Thank you, Mr. Pollard. The motion is in order. To the motion.

Question.

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

---Carried

Schedule, vote 2, capital, total appropriation, as amended, $180.645 million.

Agreed.

---Agreed

Thank you. The bill as a whole, as amended.

Agreed.

---Agreed

Thank you. Does the committee agree that Bill 1 is ready for third reading, as amended?

Agreed.

---Agreed

Thank you. Does the committee agree that Committee Report 3-12(4) is also concluded?

Agreed.

---Agreed

Thank you. According to the agreement we had at the beginning of the proceedings of the committee of the whole, we agreed to do Bill 5 next. Is that agreed?

Agreed.

---Agreed

Bill 5, Supplementary Appropriation Act, No. 5, 1992-93

Bill 5. Mr. Pollard.

Introductory Remarks

Thank you, Mr. Chairman. Mr. Chairman, the 1992-93 Supplementary Appropriation, No. 5 requests authority for additional appropriations of $1.080 million. Mr. Chairman, the supplementary appropriation consists of additional appropriations in the amount of $906,000 in operations and maintenance and $174,000 in capital.

The supplementary appropriation is required under the provision of Section 36 of the Financial Administration Act, where an appropriation is exceeded because of the recordings of liabilities at the end of the fiscal year, the amount by which the liability exceeds the appropriation, is an interim appropriation for that fiscal year. The interim appropriation is to be submitted in the form of a supplementary appropriation bill to the Legislative Assembly.

The Supplementary Appropriation, No. 5, 1992-93 is presented as required by the Financial Administration Act. Mr. Chairman, four departments are represented in this supplementary appropriation, the departments of Personnel, Justice, Health and Economic Development and Tourism. Mr. Chairman, I'm prepared to review the details of the supplementary funding requests and either answer Members' questions, or refer them to the Minister responsible. Mr. Chairman, I would respectfully request the committee's indulgence in having a witness appear with me. Thank you, Mr. Chairman.

Thank you. Before the Minister brings in the witness, if that's the committee's wish, does the Standing Committee on Finance have any presentations to make? Mr. Antoine.

Standing Committee On Finance Comments

Thank you, Mr. Chairman. The Standing Committee on Finance reviewed Supplementary Appropriation Act, No. 5, 1992-93 at its meeting in Yellowknife on November 22, 1993. The standing committee was pleased that the chairman of the Financial Management Board and the staff were available to answer questions at that time.

Mr. Chairman, this bill represents a further appropriation of $906,000 in operations and maintenance and $175,000 in capital for a total of $1.080 million for the fiscal year 1992-93. The committee has been informed that this is the final appropriation for the year 1992-93. During a Standing Committee on Finance meeting on December 6, 1993, the committee agreed to recommend this bill to the House for consideration. The amount of this appropriation is relatively small and the committee has one major concern. As has been the practice, I will speak to this major issue. Members of the committee may have comments on details of this bill when we go through it in committee of the whole.

Mr. Chairman, the committee's major concern with this supplementary appropriation has to do with an out of court settlement, following a contract dispute in the community of Gjoa Haven. A part of the total cost of settlement, $174,000, is reflected in this supplementary appropriation under capital expenditures with the Economic Development and Tourism department. The committee understands that the total amount of the settlement is divided between the departments of Economic Development and Tourism and Public Works and Services.

This settlement points to the fact that there are practices in the government right now that may not stand up to legal scrutiny down the road. The committee is very concerned that the government take immediate action to ensure that this type of situation can be avoided in the future. That concludes my comments on behalf of the Standing Committee on Finance. Mahsi, Mr. Chairman.

Thank you. Now, does the committee agree that the Minister can bring in the witnesses?

Agreed.

---Agreed

Sergeant-at-Arms, escort the witnesses, please. Thank you. Mr. Minister, would you introduce the witness please, for the record.

Thank you, Mr. Chairman. On my right is Mr. Lew Voytilla, who is the Secretary to the Financial Management Board. Thank you, Mr. Chairman.

Thank you. We are ready for general comments from the floor. Are there any general comments? We will move on.

Agreed.

---Agreed