Thank you, Madam Chair. Madam Chair, the issue around the Novel concept is one that grabbed our attention quite some time ago as to the potential of using workforce housing to supplement a need for housing in our communities across the Northwest Territories. The opportunity comes out of the fact that the Mackenzie gas pipeline is going to be needing a large number of beds to house its workforce. From there, our discussions took place with one of the companies that would be capable and have the capacity to build as many camp beds and workforce housing as possible in the short time frame. One of the issues we face is, when a decision is made to proceed with the pipeline project, contracts will be let out to companies available to put out such large units in a short time frame. Looking at the Northwest Territories, we are unable to provide such a volume. As well, if we stuck with just a typical camp force housing that is in place and that is used in industry today, it is not suitable and would cost too much to do the conversion. When we were approached to look at this initiative by one of the companies that has the capabilities and has supplied your typical workforce housing, we were interested and began our discussions. We have also had discussions with Imperial Oil as to using the concept and the idea and moving forward with that.

Based on the interest and the opportunity that was before us, between the Housing Corporation and myself with FMBS staff, we began to look at it with some detail as to the potentials there. Looking at your typical construction methods used in the Northwest Territories, which we have many years' experience to what the potentials were with conversions and the cost of that and having the homes established in communities, we felt that it was viable and worth the effort to do further investigation. That is why I presented the material I did before Christmas to Members about the opportunities, the work that was done, as well as laid out the risks. There are risks with this, but we feel that the timing and the commitment to this, both by our government and the CMHC, is one of a nature where you have to make those investments up front to actually take advantage of this.

We have been working with ATCO with the Novel concept. Ultimately, it is going to be a decision by the Mackenzie gas project. Yes, we are counting on private citizens in buying up approximately half of the units that would be available to them. It is not absolutely a $300 million project that we can go to anybody else and say for $300 million, what can you supply? We are not buying that package. It is a package and a concept that we would like Imperial to endorse and move forward with. Work has begun with Imperial in earnest around ensuring that they feel they would get the best value for their money, as well. That is something there they want to see. We want to see that because we would have to make a serious commitment to this. We have had to show CMHC officials that, as well; that their investment would be a good investment. All parties right now are working together to try to come up with a solution. Ultimately, if the federal government doesn't come up with the money and Imperial doesn't agree that this project is something they want to proceed with, we are back to square one in doing our typical housing delivery methods, which we will not be able to pull this kind of money together and see the amount of housing put in the Northwest Territories. Just on that value, we feel that it is a worthy effort to go into and come up with the numbers. Again, I would be glad to provide more detail to those numbers as we did before on the latest things that have been done. But we have given probably the most complete piece we have to date on the costs, estimates and the timelines that we have. Thank you, Madam Chair.