Thank you, Mr. Speaker. Mr. Speaker, I rise today to clarify how this government determines program, community and capital funding levels.
The overwhelming majority of our funding is allocated to programs, communities and capital investments based on need, not on per capita formulas. Programs such as health care, education and housing are provided to our residents based on relative need, irrespective of what this costs on a per capita basis. Capital investments are also based on need, not per capita. Municipal funding provided through the Department of Municipal and Community Affairs is one of these very few areas where population is considered in funding allocations. In this case, community entitlements are adjusted for the different costs incurred by each community in delivering municipal services to their residents.
Mr. Speaker, the fact that we provide funding on a needs basis is illustrated well in the geographic tracking of expenditures report we issue each year. This report shows that the government's spending on a per capita basis varies widely among communities because relative needs are taken into account as well as each community's ability to raise their own revenues.
For example, in fiscal year 1989-99 we spent $11,687 per capita for services to the residents of Fort Simpson, $6,040 per capita Yellowknife, $17,476 per capita in Lutselk'e and $14,961 per capita in Tulita. Clearly, relative needs drive these numbers, not equal per capita allocations.
Mr. Speaker, our capital funding allocations are also based on need. For example, taking the last ten years of capital spending into account, the average capital investment by community has ranged from $14,000 per capita in Fort Resolution, to $6,000 per capita in Hay River, $23,000 per capita in Tulita and $3,000 per capita in Yellowknife. These numbers are different because we do not determine allocations on the basis of per capita entitlements, rather we use relative need.
Mr. Speaker, the per capita methodology that the federal government was proposing to use to determine the territories' share of health care funding does not resemble in any way the approach that our government uses to allocate the vast majority of our program, community and capital funding. Thank you.
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