This is page numbers 1343 to 1384 of the Hansard for the 16th Assembly, 2nd 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 budget.

Topics

Question 353-16(2) NWT Home Rule Movement
Oral Questions

Inuvik Boot Lake

Floyd Roland

Floyd Roland Premier

In the area of new legislation one of the things we have to do as a government is look at the area of authority that we have when it comes to legislation. We have to also recognize the Constitution of Canada and the process involved to have our jurisdiction status changed. As well, we know that sometimes we have to be careful what we ask for. If we ask for status, for example, to be equal to a province, there are some other issues we will have to deal with as residents of the Northwest Territories. So it’s more than just saying, “Stand up and enact something.” In fact, we must do the proper research and see what the best avenue is to take.

Question 353-16(2) NWT Home Rule Movement
Oral Questions

The Speaker

The Speaker Paul Delorey

Thank you, Mr. Roland. Final short supplementary, Mr. Hawkins.

Question 353-16(2) NWT Home Rule Movement
Oral Questions

Robert Hawkins

Robert Hawkins Yellowknife Centre

Thank you, Mr.

Speaker. The

courage of Danny Williams, the Premier of

Newfoundland, is legendary. That’s what I’m looking for. I’m looking for that courage. I’m looking for the lion to find his heart, to get out there and claw away at that federal government, saying, “We deserve our right and place in Canada.” I’m just talking about a constitution that demonstrates….

Question 353-16(2) NWT Home Rule Movement
Oral Questions

The Speaker

The Speaker Paul Delorey

Question, Mr. Hawkins.

Question 353-16(2) NWT Home Rule Movement
Oral Questions

Robert Hawkins

Robert Hawkins Yellowknife Centre

Would the Premier take steps to work toward enacting a home-rule law? Thank you, Mr. Speaker.

Question 353-16(2) NWT Home Rule Movement
Oral Questions

Inuvik Boot Lake

Floyd Roland

Floyd Roland Premier

Mr. Speaker, for a lot of years we worked in partnership in the North, coming up with a process that we’re familiar with and understand, working with the federal government to draw down authority to the Government of the Northwest Territories and aboriginal governments and organizations across the territory. We will continue with that work. If Members feel there are other options out there, we’d be prepared to look at those.

Question 353-16(2) NWT Home Rule Movement
Oral Questions

The Speaker

The Speaker Paul Delorey

Thank you, Mr.

Roland. Oral

questions. The honourable Member for Hay River South, Mrs. Groenewegen.

Question 354-16(2) Impact Of Payroll Tax On The Cost Of Living
Oral Questions

Jane Groenewegen

Jane Groenewegen Hay River South

Thank you, Mr. Speaker. My questions today are for the Premier and relate to the issue of cost of living in the Northwest Territories. I know that perhaps we were a little critical about not enough revenue options in the budget, but we don’t want revenue options for this government that hit directly at the pocketbooks of Northerners. One thing that does that right now, which is on our books, is the payroll tax. During the election campaign — I haven’t had a chance to raise this in the House yet — I had a lot of people talk to me about that payroll tax, how it went from 1 per cent to 2 per cent and how the rebate related to that did not go up accordingly. We enjoy a fairly favourable personal tax rate. We enjoy the northern residents tax deduction, which has just gone up recently. But this payroll tax at 2 per cent without a corresponding rebate is hitting Northerners hard.

I’d like to ask the Premier: when was the last time the payroll tax was reviewed, and is it something that we could look at to alleviate the cost of living for Northerners?

Question 354-16(2) Impact Of Payroll Tax On The Cost Of Living
Oral Questions

The Speaker

The Speaker Paul Delorey

Thank you, Mrs. Groenewegen. The Hon. Premier, Mr. Roland.

Question 354-16(2) Impact Of Payroll Tax On The Cost Of Living
Oral Questions

Inuvik Boot Lake

Floyd Roland

Floyd Roland Premier

Thank you, Mr. Speaker. As we initially sat down, we looked at a number of tax options that were available to us. The payroll tax is one factor. On the other side, as the Member has

mentioned, the cost of living tax credit is also available to Northerners. There was some adjustment a number of years ago, in line with the changes. We’d be prepared, as we’re talking about launching a discussion paper on tax options in the Northwest Territories…. We’re going to Members with that and then going out to the public for some discussion and debate around those issues. We could include this area into that work.

Question 354-16(2) Impact Of Payroll Tax On The Cost Of Living
Oral Questions

Jane Groenewegen

Jane Groenewegen Hay River South

Mr. Speaker, the Premier has set up strategic initiative committees, and one of them is tasked with looking at issues related to the cost of living. Is this something that could be assigned to this committee, as well, in looking at the cost of living in the Northwest Territories in light of taxes?

Question 354-16(2) Impact Of Payroll Tax On The Cost Of Living
Oral Questions

Inuvik Boot Lake

Floyd Roland

Floyd Roland Premier

Mr. Speaker, the tax options we work with, as at this point, stay with the Department of Finance, under the revenue-generating capacity that it has, and our relationship with the federal government and so on. I think we could still work through that scenario, working with Members and deciding where we can go — whether we strike, as we did, for example, on the climate change work. Coming together with some Members, looking at taking that discussion paper out, is an option we can look at.

Question 354-16(2) Impact Of Payroll Tax On The Cost Of Living
Oral Questions

Jane Groenewegen

Jane Groenewegen Hay River South

Mr. Speaker, after we charge employees in the Northwest Territories a 2 per cent payroll tax and then we give a rebate to people and we also pay for the administration of the tax, what do we end up netting from the payroll tax, approximately, in round figures?

Question 354-16(2) Impact Of Payroll Tax On The Cost Of Living
Oral Questions

Inuvik Boot Lake

Floyd Roland

Floyd Roland Premier

Mr. Speaker, the initial payroll tax was established at 1 per cent. Once you paid out the cost of living tax credit to Northerners, the net was very small indeed. Going to 2 per cent has netted the Government of the Northwest Territories more revenue on the general revenue side, and as we would highlight in our budget — I don’t have the specific numbers at this time, but we’ll get that — I know it has increased. There is a more substantial amount that does remain with the Government of the Northwest Territories.

Question 354-16(2) Impact Of Payroll Tax On The Cost Of Living
Oral Questions

The Speaker

The Speaker Paul Delorey

Thank you, Mr. Roland. Final supplementary, Mrs. Groenewegen.

Question 354-16(2) Impact Of Payroll Tax On The Cost Of Living
Oral Questions

Jane Groenewegen

Jane Groenewegen Hay River South

Thank you, Mr. Speaker. Just in summary, then, and to be very specific: are we being told today that the Premier will look at a review of the payroll tax of 2 per cent?

Question 354-16(2) Impact Of Payroll Tax On The Cost Of Living
Oral Questions

Inuvik Boot Lake

Floyd Roland

Floyd Roland Premier

In the context of looking at our tax options available to us as Northerners, looking at the other side of it, the equation on the cost of living as well as the tax rebate that we do have, I’m prepared to put that in as part of the

discussion as we go forward as the Government of the Northwest Territories.

Question 354-16(2) Impact Of Payroll Tax On The Cost Of Living
Oral Questions

The Speaker

The Speaker Paul Delorey

Thank you, Mr. Roland. Oral questions. The honourable Member for Kam Lake, Mr. Ramsay.

Question 355-16(2) Exemption From The Goods And Services Tax
Oral Questions

David Ramsay

David Ramsay Kam Lake

Thank you, Mr. Speaker. My questions today are for the Premier. It gets back to my Member’s statement.

It was over three years ago that I first raised the issue of tax exemption of the GST for the three northern territories with the previous government. I know some Cabinet Ministers were around and remember that discussion I had with then-Premier Handley.

I’d like to begin by saying that early last month the Yukon government passed a motion in the House by unanimous vote that their government would lobby the federal government to remove the GST on home-heating fuel, power generation and on the transportation of essential goods north of 60 degrees.

I’m just wondering where our government is at, considering that we’re talking about the cost of living and that it’s going to be one of the biggest issues, especially come winter when people are paying exorbitant prices for home-heating fuel. I’m wondering where that is on the government’s agenda. Mahsi.

Question 355-16(2) Exemption From The Goods And Services Tax
Oral Questions

The Speaker

The Speaker Paul Delorey

Thank you, Mr.

Ramsay. The

Hon. Premier, Mr. Roland.

Question 355-16(2) Exemption From The Goods And Services Tax
Oral Questions

Inuvik Boot Lake

Floyd Roland

Floyd Roland Premier

Thank you, Mr. Speaker. I’ve had discussions with Premier Fentie of the Yukon, looking at this initiative. In fact, at the time I attended the Western Premiers’ Conference, he attended the Finance Ministers’ meeting in Ottawa. We had discussions about carrying the message from both parts. We are engaged with the Yukon government, through our staff, to look at options that could be available to us. I’m aware, from the meeting in Ottawa with Finance Ministers, that other jurisdictions are, as well, interested in looking at what options may be available to them around the GST.

Question 355-16(2) Exemption From The Goods And Services Tax
Oral Questions

David Ramsay

David Ramsay Kam Lake

Thank you, Mr. Speaker. Maybe the Premier is familiar with the situation. He has had a discussion with Premier Fentie. As I mentioned, we’re here for another two days. Would his government be willing to come forward with a motion similar to the one passed by the Yukon government so that we, the Members of the 16th Legislative Assembly, can lend our support to the

efforts of the Premier and Premier Fentie and Premier Okalik? I think that adds to their arsenal when they do go to Ottawa and try to fight for tax exemption on those important issues. Mahsi.

Question 355-16(2) Exemption From The Goods And Services Tax
Oral Questions

Inuvik Boot Lake

Floyd Roland

Floyd Roland Premier

Thank you, Mr. Speaker. If this Assembly feels a motion is needed in this area, we would be glad to work with Members to come up with a joint initiative. We are at the table working with the Yukon, looking at how we can work jointly with them in advancing this. As well, at the Northern Premiers’ Conference we will once again be having discussions with northern Premiers. I’m sure Premier Fentie will be looking to address this as well.

Question 355-16(2) Exemption From The Goods And Services Tax
Oral Questions

The Speaker

The Speaker Paul Delorey

Thank you, Mr.

Roland. Oral

questions. The honourable Member for Nahendeh, Mr. Menicoche.

Question 356-16(2) Poor Condition Of Liard Highway
Oral Questions

Kevin A. Menicoche

Kevin A. Menicoche Nahendeh

Thank you, Mr.

Speaker. My

questions today are for the Hon. Norman Yakeleya, Minister of Transportation.

I hear with great interest that Highway No. 7 is still having its share of problems. That’s the section between Fort Simpson and Fort Liard. The conditions are still muddy, and the road is closed once again. This is really, really causing a lot of grief to constituents, especially those in Fort Liard. I know that the Minister committed to reconstruction and fixing of the drainage surface and great improvement. I’d just like to know what has been done in the planning stages so far, because I’m thinking that if they’re going to do that work, perhaps they should begin building that bypass road to provide uninterrupted access.