Iqaluit mayor responds to deficit concerns from businesses

The mayor of Iqaluit says she is aware of the issues raised in a letter from the Chamber of Commerce last month that accused the city of abusing the Cities, Towns and Villages Act by ringing up a large deficit.

Members of the Iqaluit Chamber of Commerce are not happy their property taxes could be going up this year, saying it will hurt businesses and, in turn, the local economy.

"I think this letter is stating what we are up against," she said.

"I can only say that we are working to develop a plan that will address how we will proceed to pay attention to and recover our deficit."

The Iqaluit Chamber of Commerce's letter also points to the city's expected deficit of $10 million by the end of 2015. It warned "the continual abuse of the Act may open the door for the Government of Nunavut to put the city under administration similar to the early 1990s."

That refers to when Iqaluit was managed by the territorial government in 1993 and 1994.

Wilman says if the Nunavut government was considering taking that kind of action, the Department of Community and Government Services would have contacted Iqaluit City Council.