GNWT correspondence reviewed at Monday's council meeting indicated that the Fort Simpson wouldn't be getting all the government funding it is seeking.

Another GNWT letter stated that the village must continue to maintain the access road to Wild Rose subdivision, at great expense.

A third dispatch from the GNWT confirmed that Fort Simpson will have to pay for recreation centre heat.

"If they're going to keep cutting us and cutting us ... we should take a look at returning to hamlet status here," Coun. Duncan Canvin said.

"We can't just sit by begging for nickels and dimes."

Canvin said a plebiscite asking residents to choose hamlet or village status should be held in conjunction with the October election.

"I'll second that motion," Coun. Sean Whelly said.

By becoming a hamlet, Fort Simpson -- which is currently a taxed-based municipality -- would benefit from lower property taxes. However, those taxes would be accrued to the GNWT.

A hamlet would receive less annual funding than the village currently does.

As well, a hamlet council would forfeit some decision-making power to the territory's Municipal and Community Affairs (MACA) department.

Senior administrative officer Bernice Swanson noted that ministerial approval would be required for such a crucial step.

Deputy Mayor Bob Hanna warned the GNWT could scuttle any attempt to revert to hamlet status by firing the entire village council, much like it did with the NWT Power Corp. board.

"I think it's a waste of time to even consider it," he said.

Mayor Tom Wilson, who arrived late to Monday's meeting, announced that he just had a positive meeting with the deputy minister of MACA while in Yellowknife earlier that afternoon.

Speaking after Monday's meeting, Wilson said he's been trying to make the territorial government understand Fort Simpson's financial position so the village can avoid going back to hamlet status.

He also has been listening to the government's message about its limited financial resources and how municipal governments must be fiscally responsible.

"It's not like we're lavishing here and there and spending (our funding) on frivolous things," said Wilson.

The issue is to be discussed further at Monday's committee-of-the-whole meeting.