In the Legislative Assembly on March 6th, 1992. See this topic in context.

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The Chair Richard Nerysoo

Department Of Transportation

Members recall that we were on general comments with regard to capital estimates for the Department of Transportation. What is the wish of the committee; that we continue with this particular matter?

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Some Hon. Members

Agreed.

---Agreed

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The Chair Richard Nerysoo

Thank you. Does the Minister wish to invite witnesses?

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Titus Allooloo Amittuq

Thank you, Mr. Chairman. Yes.

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The Chair Richard Nerysoo

Thank you. Mr. Minister, could you introduce your witness, please?

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Titus Allooloo Amittuq

Thank you, Mr. Chairman. For the record, to my right is the acting deputy minister of Transportation, Mr. Andrew Gamble.

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The Chair Richard Nerysoo

Thank you. If Members will recall, Mr. Antoine was in the midst of his general comments yesterday, so I will go back on general comments to Mr. Antoine.

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Jim Antoine Nahendeh

Thank you, Mr. Chairman. On Transportation, by general comments yesterday, I was talking about my support for finishing the highway from Wrigley north through Fort Norman and Norman Wells. Yesterday I was quoting some prices I got from 1985. That is the last time that I received some figures. I was going to offer those figures as something to start with.

I had talked about it yesterday, and today I am just going to say that in the area of transportation, we also have airports. In most of the communities we have airports in my area, but Nahanni Butte is another community in my constituency that requires an airport. They have a small strip and sometimes it is not possible for the plane to land there. The only transportation in there is through air in the summertime, so it is necessary to have an airport in Nahanni Butte. Also, they have buffalo there too, so this time of the year the pilots have to fly past the airport to check the airstrip to see that there are no buffalo droppings on the airstrip, because that is dangerous.

Anyway, that is just a side point, but in the rest of my region we have winter roads, and in a question the other day the Minister said they were going to review the winter roads budget. I am concerned about it. We have winter roads into Trout Lake and Nahanni Butte, and there is the construction of a road out of Jean Marie but that is not going to be completed for the next few years. These three communities require winter roads and if there are going to be some changes to it, it is certainly going to affect the people in these communities, and I have some concern about it. This is for the people that rely on winter roads. That is my general comment. Thank you, Mr. Chairman.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Richard Nerysoo

Thank you, Mr. Antoine. Mr. Minister.

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Titus Allooloo Amittuq

Thank you, Mr. Chairman. As for the winter roads, there is not going to be a change for the remainder of this year, but for next year we are reviewing the opening days and the closing days of the winter roads because of the concern raised by the Department of Fisheries and Oceans. They are concerned about the environmental concern regarding crossings of rivers and lakes. If there are going to be any changes to the opening and closing of winter roads, we will keep the public informed as much as possible and communicate to the communities who that affected.

As for the roads, road construction to the Member's particular area, our plan has not changed. Thank you.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Richard Nerysoo

Thank you. General comments. Mr. Antoine.

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Jim Antoine Nahendeh

Thank you, Mr. Chairman. I have a question for the Minister of Transportation. The people of Wrigley have waited for the bridge to be built across the Willowlake River to provide direct road access to Fort Simpson for some years now, and every year they look forward to growth in the tourism and resource harvesting sectors. This bridge has been bumped back a few years, I am told, and this year especially most of the capital projects for Wrigley have been bumped, so they were gearing up to hopefully have some work on this transportation, so I would like to ask the Minister of Transportation; can the Minister tell me when this important transportation link will be built?

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The Chair Richard Nerysoo

Thank you. Mr. Allooloo.

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Titus Allooloo Amittuq

Mr. Chairman, there was a meeting yesterday consisting of the chief of Wrigley and my department concerning this. The community is aware that the decision to defer the opening of the Mackenzie Highway to Wrigley by one year was discussed, and the capital expenditure for the building of a bridge over Willowlake River was discussed. The current winter road serving the community will not be affected by this decision, but the road that was planned to be constructed for this year has been deferred by one year.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Richard Nerysoo

Thank you. General comments. Mr. Todd.

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John Todd Keewatin Central

Thank you, Mr. Speaker. I am a little confused. The transportation strategy that has been put in place, and God knows what it cost us -- are we using that strategy as a means by which to determine priorities as to where things are going regionally right now? That is my first question.

The second one was, my understanding was that there was going to be some kind of joint federal/territorial initiative where this government was going to put "X" amount of dollars into the pot, the feds were going to match it, and those dollars were going to be used to build the infrastructure we need whether it was wharves, roads, highways or airports. I wonder if it is possible that you could let me know the status of that. Is that whole strategy still in place in relationship to the joint funding?

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Richard Nerysoo

Thank you. Mr. Minister.

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Titus Allooloo Amittuq

Thank you, Mr. Chairman. Yes, the strategy that was developed and tabled in this House back in 1990 was used as a guide, and also with respect to the plans that we have developed in terms of addressing the requirements of roads and transportation throughout the Northwest Territories. We are still talking to the federal government to see where they could help us. As far as I am told, the Ministers of Transportation throughout the country still have to meet on this issue, and I am told that the federal Minister of Transportation is very interested in this document that our government has developed. So far, the meeting of Ministers of Transportation is scheduled some time this fall I believe.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Richard Nerysoo

Thank you. General comments. Mr. Todd.

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John Todd Keewatin Central

So am I incorrect, then, in the information I have, where I thought we were in fact in the throes of negotiating a 10-year, half a billion dollar agreement, where we would throw $25 million in and the feds would match it to develop this infrastructure. Has something gone by the wayside or is it just that I have been given incorrect information?

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Page 311

The Chair Richard Nerysoo

Thank you. Mr. Allooloo.

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Titus Allooloo Amittuq

That was an offer made by our government to start negotiating. The actual negotiations have not commenced.

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The Chair Richard Nerysoo

Thank you. General comments. Mr. Gargan.

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Samuel Gargan Deh Cho

Thank you. Mr. Chairman, one of the things that I have a concern with is with regard to the heavy vehicles that are on the roads. I will talk about the patrols later. Mr. Chairman, one of the things that I find is that the government is spending millions and millions of dollars improving the roads, which I appreciate and which I am sure people travelling on the roads appreciate, but unlike most provinces, I guess we do not really restrict heavy vehicles from travelling on the highways on certain days of the week. In BC the big trucks are not allowed to travel on certain days on highways, to allow lighter traffic to travel. In the North, it is quite different because of the gravel situation. I am hoping that maybe the government might look at the possibility of allowing maybe one day in a week on which we would restrict heavy vehicles from travelling, to allow the general public to be able to travel on those roads without doing too much damage to windshields and that. I am just wondering whether or not this has ever been discussed, and whether it is possible to maybe look at doing that. Mr. Chairman, I am one person that does use the road quite a bit, and there are big tankers and semi trucks that travel the road quite steadily.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Richard Nerysoo

Thank you. Mr. Minister.

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Titus Allooloo Amittuq

Thank you, Mr. Chairman. As far as regulating trucks travelling on our roads, we have the same rule as other provinces regarding weight. We have weigh scale stations to monitor these heavy trucks. As far as the Member's concern for heavy trucks -- that we should have some sort of regulation where there be a day when there would be no heavy trucks -- my department is not aware that this happens in other provinces. It is something we could look at, but I am told this might not be advisable. We have inter-provincial agreements with other provinces regarding safety, and regulating big trucks coming into the NWT. Those agreements are applied throughout Canada. Thank you.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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March 5th, 1992

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The Chair Richard Nerysoo

General comments. Mr. Gargan.

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Samuel Gargan Deh Cho

Mr. Chairman, last year the community of Fort Providence did the right-of-way clearing for sections of the highway between Yellowknife and Providence, and another one between Providence and Enterprise, and the job was well done. One of the things that I ran into last year, Mr. Minister, was that the community of Fort Providence negotiated a contract to do the clearing between the Fort Simpson junction and on toward Yellowknife. They decided to use a contractor from out of the community, Fort Liard to be specific, but it eventually went back to the community and a local contractor was used. I have a letter from the contractor.

I do not know if there are going to be further negotiations with regard to clearing the right of way, but the community is still interested in doing that. In order not to get into controversy, one of the conditions for negotiations should be, "Okay, we agree that we will give you the negotiated contract to do the right-of-way clearing, but also that you use the local contractors, as opposed to using outside contractors."

I got into quite a bit of hot water over this from the contractor. It eventually went back to the local contractor, but it started out that they were going to use an outside contractor. The contractor wrote to me just to prove a point that it is a lot better to use local contractors and give consideration to lowering the cost per hectare, and if it was negotiated with the local band you would save a lot of money by doing that. I would hope that if you are going to do the same thing with the arrangement, it would be the same thing, that you express that in order to alleviate controversy -- if the band is going to get it then they use a local contractor.

Mr. Chairman, the other thing is with regard to Mr. Wray's report on the Transportation Strategy. Is the whole intent of this for the economic benefits, as well as the employment benefits, mobility benefits, safety benefits, increasing tourism --is it still your department's target to complete the section between Fort Providence and Fort Rae; complete the reconstruction and pavement by 1997?

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The Chair Richard Nerysoo

Thank you. Mr. Minister.

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Titus Allooloo Amittuq

Thank you, Mr. Chairman. With regard to contracts and the clearing of right of ways, it was on our insistence that contractors use local people to do the work that this was able to be done. We will continue to insist that local people, local involvement, be used to clear the right of ways.

As for the second question, yes, it is our target to meet 1997 as the target date for finishing the highway, but that will largely depend on the funds that are available to us. It is still our target. Thank you.

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The Chair Richard Nerysoo

Thank you. General comments. Mr. Gargan.

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Samuel Gargan Deh Cho

Mr. Chairman, I appreciate the response that the Minister has given. Several years ago, when Eliza Lawrence was still the MLA, she pushed quite strongly for a bridge across Little Buffalo River and she did succeed in

getting it. The bridge was built in 1986 at a cost of between $900,000 and one million dollars and was officially opened. Eliza was very proud of that and she thanked the Minister, Mr. Wray, at that time.

One of the concerns that was expressed by Mr. Antoine was to see -- I know there is a delay in the bridge being constructed on Willowlake River. I realize that under this Transportation Strategy there is a high priority being put on the reconstruction of the roads between Enterprise and Yellowknife. I appreciate that a high priority has been given to that, but at the same time I would hope that where there is a need to do improvements the government would be open to delegating some of the construction dollars that go toward Highway No. 3, specifically, so that we might be able to help out other areas. I drive the road and I am satisfied that it is the best, for the present situation, and we could still live with it if you decide to move your target date to the year 2000. I am just suggesting that there are other areas where the conditions are worse and it would not hurt -- if there was a reduction in the construction of the roads between here and Providence, for example. Thank you, Mr. Chairman.

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The Chair Richard Nerysoo

Thank you. Mr. Minister.

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Titus Allooloo Amittuq

Thank you, Mr. Chairman. I would like to thank the Member for his advice, his very good advice, and I will take his concerns and his advice very seriously. Thank you.

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The Chair Richard Nerysoo

General comments. Mr. Arvaluk.

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James Arvaluk Aivilik

(Translation) Thank you, Mr. Chairman. I have discussed this with the Minister, regarding docks in Coral Harbour. He is already aware that the dock is being used by NTCL, Northern Transportation Company Limited, at this time, and it gets worse every year. It is probably very expensive. The residents of Coral Harbour have worked quite hard to plan for a new dock that they want. There will not be a calmer area; it is not always calm but it is in a calmer area. This dock would be very useful to the community, to the NTCL also. There is a lot of limestone in that area, and a lot of times NTCL go back to Churchill without anything on the ship, and maybe we would be able to ship some out. Since the dock is too small, the smaller canoes are sometimes damaged by the bigger boats, especially when it gets windy. I wrote a letter to that Minister, and the residents of Coral Harbour have also made designs of how they want the dock to be built. I would like to ask the Minister why the study to build a dock in Coral Harbour is not included in the capital estimates.

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The Chair Richard Nerysoo

Thank you. Mr. Minister.

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Titus Allooloo Amittuq

(Translation) Thank you, Mr. Chairman. Prior to the development of this capital estimate, I had not received the letters he indicated. After receiving this letter I have asked my officials to look into the Member's concern. The reason it is not in the current detail of capital is because it was too late to submit it. The dock in Coral Harbour -- we would like to upgrade it beginning in 1994-95, completing it close to 1997. It will be completed in 1995-96 to 1996-97. We are aware of Coral Harbour's situation regarding the canoes that he indicated and regarding the sealift. I can tell the Member for Aivilik that we will look into this further, and we will consider it as urgent. Thank you.

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The Chair Richard Nerysoo

Thank you. Mr. Arvaluk.

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James Arvaluk Aivilik

Thank you, Mr. Chairman. I appreciate the Minister's comments and information. In light of what I have said regarding the requirement for a wharf, I would like to make a motion, Mr. Chairman.

Motion For Action Plan To Construct Wharf In Coral Harbour, Carried

I move that this committee request the Department of Transportation to initiate a discussion with the community of Coral Harbour, to assist the community initiative for the development of a community action plan for the construction of a wharf in Coral Harbour. Thank you, Mr. Chairman.

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The Chair Richard Nerysoo

The motion is in order. We will take a 10 minute break, and come back and deal with the motion.

---SHORT RECESS

I will call the committee back to order. When we left, Mr. Arvaluk had just introduced a motion. Members will recall I ruled the motion in order. To the motion. Mr. Arvaluk.

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James Arvaluk Aivilik

Thank you, Mr. Chairman. Just a very short statement to the motion. In light of the work plan that has already been done by the Coral Harbour residents, and the financial restraint of the Government of the Northwest Territories, we are simply asking the government to work with the community to give an action plan for the construction of the wharf.

I have had a few telephone calls with the Farmers' Association in Saskatchewan, and I have had a meeting with them a year and a half ago. There is also the threat, by the federal government, to shut down the railway to Churchill. If we were to start exporting some of that limestone then we could participate in keeping that railway open. There are so many reasons to talk about in this task, Mr. Chairman, that I seek the support in that motion. Thank you.

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The Chair Richard Nerysoo

Thank you. To the motion.

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An Hon. Member

Question.

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The Chair Richard Nerysoo

Question has been called. All those in favour? All those opposed? The motion is carried.

---Carried

Are there any further general comments? Mr. Todd.

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John Todd Keewatin Central

If I may, Mr. Chairman, I would like to move forward with some general resolutions at this time, with respect to the Transportation budget.

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The Chair Richard Nerysoo

Yes, Mr. Todd.

Motion To Re-Examine Transportation Priorities From A Cost And Benefit Basis, Carried

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John Todd Keewatin Central

I move that the committee recommends that cabinet re-examine transportation priorities from a cost and benefit basis, and in light of other fundamental needs of NWT residents.

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The Chair Ludy Pudluk

Thank you. The copies are circulating right now. Your motion is in order.

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An Hon. Member

Question.

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The Chair Ludy Pudluk

The question has been called. All those in favour? Opposed? The motion is carried.

---Carried

Any further general comments? Member for Nahendeh. Motion That Transportation Department Maximize Use Of Local People For Capital Projects, Carried

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Jim Antoine Nahendeh

Thank you, Mr. Chairman. I have got a motion here. I move that the committee recommends that the Department of Transportation utilize its capital budget to make work for local people to the maximum extent. Thank you.

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The Chair Ludy Pudluk

Thank you. Your motion is in order. To the motion. Member for Nahendeh.

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Jim Antoine Nahendeh

Thank you, Mr. Chairman. This motion is straightforward. It is for the capital project on Transportation going into different communities, if the local people would be considered to do most of the work, if they are capable of doing it through their corporations and other businesses that may exist in those communities; the idea is to keep the money that is going into the community in the community as much as possible. Thank you.

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The Chair Ludy Pudluk

Thank you. To the motion.

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An Hon. Member

Question.

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The Chair Ludy Pudluk

The question has been called. All those in favour? Opposed? The motion is carried.

---Carried

Are there any further general comments? Ms. Mike.

Motion To Improve Transportation Infrastructure, Carried

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Rebecca Mike Baffin Central

I move that the committee recommends that Transportation infrastructure be improved where it is substantiated that impediment to industry that creates jobs exists.

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The Chair Ludy Pudluk

Thank you. Your motion is in order. To the motion. Member for Baffin Central.

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Rebecca Mike Baffin Central

(Translation) Thank you, Mr. Chairman. The motion is simple and it is regarding people in the community being given the opportunity to work and to make money in the community, that they be given the opportunity so that people with no jobs will be given the opportunity.

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The Chair Ludy Pudluk

To the motion.

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An Hon. Member

Question.

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The Chair Ludy Pudluk

The question has been called. All those in favour? Opposed? The motion is carried.

---Carried

Are there any further general comments? Member for Yellowknife Frame Lake.

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Charles Dent

Charles Dent Yellowknife Frame Lake

Thank you, Mr. Chairman. The standing committee on finance, when we reviewed Transportation, generally found some areas of concern in terms of standards. When we speak of standards, we are talking about particularly those standards aimed at perhaps what is typically done in the South, and we are not convinced that it is always necessary to achieve those standards when doing work in the North. I guess specifically what led to this was the cost of the upgrade of the highway in Yellowknife between downtown and the airport. I do not think there was much support on the committee for the level of upgrading that is planned for that strip, although this was last year's budget, and the amount of money that was spent doing the same sort of thing to part of the road up in Inuvik -- the Dempster Highway in Inuvik. Because of that we are wondering whether or not it really made a lot of sense to spend as much money as we did there when there are so many more important things that we thought the money could be spent on. We thought that the department should perhaps re-evaluate its standards. Motion

That Transportation Department Re-Evaluate Its Standards To What Is Affordable, Carried

Therefore, Mr. Chairman, I would like to move that the committee recommends that the Department of Transportation re-evaluate its standards to ensure they are reasonable in light of what this government can afford.

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The Chair Ludy Pudluk

Could we have a copy of that motion, please? Thank you. Your motion is in order.

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An Hon. Member

Question.

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The Chair Ludy Pudluk

Question has been called, but I do not have a quorum. Question has been called. All those in favour? All those opposed? The motion is carried.

---Carried

Are there any further general comments? Mr. Nerysoo.

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Richard Nerysoo Mackenzie Delta

Thank you, Mr. Chairman. I have a couple of general concerns that I wanted the department to take note of. I have listened, with some interest, to many of the speakers who have spoken about highways over the last couple of days. Much of the discussion is centred around the highway system in the southern part of the Western Arctic. I want to ask the Minister if we had turned over to us the total responsibility for the Dempster Highway, or whether or not that particular highway was still under the responsibility of, at least for reconstruction, the jurisdiction of the federal government? I would like to know the status of that situation.

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The Chair Ludy Pudluk

Thank you. Mr. Minister.

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Titus Allooloo Amittuq

Thank you, Mr. Chairman. The Dempster Highway is a territorial highway now. It is under our responsibility.

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The Chair Ludy Pudluk

Thank you. General comments. Mr. Nerysoo.

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Richard Nerysoo Mackenzie Delta

Thank you, Mr. Chairman. Now that I know what the status is, I want to make a couple of comments. First of all, the kind of granular material that is being used for reconstruction on that particular highway, particularly in the mountainous area where, I do not believe, the material that the department is accepting is good material. In fact, what we have noted, even after the reconstruction last summer, is that the material breaks up almost into shale, and breaks up into a point where it is all mud. I am not certain about the quality of material that you are paying for. I would ask the Minister if he could speak to those people who are working in the community, on the highway, that I believe would have better knowledge of the material that you are using.

The other point that I wanted to make is, I was kind of curious as to why we had transferred to us the responsibility of that highway before it was completely constructed to a quality of other highways. Now we are assuming basic responsibility for what I consider to be an incomplete highway, in terms of its quality and in terms of the amount of work that has to be done just reconstructing that highway.

Another point I wanted to raise, Mr. Chairman, is that I would really like, at some time, to get an indication by government really what they intend to do with Arctic Red River. They keep saying that it is on the highway, and the fact is that it is not on the highway. It is connected to the highway, but it is not on the highway. There is no year-round connection to that community. There have been some discussions about a bridge connection, but there has been no indication to the community what the status of that proposal is.

Services For Old Communities Versus New Communities

There is no proposal for an airport, and it is interesting to note -- I do not want to be critical of the situation of Mr. Zoe or his constituency, but we are going to build a new airport in Snare Lake when that community was not in existence 10 years ago. It really came out of an outpost camp. I am kind of curious as to how and why those kinds of decisions are made. What is the process for long-time communities to get at least the same kind of service and same kind of support for the services that they are providing to a community like Snare Lake or Colville Lake? I just want to know what the criteria are that this government uses. I do not believe that it is clear to the people, and it is certainly not clear to me what the criteria are. Maybe it has to do with political association. I think it is wrong, the way we determine long-term policies.

The other point that I wanted to raise is that one aspect of the long-term strategy that was not noted was this idea of the connection between the Dempster and Aklavik. I have to say, again, to our government that there are other aspects to connections with the gravel sources that you have to consider. We are paying on a yearly basis, and I note, interestingly, in the needs assessment that between now and the year 2000 we are going to spend over three million dollars for annual gravel hauls. Maybe that money would be better spent on long-term access, on a yearly basis rather than a daily basis, rather than on a short-term basis. I say that because we should be looking at how we might be able to spend our money wisely and save this government in the long term, and the communities in the long term.

The one other point that I wanted to raise is, again, going back to Arctic Red River, I am not certain the absolute solution -- and one of the proposals that had been made was the idea of purchasing another ferry to run between the Dempster and the community -- but I am not sure if that is the best way of spending money. Your intentions are to have two ferries in that particular location, and it has never been a matter that has really been dealt with, with the community.

The other point is that the services that are being offered by our government are being delivered out of Fort McPherson. Our health services, our police services, our economic development officers, our social workers, our renewable resource officers, all those services right now are being delivered out of Fort McPherson. And when you do not have access on a year-round basis, then how do those services get delivered to those people? That is generally what I wanted to raise. How you deal with them is a matter of planning, but it is a matter of planning internally in government, and not only with this particular department. I wanted to raise those points.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Ludy Pudluk

Thank you. Mr. Minister.

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Titus Allooloo Amittuq

Thank you, Mr. Chairman. We agree with the Member that the material we used on the Dempster Highway is a poor granular material. We are using the best that we have available to us for surfacing the Dempster Highway. We are looking for other granular material that would be better material to do that, and we are looking at Inuvik and other sources. We have a plan in place to reconstruct the Dempster Highway starting in 1995. We are still looking at the feasibility of the bridge at Arctic Red River, and along with that it is in our transportation strategy to look at the airport as well as the feasibility of a bridge into Arctic Red River.

For the Dempster Highway to include Aklavik, our information up to this point is that the cost is very high compared to the benefits, and also Aklavik has a barge service, as the Member stated, and also a winter road during that season. I agree with the Member that our long-term goal at some point in the future is, when we are able, to construct a year-round road to Aklavik. We would prefer that, but at this point in time because of the financial realities that exist throughout our government and the resources that are available to our department, the best we can do at this point is a barge and winter road. Thank you.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Ludy Pudluk

Thank you. Mr. Nerysoo.

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Richard Nerysoo Mackenzie Delta

Mr. Chairman, if I might indicate that there were a couple of other factors that were of significant concern to the communities on the Dempster. One was the matter of safety, the quality of the highway, which probably everyone including your department is dealing with at this particular time. I just wanted to raise the point that people are concerned about the safety conditions of those highways.

The other thing is that we have an opportunity, in particular on the Dempster -- not to diminish the importance of the highway system in the southern Northwest Territories -- but we have a great opportunity to take advantage of the economic opportunities that particular highway offers. One just has to become aware of the value of the tourist industry in the Yukon, and you will note that some of the reasons are the significant developments that have occurred in the highway system. We are not quite as fortunate in the Northwest Territories at this particular time, but I think with each improvement they made to the highway system, it seems they are drawing more and more people back into the Yukon.

In that context, I am hoping the department will at least liaise with other departments that are involved in this area, review the transportation strategy, and review it in the context of some of the immediate payouts to the communities, because it seems that sometimes we are not acknowledging that there could be some immediate payouts to improvements in areas where it is necessary.

I wanted, also, to raise the matter of the $25 million, if that is correct, with the federal government. I believe it was a point that was raised by Mr. Todd earlier. Could the Minister keep the Members informed as to the status of those discussions, and whether or not the federal government is prepared to somehow fund on an emergency basis some of the transportation requirements in the Northwest Territories?

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Ludy Pudluk

Thank you. Mr. Minister.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Titus Allooloo Amittuq

Thank you, Mr. Chairman. Safety is our concern as well. We are spending money to maintain the highway and also to improve the safety on the Dempster Highway. I agree with the Member that safety should be the most important area that we could be working on, and we are doing this. We agree, also, that there is a significant tourism potential if we improve the Dempster Highway, and this is one of the factors that we will consider in planning for improvements, and we will continue to work with the Department of Economic Development and Tourism on this issue.

With respect to the negotiations with the federal government, once we commence the negotiations, we will keep the House informed, as well as the Members, by letter. If we have any movement in this particular area, we will let the Members know what is happening. Thank you.

Marine Services

Buildings And Works, Headquarters, Total Capital, Agreed

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The Chair Ludy Pudluk

Thank you. General comments. Does this committee wish to go page by page? Thank you. We are on page 11-9, Department of Transportation, detail of capital. Marine services, buildings and works, headquarters, total region, $600,000. Agreed.

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Some Hon. Members

Agreed.

---Agreed

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The Chair Ludy Pudluk

Mr. Gargan.

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Samuel Gargan Deh Cho

Thank you. Mr. Chairman, just with regard to marine operations, last year I thought there were plans by the department to put a ferry at Camsell Bend, and the ferry from the Liard Highway would be put at Camsell Bend. The ferry from Providence was going to be put in Fort Liard. Is there a chance to build a new ferry?

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Ludy Pudluk

Thank you. Mr. Minister.

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Titus Allooloo Amittuq

Thank you, Mr. Chairman. Yes, we are constructing a ferry that is to go into the Liard crossing, and the Liard crossing's Johnny Berens would be moved to Camsell Bend. Thank you.

Buildings And Works, Fort Smith, Total Capital, Agreed

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Ludy Pudluk

Fort Smith, total region, $500,000. Agreed?

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Some Hon. Members

Agreed.

---Agreed

Buildings And Works, Total Capital, Agreed

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Ludy Pudluk

Total buildings and works, $1,100,000. Agreed?

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Some Hon. Members

Agreed.

---Agreed

Equipment Acquisition, Headquarters, Total Capital, Agreed

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The Chair Ludy Pudluk

Equipment acquisition, headquarters, total region, $25,000. Agreed?

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Some Hon. Members

Agreed.

---Agreed

Equipment Acquisition, Total Capital, Agreed

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Ludy Pudluk

Total equipment acquisition, $25,000. Agreed?

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Some Hon. Members

Agreed.

---Agreed

Marine Services, Total Capital, Agreed

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Ludy Pudluk

Total activity, $1,125,000. Agreed?

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Some Hon. Members

Agreed.

---Agreed

Highway Operations

Buildings And Works, Headquarters, Total Capital, Agreed

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The Chair Ludy Pudluk

Highway operations, buildings and works, headquarters, total region, $1,010,000. Agreed?

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Some Hon. Members

Agreed.

---Agreed

Buildings And Works, Fort Smith, Total Capital, Agreed

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The Chair Ludy Pudluk

Buildings and works, Fort Smith, total region, $325,000. Agreed?

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Some Hon. Members

Agreed.

---Agreed

Buildings And Works, Inuvik, Total Capital, Agreed

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The Chair Ludy Pudluk

Buildings and works, Inuvik, total region, $70,000. Agreed?

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Some Hon. Members

Agreed.

---Agreed

Buildings And Works, Total Capital, Agreed

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Ludy Pudluk

Total buildings and works, $1,405,000. Agreed?

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Some Hon. Members

Agreed.

---Agreed

Equipment Acquisition, Headquarters, Total Capital, Agreed

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Ludy Pudluk

Page 11-12. Equipment acquisition, headquarters, total region, $1,170,000. Agreed?

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Some Hon. Members

Agreed.

---Agreed

Equipment Acquisition, Total Capital, Agreed

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Ludy Pudluk

Total equipment acquisition, $1,170,000. Agreed?

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Some Hon. Members

Agreed.

---Agreed

Highway Operations, Total Capital, Agreed

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Ludy Pudluk

Total activity, $2,575,000. Agreed?

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Some Hon. Members

Agreed.

---Agreed

Arctic Airports

Buildings And Works, Headquarters, Total Capital, Agreed

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The Chair Ludy Pudluk

Page 11-14. Arctic Airports, buildings and works, headquarters, total region, $802,000.

Agreed?

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Some Hon. Members

Agreed.

---Agreed

Buildings And Works, Inuvik, Total Capital, Agreed

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Ludy Pudluk

Buildings and works, Inuvik, total region, $85,000. Agreed?

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Some Hon. Members

Agreed.

---Agreed

Buildings And Works, Baffin, Total Capital, Agreed

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Ludy Pudluk

Buildings and works, Baffin, total region, $300,000. Agreed?

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Some Hon. Members

Agreed.

---Agreed

Buildings And Works, Keewatin, Total Capital, Agreed

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Ludy Pudluk

Page 11-15. Buildings and works, Keewatin, total region, $2,020,000. Agreed?

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Some Hon. Members

Agreed.

---Agreed

Buildings And Works, Kitikmeot, Total Capital, Agreed

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Ludy Pudluk

Buildings and works, Kitikmeot, total region, $1,075,000. Mr. Bernhardt.

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Page 316

Ernie Bernhardt Kitikmeot

Thank you, Mr. Chairman. I would like to ask this question of the Minister. Rehab/expand air terminal building, Coppermine. I notice there are prior years' costs of $100,000. To my knowledge, Mr. Minister, I do not see any improvement worth $100,000 to our present air terminal building in Coppermine, other than two brand new posters, and they cannot be worth $100,000.

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The Chair Ludy Pudluk

Thank you. Mr. Minister.

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Titus Allooloo Amittuq

Thank you, Mr. Chairman. This $100,000 was to purchase a modular unit, a trailer, in Coppermine. It is not there yet. It will be on the barge.

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The Chair Ludy Pudluk

Buildings and works, Kitikmeot, total region, $1,075,000. Agreed?

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Some Hon. Members

Agreed.

---Agreed

Buildings And Works, Total Capital, Agreed

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Ludy Pudluk

Total buildings and works, $4,282,000. Agreed?

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Some Hon. Members

Agreed.

---Agreed

Equipment Acquisition, Headquarters, Total Capital, Agreed

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
Item 18: Consideration In Committee Of The Whole Of Bills And Other Matters

Page 316

The Chair Ludy Pudluk

Equipment acquisition, headquarters, total region, $1,000,000. Agreed?

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Some Hon. Members

Agreed.

---Agreed

Equipment Acquisition, Total Capital, Agreed

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Ludy Pudluk

Total equipment acquisition, $1,000,000. Agreed?

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Page 316

Some Hon. Members

Agreed.

---Agreed

Arctic Airports, Total Capital, Agreed

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Ludy Pudluk

Total activity, $5,282,000. Agreed?

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Some Hon. Members

Agreed.

---Agreed

Motor Vehicles

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Ludy Pudluk

Page 11-18. Motor vehicles, buildings and works, headquarters, total region, $200,000. Mr. Gargan.

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Samuel Gargan Deh Cho

Thank you, Mr. Chairman. I would like to know if this is where I address the highway patrol issue.

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The Chair Ludy Pudluk

Mr. Gargan would you repeat your question, please?

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Samuel Gargan Deh Cho

Mr. Chairman, I have some concerns with regard to the highway patrols under your department. Is this where I should be addressing it?

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Ludy Pudluk

Thank you. Mr. Minister.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Titus Allooloo Amittuq

Mr. Chairman, this is to ensure that there is compliance with the regulations for vehicle weight, registration, safety, and dangerous goods transportation -- the NWT requires vehicle inspection stations. The $200,000 requested for this fiscal year is to address high priority items identified by the needs study and is expected to be completed by March 1992. This is for those inspection stations, registration, safety, and dangerous goods transportation.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Ludy Pudluk

Mr. Gargan.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Samuel Gargan Deh Cho

Is this the place where I should be addressing my particular issue?

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Ludy Pudluk

Mr. Gargan, as long as it is related to the capital. Mr. Minister.

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Titus Allooloo Amittuq

Thank you, Mr. Chairman. It would be more adequate for the Member to ask his question in the O and M budget, with respect to highway patrol.

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The Chair Ludy Pudluk

Thank you for the correction. Mr. Gargan.

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Samuel Gargan Deh Cho

I do agree with the Minister, but if we are going to be spending several thousands of dollars on vehicles, and we approve it now, I hardly find it appropriate to be addressing it after the fact.

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The Chair Ludy Pudluk

Mr. Minister.

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Titus Allooloo Amittuq

Thank you, Mr. Chairman. In this

particular section, for the $200,000, this is not to purchase any vehicles. It is for upgrading of the weigh scale facilities.

Buildings And Works, Headquarters, Total Capital, Agreed

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Ludy Pudluk

Total region, $200,000. Agreed?

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Some Hon. Members

Agreed.

---Agreed

Buildings And Works, Total Capital, Agreed

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Ludy Pudluk

Total buildings and works, $200,000. Agreed?

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Some Hon. Members

Agreed.

---Agreed

Motor Vehicles, Total Capital, Agreed

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Ludy Pudluk

Total activity, $200,000. Agreed?

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Some Hon. Members

Agreed.

---Agreed

Transportation Planning

Buildings And Works, Headquarters, Total Capital

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Ludy Pudluk

Page 11-20. Buildings and works, headquarters, total region, $1,179,000. Agreed? Mr. Todd.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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John Todd Keewatin Central

I wonder if the Minister could give us some indication of how many northern consultants and engineering firms have been used, versus outside firms.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Ludy Pudluk

Thank you. Mr. Minister.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Titus Allooloo Amittuq

Thank you, Mr. Chairman. We use very few outside consultants. My department tells me that we mostly use the northern consultants to do this work, or our staff.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Ludy Pudluk

Thank you. Mr. Todd.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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John Todd Keewatin Central

So we are going to be provided with a breakdown. Well, I suppose this stuff has not gone to tender yet, sorry. It is okay.

Buildings And Works, Fort Smith, Total Capital

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Ludy Pudluk

Fort Smith, total region, $22,049,000. Member for Thebacha.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Jeannie Marie-Jewell Thebacha

Thank you, Mr. Chairman. Mr. Chairman, I would like to ask the Minister, with respect to recognizing his budget dealing with the highways, if his department has done anything with regard to the efforts of the community of Fort Smith to address the road through Wood Buffalo National Park. I would like to know if his department has dealt with that issue. I am aware that the Department of Transportation, when it was in with DPW, had granted Fort Smith some dollars to look at getting this road developed. I believe the study was submitted to the department. Could the Minister give me an update as to what has been done and what they intend to do? Thank you.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Ludy Pudluk

Thank you. Mr. Minister.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Titus Allooloo Amittuq

Thank you, Mr. Chairman. If the Member is asking about the Wood Buffalo National Park loop, this highway is a federal responsibility. We maintain it on behalf of the federal government and the Government of Alberta. We have no tentative plan at this point to do any work unless the federal government and the Government of Alberta ask us to do some improvements or rehabilitation of the road. The only area that we are responsible for is to maintain it.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Ludy Pudluk

Member for Thebacha.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Jeannie Marie-Jewell Thebacha

Mr. Chairman, I am not too sure whether the Minister recognizes what road I am talking about. Currently on Highway No. 5 you go through a good portion of Wood Buffalo National Park. But it is not in respect to the road on Highway No. 5. It is basically the road that was there back in 1958 and has grown over considerably, leading from Peace Point into Vermilion. But it is what they called an old winter road that was used back in 1958. I recall back in 1988 the government had granted Fort Smith -- I do not believe they gave them $100,000, but their intention was to give them $100,000 to complete the study to see how they could address this road. But as a result I think their study cost to the tune of only $40-some thousand. There has been no further follow-up from that study. Since the study has been completed and the money was granted by the government to address this, could the Minister indicate to me as to what the status of this road is?

I just want to note that I recognize the roads of Wood Buffalo National Park are the responsibility of the federal government. However, I know that we maintain those roads, and I know the federal government does reimburse the territorial government for maintaining those roads. I guess the fact of the matter is that some of those roads in Wood Buffalo National Park are in territorial jurisdiction and within my constituency.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Ludy Pudluk

Thank you. Mr. Minister.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Titus Allooloo Amittuq

Thank you, Mr. Chairman. I really do not understand the Member's question. All the roads that are south of Fort Smith are in Alberta, and most of them are in the national park. It is a federal and Alberta's responsibility to construct roads in that particular area, since it is in Alberta and also in the national park. I wonder if the Member could rephrase her question.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Ludy Pudluk

Thank you. Member for Thebacha.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Jeannie Marie-Jewell Thebacha

Mr. Chairman, I would like to ask the Minister, since the government has granted the community of Fort Smith, I think somewhere to the tune of $50,000 to do a study with respect to the road off Highway No. 5 that leads into Alberta, can the Minister advise me the status?

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Ludy Pudluk

Thank you. Mr. Minister.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Titus Allooloo Amittuq

Mr. Chairman, I would like my deputy minister to respond to that question.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Ludy Pudluk

Mr. Gamble.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Gamble

Yes, the Department of Transportation did provide at the the request of the Town of Fort Smith, some assistance in preparing an economic study of a link from Fort Smith south to the Alberta highway system. That study was undertaken by the Town of Fort Smith. A road south from Fort Smith to link with the Alberta highway system is one of the roads suggested in the transportation strategy. In order for that road to be built, it would require considerable investment by both the federal and provincial governments. It is part of our plan, in negotiating with the federal

government for funding under the strategy, to include that road corridor as one of the items. Thank you.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Page 318

The Chair Ludy Pudluk

Thank you. Member for Thebacha.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Jeannie Marie-Jewell Thebacha

Mr. Chairman, I think it could be the road that the deputy minister is addressing in respect to the study, but I guess the road that I am talking about is the road that was intended to be studied. The road that I am speaking about is an extension from Peace Point to Garden Creek, down to Fort Vermilion.

Just to give some background, back in 1958 there was a road there. It was a winter road. Since then it has grown over, being in the park. Basically this road has about 75 miles of it to be cleared so that it can connect into some of the Alberta highways and you can have a loop road that comes in through Hay River, on Highway No. 5 that I spoke about yesterday, where I have asked for consideration of pavement, down around into Alberta. What I am asking is if there is any consideration being given to this particular road for which we gave money to have it studied. Further, Mr. Chairman, the reason I ask is that we have a heavy equipment program in Fort Smith that could possibly complete this road if negotiations were to be started, or even to be talked about with the Alberta and federal governments. That road is in the parks plan; it is in their management plan. It is identified. However, it has been at a standstill, and I would like to know whether the Minister's department has any intention whatsoever to address this road, since the department has already given the community $50,000 to study it and it has been studied. Thank you.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Ludy Pudluk

Thank you. Mr. Minister.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Titus Allooloo Amittuq

Thank you, Mr. Chairman. We will be happy to pursue to see what we could do in this particular area with the Member's advice. Thank you.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Ludy Pudluk

Fort Smith, total region. Member for Thebacha.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Jeannie Marie-Jewell Thebacha

Thank you, Mr. Chairman. I am pleased to hear those remarks, so therefore I will make it a point to further discuss this issue with the Minister and see if consideration would be given to address this particular road. I am sure it will enhance the opportunity of transportation for the Territories, and no doubt it will have a lot of other compounded good effects, not only for my particular constituency but for the Territories as a whole in respect to tourism and other areas. Thank you.

Buildings And Works, Fort Smith, Total Capital, Agreed

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Ludy Pudluk

Fort Smith, total region, $22,049,000. Agreed?

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Some Hon. Members

Agreed.

---Agreed

Buildings And Works, Inuvik, Total Capital, Agreed

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Ludy Pudluk

Inuvik, total region, $1,561,000. Agreed?

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Some Hon. Members

Agreed.

---Agreed

Buildings And Works, Baffin, Total Capital, Agreed

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Ludy Pudluk

Thank you. Baffin, total region, $815,000. Agreed?

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Some Hon. Members

Agreed.

---Agreed

Buildings And Works, Kitikmeot, Total Capital, Agreed

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Ludy Pudluk

Thank you. Kitikmeot, total region, $390,000. Agreed?

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Page 318

Some Hon. Members

Agreed.

---Agreed

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Ludy Pudluk

Thank you. Total buildings and works. Mr. Todd.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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John Todd Keewatin Central

There is something missing here. Mr. Chairman, was there no activity for the Keewatin? Does it not have any works, people, water? Is there some particular reason why we have been left out?

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Ludy Pudluk

Thank you. Mr. Minister.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Titus Allooloo Amittuq

Mr. Chairman, there is in other activities. This particular one is planning activities.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Ludy Pudluk

Thank you. Member for Nahendeh.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Jim Antoine Nahendeh

Thank you, Mr. Chairman. In my comments I forgot to mention one thing. I think this is the only chance I have to raise it. I received a letter from George Boots from Willowlake River in his camp, and he says he would like to share some of his concerns with me. His camp and his family, and another large family, Betsedia, live at the mouth of Willowlake River, and the highway is just in the back of their camp now. He says, "Road to mouth of Willowlake River. It was told to me that each year for the next four years they work on it little by little, but last year no work was done on it." I am relaying his concern to you to see if there is anything in the plan or in the works to help out George Boots in his camp at the mouth of the Willowlake River. Thank you.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Ludy Pudluk

Thank you. Mr. Minister.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Titus Allooloo Amittuq

I would like my deputy minister to respond, please.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Ludy Pudluk

Mr. Gamble.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Gamble

The work planned on opening the extension of the Mackenzie to Wrigley will improve the access, but we do not have any work in the capital plan to improve the access to the camp itself. Thank you.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Ludy Pudluk

Thank you.

Buildings And Works, Total Capital, Agreed

Total buildings and works, $25,994,000. Agreed?

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Some Hon. Members

Agreed.

---Agreed Transportation Planning, Total Capital, Agreed

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Ludy Pudluk

Total activity, $25,994,000. Agreed?

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Page 319

Some Hon. Members

Agreed.

---Agreed

Transportation Department, Total Capital, Agreed

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Page 319

The Chair Ludy Pudluk

Thank you. We will go back to 11-7. Department of Transportation, program summary, capital expenditures, total capital expenditures, $35,176,000 Agreed?

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Page 319

Some Hon. Members

Agreed.

---Agreed

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Page 319

The Chair Ludy Pudluk

Thank you. I would like to thank the Minister and deputy minister for appearing before this committee. What does this committee wish to do now? Go on to the next department? Which department? Does this committee agree that we go on to Economic Development?

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Some Hon. Members

Agreed.

---Agreed

Department Of Economic Development And Tourism

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Page 319

The Chair Ludy Pudluk

Thank you. I wonder if the Minister would like to make an opening remark at this time. Mr. Minister.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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John Pollard Hay River

Mr. Chairman, I would respectfully request that the two witnesses from the Department of Economic Development and Tourism be allowed in.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Ludy Pudluk

Does this committee agree?

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Page 319

Some Hon. Members

Agreed.

---Agreed

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Ludy Pudluk

Thank you. Proceed, Mr. Minister. Mr. Minister, for the record will you introduce your witnesses, please?

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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John Pollard Hay River

Thank you, Mr. Chairman. To my left is the deputy minister of Economic Development and Tourism, Mr. Dwight Noseworthy. To my right is Mr. Jim Kennedy, the director of finance, Economic Development and Tourism. Thank you, Mr. Chairman.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Ludy Pudluk

Mr. Minister, if you wish to make an opening remark, now is the time.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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John Pollard Hay River

Mr. Chairman, we have some new conflict of interest guidelines that are in place at the present time. In the past I have been an owner of a fishing lodge in the Northwest Territories that was licensed by this department. I feel it is incumbent upon me to tell the House the instructions that I have issued to the department and to the Government Leader, and read into the record my position on the conflict of interest, Mr. Chairman.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Ludy Pudluk

Is that agreed?

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Some Hon. Members

Agreed.

---Agreed

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair Ludy Pudluk

Thank you. Proceed, Mr. Minister.

Conflict Of Interest Statement

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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John Pollard Hay River

Mr. Chairman, this is a letter dated January 10, 1992 to the Government Leader:

"As a Member of the Legislative Assembly and Minister of the Government of the Northwest Territories, GNWT, and in accordance with the GNWT conflict of interest legislation, I have filed my conflict of interest statement with the court of the Legislative Assembly. In addition, I am outlining the following points of clarification for your information:

"The Department of Economic Development and Tourism, along with other Government of the Northwest Territories' departments, conducts inspections of a lodge which is owned by my wife, Ellen Pollard, namely Brabant Lodge. Where required by legislation or policy, and in accordance with all of the terms and conditions of said legislation, the Department of Economic Development and Tourism, along with other GNWT departments, issues licences to Brabant Lodge. Brabant Lodge is licensed by the Department of Renewable Resources to issue sport fishing licences to licensed guests of the lodge on behalf of that department. This service has provided the commission of 10 per cent, per licence, for a total annual revenue of less than $1000.

"At no time has Brabant Lodge accessed grant contribution or loan funding from the GNWT, nor will the current lodge owner, Ellen Pollard, attempt to do so for the duration of my term as Minister of the Government of the Northwest Territories.

"Brabant Lodge has had GNWT departments as clients in the past. The current owner of Brabant Lodge, Ellen Pollard, has agreed not to have GNWT departments as clients for the duration of my term as Minister of the Government of the Northwest Territories, as evidenced in the attached letter.

"Attached are letters of instruction to the Department of Economic Development and Tourism, the Department of Finance, and the Northwest Territories Public Utilities Board, advising them that any dealings between themselves and Brabant Lodge, for example, issuing of licences, should not be brought to my attention and should be directed straight to the Government Leader's office. If there is uncertainty regarding the application of this direction, the issue should be addressed to the Government Leader for a ruling.

"If you require further clarification of any of the points raised in this correspondence, or in other information related to my position as Minister, in the interest of conflict of interest, please contact me."

Mr. Chairman, I read that into the record because my wife is the owner of Brabant Lodge and, as I said, this department has some licensing authority over that particular establishment. Thank you, Mr. Chairman. Mr. Chairman, if I may now make my opening remarks.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair James Arvaluk

Go ahead.

Minister's Opening Remarks

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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John Pollard Hay River

Mr. Chairman, the Department of Economic Development and Tourism is presenting for the approval of this committee, a 1992-93 capital budget of approximately $11.5 million.

The majority of these initiatives contained in this budget, totalling some eight million dollars, are for investments through the Northwest Territories Development Corporation. Investment decisions are made by a board of directors composed of business people from across the Territories.

Mr. Chairman, the primary objectives of the Northwest Territories Development Corporation are: increase employment and income opportunities for residents of the Northwest Territories, primarily in small communities; to promote economic diversification and stability in the business sector; and, to stimulate the growth of business activity.

Mr. Chairman, the remainder of the capital expenditures proposed in this budget are for tourism initiatives such as parks and visitor centres. Over the last few years, the department has consulted with residents of the Northwest Territories, private sector operators and visitors to the Territories, with a view to developing infrastructure for tourism that reflects the cultural heritage of the people of the Northwest Territories and, at the same time, meets the needs and expectations of visitors.

Mr. Chairman, a satisfied tourist is one of the best ways to advertise tourism. If the basic infrastructure is not in place, if our facilities are not maintained, or if the level of service is not up to standard, people will leave the North with a bad impression and are not likely to recommend that others visit the Northwest Territories.

Not making the most of what the Northwest Territories has to offer in the way of a tourist destination would be selling our economic potential short. Tourism means jobs and economic activity for the people of the Northwest Territories. For the most part, it means opportunities for people to be employed in their home community and, equally important, Mr. Chairman, tourism promotes a sense of community pride by providing the opportunity for people of the Northwest Territories to share their cultural heritage with visitors from all over the world.

In conclusion, Mr. Chairman, this 1992-93 capital budget reflects a commitment by this department to work with the people of the Northwest Territories to increase employment and income opportunities for Northerners, through the development of tourism infrastructure, and through direct and joint venture investment in NWT businesses. Thank you, Mr. Chairman.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair James Arvaluk

Thank you, Mr. Minister. Would the chairman of the finance committee like to make any opening remarks? Mr. Todd.

Comments From Standing Committee On Finance

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
Item 18: Consideration In Committee Of The Whole Of Bills And Other Matters

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John Todd Keewatin Central

Thank you, Mr. Chairman. When the committee reviewed the Department of Economic Development's budget the most obvious example to the committee was the government's decision that capital estimates tend to be driven, or not driven, by cost-benefit analysis. By that, we mean, "We are going to build a park here. We think there are going to be some jobs. We are going to do this here and we think there is going to be some economic activity."

The committee was concerned that in these times of fiscal restraint, and that it is important to understand that, if we really have the luxuries of some of these expenditures; whether they are visitors' centres, heritage sites, Thule areas, given that there are items of, perhaps, more priority; feeding people and clothing people and housing people.

We felt at the time, I repeat, because of the limitations in these difficult times that a number of these programs -- the department certainly seems to be accelerating, particularly in the visitors' centres -- a number of these programs may, in fact, be what we define in difficult financial times as luxuries.

With respect to the NWT Development Corporation, the previous standing committee on finance was promised a presentation on policies and procedures which we understand was never presented. We are still not sure, to date, that these policies and procedures are in place, and we do not know how the corporation spent $11.8 million when only ten million dollars was appropriated last year. Although, the Minister did indicate there was a $1.8 million carry-over. Now we are being asked to appropriate eight million dollars for the corporation and we feel it is essential that we get a detailed copy of their management systems and controls. We did not have it at the time we reviewed the budget, Mr. Pollard, as you well know, and it certainly was not in place the previous year, as you well know, because you alluded to it as chairman of the standing committee on finance, and that is the point that we are trying to make here. You cannot go spending $20 million worth of money unless we know who is spending it, why we are spending it, and what is the net effect of spending it.

With respect to Economic Development's budget, we really do not have too much difficulty with it. We feel that cabinet should re-examine the priorities from a cost-benefit basis in light of our fundamental needs. In other words, it is no different with this department as we have said with others. If we are going to have a long-term economic problem we have to determine if building visitors' centres, building parks, et cetera, takes priority over building houses, feeding people, and clothing people. It may seem a little idealistic but we have to take a look at the fundamental needs of Northerners.

We also feel that the NWT Development Corporation should provide us with policies and procedures to the committee that will ensure value for its capital investment. There was also a fair amount of concern by some Members of the standing committee on finance, that this development corporation may end up competing, if you want, in the broadest terms, with other interests out there. In particular, with the significant investment of Mr. Patterson's sawmill in Hay River. The point the committee wanted to make, in simple terms, was if you cannot measure it, you cannot manage it. They have to find a way to ensure that the money spent is bringing some net effect to the Northwest Territories. That is it. Thank you.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair James Arvaluk

Thank you, Mr. Todd. General comments, Mr. Nerysoo.

Establishment Of Interpretive And Visitors' Centres

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Richard Nerysoo Mackenzie Delta

Thank you, Mr. Chairman. I would like to ask a couple of questions on policies of government. What is the policy for establishing such things as interpretive centres? Is it normally at the point of entry of tourists, or is it at the location of a community where tourists usually end up?

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair James Arvaluk

Thank you. Mr. Minister.

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John Pollard Hay River

The Member mentioned interpretive centres. Those could be in any community and they may be of any size, Mr. Chairman. The next level up from that would be a visitors' centre and those visitors' centres would be placed strategically at a place where a visitor may arrive in the NWT, such as Yellowknife, Rankin Inlet, Inuvik, Iqaluit, major destination points. Then from there they would move off into other communities and the idea would be some sort of networking between the communities in that particular region, and the visitors' centre; not only talking about what happens in that particular community but the benefits of going to other communities in that particular region. In the smaller communities there would be an interpretive centre for visitors' use while they are in that particular community.

Thank you, Mr. Chairman.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair James Arvaluk

Mr. Nerysoo.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Richard Nerysoo Mackenzie Delta

Mr. Chairman, if I could ask again, what is the policy with regard to that particular item? You indicated the major communities as being the point of entry, but the fact is that that is not the case on highways. So I want to ask the honourable Member, what is the policy of establishing interpretive centres, or for that matter, visitors' centres?

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair James Arvaluk

Mr. Minister.

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John Pollard Hay River

There is no formal policy, Mr. Chairman. It is based on the responses that we get from tourism associations, from communities; it is based on our own knowledge of the transportation networks in the NWT; it is based on need, the perceived need of communities; and just general consultation. There is no formal policy, Mr. Chairman.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair James Arvaluk

Thank you. Mr. Nerysoo.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Richard Nerysoo Mackenzie Delta

Could I then ask if the Minister could consider a policy that could clarify how this government could establish priorities for developing those kinds of centres; whether or not it is interpretive or visitors' centres; so it is clear to even the tourist associations how they deal with communities? With the greatest of respect, I do not think Inuvik would really take serious consideration of McPherson's needs for instance, just based on the fact that they are more interested in maintaining or retaining the tourists in their community. It would not make any sense for me economically for that tourist association to really worry about Fort McPherson or Arctic Red. I am asking you if you could establish clear guidelines or clear policies on how communities can access, or at least develop these kinds of centres.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair James Arvaluk

Mr. Minister.

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John Pollard Hay River

Mr. Chairman, I understand the Member's concern. Yes, we will certainly consider a policy. I would point out to the Member that we have the same concerns; that if we are going to invest dollars, and these days the federal government, through the park's services has been investing with us in these particular visitors' centres so that we can get some efficiency and some economy -- we are very concerned at putting that kind of infrastructure into a community that is not going to share that large infrastructure with the communities in the regions. So, yes, we will look at a policy. Thank you, Mr. Chairman.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair James Arvaluk

Mr. Nerysoo.

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Richard Nerysoo Mackenzie Delta

Mr. Chairman, if I could make another point. I would hope that in dealing with matters related to the tourist industry that his department is not only going to look at the manners of efficiency and economies of scale of infrastructure, as opposed to efficiency of response to requests made by communities. I can say to you that McPherson and Arctic Red River are no better off now than we were when the highway was first opened in 1977. The infrastructure may have improved slightly but the economic activity or economic benefits are really not being received by those communities, and when I mentioned the point of entry, the point of entry is not Inuvik on the Dempster Highway, it is Fort McPherson. The first two communities are Arctic Red and Fort McPherson. So the first impressions of people on those highways may not come through Hay River or Fort Liard. The first impressions are going to be those services that are offered in those communities, so if they are not happy with the services there, they are certainly not going to leave the North with a very good impression.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair James Arvaluk

Mr. Minister.

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John Pollard Hay River

I would agree totally, Mr. Chairman. Thank you.

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The Chair James Arvaluk

Mr. Todd.

Consideration Of Multi-Use Buildings In Times Of Recession

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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John Todd Keewatin Central

Again, I want to say that in affluent times it is easy to look at luxury items, what I would find as luxury items. In difficult times you have to look at a way of doing multi-use buildings, et cetera. One of the things, apart from what I saw in Iqaluit where they shared the space with the library, one of the things we said to Education was, you have to take a closer look at some co-ordination between people who look after cultural affairs, library services and schools. I wonder if any consideration is going to be given to that, about the need to try to amalgamate visitors' centres and information centres with other facilities. Let us use Arviat. In Arviat, the school that was built last year, or the visitors' centre that is currently being built, and the library that is now going to be built -- there has to be some cost savings, I would think. It has to click, it has to integrate, it has got to work, but I am wondering if in future that kind of thinking should not come into the picture.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair James Arvaluk

Mr. Minister.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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John Pollard Hay River

Thank you, Mr. Chairman. Mr. Chairman, there has already been some discussion between Culture and Economic Development and Tourism, and also with Education, and I think there are some initiatives already under way with regard to libraries being attached to schools, because schools already require a library, and what has been suggested is that in as much as the school would have use of the library, there may be a separate entrance for members of the community to use the library as well, so, yes to both of Mr. Todd's questions. Thank you.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair James Arvaluk

Thank you. Mr. Todd.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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John Todd Keewatin Central

Yes, just another question. I think I know the answer, but I am going to ask it anyway. When they look at the development of these visitors' centres, which clearly, as far as I can see, are only an expansion -- it is almost like a department on its own. What is the percentage of northern content with respect to some of these visitors' centres that are being built? While I recognize there may be some limitations in our skill level in developing these things, particularly in the design for exhibitions, et cetera., I wonder what kind of northern content would be involved in this, because it is significant dollars, both in the past and certainly down the road. It almost seems to be taking on an entity of its own.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair James Arvaluk

Mr. Minister.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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John Pollard Hay River

Mr. Chairman, it varies across the Northwest Territories with the different locations, but if you take all of the centres and put them together, 85 per cent of the money that it costs to build them or put the information together was spent in the Northwest Territories. Thank you, Mr. Chairman.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair James Arvaluk

Thank you. Mr. Pudlat.

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Kenoayoak Pudlat Baffin South

(Translation) Mr. Chairman, my question is to the Minister. Is it appropriate to ask the Minister about visitors' centres at this time?

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair James Arvaluk

Yes. (Translation) You can talk about tourism, visitors' centres, because the department is

available.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Kenoayoak Pudlat Baffin South

(Translation) My question is to the Minister. He has not responded to my question. The visitors' centre I am talking about is in Cape Dorset. Is it in the current capital estimates? I am asking the Minister again. They do have staff students available, and I wonder if this will come under the capital estimates. Is this to be continued? I realize that we are in a time of restraint, however, the visitors' centre -- I would like to ask the Minister if it is under the capital estimates for this year?

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair James Arvaluk

Mr. Minister.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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John Pollard Hay River

There is presently no visitors' centre in this capital budget for Cape Dorset, Mr. Chairman.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair James Arvaluk

Thank you. Mr. Bernhardt.

Economic Development Officer, Coppermine

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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Ernie Bernhardt Kitikmeot

Thank you, Mr. Chairman. I would like to ask the Minister; why has there not been any kind of economic development coming into the Kitikmeot Region, particularly Coppermine?

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair James Arvaluk

Mr. Minister.

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John Pollard Hay River

The Member is correct, Mr. Chairman, there has not been a whole lot going into Coppermine. The department has been working for the community for the last year, and we are hoping to improve our record there. Thank you, Mr. Chairman.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair James Arvaluk

General comments. Mr. Todd.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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John Todd Keewatin Central

I wonder if there is any particular reason -- not that I have to speak for Mr. Bernhardt -- but we have a community of 900 people and it does not have an economic development officer.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair James Arvaluk

Mr. Minister.

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John Pollard Hay River

Mr. Chairman, Coppermine does have an economic development officer.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair James Arvaluk

Mr. Todd.

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John Todd Keewatin Central

Maybe the Minister could enlighten us as to how long this economic development officer has been there. Has he been there for a long time?

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The Chair James Arvaluk

Mr. Minister.

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John Pollard Hay River

Mr. Chairman, the position has been there for some time. It is vacant at the present time because we are negotiating with the hamlet to turn over that particular position to the hamlet of Coppermine.

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair James Arvaluk

Mr. Bernhardt.

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Ernie Bernhardt Kitikmeot

Thank you, Mr. Chairman. Mr. Minister, when I went home after the past sitting I was on the same plane as the new economic development officer for Coppermine. He just went in last month. I find it kind of, not appalling but kind of disturbing to find out that he comes all the way from Newfoundland. I wonder if there is any coincidence between the Department of Personnel -- the superintendent of the economic development officer is also from Newfoundland. I wonder if we are going to see any kind of improvement in our fishing industry?

Bill 14: Appropriation Act, No. 1, 1992-93 And Committee Report 3-12(2)
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The Chair James Arvaluk

Mr. Minister.

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John Pollard Hay River

Mr. Chairman, I will check into the matter but I am fairly sure that the hamlet was on the hiring committee, or at least consulted about this candidate. I think we have some local input to this particular person, but I will check into the matter further and get back to the Member. Thank you, Mr. Chairman.

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The Chair James Arvaluk

Thank you. Mr. Todd.

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John Todd Keewatin Central

I wonder, from an operational point of view, what steps, if any, the department is taking to increase the spending authority of the regional superintendents. One of the problems I think we have all recognized is that you cannot do a hell of a lot with $50,000 in the Northwest Territories any more. I am wondering if any consideration has been given to: 1) expanding the regional superintendents' authorities; and 2) I heard the rumour the other day, and I am curious about how you are now going to run these regional boards. My understanding is that the superintendent is going to be the representative of the department. Is there going to be any community input with respect to the loan boards at the regional level? My understanding is, that it is going to be left to the discretion of the superintendent. Is this a change in policy or what? So the two questions are: 1) are we going to expand the authority of the regional superintendents, which I believe we should? and 2) maybe I could get a better clarification of what we are doing with respect to regional loan boards under this new NWT Credit Corporation.

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The Chair James Arvaluk

Mr. Minister.

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John Pollard Hay River

Mr. Chairman, I am assured by the Minister of Finance that the problem of the local authority in spending is being looked at, sir. With regard to the boards, yes, the regional superintendent can be on that board or can chair that board, but I also have the authority and discretion to change that if I see fit, Mr. Chairman, so it is not a hard and fast rule, and I will listen to any advice that may come my way, and I am sure it will from Mr. Todd, Mr. Chairman.

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The Chair James Arvaluk

General comments. Mr. Todd.

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John Todd Keewatin Central

The clarification has changed. The way it happened in the past is that you had a business loan fund at the regional level, with regional input through the regional superintendent who had a $50,000 lending authority; what I am told is -- whatever you are doing with this new NWT Credit Corporation -- that, in fact, there is not going to be any system in place that says we will have a committee of two, three or whatever. It is going to be left solely to the discretion of the superintendent. In other words, a civil servant, if you want, will determine who the good guys are and who the bad guys are, and who gets the money and who does not get the money. I am wondering if I am correct. Maybe the information that I have is not correct.

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The Chair James Arvaluk

Mr. Minister.

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John Pollard Hay River

There is still provision for regional boards, Mr. Chairman.

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The Chair James Arvaluk

Thank you. General comments. Mr. Dent.

NWT Government Owned Kiosk At Toronto Airport

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Charles Dent

Charles Dent Yellowknife Frame Lake

Thank you, Mr. Chairman. I would like to address some questions to the Minister about the NWT Development Corporation. I guess I am tied to asking questions about what I know happened in the last year because there is not a way to give anything in the future years, so the budget is difficult to question on specifics planned.

I would like to ask some questions, not because I think that the goal of the corporation is not good, it is just that I think we want to be sure that the corporation is focused on attaining the goal of providing an increase in the economy and employment in the North. I just have some questions I would like to ask. For instance, the kiosk in the Toronto airport; what, if I might ask, is the square footage total and what is the cost per square foot?

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The Chair James Arvaluk

Mr. Minister.

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John Pollard Hay River

Mr. Chairman, I do not have that information here at the present time, but I will get it for the Member. I will provide a copy of the contract between the NWT Development Corporation and Transport Canada. Thank you.

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The Chair James Arvaluk

General comments. Mr. Dent.

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Charles Dent

Charles Dent Yellowknife Frame Lake

Is the Minister prepared to answer some fairly specific questions about this project now? Or should I defer my questions until another time?

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The Chair James Arvaluk

Mr. Minister.

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John Pollard Hay River

Mr. Chairman, I am prepared to take a run at it.

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The Chair James Arvaluk

Proceed, Mr. Minister.

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John Pollard Hay River

I will try and answer Mr. Dent's questions, is what I said, Mr. Chairman.

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The Chair James Arvaluk

Mr. Dent.

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Charles Dent

Charles Dent Yellowknife Frame Lake

Thank you, Mr. Chairman. I understand that this kiosk is going to be located in Terminal 2, and I believe that is the Air Canada terminal. Can we get some indication of which section of the airport it is located in? Is it a high-traffic area? Is it in the international departures area? the national one? the rapid air departures? Or is it tucked away in some corner?

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The Chair James Arvaluk

Mr. Minister.

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John Pollard Hay River

Mr. Chairman, it is in the international departures section.

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The Chair James Arvaluk

Mr. Dent.

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Charles Dent

Charles Dent Yellowknife Frame Lake

I wonder if the Minister could advise what would be the break-even point for sales in this venture?

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The Chair James Arvaluk

Mr. Minister.

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John Pollard Hay River

I do not have that information here, Mr. Chairman.

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The Chair James Arvaluk

Mr. Dent.

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Charles Dent

Charles Dent Yellowknife Frame Lake

Thank you, Mr. Chairman. I wonder if the Minister could advise where and how the arts and crafts to be sold in this shop will be purchased; will they be purchased directly from the artists? Will the department be actively involved in soliciting them? Or will this be happening through the co-ops? Just what is the process?

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The Chair James Arvaluk

Mr. Minister.

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John Pollard Hay River

We are buying from the co-operatives. We are gathering them ourselves through our own efforts and our own regional superintendents, and what we are hoping to do is place those items down there. There will be a fairly sophisticated cash register that will chart where the product came from, how fast it is selling, and hopefully we will be able to feed back to those communities where the product came from, the success of those different products. It is important that we do that because some things may not move as fast as others, and we would like to report that back to the people who are making them. So there are a number of ways that we are gathering products to be sold in the kiosk. It has been a good experience for us, having gone through the same routine for Seville. So it was a matter of merely tapping into that system that has been set up for Expo '92. Thank you, Mr. Chairman.

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The Chair James Arvaluk

Mr. Dent.

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Charles Dent

Charles Dent Yellowknife Frame Lake

I am assuming, given the location and the type of retail outlet, that the value of the goods sold will have to be relatively low in comparison to the usual charge for carvings and so on. Is the department satisfied that the low end is the area in which the economy can best be stimulated right now?

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The Chair James Arvaluk

Mr. Minister.

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John Pollard Hay River

Mr. Chairman, as I said in question period today, the Japanese market is targeted for true Inuit sculpture and art. We are not playing around with handicrafts or crafts in that particular area. The Toronto kiosk is aimed more at handicrafts and crafts, as opposed to art. So, yes, they would obviously be of a lower price. That is not to say that we will not have some high-end items on display, but we certainly will not be loading an inventory with that. This is handicrafts as opposed to art being made available for sale in the Toronto kiosk. Thank you, Mr. Chairman.

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The Chair James Arvaluk

General comments. Mr. Antoine.

Future Plans For NWT Development Corporation

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Jim Antoine Nahendeh

Thank you, Mr. Chairman. I have a few comments about Economic Development and Tourism. I am one of the MLAs that is on the standing committee on finance, and in the documents that we have here, the NWT Development Corporation takes up 69 per cent of the total budget for capital on Economic Development and Tourism this year. It takes a big percentage of the total capital. I feel that we need more information, and I would like to get more information for the re-examination of the priorities for the cost and benefit basis. There are a lot of different fundamental needs in the North presently and programs and services to be delivered to the people in the communities, that is the most important thing right now. With the Development Corporation, last year they were allocated $10 million, and this year they are asking for eight million dollars. How long is this going to go on? Is it going to go on indefinitely? Will we be putting money into this Development Corporation every year?

We saw a list in our discussions of what kind of investment is taking place. If this continues, the NWT Development Corporation will eventually own all the businesses in the North. I want to know what the strategy is, what the game plan is behind the NWT Development Corporation. Is it going to continue until we own all the businesses or is this for a short period of time or for the next couple of years? Can the Minister clarify that for me, please?

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The Chair James Arvaluk

Mr. Minister.

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John Pollard Hay River

Thank you, Mr. Chairman. The guiding line has been where the private sector cannot or will not; that is what the Development Corporation has been guided by. I share the same concerns as the Member, and that is that eventually you become a fairly large corporation that is government-owned and is competing with the private

sector. So what we are hoping to do is that as businesses become viable, as they become able to stand on their own two feet, then we would hope to be able to spin those businesses off to the people who are working in them or somebody else who may be interested in that particular community. So I think it is a matter of nurturing the business, getting it standing and spinning it off to the private sector or to the employees that are working there. Thank you, Mr. Chairman.

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The Chair James Arvaluk

Thank you. Mr. Antoine.

Possibility For Businesses To Become Viable

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Jim Antoine Nahendeh

Thank you, Mr. Chairman. I would like to know, as each business has been joint ventured with or bought outright, like the Patterson Sawmill, and so forth -- there are quite a few of them -- is there a plan for each specific venture on when there is a possibility that these businesses becoming viable? Is there some sort of a strategy in place on how to deal with this? I want to know if there is a strategy for each business or each venture that was entered into, and how many years are we looking at for these businesses to become viable? Thank you.

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The Chair James Arvaluk

Mr. Minister.

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John Pollard Hay River

Thank you, Mr. Chairman. Some of these ventures may never become what the private sector would say is viable. They may never produce a profit, but I guess if you look at it from government's point of view and you look at it across all the departments of government and you ask, is it better that I am subsidizing a job and putting somebody to work and they are doing something meaningful, and it is costing me twenty cents on the dollar to do that, or is it better that we just pay the person to stay at home with social welfare? So there are some businesses that are there and will never make a true profit in the capitalist sense of the word, and we accept that. That is what this corporation was designed to do, in some instances to do that kind of thing.

There are other instances where the business may not make a profit, but it may not lose any money, either, and it is sort of not attractive to buy it because it is sitting in the middle. That is okay with us too, as long as it employs people and it makes products or it does some useful function and contributes to the community. There are other businesses, and Patterson Sawmill is one of them, that we believe that within three to five years, depending on the price of lumber, can be made profitable, and we can spin that back to the private sector.

So there is a mixture of things in that particular development corporation, and not all of them can be said to be profitable, or ever hope to become profitable, but they do serve the purpose, in our mind, of employment, useful activity and perhaps a better sense of one's self in being gainfully employed. Even though, to us, it may be a loss in the Department of Economic Development and Tourism, when you factor in the Minister of Social Services and what he might have to pay out, to the overall government it is probably a profit, Mr. Chairman. Thank you.

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The Chair James Arvaluk

Member for Nahendeh.

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Jim Antoine Nahendeh

Thank you, Mr. Chairman. I would like to know from the Minister of Economic Development and Tourism regarding the NWT Development Corporation, is there a point of time where, if a venture is not viable and it is not making money and is not doing the things you are saying of providing a job, is there going to be a point in time when these businesses are considered to be a bad investment and the government pulls out of it? Thank you.

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The Chair James Arvaluk

Mr. Minister.

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John Pollard Hay River

There are certain guidelines placed upon ventures that may start losing money, and if it gets outside of that envelope that has been placed on it by the Financial Management Board, then the NWT Development Corporation would have to report that back to the Financial Management Board for a decision, so it is not as though you can go and lose all kinds of money. There is a limit that has been set down by the Financial Management Board, and hopefully those businesses stay within that loss factor. If it does not, obviously it would have to go back to the Financial Management Board for decision. Thank you, Mr. Chairman.

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The Chair James Arvaluk

Mr. Antoine.

Highways As A Means To Draw Tourists

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Jim Antoine Nahendeh

Thank you, Mr. Chairman. I just have other comments that I want to move on to. The Minister knows that my constituency has highways in our area, and there is an initiative by the communities along that highway to try to draw tourists by road into our area. He is very much aware of it, since he is from Hay River and is involved with the loop through northern Alberta and northern BC communities trying to draw tourists into our part of the world. The turnoff to the Northwest Territories and northern BC has a very small sign, and it is very hard to see when you are driving up north through BC. I know there is going to be a sign put in place, but I would like to see something bigger and better eventually, because we have a lot of tours that go on the Alaska Highway right by our doorstep and it would be good if we could somehow attract them. A nice big sign is okay, but there should be some plan put in place by the department to try to draw the tourists more into our part of the country.

I know there is a big capital item for Dawson, in the Yukon, and it is in another territory, but something similar to that would be appropriate for us in our part of the country. People drive by Enterprise and Hay River and the Member for Hay River -- his constituency will benefit from such a venture. I just want to end my comments at this point. Thank you.

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The Chair Ludy Pudluk

Do you want to respond to that, Mr. Minister?

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John Pollard Hay River

The Member will not get any argument from me, Mr. Chairman. I hear what he is saying. I have seen pictures of the turnoff, off the BC highway, and I am going to go down there this summer and drive the whole thing. We are upgrading a whole lot of things along that particular stretch of the highway, and it is in our best interest, as well, as a government, to make use of those facilities because we need people to come up that highway. This year, we will be putting a new sign at the turnoff. As I said, I am going to go down there and look at the turnoff myself, because from the pictures it does not look that grand a turnoff. We are also interested in looking at working with BC about upgrading that turnoff. The sign is in the budget for this year. Thank you, Mr. Chairman.

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The Chair Ludy Pudluk

Thank you. General comments. Mr. Todd.

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John Todd Keewatin Central

Thank you, Mr. Chairman. I know you have said it, but I would like it clear for the record. There is a recognition within the department, with respect to the Northwest Territories Development Corporation, that in certain areas there is a requirement for government intervention within the economy of whatever activity it is. That is what I am hearing, that profit may not necessarily be the primary motive. We could be looking at employment, et cetera. To me it is just an allocation of dollars. Am I correct? I heard you say

it, but I need to hear you say it once again.

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The Chair Ludy Pudluk

Mr. Minister.

Mixed Bag Of Ventures In NWT Development Corporation

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John Pollard Hay River

Mr. Chairman, I think Mr. Todd has something to add. I would rather hear the whole thing before -- Mr. Chairman, I believe what I said is that there is a mixed bag of ventures in the NWT Development Corporation. Some of them will never make a profit. They are there to give people something to do, something meaningful to do, to gain some revenue; and some of those businesses in there will always sort of break even or lose a little bit, or make a little bit, but will never be attractive to the private sector. We think some of them will be profitable ventures that we can spin back into the private sector.

There is a mixed bag, as I said, and this corporation is not strictly for profit. It is there for development. If that means human development or business development, they are the same thing to us, Mr. Chairman. Thank you.

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The Chair Ludy Pudluk

General comments. Mr. Pudlat.

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Kenoayoak Pudlat Baffin South

(Translation) Thank you, Mr. Chairman. I want to ask a question to the Minister of Economic Development and Tourism about the craft shop in Baker Lake. We started to worry about that shop. It might be losing money. I have received some letters written by the people of Baffin Island. Their concern is that the centre will be buying carvings from the local Inuit, and it might affect the other regions. They might start losing money. So our main concern is that it has to be well planned in order not to lose money, but I do not know if it is supported by the people in the community of Baker Lake. They are using electric tools to carve some of the carvings, and for some of the sewing over there, they are using sewing machines; so I do not know if it is going to work out properly.

One time during a BRC meeting, it was on the agenda. The main concern was whether it was going to affect the other regions, especially the people from Baffin and Sanikiluaq, because just about in every community they are living on carvings, especially right now. We are not selling them very well. Perhaps, if they could sell them higher in Baker Lake, perhaps the other communities will be affected by this program. So this is my question to the Minister of Economic Development. That facility was very expensive to build. I am wondering if that was supported by the local people of Baker Lake. That is all the questions I have. Thank you.

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The Chair James Arvaluk

Thank you. Mr. Pollard.

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John Pollard Hay River

Thank you, Mr. Chairman. The facility in Baker Lake was supported by the local community. It is not, and I repeat not, designed to compete with traditional carvers. It is using some fairly modern wet grinding methods that do not lend themselves toward traditional Inuit sculpture, so I do not see it as being competitive. It will be designed more toward some abstract hard rock types of pieces and toward crafts.

I recognize the concern the Member has with regard to carvings not selling very well right now. As I said in question period today, we know that the co-op has more than a million and a half dollars worth of carvings, and that is why we are trying to get some additional markets offshore and will continue in that vein, to try to make the carving industry come back to what it was before. But Baker Lake is not designed to compete with traditional carvers. Thank you, Mr. Chairman.

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The Chair James Arvaluk

Thank you. Mr. Pudlat.

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Kenoayoak Pudlat Baffin South

(Translation) Mr. Chairman, in Baffin South we have all types of soapstone. There are some that are softer than the others. There is quite a variety of soapstone that we use. I can say that we have different types, and now I know that the project was supported by the residents of Baker Lake, but it was not supported by the Baffin South residents. Usually when we make carvings we sign our names and they put on a tag for authenticity. Is it true that the carvings that will be made will not be signed or identified as to who made the carvings? This is the last comment that I have. Thank you.

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The Chair James Arvaluk

Mr. Minister.

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John Pollard Hay River

Thank you, Mr. Chairman. Mr. Chairman, we do not have the authority to say to somebody who has made something, "You cannot sign it." I cannot guarantee the Member that people who create things will not sign them. What I can tell the Member is that we did have a meeting with the co-operatives a couple of weeks ago, and they have some very real concerns, as well. We are sitting down with them to try to work out what is art, what is crafts, what is abstract art, and come up with some kind of system of labelling that will definitely identify which is art, which is crafts, and so on and so forth.

We are aware of the problem. It has been brought to our attention and we are working on that particular problem. I cannot guarantee that whoever makes something will not sign it and take some pride in the fact that they made that particular item. Thank you, Mr. Chairman.

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The Chair James Arvaluk

Thank you. General comments. Mr. Bernhardt.

Help For Soapstone Carvers, Cambridge Bay And Coppermine

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Ernie Bernhardt Kitikmeot

Thank you, Mr. Chairman. Mr. Chairman, in Coppermine and Cambridge, the communities that I represent, I go to the co-op stores quite often just to browse around and compare prices between the Bay and the co-op. I always wander around and end up in the carving section of both stores. It really disturbs me when I look at the soapstone carvings that are on display and for sale that are not from our region. We get them from all over the region, except our local carvers and I find it very disturbing. We have our own carvers and yet -- I think your department should make an effort to help carvers find a quarry and establish a quarry and then haul these stones into Coppermine or Cambridge and that, in turn, will generate much-needed employment and develop our own carvers from our own region. Being new in this Assembly, I would like to see how I could assist the people who I represent to generate more income and employment.

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The Chair James Arvaluk

Mr. Minister.

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John Pollard Hay River

I think what the co-operative is doing, Mr. Chairman, is trying to take advantage of markets. They move carvings around between their stores in the Northwest Territories. We are certainly prepared to sit down with Mr. Bernhardt and look at ways to enhance carving or the making of crafts in his particular community, and we will be glad to do it. Thank you, Mr. Chairman.

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The Chair James Arvaluk

Thank you. Recognizing that the time is 2:00 o'clock, I will rise to report progress. Thank you. Before I rise, I would like to thank the Minister and Mr. Kennedy and Mr. Noseworthy, deputy minister. Thank you.