Thank you, Mr. Chairman. Can the Minister indicate if there is cleanup required now in the takeover of these assets? Is there a required cleanup that has to be undertaken? Can the Minister explain what kind of liability comes with this and what the government's exposure might be and what the expectation is that EGT will do now that they have the facility?
Debates of Oct. 7th, 2003
This is page numbers 1255 - 1298 of the Hansard for the 14th 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 chairman.
Topics
Bill 32: Supplementary Appropriation Act, No. 2, 2003-2004
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 1292
Bill 32: Supplementary Appropriation Act, No. 2, 2003-2004
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 1292
Bill 32: Supplementary Appropriation Act, No. 2, 2003-2004
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 1292
Joe Handley Weledeh
Mr. Chairman, yes, there is some environmental remediation necessary. Part of the agreement is that Gruben Transport, the purchaser, will clean up or do this work within seven years. In the event that they don't, then the government has the right to clean it up and bill the charges to them.
Bill 32: Supplementary Appropriation Act, No. 2, 2003-2004
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 1292
Bill 32: Supplementary Appropriation Act, No. 2, 2003-2004
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 1292
Brendan Bell Yellowknife South
Can the Minister indicate what he believes the cost of the cleanup would be?
Bill 32: Supplementary Appropriation Act, No. 2, 2003-2004
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 1292
Bill 32: Supplementary Appropriation Act, No. 2, 2003-2004
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 1292
Bill 32: Supplementary Appropriation Act, No. 2, 2003-2004
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 1292
Bill 32: Supplementary Appropriation Act, No. 2, 2003-2004
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 1292
Brendan Bell Yellowknife South
What about requirements for additional capital investment? Are we requiring in the contract any additional capital investment to be undertaken by EGT?
Bill 32: Supplementary Appropriation Act, No. 2, 2003-2004
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 1292
Bill 32: Supplementary Appropriation Act, No. 2, 2003-2004
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 1292
Joe Handley Weledeh
Mr. Chairman, we don't require the upgrading of the facility, but if we had kept it in order to keep it up to code, it's estimated it would cost us $1.6 million.
Bill 32: Supplementary Appropriation Act, No. 2, 2003-2004
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 1292
Bill 32: Supplementary Appropriation Act, No. 2, 2003-2004
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 1292
Brendan Bell Yellowknife South
Okay. So we don't require the capital upgrade, but when we met in March in the House, Mr. Lafferty was asking...Maybe it was Mr. Krutko asking the question -- yes, it was -- and Mr. Aumond answering on behalf of the department said that with respect to Tuk, the cleanup itself was estimated to be $500,000 or $600,000. Then he goes on to say it's worth noting that once that cleanup happens it's going to be incumbent upon whoever undertakes that cleanup to undertake a code upgrade to the facility, which is going to be a $1.5 to $2 million capital investment required on top of the cleanup. So the total cost will be to the GNWT or, in this case through EGT in Tuk, and you look at those two together, you are looking at a $2 million commitment minimum after taking possession of the tank farm. Are we saying we are not requiring that capital investment or it's just a suggestion on our part or a good idea? Thank you.
Bill 32: Supplementary Appropriation Act, No. 2, 2003-2004
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 1292
Bill 32: Supplementary Appropriation Act, No. 2, 2003-2004
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 1292
Joe Handley Weledeh
Mr. Chairman, anybody who has property has to meet the applicable codes, so there is a code requirement probably for it, but as part of this agreement, we don't have any requirement. That doesn't excuse them from code requirements. Thank you.
Bill 32: Supplementary Appropriation Act, No. 2, 2003-2004
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 1292
Bill 32: Supplementary Appropriation Act, No. 2, 2003-2004
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 1292
Some Hon. Members
Agreed.
Bill 32: Supplementary Appropriation Act, No. 2, 2003-2004
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 1292
Bill 32: Supplementary Appropriation Act, No. 2, 2003-2004
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 1292
Some Hon. Members
Agreed.
Department Of Health And Social Services
Bill 32: Supplementary Appropriation Act, No. 2, 2003-2004
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 1292
The Chair David Krutko
Health and Social Services, operations expenditures, ministry and corporate services, not previously authorized, $325,000. Mr. Bell.
Bill 32: Supplementary Appropriation Act, No. 2, 2003-2004
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 1292
Brendan Bell Yellowknife South
Maybe we can have the Minister of Health and Social Services explain what the $325,000 is for. Is this forced growth that's been approved by the department, or maybe some explanation? Thank you.
Bill 32: Supplementary Appropriation Act, No. 2, 2003-2004
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 1292
Bill 32: Supplementary Appropriation Act, No. 2, 2003-2004
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 1292
Joe Handley Weledeh
Mr. Chairman, the purpose of the $325,000 is to provide funding to the Dogrib Community Services Board for short-term working capital while the longer-term operational plan is being developed.
Bill 32: Supplementary Appropriation Act, No. 2, 2003-2004
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 1292
Bill 32: Supplementary Appropriation Act, No. 2, 2003-2004
Item 19: Consideration In Committee Of The Whole Of Bills And Other Matters
Page 1292
Brendan Bell Yellowknife South
So is it a bailout? It looks like a bailout. We are wondering what happened. Can the Minister explain?