This is page numbers 57 - 80 of the Hansard for the 13th Assembly, 6th Session. The original version can be accessed on the Legislative Assembly's website or by contacting the Legislative Assembly Library. The word of the day was tax.

Topics

Question 39-13(6): Rationale For Creating Two Workers' Compensation Boards
Item 6: Oral Questions

Page 70

The Speaker Samuel Gargan

The Minister responsible for the Workers' Compensation Board, Mr. Todd.

Return To Question 39-13(6): Rationale For Creating Two Workers' Compensation Boards
Question 39-13(6): Rationale For Creating Two Workers' Compensation Boards
Item 6: Oral Questions

Page 70

John Todd Keewatin Central

Thank you, Mr. Speaker. I am quite concerned myself right now, outside of this House of course, how there is a tendency in the last three or four months of polarization of thought east and west. Some of us are trying our best to bridge the differences that exist east and west, both politically and practically out there. To some extent, the drive towards an east and west split in the Workers' Compensation Board is one driven by expenditures and revenues. That is just my own interpretation of it. I really do not want to sit or stand here today, and encourage that kind of thought.

My desire would be to try to reach an appropriate compromise of bridging mechanisms in the short term that will allow the two new governments in the long-term to come to, what I believe should happen and will happen, knowing northerners the way I do, a reasonable agreement at the end of the day. Thank you.

Return To Question 39-13(6): Rationale For Creating Two Workers' Compensation Boards
Question 39-13(6): Rationale For Creating Two Workers' Compensation Boards
Item 6: Oral Questions

Page 70

The Speaker Samuel Gargan

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

Supplementary To Question 39-13(6): Rationale For Creating Two Workers' Compensation Boards
Question 39-13(6): Rationale For Creating Two Workers' Compensation Boards
Item 6: Oral Questions

Page 70

Edward Picco Iqaluit

Thank you, Mr. Speaker. In this process, Mr. Speaker, for looking at the Power Corporation and the WCB, in this case the WCB, we have elected representatives in this House that represent all the people in the Northwest Territories.

In the case of Nunavut, because we are setting up for new government, we have the office of the Interim Commissioner, mandated by DIAND, and because of the situation with the Nunavut Accord which brought Nunavut into existence. Who is at the bargaining table representing the western groups here because we have western representatives elected in this House, why would we have an outside group? Would the Minister explain who is at that table? Thank you.

Supplementary To Question 39-13(6): Rationale For Creating Two Workers' Compensation Boards
Question 39-13(6): Rationale For Creating Two Workers' Compensation Boards
Item 6: Oral Questions

Page 70

The Speaker Samuel Gargan

Mr. Todd.

Further Return To Question 39-13(6): Rationale For Creating Two Workers' Compensation Boards
Question 39-13(6): Rationale For Creating Two Workers' Compensation Boards
Item 6: Oral Questions

Page 70

John Todd Keewatin Central

Remember, Mr. Speaker, that from the very beginning when we initiated discussions on formula financing, when you step back a little bit, there was a desire on the government's part that all players be at the table and there was agreement put in place for the Interim Commissioner, the Government of the Northwest Territories, NTI and the Western Coalition would sit at the table on all aspects of division. That is the collective group that works towards this difficult task of trying to put together the right kind of package on issues like the Workers' Compensation Board or the NWTPC.

The players have been consistent from the beginning and the current players are still there, I believe. It is coordinated through the Nunavut secretariat of the executive offices. Thank you.

Further Return To Question 39-13(6): Rationale For Creating Two Workers' Compensation Boards
Question 39-13(6): Rationale For Creating Two Workers' Compensation Boards
Item 6: Oral Questions

Page 70

The Speaker Samuel Gargan

Oral questions. Supplementary, Mr. Picco.

Supplementary To Question 39-13(6): Rationale For Creating Two Workers' Compensation Boards
Question 39-13(6): Rationale For Creating Two Workers' Compensation Boards
Item 6: Oral Questions

Page 70

Edward Picco Iqaluit

Thank you, Mr. Speaker. Mr. Speaker, concern from Nunavut is indeed we would like to have our fair share. I do not think we are trying to be greedy or anything like that. Mr. Todd talks about the polarization east and west.

Again, I understand why the Interim Commissioner is there, because he has been appointed. NTI is a signatory to the Nunavut Agreement which was passed in the House of Commons and thus is mandated legislatively to be there. The Western Coalition was asked to join. Who made up the western coalition on the WCB agreements that are going on right now between the WCB and the Power Corporation? Who is representing the Western Coalition? I do not understand why they are at the table, when you have elected people from the west. I am sure Mr. Miltenberger and some other Members in this House can represent western views. Thank you.

Supplementary To Question 39-13(6): Rationale For Creating Two Workers' Compensation Boards
Question 39-13(6): Rationale For Creating Two Workers' Compensation Boards
Item 6: Oral Questions

Page 70

The Speaker Samuel Gargan

Mr. Todd.

Further Return To Question 39-13(6): Rationale For Creating Two Workers' Compensation Boards
Question 39-13(6): Rationale For Creating Two Workers' Compensation Boards
Item 6: Oral Questions

Page 70

John Todd Keewatin Central

Well, Mr. Speaker, I am trying to avoid a confrontation, but I do not know why my colleague is asking the question now. He has known the Western Coalition has been at the table from the beginning. Surely, he has placed me in an awkward position today, you should see the need for a balance. You have the Interim Commissioner's office representing Nunavut, you have got NTI representing aboriginal peoples in Nunavut, you have got the GNWT representing east and west. Clearly, there was a requirement for the western interest to be represented.

-- Applause

Mr. Floyd Roland represents that group politically in this House and that coalition group represents a varied set of interests in the Western Territory. I think it is working reasonably well.

As I said yesterday to these questions, these are sensitive and delicate times. At the end of the day, we have to be very careful that we do what is best for people east and west. It is certainly my intention as Chair of the division committee, to ensure that happens. Thank you.

Further Return To Question 39-13(6): Rationale For Creating Two Workers' Compensation Boards
Question 39-13(6): Rationale For Creating Two Workers' Compensation Boards
Item 6: Oral Questions

Page 71

The Speaker Samuel Gargan

Oral questions. Final supplementary, Mr. Picco.

Supplementary To Question 39-13(6): Rationale For Creating Two Workers' Compensation Boards
Question 39-13(6): Rationale For Creating Two Workers' Compensation Boards
Item 6: Oral Questions

Page 71

Edward Picco Iqaluit

Thank you, Mr. Speaker. Mr. Speaker today the Minister responsible for the WCB gave a statement of how well the WCB is doing. I am wondering when that same Minister would be able to bring into this House an update for us on the discussions to date on the WCB because again, economies of scale tell us two separate WCBs may not be in the best interests of all the people of the Northwest Territories. My question is, when will the Minister update this House on that process?

Supplementary To Question 39-13(6): Rationale For Creating Two Workers' Compensation Boards
Question 39-13(6): Rationale For Creating Two Workers' Compensation Boards
Item 6: Oral Questions

Page 71

The Speaker Samuel Gargan

Mr. Todd.

Further Return To Question 39-13(6): Rationale For Creating Two Workers' Compensation Boards
Question 39-13(6): Rationale For Creating Two Workers' Compensation Boards
Item 6: Oral Questions

Page 71

John Todd Keewatin Central

The position of the Cabinet is no different with the WCB than it was with the Power Corporation, and my honourable colleague, Mr. Dent, spoke to you yesterday. In an ideal world, we would have liked to have seen one, because there is some value in the economies of scale as my honourable colleague talks about. The reality is, that does not appear to be what is acceptable east and west. We are trying, to the best of our ability, to develop bridging mechanisms for further discussion, east and west, for two new governments and leaving the options open should the two new governments decide that they wish to maintain it or wish to split it in an orderly, fair and reasonable way. Thank you.

Further Return To Question 39-13(6): Rationale For Creating Two Workers' Compensation Boards
Question 39-13(6): Rationale For Creating Two Workers' Compensation Boards
Item 6: Oral Questions

Page 71

The Speaker Samuel Gargan

Thank you. Oral questions. Mr. Krutko.

Question 40-13(6): Timing For The Tendering Of Contracts
Item 6: Oral Questions

Page 71

David Krutko

David Krutko Mackenzie Delta

Thank you, Mr. Speaker. My question is to the Minister of Public Works, regarding the short season we have for construction in regard to communities that are isolated where they depend on goods to be shipped by NTCL up through the river systems, into the communities. In regard to the short time frame that these communities have to depend on this transportation to their communities, why are public tenders not posted earlier on, in April or May, so that the tendering process could be concluded and the materials could be available for summer construction in these communities? Thank you.

Question 40-13(6): Timing For The Tendering Of Contracts
Item 6: Oral Questions

Page 71

The Speaker Samuel Gargan

The Minister of Public Works and Services, Mr. Antoine.

Return To Question 40-13(6): Timing For The Tendering Of Contracts
Question 40-13(6): Timing For The Tendering Of Contracts
Item 6: Oral Questions

Page 71

Jim Antoine Nahendeh

Mr. Speaker, as far as I am aware about Public Works and Services, they would know the shipping seasons along the Mackenzie and the western Arctic as well as the Keewatin and the eastern Arctic. They have time-lines that they have to meet before the season starts. On a timely historical basis, they have been able to determine which contracts need to be awarded at certain times and they try to stick by that schedule. There are different circumstances that arise, that maybe a project may be delayed for contracting reasons or the bids coming in were not satisfactory, or the scope of the work may be readjusted, they have to do it again. There are some situations where these things happen. Thank you.

Return To Question 40-13(6): Timing For The Tendering Of Contracts
Question 40-13(6): Timing For The Tendering Of Contracts
Item 6: Oral Questions

Page 71

The Speaker Samuel Gargan

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

Supplementary To Question 40-13(6): Timing For The Tendering Of Contracts
Question 40-13(6): Timing For The Tendering Of Contracts
Item 6: Oral Questions

Page 71

David Krutko

David Krutko Mackenzie Delta

Thank you, Mr. Speaker. With the tendering process, especially this summer season seemed to be a real hectic one where a lot of tenders were not concluded in regard to negotiated whatnot until August. A lot of the complaints were that apparently the estimated price that was put forth through the budgetary process was a lot lower than expected for a lot of contracts have come in way over the estimated cost. Is there a problem with the process we have used to estimate these projects or is it just because of the economic circumstances we find ourselves in the north where it seems like it is happening all over, especially where we have construction of schools and other public facilities, that they are way over budget? What is the reason for that?

Supplementary To Question 40-13(6): Timing For The Tendering Of Contracts
Question 40-13(6): Timing For The Tendering Of Contracts
Item 6: Oral Questions

Page 71

The Speaker Samuel Gargan

Mr. Antoine.

Further Return To Question 40-13(6): Timing For The Tendering Of Contracts
Question 40-13(6): Timing For The Tendering Of Contracts
Item 6: Oral Questions

Page 71

Jim Antoine Nahendeh

Thank you, Mr. Speaker. That is a very good question the honourable Member is asking. I have asked the same question of the department. When we found out last year that certain projects the department, with their client departments have estimated, and we approve in the House, through the budget session different projects, and when the tendering process is concluded we are finding out that in many cases the estimate put forward by the Department of Public Works, the budgets are coming in lower than what the public tendering process is. I have asked the department to look into this situation. I am told that we have to look at the boom in other parts of the country.

In the Nunavut area, there is a lot of construction going on in preparation for Nunavut. There are a lot of projects out there. The workforce and contracts that we have, there is a lot of work, there are a lot of people who go there. I am told that in Alberta there has been a boom in their economic development, so there is requirement for a lot of trade people to go into Alberta. As a result, our estimation is that somehow or other, the mechanical part of all these different buildings is coming in higher than we estimated. There is a trend that the department is able to identify. We are finding out that, yes, our estimates are a lot lower than what is in the market. It is a problem that we have identified.

As a result, it is causing some glitches in our system. The Department of Public Works and Services, has client departments that we service. The budget they have through their system is approved through this House. Whenever a project comes in low, if our estimate is low and the bid prices are high, then we have to go back to the department and ask them if there is any way they could find within their system, additional dollars to top off the difference. It takes some time to do that. In many cases, we had to go back to the drawing board and retender. This year, yes, there are more than the usual tenders that we find ourselves adjusting throughout the summer.

Normally, the way the process is within our department, if our estimates are right and the bids are coming in, usually the competitive process is to see whether the project we have approved, that the bids come in lower than our projected costs, then, we are in the black and we can have some leeway. In many cases, we are coming in way below the bid prices and we have to make adjustments. Thank you, Mr. Speaker.

Further Return To Question 40-13(6): Timing For The Tendering Of Contracts
Question 40-13(6): Timing For The Tendering Of Contracts
Item 6: Oral Questions

Page 72

The Speaker Samuel Gargan

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

Supplementary To Question 40-13(6): Timing For The Tendering Of Contracts
Question 40-13(6): Timing For The Tendering Of Contracts
Item 6: Oral Questions

Page 72

David Krutko

David Krutko Mackenzie Delta

Thank you, Mr. Speaker. In regard to the numbers you mentioned, how many projects have been cancelled because of the problem we seem to find ourselves in, where a lot of these projects have come in way over budget because of the estimation of the Department of Public Works? How many projects have been cancelled because of this?

Supplementary To Question 40-13(6): Timing For The Tendering Of Contracts
Question 40-13(6): Timing For The Tendering Of Contracts
Item 6: Oral Questions

Page 72

The Speaker Samuel Gargan

Mr. Antoine.