This is page numbers 1259 - 1298 of the Hansard for the 12th Assembly, 3rd 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

Members Present

Hon. Titus Allooloo, Mr. Antoine, Mr. Arngna'naaq, Hon. Michael Ballantyne, Hon. Nellie Cournoyea, Mr. Dent, Mr. Gargan, Hon. Stephen Kakfwi, Mr. Koe, Mr. Lewis, Mrs. Marie-Jewell, Hon. Rebecca Mike, Hon. Don Morin, Hon. Richard Nerysoo, Mr. Ningark, Mr. Patterson, Hon. John Pollard, Mr. Pudlat, Mr. Pudluk, Hon. John Todd, Mr. Whitford, Mr. Zoe

---Prayer

Item 1: Prayer
Item 1: Prayer

Page 1259

The Speaker Michael Ballantyne

Good afternoon. Orders of the day. Item 2, Ministers' statements. Madam Premier.

Minister's Statement 72-12(3): NWT Power Corporation
Item 2: Ministers' Statements

Page 1259

Nellie Cournoyea Nunakput

Thank you, Mr. Speaker. Later today I will be tabling a report titled "A Proposal to Privatize the Northwest Territories Power Corporation."

The report was prepared by consultant Fred Abbott, a retired partner with Coopers and Lybrand, and does not represent a position of the government at this time. Ultimately, any decision on the privatization of the Power Corporation will be made by this Legislature.

The government purchased the Power Corporation in 1988, in order to make the utility more responsive to the concerns of the NWT customers and to allow it to operate as an independent regulated business.

The report concludes that these objectives have largely been achieved and that the corporation could now be successfully privatized, as a single entity, without sacrificing any of the gains made over the five years of Government of the Northwest Territories' ownership.

This opportunity raises some interesting questions about government ownership, opportunities for government investment and subsidy funding.

Government ownership of the corporation involves some indirect costs:

1. The government guarantees the corporation's debt and, although the corporation makes all the payments on that debt, the existence of the guarantees restricts the government's borrowing ability.

2. The government has $80 million tied up in its investment in the corporation. These are dollars that could, perhaps, be put to other uses. At a time when we are facing severe funding shortages, we have to ask whether this money could be used in ways that are more directly responsive to the needs of NWT residents.

There are, of course, advantages of owning the corporation. The chief benefit is probably the annual dividend paid by the corporation to the government to fund the electricity subsidy programs. However, while it is recognized that subsidies must be continued, it is not clear that they must, or even should, be funded with dividends from the corporation.

The proposal to privatize the Power Corporation provides us with an opportunity to discuss these issues and to consider our fiscal priorities. The coming months will allow time for discussion about whether continued ownership of the corporation is the best way of investing $80 million of government money.

Mr. Speaker, if a decision is made to privatize the corporation, the report proposes that the sale be made in a way that encourages northern ownership and prevents control by one or two shareholders. The report contains a number of recommendations to ensure that northerners retain some control over the utility. For example, it is proposed that Northwest Territories' residents be given the first opportunity to purchase shares and that no one can hold more than ten per cent of the shares.

The report considers the creation of Nunavut and concludes that the unique concerns of the two territories could be addressed by separate Public Utilities Boards. The report notes, however, that division of the corporation into two utilities to serve Nunavut and the west, respectively, would increase costs to a point which would make private sector ownership unattractive.

Critical issues to be examined prior to privatization include the continued employment of existing staff and the integrity of the pension plan. As the report stresses, good business practice requires that employees continue to receive an equitable level of benefits.

It is expected that Cabinet will examine the report shortly, and will make formal recommendations to this House regarding the privatization proposal when the Assembly reconvenes next fall.

Mr. Speaker, this is an exciting opportunity for northerners. The government looks forward to hearing your views on the proposal over the coming months. Thank you very much.

Minister's Statement 72-12(3): NWT Power Corporation
Item 2: Ministers' Statements

Page 1259

The Speaker Michael Ballantyne

Item 2, Ministers' statements. Ms. Mike.

Rebecca Mike Baffin Central

Mr. Speaker, the purpose of cancer month is to direct attention and provide information on the work of the Canadian Cancer Society in research, education, community programs, and to raise funds to support these endeavours.

The aim of cancer month is to reduce the occurrence of cancer by encouraging people to change their life-styles.

Cancer is a life threatening and disabling disease presently under intensive research to determine its cause, and to provide more information regarding its prevention, diagnosis and treatment.

The Department of Health will be collaborating with regional health and hospital boards regarding awareness of cancer month. Also, the department's health promotion section will liaise with boards to facilitate planning of awareness activities supporting the theme. Thank you, Mr. Speaker.

The Speaker Michael Ballantyne

Item 2, Ministers' statements. Item 3, Members' statements. Mr. Pudluk.

Cbc News Report - March 30, 1993
Item 3: Members' Statements

Page 1260

Ludy Pudluk High Arctic

(Translation) Thank you, Mr. Speaker. I rise today to express my concern with the recent tactics of the Yellowknife media in publicizing personal financial matters involving honourable Members of this House. I refer to reports which aired on CBC Mackenzie this morning that some current and previous Members owe money to a local Yellowknife business. As the dean of the House, I have seen some examples of negative media reporting during my 18 years as a Member of the Legislative Assembly, but I do not believe that I have ever seen such an outright personal attack as the one which CBC broadcast this morning. No one minds when reporters dig around to find out about news which affects the people of the Northwest Territories, however, this matter was not that kind of news item.

If customers have outstanding bills then those should be left as a personal matter between the individual and the businesses involved. I do not believe that Canadian taxpayers want to hear CBC spreading gossip about personal financial matters which do not affect the public at large. The CRTC has not given CBC reporters a mandate to act as bill collectors for their friends and acquaintances.

To my honourable colleagues in this House, I want to stress that, as politicians, we must be more careful than ever before in our personal lives, as well as our public lives. I remember a time when we could count on the media to report the news, and now it seems we must be especially cautious because the media is more interested in reporting personal problems and presenting present MLAs as disreputable people.

Cbc News Report - March 30, 1993
Item 3: Members' Statements

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The Speaker Michael Ballantyne

Mr. Pudluk, your allotted time as elapsed.

Cbc News Report - March 30, 1993
Item 3: Members' Statements

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Ludy Pudluk High Arctic

I am asking unanimous consent to continue my statement.

Cbc News Report - March 30, 1993
Item 3: Members' Statements

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The Speaker Michael Ballantyne

The honourable Member is seeking unanimous consent. Are there any nays? There are no nays. Please proceed, Mr. Pudluk.

Cbc News Report - March 30, 1993
Item 3: Members' Statements

Page 1260

Ludy Pudluk High Arctic

(Translation) Thank you, honourable Members. Unfortunately, Yellowknife businesses are the ones that are going to suffer from this situation. Like most honourable Members, my family and I have always shopped at many local businesses when we come here for the sessions of the Legislative Assembly. If Yellowknife merchants, especially those within the so-called hospitality industry, are going to surprise out of town Members by turning outstanding accounts over to the media, then we must question the ethics of the people with whom we are doing business.

The unfortunate result is that our view of Yellowknife and its business community has been changed by this incident. Thank you, Mr. Speaker.

---Applause

Cbc News Report - March 30, 1993
Item 3: Members' Statements

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The Speaker Michael Ballantyne

Thank you, Mr. Pudluk. Item 3, Members' statements. Mr. Koe.

Cbc News Report - March 30, 1993
Item 3: Members' Statements

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Fred Koe Inuvik

Mahsi, Mr. Speaker. I, too, wish to rise today to speak about this issue which was raised in a CBC news report this morning. Mr. Speaker, I received a letter from Mr. Jack Walker, who is president of the Yellowknife Inn, and I would like to read this letter into the record. I received permission from Mr. Walker to do this.

The letter is addressed to myself as chairman of Caucus and it is regarding the CBC report dated March 30, 1993.

"In my opinion, the information is not newsworthy and does not fall within the realm of professional investigative reporting. I believe the conduct of the reporter in question should be investigated by CBC and CRTC with a view to disciplinary action.

"The Yellowknife Inn and the Legislative Assembly have had a nine year relationship during which confidentiality has been viewed as paramount. The hotel has taken precautions to ensure that there will be no re-occurrence of this unfortunate lapse on the part of its staff in the future.

"Without in any way excusing the culpability of my staff in this instance, I consider that it is a very sad commentary on the state of CBC's northern journalism when a reporter of Ms. Morphet's capability becomes more concerned with MLAs' personal credit ratings than with the many urgent and weighty issues of government. This tabloid approach to journalism has very little place in Canada and certainly none in the north where constituents know their elected representatives personally."

This is signed, yours sincerely, Jack Walker. Mahsi.

Cbc News Report - March 30, 1993
Item 3: Members' Statements

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The Speaker Michael Ballantyne

Thank you. As Speaker of this Legislative Assembly I would like to make a comment about this, which I also consider to be a very serious incident. I think by listening to the statements of the two Members, we can see a clear case where the MLAs were satisfied with the process, the owner of the hotel was satisfied and there were no complaints by the two partners in this arrangement. Suzanne Morphet fabricated a problem, because there was no problem with the MLAs and no problem with the business. It seems to me, after two weeks of very effective work by this Legislative Assembly, where the Assembly has been most effective in carrying out its duties, there was not, in Suzanne Morphet's opinion, a story. It is a clear case where a story was fabricated. I, for one, will bring to the attention of the management of CBC both Members' statements, because both Members' statements were very well spoken. Thank you.

---Applause

Item 3, Members' statements. Mr. Pudlat.

Day Care Centre For Lake Harbour
Item 3: Members' Statements

Page 1261

Kenoayoak Pudlat Baffin South

(Translation) Thank you, Mr. Speaker. Two weeks ago I had tabled a petition regarding a request for day care. Often the children are left behind alone in their homes. This is a concern to the people of the north. In the small community of Lake Harbour there has been a petition signed requesting a day care centre because the parents are working. Through this petition we are requesting a day care so the children will have a safe place to go while the parents are working. It could be taken advantage by the other parents, even though they are not working, because often the children are left alone in their house when they are too young to look after other siblings. For this reason, I have tabled a petition and wanted to comment on this petition from Lake Harbour. Thank you, Mr. Speaker.

Day Care Centre For Lake Harbour
Item 3: Members' Statements

Page 1261

The Speaker Michael Ballantyne

Item 3, Members' statements. Mr. Dent.

Charles Dent

Charles Dent Yellowknife Frame Lake

Thank you, Mr. Speaker. Mr. Speaker, I rise today to express my concern over recent comments made by the Minister of Personnel regarding recommendations of this Assembly on the home owners' property tax rebate. Mr. Speaker, I was very disturbed to hear the Minister's comments of March 23, 1993, in response to questions from my honourable colleague from Inuvik. Mr. Koe was questioning the Minister as to Cabinet's response to the motion of the Assembly that the home owners' property tax rebate be reinstated at $400 per year. This motion was carried in the House on March 11, 1993. Yet, on March 23, 1993, 12 days later, the Minister replied and I quote from unedited Hansard, "Mr. Speaker, the particular issue of the tax rebate was one that arose in the course of discussions by MLAs in the latter part of the debate in the back room. As the Minister of Personnel, I could not find a way in the few days I had, to rationalize how it tied in to the staff housing strategy."

Mr. Speaker, I am somewhat confused as to how a motion passed in this Assembly can be characterized as an issue that does not deserve a response because it arose at the end of a debate in the back room, that is unless the Minister believes that this Assembly chamber has now become a back room. Mr. Speaker, I am also at a loss to understand why the Minister had such difficulty relating the tax rebate to the housing strategy. Although the Minister indicated on March 23 that the issue had come up only a few days before debate on the motion, ordinary MLAs had explained the relationship previously in the House. He did not have to work it out for himself at all. For example, on February 26, 1993, the issue was raised in the House by my honourable colleagues for Inuvik and Thebacha and also by myself. It was pointed out that the reduction of the property tax rebate was inconsistent with the goal of the Minister of Personnel to encourage home ownership and to develop a private housing market through the staff housing strategy.

The Minister of Municipal and Community Affairs agreed that the program might be considered part of the housing strategy and agreed to re-examine the rebate.

I agreed then with my colleague for Thebacha that this is another example of how the housing strategy is not part of a cohesive government plan, and I still have the opinion today.

Mr. Speaker, I seek unanimous consent to conclude my statement.

The Speaker Michael Ballantyne

The honourable Member is seeking unanimous consent. Are there any nays? There are no nays. Please proceed, Mr. Dent.

Charles Dent

Charles Dent Yellowknife Frame Lake

Thank you honourable colleagues. Mr. Speaker, in case the Minister was not listening on that day, a motion for the reinstatement of the property tax rebate had also carried in this House on September 24, 1992. Again, the tax rebate was related to the encouragement of private home ownership.

Mr. Speaker, I am disturbed that the Minister has tried to characterize this issue as one which has taken him by surprise. It is not new in this Assembly, and it is not the first time it has been related to the housing strategy. Although the Minister may not have been able to respond to the suggestion on the day the motion was debated, a response by the government is still required. The direction of this Assembly should not be so easily dismissed. Thank you, Mr. Speaker.

The Speaker Michael Ballantyne

Item 3, Members' statements. Mr. Whitford.

Cbc News Report - March 30, 1993
Item 3: Members' Statements

Page 1261

Tony Whitford

Tony Whitford Yellowknife South

Thank you, Mr. Speaker. The CBC news item of this morning is indeed a very sad commentary on the depth to which some journalists will go to provide the public with news. It is a shame that our public broadcaster, the CBC northern network, has to degrade itself to a tabloid style of news gathering such as the broadcast at 7:30 am this morning. This type of news gathering and this type of news can only

harm the relationship our city has developed with the out of town MLAs and members of their constituencies.

Many of my constituents are upset and appalled over this kind of activity. Perhaps, Mr. Speaker, this was but the elbow in the bath water of experimentation in journalism and if it is, I hope the water proves to be too hot for it to continue.

Cbc News Report - March 30, 1993
Item 3: Members' Statements

Page 1262

The Speaker Michael Ballantyne

Item 3, Members' statements. Mr. Zoe.

Concerns Re Department Of Health
Item 3: Members' Statements

Page 1262

Henry Zoe

Henry Zoe North Slave

Thank you, Mr. Speaker. I rise today to express my very real concern and frustration with the manner in which the Minister of Health and her officials responded to questions about the Health budget yesterday.

Mr. Speaker, it should be very clear that the Department of Health is indeed in trouble. That is what the Auditor General's report showed, that is what the reports of standing and special committees of this House have showed, and that is what honourable Members have been hearing from committee witnesses and constituents all across the Northwest Territories. Yet, Mr. Speaker, the responses received by the House to this critical budget have continued to be either evasive, incomplete or both.

I am very concerned, Mr. Speaker, about the fact that the development of MOUs between health boards and the Department of Health appears to have been delayed. I am concerned about the way a functional review which was included in the definitive objectives for 1990-91 have not been completed, and about the fact that the current Health budget contains neither objectives nor funding for this important initiative. I am concerned that the relatively simple question, "Do you have a list of internal research projects?" should prove almost impossible for the Minister and her officials to answer. She wants us to wait 120 days for it. I am concerned, Mr. Speaker, that during the review of the 1992-93 budget the Standing Committee on Finance told the department to include a series of statistics to show whether our efforts are making a difference. If you ask them today, you will see that the department did not provide those statistics. I do not even know if the Department of Health bothered to try.

Mr. Speaker, the Standing Committee on Public Account's report indicate that some positive changes may be taking place within the Department of Health. However, the manner in which the department has presented its budget shows there is still a long way to go. I find the review of the Health budget to be a very frustrating experience. However, Mr. Speaker, I hope and I trust that the Minister will take all the steps necessary to improve the necessary capabilities of her department. Thank you.

---Applause

Concerns Re Department Of Health
Item 3: Members' Statements

Page 1262

The Speaker Michael Ballantyne

Item 3, Members' statements. Mr. Antoine.