- In October 2016, the Makivvik Board of Directors created a “Makivvik Structural Review Committee” to research and analyze the feasibility of creating an Inuit Development Corporation owned by Makivvik.
- The Committee reported back to the Makivvik Board of Directors in February, 2017. The three main recommendations from the Committee were:
- In order to improve Makivvik’s business operations and improve its ability to take greater advantage of new business opportunities – Makivvik should create a separate business development arm.
- Decisions must be made on clear business fundamentals set apart from any political considerations.
- Makivvik should create a new corporate entity which would hold all of the voting shares in Makivvik’s wholly owned subsidiaries, and with the power to represent Makivvik in non-wholly owned subsidiaries and joint ventures.
- The Makivvik Board of Directors unanimously approved the recommendations of the Makivvik Structural Review Committee and authorized the committee to implement its recommendations and create a Development Corporation to manage and oversee Makivvik’s interests in its wholly owned subsidiaries and joint ventures
- The creation of an Inuit owned “Development Corporation”, fully owned by Makivvik, would be consistent with the political and business models in the three other Inuit land claim regions of Canada. The Inuvialuit have the “Inuvialuit Development Corporation”, Nunavut has “Nunasi Corporation”, and the Nunatsiavut region has the “Nunatsiavut Group of Companies”.
- As in the other Arctic regions, the creation of a separate business entity from Makivvik is intended to improve the decision-making process as well as to improve Makivvik’s ability to take advantage of business opportunities.
- Objectives of the new Development Corporation include:
- To manage and oversee Makivvik’s existing and future wholly-owned and non-wholly owned subsidiaries and joint ventures.
- To create, invest in, operate and manage active business investments that are compatible with the visions and goals of Makivvik.
- To the extent possible, support Makivvik’s mandate through job creation and employment opportunities for Makivvik beneficiaries in the Nunavik region and/or contribute to improving the quality of life in Nunavik communities or the region as a whole.
- To ensure that all of Makivvik’s business investments managed by the Development Corporation have a reasonable expectation of making profits and that they provide Makivvik with an annual cash return on its investment.
- To pursue all potentially profitable business ventures in the Nunavik region on a competitive basis, and make reasonable efforts to collaborate on joint ventures with local or regional entities.
- In February 2017 Makivvik announced its intention to create a new business development corporation. At the Makivvik Annual General Meeting in March 2017 a competition to choose an Inuktitut name was announced. The Makivvik Board of Directors selected “Nuvviti Development Corporation” in early June. It means, “the strong thick rope where all the leads from the dog team connect to the qamutik.”
- The creation of Nuvviti Development Corporation brings with it important new responsibilities for Makivvik’s Board of Directors, new Director positions on the Nuvviti Board, and new Director positions on the First Air and Air Inuit Boards, as follows:
- Makivvik’s Board will appoint the six Nuvviti Development Corporation Board Members according to established criteria, and make recommendations regarding the three James Bay and Northern Quebec Agreement (JBNQA) Beneficiaries appointed to the First Air and Air Inuit Boards.
- The Nuvviti Board is responsible for selecting and appointing Nuvviti’s senior management; to sit as Board Members on all subsidiaries and joint ventures, except First Air and Air Inuit; to appoint the six-member Board for First Air and Air Inuit according to established criteria; and the Nuvviti President will sit as a non-voting member on all subsidiary Boards.
- The Subsidiary company Boards are responsible for selecting and appointing the senior management (CEO “Chief Executive Officer”), VPs (Vice-Presidents), CFO (Chief Financial Officer) etc. The President and CEO of the subsidiary company must keep the DevCo President and CEO well informed on the day-to-day operations of the subsidiary company.
- The structure of the Boards of Directors for Nuvviti, First Air, and Air Inuit will be as follows:
- Three JBNQA Beneficiaries with business experience, who are not Makivvik employees, nor members of the Makivvik Board of Directors.
- Three individuals independent from Makivvik, not members of the Makivvik Board of Directors, with both business experience and a professional designation, who may or may not be a JBNQA Beneficiary.
- The members of the new Boards were announced on June 26th, 2017. On June 27th, all the new board members gathered for a daylong seminar to meet each other, the Makivvik President and Executives, and senior staff from Makivvik and subsidiary companies. Presentations were made on the history of Makivvik, the signing of the James Bay and Northern Quebec Agreement, and each of Makivvik’s subsidiary companies.
- The Nuvviti, First Air, and Air Inuit Boards held their first official meetings on June 28, 2017. One of the first orders of business for Nuvviti was to select new Boards for Makivvik’s other subsidiary companies – Halutik Enterprises, Kautaq Construction, Nunavik Geomatics, and joint ventures NEAS Group, Unaaq Fisheries, and Tarquti Energy.
- In July 2017 the Nuvviti Board made the following appointments as officers of each of Halutik Enterprises, Kautaq Construction and Nunavik Geomatics, namely:
Steve Roussel – President
Sammy Duncan – Secretary/Treasurer
Sammy Duncan – President
Duncan Dee – Secretary/Treasurer
Michael Cameron – President
Michele McKenzie – Secretary/Treasurer