Agreed.
Debates of March 2nd, 1998
Topics
Committee Motion 30-13(5): To Review The Income Support Program To Ensure Fairness And Equity
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 1261
Some Hon. Members
Committee Motion 30-13(5): To Review The Income Support Program To Ensure Fairness And Equity
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 1261
Committee Motion 30-13(5): To Review The Income Support Program To Ensure Fairness And Equity
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 1261
Some Hon. Members
Agreed.
Committee Motion 30-13(5): To Review The Income Support Program To Ensure Fairness And Equity
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 1261
Committee Motion 30-13(5): To Review The Income Support Program To Ensure Fairness And Equity
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 1261
Some Hon. Members
Agreed.
Committee Motion 30-13(5): To Review The Income Support Program To Ensure Fairness And Equity
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
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The Chair Vince Steen
Bill 9 is now ready for third reading, and I thank the Minister for appearing before the committee. As per direction from the committee, we will now proceed onto Bill 12.
Committee Motion 30-13(5): To Review The Income Support Program To Ensure Fairness And Equity
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 1261
Some Hon. Members
Agreed.
Committee Motion 30-13(5): To Review The Income Support Program To Ensure Fairness And Equity
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 1261
Committee Motion 30-13(5): To Review The Income Support Program To Ensure Fairness And Equity
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 1261
Committee Motion 30-13(5): To Review The Income Support Program To Ensure Fairness And Equity
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
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The Chair Vince Steen
Thank you, Mr. Krutko. There is a motion on the floor to report progress. Motion is not debatable. All those in favour? All those opposed? Thank you. The motion is defeated. Let us proceed with Bill 12. I will now invite the Minister responsible for Bill 12 to introduce the bill, please.
Committee Motion 30-13(5): To Review The Income Support Program To Ensure Fairness And Equity
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 1261
John Todd Keewatin Central
Mr. Chairman, the purpose of the Write-Off of Debts Act, 1997-98 is to authorize the write-off of the debts listed in the schedule to the act.
Pursuant to Section 24 of the Financial Administration Act, the write-off of government assets or debts exceeding $20,000 must receive Legislative Assembly approval.
Pursuant to Section 82 of the Financial Administration Act, the write-off of debts, owed to a public agency exceeding $20,000, must also receive Legislative Assembly approval. The write-off of debts, owed to the Workers' Compensation Board exceeding $50,000, must receive Legislative Assembly approval.
The write-off being proposed in this act will not require a new appropriation. The write-off will be charged against allowances for bad debts which were established in a departmental budget at the time it was determined that collection of the debt would be unlikely.
I wish to emphasize that the write-off of a debt does not relieve the debtor of the liability for repayment or mean that the government will not continue to attempt to collect the outstanding amount. Though continued reviews by my staff, future recovery of the debt still may be achieved. In addition, in the case of debts owed by companies, we track the principals of each firm for future credit references. Thank you, Mr. Chairman.
Committee Motion 30-13(5): To Review The Income Support Program To Ensure Fairness And Equity
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
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The Chair Vince Steen
Thank you, Mr. Minister. For the record, that was Minister Todd, Minister of Finance. I would now like to invite the chairman of the Standing Committee on Government Operations, Mr. Erasmus, for the committee's comments on the bill.
Committee Motion 30-13(5): To Review The Income Support Program To Ensure Fairness And Equity
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
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Roy Erasmus Yellowknife North
Thank you, Mr. Chairman. The Standing Committee on Government Operations reviewed Bill 12, Write-Off of Debts Act, 1997-98, at its meetings on February 23 and 24, 1998.
The committee would like to thank the Minister of Finance and his officials for presenting the bill.
This bill would authorize the government to write off more than $1.6 million in debts, and the amount is larger than in recent years. The majority of debts to be written off relate to monies owed to the Business Credit Corporation and the NWT Development Corporation. The Business Credit Corporation write-offs total $325,000 in loans, and the NWT Development Corporation write offs total $1.2 million shares and dividends.
Committee Members questioned the Minister about the details of these debts and about the circumstances under which the loans and investments were originally made. The Minister advised that the delegation of lending authority to the regions by the Business Credit Corporation has allowed greater scrutiny over business practices of borrowers. The committee was also advised that a formal structure does exist within the government to allow for the continued pursuit of payment for written-off debts, although the success rate is minimal.
The committee urges the Minister, particularly in view of the amounts involved, to ensure that practical efforts are made to collect payment on these debts.
Mr. Chairman, committee Members may have additional comments or questions on this bill during review in committee of the whole.
This concludes the report on the Standing Committee on Government Operations on Bill 12, Write-Off of Debts Act, 1997-98. Thank you, Mr. Chairman.
Committee Motion 30-13(5): To Review The Income Support Program To Ensure Fairness And Equity
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
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The Chair Vince Steen
Thank you, Mr. Erasmus. I invite Mr. Todd, if you would like to bring in witnesses?
Committee Motion 30-13(5): To Review The Income Support Program To Ensure Fairness And Equity
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
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John Todd Keewatin Central
I can do it from here, Mr. Chairman. Thank you.
Committee Motion 30-13(5): To Review The Income Support Program To Ensure Fairness And Equity
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
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The Chair Vince Steen
Thank you, Mr. Todd. I now open the floor to general comments on the bill from the Members. Are there any general comments? Does the committee agree to go clause by clause in review of the bill?
Committee Motion 30-13(5): To Review The Income Support Program To Ensure Fairness And Equity
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 1262
Some Hon. Members
Agreed.
Committee Motion 30-13(5): To Review The Income Support Program To Ensure Fairness And Equity
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 1262
The Chair Vince Steen
Thank you. In your green binder, Bill 12, Write-Off of Debts Act, 1997-98. Agreed?
Committee Motion 30-13(5): To Review The Income Support Program To Ensure Fairness And Equity
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 1262
Some Hon. Members
Agreed.
Committee Motion 30-13(5): To Review The Income Support Program To Ensure Fairness And Equity
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 1262
Committee Motion 30-13(5): To Review The Income Support Program To Ensure Fairness And Equity
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 1262
Some Hon. Members
Agreed.
Committee Motion 30-13(5): To Review The Income Support Program To Ensure Fairness And Equity
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 1262
Committee Motion 30-13(5): To Review The Income Support Program To Ensure Fairness And Equity
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 1262
Some Hon. Members
Agreed.
Committee Motion 30-13(5): To Review The Income Support Program To Ensure Fairness And Equity
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 1262
Committee Motion 30-13(5): To Review The Income Support Program To Ensure Fairness And Equity
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 1262
Some Hon. Members
Agreed.