Thank you, Mr. Nitah. Mr. Allen.

Thank you, Mr. Allen. Page 7-32, detail of work performed on behalf of others, total department, $1,527,000.

We will go back to page 7-7, Justice, department summary, operations expense, total operations expense, $69,584,000.

We go to the capital acquisition plan, cap-12, Justice, registries and court services, total registries and court services, $120,000.

Community justice and corrections, total community justice and corrections, $18,466,000.

Services to government, total services to government, $125,000.

Public legal services, total public legal services, $135,000.

Total department, $18,846,000.

Does the committee agree that concludes the Department of Justice?

Thank you, Mr. Minister, and to your witnesses, for appearing. As previously agreed, we will go on to the Department of Finance. Does the Minister have any opening comments? Mr. Handley.

Thank you, Mr. Chairman, yes, I do. Mr. Chairman, I am pleased to introduce the main estimates of the Department of Finance for the fiscal year 2002-2003. The Department of Finance, through its responsibilities for revenue generation and management and information gathering and distribution, plays an important role in ensuring the government is able to deliver its programs and make informed decisions.

In Towards a Better Tomorrow, the Legislative Assembly laid out a vision and goals for the Northwest Territories. The outcome and strategies of the Department of Finance for the upcoming fiscal year support these goals, with particular emphasis on those relating to the NWT's fiscal and economic circumstances, including federal-territorial relations and resource development.

The first goal of the department is to achieve a fiscal regime for the Northwest Territories that supports a stable political environment and a strong economy. Key strategies of the department towards achieving this goal include:

• • Beginning discussions with Finance Canada on changes to the post-2004 formula financing agreement;
• • Providing taxation and formula financing input to resource revenue sharing discussions with Canada and aboriginal governments;
• • Implementing the personal income tax changes recommended by the Minister's Advisory Committee if approved by the Legislative Assembly;
• • Continuing fiscal and taxation input to self-government negotiations; and
• • Initiating facility appraisal and risk assessment processes to improve the government's insurance protection.

The second goal of the department is to ensure the government has the fiscal and statistical information and analysis needed to support policy development and decision making, particularly for key social and economic initiatives. Good information will allow us as policy makers to make better decisions about fiscal, economic and social policy.

The key strategies the department has identified towards achieving this goal include analyzing and disseminating 2001 census data and continuing to improve the range and quality of statistical information available.

Finally, as its third goal, the department seeks to be more responsive to client needs. Key supportive strategies include among others: improving awareness about liquor licenses, payroll tax, risk management insurance and improving agreements with investment pool participants.

For 2002-2003, the Department of Finance is requesting a total expenditure budget of $7,766,000, or 17.5 percent less than in 2001-2002. The decrease is due to an improved revenue outlook for 2001-2002, which will affect our forecast borrowing requirements for 2002-2003 and therefore our estimates of interest costs.

However, lower interest cost estimates are partially offset by a higher forecast requirements for insurance costs resulting from industry-wide increases and premiums. These increases were forecast even prior to September 11th, based on the declining performance of the investment sector. Post-September 11th, the insurance market has hardened further. As a result, estimated insurance costs included in the main estimates have risen by $1,090,000 over the 2001-2002 main estimates amount.

The expenditure budget in the main estimates is accompanied by a departmental revenue budget of $781,558,000, an increase of 5.2 percent over 2001-2002 main estimates. The 2002-2003 amount represents about 91 percent of the total government revenues. In addition, our forecast for 2001-2002 Department of Finance revenues has been substantially revised. We are now forecasting revenues of $911,550,000 for 2001-2002. I would be pleased to respond to any questions the committee may have. Thank you.

Thank you, Mr. Handley. The Standing Committee on Governance and Economic Development, Mr. Roland.