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Hamlet owed $475,000 in utility bills

Jorge Barrera
Northern News Services

Rankin Inlet (July 04/01) - Some people with outstanding utility bills will be taken to small claims court if they do not pay up, according to an official with the hamlet of Rankin Inlet.

The hamlet is owed around $475,000 in unpaid land leases and water and sewer bills.

Ron Roach, senior administrative officer, says 30 to 40 per cent of the outstanding bills are more than two months overdue.

"We're taking a number of people to small claims court," he said.

Roach said the outstanding bills hurt the hamlet's ability to operate efficiently, compounding problems brought on a growing population and stagnant funding from the Nunavut government since 1996.

The hamlet receives $1.1 million in regular funding a year plus $110,000 to cover fuel and power increases from the government.

"The money we get is definitely not enough but unfortunately we have to live with it," said Roach.

"If people paid for municipal services, the hamlet would provide better services," said Roach.

Unpaid bills were a major factor in a $2.2-million budget deficit discovered last year. The hamlet's finances were in disarray, many of the invoices did not even get sent out.

Rankin Inlet collects 20 per cent of its budget through service rates and territorial government foots the rest.

The problems started in June 1998, when management changed and the financial officer position remained empty for five months.