Thank you, Ms. Thompson. Good morning. Orders of the day. Item 2, Ministers' statements. Mr. Morin.

Thank you, Mr. Speaker. Mr. Speaker, this government has gone through many staffing changes in recent months. Employees have moved jobs as departments reorganized. Some have taken on special projects related to the creation of two new territories next year. This is in addition to the usual staff turnover that any organization experiences. These rapid changes have made it almost impossible to print and distribute internal telephone directories fast enough to keep pace. It became very difficult for most people, both inside and outside the government, to contact many employees by telephone. I would like to thank Mr. Roy Erasmus for raising this issue.

As a result of these concerns, the government has taken steps to re-establish its central telephone switchboard. Mr. Speaker, I am pleased to announce that a local private sector firm has made an acceptable proposal to supply this service. Office Compliments will begin to operate a central switchboard for this government, as soon as the necessary telephone lines and equipment can be installed in their offices. That should take about one week to complete.

Mr. Speaker, the switchboard will work exactly the same way it did when these duties were handled by internal staff. An operator will be taking calls from 8:00 a.m. through 5:00 p.m. including over noon hour, each business day. The operator will be able to transfer incoming calls to any government office that is on the central telephone system. For those five percent who are not connected to the central system, the operator will give the caller the number of the people they are trying to reach. Mr. Speaker, I am also pleased to be able to announce the telephone number of our new switchboard. It will be 873-7500. This number will be advertised in northern newspapers over the next week. Thank you, Mr. Speaker.

--Applause

Thank you. Ministers' statements. Mr. Kakfwi.

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

Thank you. Ministers' statements. Ms. Thompson.

Thank you, Mr. Speaker. Mr. Speaker as we all know, dogs play an important and historical role in the north. For the aboriginal cultures of the Northwest Territories, they have served as a means of transportation, protection and as pets. Even today, dogs serve the same purposes for many of our northern residents.

However, Mr. Speaker, dogs can also be dangerous. We have seen many tragic incidents occur throughout the north. Incidents such as this can and must be prevented. But to do so, we must raise public awareness. Children, especially, need to know that dogs can be dangerous.

Mr. Speaker, the Department of Municipal and Community Affairs is working in collaboration with members of our Community Constable Program, and the RCMP to develop public service announcements. These will be aired on television and community radio stations. It is a community responsibility to ensure that people are safe around dogs. These messages will help to remind dog owners to be responsible and ensure their dogs do not endanger anyone.

Mr. Speaker, my staff is also working directly with the Inuit Broadcasting Corporation to produce an episode of the popular children's television show, Takuginai. The theme of this show is dog safety.

A colouring book is being produced to go with the Takuginai episode. This book will provide teachers, community constables, by-law officers and others involved with public safety issues, an additional opportunity to help children learn important safety rules.

Finally, Mr. Speaker, I want to say in this Assembly that my heart goes out to the Tikivik family, and to all those who have lost their children to similar tragedies. Leah Tikivik was not the first victim of such tragedy. We hope that with initiatives like the Dog Safety Awareness campaign, we can prevent the same thing from happening again.

Lastly, I want to express my gratitude for all those involved in this important public awareness campaign. The work that they do is a meaningful contribution toward making our communities safer places to live. Thank you, Mr. Speaker.

--Applause

Thank you, Ms. Thompson. Ministers' statements. Item 3, Members' statements. Mr. Steen.

Members' statements. Mr. Miltenberger.

Thank you. Members' statements. Mrs. Groenewegen.

Thank you. Members' statements. Mr. Roland.

Thank you. Members' statements. Mr. Picco.

Thank you, Mr. Speaker. Mr. Speaker, it gives me great pleasure to rise today and recognize and congratulate the outstanding contribution made by an Iqaluit resident and friend. Mr. Speaker, Catherine Moore is the director of Academic Studies, Trades and Community Programs at the Nunatta Campus of Nunavut Arctic College in Iqaluit. On May 25th, Catherine will be travelling to Winnipeg to accept the prestigious 1998 Association of Canadian Community Colleges 1998 Leadership Excellence Award.

Mr. Speaker, Catherine came north in 1979, first to Igloolik. She worked there as a home management educator. In 1981, Catherine moved to Iqaluit and continued to work for the Department of Education. In 1987, she became the director of Community Programs for Arctic College and it was in this important role she took a leap of faith and hired yours truly, as the first adult educator in Hall Beach. Catherine has, for the past 11 years, overseen the development of adult education programs in the Baffin region and her leadership in this area is one of the major reasons why she will be presented with the prestigious award next week.

Mr. Speaker, Catherine was my supervisor for five and a half years. She is a dedicated educator, mother and a friend. I would like to take this opportunity to congratulate Catherine and her national award speaks volumes nationally with the programs and services that have been developed and delivered in the north. Mr. Speaker, Catherine's award for exceptional leadership, community involvement and creativity reflects well on the north and Nunavut Arctic College on the national stage. Thank you, Mr. Speaker.

--Applause

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

Thank you, Mr. Speaker. Today, I would like to offer my congratulations to the residents of Baker Lake. Thanks to the last five years of hard work and planning, the residents of Baker Lake are preparing for a grand opening of their new Inuit Heritage Centre on June 3rd. Mr. Speaker, many special guests will be attending the opening including the Governor General of Canada and his wife, the Honourable Charles Dent and the elders of Baker Lake. The elders first dreamed of having a centre that would permanently record their rich and unique history as the only inland Inuit in Canada.

This new centre will preserve Inuit history for future generations and provide a fantastic and interesting museum for all. Various patches of this dream were sewn together by many different people. The hamlet council immediately agreed to support the elders and offered to renovate the old community hall and transform it into the Heritage Centre.

As always, the difficult task of raising money began. Over time, with contributions from the GNWT Department of Education, Culture and Employment, other levels of government, foundations, corporations and individuals from all across Canada, the money trickled in. With generous work, assistance and interest from many people, especially those from the Prince of Wales Northern Heritage Centre and Mr. David Webster, the elder's dream has become a reality. The newly established national historic site will also be interpreted in the new centre which now employs a full-time manager, a trainee and two summer students.

In addition to the grand opening, the elders are also launching a CD of traditional Inuit music, done by the elders, a book containing the oral histories of 26 Baker Lake elders and a video entitled, Amarook's Song relating to the nomadic life of our elders. Hats off to the people of Baker Lake. Thank you.

--Applause

Thank you. Members' statements. Mr. Barnabas.

Thank you, Mr. Speaker. Mr. Speaker, I will speak in Inuktitut. (Translation) Mr. Speaker, this morning I would like to make a statement regarding my communities needing a wharf in Grise Fiord. The boats they purchased in the communities are very expensive and the weather is always very harsh because it is in the High Arctic. Regularly, the boats the individuals purchase are easily broken because of the weather. I would like the people of Grise Fiord to have assistance in getting a wharf. It is a small community, but everything is very expensive. For that reason, I would like to support them in getting a wharf. Due to the distance of the

community, it takes a long time to get all the supplies they need from the south. For this reason, I make a statement to support the community of Grise Fiord to get a wharf. During question period, I will be asking the Minister of Transportation in this regard. Thank you. (Translation ends)

Thank you. Members' statements. Mr. Evaloarjuk.

(Translation) Thank you, Mr. Speaker. I rise today to speak on the general meeting that was held in Igloolik, March 20th to 23rd, with the Social Development Committee. Representatives from all the Nunavut regions were in attendance. At the meeting, we learned a great deal including aspects of the new Nunavut government to be, the role that our culture plays and how we must maintain it and try to understand it. We realize how much of our culture we are losing. Our elders were there to remind us of the importance of our heritage. Young people, elders, men and women were at this meeting. The meeting helped us a great deal and we have to recognize the contribution of the Social Development Committee as well as remembering that we have to implement our cultural nature in our future endeavour. To do this, we must ensure that funding is provided for their work on an ongoing basis. Thank you, Mr. Speaker. (Translation ends)

Thank you. Members' statements. Mr. Rabesca.

Thank you, Mr. Speaker. Mr. Speaker, today I rise to tell you a bit of history. Back during the time of our Great Chief Jimmy Bruneau, Edzo was a new community developed by this government. Our chief recognized the need for our people to be educated in the ways of the southern people. With his foresight and determination the government built what is now called the Chief Jimmy Bruneau Regional High School in the community of Edzo.

Over the years, we have had an increasing number of students attend this school, where today we have over 300 students travelling daily from Rae to Edzo a 15-kilometre drive so they can learn and grow. This school has become a very important part of our community. However, our community leaders believe that if the school was located in the main community of Rae instead of in Edzo, our student population would increase even more. Today with all the development in the mining sector and the conclusion of our land claims negotiations, our residents are seeing the need to further their education. They want to have a high school where the people are living. Rae is the place where it should have been built in the beginning. Rae is also going to continue to grow. Currently, the community service board is looking at various possibilities to achieve this goal. As more and more students enrol in all levels of schooling, we are seeing the need to increase the number of busses used to travel this 15 kilometres, as well as, the increased demand to provide more and more lunch time meals for the students.

By bussing the students to Edzo many students miss classes because they missed their bus. It is a one shot deal, if a student misses his bus, he may as well go back home as there are no other busses to take him to school. We realize this will take years to become a reality. However, we feel if we start working on it now, future generations will benefit from this important move. Thank you, Mr. Speaker.

--Applause

Thank you. Members' statements. Mr. Krutko.

Members' statements. Mr. Ootes.

Members' statements. Mr. Henry.

Thank you, Mr. Speaker. Mr. Speaker, over the past couple of weeks I have been approached by several constituents who have serious concerns about changes to the Northern Living Allowance contained in the proposed Collective Agreement. Mr. Speaker, after examining the issue, I must agree that there seems to be a serious inequity in the government's position.

Mr. Speaker, the employer's proposal provides increases to employees from $421 to $4,096 per year effective April 1, 1998, for employees in communities where the cost of living exceeds Yellowknife. The upshot, to this Mr. Speaker, is that employees in every community in the Northwest Territories, with the exceptions of Yellowknife and Fort Rae received increases in their Northern Living Allowances. The government's logic appears to be that since the inflation rate in Yellowknife has been negligible for the past year, there is to be no increase to the Northern Living Allowance for employees in Yellowknife.

The Northern Living Allowance in the communities of Fort Smith and Hay River, as examples, will increase by $1,132 and $941 respectively. I know for a fact that the cost of living in these two communities is significantly lower than it is in Yellowknife. They pay less for accommodation, food and gas and they can drive to Edmonton in a day. Mr. Speaker, a house that would cost $200,000 in Yellowknife can be bought in Hay River for approximately $120,000. In short, Mr. Speaker, the proposed Northern Living Allowance increases are not fair to the GNWT employees living in Yellowknife. Thank you, Mr. Speaker.

--Applause

Thank you. Members' statements. Mr. Erasmus.

Thank you, Mr. Speaker. I am very pleased and happy to hear the announcement made by the Premier this morning that he is re-establishing the GNWT central switchboard. That shows, indeed, that this government is responsive when concerns are raised and shows that there is a heart on the other side of the hall. Mr. Speaker, I would also like to thank the Yellowknife North constituents who participated in a random survey that my constituency assistant did last year and for which I presented the results to the Premier last year. Mr. Speaker, this is a good news story and people will once

again be able to phone one number through which they will be able to reach most GNWT employees in Yellowknife or at least a voice mail. Once again, I would like to thank the Premier for responding to this concern. It is a good thing that he has done. Thank you.

--Applause

Thank you. Members' statements. Mr. Ningark.

Thank you, Mr. Speaker. Mr. Speaker, recently Mr. Ng and I had the opportunity and pleasure of attending the Kitikmeot Leaders forum in Kugluktuk. As usual Mr. Speaker, we were made welcome and were full participants of the forum. Mr. Speaker, many issues were discussed and resolutions passed respecting the social economic well-being of the Kitikmeot residents. One of the many issues, Mr. Speaker, that we discussed was the operation and management of the Kitikmeot boarding home here in Yellowknife. Mr. Speaker, I will not get into details as Mr. Ng is aware of the issues, as well as the residents of the Kitikmeot are aware of the issues. Since most of the issues and concerns came from the eastern part of the Kitikmeot region which I represent, better known as Natilikmiot. Next week, I will be asking questions of the Minister of Social Services on these issues. Thank you, Mr. Speaker.

--Applause

Thank you. Members' statements. Mr. Enuaraq.

(Translation) Thank you, Mr. Speaker. I will

be speaking in Inuktitut. For those of you who do not understand Inuktitut, please put on your ear pieces. Mr. Speaker, as we are all aware, it will soon be spring and summer. Each summer in Clyde River there are many whales in the nearby area and we have many species in our waters. They are a wonderful sight to see for tourists whether they are Inuit or others. People are very interested in watching the whales and there are numerous whales in that area. Perhaps first of all, I should express my gratitude to the people of Clyde River, as they prepare for the proper management of the species and promote tours for the observation of the whales. I would like to thank the Hunters and Trappers Association for their careful management of the animals. I would also like to recognize that the committee members often take people out to a certain island as a tourism promotion. This has been an ongoing thing which has been prepared for many years to ensure that it is safely carried out. There are also environmental aspects that the committee is aware of such as avoiding oil spills for that special region. Mr. Speaker, I would like to encourage people to come to Clyde River to observe these wonderful animals within our area. They can also learn more about our animals and the proper care and management of the species. We welcome anyone to come to Clyde River. Thank you, Mr. Speaker. (Translation Ends)

--Applause

Thank you. Members' statements. Item 4, returns to oral questions. Mr. Todd, you have two.

Thank you, Mr. Speaker. I have a return to an oral question asked by Mr. Erasmus on May 20, 1998, Hay Job Evaluation Benchmarks:

If I may, Mr. Speaker, the second one, asked by Mr. Ootes, on May 20, 1998, Job Evaluation System:

The Willis Job Evaluation System was used in the 1990 - 1992 Joint Equal Pay Study (JEPS). The JEPS study evaluated a sample of some jobs only. The sample evaluations were inadequate for assessing whether there was a pay equity problem. An attempt by the Government of the Northwest Territories to evaluate all positions based on the job evaluation system used by JEPS also ended in failure. Subsequent research found that the Willis System used by JEPS created problems on implementation for employers and employees in other organizations and the use of the system is in decline. The Willis System was abandoned for these reasons. Thank you, Mr. Speaker.

Thank you. Returns to oral questions. Item 5, Recognition of visitors in the gallery. Mrs. Groenewegen.

Recognition of visitors in the gallery. Mr. Krutko.

Recognition of visitors in the gallery. Item 6, Oral questions. Mrs. Groenewegen.

The Minister of Finance, Mr. Todd.

Thank you, Mr. Speaker. I wonder if my honourable colleague could give me a little clarification? Does she mean under the existing budget that has now been approved through the legislative process or does she mean the new budgets that are going to come forward in 1999 to the year 2000? Thank you.

Mrs. Groenewegen.

Mr. Todd.

Thank you, Mr. Speaker. Mr. Speaker, I sometimes wonder why we have a budgetary process. Mr. Speaker, we only finished our budget, as you know, two or three months ago. All Members were actively involved through the committee process. Budgets were allocated then and approved. There were concerns raised then about education as there was about health care, as with pay equity, with housing, with economic development and child welfare. There are a variety of issues out there, with all due respect to my colleague, that everybody sees as a priority.

We have a process in place that is all-encompassing, that involves all of this Assembly in determining targets and determining where we spend money. This is what we have done. I have said out of the House and I will say in the House, if there is a ground swell of support and concern that we reallocate money from one envelope to another, and there is support for it out there, then we would look forward to those recommendations, but ultimately, the Cabinet and the FMB have to make the decision. If there is a concern, and I am talking about the passed budget, talking about the new budget is a different issue. If there is a concern about the existing one, there is a requirement for additional dollars in there, in education, and nobody disputes that, by the way, including the Minister of Education, Mr. Dent. He understands that, but he is working under difficult constraints that I have had to place on him, my Cabinet colleagues, in relationship to our overall fiscal position. If there is support out there, then we would look forward to the recommendation from the House bearing in mind, that we would get recommendations from where we should take it. Thank you.

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

Mr. Todd.

We need to put it in some context. The Department of Education, while we all acknowledge we could put more money into it, it is no different from the Department of Economic Development. We all acknowledge we would like to put more money into it. It is no different from the Department

of Health, we all acknowledge we need to put more money into it. The threshold is, the overall fiscal framework that we have in this government is, we have x-amount of dollars to spend. I am not making those numbers up. Everybody has access to that. These are the numbers we get from the benevolence of the federal government and from the taxpayers of the Northwest Territories that is the threshold.

What we do is work it out in partnership with yourselves and the Cabinet Ministers as to what levels of financing each envelope and each department gets. There is $303 million currently being spent on education. This is a significant amount of our overall budget. I am not suggesting that it is enough. There is never enough money in politics, but there are some fiscal realities that we all have to look toward. The threshold is, and the way we have to approach this, you cannot isolate education out and say, that has a greater priority than health care, if you are prepared to say that, let me hear that. You cannot isolate education and say it has a greater priority than job creation. They all have priorities.

We all have to reach reasonable compromises. The budgets we develop should not be developed because of minority groups out there lobbying for one point of view, which I have no problem with. I have a responsibility as the Finance Minister, as Cabinet colleagues and you do, to look at the overall impact the budget has on the territorial populace, and to treat it in a fair and reasonable way and to reach the compromises that are necessary to provide the level and standards of service that our constituencies come to expect.

You cannot look at increasing the budget in education in isolation of the other components that make up the services that we provide to territorial residents. This is the point I was trying to make. Thank you.

Oral questions. Supplementary, Mrs. Groenewegen.

Mr. Todd.

There is no pot of gold at the end of the rainbow, otherwise, we would be spending it. The reality is, we are back to where we are talking about the last two years. I am not trying to be disrespectful to my colleague. I think this is an important serious issue. What I am trying to tell you is the Minister responsible for Education has worked extremely hard to get his fair share of the budget in consultation with the Ordinary Members. Everybody has the capacity, if they have the time to attend committee meetings, everybody has that ability. I, as an Ordinary Member, attended most of those meetings and tried to influence what I believe was the right thing to do.

The point I am trying to make here is, and I think it is an important one, it is no different from the organized labour, the UNW, the other day lobbying for their point of view. This is a legitimate lobbying entity out there saying, this is what we want. It is no different from my honourable colleague lobbying on behalf of education. I am not questioning that.

Mr. Speaker, I wonder if I could have some order from my colleague across from the far left.

Could we have some order please, and allow the Ministers to respond to the questions? I would also like to ask the Ministers to answer the questions.

--Applause

I was taking the lengthy reply to the question, Mr. Speaker, because of the importance of the issue and trying to put it into some context and seriousness of the issue, of which my honourable colleague across the floor spoke about yesterday. His disparaging comments to my response, I find that a little disappointing. What I am trying to explain to my colleagues is, when you say, where are we going to reallocate money from one envelope to another, there has to be a spirit of compromise in that discussion. There has to be an acceptance which has ramifications for the other envelopes, and there has to be a consensus if that is what you want to do. She is asking me for advice and I am trying to give it to her. If there is a consensus amongst the Ordinary Members that you want to reallocate the existing budget, then come forward with some recommendations, and we will see what the Cabinet and the FMBS can do, but it has to have a consensus, and we need some direction in the spirit of cooperation as to where we think it should come from. Thank you.

Oral questions. Final supplementary, Mrs. Groenewegen.

Mr. Todd.

I am well aware that my honourable colleague is the elected voice of Hay River and has spoken passionately about issues in this House. I would not want there to be any misunderstanding. My only point I was trying to make is, people have the right to lobby. We have the responsibility to analyse overall, what is the best interest of the territorial peoples that we represent. I believe the Auditor General reviews all of our fiscal arrangements on a year-to-year basis.

Oral questions. Mr. Ningark.

Thank you, Mr. Speaker. Mr. Speaker, it is Friday, and to make a point, my question is directed to the Premier. I want to draw the attention of Members to an article in the Yellowknifer, page A17, Friday, May 22, 1998. The heading is, A Wing and a Prayer and a Premier. Mr. Speaker, I want to make a quotation:

A one-winged raven is heading south to an Alberta bird sanctuary thanks to Premier Don Morin.

My question is, Mr. Speaker, did the raven fall under the compassionate travel budget?

--Applause

I am sorry, the question is out of order. The Premier cannot confirm any articles which are not within the knowledge of this House. Oral questions. Mr. Steen.

The Minister of Finance, Mr. Todd.

Mr. Speaker, the policy of the government is to get out of housing and as I have said on a number of occasions in the last two and a half years, I think we have done that very successfully. We have created the Home Ownership Program in the Arctic that some of us believed was not possible a number of years ago. We are continuing to lease housing, and I have a policy in place which makes sure that housing is affordable, et cetera. Now, if there is a specific issue in relationship to my honourable colleague's constituency, I would be prepared to deal with that, but from a policy perspective, we believe we are on the right track. There are obviously glitches within that, but we believe we are in the right track. Thank you.

Oral questions. Supplementary, Mr. Steen.

Mr. Todd.

Mr. Speaker, if my honourable colleague remembers, he was really the advocate two sessions ago, which I appreciated him indicating where there was surplus housing, asking if we would be prepared to transfer those over to social housing, which we have done in a number of communities. That was some of the direction he gave us which was good direction at that time. His current concern with respect to empty houses, which are boarded up because people do not want to purchase them, I will re-examine based on Tuktoyaktuk and see if we can find a fair settlement for that community and the Member who represents them. Thank you.

Oral questions. Supplementary, Mr. Steen.

Mr. Todd.

Perhaps my honourable colleague misunderstood me. I thought I had answered the question. I was actually being complimentary to him based on the direction he gave us two or three sessions ago with respect to the surplus housing and indicated where there is housing being boarded up, and for whatever reason, teachers are not purchasing them or the community is not and there is a requirement for teacher housing. On a community-by-community basis, I would be prepared to look at. Thank you.

Oral questions. Mr. Picco.

Thank you, Mr. Speaker. Mr. Speaker, following up on Mr. Morin's announcement this morning on the re-establishing of the GNWT switchboard. Mr. Speaker, the privatization of the switchboard services, was that a proposal tender, negotiated, was it sole-sourced, was it RFP'd? How was it awarded? Thank you, Mr. Speaker.

The Premier.

Thank you, Mr. Speaker. It was in the newspapers. Thank you.

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

Thank you, Mr. Speaker. It was in the newspapers that is great. Was it advertised in the newspapers? What were the criteria? He has not answered my question. Was it RFP'd, was it negotiated, was it sole sourced, was it a tender? Thank you, Mr. Speaker.

Mr. Morin.

Thank you, Mr. Speaker. It was a tender request for proposal in the newspapers. Thank you.

Oral questions. Supplementary, Mr. Picco.

Thank you, Mr. Speaker. Mr. Speaker, a request for proposal is not a tender. What criteria were used for this proposal to select it? Thank you.

Mr. Morin.

Thank you, Mr. Speaker. A request for proposal is a tender. It was in the newspapers. I have no problem tabling that in the Legislative Assembly. Thank you.

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

Thank you, Mr. Speaker. We cannot find any more money for education, but we can find money to privatize our phone services. What was the value of that contract? Thank you.

Mr. Morin.

Thank you, Mr. Speaker. Approximately $3,000 per month. Thank you.

Oral questions. Mr. Henry.

Thank you, Mr. Speaker. Mr. Speaker, my question is for Mr. Todd, the Minister responsible for the Financial Management Board. Can the Minister explain in a clear and concise language as he is very capable of doing, the reasoning for the increase in the Northern Living Allowance offered to government employees living in Fort Smith and Hay River? Thank you, Mr. Speaker.

The Minister responsible for the Financial Management Board, Mr. Todd.

Thank you, Mr. Speaker. I am not sure, but

I will try to give it a go because I have asked the same question that my honourable colleague has raised with me, et cetera. The cost of living index is used to update information and provide us with the base for northern allowance, et cetera and is determined, to some extent, on the information we received from Statistics Canada. Statistics Canada surveys NWT communities once every three years to determine the value of the food basket, the basket of goods, air transportation, et cetera. Based on this index, employees receive the difference between the basket of foods purchased in Yellowknife versus the basket of food purchased in their home community. That is the first index. The second index is on a seven-day advanced airfare out of the community. The index is used on the flat amount being paid on airfare for a family. Yellowknife is used as a base for both those indexes. The two indexes produce a rate for each community that is a multiple of the Yellowknife based rate. The amounts produced by each index are added together to produce the Northern Allowance. In 1997-98, four changes were made to the Northern Allowance for the 1998 round of collective bargaining. We updated the value of the basket of goods in line with the consumer price index. We updated the cost of the living index based on the recent Statistics Canada information and we updated the transportation index based on the current airfare costs. This is a fairly lengthy response, Mr. Speaker, so I hope that is all right with everybody.

Oral questions. Supplementary, Mr. Henry.

Thank you, Mr. Speaker. I recall when the Minister in the government proposed doing away with the VTA and called it a Northern Living Allowance. From my perspective, and I think it is factual, people need the necessities of life. They need food, shelter and clothing. I recall many statements made by the government over the last couple of years that they were, indeed, trying to create a northern workforce. I hear the Minister telling me that most of the emphasis in the Northern Living Allowance is related to air travel. Mr. Speaker, I would ask the Minister to tell me why the Northern Living Allowance that this government has created is not taking into consideration what it actually costs a person to live there and create this northern employment workforce? Thank you, Mr. Speaker.

Mr. Todd.

I certainly do not want to put words in my honourable colleague's mouth, but if he were to ask me if I would re-examine the cost of the living index, I would be prepared to do that.

Oral questions. Supplementary, Mr. Henry.

Thank you, Mr. Speaker. I appreciate the Minister's consideration of that, and I think in the words of Mr. Roland earlier on today, he was talking about fairness to all of the Government of the Northwest Territories employees. At the same time I would ask the Minister if he would also look at the name of the particular program, Northern Living Allowance and ensure that it really does reflect northern living allowance and not northern travel allowance. Thank you, Mr. Speaker.

Mr. Todd.

Mr. Speaker, clearly the issue that was raised by my colleague prior in discussions with him informally and what he has raised in the House needs to be re-examined. I appreciate the opportunity to say to him that I am prepared to do that and hopefully, come forward with more comprehensive cost of living indexes for the territories and in the future. Thank you.

Oral questions. Mr. O'Brien.

Thank you, Mr. Speaker. Mr. Speaker, my question is to the Minister responsible for Transportation. Could the Minister give this House an update as to the present status of the Arctic Airports transfer as it relates to the eastern communities? Thank you.

The Minister of Transportation, Mr. Antoine.

Mahsi, Mr. Speaker. Good morning to my colleagues. It is good to be back here at the Legislative Assembly. The Keewatin Transfer Initiative was going ahead because of the changes in Nunavut in regard to some of the departments; for example, Transportation and Public Works, getting together and forming changes in the structure of the

organization; there is a slow down in that process. We are not moving ahead as quickly as we had first anticipated. We are still working with the communities. However, it is a slower process than we had originally anticipated. Thank you.

Oral questions. Supplementary, Mr. O'Brien.