With the signing of the Tlicho Final Agreement last year and significant progress at other negotiating tables, self-government will soon be a reality. No one can reasonably expect that the new governments will be able to operate without an increase in the total number of dollars available to northern governments to provide programs and services. Self-government will bring many benefits to northerners, but it will also result in a loss of economies of scale, which means that government will cost more. There has been considerable discussion with the federal government about responsibility for these incremental costs.

Members strongly agree with the government's position that incremental self-government costs are the responsibility of the federal government. The committee fully supports the Minister and government in holding firmly and consistently to this position. The committee also urges the government to maintain a strong position with respect to self-government implementation costs to ensure the GNWT does not pay costs that are the responsibility of the federal government.

The Standing Committee on Accountability and Oversight recommends the government continue to hold to its position that incremental self-government costs are the responsibility of the federal government;

And further, that the government maintains a strong position with respect to self-government implementation costs in order to ensure the GNWT does not pay costs that are the responsibility of the federal government.