REGIONAL

Terrace dropped out of the ‘Kitimat-Stikine
Regional District's Economic Development

Commission. But. a few maps and several

years later the smaller rural communities

home. -

have asked their big sisters to come back’

oy. Ten years ago the Economic Development |

Commigsion (EDC) was a more or less happy
little extension of the regional board. All com-
munities and.rural areas contributed to, and
participated in, “non-partisan” regional eco-

nomic projects, issues and plans. Behind this ~
front of happiness, however, was growing...’

_ marital strife. . | |

” As it eventually does in all relationships,
money became an issue. In fairness to all par-
‘ties and local politicians involved, however,

the federal government did in a sense apply -

the thumb screws in the early part of the last
-decade and this added to the stress:

In 1980 the federal government.con-.

tributed about $144,000 to an EDC budget

that was something around $160,000. ‘Of the —

balance, Kitimat. contributed 60% ($9,600),
Terrace about 16% ($2,560) and all others

_ Stewart, Telegraph Creek, and Kispiox,
Kitwanga and the Hazeltons) 24% ($3,840)..
_ These regional proportions, determined pri-

marily by the local economic base, remained ~

the same until the-divorce of 1983.

_ In 1981 and 1982 the federal contribution -
_ began to decline. Kitimat felt the pinch. Their”

share ‘of the total budget had grown from 6%

to 18% in just two years and the worst was ©

_yet to come. There were other factors, of
~ course, philosophical differences and local pri-
_ orities, but the net result was a letter from

Kitimat giving the prescribed one-year notice .

of secession from the EDC. They would do
economic development an their own, they
said” 00 |

_ In 1983 the EDC budget was around the
game, about $160,000, but included an even

smaller federal share. In 1985 there was nO".

- federal’ funding and the Economic
‘Development Commission budget dropped to
about $63,000. To date the EDC budget has

remained relatively static. Terrace eventually

dropped out in 1987.

Last year there was a minor political |

upheaval. The Economic Development.
Commission, which excludes Kitimat: and
Terrace, paid a share of a Highway 37 promo-
tional tourist map. Although the commission
was not responsible for printing the mans.

RECONCILIATION |

In the past decade first Kitimat; then . |

Kitimat quickly showed their annoyance

he “when it was discovered the name of their fair _ .

“* “eity was not included on a draft copy. ,

.- At the insistence of Kitimat, its name was - ,

. added as the southern terminus of the high- ©

_ way. But now some may be questioning why: | S
that was done. According to Les. Watmough,*) >
“Tf they don’t wish to join-us, there should be

_ some billing for them being.on that map. They °°) 2

said they would cost-share.”

_’ The same thing happened this year. But. fla
_ according to Stewart mayor Darlene Cornell, — .

Kitimat “couldn’t come up with the money, 50 -

Stewart paid”. And for that reason, “T think ~°
it’s best we invite them back to join us.” _

-. Tod Strachan — |

CHEAPER

| Although the Canadian ‘Mortgage and
Housing Corporation 5% down payment poli-

‘cy for home buyers seems to have gained big:

acceptance elsewhere in. the country, a local
bank manager believes the

B.C, government's ‘Mortgage |

Assistance Program (MAP) is

: - proving more attractive to buy-
(Greater Terrace, Thornhill, Nass Valley, |

ers'in this province.
Keith Federink, manager of

- the Canadian Imperial Bank of
~ Commerce Terrace branch, said
last week ‘that MAP financing

. is appealing because it-reduces’

the underwriting cost charged

_ by CMHC for its loan guaran-
tees. MAP allows home buyers ©

who haven’t previ-
ously used CMHC.
financing to qualify
for buying a resi-

Sheridan: in a market area like’
Terrace house payments can be

less than rent _
dence with a 5% |

down payment and provides the lender witha
$12,500 loan guarantee. Federink said that |

reduces the CMHC underwriting cost from
the normal 2% to 1%, making the program

appealing even to buyers who can afford more — ,

than the minimum 5% down payment. —- .
Gordon Sheridan, president of the

‘Northwest Real Estate Board, said realtors
“don’t keep statistics on how home buyers "

Gnance their purchases, but added that he is
sure the 5% programs have had some influ-.

ence on the local market. Sheridan said it
would be more effective in a market area like

- Terrace than it would be in high-priced mar-. . |

kets like Vancouver. “You can still buy a

house here for payments that are the same
amount or less than renting,” he remarked.