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UQSUQTUUQ/GJOA HAVEN
The Hamlet of Gjoa Haven is faced with tough decisions as it works to eliminate its deficit but the community's mayor said they are "very committed" to get back on their feet.

Hamlet council voted in September to operate on a five-year deficit-recovery plan, which was developed in conjunction with the Department of Community and Government Services and hamlet council.

When asked how far into deficit the hamlet has gone, Mayor Allen Aglukkaq only said the deficit is in the five-digit range.

"We're making progress and expect to be operating out of the deficit in two years," he said.

Some people will lose their jobs to save the hamlet money, he added.

"We have programs, like water and sewer services, that are costing us hundreds of thousands of dollars more than we receive," said Aglukkaq. "The hamlet council will look for various ways of balancing the finances ... (for) water and ... sewer. This may include increasing the water and sewer rates for individuals and business."

As the interim director of finance, Gord Dinney provides the mayor and council with any financial information they may need to make decisions to get the hamlet out of a deficit. This includes identifying areas where the hamlet may be over-spending. The hamlet has been running a deficit "for some time," but will get out of the situation within a couple of years, he said.

"It won't take five years. It will take a couple of years," he said. "We're moving in the right direction. Things are changing and things are improving. Having a deficit creates a negative feeling amongst people."

Many reasons could explain why the hamlet developed a deficit, said Dinney, including spending more than the hamlet is taking in and not charging enough for services. He added it's important for the hamlet to keep a close watch on its finances.

"The hamlet has financial resources available to it," said Dinney. "It's really a matter now of directing those financial resources in the right direction so we have the equipment and manpower to provide proper water, sewer services and other services the people in the community depend on."

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