Dionne Rose, Staff Reporter
A FIRM stance by Opposition Members of Parliament yesterday, forced the government to suspend the debate on a resolution to amend the National Housing Trust (NHT) Act.
The resolution was brought to the House of Representatives by Prime Minister P.J. Patterson to amend Section 4, subsection 1 of the NHT Act to give the legal authority to divert $5 billion to the transformation of the education sector.
But opposition Leader Bruce Golding said, while the opposition was in consensus with the government to divert the $5 billion to assist the education sector, it was not in agreement that the Act should be amended.
DIVERTING FUNDS
"The funds can be made available to the education sector without violating the original purpose, without diverting funds away from that purpose and indeed without amending this law in this respect," he said.
He instead recommended that the money be diverted through a loan.
"What I suggested to the Prime Minister, don't divert the fund because once you take it, it is lost to housing forever," he said.
"Borrow it, issue an instrument for it and you can do it on rates that are concessionary," he suggested.
But Minister of Finance and Planning, Dr. Omar Davies who contributed to the debate punched holes in this suggestion.
"Your assertion that to borrow the money ... would only affect the debt stock is technically incorrect ... the suggestion you purpose may be financially feasible but in terms of your follow up assertion, you are dead wrong!"
Dr. Davies argued that amending the National Housing Trust Act was the best alternative adding that this move would be more transparent.
But while the Prime Minister Patterson pointed out that the diversion of the funds was a one off arrangement, Mr. Golding said he had grave concerns to this.
"What if next year the Minister of National security is under more pressure because the police need equipment, the police need vehicle, the society is crying out for some action to deal with the crime level, and we say well, as we deal with education last year let's look at the Trust," he said.
After more than two hours of debate Leader of Government Business, Dr. Peter Phillips suspended the debate until further consultation is made with the Opposition.
