Thank you. Mr. Ootes, are you making a motion to report progress? You have indicated that you are, in fact, making a motion.

Perhaps, you would like to defer the item, but you are indicating you want to report progress. Do you wish to make a motion? What do you want to do?

Thank you. There is a motion to defer the item that we are discussing on the table Bill 15, Adoption Act. Mr. Ootes, you have to have the motion in writing. We will take a break until the motion is ready for distribution in writing. Thank you.

--Break

Thank you. We have a motion. The motion is written. Would the mover of the motion please read the motion and put it into record? Mr. Ootes.

Thank you, Mr. Ootes. The motion is in order and is not debatable. All those in favour? All those opposed? The motion is carried. We will defer the item at this time. I would like to thank the witnesses for appearing before the committee. Thank you very much.

Thank you, as agreed to previously, we will be dealing with Bill 18, Supplementary Appropriation Act, No. 1, 1998-99. Mr. Todd is the lead Minister in this regard. Mr. Todd, are you ready, prepared?

Yes, Mr. Chairman, I am. Supplementary Appropriation No. 1, requests authority for additional appropriations of $40.354 million made up of $16.108 million for operations and maintenance expenditures and $24.246 million for capital expenditures.

These supplementary funding requirements include approximately $9.3 million which will be offset by new revenues or other means. As a result, the net funding requirement is $31 million.

A number of interdepartmental transfers are also included in the supplementary appropriations which do not require additional funding.

The additional appropriations have been provided for in the estimated supplementary appropriation requirements included in the 1998-99 main estimates; however, they do consume much of our available supplementary reserves and we will have to be very vigilant over the balance of this year.

The operations and maintenance appropriation requirements include:

1) $5.6 million related to the Public/Private Partnership Initiative of which $4.5 million is related to development and design of projects which are costs which would be charged to capital or normal projects. The other $1.1 million is for the costs of project management for additional P3 projects and general P3 expertise and support.

This $5.6 million will be offset by a transfer from current capital appropriations and $3.4 million of it will be recovered from the Private partners on the projects.

2) $3.172 million is for the Income Support Food Allowance to provide for an 8 percent increase to the base food scale rate and to adjust the cost zone for a number of communities.

3) $2.508 million constitutes a base adjustment for the Department of Justice to address staff deficiencies in the Corrections Program.

4) $2,227,500 million is for implementation of the new Peoples oft Human Resource Management System. This will be recovered from departmental systems charge back fees over the next five years.

5) $1.101 million is for the establishment of an Elections Office in Nunavut for the first election and the ongoing cost of the office of the Chief Electoral Officer. This amount will be recovered from the federal government.

6) $1 million is to fund the ongoing changes to the NWTTA Collective Agreement which included changes to the Northern Allowance.

Capital appropriation requirements include:

1) $20.145 million in capital carry-overs from the 1997-98 fiscal year. The funding was approved and lapsed in the 1997-98 year and is required to complete ongoing projects in the 1998-99 fiscal year.

2) $2.050 million is to address the Yellowknife Office Space Rationalization Plan. This amount should be recovered from the federal government as part of the incremental costs in creating two new territories.

3) $2 million is for the New Roads Initiative announced by the Minister earlier this year.

Thank you, Mr. Chairman.

Thank you, Mr. Todd. Mr. Todd.

Thank you, Mr. Chairman. I wonder if I could have the cooperation of my colleagues, if I was to move a motion and ask that we extend sitting hours to conclude this item?

Agreed.

Thank you. You will have to determine, if you get cooperation you have to make a motion now. Mr. Todd.

Thank you, Mr. Chairman. I would like to move a motion that we extend sitting hours today to conclude this item.

Thank you. There is a motion on the floor to extend the sitting hour until we conclude this particular item, Bill 18, Supplementary Appropriation Act, No. 1, 1998-99 and it is not debatable. All those in favour? All those opposed? The motion is carried. We will extend sitting hours until we conclude this item.

I am informed that there was no review of the committee. Bill 18 is going directly to Committee of the Whole. Mr. Minister did you wish to bring in your witnesses? Are we agreed?

Agreed.

Thank you. Go ahead. For the record, Mr. Minister, Mr. Todd, would you please introduce your witness to the committee.

Thank you, Mr. Chairman. I thank the cooperation of my colleagues today. With me to my immediate right, is Mr. Lew Voytilla, Deputy Minister of the FMB.

Welcome to the committee, Mr. Voytilla. General comments. Do we have general comments on this particular item? Mr. Krutko.

Mr. Minister.

Thank you, Mr. Chairman. The monies that are allocated for the Yellowknife Office Space Rationalization Plan are due to the situation that will take place with respect to division. There will be a requirement for downsizing offices and a requirement for some changes to be made within it. I do not have the detail of the offices that are involved, but I am certainly prepared to provide it to the Member and to the House.

Thank you, Mr. Krutko. Are there any further general comments or questions from the Members? Mr. Krutko.