Yes. Do you want me to do them? Okay. Mr. Chairman, I am pleased to present the committee with the Department of Transportation's proposed capital budget for 1994-95. Let me say at the outset that I believe transportation is a major factor in the economic well-being of all our citizens.

The high cost of transportation, especially in off-highway communities, makes a significant contribution to high living costs and the high costs of delivering a whole range of government programs and services. Transportation cost is also a major factor in frustrating a variety of potential economic developments.

Most of our communities do not have access to the highway network and this will not change in the foreseeable future. Many do not have adequate airports. Most do not have access to marine facilities needed to support resource harvesting and resupply. Others require local roads to access nearby resources and recreation and tourism attractions.

We also have an obligation to improve the safety of our airports, roads and harbours as well as the skills and awareness of those using them.

We have tried to address these issues in developing our capital plan. However, the list of needs for improving and expanding our transportation facilities is virtually endless. We would like to invest more but, as you know, there are other priorities and our fiscal capacity is limited. We simply can not do it all.

On the positive side, we have had some success in seeking additional resources through program transfers and cost-sharing agreements with Canada. We will be pursuing more of these to help address the shortfall in addressing needs.

This year, we have undertaken an update of the transportation strategy, first released in 1990. This document will be available in the near future. I have also identified, from the strategy update, the major priorities which I, as Minister, intend to pursue over the next few months and, hopefully, two years. I intend to table this transportation agenda before the end of this session. It will identify those priorities which are not being addressed within our current plans and outline plans for finding the resources necessary to do them.

The priorities we intend to pursue are as follows: to find the resources necessary to accelerate our highway upgrading program.

---Applause

Thank you. To negotiate with the federal government to continue the Mackenzie Highway extension.

---Applause

To coordinate federal, territorial and private sector investment in constructing a transportation corridor to the Arctic Coast. Do I hear you Kelvin? To increase funding for community local access roads.

---Applause

God, I can't take it.

---Laughter

To negotiate with the federal government for funding to build and upgrade airports to meet community needs. The hour is late. To improve the safety and reliability of air navigation systems; to increase spending on local marine facilities; to improve marine resupply systems and reduce costs; to increase efforts in transportation safety and, more importantly, to increase the local employment and business benefits resulting from transportation expenditures.

In setting priorities and developing the plan before you, we have listened to the advice of MLAs and community leaders. Within our funding ability, we will attempt to fulfil our obligations and satisfy the highest priorities.

With your indulgence, Mr. Chairman, I would like to draw your attention to a few general points concerning this plan. First, the capital base of the Department of Transportation is largely built on a succession of program transfers from Canada. There have been three capital base transfers related to the highway system, totalling about $24 million in today's dollars. A $3 million base transfer was also made in conjunction with the airports transfer.

Secondly, this government has a major investment in highway facilities in the west. This investment will continue to place considerable demands on our resources for maintenance, as well as capital rehabilitation and upgrading. Highways are, therefore, the largest component of our capital program.

However, because our off-highway communities will continue to rely on marine and air transportation, we must accord a higher priority to providing these communities with adequate airports and marine facilities.

For this reason, two recent capital cost-sharing agreements with Transport Canada have specifically targeted air and marine facilities for off highway communities. The first agreement runs from 1990 to 1995 and is providing a total of $8 million additional federal dollars for airport upgrading. The second runs from 1993 to 1997 and is providing $10 million new federal dollars for airport and marine facility upgrading.

Finally, Mr. Chairman, there have been numerous requests for local community access roads and marine facilities. These facilities are required to support resource harvesting, tourism, recreation and cultural pursuits. I am attempting to respond to this need by quadrupling the annual capital allocated to local community access roads from $250,000 in 1993-94, to $650,000 in 1994-95, and to $1 million by 1996-97.

I also plan to double the annual budget for community wharves, from about $1 million in 1993 to $1.5 million in 1994 and $2 million per year commencing in 1995. This is in addition to the federal cost-sharing agreement I mentioned earlier.

I believe this proposed capital plan represents a good balance in responding to the needs within the resources available. I hope you all will find it worthy of your support. Thank you.