A Yukon Party MLA is suggesting the Yukon government could lower the cost of purchasing land – if it wanted to.

Wade Istchenko, the MLA for Kluane, made that assertion last Thursday during question period.

“It comes as no surprise to Yukoners that the cost of land has increased, as well as everything else,” he said.

Several weeks ago, he wrote to Energy, Mines and Resources Minister John Streicker about the price of land sold by the government.

In his April 11 letter to Istchenko, Streicker said, “Land sold through the Rural Residential Land Application policy, used for people seeking land for their primary residence, cannot be sold for any less than the appraised value as per the Lands Act.”

However, Istchenko told the house, “The Lands Act actually allows for a fair amount of discretion to setting of land prices. In the minister’s confidential briefing note from last fall on land availability, it outlines how the government sets the price.

“It says that the Government of Yukon — and I quote: ‘… sells lots for a value between development cost and the appraised market value.’

“So, it clearly appears that there is an ability for the minister to set the price by regulation somewhere between the cost of development and appraised value,” Istchenko said.

“So, will the minister consider using the cost of development, instead of the appraised value, to make the land more affordable for Yukoners?”

The government stopped selling land at development cost many years ago, thus raising the prices for buyers.

Streicker said he has checked with his staff to see if he has the discretion Istchenko said he has.

“I will share with the member opposite that, when the letter came to me and the department provided me with the draft response, I asked them to go back and review it a few times, because I wanted to make sure,” Streicker said.

“So, I did already pose the question about whether this was a legislated requirement or not.

“But, sure, with respect to the request that is being posed here on the floor of the legislative assembly, I am happy to check back with the department again to see whether there is another possibility.

“At all times, we want to make housing more affordable for Yukoners,” he said. “So, if there is an avenue that is available to us, I would be happy to explore it.”

One of the reasons he asked his officials the question several times “is because the costs looked high,” the minister said

“When I asked what the difference was, it was that there had not been an appraisal in recent times, and I was told very specifically that it was a legislative requirement.”

Istchenko persisted.

“So, the Lands Act allows for the development of regulations to set prices at which land can be sold. Using market appraisal to set the value of raw land in rural Yukon is keeping prices high and it definitely limits the ability of Yukoners to access land and the ability for our communities to grow and create jobs,” he pointed out.

“What steps is the minister taking to ensure that land is available and affordable for Yukoners, especially those in rural Yukon?”

Streicker persevered with his answer.

“I asked for comparisons with other properties nearby, and I was given a map showing all of those over time. So, I actually did dive into this question.

“We are working at all times to find the lowest cost that we can for Yukoners, because we recognize that there is a crunch on housing,” Streicker said.

“We have invested very heavily. I believe that in this year’s budget alone, it’s $26 million in lot development — about half in Whitehorse and half in our rural communities.”