Thank you, Mr. Chairman and colleagues. The purpose of the Write-off of Assets Act, 1998-99, is to authorize the write-off of the granular program revolving fund assets 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.

The write-off being proposed in this act would not require an increase in appropriation. The write-off would be charged against Public Works and Services appropriations and will not result in an over expenditure to that department. This write-off is comprised of two components. The first is to reduce the book value of the granular material on hand to the actual surveyed value. The second one is to account for the deterioration of the value of the granular material where there is no market due to lack of requirement or protocol in material where the stock value is too small to monitor on a cost-effective basis, or whether the remaining material is contaminated.