Thank you, Mr. Speaker. Today I would like to take you, this House, on a journey. Just imagine you dream of purchasing a brand new truck. You get yourself a job, start saving money, enough money to make a down payment on the vehicle of your dreams. After a few months, you have saved enough money to make the down payment, pay the registration and insurance. You are excited. You head off to the dealership and work out a deal that includes monthly lease payments for the next 60 months, and you have to make a final lump payment at the end of the 60 months. Then this vehicle is yours. You are happy and sign the agreement. On the years as the months go on, you enhance this vehicle, adding new tires, a stereo system, new windows. As the term of the lease is fast approaching, you are excited that you are close to owning this vehicle. All you have to do is make that final lump sum payment and the vehicle is going to be yours. Then you receive a letter in the mail from the company saying you need to renew the lease, and by the way, the last 60 months, the payments do not count for anything. You need to start making monthly payments forever. If you don't agree, you have to return the truck and make sure it was in the same shape as it was when you bought it. To make matters worse, you can't even go out and buy a new truck because this company now owns all the car dealerships. Just imagine how you would feel. I know I wouldn't be happy at all.
Well, I know you're thinking this would never happen, and why would the Member from Nahendeh be telling such a story. Well, Mr. Speaker, in my opinion, this is what's happening with the Department of Lands. In the Nahendeh where there is unsettled claim area, the residents feel this is happening to them as well. Mr. Speaker, a former constituent had a lease, a legal contract with the Commissioner of the NWT for 30 years, and 13 years ago, the lease was amended to an equity lease. The amendment revoked the standard five per cent review clause and added the following clause: “upon recent of payment in full of the total rental including any interest owned, annual rent of $1 per annum shall be considered as payment for the balance of the term.” Then the equity lease was sold to another constituent who thought that he could purchase the land without…I’m coming up to the end, Mr. Speaker, I seek unanimous consent to conclude my statement.
---Unanimous consent granted
Thank you, Mr. Speaker, and thank you, colleagues. Much to my surprise, the equity lease does not transfer the land fees simple, or the land in simple fees upon the payment of the total rental. To make things even more interesting, the constituent has to sign the new lease, and there isn't any more equity leases. Now so you need to apply for a new lease, which gives this person no equity. This newer lease will be ten per cent of the assessed value each year of the newer lease. In other words, the constituent has to pay the total assessed value of the property every ten years, which has gone up in price because of the home on this property. This constituent never gets any equity and keeps paying for the land over and over. Basically, it is rent, what is called, from what I understand. Unfortunately, if it was only one constituency or one constituent, it wouldn't as bad of an issue, but it's numerous ones in my riding. Mr. Speaker, this does not make any sense to me unless this government is looking at this way to keep revenue coming in our coffers. If this is the case, well done. Unfortunately, to me, it is mistreating our people, and why would anybody in their right mind wish to lease land and build a home here in the Northwest Territories? Mr. Speaker, later on, I will have questions for the Minister of Lands on this issue. Mahsi cho.
Masi. I just like to remind the public in the gallery that the cell phone use is not allowed in the gallery, and please shut them off. Masi. Members’ statements. Member for Yellowknife North.
