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Saturday, May 24, 2025

Minister ‘partly’ blames HDC’s $1b debt to contractors on errant tenants

by

Carisa Lee
1038 days ago
20220720
Tourism Culture and the Arts Minister Randall Mitchell, left, Minister in the Ministry of Housing and Urban Development Adrian Leonce, Minister of Housing and Urban Development Camille Robinson-Regis, HDC managing director Jayselle McFarlane and chairman Noel Garcia chat after the HDC launched an online portal housing application fulfilment system at the Auditorium, Government Campus Plaza, Port-of-Spain, yesterday.

Tourism Culture and the Arts Minister Randall Mitchell, left, Minister in the Ministry of Housing and Urban Development Adrian Leonce, Minister of Housing and Urban Development Camille Robinson-Regis, HDC managing director Jayselle McFarlane and chairman Noel Garcia chat after the HDC launched an online portal housing application fulfilment system at the Auditorium, Government Campus Plaza, Port-of-Spain, yesterday.

SHIRLEY BAHADUR

The Hous­ing De­vel­op­ment Cor­po­ra­tion (HDC) cur­rent­ly owes con­trac­tors $1.3 bil­lion.

This was re­vealed by Min­is­ter of Hous­ing and Ur­ban De­vel­op­ment Camille Robin­son-Reg­is yes­ter­day.

“We have been tardy in our pay­ments, our con­trac­tors are up­set,” Robin­son-Reg­is said dur­ing the launch of an up­dat­ed on­line por­tal called the Hous­ing Ap­pli­ca­tion Ful­fil­ment Sys­tem (HAFS), which is de­signed to make it eas­i­er for ap­pli­cants to ap­ply for HDC hous­es.

How­ev­er, the Min­is­ter blamed the over­all HDC debt part­ly on er­rant ten­ants, in par­tic­u­lar those who live in rent-to-own, li­cense to oc­cu­py and rental units.

“I know of peo­ple in my own con­stituen­cy whose rental may be in the or­der of $100, $250 and yet they ow­ing $50,000, which means from the day they got the unit they have not paid,” Robin­son-Reg­is said.

Ac­cord­ing to the HDC, rent for these units costs be­tween $100 to $500 month­ly but not all the er­rant ten­ants live in old­er units.

Ten­ants of new prop­er­ties owe the HDC ap­prox­i­mate­ly $22 mil­lion. They live in com­mu­ni­ties such as the Li­on’s Gate Hous­ing De­vel­op­ment in En­ter­prise, Re­al Springs Hous­ing De­vel­op­ment in Val­sayn South and the Vieux Fort Hous­ing De­vel­op­ment in St James.

Over­all, delin­quent ten­ants owe the HDC ap­prox­i­mate­ly $151 mil­lion. Round­ed off in 2021, that debt was $143 mil­lion, 2020 - $139 mil­lion and in 2019 $103 mil­lion. In 2018, close to 160 mil­lion was owed by ten­ants and $157 and $159 mil­lion re­spec­tive­ly was owed for 2017 and 2016.

At the event, Robin­son-Reg­is said the HDC was owed a to­tal of $1,012,393,557.36 in ar­rears from delin­quent clients for a six-year pe­ri­od.

She got this num­ber when she added the an­nu­al delin­quen­cy debt from 2016 to the present.

How­ev­er, HDC man­ag­ing di­rec­tor Jay­selle Mc­Far­lane ex­plained to Guardian Me­dia that was not how the debt is sup­posed to be cal­cu­lat­ed be­cause it’s a run­ning debt and not an ac­cu­mu­lat­ed to­tal.

“The fig­ure, as of now, based on what peo­ple should have paid for the year or paid on their port­fo­lio is $151 mil­lion,” Mc­Far­lane said.

Nev­er­the­less, Robin­son-Reg­is not­ed dur­ing her pre­sen­ta­tion that the debt owed by ten­ants was not on­ly ham­per­ing the pay­ment of con­trac­tors but al­so pre­vent­ing re­pairs to units and the ex­pan­sion of the ac­cel­er­at­ed hous­ing pro­gramme. “We have been pro­vid­ing this fa­cil­i­ty even though we do have such a high delin­quen­cy rate and some of the peo­ple who owe the HDC are some of the peo­ple who com­plain the most,” Robin­son-Reg­is said.

She added while they have a du­ty to peo­ple, it goes both ways. She said dur­ing the pan­dem­ic, the HDC is­sued a mora­to­ri­um on pay­ments to help ease the fi­nan­cial strain on many of its cus­tomers but now that the coun­try is re­open­ing, she en­cour­aged them to pay what is owed.

“I’m hop­ing that peo­ple will un­der­stand the sit­u­a­tion in which we have found our­selves and they will, in fact, do what they have to do,” she said.

To make the pay­ment process eas­i­er, the HDC has cre­at­ed an Om­ni chan­nel for cus­tomers to make pay­ments, which in­cludes bank trans­fers, bank de­posits, pay­roll de­duc­tions and via Sure Pay.

It will al­so re­sume its pub­lic ed­u­ca­tion cam­paign.

In 2016, Robin­son-Reg­is said the HDC was owed $111 mil­lion by ten­ants and through the same ed­u­ca­tion cam­paign, the cor­po­ra­tion was able to col­lect $72 mil­lion in ar­rears.

Cur­rent Min­is­ter of Tourism, Cul­ture and the Arts Ran­dall Mitchell, who was present at yes­ter­day’s func­tion, was the Hous­ing Min­is­ter then

“We want to en­sure that peo­ple feel the com­mit­ment to pay and al­so that it is not a dif­fi­cul­ty to make their pay­ments,” Robin­son-Reg­is said.

She said the HDC was al­so re­or­gan­is­ing so it can achieve its man­date of pro­vid­ing af­ford­able hous­ing, a goal it had moved away from over the years.

Over 200,000 cit­i­zens are await­ing place­ment and the Min­is­ter en­cour­aged them to vis­it the on­line por­tal HAFS and up­date their ap­pli­ca­tions. By log­ging in or reg­is­ter­ing on http://hafs.hous­ing.gov.tt/, ap­pli­cants can con­duct self-as­sess­ments, ob­tain pre-ap­provals via the mort­gage cal­cu­la­tor, check the sta­tus of their ap­pli­ca­tion and ob­tain a ref­er­ence num­ber. There is al­so an op­tion for help and sup­port on­line.

Mc­Far­lane said this was just one of the many in­for­ma­tion and com­mu­ni­ca­tions tech­nol­o­gy projects the HDC had em­barked on. It has al­so up­dat­ed its phone lines.


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