Thank you, Madam Chairperson. Madam Chairperson, the Standing Committee on Infrastructure reviewed Bill 24, Community Employees Benefits Program Transfer Act, on December 5, 1998. The committee would like to thank the Minister of Municipal and Community Affairs and her officials for presenting the bill.
The bill allows the transfer of the Community Employees' Benefits Program to a federally-incorporated not-for-profit corporation. Under the Nunavut Act, the Community Employees' Benefits Program Transfer Act, would be duplicated in Nunavut resulting in a board for each territory. This division would add substantially to the costs of administering the program and resulting in increased cost to participating employers and employees. Bill 24 will ensure current economics of scale are maintained. The bill provides for all the assets and liabilities currently held by the board to be transferred in their entirety to the new corporation. The bill further ensures that existing benefit plans and entitlements will continue after the transfer of the program.
The committee expressed concern that the proposed transfer may incur additional costs for the Government of the Northwest Territories and the Nunavut government. The Minister assured the committee that there are no costs incurred for either government. The committee was also concerned that additional costs or a potential reduction in benefits may be incurred upon employees in the benefit program as a result of the proposed transfer. The Minister and her staff assured the committee that there would be no negative impact on the employees' benefit plan or entitlements.
Finally, committee members were concerned there may not be east/west membership parity on the board after the transfer. The Minister advised the board that her department are awaiting the Office of the Interim Commissioner's selection of a board candidate. The selection of this candidate will ensure there is east/west parity for the federally-incorporated, not-for-profit corporation that will manage the Community Employees' Benefits Program.
Madam Chairperson, following the committee's review, a motion was carried to report Bill 24, Community Employees' Benefits Program Transfer Act, to the Assembly as ready for committee of the whole. Additional comments or questions of the Members may be posed as we proceed. Thank you, Madam Chairperson.