Thank you, Mr. Speaker. I would like to welcome Members back to the Legislative Assembly. For the past two months, Members of the Legislative Assembly and
committees have been discussing budget reform and other challenges facing the Northwest Territories.
In addition, Ministers spent two days last week reviewing the recommendations that came from a new budget development process that has all Members of the Assembly working together to find common ground.
Cabinet and Caucus have reached agreement in a number of areas. And there has been some disagreement that still has to be worked out. I want to outline some of our common ground this afternoon.
During our discussions, it has been clear to Cabinet and Caucus that the Northwest Territories needs a change of direction in order to build the kind of future our people want. Many of the old ways of doing things cost far too much money. We're going to change that. And out of that change, we are going to find opportunities by strengthening existing partnerships and building new ones.
Changing government so that it makes more sense at both the territorial and community levels is the only way to move into the future. It's the only way to make sure our children and grandchildren won't be buried in debt. As a result, we are moving towards a business plan that will eliminate our deficit situation within two years. Most of the reductions will be done in the first year. The rest will be done in the second year because of the social issues we are facing. People must have time to adjust. We understand that.
Mr. Speaker, eight years ago I ran for a seat in this Assembly to change government. So have other Members of this House. Some progress has been made, but now we have the opportunity to make major changes; to make the government serve the people of the Northwest Territories.
This government is determined to do this despite our budget situation. For example, we are going to get out of government functions that can be handled better by the private sector. This will mean more money in the hands of the private sector and a far greater opportunity to develop permanent jobs. We've all heard the private sector say they could do things better. This government will give them the opportunity.
As a start, we will privatize the petroleum products division, property management, computer systems and services, community resupply operations and the Northwest Territories parks system.
The government will also consolidate departments and reduce administrative overhead. And we are going to assist in the development of those sectors of the economy that can provide new business and employment opportunities for the people who elected us to office. Many of these opportunities are going to be community driven in the fur industry, in the arts and crafts sector, in the production of meat and fish products, in the areas that our people do well.
To make this work, Cabinet and Members of the Legislative Assembly will be making some tough choices, but they will be quality choices and we will take time to make them properly.
You heard me on December 13th. Some key messages are worth repeating: We have been listening to the people; government will be made smaller; wages and benefits will be cut; and, program and service levels will be reduced without hurting those who need them the most. We can no longer afford to be spending nearly half of every dollar for administration costs.
We will create new opportunities by cutting back on government overhead and putting people at the community level to work in jobs that give them management and budget controls. We're talking about block funding, about turning over funds, program dollars, administration dollars and capital dollars to the community as well as infrastructure, buildings and ownership.
This will give elected community leaders exactly what they want; the opportunity to set priorities over programs and services, property management and capital projects delivered in their home communities. Government has to serve the people, not itself. It is not only necessary, it is right and we are going to do it.
This government, working with people across the North, has an opportunity to be different and unique in the way it responds to the needs of our constituencies. And let me assure you, when we are finished it will be unique.
To implement our plans, we have to work and learn together to make sure that government works to the benefit of all areas of the Northwest Territories. That means we will be making sure that aboriginal rights, treaty rights and aboriginal concerns and views are taken into account in the planning process and when we make decisions.
Mr. Speaker, a smaller and more effective government structure will be created to get more money out to communities where it is needed the most. We'll do that through consolidation of departments, by reducing administrative overhead and by cutting red tape.
Effective immediately, we will:
- consolidate the departments of Economic Development and Tourism, Renewable Resources and Energy, Mines and Petroleum Resources into one department to save dollars and to create one-window shopping for resource-related development and economic activity;
- we will refocus Intergovernmental and Aboriginal Affairs within the Executive department to make sure this area of importance has broader access and support from Cabinet;
- we will combine the Financial Management Board and the Department of Finance into one organizational unit;
- we will downsize and restructure the Housing Corporation to make it more community-development oriented;
- we will be transferring responsibility for community empowerment from Intergovernmental and Aboriginal Affairs to the Department of Municipal and Community Affairs because that department has people at the community level throughout the Territories who are in a position to get the job done;
- in addition, the government will be fast-tracking legislation and changes to policy that will allow for block funding of communities so they can set their own spending and their own programs and services priorities;
- and finally, we will be moving the Personnel Secretariat into the Department of Executive and moving towards completing the transfer of occupational health and safety from the Department of Safety and Public Services to the Workers' Compensation Board where it fits better and can be more responsive to the needs of the workplace.
Consolidating departments and changing the way government programs and services are delivered is only one part of the plan. Within the next few weeks, we will begin working with employee associations to talk about salary and employee reductions and to develop a made-in-the-North approach to the benefits our employees receive.
This government is not prepared to maintain the same benefits package that was originally designed to attract a public service from southern Canada. But we will have a package that is affordable and that will allow our employees to enjoy the benefits of living in the Northwest Territories.
Mr. Speaker, we will also be speaking with our partners operating health and education boards about funding reductions. And we're going to ask them to develop plans that will eliminate duplication and save money by entering into new arrangements that will result in reductions and sharing of administrative resources.
Everyone has a part to play. Alternatives North and its plan to come up with a socially responsible budget is an example. And so is the amount of public input we have received telling us that the way we work must be changed. We fully agree.
The Territories can no longer afford expensive procedures and delivery systems, too many government departments, too many committees and too many boards and agencies. The money we have must be spent carefully to realize the opportunities that will flow from our budget reform process while continuing to provide programs and services to those who need them the most.
But we do have a $1 billion. And we can do a lot of good in the Northwest Territories with that much money. We will need to be clear, determined and united with our partners. That's important. And the economic and social well-being of our communities and the people who live there will be the starting point of all our decision-making.
That's why a priority of this government and Assembly is to work towards healthy communities and community-based problem solving by continuing the community wellness initiative. We will not only move to expand the jurisdiction of community governments, we will also
integrate services designed to help people get at the root causes of their problems.
Instead of three or four government-assisted organizations helping people at the community level, there will be a single, more cost-effective agency that can serve as the centre of community wellness initiatives within each community.
The concept of community wellness is linked closely to income reform and the community empowerment initiative. Communities will be able to use their block funding to set their priorities for programs such as education, health services, social assistance, employment and training, community justice and crisis intervention.
Taking this approach will allow communities to focus their resources on issues and activities where solutions are needed the most. Mr. Speaker, healthy communities are needed to take advantage of job opportunities that will be created through privatization and by seizing other economic development opportunities.
We have a young, capable and willing population who can benefit from any opportunities we can create and we will strengthen the capacity of the northern workforce to meet the demands of the job market.
We have exciting opportunities, particularly in the development of mineral resources as long as they proceed in a socially and environmentally-sound manner. The economic and employment benefits that will result from developments in the diamond area will be immense.
But make no mistake, we will have to be aggressive with mining companies so that northern workers replace southern workers and get the opportunity for wage employment in the land where they live.
As I stated earlier, this government and this Assembly are determined to turn budget reform into opportunity and to reduce the Territories' economic reliance on government spending. To help in this area, I intend to move quickly to establish a panel of independent advisors on the economy and employment and on how to improve the business climate to attract jobs, investment and capital to the Northwest Territories.
We have already started the process of building an aboriginal partnership. Cabinet and the Assembly understand the need for aboriginal organizations to play a part in the decisions we are making. I want to build on the strengths that already exist. We are scheduling regular meetings between Cabinet Ministers and aboriginal summits in the West, in Nunavut and in completing protocol agreements with both groups.
We have to move ahead and we have to do it in a way that respects the claims process and treaty land entitlements. Aboriginal organizations must be our partners. Together, we have to convince Ottawa to do what is right.
That means the federal government must come clean on where it stands regarding aboriginal self-government, incremental costs for division and continued support for a results-oriented approach to developing a constitution for the western Territories.
We need certainty in these two areas and we need it now. All the work necessary to have two new governments up and running by April 1, 1999 will and must be done. The political aspirations of the people in both new territories can't be denied.
Of primary interest is northern control over northern resources. We need to take control of the land and all of its resources. This is more significant to us than it is to Ottawa from a revenue perspective. The legislative authority is also important. It would let us manage the gas and oil exploration and mineral development that is currently taking place.
The land we occupy belongs to the people who live here. It's time for people in the Northwest Territories to control their own future. It's time for the federal government to let go. Mr. Speaker, when I stood before this House last December, I stated that no government in the history of the Northwest Territories has ever taken office faced with the number and degree of challenges facing the 13th Assembly.
I stated that our plan to address those challenges can be built on the foundation of hard work and input from aboriginal groups, interest groups and the people we represent. The participation of the people is a key part of building both the budget for this year and towards establishing an agenda for action that will guide our decisions through our term and into the future.
In closing, I want to leave you with three messages: Ministers and the Legislative Assembly will lead by example; the budget situation is tough but manageable and it will be managed in a fair and compassionate way; and, this will be done so our children and grandchildren may have aspirations and opportunities we have not had.
Mr. Speaker, change won't manage us. We will manage it. Mahsi cho. Thank you very much.
---Applause