June 10, 2005
NTI looks at cutting
costs
"We're seriously
looking at restructuring the whole process"
GREG
YOUNGER-LEWIS
Inuit leaders will decide
this fall how they want to transform their central land claim organization into
a leaner, more independent, cost-cutting machine.
Nunavut Tunngavik Inc.
will consider completely overhauling the way they do business and provide services
to beneficiaries in order to bring down their perpetually increasing spending.
The NTI board of directors
discussed the need to tackle their on-going funding problem during a quarterly
meeting in Grise Fiord last week.
"This looks at how
we can best do our jobs for the beneficiaries," said NTI president Paul
Kaludjak. "We're seriously looking at restructuring the whole process,
looking at the operation of Nunavut Tunngavik overall.
"This has a long-term
focus, looking at what are we going to be like over the next five to 10 years."
The Nunavut Trust, NTI's
main source of funding, rejected the board's request for about $10 million beyond
their guaranteed annual budget increases, after their annual general meeting
last November. The money was meant for economic development projects, such as
replenishing the coffers of Atuqtuarvik Corp., their main lending agency.
Kaludjak said the board
and staff will review all their departments for ways to bring down annual costs,
to the point that they no longer have to request increased funding from the
trust.
NTI staff will detail changes
in a "Strategic Plan" for the 2006-07 fiscal year, to be presented
for approval at the board meeting in September. Delegates would vote whether
to accept the plan at the next AGM.
Kaludjak said it was too
early to say how services would be affected.
However, he said Nunavummiut
can expect staff to review $1.7 million in annual spending for NTI's communication
link to the communities, known as the community liaison (CLO) program.
The program employs officers
in each community to inform residents about NTI programs and events.
John Lamb, NTI's previous
CEO, warned the organization's leaders last year in his annual report that program
officers had provided "minimal" accountability to their spending since
2002.
Joe Kunuk, NTI's new CEO,
repeated the warning at last week's board meeting. He noted that regional Inuit
organizations wanted to do the program review themselves, but had failed to
do so.
While trimming expenses,
the NTI board will also look for ways to find other sources of revenue, besides
the Nunavut Trust.
A new NTI charity, called
the Qaujisaqtiit Society, has already started looking at getting new funding
from governments, foundations, and corporations. The added money will be spent
on NTI department budgets, regional Inuit associations, Nunavut Sivuniksavut,
Inuit Heritage Trust and Atuqtuarvik Corp.
Despite the on-going budget
crunch, NTI has increased payments to executive members and boosted the salary
of its president.
The board agreed to keep
the same base salary for its first and second vice-presidents, but gave the
current vice-presidents an "authorized merit payment" of three per
cent of their salary for their work between April 1, 2004 and March 31, 2005.
The president will receive
a raise, effective March 16.
According to the board,
the bonuses and raise are consistent with NTI's human resources policy. The
dollar amounts will not be released, until an annual report later this year.
A location has not been
chosen for the next quarterly board meeting, from Sept. 13-15.
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