Thank you, Mr. Chairman. Mr. Chairman, there are two important points that have to be taken into consideration with regard to this project. The original pricing of this project was for Hay River. The plan was initially that this building was to be built in Hay River. That played a large part in what it would cost to build it in Hay River versus Inuvik.

The other thing to take into consideration was that the time that the project was put into the budget was two or three years previous to when it actually happened in Inuvik. Inuvik is now experiencing a large boom, so to speak, as a result of oil and gas activities. All three departments, Public Works, Transportation and Housing, are experiencing increases of up to ten to 15 percent increases in our projects in the Inuvik area. We put out this notice to departments so that they can expect this in the future on when to undertake capital projects.