Darrell Greer
Northern News Services

NNSL (Mar 24/99) - The federal government has suspended financing to the Inuit Cultural Institute (ICI) in Rankin Inlet following an audit which showed its operations at a $79,000 deficit.

Bob Coulter, director of learning, employment and human resources for the Department of Northern and Indian Affairs, said his department has written to ICI and the mayors on whose behalf it provides service, indicating concern over the deficit and notifying the suspension of funding.

"We're seeking to work together to establish a financial management plan, with the ICI's cultural education objectives at the forefront, to address its current financial situation over a period of time," said Coulter. "We want to see the work of the institute continue, but we have to be satisfied it's in a fiscal position to do that."

ICI had been receiving $155,000 per annum in federal funding. Coulter said one thing his department wants to see in the financial plan is what ICI's current financial situation is.

"I haven't seen their books to know exactly what the ICI's deficit is. I don't want to jump to any conclusions or generalizations. I'm hopeful they will submit their financial plan and sit down with us to see what options are available," said Coulter.

"To our knowledge, the ICI enjoys the support of nine hamlets and, at this point, we have no evidence it's not meeting their aspirations for cultural education programming."

ICI executive director Norman Ford said it's up to the hamlets to support ICI for it to receive federal funding. Eight of the nine hamlets recently giving support are located in the Central Arctic, with Arctic Bay still lending support from the High Arctic Region.

Ford said a discrepancy on the actual amount of ICI's deficit has come to light, but the institute is taking steps to clarify the situation.

"The difference in the two sets of numbers, as far as the deficit we're under, came when the auditor declared our deficit at $79,000," said Ford. "But, when we looked at the statements that were done, we found there was a discrepancy of $40,000 due to a bookkeeping error. The money was never recorded in the revenue sector.

"We have an auditor who is going to come in and look at that year again and revise it. This audit will show us at a $39,000 deficit, not $79,000."

Ford said ICI is still looking for funds to keep going. He said its top priority is to clear its debt and look at other options to keep the institute alive.

"Right now, we're trying to make it until April 1 and then we'll be dealing with the Nunavut government and, hopefully, they'll have some money there. We already drafted our financial proposal to run until the year 2000 back in September and it was sent to all the hamlets and to Mr. Coulter.

"We'd really like to see the hamlets speeding up their processes a little so we know if they want to support us or not. They may be slow because of Nunavut planning, but we need to know what their intentions are if we're to continue."