I just can't believe that. However, even in the face of these risks, Mr. Speaker, I'll be encouraging all Members of this House to have the courage to face the facts and to recognize that if this motion passes the new Assembly will be locked into an election timetable that just isn't in the best interests of the people of the Northwest Territories.
The facts are that more than at any time in our past, this House is facing a serious fiscal crisis that must be addressed. We need an election timetable that will not prevent us from making the decisions that have to be made. Mr. Speaker, we all know about the financial situation we're in. Since 1993-94, we have moved from an accumulated surplus of $56 million to a projected accumulated deficit of $38 million. With the release of Mr. Martin's federal budget last Monday, we know that the situation is only going to become more difficult. There will likely be cuts in our federal financing in the neighbourhood of $8 million this year, and next year there will be a reduction of over $50 million.
On top of that, the Standing Committee on Finance is suggesting the need for a balanced budget; legislation to come into effect in 1998. This means that in less than three years we need to find ways to trim $88 million from our current spending values.
Mr. Speaker, it's my belief that the Government of the Northwest Territories has never faced a challenge like this before. In my view, next year's budget process will be the most critical one that we have ever undertaken in the history of the government. Yet, if this motion passes without an amendment, we will be locked into a fall election and a new government will not take place until some time in November at the earliest. So that means that the new Cabinet will only have two months to finalize the most critical budget in northern history, a budget where they'll need to contend with a $58 million cut in federal funding.
Not only does it sound pretty dangerous, I don't think it's in the best interest of sound fiscal leadership. Mr. Speaker, what bothers me is that not only will it be my children and your children, but it will be the children of all honourable Members in this House who have to live with the consequences if we do not leave ourselves enough time to complete the thoughtful planning that now has to take place. The alternative, of course, is to hold the election in the spring. This timetable will put a new government in place. In a month and a half, the OPPLAN process will begin and will provide our new Cabinet the months of July, August, September, October, November, December and January to finalize next year's budget; the most important budget that has ever had to be developed in the Government of the Northwest Territories.
Mr. Speaker, I was pleased yesterday when the Minister of Finance indicated that he would be consulting with community leaders and with the public at large to collect their ideas on spending and other fiscal priorities for the upcoming year. I applaud my honourable colleague for Nahendeh, Mr. Antoine, for encouraging the Minister to do this -- even though CBC neglected to mention that the consultation process was his idea in the first place.
But I must wonder how on earth the Ministers plan to carry out these consultations in the midst of an election campaign.
Mr. Speaker, as I've said before, we have to face the facts. If the Minister undertakes these consultations immediately prior to the fall election, the process will be seen as a purely political exercise and I don't know if we'll be able to divide the attention of consulting on one hand and campaigning on the other. These consultations will be extremely important. In order for them to be credible, we must ensure that there is adequate time and that there will be consistency on how the process is followed through.
Mr. Speaker, a fall election as established in Motion 11-12(7) simply would not allow sufficient time for this process to be carried out properly. Mr. Speaker, honourable Members know that in this House we have other significant government initiatives on our plate as well. They know that supporters of this motion have suggested that a fall election is necessary because important work like negotiations of the northern accord negotiations of the federal/territorial discussion on formula financing could not be finished by the spring.
While I think, as I said before, facing the facts -- and the fact is that this is highly unlikely, probably even impossible, that the northern accord and a new federal funding formula will be concluded by the fall of 1995. Indeed, we have to ask ourselves whether it's better to have these key arrangements finalized by a government that has almost exhausted its mandate and will be unable to be held accountable after agreements are finalized.
Mr. Speaker, we shouldn't forget about the transfer of the responsibility of Arctic A airports, scheduled now to proceed in July. And we should remember that to give northerners more control over key transportation services, it will represent about a 30 per cent increase in the budget required by Transportation.
So we have to ask ourselves whether it is wise to initiate the implementation phase of this transfer under the Minister of Transportation, only for it to be interrupted three months later when a new Cabinet is selected by the 13th Assembly.
That is why this is exactly the situation that will be created if this motion passes and the election is delayed until the fall. This is more or less what happened in the health transfer, and we've been facing the consequences ever since. Did we learn nothing from the problems that we've experienced with health planning?
Mr. Speaker, there are many other reasons why a fall election is not in the best interest of the Northwest Territories. As I said in my Member's statement, we know there is presently a vacant seat in this House occasioned by the resignation of our former colleague, Mr. Arvaluk. We also know the Legislative Assembly and Executive Council Act requires the Commissioner to issue a writ for a by-election. The Commissioner has no discretion, it appears, in this matter. Section 9(1) states that she shall issue the writ unless it is provided in section 9(2) the Assembly is scheduled to expire within six months. This motion doesn't allow us to expire in six months.
Mr. Speaker, to hold a by-election in order to fill this vacancy would be expensive and I don't believe in the interests of the people of Aivilik or of the Northwest Territories. Yet, unless the Commissioner acts, the matter could be challenged and we could be forced to proceed with a by-election.
However, my constituents have told me that they're aware of these issues and they know the pros and cons of a fall election and of the springtime alternative. And they're telling me that when all is said and done, they feel that now is the time for the 12th Assembly to seriously consider a spring election. Some are telling me that there will be resistance because Cabinet Members may wish to fulfil their term. I know honourable Members who have already declared that they don't want to stand for re-election, and they may be concerned that they want to finish their term. However, I don't think those are reasons to base our election timetable on.
Mr. Speaker, I want to emphasize again and again, that honourable Members of this House are here to do their best for the people of the Northwest Territories, not what's best for ourselves.