Thank you, Mr. Speaker. Mr. Speaker, I am pleased to provide an update on the Municipal Finance Review. Members will recall that the discussion paper developed for this review were tabled in this Assembly last month. The Department of Municipal and Community Affairs is committed to continuing this review in partnership with the NWT Association of Municipalities. The annual general meeting of the NWT Association of Municipalities was held in Cambridge Bay last March. Delegates there supported continued efforts on this review. There has been much hard work put into this review over the past two years and everyone who has participated is to be commended on their efforts. This partnership has worked well to date and we plan to continue to work together through consultations on the proposals.

This government is committed to building stronger communities. One of the essentials for building stronger communities is that financial resources be made available to community governments. Communities have concerns about the fairness of our department's current funding. They want greater flexibility in how funds can be used as well as new financial arrangements with fewer controls. The proposals in the Municipal Finance Review discussion papers give us an opportunity to redesign the financial structure between the communities and MACA so that community governments can achieve greater authority, flexibility and accountability.

The same discussion papers tabled with the Assembly have now been distributed to community governments, aboriginal organizations, and other interested groups. Over the next four months the department, with the NWT Association of Municipalities, will consult these groups to seek their input on the proposals and to hear their comments. Mr. Speaker, I am pleased to carry on the work of my predecessor in this important area and will seriously consider recommendations of the Municipal Finance Review Steering Committee, based on community consultations held this spring and summer. Thank you, Mr. Speaker.