Agreed.

Thank you, Mr. Chairman. Mr. Chairman, under the audit, budgeting and evaluation, on page 2-29, I had some questions concerning the information management division which is responsible for coordinating and managing maintenance of the government's major corporate systems including the micro computer. Recently during the Nunavut Leaders Meeting in Iqaluit the federal government committed, I believe it was, $6 million or $8 million to helping Nunavut get up and running with an information system. However, during the Auditor General for Canada's report he had asked some questions in that report about the information system. I understand the information system for the western territorial government after April 1, 1999 may need to be replaced too. Could I have some information on that from the Minister?

On the human resource side, as you know, I indicated in the budget that we had reached an agreement with the Interim Commissioner on the implementation of a new computerization system on the human resource side. I think it was somewhere in the region of about $4.4 million on a 50/50 split, so we are optimistic we can get that in place by April 1, 1999. We certainly hope so and we are striving to do that. We appreciate the cooperation of the Interim Commissioner's office in not only jointly sponsoring this issue but also paying the cost. I understand we may be doing a joint press release on that issue tomorrow with the Interim Commissioner's office. So we are encouraged by that. We think it will bring state of the art communication systems into the two new governments as we move forward into the new millennium. Thank you.

Thank you, Mr. Chairman. Mr. Chairman, there was some concern last year and earlier this year with regard to the audit function and the department in general. In my region, as an example, I believe we had laid off some employees there and in some other parts of Nunavut and the Western Territory. I am wondering how is the audit bureau handling some of these cutbacks, not only in headquarters but in the regions. I understand that there was quite a bit of work to do and it was causing some concern. Maybe the Minister could update us at this time on that situation? Thank you. Mr. Chairman.

Thank you, Mr. Chairman. Well, the reality is we did not cut back on the audit bureau actually, Mr. Chairman, so we are doing very well I understand. There were no cutbacks, not in the audit bureau.

Thank you, Mr. Chairman. Mr. Chairman, if those positions that were cut were not actually under the audit bureau but in the department of FMBS at the local level, then what were those positions?

Thank you, Mr. Chairman. They could be a variety of positions, Mr. Chairman. I do not have them at my fingertips. It could be anything from a clerk to a user pay/user say initiative we put in place, maybe some people in collections, et cetera. I think I have said in my opening comments that I think we have had about a 20 percent reduction. We are still managing to hold our own and provide the government with the kind of support services that they have become accustomed to and we are able to do that with the current staff that we have.

Thank you, Mr. Chairman. So there is no anticipation then of having anyone else being downsized or having a layoff notice or anything in the audit bureau or in the department under audit, budgeting and evaluation?

Well, I think I made it fairly clear in my budget speech that the cuts were over. I do not anticipate any cutbacks in staff with respect to my department. I think with the complement we have we can perform the task that is before us and I am very comfortable that we can continue to do that.

Thank you, Mr. Chairman. Just a question under the budgeting and evaluation division of the Financial Management Secretariat, they have analyst legal service provided to the Financial Management Board. I wonder if that is only here at the headquarters level or are those functions also carried out at the regional level?

Yes, the Financial Management Board of course, operates out of headquarters and all these jobs are headquarters jobs.

Yes, thank you. I know the Financial Management Board operates out of headquarters, but we also have FMBS offices in communities, is that not correct?