This is page numbers 1147 - 1190 of the Hansard for the 12th Assembly, 2nd Session. The original version can be accessed on the Legislative Assembly's website or by contacting the Legislative Assembly Library. The word of the day was chairman.

Topics

Bill 31: An Act To Amend The Young Offenders Act
Item 18: Consideration In Committee Of The Whole Of Bills And Other Matters

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The Chair Richard Nerysoo

Thank you. Mr Gargan.

Bill 31: An Act To Amend The Young Offenders Act
Item 18: Consideration In Committee Of The Whole Of Bills And Other Matters

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Samuel Gargan Deh Cho

In section 20-89, it says the Minister shall appoint a circle of directors, and then all the social workers would be appointed as directors, for administering the Young Offenders Act. Correct?

Bill 31: An Act To Amend The Young Offenders Act
Item 18: Consideration In Committee Of The Whole Of Bills And Other Matters

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The Chair Richard Nerysoo

Thank you. Mr. Kakfwi.

Bill 31: An Act To Amend The Young Offenders Act
Item 18: Consideration In Committee Of The Whole Of Bills And Other Matters

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Stephen Kakfwi

Stephen Kakfwi Sahtu

Mr. Speaker, I think the question is in regard to the way we are going to organize ourselves in the Department of Justice, and I do not think we are taking over the social workers. The earlier question was just suggesting that when the Minister of Justice looks at what would be suitable open custody, that we would be seeking the advice of people at the community level, one of whom would be the social workers, to help in the making of those designations. That would not mean that social workers are going to become part of the Department of Justice. If there is a position in a Department of Justice, it is going to be Director for Young Offenders, and that would mean someone who is going to ensure that the Department of Justice, in its obligations under being designated the lead agency, ensure that the Young Offenders Act is administered properly, that this Director will take care of that for the Department of Justice.

Bill 31: An Act To Amend The Young Offenders Act
Item 18: Consideration In Committee Of The Whole Of Bills And Other Matters

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The Chair Richard Nerysoo

Thank you. Mr. Gargan.

Bill 31: An Act To Amend The Young Offenders Act
Item 18: Consideration In Committee Of The Whole Of Bills And Other Matters

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Samuel Gargan Deh Cho

Mr. Chairman, when we dealt with the act itself, questions were asked and we did not quite finish those amendments, when we decided that the Members have problems, then it should be brought up in this House. It just does not make sense like that, Mr. Chairman, when we are in restraint, that we look at whole new amendments to the Young Offenders Act, to give responsibility to the Minister of Justice, when it does make more sense to have that responsibility stay within the Department of Social Services.

I guess that is what I was getting at. how much more money this is going to cost? Has the Minister indicated that it is going to cost perhaps a bit extra to do that? I believe that he said he is going to mentioning it in the O and M, but I wonder how much more that is going to cost us?

Bill 31: An Act To Amend The Young Offenders Act
Item 18: Consideration In Committee Of The Whole Of Bills And Other Matters

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The Chair Richard Nerysoo

Thank you. Mr. Kakfwi.

Bill 31: An Act To Amend The Young Offenders Act
Item 18: Consideration In Committee Of The Whole Of Bills And Other Matters

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Stephen Kakfwi

Stephen Kakfwi Sahtu

Mr. Chairman, one of the major considerations that we had when we looked at moving Young Offenders into Justice and Corrections was to, amongst other things, prepare for what we think is an eventuality. We are going to have to sit down with communities and discuss the administration of justice, which in this case, includes young offenders. It should be noted that in many communities, the community leaders, community elders, show a strong interest on their part, to assist courts and deal with young offenders. There is a very strong interest among the people in the communities to lend a hand, and provide alternatives to judges, and justices of the peace, when dealing with young offenders.

In the case in Fort McPherson, for instance, there is a very high interest on the side of the communities, and they have been doing it, in fact, for well over a year. This is one of the reasons I think that this move was made, but definitely, the social workers will stay involved in this work. Thank you.

Bill 31: An Act To Amend The Young Offenders Act
Item 18: Consideration In Committee Of The Whole Of Bills And Other Matters

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The Chair Richard Nerysoo

Thank you. Any other general comments? Probably more, just to indicate that we are going to get into the Department of Justice, where more specific questions can be dealt with at that time.

Bill 31: An Act To Amend The Young Offenders Act
Item 18: Consideration In Committee Of The Whole Of Bills And Other Matters

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Some Hon. Members

Agreed.

Bill 31: An Act To Amend The Young Offenders Act
Item 18: Consideration In Committee Of The Whole Of Bills And Other Matters

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The Chair Richard Nerysoo

Are we concluded, then, with general comments?

Bill 31: An Act To Amend The Young Offenders Act
Item 18: Consideration In Committee Of The Whole Of Bills And Other Matters

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Some Hon. Members

Agreed.

Bill 31: An Act To Amend The Young Offenders Act
Item 18: Consideration In Committee Of The Whole Of Bills And Other Matters

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The Chair Richard Nerysoo

Is it agreed that Bill 32 is ready for third reading?

Bill 31: An Act To Amend The Young Offenders Act
Item 18: Consideration In Committee Of The Whole Of Bills And Other Matters

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Some Hon. Members

Agreed.

Bill 31: An Act To Amend The Young Offenders Act
Item 18: Consideration In Committee Of The Whole Of Bills And Other Matters

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The Chair Richard Nerysoo

Thank you. Dealing with Bill 9. Bill 9, an Act to Amend the Insurance Act. Thank you. Mr. Whitford.

Bill 9: An Act To Amend The Insurance Act
Item 18: Consideration In Committee Of The Whole Of Bills And Other Matters

September 29th, 1992

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Tony Whitford

Tony Whitford Yellowknife South

Thank you, Mr. Chairman. Mr. Chairman, Bill 9, an Act to Amend the Insurance Act, contains two separate amendments.

The first amendment permits insurance companies to print a limiting clause, that is a specific statement warning consumers of the limit of the policy, if any, on an insurance policy in bold large print at least 12 points in size, as an alternative to the red ink requirement contained in the act. All jurisdictions have been requested to make this amendment by the Insurance Bureau of Canada, which is an association that represents the majority of general insurance companies in Canada.

The second amendment, Mr. Chairman, deals with an increase to the rate of premium tax, and fire tax, by insurance companies licensed in the Northwest Territories, from two percent to three percent, and one half percent to one percent, respectively. It is anticipated that the increases will generate an additional $250,000 in revenue for our government.

Those are my opening remarks, Mr. Chairman, thank you.

Bill 9: An Act To Amend The Insurance Act
Item 18: Consideration In Committee Of The Whole Of Bills And Other Matters

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The Chair Richard Nerysoo

Thank you. Bill 9, Mr. Todd, Chairman of the Standing Committee on Finance.

Bill 9: An Act To Amend The Insurance Act
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. The Standing Committee on Finance reviewed this bill at meetings on April 1, June 9, June 12, and June 22.

The Standing Committee would like to thank the former Minister, and his staff, who appeared before the committee to answer the questions of the committee on this matter.

Mr. Chairman, this bill would amend the Insurance Act, as the Minister said, to allow insurance companies to use both print of a separate size to warn of the amount payable on their insurance contract.

It also amends the act to increase the insurance premium tax rate from two to three percent, and to raise the fire tax rate from one half percent to one percent.

The Minister informed the committee that these increases would place the Northwest Territories rates in the middle of the pack relative to other jurisdictions in Canada. The department estimates that these increases will provide an additional revenue of $375,000 annually. Are you listening, Mr. Minister?

Several Members of the committee were concerned that these increases would simply be passed onto the consumer, in terms of higher premiums. This could be interpreted as a hidden tax on the consumer.

The Minister informed the committee that the insurance premiums are set on the basis of accident claim ratio and other factors, and it was highly unlikely that these increases would translate into increases into insurance premiums in the Northwest Territories.

It should be noted, that despite the Minister's assurances, several Members of the committee continue to have serious concerns about these increases, and may wish to pursue them today. Mr. Chairman, the committee agreed at its meetings on September 14, 1992, to refer this bill to the committee of the whole for consideration.

Bill 9: An Act To Amend The Insurance Act
Item 18: Consideration In Committee Of The Whole Of Bills And Other Matters

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The Chair Richard Nerysoo

Thank you, Mr. Todd. Are there any general comments? Mr. Dent.

Bill 9: An Act To Amend The Insurance Act
Item 18: Consideration In Committee Of The Whole Of Bills And Other Matters

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Charles Dent

Charles Dent Yellowknife Frame Lake

My comments will be kind of anti-climatic following our beloved Chairman's remarks.

---Laughter

Mr. Chairman, I am one of the Members noted in Mr. Todd's statement who opposes this amendment, and will continue to oppose it. Not because I am in any way opposed to allowing insurance companies to use laser printers and not have to put things in red, I do not mind the bold black ink, but, in fact, this is a hidden tax, or this represents a hidden tax, so I am opposed to that type of tax in principle.

Insurance companies are businesses, businesses have to recover the cost of doing business from what they sell. Any cost to the business obviously has to be recovered at some point in time. I have heard the arguments that it is just a small amount, and it is only going to put our rate in the centre of the pack, and that it will not, by itself, cause a premium increase. The bottom line is, at the end of the day, if it is a cost of doing business, any business has to recover that cost, and that means that it is going to have to wind up coming out of premiums. I think that at any time the government wants to tax people, they should be up front about it, and say we are putting a tax on. I do not think that we should try and put taxes on premiums, or taxes on various things, that the consumer may not see. The consumer in this case would not understand that there is a tax being paid from their premiums to the government, they would just see a bill from their insurance company, and blame the insurance companies for the cost of their premiums going up.

I think it is also important to recognize that insurance is something that not everybody has, but it is something that most people should have. Rather than doing something that would perhaps cause people at the end of the day to determine that they cannot afford to buy insurance, we should be very cautious that would cause insurance rates to increase.

In the event of a disaster, where somebody is burned out of their home, this government will wind up passing the bill through social assistance, if they have not been able to purchase insurance in the long run. I am not sure how much of that $245,000 or $375,000 we are going to get back, depending on whose figures you accept this afternoon. I think I heard the Minister say a different figure than what the Chairman of the Standing Committee on Finance said in the opening remarks.

Any tax like this also is not a progressive tax, because it does not reflect on a persons ability to pay. I oppose the tax on those grounds too. It is not like an income tax, which is adjusted as a percentage of income, so that people who are in a better position to pay for something, can pay for it. This one, in fact, hits people who are least able to pay the most.

Mr. Chairman, not to drag this out, after all this is not the Constitution, I just wanted to make sure that the people understand that, on principle, I cannot support this kind of bill.

Bill 9: An Act To Amend The Insurance Act
Item 18: Consideration In Committee Of The Whole Of Bills And Other Matters

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The Chair Richard Nerysoo

Thank you. Any general comments? Mr. Gargan.

Bill 9: An Act To Amend The Insurance Act
Item 18: Consideration In Committee Of The Whole Of Bills And Other Matters

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Samuel Gargan Deh Cho

Thank you, Mr. Chairman. The Standing Committee on Legislation has not dealt with this act, we were not consulted about it. Ever since that buffalo incident, my premium has tripled. That means that I am going to have to pay one percent, and I am paying about $1,800.

I was not aware that this was coming forward. I am just wondering whether, or not, just to get a clarification, Mr. Chairman, I would like to ask our committee Chairman, if he did, in fact, get briefed on this bill?

Bill 9: An Act To Amend The Insurance Act
Item 18: Consideration In Committee Of The Whole Of Bills And Other Matters

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The Chair Richard Nerysoo

If I could call the committee to order for a second, and indicate that the normal process now

is that most financial bills, or all financial bills, with agreement, go to the Standing Committee on Finance. That is a normal practice that has been agreed to. Also, it is not normal for us to be questioning other Members that are not even on the Standing Committee on Finance. It would be different if you were directing this question to the chairman of the Standing Committee on Finance. Mr. Gargan.

Bill 9: An Act To Amend The Insurance Act
Item 18: Consideration In Committee Of The Whole Of Bills And Other Matters

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Samuel Gargan Deh Cho

Mr. Chairman, I do not know whether I am sleeping or awake, but I am not too sure whether I was doing my duties as a Member of the Standing Committee on Legislation, or whether I was absent when this was dealt with. It does not seem that, it is not something that the standing committee dealt with, but I do not feel I should support this amendment. Thank you.

Bill 9: An Act To Amend The Insurance Act
Item 18: Consideration In Committee Of The Whole Of Bills And Other Matters

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The Chair Richard Nerysoo

Thank you. Are there any other general comments? Mr. Koe.