Thank you, Mr. Speaker. Today I will follow up from my Member statement I delivered on housing in Whati from February 24th.
Okay, I am concerned that the Housing Corporation is overassessing the value of homes, that the Housing Corporation is signing mortgage agreements with people that do not reflect the actual market value of the house. So people living in small communities already facing higher costs of living and less opportunity for employment and income struggle to pay off their mortgages in their lifetime.
When I questioned the Minister of Housing on these outstanding mortgages, the Minister indicated, I would like to deal with these files and try to close them up before the end of this government. Mr. Speaker, that is a very positive statement. However, the Minister also indicated that writing off any debts has to go through the procedures set in the Financial Management Act.
In this act, we can see the government follows a process through the Financial Management Board to write off Government of the Northwest Territories assets or debts or obligation owed to the government. There is also a process to forgive debts and obligations. Mr. Speaker, this standard of forgiving or writing off debts should apply to the longterm mortgages, housing arrears, as well as property taxes that are not likely to be collected or are financially unreasonable or unjust to the clients.
Mr. Speaker, we know other agency of government such as the Business Development Investment Corporation forgive debts. In a recent BDIC report, annual report, it states that the FMB may approve the forgiveness of debts of forgiven debts is removed from the financial management, but from the financial statement as the BDIC is no longer able to collect.
Mr. Speaker, over the last five years the BDIC removed $4.9 million from their financial statements in support of 21 businesses. I would like to see the Housing Corporation do the same.
According to BDIC annual report Mr. Speaker, can I have unanimous consent to conclude, please.
Unanimous consent granted
According to BDIC annual report, in 20162017 BDIC relieved five accounts totally $840,000. In 20172018, BDIC relieved nine accounts at $3.9 million. In 20182019, BDIC relieved four accounts totalling $420,000. In 20192020, BDIC relieved three accounts totalling $358,000. In 2021, no accounts were written off or forgiven.
Thank you, Member for Monfwi. Members' statements. Member for Yellowknife North.
