Jenkins, Duncan disagree on debt to Dawson City

Updated by Dan Davidson from a story by Jason Small

Whitehorse Star, April 21, 2004

No one has any idea why the MLA for the Klondike, Minister of Health Peter Jenkins seems to think that he owes the City of Dawson $450,000.

That is the number that Jenkins

cartoon by Graham Everitt

himself gave out when interviewed by Jason Small of the Whitehorse Star on April 21.

The interview came after Liberal leader Pat Duncan raised the matter of Jenkins’ debt to the town along with his hotel’s outstanding debt to the territorial government.

“Now we learn that the MLA for Klondike also owes the City of Dawson money as well — a double debtor, if you will, Mr. Speaker,” said Duncan.

“Will the minister ensure that the MLA for Klondike pays what he owes the City of Dawson or will there be special arrangements made for these receivables?”

Minister of Community Services, Glenn Hart, did not answer the question.

When asked about the debt after question period, Jenkins denied owing anything to the town.

“There’s no debt owed from our firm to the city,” Jenkins told the Star.

However, Jenkins then said his company wasn’t listed on the town’s list of debtors except for “a gross amount that is on the financial statements”.

“It’s an obscene amount that’s reflected on the financial statements.”

Jenkins said the total is about $450,000, which he disagrees with.

Former mayor Glen Everitt disagrees with it to, saying that the real amount is somewhere in the vicinity of $4500, most of it for cable television debts owed to the town.

Jenkins said part ­ $1,500 ­ came from commissions expected by the town for rooms at the Eldorado Hotel which were booked for a Federation of Canadian Municipalities conference a couple of years ago. Jenkins argued his hotel didn’t get as many of the rooms booked as the town claims it did.

Regardless, the Star noted, “Jenkins refuses to pay the money the town claims he owes.”

Yukon Placer Implementation Steering Committee On Schedule

WHITEHORSE (April 23, 2004) ­ The Yukon Placer Implementation Steering Committee met with Fisheries and Oceans Minister Geoff Regan yesterday in Ottawa. The committee is updating Regan on the progress it has made in preparing a framework for new placer mining regulations.

Energy, Mines and Resources Minister Archie Lang sits on the committee, which was formed last June. At that time, the Council of Yukon First Nations, Yukon government and Fisheries and Oceans Canada (DFO) signed a record of agreement (ROA) to work towards a consensus on a new regime for a sustainable placer industry that takes into account the importance of conservation and protection of fish and fish habitat. That ROA called for a roadmap for a plan to prepared by April 2004.

“The implementation steering committee is on schedule to develop a new framework for implementation by 2007,” Lang said. “The next task is to develop a comprehensive draft plan for placer mining.”

When completed, it will specify the water quality, discharge and operating standards to be applied, and the application of habitat values in the risk management framework. It will also describe the interagency framework required for the “one-window” regulatory approach and specify a plan and schedule for transition to the new regime.

The goal of the ROA is to establish a process that is fair and understandable and that will provide certainty for industry. The outcomes of the process will include a clear set of guidelines for the management of the placer mining industry with respect to fish and fish habitat. It will also provide a harmonized, efficient and timely approach to regulation of placer mining including licensing, application, inspection and monitoring.

Minister told to legally justify firings

By Jason Small

Whitehorse Star, April 20, 2004

The NDP wonders if the Yukon government obeyed the law in firing Dawson City’s mayor and council. In question period Monday, NDP MLA Steve Cardiff asked Community Services Minister Glenn Hart what reason under the Municipal Act the minister used to fire Dawson City’s mayor and council last Tuesday.

“Which of the five conditions, if any, was the minister acting on last Tuesday when he appointed a trustee to conduct the municipal affairs of Dawson City?” Cardiff asked.

“Dawson City is broke,” Hart told the legislature.

“Well, that’s not in the Municipal Act. I don’t know where he got that one,” Cardiff retorted.

The act specifies a minister can order a trustee for a municipality if one of five things happened:

• the municipality didn’t or can’t make a debt payment;

• the council failed to carry out a duty it must do according to the act;

• the council failed to follow an order or direction by the minister;

• the council is no longer able to form quorum;

• the majority of council ask the minister to appoint a trustee.

Since being broke is not one of the five possible conditions, Hart was asked after question period which criteria he used to give the boot to former mayor Glen Everitt and ex-councillors Wayne Potoroka, Byrun Shandler and Bill Holmes.

Hart said the government used parts of the first three conditions to fire the former mayor and council.

As for the first condition, Hart said the payment failure was on the arbitration award of $970,000 the town has to pay to the constructor of its recreation centre.

“They failed to meet the requirement — we had to make that payment on their behalf.”

But town supervisor Andre Carrel said earlier Monday he issued the cheque for the town, paying the $970,000 to TSL Contractors Ltd. for the arbitration award.

“We had to prepare monies to lend to the City of Dawson,” said Hart. He loaned the money to the town last week.

As part of the financial plan, the town could afford an award of as much as $1.35 million.

As for conditions two and three, which are similar, Hart said the council “failed to follow the financial plan on several occasions” and didn’t always obey the government-appointed supervisor.

There was a dispute with the garbage contract the town was going to hand out. Carrel ordered the town not to give the contract to the company it had already been awarded to, but to a lower bidder, who offered fewer services.

After initially balking, all but one member of the council grudgingly rescinded the contract. The one who refused to yank the deal, Joanne Van Nostrand, resigned immediately after taking her stand.

Hart was asked on what issue other than the garbage contract, did the council not follow the financial plan.

He said council didn’t always provide financial information or minutes of meetings. The financial information was part of developing the town plan, he added, so that’s how not providing the materials meant council failed to follow the plan.

Cardiff wants to know if Hart’s use of the Municipal Act and the way he applied three of the conditions would stand up in court.

“Did he get a legal opinion?” Cardiff wondered. “It doesn’t add up to me.”