Thank you. Good afternoon, Members. Welcome back. It is appropriate that as we start a New Year that we consider the many challenges we face as the last Legislative Assembly of the Northwest Territories. As we enter our second year in the term of the 13th Assembly, we need to put the past behind us and move into this new year with hope, trust and a sharing of our common concerns, so that we can leave a legacy for our people and for the leaders of tomorrow.

I know we all want to do our best to achieve our goals, and although we may have differing opinions on issues, which is understandable, I know that we will discuss them in an atmosphere of mutual respect for each other's views. I am sure that each of you would like to move forward to complete some of the issues we have to resolve and to face head on the many more challenges in the coming year.

On a different note, I would like to offer not only my personal regrets but, I am sure that of all Members, on the unfortunate accident of the Member for Tu Nedhe, our Premier, The Honourable Don Morin. I would like to note that until he is back on his feet, so to speak, that I have given permission for the Premier to change seats with the Minister of Health and Social Services and Justice. Perhaps that seat may prove helpful from the health point of view, but I would not say there is any justice in it.

However, in conversation with the Premier, he advised me that despite his temporary disposition, he will still be able to keep on his toes with issues. Mr. Premier, we hope you have a speedy recovery. In addition, I have also given permission for the Premier to remain seated during formal sittings of the House if he finds he is unable to stand and respond to questions.

I look forward to the session ahead and to Members' continued cooperation with not only the Speaker but, with the Deputy Speaker and Chairs of Committee of the Whole, and each other as we all try to ensure free flowing debate of the important issues ahead.

I would also like to deal with an outstanding procedural point that was raised on Friday, November 29, 1996, which was the day before the House adjourned. The matter relates to a point of order raised by the Member for Yellowknife Frame Lake, Mr. Dent, which is contained on page 77 of the edited Hansard. The Member raised a point of order concerning comments the Member for Yellowknife South, Mr. Henry, made in his Member's Statement which is contained on page 58 of the Edited Hansard.

When the point of order was raised, I offered the Member, Mr. Henry, to make comments on the point of order. At that time, Mr. Henry indicated that he would like to respond to my point of order but wanted some time to review the comments in Hansard and respond accordingly. As the Session adjourned, the Member did not have an opportunity to respond. I would like to offer the Member for Yellowknife South the opportunity to respond to the point of order raised by the Member for Yellowknife Frame Lake. Mr. Henry.

Thank you, Mr. Speaker. On November the 29th, Mr. Dent raised a point of order on a Member's Statement I had made earlier that day. I had indicated I would like to respond later, and I would like to provide that response now.

There seems to be a couple of concerns raised by Mr. Dent. First, he felt that I was suggesting that the constitutional package represented a government position. I would like to clarify, Mr. Speaker, that I did not state that the constitutional package was a government proposal, nor did I say that the government had endorsed the proposed package yet. I did say the government could not afford to sit back and accept a proposal that would divide northerners.

Mr. Dent's second concern was my comment about the government behaving irresponsibly. In my statement, I did not say the government was irresponsible but instead that if the government endorsed the current constitutional proposal that action would be irresponsible. I hope that helps you, Mr. Speaker, in making your ruling. Thank you.

Thank you, Mr. Henry. I will consider your comments on the point of order. Mahsi cho. Orders of the Day. Item 2, Ministers' statements. Mr. Morin.

Thank you, Mr. Speaker. As we resume the Fourth Session of the 13th Assembly today, and continue with the business we began several weeks ago, I would like to open my remarks by wishing the Members and their families a happy, healthy and prosperous new year.

As we begin a new calendar year, I believe it is only appropriate that we take a moment to look ahead into 1997, and make some resolutions that will ensure that we, as the leaders of this territory, serve the best interests of the North.

Personally, I resolve to pay attention to where I am walking ... a resolution I am unfortunately and painfully reminded often of these days.

When I spoke at the beginning of this Session in late November, I reminded Members that we have embarked on a path of change. A path that we must collectively believe is for the best for both the people of the Northwest Territories, as well as for the future of the two new territories.

When we were elected, we acknowledged these would not be easy times. I stated that if anything, our jobs would become more challenging in the weeks to come. Mr. Speaker, next week, on January 27, Mr. Todd will be presenting the 1997-98 budget in this House.

We have one more year in our deficit reduction plan. We are on target to achieving what appeared to many to be an impossible goal -- financial security for the North.

Unfortunately, as we have discovered in the past year, this is a goal that represents changes to the status quo. But good, effective leadership sometimes means bringing change and making hard decisions. Decisions that, in the short-term, may seem to hurt more than they help, but that in the long-run, will change lives for the better.

For example, it is not easy to propose the elimination of funding for the Delta House Addictions Treatment Centre in Inuvik. While some people believe the government sees this as a straight financial decision to cut $650,000 from the budget, I would like to remind Members about the millions and millions of dollars this government spends on addictions services. Millions of dollars that we would like to see invested in the best way possible to help our people.

Therefore, when we present the 1997-98 budget over the next few weeks, you will see we are proposing a shift in how this government views and invests in addictions services to ensure it better meets the needs of the North. To some, what we are proposing will mean difficult decisions. But they are decisions we believe are the right ones, and that need to be made to address this problem.

Mr. Speaker, the treatment of addictions, and the reform being proposed by this government, is just one part of the budget we will be introducing in this House January 27. Over the next few weeks, as we discuss and debate the budget, you will see more detail to this and other programs that represent not only a shift in how we spend, but also a shift in how we face our challenges, and resolve our difficulties.

In our 1997-98 proposed budget, we will be looking at continuing to change the way we operate as a government, at moving more decision-making to the community level, and making other changes to help improve economic conditions, and address other social problems facing Northerners today. And as much as these decisions may represent unsettling change for some people -- the decisions we make today are truly for our future.

Therefore, the ultimate question we must ask ourselves is what is the legacy we wish to leave for the people of Nunavut and the new Western Territory when our work is done? I, for one, Mr. Speaker, want to leave a legacy of hope and potential prosperity, and I am committed to doing everything I can to ensure that is the kind of future I can help create for my children, my grandchildren, and for the generations that follow them.

This is not a time to look back and remember how things were, or talk about how, in a perfect world, we would like things to be. Nor is this is a time to second guess ourselves. This is a time to show our political backbone and see this through. Making difficult decisions alone will not be enough. We must maintain the will to get the job done. Now is a time to live up to the commitment we made to the people of the Northwest Territories to reshape how we deliver programs and services so they meet the true needs of the North, and make a difference today, and for the future.

Mr. Speaker, this government welcomes Members' thoughts, questions, comments and suggestions -- but what we need, and what our citizens need, is for us to focus on positive end results, and not on preserving a past we can no longer afford financially or otherwise. As a government we are always willing to listen to advice -- good advice that reflects the fiscal realities, and helps us move ahead in a positive direction.

As a government, we do not have all the answers. But we do have a willingness to put ideas out in the name of progress. And, we are committed to make the hard decisions if that is what is best for the North.

Mr. Speaker, at the beginning of this Session, we had about 850 days left to accomplish what we need to do. At that time I told Members that we could not afford to waste even a half a day, if we want to make a difference for the people of the North, and to leave a positive legacy.

Today, as you may have noted from the countdown sign that stands in the Great Hall, we now have only 800 days. Time is just as valuable a commodity, and perhaps more valuable, to us today than all of the diamonds and other natural resources found in this territory.

We need to remember that with this short amount of time left to us, we have an obligation to use it wisely. We are a team in this Legislative Assembly, and like any good team, we are only as good as each one of our players. Each one of us is in a valuable position, not only representing our constituents, but in shaping the future of Canada's north. Fighting with other members of the team means we lose the game. But working together, to resolve our differences and reach a workable solution, we all win. It is a great honour to be serving in this, the last Legislative Assembly of the present Northwest Territories. But it is also a great responsibility.

Therefore, Mr. Speaker, I ask every Member in this House to make it their New Year's resolution to remember why we are here, and what we were elected to do. Each one of us owes it to our constituents, our friends, our families, to all of the people in the North, and to ourselves to think of the best interests of the whole, not just a few. If we do that, we can indeed lay the groundwork for 1997 to be a happy, healthy and prosperous new year for the Northwest Territories. Thank you, Mr. Speaker. Mahsi cho.

Thank you, Mr. Morin. Ministers' statements. Mr. Morin.

Thank you, Mr. Speaker. I wish to advise Members that the Honourable Manitok Thompson's return from Rankin Inlet has been delayed due to weather conditions, and she will be absent from the House today. Thank you, Mr. Speaker.

Ministers' statements. Mr. Todd.

I would like to advise the House that on Monday, January 27, 1997 I will deliver the Budget Address. Thank you.

Thank you, Mr. Todd. Ministers' statements. Item 3, Members' statements. Mr. Roland.

Thank you, Mr. Roland. Members' statements. Mr. O'Brien.

Thank you, Mr. Speaker. Mr. Speaker, following the Premier's comments, I also note that today we mark another milestone with 800 days left remaining until the division of the territories. Mr. Speaker, there is still much work ahead, in order for the residents of Nunavut to be ready to function on its own as a new government. There is great anticipation and hope with the proposed new jobs and infrastructure that have been earmarked and that, I believe, will accompany the new Nunavut government.

Mr. Speaker, this dream of Nunavut, which means "our land", has been in the works for approximately 25 years. It is very difficult for people, I am sure, not living in Nunavut, to completely understand how important this is to its residents.

Mr. Speaker, having said that, it is important to note that the jobs and the new infrastructure that I spoke of earlier, must take place in order for Nunavut to be successful. We are all very confident that this will be realized through the dedicated efforts of NTI and of course, the NIC report, Footprints 2. In the case of my riding of Kivallivik, the Footprints 2 report identifies 50 new jobs in each of the communities of Arviat, Baker Lake and the accompanying required infrastructure, housing and office space, et cetera. This, Mr. Speaker, is significant when looking at the 70 percent unemployment rate that each of these communities suffer from.

Mr. Speaker, I strongly believe that, if ever before, the timing for us to work closely together with our partners, NTI, NIC and the federal government, this is that critical time. I look forward to working with these parties to ensure that these much needed jobs in Arviat, Baker Lake and all small off-road communities are secured. Thank you, Mr. Speaker.

Thank you, Mr. O'Brien. Members' statements. Mr. Picco.

Thank you, Mr. Speaker. Welcome back. Welcome back from the holidays. Mr. Speaker, for the past few weeks, while home in Iqaluit, I have had several constituents contact my office on concerns with income tax and our friend, Revenue Canada.

Mr. Speaker, the concern here is that the letters and requests from Revenue Canada are often sent to unilingual residents, who then have to find someone to interpret the letters or notices. Needless to say, Mr. Speaker, that at the best of times, Revenue Canada letters can be intimidating and hard to decipher. This has resulted in some of my constituents having to pay back several thousands of dollars in income tax.

Also, Mr. Speaker, many unilingual people and others, do not have the facility to fill out these forms and to make sure that they are done correctly. Recently, I have had some constituents not receive GST refunds or child tax monies because of the system in place. Mr. Speaker, I know that this is not a new issue, but as a government we have the responsibility to ensure that our residents, the people of the Northwest Territories, are given every assistance to help them in this area. Later today, I will be asking the appropriate Minister what type of logistical assistance we will be offering to the people who will need help with filling out the forms, and how we can assist the many residents of the Northwest Territories, who may not have filed forms, because of any number of reasons as mentioned.

Mr. Speaker, this is of course beneficial to the Northwest Territories because we might be missing out on needed income tax dollars, as well as possible refund checks, which would be in circulation, helping stimulate our economy. In the smaller communities, people do not have access to H & R Block or other professional tax filers. Maybe, Mr. Speaker, with the advent of e-mail and electronic filing, this might help these residents. Thank you, Mr. Speaker.

Thank you, Mr. Picco. Members' statements. Mr. Enuaraq.

(Translation) Thank you, Mr. Speaker. First of all, I would like to state that we are back here in good health again. Mr. Speaker, I would like to state that this winter, in 1996, I have already spoken on it. I am still going to be presenting this to you in 1997, especially Pangnirtung from my riding, that they definitely need a new air strip in the community. Pangnirtung has different aircraft coming in at different times and the air strip is right in the middle of the community. As I have stated before, the territorial government and the federal government will have to look into this in the very near future because Pangnirtung definitely will be needing a new air strip. This year, I will be asking the Department of Transportation to do a survey or review on the Pangnirtung airport to make it better.

Also, Mr. Speaker, I would like to state that Pangnirtung Hamlet mayor has stated that when they do get an air strip, that they would like to see the air strip on the shoreline of the community, and this is what we are recommending. I will be working quite hard on this and also I will be asking the Minister of Transportation about this later on. Thank you, Mr. Speaker.(Translation ends)

Members' statements. Mr. Barnabas.

(Translation) Thank you, Mr. Speaker.(Translation ends) I would like to thank the Qikiqtani Association for holding their regular meeting in Arctic Bay. This is the first time they have had the meeting in my home town to my knowledge. With the advent of Nunavut on April 1, 1999 the Qikiqtani Association will become more involved in political and social economic needs for the Inuit in Baffin and in Nunavut. When I look back over the years and see the growth of the Qikiqtani Association I am proud of their representation for all needs in our region. The hospitality of Arctic Bay is famous all over Nunavut and I regret not being able to be in my home town during this eventful meeting. I would like to take the opportunity to thank the President and the Executive for selecting Arctic Bay for this meeting. Thank you, Mr. Speaker.

Thank you, Mr. Barnabas. Members' statements. Mr. Miltenberger.

Thank you, Mr. Miltenberger. Members' statements. Mr. Krutko.

Thank you. The Member for Mackenzie Delta is seeking unanimous consent to conclude his statement. Are there any nays? There are no nays. You may conclude your statement. You have unanimous consent, Mr. Krutko.

Thank you, Mr. Krutko. Just again to remind the Members, on your Member's statement, to restrict your statement to one subject. Member's statements. Mr. Ningark.

Thank you, Mr. Speaker. Mr. Speaker, on the January 10th to 15th, I had the opportunity to visit Taloyoak. During that visit I had a discussion with the mayor of Taloyoak, Mr. Dennis Lyall and Mr. Elwood Johnston, the senior administrative officer. There were many issues that we discussed, but one major issue that came out from that discussion was regarding the length of the runway in Taloyoak.

Mr. Antoine, the Minister of Transportation, will remember that I had brought this issue in this forum some time in spring. On January 15, 1996, Mr. Elwood Johnston had the opportunity to meet with Mr. Antoine and his official to talk about the same issue. Mr. Dennis Lyall, the mayor of Taloyoak, was not able to make it here because of the weather in the eastern arctic. According to the information that I relayed to you over in the spring session, Mr. Antoine, the Taloyoak runway has been reduced to 3,610 feet because of the new regulation of the Ministry of Transportation of the country. I also indicated to the minister that we need to increase the runway by about 3,390. At the meeting of January 15, 1996, according to information I got from the hamlet of Taloyoak, the same request was relayed to the Minister and his officials. It is very critical for the medevac. And, for one thing, in the event that one of the equipment in the community used for municipal services delivery, as for water truck, sewage truck, fuel truck, if one of those equipment should burn down in the winter time, there is no way that you could bring in new equipment to the community unless by air. Mr. Speaker, at the appropriate time I will be asking the appropriate Minister about the request. Thank you.

Thank you, Mr. Ningark. Members' statements. Mr. Erasmus.

Thank you, Mr. Speaker. Mr. Speaker, last spring this House saw fit to pass legislation which I had introduced and which made it mandatory to have headlights on when people are driving on the NWT roads. Mr. Speaker, I have received many positive comments on this legislation, particularly from elderly people and from parents. Unfortunately, I recently drove to Fort Providence, Hay River, and to Fort Resolution, and I did not see any signs up yet instructing people that it was the law to have their headlights on. I also drove around town here and I have not seen any indication of that either, Mr. Speaker. I have received complaints from constituents, particularly those who live out on the Prelude Lake area, that there are a lot of people driving back and forth and many of them do not have their headlights on and it is dangerous, especially when it is snowing .

I do not know why it has taken so long to have these new signs put up, Mr. Speaker, but I know that when DPW used to put up the signs, make them, it seemed to be a pretty smooth process. They made the signs and they would go out fairly quickly. At least they did one summer a few years ago, when my son worked for DPW.

-- Laughter

Good sign maker.

But since Cabinet saw fit to do away with most of DPW and their workers, it has taken a year, almost, to make the signs and put them up. I hope this is not an indication of how privatization is going to work, Mr. Speaker. I would like to make a few suggestions.

Thank you, Mr. Erasmus. Members' statements. Mrs. Groenewegen.

Thank you, Mrs. Groenewegen. Members' statements. Mr. Rabesca.

Thank you, Mr. Speaker. Mr. Speaker, I rise today, first, to welcome all my colleagues back from what I hope was a restful and happy holiday season. As you know, during this Session we will have many important issues to deal with, all of which will take a great deal of time and energy.

With that in mind, I would like to add another item to our busy table. That of course being the Highway No. 3 section between the Rae access intersection and Yellowknife. Over the past number of months, myself and other Members have lobbied to start construction at this section earlier than the target date of 1998. Today most of you heard our Grand Chief, Joe Rabesca, on the radio wanting to have the speed reduced because of the increased number of transport trucks that are now on this road as well as the ever growing number that will be starting to drive it with the opening of the winter roads north of Yellowknife. Some of you that drove to Yellowknife will understand what I am talking about.

In the last couple of months the traffic has steadily increased, which is making it very dangerous for our residents travelling this section. We must start the reconstruction this coming summer and, for the interim, must reduce the speed and enforce the rules of the road on these trucks. This road is dangerous and is going to get worse. We cannot sit and wait for someone to lose their life. Thank you, Mr. Speaker.

Thank you, Mr. Rabesca. Members' statements. Mr. Ootes.

Thank you, Mr. Ootes. Members' statements. Item 4, returns to oral questions. Mr. Antoine.

Mahsi, Mr. Speaker. Mr. Speaker, on Thursday, November 28, 1996, the Member for Nunakput asked me when the Department of Transportation terminated its Emergency Response Service at the Norman Wells airport and how many staff it laid off.

I am pleased to report that the Department of Transportation was able to terminate the Emergency Response Service at the Norman Wells airport without having to lay off any employees. When the department took over the airport from Transport Canada on July 1, 1995, it was reasonably certain that the forthcoming regulations respecting Emergency Response Services would not require them at Norman Wells. By not staffing vacancies and normal staff turnover, the department was able to close the service on July 1, 1996 without laying off any staff. Mahsi, Mr. Speaker.

Thank you. Returns to oral questions. Item 5, recognition of visitors in the gallery. Mr. Picco.

Thank you, Mr. Speaker. Mr. Speaker, it gives me great pleasure today to welcome to the Assembly two well-known residents of Iqaluit, for their work and also for their volunteer efforts. Mr. Methusalah Kunuk is an in-law of mine and the brother of the MLA from the High Arctic, and also the Superintendent of Transportation in Iqaluit, and the lay preacher for the Anglican Church. Sitting next to him is Mr. John Graham. John is the airport manager in Iqaluit and a long-time dedicated volunteer with the air cadets in our home town. Thank you, Mr. Speaker.

-- Applause

Thank you. Welcome to the Assembly. Recognition of visitors in the gallery. Mr. Arlooktoo.

Mr. Speaker, I would like to recognize two individuals in the Gallery. James Ragee is a constituent of mine from Cape Dorset and he is preparing for further studies in southern Canada. James is here with Lydia Bardak, Executive Director for the NWT Council for Disabled Persons.

-- Applause

Welcome to the Assembly. Recognition of visitors in the gallery. Mr. Ningark.

Thank you, Mr. Speaker. Mr. Speaker, I would like to respectfully recognize two people from Taloyoak. His Worship the Mayor, Dennis Lyall, and his staff member Mr. Elwood Johnson, the Senior Administrative Officer. Welcome. Thank you.

-- Applause

Recognition of visitors in the gallery. Mrs. Groenewegen.

Thank you. Recognition of visitors in the gallery. Mr. Henry.

Thank you, Mr. Speaker. Mr. Speaker, I would like to recognize Mr. Ken Duffin, who is with Colliers International from Edmonton. Ken has been coming north for a number of years. He works for an appraisal company, Colliers, as I mentioned, and has been coming north for a number of years. I would like to welcome Ken and also encourage him to consider opening an office in the north. Thank you, Mr. Speaker.

-- Applause

Thank you, Mr. Henry. Recognition of visitors in the gallery. Mr. Ootes.

Thank you. Recognition of visitors in the gallery. Mr. Ng.

Thank you, Mr. Speaker. Mr. Speaker, I would like to recognize two constituents, Her Honour Commissioner Helen Maksagak and her husband, John. Thank you.

-- Applause

Welcome to the Assembly. Recognition of visitors in the gallery. Mr. Krutko.

Recognition of visitors in the gallery. Are there any further recognitions? I would like to recognize Shirley Johnson. Shirley is a former worker with Dene Nation. Welcome to the Assembly.

-- Applause

Item 6, oral questions. Mr. Ningark.

Thank you, Mr. Speaker. Mr. Speaker, as I indicated in my Member's Statement regarding the runway in Taloyoak, which has been reduced by the regulation of the MOT. We are only asking that this government recognize what was taken away from the community to bring it back to the original length. My question is directed to the Minister of Transportation, Mr. Antoine. Mr. Antoine, what is the status of the request of the Hamlet of Taloyoak now, since you have had meetings with the representative, and I posed a question over spring regarding the same, what is the status of the request? Thank you.

Thank you, the Minister of Transportation, Mr. Antoine.

Mahsi, Mr. Speaker. Mr. Speaker, the request of the municipality of Taloyoak in regards to their airport and the length of their airstrip. The honourable Member indicated to the House here that through the Transport Canada regulations now that the allowable usage of their airstrip is reduced substantially so that the full length of the airstrip is not allowed to be used. So, as a result the airstrip has been reduced. In the meetings that we had with the Senior Administration Officer last week, the meetings were very well put together. I think that the municipality is very seriously looking at what they can do to help the situation out.

At the conclusion of the meeting, my officials in the Department of Transportation were sitting with the representative of the municipality of Taloyoak to look at this situation a little closer to see what we could do in terms of planning in the future on how we could accommodate the request. I think it is possible to do so.

I said in earlier discussions there have been many requests along with the Taloyoak airport in the north for this Department to take a serious look at the airports and see how airports could be increased in length or upgraded. The total amount that we are looking at is quite substantial as a department. It is the time of fiscal restraint and we are going to be listening to the Minister of Finance introducing the budget next Monday and from there you will have an indication of what we are dealing with.

But in the mean time, specifically for Taloyoak, we are willing to look at it. I think we started off on the right foot last week with the type of commitment that the community is willing to put forward. That is all I can report on it at this time, Mr. Speaker. Thank you.

Oral questions. Supplementary, Mr. Ningark.

Thank you, Mr. Speaker. Supplementary question to the same Minister. The Hamlet of Taloyoak is in no fault as a result of the MOT regulation being changed to not recognize a runway that was initially used for the type of aircraft that community was able to bring in. The community suffers as a result of a decision by the Federal government. Will the Minister communicate with the Federal Minister to indicate to the Minister that the community of Taloyoak is now suffering? We may not be able to get a faster, better, long-range aircraft, in this case Lear jet, because of the decision imposed upon the community by the federal government. We may not be able to bring in equipment that is necessary in the winter in case of emergency. Will the Minister communicate with the federal government, try and find some assistance to help the community? Thank you.

Mr. Antoine.

Thank you, Mr. Speaker. Mr. Speaker, yes, as Minister of Transportation I will contact the Minister responsible in the federal government in regards to the situation that we have in Taloyoak. Mahsi.

Oral questions. Mr. Evaloarjuk.

(Translation) Thank you, Mr. Speaker. I have a question directed to the Minister of Education. Under the Education Act, which will be coming in place in 1997-98. The communities in the north, the smaller communities

particularly did not really like the idea that there had to be seven members elected in one community and they had to have a two-year term. After two years they will have to re-elect new members for education councils within the communities. Is this in fact the policy of the government at this time? Because this is becoming a concern in the smaller communities. The Act seems to state that every community will have to re-elect every two years for new education council members. Thank you, Mr. Speaker.

The Minister of Education, Mr. Dent.

Thank you. The question is taken as notice. Oral questions. Mr. Miltenberger.

Minister of Finance, Mr. Todd.

Thank you, Mr. Speaker and welcome back. Welcome back colleagues. The honourable Member is correct. I did have a meeting with Mr. Martin, on January 8th or the 9th. My meeting with Mr. Martin, just for clarity's purposes, was to deal with the existing formula that we have and some of the problems we have with it in relationship to our projected revenues for 97 and 98, 99. I will deal with that in the budget on Monday.

Another discussion took place in relationship to the incremental costs associated with the development of two new territories. I believe there is a protocol being established by ourselves and Mr. Martin's office to at least get the participants to the table and who they should be, to set some timelines as when we can move forward in an orderly way trying to identify the appropriate base funding and the incremental costs. I have Mr. Martin's assurance that this whole process will move forward in a timely manner.

No discussion took place in relationship to the level of money that was required, because that is premature at this time until we determine the appropriate government frameworks that are required east and west. But there was assurance that we would move on a timely basis and there was assurance that incremental costs were a key component to the discussions. The level of those incremental costs and the degree in which we will negotiate, I am unable at this time to be clear as to whether there will be sufficient money or not sufficient money because again, we need to determine very shortly what kind of basic Nunavut and western governments we are going to have so that they can be costed, and the appropriate incremental costs associated with that costed, and negotiations can then proceed. Thank you.

Thank you. Oral questions. Supplementary, Mr. Miltenberger.

Mr. Todd.

Mr. Speaker, well, flattery will get my colleague everywhere. Anyway, no, I cannot at this time determine to what degree the negotiations will take place. Again, I want to ensure my colleague, and others around the table here, that there is clearly a commitment of the federal Finance Minister's office that we will move forward on a timely basis to work towards two new formal agreements. There is a recognition in the Finance Minister's office that incremental costs are going to be associated with these negotiations. However, the degree of incremental costs, and the additional bills it will require over and above the base, is still undetermined, because we still have not determined what form of government it is going to be, both east and west. I am optimistic and hopeful that in the coming weeks, not months, weeks, we will be able to get a much clearer picture to the degree of dollars that are required and the enthusiasm with which the current government, or any future government, will move in providing funding for us on the incremental side.

Oral questions. Mr. Enuaraq. Okay, Mr. Picco.

Thank you, Mr. Speaker. Mr. Speaker, there has been some concern in my riding over the contamination, yes, the contamination of fuel oil with a certain fungus that can cause burner failure. Some Members of this House have also asked me about this. Maybe the Minister for NTPC could update me and this House on the status of this fungus, or biological growth, in the oil storage tanks that have contaminated the fuel oil in my community.

The Minister of the NWT Power Corporation, Mr. Dent.

Thank you. Oral questions. Supplementary, Mr. Picco.

Thank you, Mr. Speaker. Mr. Speaker, I understand that in some conversations with some people around this matter, that indeed the colder weather in the Northwest Territories seems to inhibit the growth of this bacteria or fungus. In this case, the fungus is actually present, and as the Minister said, does impede the generator. Can the Minister tell us what is the status now of checking on a regular basis to make sure that this is not occurring, as he did say, in his response to me, that the problem seems to have been fixed. Is there going to be ongoing checks of this, and maybe in other tanks, in the Northwest Territories, to make sure this is not occurring? Thank you, Mr. Speaker.

Mr. Dent.

Oral questions. Supplementary, Mr. Picco.

Thank you, Mr. Speaker. Mr. Speaker, I gather from that then the problem is not actually in the distribution of fuel through the fuel corridor through the fuel pipes. It is actually in the tank itself, is that correct?

Mr. Dent.

Oral questions. Final supplementary, Mr. Picco.

Thank you, Mr. Speaker. Mr. Speaker, of course the concern here would be that if it is in the fuel lines itself that are distributing fuel, it may infect the storage of the fuel for domestic burners and so on. Is the Minister assuring me now then that indeed in Iqaluit, private home-owners and the government housing association, do not have to worry? That their furnaces, if they are using that fuel, will not be infected by this fungus, this bacterial agent? Thank you, Mr. Speaker.

Mr. Dent.

Oral questions. Mr. Roland.

The Minister of Health and Social Services, Mr. Ng.

Thank you, Mr. Speaker. Mr. Speaker, there were several factors that were taken into account. First and foremost, throughout the alcohol and drug residential

treatment programs that we finance, we had a high number of beds per capita. Compounding that, Mr. Speaker, was the fact that within the bed spaces that we did have available, there was also a high vacancy rate amongst those beds. Those are a couple of the first factors, as far as the need to remove some of the beds from the system. Second to that, in respect to how the Delta House facility was reached as the facility to be targeted for withdrawal of funds, it was because of the fact that it was the smallest of the facilities that we financed, it was the oldest facility that was out there within our system, and finally, Mr. Speaker, the fact that the location of the facility itself, lent to some program delivery problems from basing the treatment out of that facility, Mr. Speaker. Thank you.

Oral questions. Supplementary, Mr. Roland.

Mr. Ng.

Thank you, Mr. Speaker. Mr. Speaker, it is based on averages per capita, on the availability of beds in relation to other jurisdictions within the country, Mr. Speaker. Thank you.

Thank you. Oral questions. Supplementary, Mr. Roland.

Mr. Ng.

Thank you, Mr. Speaker. Mr. Speaker, I cannot say definitively for sure, but I can say that we recognize that there is a higher incidence of alcohol and drug abuse in the Northwest Territories. That was also a factor that was taken into consideration, and the overall decision for withdrawing the funds of Delta House, I would like to reiterate that we are not withdrawing the provision of alcohol and drug treatment services to the residents of Inuvik or the residents of the Inuvik region itself. We will continue to maintain and provide residential treatment beds and spaces for those individuals that require that. We will continue to provide alcohol and drug treatment funding at the regional and the local level to assist individuals needing programs and services, Mr. Speaker. Thank you.

Oral questions. Mr. Roland.

Mr. Ng.

Thank you, Mr. Speaker. Mr. Speaker, they would be available in other residential treatment facilities that we finance right now. If I could use, for example, in Yellowknife right here, through Northern Addictions services, or through MSGK, the facility there, on the Hay River Reserve. It will be determined based on the regional referral team, and of course, the client, on where they would want to undertake their treatment when that new process takes place, Mr. Speaker. Thank you.

Oral questions. Mr. Erasmus.

Thank you, Mr. Speaker. My question is for the Minister of Finance. Mr. Speaker, at the beginning of our terms last year, we undertook a two-year process to balance our budget. Most people understand the necessity to do that. Unfortunately, our civil servants have been put under a tremendous strain. Many of them are nervous going to work. They are scared to spend money, because they do not know how long they are going to be in their jobs.

Mr. Speaker, for the most part, our civil servants are hard working and conscientious workers, and they should be commended for doing a good job under difficult conditions. My understanding is, that if we successfully implement this year's proposed budget, we will have balanced the budget.

Mr. Speaker, I would like to know if I can tell my constituents that this is it. Lord knows, Yellowknife has done its part to balance the budget. Mr. Speaker, after this budget is implemented, can people feel safe? Can I tell my constituents that the cuts are finished after this budget is implemented? That the cuts are finished other than for minor adjustments?

The question is hypothetical because it is asking the Minister to make a prediction. It is also asking a question about a proposed budget address. I would like to ask the Member if he can rephrase his question.

Mr. Speaker, I would like to know from the Minister of Finance, once we have completed two-year deficit reduction plan will this, our balancing the budget, can I tell my

constituents who are asking me, that they can feel safe in their job? That our plan has been successfully implemented?

The Minister of Finance. Mr. Todd.

Thank you, Mr. Speaker. I would like to be able to answer that question today but I would feel somewhat uncomfortable that it be pre-empting the budget so I am not trying to avoid it but on Monday we will be able to outline to the public at large, those employed, those unemployed the fiscal condition of this government and the plan that we have to reach a balanced budget in 1997. Thank you.