Thank you, Mr. Speaker. In his budget address last week, the Minister of Finance spoke of the urgent need to reform programs and services in the social envelope. As Mr. Todd noted, a rapidly increasing population is placing excessive demands on social envelope departments, threatening long term sustainability of these programs in the NWT.

We are not alone in our need for social policy reform. Recently implemented changes to social policy funding are having an impact across the country. Faced with declining federal funding and increasing demand, provinces and territories across Canada are feeling the need to reform their social programs. To help provide a coordinated response to increased pressures provincial and territorial Premiers established the Federal/Provincial/Territorial Council on Social Policy Renewal.

Last week, I was in Toronto to attend a meeting of this Council and discuss the current status of social policy reform efforts across Canada. We had a productive meeting. Among other topics, we discussed ongoing work on the following initiatives: a national child benefit; integrated income support for persons with disabilities; a national children's agenda; and options for working together with the federal government to find solutions to the challenges facing Canada's health system.

Mr. Speaker, our progress on a National Child Benefit is a significant achievement. Federal, provincial and territorial governments have all agreed to proceed with work on a child benefit that will aim to reduce child poverty across the country. The new benefit will reduce overlap and duplication in support to children and will work to reduce the number of families relying on income support programs. It will also give us greater flexibility to address children's needs. Money now used to provide income support to families with children will be freed up for use in other programs aimed at children, such as early intervention.

GNWT officials are analyzing the impact of implementing the National Child Benefit in the NWT Details of the National Child Benefit still have to be worked out, but it is clear that to be effective it will require a significant and permanent incremental investment from the federal government.

Mr. Speaker, the Council also discussed the provincial/territorial report from health Ministers on a renewed vision for Canada's health system. Health Ministers released the vision document on January 29. I have copies of the document for Members who are interested.

In view of decreasing federal investments in Canada's health system, provincial and territorial Ministers of health have put forward a vision of a reformed national health system which will meet the needs of Canadians well into the next century. There are changes ahead for the Northwest Territories and while some of the changes may seem difficult and be unpopular, change now will guarantee the future survival of our social programs. Thank you, Mr. Speaker.

-- Applause