Madam Chair, the purpose of the Loan Authorization Act is to authorize the government to make loans to municipalities. It is a requirement of the Northwest Territories Act that the lending of government funds be authorized by the Legislative Assembly.

This act is an annual act which, for the 1996-97 fiscal year, will provide the authority to lend up to a maximum of $3.7 million to municipalities. This amount represents a decrease of $5.4 million from the $9.1 million authorized for the 1995-96 fiscal year.

The municipalities that have identified a requirement for loans are: Fort Simpson, in the amount of $150,000; Hay River,$600,000; Iqaluit, $1 million; Norman Wells, $350,000; and, Yellowknife, $1.46 million.

The total of the identified requirements is $3.56 million, which has been rounded to $3.7 million. Thank you, Madam Chair.