Debates of October 26, 2004 (day 28)

Thank you, Mr. Speaker. Mr. Speaker, my questions today are for the Minister of Education, Culture and Employment, the Honourable Charles Dent. I outlined a story for him of a constituent of mine who has gone back to school and is faced with a $5,500 bill that is hanging over their head. I am just wondering what Education, Culture and Employment is going to do to try to address some of the students who face this situation that they didn’t quite meet the 60 percent mark, but they are still in school. They can understand that they are under suspension, but why don’t we call the dogs off on the $5,500 and allow them to continue their education? Thank you, Mr. Speaker.

Thank you, Mr. Ramsay. Minister of Education, Culture and Employment, Mr. Dent.

Return To Question 309-15(3): Fairness In Payment Of Student Financial Assistance

Thank you, Mr. Speaker. Mr. Speaker, when a person is enrolled in an approved institution, they are not required to make payments on the student loan as long as they are considered full-time under the typical requirements of the NWT Student Financial Assistance program. So if a person makes arrangements to continue on their schooling at their own expense, they would not be expected to repay the student loans, for instance, in the subsequent year. If, however, they haven’t made arrangements quickly enough, then the debt has been transferred to FMBS. Then Education, Culture and Employment can no longer have anything to do with the debt to this government because the debt has been transferred from Education, Culture and Employment to FMBS. Arrangements have to be made then with FMBS. I know that FMBS is prepared to consider token payments as long as the will is there to make good on the loan in the long run and there is a demonstration of good faith by the person who owes the money so that they are making what is $25 or $50 payments each month towards their outstanding debt. Thank you, Mr. Speaker.

Thank you, Mr. Dent. Supplementary, Mr. Ramsay.

Supplementary To Question 309-15(3): Fairness In Payment Of Student Financial Assistance

Thank you, Mr. Speaker. Yes, Mr. Speaker, in this instance, the debt has gone over to the FMBS and they are sending notices in the mail requesting payment of some kind. Even $50 a month for a student is a lot to pay, Mr. Speaker. I am just wondering again, FMBS and ECE not really working together. These are real people, Mr. Speaker, with real problems and each situation is unique. I think, as a department, we’re trying to send our students out to get an education and come back and be productive citizens and we need to find a way to be flexible. I know we have rules, I know we have policies that are in place, but we need some flexibility. I’m just wondering if the Minister is -- and I know there have been other cases like this, this is not a new issue -- prepared to have some flexibility in these situations. Thank you, Mr. Speaker.

Thank you, Mr. Ramsay. Mr. Dent.

Further Return To Question 309-15(3): Fairness In Payment Of Student Financial Assistance

Thank you, Mr. Speaker. As I indicated, in the policy, it is stated quite clearly on page 16 of the Student Financial Assistance Student Guide that if a student comes to SFA, says they’ve gone back to school full time, can illustrate by filling in form D, that the institution agrees they are enrolled in a full-time program, their loan is put on hold. Now, if that hasn’t happened, if the student doesn’t work with the department on a timely basis and the debt gets to be somewhat old, it gets transferred over. It’s quite clearly set out in the program guides that this is liable to happen. So students have to be aware that this is a potential and as long as they’re working with SFA, they can keep things within Education, Culture and Employment. I believe that right now the system does accommodate individuals who are prepared to work with us. Thank you, Mr. Speaker.

Thank you, Mr. Dent. Supplementary, Mr. Ramsay.

Supplementary To Question 309-15(3): Fairness In Payment Of Student Financial Assistance

Thank you, Mr. Speaker. I’m just wondering, if a student who is at university or college in the South and on their own ticket, paying their own way because they’re on suspension, having the FMBS debt of $5,500 hanging over their head, if they come back to the North next summer and work and then go back to school and they’re reinstated in SFA, what happens to that $5,500 debt that FMBS has over their head. Does ECE go back to FMBS and get that back? How is that all worked out if one doesn’t really know what the other one is doing? Thank you, Mr. Speaker.

Thank you, Mr. Ramsay. Mr. Dent.

Further Return To Question 309-15(3): Fairness In Payment Of Student Financial Assistance

Thank you, Mr. Speaker. No, once you owe the money, you owe the money. So that money is not going to be forgiven, it will have to be recovered. FMBS is not going to forgive it either. The student will have to pay that money back because it represents monies that were paid out that they should not have received in the first place. So that becomes a debt to the government which is going to be recovered. FMBS has demonstrated on numerous occasions that they are willing to be very flexible with people who owe this government money when they’re involved in programs to better themselves or making productive choices. So I’m quite confident that FMBS would continue the arrangements as long as the person remains a student. Thank you, Mr. Speaker.

Thank you, Mr. Dent. Your final supplementary, Mr. Ramsay.

Supplementary To Question 309-15(3): Fairness In Payment Of Student Financial Assistance

Thank you, Mr. Speaker. So, Mr. Speaker, what the Minister is saying is if the student goes back to school -- and let’s say they become a lawyer or a doctor -- this $5,500 is never remissible because they missed a deadline. They’ve gone to school here their entire life, K to 12, and they come back to the Northwest Territories as a lawyer or doctor and the government won’t remiss a $5,500 payment because they missed a date. Is that what the Minister is saying? Thank you, Mr. Speaker.

Thank you, Mr. Ramsay. Mr. Dent.

Further Return To Question 309-15(3): Fairness In Payment Of Student Financial Assistance

Thank you, Mr. Speaker. No, I wasn’t saying that at all. I’ll say again what I said. That $5,500, the way the Member laid it out, was paid to someone who should not have collected the money; therefore, they owe that money back no matter what. They would never qualify for remission even if they had contacted SFA to have it put on hold for a while. It would always have had to be paid back. Thank you, Mr. Speaker.