North Island Kwakwaka’wakw Region

A LOOK AT ECONOMY AND OPPORTUNITY IN THE REGIONAL DISTRICT OF MOUNT WADDINGTON

by Angela Smith

The North Island, the Regional District of Mount Waddington , the Kwakwaka’wakw Territories are inarguably one of the most picturesque, geologically and ecologically diverse, regions in world. At the end of Highway 19N, beyond the reach of Doplar Weather Radar, the region’s humid skies are often categorized and broadcast as “Rain for Port Hardy” on the forecast, while receiving less average rainfall than Port Alberni, Gold River, Tofino, North Vancouver, Hope, Haney, and Squamish. (Climate and Seismic Info for Building in B.C., Gov.B.C., 2023) The reputation of being one of the rainiest places on the planet is just one of the many misconceptions about the region which actually gets its fair share of sunshine and is rich in natural resources and rural culture.

By carrying a raincoat and through adaptation to changing economic, social, environmental, and cultural landscapes, the North Island’s business owners and workers have long been invested in their own survival and community vitality. These people can be defined as both grassroots champions of circular economies and change agents, it’s easy to see for anyone who looks that community development takes more of a personal slant up here. In reports compiled by professionals outside the region, economic markers such as statistically stagnant growth, sluggish investment, and low housing starts would lead one to believe that the economy of resource dependent communities are rapidly on the decline. This perception may or may not be true, but sadly exists on the heels of decades of centralization of resources where these resource extraction regions have contributed pound-for-pound more than their fair share to provincial coffers and to urban development. Communities synonymous with forestry such as Port McNeill, forest company-borne Woss, and previously pulp mill-centric Port Alice have seen their share of adversity in these conditions, yet the communities remain on the map with vibrant cores and little in the way of rental vacancies or property for sale.

These hallmark communities alongside seven other non-indigenous communities and 17 First Nations of the region are inhabited by people invested in equity, connection, and reinvention. Recent reinvestment into the region through Government funded stimulus through programs like Rural Economic Diversification and Infrastructure Program (EDIP) and the impact of investment by Island Coastal Economic Trust notably help support communities in transition, funding small anchor projects such as a Gas Station in the community of Quatsino and the Rural Business Advisor program in Port McNeill. In Quatsino Sound and the Quatsino traditional territory there are major projects focused on the environment and transitioning from the past, such as the BHP Mine Site Reclamation of North Island Copper and the reinstatement of the Neucel Pulp Mill site occurring under supervision of Price Waterhouse Cooper and the Government of British Columbia. Concurrently in shared territory, NorthIsle Copper and Gold Inc. continues to explore development of one of the most promising copper gold porphyry deposits in Canada. (www.northisle.ca) It’s among these complexities and legacies of the past and the opportunities of the future that businesses of all sizes work to find lily pads to jump to in order to keep their organizations and communities alive quarter-to-quarter.

While diversification is slowly occurring, the foundational natural resource economies of fishing and forestry continue to face the largest of challenges. Economic indicators for these sectors show declines related to inflation, employment, succession, and policy changes. (Western Investor, September 29, 2023.) While entrepreneurs in the region continue to strive to find ways to keep employees working and the community thriving, local Government is attempting to do the same. Balancing the complexities of an aging workforce and succession in a downsizing industry is a challenge that the Vancouver Island North Training and Attraction Society (VINTAS) continues to explore, bringing together all sectors in discussing labour market partnerships and sustainable development planning in a time of uncertainty around investment. (www.myvancouverislandnorth.ca) A visit with local leadership in any North Island community would find you in a room full of determined people well acquainted with challenging times and full of suggestions on how to support small rural communities. They would tell you where there are challenges there are opportunities, and investing into rural communities is an investment into the future, and into the ‘new luxuries’ of space, fresh air, and clean water.

Within the evolving economy, First Nations and their EcDev corporations are demonstrating the most robust economic activity in the region. K’watsi Economic Development Corporation (KEDC) continues to operate the Kwa’lilas Hotel in Port Hardy, a construction company, a robust marine operations division, and a cold storage facility amongst other things. ‘Namgis Business Development Corp. (NBDC) have invested in tourism, owning and operating Alert Bay Cabins, green energy through Kwagis Power, Atli Chip plant, a driving school, and facilitate other notable investments. Orca Sand & Gravel continues to remain a focal point of the region and a successful part of Kwakiutl and ‘Namgis EcDev portfolios. Each community is managing aspects of their marine and forest resources, with innovative joint ventures in every sector. These investments make a remarkable impact in a region where there are approximately 12,000 people stretched across 20,000 square kilometers of rugged landscape, remote shorelines, and resilient communities.

Aquaculture continues to show some stability and growth in the region, with new opportunities for innovative closed containment at-sea aquaculture, kelp harvesting, and other types of lower-impact, ocean-based food production complimenting the traditional open net pen farms operating in segments of the area.

The region hosts extensive employment opportunities in healthcare, the social assistance sector and in public service as the boomer demographic ages out of the workforce, leaving many high paying careers open for advancement. It’s the perception of the region’s leaders that innovation in the rural health care system can be trialed effectively in small communities, where impacts of new systems and programs are easily evaluated.

The development and manufacturing sectors continue to have less growth than other regions of the island. Construction starts are proportionately low although the build of a new McDonald’s in Port Hardy feels promising for the region. Skilled labour and trades continue to be in demand, with those who are in the industry reporting long wait times for their clients and an abundance of work. Large infrastructure projects that are slated to occur in the region are viewed as critical to local business, and there continues to be a push to support employment through preferential hiring of local businesses on any government associated projects. Broader governmental support in this area is the most innovative action that can be taken in supporting our communities in transition.

In professional fields such as tech, green energy and finance there continues to be small growth indicators in the wake of the shakeups in the resource sector. Rural and remote transportation infrastructure continues to limit community development, along with affordable housing and affordability in general, but those factors are common in rural British Columbia and are not a defining feature of the region. There continues to be additional housing strain in communities such as Sointula, where an idyllic way of life has resulted in an influx of non-resident home ownership as people take advantage of the opportunities and property prices afforded by rural places. As for relocation of aging people, it remains questionable if this is a place of growth, as health care continues to be one of the more notable issues in rural community development (RDWM Housing Needs Report, 2020). In addition to access to care, in Mount Waddington solving issues related to seniors housing is the lynchpin to solving a large part of the housing crisis. Census numbers indicate that seniors need spaces so they can move out of family housing and into appropriately sized units with lesser maintenance. The North Island Seniors Housing Foundation in Port Hardy has been working for nearly a decade to plan their way out of this situation but have faced issues related to development costs and affordability. In this complex environment the Ministry of Health invested an additional $30 million to the region in 2023 to support some of the most urgent need areas, and yet the Emergency Room in Port Hardy remains subject to overnight closures indicating the problem is far from solved with seniors and the most vulnerable continuing to shoulder a disproportionate risk.

On a positive note, as our communities continue to evolve, we see incremental growth in the service sectors of hospitality and tourism, retail, food production and more. The North Island Farmers and Artisans Market continues to show year on year growth, with families demonstrating efforts in sustainable development through side hustles and micro business. This work bolsters the region’s impressive and growing wilderness tourism sector. For three months of the year there is little-to-no hotel occupancy available in the region as people travel internationally to take in the experience afforded by nature. High operational overheads and a short operating season continue to be the predominant challenge in the sector as work continues to push shoulder season travel and off-peak experiences to round out the summer successes.

In the North Island, the limits of development do leave us with opportunities to explore wild sandy beaches by ourselves, to be the only people at the fishing hole, and to know the sound of silence outside each door in the region. It’s a place where your neighbour is also the hockey coach and your lawyer. The people and communities of this area remain open for business and investment, albeit best suited for those with an inkling of the rewards of living off the beaten path.