Thank you, Mr. Chairman. Mr. Chairman, I would like to report on the findings of the committee. In general, Mr. Chairman, the Department of Municipal and Community Affairs assists community residents to organize and manage representative, responsible and accountable community government. The department is primarily a service support provider.
The Standing Committee on Governance and Economic Development reviewed the 2000-2003 Business Plans and draft main estimates for the Department of MACA on Monday, May 29 and Tuesday, May 30, 2000. The committee noted a $10,604,000 or 22 percent increase in total operations or operations and maintenance expenditures between their 1999-2000 main estimates and the 2000-2001 draft main estimates.
The projected increase is due to the inclusion of capital assets under $50,000 as part of the department's operations expenses as required under the new tangible capital assets reporting process. Previously, all capital assets were reported under capital expenditures. Committee members also noted the decrease of 19 positions or a 13.5 percent decrease in staff since the presentation of the 1999-2000 main estimates.
The committee also noted a $7,319,000 or 60 percent decrease in total capital expenditures between the department's 1999-2000 main estimates and the 2000-2001 draft main estimates.
Committee members noted that although under the Municipal Operating Assistance Policy and the Settlement Operating Assistance Policy, communities received a minimal increase in operations or operations and maintenance funding. This was more than offset by very substantial decreases in proposed capital funding.
Furthermore, taxed based communities which receive block funding to meet their overall funding requirements received an almost five percent reduction across the board.