AIM did not make any profit. How much profit is FMSS making?

By Minister Khaw Boon Wan:
42. Anyway, I am glad that several WP members like Sylvia Lim, made comments expressing concerns about financial prudence and the need to ensure that TCs minimise costs in the interests of their residents. Well, Mdm Speaker, so do we, although frankly how the PAP and the WP does it may be different. For instance, in Aljunied, the management agency rate which FMSS charged Aljunied-Hougang residents, we found, is 20% higher than the rate charged by the former Aljunied TC’s managing agent when he was under Mr George Yeo. To be precise, when it was under George Yeo, the rate was $6.51 per unit per month. Now, it is $7.87 in FY2011 – the first contract – and then it went up to $8.04 per unit per month in FY2012. In fact, the FMSS rate is more than 50% higher than the rate for Tampines TC which is of similar size. Tampines TC’s rate was about $5.15 per month per unit. In fact, it came down a little bit to $4.99 last year. I assume the residents living in Aljunied are aware of these and find them acceptable.

43. I think some MPs talked about AIM not making any profit. Actually, there is nothing odd about this. As I’ve said, AIM was set up by PAP to help its MPs run their TCs. If the TCs do not perform, it will reflect on the MPs and affect their future election prospects. PAP has every interest to ensure its MPs succeed. That is why AIM did not seek to make a profit out of the 2010 transaction.