Thank you, Mr. Roland. Good afternoon, Members. Welcome back to the Legislative Assembly. I am sure we have all had a good and productive summer in our constituencies. The time needed to spend with our family and children is important. Members must now be ready and raring to get down to the business of the House, but within the rules, I hope.

I know that you will join me in sending our best wishes to our colleague from Amittuq, who is still in the hospital in Montreal, recovering from leg surgery. On your behalf, flowers have been sent to Mr. Evaloarjuk. It is hoped that Mr. Evaloarjuk will be able to return to the Assembly by the beginning of the Fifth Session.

--Applause

I would also ask Members to include in your prayers, the mother of the Member for Mackenzie Delta. Mr. Krutko's mother is fighting a courageous battle with cancer and is currently at the Stanton Yellowknife Hospital. Our prayers are with them. Again, I welcome Members back to the Assembly. Orders of the day. Item 2, Ministers' statements. Mr. Morin.

Thank you, Mr. Speaker. I would like to welcome all of my colleagues back as we reconvene to conclude the Fourth Session of the 13th. Assembly. While the break has allowed us sometime to return to our ridings and meet with our constituents, spend time with our families and enjoy our beautiful northern summer, the work of the government and the Legislative Assembly has continued in high gear.

Among the major activities has been the extensive review and public consultation on the family law legislation that was conducted by the Standing Committee on Social Programs. This is an important legislation that we will be discussing further over the next few weeks. In addition to that, much work has been completed on the business plans and the preliminary budget process for 1998/99. We are now concluding consultation with the standing committees.

As well, work continued on several program initiatives including the review of the Student Financial Assistance Program directed by Minister Charles Dent, the ongoing review of the road, marine and air transportation system needs in the north under the direction of Minister Jim Antoine and the Economic Framework and Protected Area Strategy under the leadership of Minister Stephen Kakfwi. Health and Social Services Minister, Kelvin Ng, also led an initiative to create a $4 million Strategic Initiative Fund aimed at helping Health and Social Service boards in some regions improve health services and health status over the longer term.

Mr. Speaker, much progress has also been made on the implementation of the $16 million Northern Employment Strategy spearheaded by Minister John Todd. The NWT Housing Corporation's Plan 2000 brought forward by Minister Goo Arlooktoo and the municipal legislation review, directed by Minister Manitok Thompson.

We have also seen results in our efforts to improve government communications. Among other things, as part of our commitment to communicate better within the public sector, we have reintroduced an employee newsletter to open the channels of communication and to share information of importance with our employees throughout the north. Mr. Speaker, I am also very happy to report that 93 percent of the 319 students hired by the government this summer were affirmative action employees.

Mr. Speaker, this government has also taken a strong and vocal stand on the issue of a northern diamond sorting and valuation facility. We have stated on many occasions that diamonds produced in the Northwest Territories must be sorted and valued in the Northwest Territories. As a government we are firmly committed to making this happen. I have directed Minister Todd to take a hard look at the tax regime associated with the diamond industry and along with Minister Kakfwi to be aggressive in the discussions with all parties, including the federal government, to ensure the north gets its share of the wealth. Diamonds mined in the north must be sorted and valuated in the north. As far as we are concerned, this issue is not open to debate. We are very pleased Diavik Diamond Mine has indicated that it is their intention to locate a sorting and valuation facility in the Northwest Territories. We are encouraged that federal officials appear to support valuation in the north. Ministers Todd and Kakfwi are now leading our effort to convince the Department of Indian Affairs and Northern Development Minister, Jane Stewart, and her department to require detailed sorting takes place in the north. Minister Kakfwi will be providing Members with an overview of the significance of the diamond industry over the next few days.

Mr. Speaker, on the national front, I was able to represent the Northwest Territories at the Annual Premiers' Conference in August and at a meeting in September to discuss national unity. At the Annual Premiers' Conference, which Deputy Premier Arlooktoo also attended, there was a great deal of discussion and support for the concept of working together to ensure all Canadians have equal opportunities and equal access to a good quality of life and standard of living. This is particularly good news for the north, as the stronger and more prosperous provinces recognize they have a role to play in assisting regions where economic and social conditions are below the Canadian average. The Premiers have pledged to examine ways of balancing the scales.

As part of this, the Premiers also acknowledged that areas of the country, including the Northwest Territories and the Yukon, are heavily dependent on the highway system for access to the rest of Canada and for access to communities, resources, economic development, tourism and trade. They agreed that special considerations should be given to the needs of remote northern regions in developing funding arrangements for a highway system to provide access for tourism and economic development.

The Premiers also agreed that transitional and implementation costs associated with self-government should be the responsibility of the Government of Canada. At the Annual Premiers' Conference, I also had the opportunity to discuss some of the issues facing the north and I am pleased to inform you, I was able to gain all of the Premiers' support in our negotiations with the federal government. Building on this, this government has also invested a great amount of time in an overall strategy aimed at helping the federal government, the provincial governments, the Yukon government and all Canadians understand the implications of the changes happening in the north today. This plan is aimed at gaining national recognition that we have a collective responsibility to deal with some of the social and economic concerns facing the people who live in Canada's north.

Mr. Speaker, the north offers a celebration of what it means to be Canadian, and the changes that are happening in the north should and could serve as an inspiration to the rest of Canada. Our involvement in the national unity issue is therefore important on two fronts--first in allowing the people of the north the same right as every other Canadian to have their voice heard in the debate of the future of the country, and second, to be heard collectively and as an equal at the national level. Mr. Speaker, we will be seeking Members' support and input during this session on how we consult the people of the north. While at the unity meeting in Calgary, which Minister Kakfwi also attended, I also met with the new Assembly of First Nations' Leader Phil Fontaine. At that meeting, I stressed the important role aboriginal people have in the issue of the future and unity of Canada. This is something we will stress again when the Premiers meet with the national aboriginal leaders in Winnipeg on November 18.

Mr. Speaker, among the other highlights of this past summer was the first official visit to the Northwest Territories by the new federal Minister of Indian Affairs and Northern Development, the Honourable Jane Stewart. While on her visit to Yellowknife, she met with Members of Cabinet and agreed to work closely, along with the Aboriginal Summit, to find solutions to the many issues facing the north and in particular with the creation of two new territories. During her meeting with Cabinet, we had the opportunity to discuss issues such as adequate funding arrangements for the two new territories, devolution, the location of the diamond valuation facility and road development to resource rich areas in the north. Overall, I am pleased to note that Minister Stewart is committed to achieving a new partnership based on government-to-government relationships involving aboriginal governments, the Government of the Northwest Territories and the federal government. Like us, she believes the best solutions for the north should be made in the north. Minister Stewart also stressed, along with all of Cabinet, strong support of the tripartite discussions between the federal and territorial governments and the Aboriginal Summit. As a starting point, we have agreed to direct federal and territorial officials to focus on self-government discussions as soon as possible.

Since that initial meeting, Minister Stewart has also travelled to Iqaluit, where she met with Deputy Premier Goo Arlooktoo and signed two financial agreements with the territorial government. In his meeting with the Minister, Mr. Arlooktoo again stressed the importance of the federal government's role in the implementation plans and priorities and reaffirmed the need to strengthen the partnership between all stakeholders in the creation of two new territories. As well, Minister Dent and Minister Stewart signed an agreement that will see $11.9 million transferred to the territorial government for training of Inuit people to help achieve 50 percent representation in the Nunavut public service by 1999. Minister Stewart and Minister Thompson also co-signed an agreement for $8.22 million in federal funding for the territorial government this year to meet the projected infrastructure needs for 11 Nunavut communities. This is the first year of a three-year commitment of $32 million.

Mr. Speaker, substantial activity has taken place towards the creation of two new territories. One key area in planning for 1999 is the issue of employment for current GNWT employees in relation to the two new governments. Mr. Speaker, our government is working closely with all parties, and specifically with the Nunavut Interim Commissioner's office to ensure this matter maintains a high priority. Public servants in the north deserve as much employment certainty as government can reasonably offer in an environment of fiscal restraint. All parties involved in the planning of two new territories should work together to ensure we provide an early and clear message to all GNWT employees as to their employment status.

Likewise, our position remains firm that the costs associated with hiring new staff for Nunavut, the transfer process, relocations and severance packages are transitional costs and must be covered by the federal government.

Meanwhile, under the direction of Cabinet, Minister Todd is making progress on the issue of transitional funding and on ensuring adequate funding formulas for two new territories. A number of meetings have been held with Finance Canada, DIAND and other key federal officials to stress the need for funding to cover the incremental costs for both Nunavut and the Western Territory and for the necessary transitional costs. As a result, a special committee on financing Nunavut and the Western Territory has been established to address these issues and discuss options for financing mechanisms after 1999. Phase 2 of the GNWT Division Implementation Plans, which departments have been busy preparing this summer, will assist us in identifying the full range of transitional costs that are required.

Mr. Speaker, we face one of the greatest challenges of any group of political leaders in Canada today; - that is, maintaining and making decisions for one government while at the same time shifting our focus and our thinking for two new governments. As part of that, we must recognize the differences between Nunavut and the west in terms of climate, geography and existing infrastructure in relation to future needs and requirements.

As you know, Minister Todd has the overall responsibility for coordinating this government's approach to the creation of two new territories, while Minister Antoine serves as the co-chair of the Western Constitutional Working Group.

However, in order to emphasize balance as we start thinking like two territories, it is my pleasure today to announce I have appointed the Honourable Charles Dent as Minister responsible for Western Transition Planning. and the Honourable Goo Arlooktoo as Minister responsible for Nunavut Transition Planning. These Ministers will work closely with their respective caucuses to develop plans for transition.

Mr. Speaker, these appointments mark an important milestone as we take the next step in our planning for the two new governments. As well, during this session, we will be tabling a Transition Action Plan for the creation of two New Territories. Within 40 days we will have completed a second document specifically related to the Western Territory.

Mr. Speaker, as we move ahead, I must stress once again that as Members of the Legislative Assembly of the Northwest Territories, we must continue to keep working together. As elected leaders serving the whole territory, we must remain committed to being fair.

In doing so, there may be times where financially it may appear things are not equal. However, our ultimate outcome must be to ensure all citizens of the north have the same opportunities and the same quality of life whether they are future residents of Nunavut or the Western Territory.

Mr. Speaker, in a few weeks we will mark the second anniversary of our election to the Legislative Assembly. Eighteen months ago, Members of the House unanimously approved an agenda for change that included ten priorities covering areas in which we felt action was necessary. First and foremost was to secure our financial future.

Since that time, we have used the agenda for change to guide government actions and initiatives, and much progress has been made in many of those areas.

It has not always been easy. These are very challenging times, and we face a number of important and controversial issues. But I am impressed with how Members of the government, such as Minister Kelvin Ng, are managing the difficult choices we must make for citizens today and in the future.

Over the next few weeks and into the next session of the Legislative Assembly, this government will be providing the Members with a formal update on all of the things that we have accomplished working together.

As well, as part of our commitment to improving communications over the next few weeks and months, we will be sharing this message with the people of the Northwest Territories and inviting their comments on what we have accomplished, and what we have left to do. Because we live in an environment of uncertainty, we owe it to our people to share as much information as possible. We need to make a renewed commitment to public accountability.

Mr. Speaker, the Members of this House are vital in that process, and I look forward to working with every Member as we involve our constituents in the ongoing discussion about current issues and about our future. We owe it to the people of the Northwest Territories to keep them informed on the discussions that affect them and to give them the opportunity to be heard. Mr. Speaker, this has been an overview of how this government spent its summer vacation.

As I have stated many times, with less than two years left in our mandate, and much to do, we cannot waste a moment if we are to address all of the issues facing the north and prepare for 1999. Clearly we have made the most of the past few months.

Continuing on that theme, I would like to conclude my remarks by saying I look forward to a productive session and the continuation of a positive, healthy discussion of the economic, social and political future of Canada's north. Mahsi cho.

Thank you, Mr. Premier. Ministers' statements, Mr. Ng.

Thank you, Mr. Speaker. Welcome back colleagues. Mr. Speaker, earlier this year, both the Baffin and Keewatin Regional Health Boards announced plans to change

the way some services were delivered to residents. These changes involved the end of two long-standing contracts with southern service providers. Responsibility to ensure the most efficient and effective method of service delivery is certainly a board responsibility, and both boards felt they were acting in the best interests of the public they serve. Both boards acted within their mandates in making these decisions. However, over the summer there have been many expressions of concern about the proposed changes from Members of this House, regional leaders and the public in the Keewatin and the Baffin.

To try to get these facts about the situation and what needed to be done, I established an internal review that was to report to me by September 26th. The main objective for the review team was to determine whether the people living in the Baffin and Keewatin were at risk. Were the services necessary to ensure the safety of the residents going to be available on October 1st when the new arrangements came into effect in the Keewatin? Would general practitioner services be available? Although the process may not ...

Mr. Minister. The time allotted for Ministers' statements is now over. Mr. Ng.

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

The Member for Kitikmeot is seeking unanimous consent to complete his Minister's statement. Do we have any nays? There are no nays. Mr. Ng, you have unanimous consent.

Thank you honourable colleagues, Mr. Speaker. Although the process may not be as comprehensive or documented as it should be, the bottom line is that the Baffin and Keewatin residents will not be at risk on October 1st. There are adequate arrangements in place to ensure there is continuity in service.

However, the review did highlight a number of weaknesses in how these new contracts came about. The two biggest areas of concern are planning and communications. Both the Baffin and Keewatin Health Boards were looking for new, more effective ways of providing services to residents. Their general ideas were good. However, in the Keewatin, there was a lack of formal thorough planning to support these decisions.

There was also no clear implementation plans to allow these changes to happen in an organized way. Planning is also an issue in the Baffin. To this point, there is no formal plan and one will have to be developed in the next couple of months.

With the lack of formal planning, there was also a lack of communication between the boards, the residents and the staff in the regions. The change process would have been greatly aided by regular, straightforward communication on what was happening and how things would change.

Mr. Speaker, it is also clear to me that there is more that the Department of Health and Social Services should be doing in trying to give boards room to make their own decisions. We have moved too far away. While the department should not be overseeing the day-to-day operations of the boards, we clearly have a role in providing support and in providing regular feed-back through an auditing and monitoring process.

I have directed the department to establish the support and monitoring functions, so this type of situation can be avoided in the future. The formal report on this review will be available publicly tomorrow. I will ensure that all Members of the Assembly will have a copy of the report before it is released.

I would like to thank the members of the review team and the many individuals in the north and in the south who contributed to their review. Their efforts have allowed us to address this issue in a very short time and a report will allow us to make some positive changes on how we do business.

Mr. Speaker, as Members will see from the report recommendations, there is work to be done. However, I am confident that both boards are able to ensure today that all residents of their regions will have access to the services they need, just as they did yesterday before the changes came into effect. Thank you, Mr. Speaker.

Thank you, Mr. Ng. Item 3, Members' statements. Mr. Henry.

Thank you, Mr. Speaker. I would also extend a welcome back to my colleagues. Mr. Speaker, I listened with interest this morning to a CBC 7:30 news report on the subject of diamond valuation and sorting.

The one man guru of the federal government knowledgeable on the topic advising Minister Stewart stated and I quote, "we are concerned with whatever amount of sorting is required to assess the value of diamonds for royalty purposes", end quote.

Mr. Lazarovich has got it right so far, but this is the point at which he went off the tracks. He contradicted himself when he went on to say and I quote, "we are not talking about sorting for the purposes of selling because we should not be interfering with the company's marketing decisions", end quote.

Is Mr. Lazarovich going to weigh the diamonds for federal government royalty purposes? Why can we not do like other producing countries and set the value for royalty purposes on the selling price? Why does every other diamond producing country in the world have their diamonds evaluated and sorted in the country of production? Why will Canada not come right out and demand sorting of the diamonds be done to the extent that Canada can obtain the most accurate and fair royalties for its non-renewable resource, and the NWT receive its maximum potential from the sorting and related jobs? Canada is getting involved in one of the most elite industries in the world and the Government of Canada has one person advising it on this initiative. It is vital Mr. Lazarovich along with Minister Stewart visit the NWT and meet with elected Members of this Legislature so she can hear and learn first hand the complete picture on diamond evaluation and sorting.

Minister Stewart's one man show does not have the whole picture. Mr. Speaker, we have more individuals in the Northwest Territories government who, in most cases, have more knowledge and experience of the whole diamond industry than Mr. Lazarovich. They can make themselves available to the Minister so she can have the full picture on what is good for the north and also that which is definitely good for Canada.

Mr. Speaker, is it any wonder that Quebec and British Columbia are talking about separating from Canada and demanding to be heard when it comes to the resources of their jurisdictions? Mr. Speaker, I seek unanimous consent to conclude my statement.

The Member for Yellowknife South is seeking unanimous consent to conclude his statement. Do I have any nays? There are no nays. Mr. Henry, you have unanimous consent.

Thank you, Mr. Speaker. Thank you, colleagues. Mr. Speaker, the federal Minister must be more responsive to the aspirations of northerners who are trying to survive from the imposed federal cuts to formula financing.

The people of the north are attempting to create some new wealth from the resource that is on our door step, only to find that a federal bureaucrat can, by the stroke of her pen, end our dream of some semblance of self-sufficiency. Mr. Speaker, I will not sit back and watch this once-in-a-lifetime diamond opportunity get lost in Ottawa politics. Thank you, Mr. Speaker.

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

Thank you. Members' statements, Mr. Miltenberger.

Thank you. Members' statements, Mr. Roland.

Members' statements. Mr. Picco.

Thank you, Mr. Speaker. Mr. Speaker, this summer the north lost a very special person. Mr. Abraham Okpik was a father, a husband, an Order of Canada recipient, a politician, a raconteur and a friend. Abe was born in the western Arctic and, like many northerners, was sent south to the hospital for TB. In hospital, Abe showed his dexterity with language. He quickly mastered the Cree language he learned from other patients. After he returned north, an accident with his dog team left him permanently disabled. However, this did not slow him down and he continued his traditional pursuits.

The 1940's and 50's brought a lot of changes to the north. Abe again showed his adaptability by working proactively for northerners and northern causes. Abe was the first Inuit to sit on the Territorial Council when he was appointed in 1965. Abe then took on the task that many remember him for Operation Surname. Abe's gift of languages and dialect enabled him to complete the task of eliminating the asinine "e" and "w" numbers that Inuit were known by. This task was carried out by Abe with a minuscule budget. Afterwards Abe received the Order of Canada for his work. Although, originally from the western Arctic, Iqaluit became Abe's home. He never forgot his Inuvialuit roots and was respected throughout the territories. When I was elected, I asked Abe if he would accept my nomination for him to sit on the NWT Elders Association and he accepted. Abe served on this committee as well as on council with the town of Iqaluit before he died.

When Peter Gzowski came to Iqaluit this past spring for the annual literacy golf tournament, Peter wanted me to participate. I went to Abe's house and because of his difficulty in walking, we arranged for Abe to be driven around by skidoo on the golf course. Abe told me that the course located on the sea ice reminded him of the previous tournament the NWT Literacy Association had in Yellowknife in 1990. He used to like cracking jokes and he said to me "Ed, this time try and play golf and please do not sing." Abe took a turn for the worse this summer and I visited him in the hospital. He was always joking with me and he told me to lose some weight. Abe was a friend, a confidante to his wife and family. On behalf of the people of Iqaluit and this Assembly, I would like to express our sincere sympathy and sorrow on Abe's passing. He will be missed.

Members' statements, Mr. Barnabas.

Thank you, Mr. Speaker. I too would like to remember an elder who passed away recently in the highest, most northern part of the north in Grise Fiord. He was born on April 16, 1930 and he died August 11, 1997 this past summer. He was also a member of the settlement council in Grise Fiord during the 1980's. He was an employee of DPW through the early 1970's to late 90's. In 1988 to 1995, he was an employee of the local housing association, where he was a maintenance officer in Grise Fiord. He was also a member of the Elders Group through the Hamlet Council and a member of the housing association within the community.

He was an active member of the community who tried to help other people and he also welcomed all kinds of people into his house. Mr. Akeegok had 11 children and he moved from Arctic Bay to Grise Fiord during the early 1960's. I wanted to recognize this very important person who was a member of our community. Thank you, Mr. Speaker.

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

Thank you, Mr. Speaker. Mr. Speaker, today I would like to welcome my colleagues back from their summer break. I hope everyone has had a relaxing break. Today, while driving into Yellowknife listening to the radio, it amazed me to hear that Yellowknife is now in a very unique position, and that being the enviable position of not having enough workers to fill all the jobs that are currently available.

Then, we have in my constituency many unemployed, untrained adults that want to work. They are unable to find any work because they cannot get trained, and the reason they cannot get trained is because no dollars are available. During the last sitting of this House, a number of initiatives were announced that would, I thought, help my residents, as well as the residents of other regions to get training or possibly develop businesses.

Of course, this would spur the economic growth in smaller communities and also create employment. However, we are now five months past the date of these announcements and there is still little or no action from this government to provide our residents with any direction as to how one can qualify for training funds, where to do so or even how much is available for any of these programs. Over the course of the summer, I have had many people come to me wanting assistance to find training possibilities. Every government office I have gone to has told me they know nothing other than what was announced here in the House about any programs or dollars that should have been accessible.

This government needs to get the word out. Our residents cannot wait five months or longer to find out what programs may be available for training. They need training and work now! Thank you, Mr. Speaker.

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

Thank you, Mr. Speaker. We know the goal of our present government is to reduce the dependency on government for jobs and social assistance. We tell our residents to make choices, get training, get a job and get off social assistance. In the small communities, this is more difficult than people think. In the community of Broughton Island, there are people willing to work and wanting to work; but there are few jobs. The people of Broughton Island have ideas and resources they wish to pursue that they can develop more jobs in the community. They need help to do this.

Presently there is no economic development officer in Broughton Island. Because of this, it appears that the community is missing out in the development of tourism and resource industries. The presence of an economic development officer in the community would assist and coordinate the residents in the development of their resources.

Mr. Speaker, when we meet to finalize budgets, we review finances department to department; not seeing the whole picture. When we look at the situation in Broughton Island as part of a larger picture, it makes economic sense to place an economic development officer in that community. Through the development of local resources and jobs, there will be less dependency on government programs like social assistance. This reduced dependency on social assistance will result in a reduced cost to the government.

Mr. Speaker, we as a government have a responsibility to help people and communities pursue economic independence. By placing economic development officers in small communities, like Broughton Island, both the community and the government benefit. The community reduces its dependence on government and the government reduces the cost of social assistance. Thank you, Mr. Speaker.

Thank you. Members' statements. Mr. Ootes.

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

Thank you, Mr. Speaker. Mr. Speaker, we will be looking for the diamond sorting plant in Arviat and Baker Lake, I forgot to mention it. Mr. Speaker, I recently received a written response from the Commissioner of the Northwest Territories regarding my request for a full public inquiry into the activities of the Keewatin Health Board.

Mr. Speaker, the Commissioner's response stated that, after consulting with the Premier, she would not agree to holding such a public inquiry. It is, of course, very disappointing to have such an important request refused. This is especially so when one considers that a public inquiry was requested by the NTI, the Keewatin Inuit Association, all the Keewatin mayors and the Union of Northern Workers.

Although the Minister of Health has agreed to an internal or technical review, I do not believe this will go far enough to address the issues that have been raised by the Keewatin people.

Mr. Speaker, I have taken this matter as far as I can on behalf of the Keewatin people. I will now be monitoring the results of Minister Ng's report, and I will be following up with questions during the days ahead. Thank you.

Members' statements. Item 4, returns to oral questions. Item 5, recognition of visitors in the gallery. Mrs. Groenewegen.

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

Thank you Mr. Speaker. I would like to recognize Mr. Bill Lyall, who is a former member of the Northwest Territories' Legislative Assembly and also the President of the Arctic Co-op which is the highest employer and trainer in the Northwest Territories, next to the government. I think it is the highest. Thank you.

Welcome to the Assembly. Thank you, Mr. Ningark. Recognition of visitors in the gallery. Mr. Ng.

Thank you, Mr. Speaker. I too would like to recognize Mr. Bill Lyall, who is a constituent. I will not go into details of his past affiliation, but he is a valuable contributor to the north, Mr. Speaker. Thank you.

Recognition of visitors in the gallery. Mr. Roland.

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

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

Thank you, Mr. Speaker. It gives me pleasure to recognize Mr. David Talbot from the Union of Northern Workers and also Mr. Ron Williams, who I believe is still in the Gallery. Mr. Williams is a board member of the Northwest Territories Power Corporation.

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

Thank you, Mr. Speaker. I do not think anyone has recognized Pat Thomas from Yellowknife, the president of the NWTTA. Sitting with her from Iqaluit is Mr. Erin Blair, one of the executive members of the NWTTA and a member of their negotiating team. Thank you.

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

Thank you, Mr. Speaker. I would like to recognize Mr. Tony Bugens and Bill Pois both long time residents of Yellowknife and both at one time lived in Yellowknife North. I am not sure exactly if they reside there still or not. Thank you.

Welcome to the Assembly. Recognition of visitors in the gallery. Item 6, oral questions. Mrs. Groenewegen.

Just to remind the Members that when you recognize a Minister, you should also recognize his office. The Minister of Finance, Mr. Todd.

Thank you, Mr. Speaker. Well, I think the opposition has been consistent. We have indicated to both the federal government as recently as last week when I met Mr. Martin, the Finance Minister, and Ms. Stewart, the new DIAND Minister, that we want to see diamond sorting and valuation done in the north. We went down for a variety of reasons. Both my colleagues from Yellowknife and Hay River outlined that earlier today. The most important reason for us is to make sure that we get an accurate reflection of the value of the

diamonds, so that the royalty in the tax regime is reflected accordingly. As you know, we are currently trying to reconcile with our federal counterparts for an expanded tax window to ensure that some of these revenues fall back into the north. So the position of this government is clear. We are advocates of the need for northern diamonds to be sorted in the north, Botswana diamonds in southern Botswana. Yakutia diamonds are sorted in Yakutia. Northern diamonds better be sorted in the north.

Oral questions. Supplementary, Mrs. Groenewegen.

Mr. Todd.

I think it is important for everybody to understand that Mr. Lazarovich does not determine what Canadian public policy is, as it relates to diamond sorting and valuation. So really, Mr. Lazarovich or whoever he is is some nondescript bureaucrat that gives advice to the federal ministers. As I have indicated many times, he may think he is the Canadian expert on diamonds. I would like to think I am the Canadian expert on northern diamonds.

The position in terms of trying to determine what an appropriate public policy should be as it relates to diamonds in the Northwest Territories will be made by politicians, not bureaucrats. I have assurances from both Ministers that the northern position and the position we are taking will be included in the public policy that will eventually develop and will meet the needs not just of northerners, but of Canada as a whole. Thank you.

Oral questions. Supplementary, Mrs. Groenewegen.

Mr. Todd.

Well, of course, my honourable colleague could have come along on the trip, but she chose to stay home and so did her mayor. Mr. Speaker, I think it is important to differentiate between the two types of sorting. Sorting for royalty purposes is slightly different from marketing purposes. For marketing purposes, you sort them in certain categories to determine where you are going to sell them, who you are going to sell them to, what the value is, et cetera. Our position has been if we are only going to sort for valuation purposes, we really are not that interested. We need to ensure that the level of sorting is sufficient to give us, as I said, an accurate reflection of what the overall value of that production is. It was suggested to us, I believe in Antwerp, that we can determine what the royalty is based on the balance sheet. It just borders on ludicrous. This was from the industry itself and that is why, to put it mildly, I was more than offended with respect to that discussion that was undertaken.

It is my belief that if we can get an appropriate level of sorting and valuating done in the Northwest Territories, that will bring some jobs and bring some of the diamond industry into the Northwest Territories. My primary interest as a Finance Minister is to ensure that the sorting is done to a level that provides, as I said, an accurate level of valuation so the royalties and the tax regime are to a maximum. So that we can get our share when we negotiate that with Mr. Martin and Ms. Stewart in the coming months. Our principal concern is on the royalty side, because it brings significant fiscal rewards if we can make the right arrangement. Our secondary concern is to ensure that any job associated with Canadian diamond valuation and sorting be Canadian jobs. Is the industry suggesting that the Canadian diamonds should be sorted by Belgians? I hope not. Canadian diamonds are going to be sorted by Canadians. Thank you.

Thank you. Oral questions. Supplementary, Mrs. Groenewegen.

Mr. Todd.

Mr. Speaker, Mr. Kakfwi is developing a paper for Cabinet which is going to put together an overall, one window, strategic approach to this issue. There will be a political as well as bureaucratic component to it. I am optimistic that will be concluded this week. I have already committed in the House, along with Mr. Kakfwi, to sit down with both federal Ministers to try to give them another point of view as it relates to Canadian and northern diamonds.

As I said to Mr. Martin, "Would Mr. Tobin allow this to happen in Voisey Bay? Would Mr. McKenna allow this to happen in New Brunswick? Why should Mr. Morin be allowed to let this happen in the Northwest Territories?"

Thank you. Oral questions. Mr. Picco.

Thank you, Mr. Speaker. Mr. Speaker, my question is for the Premier. Mr. Speaker, can the Premier inform this House if there is a policy of this government concerning giving contracts or tenders to former employees of the government formerly in senior positions like a deputy minister, an ADM, et cetera? Thank you, Mr. Speaker.

Mr. Premier.

Thank you, Mr. Speaker. I think that the Member had said, "to give contracts?" Normally contracts are tendered and people are allowed to tender on contracts if they are the best. Supposedly they can take that contract or win it. Thank you.

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

Thank you, Mr. Speaker. That was not my question. My question was is there a policy for the awarding of these contracts? I will ask the question again. Is there a policy of this government that precludes top former senior positions in getting contracts? Thank you.

Mr. Morin.

Thank you, Mr. Speaker. I will be willing to look into the matter for the Member and speak to him on the issue to make it more clear what he is asking for and then I will provide him with that policy. Thank you.

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

Thank you, Mr. Speaker. Mr. Speaker, I would be very interested in sitting down with the Premier and talking to him, but I would like an answer to my question first. Is there a policy or regulation of the government concerning giving contracts or awarding tenders to former employees of this government in senior positions like a former ADM or a former DM, et cetera?

Mr. Morin.

Thank you, Mr. Speaker. As I said previously, I would be quite happy to look for that policy to see if it is there and how it is worded. I do not have it here with me. I will sit down and talk to the Member about it and give him that policy. Thank you.

Thank you. Oral questions. Final supplementary. Mr. Picco.

Thank you, Mr. Speaker. Mr. Speaker, is the Minister saying that there is not a policy, that he does not know if there is a policy or that he is going to check to see if there is a policy? Can the Minister tell me whether there is no policy, there is a policy or he is going to check to see if there is a policy? Thank you.

Mr. Morin.

Thank you, Mr. Speaker. As I said to the Member, I will check if there is a policy. Once I find it, then I will share it with him. Thank you.

Oral questions. Mr. Enuaraq.

Thank you, Mr. Speaker. As I mentioned in my Member's statement, we need an economic development officer in Broughton Island. I will be directing my question to the honourable Minister, Mr. Kakfwi, Minister responsible for Resources, Wildlife and Economic Development. Is the Minister prepared to put a position of an economic development officer in Broughton Island in the near future? Thank you.

The Minister responsible for Resources, Wildlife and Economic Development, Mr. Kakfwi.

Oral questions. Mr. Henry.

Thank you, Mr. Speaker. My question is to Mr. Kakfwi, the Minister of Resources, Wildlife and Economic Development. I would like to ask the Minister if he has had any discussions with Minister Stewart from DIAND regarding her position or actions that her department or government may be taking against the anti-fur lobby that is being created in Europe? Thank you, Mr. Speaker.

The Minister responsible for Resources, Wildlife and Economic Development, Mr. Kakfwi.

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

Thank you, Mr. Speaker. I asked this question of the Minister because I think the Northwest Territories and the Government of Canada have an opportunity to send a strong message to the Europeans that this agreement, as the Minister stated, is only for a few years. Diamonds, if they are not sorted in their originating countries or the country of production, are usually sorted in London and Antwerp.

My question to the Minister is will he advise the federal Minister that this is one area where we may have a little more clout? I would like to think that we will not be putting up with the antics of the Europeans when we have a product that is produced in our country, and we can do some of the added value features onto it here in Canada. Will the Minister be committing that message to his federal counterpart? Thank you, Mr. Speaker.

Thank you. I am sorry, Mr. Henry, that was a new question. It is not a supplementary question to your first question. Oral questions. Mr. Miltenberger.

Thank you. Minister of Justice, Mr. Ng.

Thank you, Mr. Speaker. Mr. Speaker, the RCMP have discretion to disclose, through this public interest disclosure, an offender of a serious nature when they find out that they are going into a community. I think it is a judgment call for them, and it is a difficult decision at times because you have to balance off the public interest with the right of privacy issues of individuals, particularly if they have fulfilled their sentence, as would have been the case with Mr. Desbiens.

I think the precautions that have to be taken is that once the public interest disclosure is made, it heightens the awareness for the community so that individuals who would be at risk can take some necessary precautions not to expose themselves to a situation where they may become at risk with an individual. I think the RCMP, recognizing that an individual of this designation is coming back to the community, will more than likely have their own contingency plan on how they may beef up the situation to try to alleviate the concerns of the public, Mr. Speaker. Thank you.

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

Mr. Ng.

Thank you, Mr. Speaker. Mr. Speaker, certainly that would be the case. I would be more than willing to do that. I would like to advise Members that prior to the RCMP releasing this public interest disclosure to Fort Smith, they were in discussions with our department, advising us of the situation and their intent to go this route. This is the first time there has been an incident which necessitated using this public interest disclosure in the Northwest Territories, Mr. Speaker. Thank you.

Oral questions. Mr. O'Brien.

Thank you, Mr. Speaker. Mr. Speaker, my question is to the Minister responsible for Health and Social Services. Can the Minister advise me as to whether his internal report will be made public in its entirety? Thank you.

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

Thank you, Mr. Speaker. Mr. Speaker, the report will be available to the public in its entirety tomorrow morning. As I said to the Member, prior to that, it will be made available to Members of this Legislature either late this afternoon or first thing in the morning. Thank you.

Thank you. Oral questions. Supplementary, Mr. O'Brien.

Thank you, Mr. Speaker. Mr. Speaker, can the Minister advise this House as to what terms of reference he instructed his deputy minister to follow while conducting this review?

Mr. Ng.

Thank you, Mr. Speaker. Mr. Speaker, I do not have the specific terms of reference here verbatim. It is safe to say he was to review the comprehensiveness of the planned changes that both the Baffin Health Board and the Keewatin Regional Health Board were contemplating in shifting some of their contracted services to service their constituents, Mr. Speaker. Thank you.

Oral questions. Mr. Ootes.

Mr. Premier.

Thank you, Mr. Speaker. Devolution has been an ongoing file for the Government of the Northwest Territories. In the early part of the winter, we had meetings with our MP for the western Arctic, Ethel Blondin-Andrew and we started developing a strategy on devolution and the devolution of responsibilities from Ottawa. It made clear sense to us as a government that one of the first things we should proceed on was the devolution of federal employees that have responsibilities to things that are happening in the Northwest Territories. There are approximately one hundred positions. At that time, we started working with our MP and with the Ministers involved in developing a strategy, to talk to the federal government on transferring those people to the Northwest Territories so that we can at least gain the economics of them purchasing housing units, spending their money living in the north, where decisions that they make affect northerners. They should be living here.

After that, we did go into Caucus of the whole, where the whole 24 Members were present, and Mr. Kakfwi and I had made a presentation on devolution. We let Members know at that time that we were proceeding with this issue and this initiative. It was after that Mr. Ootes raised it in a Member's statement in the House, as well as made a motion in the House, to encourage us to continue moving ahead on this issue. This is one of the major issues we spoke of with Ms. Stewart this summer when we met with her on the whole issue of devolution. Mr. Kakfwi is putting together a plan so that we can present it to Minister Stewart, as well as get the assistance of our two MPs from Nunavut and the western Arctic, to work with us on this issue. Thank you.

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

Mr. Morin

Thank you, Mr. Speaker. I am not about to go hold a gun at somebody's head in Ottawa and say give me that information. Let us get realistic here, Mr. Ootes. It takes two parties to negotiate. It takes two parties to come to an agreement. We are working with the federal government. We are working with the Indian Affairs to pursue this. We feel confident that we will pursue this so that it will benefit the north. We are moving on it at a fairly rapid pace. Whether or not Mr. Ootes thinks we are doing enough or not is irrelevant to me at this point, Mr. Speaker. What is relevant to me is that we approach it in a manner that will get results in the end, instead of blowing off a bunch of steam. Thank you.

Oral questions. Supplementary, Mr. Ootes.