Mahsi, Mr. Chair. Mr. Chair, the Standing Committee on Accountability and Oversight conducted public hearings on Bill 15, the Liquor Act between June 6 and June 15, 2007. The committee split into northern and southern groups to seek input from as many communities as possible within this time frame. Meetings took place in Inuvik, Tsiigehtchic, Tulita, Gameti, Behchoko, Yellowknife, Fort Simpson, Jean Marie River, Hay River and Fort Smith. In addition, the committee allowed for written submissions until July 13, 2007. The clause-by-clause review of the bill was held on August 14, 2007. The committee would like to thank all witnesses for their presentations during these meetings and the Minister of Finance and his staff for presenting the bill.

Bill 15, if passed, will replace the existing Liquor Act dealing with the sale, importation, manufacture and distribution of liquor in the Northwest Territories. The bill enhances community control over liquor, makes a number of administrative improvements and strengthens the penalties for offences, particularly for bootlegging.

While a majority of people were generally supportive of the proposed bill, in particular of the increased community options and harsher punishments for bootleggers, presenters also made it very clear that the Liquor Act does not address the problems related to alcohol abuse and addiction. Many residents, community leaders, elders and stakeholders expressed their concerns recalling accidental deaths, suicides and abuse. They also pointed out that addictions and substance abuse includes gambling, drugs and other intoxicating substances. Many residents of small communities linked the availability of jobs in the resource development sector and higher disposable incomes to an increase of alcohol and substance abuse as well as family violence and elder abuse. Others expressed their worries about the impacts of alcohol, especially on the future of their children and youth, the younger generation.

Many presenters in small communities expressed concerns regarding the difficulty of controlling liquor coming into the community. In communities like Jean Marie River, Gameti or Tulita, residents buy their liquor from liquor stores in nearby municipalities or by phone order. Presenters generally felt that they had little power to control types and quantities of liquor sold to residents of their communities. They also stated that the regional impact of liquor stores is not sufficiently considered.

In Tulita and Jean Marie River, community members said clearly that they would like to limit the amount of alcohol coming into the community. As Chief Stanley Sanguez of the Tthedzeh K'edeli First Nation in Jean Marie River asked, “ ...how come we don't have a say in changing the Liquor Act for Fort Simpson, the rationing system? Our people are really suffering from it already. Why are you letting this happen in Fort Simpson, because we have the effects from it, what happens in Fort Simpson, and we keep saying just leave it that way.”

Committee members also heard in the smaller communities that if restrictions or a prohibition are in place, liquor stores should have mechanisms for verification and tracking of shipments of phone and other orders.

Members share the concerns raised regarding the availability of high percentage liquor in combination with binge drinking. People saw an increasing trend of this drinking pattern in young people and felt that high alcoholic beverages are still too easily available.

In August 2005, a ministerial directive was issued listing products with an alcohol content of 50 percent or more and limiting the sale “to one bottle per person at any time." Members were cautiously optimistic that the abuse, overuse and availability of overproof and other high alcohol products would be reduced. After considering the communities' input, the committee would like to encourage the Minister to look into this matter and report back on whether further restrictions would be advisable.

Members were pleased to see that all communities welcomed the lower threshold for a plebiscite on restrictions or prohibition, making the process more democratic. Overall, the visited communities and municipalities expressed support for more community control on liquor and provisions that will allow for adaptations to their specific needs.

However, particularly in smaller communities, leaders were concerned that despite more powers and tougher laws, not enough is being done to enforce existing restrictions and rules. In several places, people also expressed their discomfort in bringing complaints or evidence regarding bootlegging to the police's attention, as this would impact internal community relationships. However, as was discussed in our meeting in Tulita, without the cooperation of community members in bringing forward information to the police, enforcement will not be possible.

For communities without permanent RCMP presence, concerns about enforcement were stronger and more prevalent. For example in Jean Marie River, Ms. Tammy Neal, the band manager of the Tthedzeh K'edeli First Nation, put her doubts in the following statement, “We can put a ration on the community, we can make rules and committees and everything, but how do we enforce it? We can't enforce it. There's no way to enforce it.”

Community leaders also expressed concerns that the restrictions on transportation of liquor are not sufficiently enforced, particularly in those communities without permanent RCMP presence. People generally welcomed the new provisions for regulations that would limit the amount of liquor that can be transported without a permit. They are, however, worried that they will have no influence on prescribing these limits or on enforcing their implementation.

Because smaller communities have no influence on the sale of liquor in municipalities with liquor stores and the shipping and transportation after the purchase, many felt helpless with regards to community restrictions. This sense of powerlessness is growing with the perceived lack of enforcement.

Despite these concerns, a majority of people welcomed the direction of the bill of increasing fines and introducing potential jail sentences for bootlegging offences.

Mr. Chair, at this time, I would like to pass it on to Mr. Villeneuve to continue with the report. Mahsi, Mr. Chair.