Clause 6.
Debates of April 7th, 1995
Topics
Bill 20: Loan Authorization Act, 1995-96
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 909
Bill 20: Loan Authorization Act, 1995-96
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 909
Some Hon. Members
Agreed.
---Agreed
Bill 20: Loan Authorization Act, 1995-96
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 909
Bill 20: Loan Authorization Act, 1995-96
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 909
Some Hon. Members
Agreed.
---Agreed
Bill 20: Loan Authorization Act, 1995-96
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 909
Bill 20: Loan Authorization Act, 1995-96
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 909
Some Hon. Members
Agreed.
---Agreed
Bill 20: Loan Authorization Act, 1995-96
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 909
Bill 20: Loan Authorization Act, 1995-96
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 909
Some Hon. Members
Agreed.
---Agreed
Bill 20: Loan Authorization Act, 1995-96
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 909
Bill 20: Loan Authorization Act, 1995-96
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 909
Some Hon. Members
Agreed.
---Agreed
Bill 20: Loan Authorization Act, 1995-96
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 909
Bill 20: Loan Authorization Act, 1995-96
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 909
Some Hon. Members
Agreed.
---Agreed
Bill 20: Loan Authorization Act, 1995-96
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 909
The Chair Tony Whitford
Thank you. Does the committee agree that Bill 20, Loan Authorization Act, 1995-96, is ready for third reading?
Bill 20: Loan Authorization Act, 1995-96
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 910
Some Hon. Members
Agreed.
---Agreed
Bill 20: Loan Authorization Act, 1995-96
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 910
The Chair Tony Whitford
Bill 20 is now ready for third reading. I would like to take this opportunity to thank the Minister and his witnesses for assisting the committee. What is the wish of the committee?
Bill 22: Forgiveness Of Debts Act, 1994-95
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 910
The Chair Tony Whitford
Bill 22, Forgiveness of Debts Act, 1994-95. Is the Minister responsible for the bill prepared to introduce the bill to the committee? Mr. Pollard.
Minister's Introductory Remarks
Bill 22: Forgiveness Of Debts Act, 1994-95
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 910
John Pollard Hay River
Mr. Chairman, thank you. The purpose of the Forgiveness of Debts Act, 1994-95 is to authorize the forgiveness of certain write-offs listed in the schedule to the act. Pursuant to section 25(1) of the Financial Administration Act, the forgiveness of a debt or obligation exceeding $1,000 to the government and most boards and agencies must receive Legislative Assembly approval. When a debt is forgiven, no further collection action shall be pursued. The forgiveness being proposed in this act will not require a new appropriation. Allowance for doubtful accounts appropriations were affected at the time it was determined that collection of the debt was considered unlikely.
Even though an account is written off, Financial Management Board Secretariat government accounting still pursues collection action against the debtor. In the files that have been identified for forgiveness, it is determined that collection of the debt is no longer possible. Mr. Chairman, a large component of the accounts being forgiven are bankruptcies, negotiated settlements and unsubstantiated debts. The number of accounts being forgiven this year is significant, due to the fact that the last forgiveness act was for the year 1988-89. A review of the write-off files is being conducted on an ongoing basis. To date, these files have been identified for forgiveness. Thank you, Mr. Chairman.
Bill 22: Forgiveness Of Debts Act, 1994-95
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 910
The Chair Tony Whitford
Thank you, Mr. Minister. Is the chairman of the Standing Committee on Finance prepared to make his comments? But before I turn to you, I noticed Mr. Dent had his hand up. I would like to take this opportunity to recognize in the gallery, the Honourable Ethel Blondin-Andrew, Member of Parliament for the Western Arctic.
---Applause
Here we are, now wasn't that worth the wait, Mr. Dent? The chair recognizes Mr. Dent.
Standing Committee On Finance Comments
Bill 22: Forgiveness Of Debts Act, 1994-95
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 910
Charles Dent Yellowknife Frame Lake
Certainly, Mr. Chairman. I have the report on behalf of the Standing Committee on Finance.
Mr. Chairman, the Standing Committee on Finance reviewed Bill 22 on April 5, 1995. Members discussed the bill and agreed that it should be moved into committee of the whole for further discussion and action.
The total amount of the debts being forgiven by this bill is substantial, over $1.25 million. Standing committee Members understand that many of these losses were the result of bankruptcy or negotiated settlements with debtors and that the amounts are unrecoverable.
However, Members may have some questions regarding some of the items in this bill and we'll take this opportunity to raise them with the Minister. Thank you, Mr. Chairman.
Bill 22: Forgiveness Of Debts Act, 1994-95
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 910
The Chair Tony Whitford
Thank you, Mr. Dent. Mr. Minister would you like to take the witness stand. Will you need some assistance with other member of your department to deal with this matter?
Bill 22: Forgiveness Of Debts Act, 1994-95
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 910
John Pollard Hay River
If I might, Mr. Chairman.
Bill 22: Forgiveness Of Debts Act, 1994-95
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 910
The Chair Tony Whitford
Does the committee agree than that the Minister take the stand and bring in witnesses?
Bill 22: Forgiveness Of Debts Act, 1994-95
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 910
An Hon. Member
Agreed.
---Agreed
Bill 22: Forgiveness Of Debts Act, 1994-95
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 910
The Chair Tony Whitford
Thank you. Mr. Sergeant-at-Arms, would you help the Minister.
Welcome, Mr. Minister. Would you please introduce you witness to the committee.
Bill 22: Forgiveness Of Debts Act, 1994-95
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 910
John Pollard Hay River
Thank you, Mr. Chairman. I have with me Mr. Lew Voytilla, the secretary to the Financial Management Board. Thank you.