The motion is in order. To the motion. Mr. Ootes.

Thank you for that observation. To the motion. Mr. Picco.

Just to clarify, Mr. Chairman. Mr. Chairman, I appreciate Mr. Ootes comments. The committee, after reviewing the Auditor General's Report, and I know that Mr. Ootes has had an opportunity to read it because it has been tabled in the House, points out many of the concerns for the communities under the Auditor General's report dealt with the SAOs, retention of the SAOs and the qualifications of the SAOs. The recommendation is that if the government of the day is handing over money to the hamlets and municipalities, then we should help them make sure that they have qualified staff to do that with. There were instances in the Auditor General's report where that was not the case. It is not a paternalistic or patronistic motion and I would ask that the committee support the motion. Thank you, Mr. Chairman.

Thank you. The Chair recognizes Mr. Ootes.

Thank you. To the motion. Question has been called. All those in favour? The motion is carried. Continue Mr. Picco.

Thank you, Mr. Chairman. Thank you. Committee Motion 5. I move that this committee recommends that the Department of Municipal and Community Affairs establish minimum guidelines for the hiring of senior administrative officers. Thank you, Mr. Chairman.

Thank you. The motion is in order. To the motion. Question has been called. All those in favour? All those opposed? Motion is carried. Mr. Picco.

Thank you, Mr. Chairman. Motion No. 6. I move that this committee recommends that the Department of Municipal and Community Affairs draw up a detailed standardized job description for senior administration officers for provision to municipal hiring boards for their reference. The description should describe operational guidelines and basic qualifications. This job description should also be made available to potential senior administrative officers for review. Thank you, Mr. Chairman.

Thank you. The motion is in order. To the motion. Question has been called. All those in favour? All those opposed? Motion is carried. Mr. Picco.

Thank you. The motion is in order. To the motion. Question has been called. All those in favour? All those opposed? Motion is carried. Mr. Picco, do you have further motions for the committee to consider? Mr. Picco.

Thank you, Mr. Chairman. Mr. Chairman, we do have some more motions coming forward. At this time I would like to call on my colleague and the vice-chairman of the Standing Committee on Infrastructure, Mr. Henry, to continue the report on page 6, the Review of the Report of the Auditor

General on the Department of Municipal and Community Affairs. Thank you, Mr. Chairman.

Thank you. Mr. Henry.

Thank you, Mr. Chairman. I will continue on with the report.

The Department of Municipal and Community Affairs is mandated by municipal legislation to conduct annual municipal inspections. Section 189 of both the Cities, Towns and Villages Act and the Hamlets Act requires that every municipal corporation must at least once a year and at any other time that the Minister may require, have its records, books and accounts examined; management and administration reviewed and financial affairs examined by a municipal inspector.

With greater municipal empowerment anticipated, the department needs to know on a regular basis how well municipalities are doing, not just financially, but administratively as well. Effective monitoring and evaluation form the basis for accountability in the use of development resources. The resulting increased transparency may improve the management and implementation of current and future municipal responsibilities.

In the committee's review, there is a need for closer attention to the accurate monitoring and evaluation of municipal management information, both to support the ongoing implementation of municipality objectives and to feed back into the design of new initiatives. More detailed regular municipal inspections will result in a reliable flow of information to the department and to the municipalities, enabling the participants to keep accurate track of progress and adjust operations based on experience.

The standing committee emphasizes the need for comprehensive guidelines and qualified inspection staff to accurately evaluate municipal responsibilities and perform on a regular, preferably annual, basis.

The department informed the committee that inspections are carried out according to the needs identified by the department; community operations are becoming increasingly more difficult to monitor; and more commitment is needed by the municipal councils to get feedback from the department. The department also monitors value-added programs and services in addition to the fiscal bottom line.

The committee notes that some of the department's concerns may be due to a shortage of qualified staff and resources, as well as the interplay of political influences in some municipalities.

Mr. Chairman, I would like to move Motion No. 8. I move that this committee recommends that the Department of Municipal and Community Affairs adopt a risk-based approach to municipal inspections. This approach should focus the inspection process on responsibilities and programs that have a greater risk of adverse financial or administrative consequences.

Thank you. Before I rule the motion, I would like to remind my honourable Members to respect other Members who have the recognition of the Chair. Thank you.

--Applause

The motion is in order. To the motion. Question has been called. All those in favour? All those opposed? Motion is carried. Continue Mr. Henry.

Thank you, Mr. Chairman. Motion No. 9. I move that this committee recommends that the Department of Municipal and Community Affairs ensure that regular and mandatory municipal inspections are integrated with personal visits and that guidelines are implemented to effectively monitor and evaluate municipalities. Thank you, Mr. Chairman.

Thank you, Mr. Henry. The motion is in order. To the motion. Question has been called. All those in favour? All those opposed? Motion is carried. Mr. Henry.

Thank you, Mr. Chairman. With your indulgence, I will pass the conclusion of the report on to Mr. Barnabas for reading. Thank you.

Thank you, Mr. Henry. The Chair now recognizes Mr. Barnabas.

Thank you, Mr. Chairman. Committee Review of the Report of the Auditor General on the Department of Municipal and Community Affairs, section 4, Capital Allocation Process.

Careful analysis of the costs and benefits of the existing Capital Allocation Process is key to informed and responsive needs management. It is vital that the relevance and cost of proposed capital projects to the GNWT and the municipality are accurately assessed. It is equally important that the evaluation and allocation process is independent of the bureaucracy that has access to it.

Although movement toward a more efficient allocation process will hopefully be underway, committee Members stress the severe resource constraints and the public demands for greater accountability in the allocation process. However, the committee observes that there may be a lack of commitment to a more responsive and accountable Capital Allocation Process at the bureaucratic level. In the committee's view, a culture of effective responsiveness and accountability is not in place.

Part of the dissatisfaction stems from the poor timing of the call letter from the Premier's office for revisions to the capital plan. By the time the letter is received and replied to, there is not enough time to affect the recommended revisions. With the short construction season and limited transportation infrastructure, it becomes impossible to procure and transport material to the municipality. In many communities, barging is the only economically viable means of transporting cargo. Cargo must be prebooked, has a limited travel schedule and is operated only in late spring and summer.

In the committee's review, there has not been enough attention to the quality and timeliness of information and the need for objectivity and independence in the implementation of the Capital Allocation Process. At times, the political component dominates. The process needs to better serve the municipalities' requirements.

At this time, Mr. Chairman, I have a motion.

Thank you, Mr. Barnabas. Please proceed with the motion.