction from legacy systems, report generation and data validation. • Assigning a central email for distribution of system and training information, as well as reporting concerns and requests for information. • Holding quarterly virtual training sessions for staff users.

Action 8: Continue to work with LHOs to meet their obligations under their Management Agreements

34 | Page Timeline: 12-18 months Implementation Steps: • Conduct a review of current reporting obligations under the Management Agreement and revise as required. • Continue to support the LHOs to meet the requirements of the Management Agreement. • Requesting, compiling and completing a district level review of all plans and progress reports.

Action 9: Improve the documenting and monitoring of preventative maintenance on public housing units Timeline: 12-24 months Implementation Steps: • Adopting an industry-standard, five-year rotational cycle for comprehensive building condition assessments (BCAs), and document BCAs in the Maintenance Management System • Continue to conduct mould assessments and mould remediations, as needed, to reduce any potential health risks. • Preventative maintenance activities will be logged and available to management for oversight and planning purposes, allowing effective use of the system, accurate data entry, and adherence to maintenance standards.

Goal 3 NHC will implement Nunavut 3000 and improve related reporting Action 10: Continue to improve on the clarity and consistency of progress reporting for Nunavut 3000 by releasing the number of housing units completed or under construction since the start of the 6th Assembly in November 2021 using third-party data from the Office of the Chief Building Official (OCBO). Timeline: Ongoing Implementation Steps: • Track housing statistics as reported by Nunavut OCBO. • Improve the clarity and consistency of progress reporting, including the rationale for any future adjustments to construction targets by community.

35 | Page Monitoring Progress To support transparency and improve accountability, a monitoring plan has been developed to align with the actions outlined in the Action P lan. For each action, a key performance indicator has been identified to support the NHC in monitoring progress. Goal 1: NHC will support Nunavummiut to have equitable access to suitable public housing Action 1: Review the point-rating system used to prioritize public housing allocations and improve the system and process for rating public housing applications.

Action 1 Key Performance Indicators: • Number of LHO applications reviewed and tested for point-rating accuracy by NHC • Number of LHOs that complete point-rating system training Action 2: Increase support for and oversight of the LHO allocation of public housing units to support consistency with government legislation, policies, processes, and the Management Agreements between each LHO and NHC.

Action 2 Key Performance Indicators: • Percentage of total reviewed LHO allocations that align with NHC guidelines • Number of incorrect allocation decisions investigated • Number of LHOs that complete training on allocations Action 3: Support LHOs by providing guidance and clear communications on balancing transfer requests from existing tenants against new tenant applications to improve equitable allocation of housing units.

Action 3 Key Performance Indicators: • Communications and guidance materials provided to LHOs • Number of NHC staff visits to communities to train LHOs • Percentage of suitably accommodated households (tenant leases) over total number of active leased units Action 4: Develop a more standardized approach to public housing waitlists in all communities using the new property management software, to include information on Elders and persons requiring accessibility modifications.

Action 4 Key Performance Indicator: • Number of communities with waitlists aligned to standardized approach to documenting accessibility needs of Elders and those with accessibility needs

36 | Page Action 5: Assess accessibility needs of public housing applicants and consider these needs in unit modification plans and future building Action 5 Key Performance Indicators: • Number of tenants (including Elders and persons living with disabilities) with unmet accessibility needs • Number of existing units with accessibility features identified • Number of new public housing units constructed that meet accessibility needs Action 6: Document the features of all accessible and barrier-free public housing units within NHC’s inventory to support equitable allocation of public housing units with these features Action 6 Key Performance Indicators: • Number of existing units with accessibility features identified • Number of tenants with unmet accessibility needs Goal 2: NHC will continue to manage and improve the adequacy of public housing Action 7: Improve management and analysis of public housing assets through better information management, including consolidating and integrating housing data, tracking condition ratings, accessibility, maintenance activities, leasing data, and property values.

Action 7 Key Performance Indicators: • Number of communities with phase one training on Maintenance Management software modules implemented • Number of communities with phase two training on Maintenance Management software modules implemented • Number of LHO staff trained on Maintenance Management software Action 8: Continue to work with LHOs to meet their obligations under their Management Agreements Action 8 Key Performance Indicators: • Number of LHOs in compliance with reporting obligations • Number of LHOs attending training sessions on Management Agreement obligations Action 9: Improve the documenting and monitoring of preventative maintenance on public housing units

37 | Page Action 9 Key Performance Indicators: • Number of mould assessments conducted • Number of mould remediations undertaken • Number of communities that have implemented the preventative maintenance module within the Maintenance Management software Goal 3: NHC will implement Nunavut 3000 and improve related reporting Action 10: Continue to improve on the clarity and consistency of progress reporting for Nunavut 3000 by releasing the number of housing units completed or under construction since the start of the 6th Assembly in November 2021 using third-party data from the Office of the Chief Building Official.

Action 10 Key Performance Indicators: • Number of public housing units in construction by community by year • Number of public housing units completed by community by year • Outline of how NHC is measuring progress towards Nunavut 3000

38 | Page Moving Forward NHC thanks the OAG for its performance audit and acknowledges the need to improve public housing delivery across Nunavut. NHC is committed to implementing the Action Plan and all ten OAG recommendations by working closely with LHO partners and supporting communities in identifying practical and locally informed solutions. The Action Plan will be rolled out in phases, with the majority of actions completed within 12 -18 months and the remainder implemented within 18-24 months. Throughout this process, NHC will prioritize stronger communication, accountability and transparency.

Progress will be monitored using the key performance indicators outlined in the monitoring plan, with public updates released annually to ensure Nunavummiut remain informed and engaged.