This is page numbers 1487 to 1518 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 million.

Topics

Question 406-16(2) Proposed Revenue Options
Oral Questions

Thebacha

Michael Miltenberger

Michael Miltenberger Minister of Finance

If the Member were to check over the past number of years, there has been a fair adjustment up and down to the corporate tax, firstly, and to the amount of money made through corporate taxes or taxes filed in the Northwest Territories. This whole process that we’re engaged in with revenue options is set up to get that kind of feedback to make sure we explore every opportunity, consult with Northerners and

come forward with recommendations here in the next number of weeks.

Question 406-16(2) Proposed Revenue Options
Oral Questions

Robert Hawkins

Robert Hawkins Yellowknife Centre

I’ve read those numbers very closely in the five years I’ve been here, and I notice the one thing that sticks out very evidently is that there’s no tax stabilization policy that levelizes our taxes, sets some aside for the rainy day and certainly is there on the good days. What is this Minister doing to help levelize and stabilize our tax policies that will help so that when big business decides to file somewhere else, it doesn’t cause a crumble like it did in our last budget?

Question 406-16(2) Proposed Revenue Options
Oral Questions

Thebacha

Michael Miltenberger

Michael Miltenberger Minister of Finance

I suppose the first challenge would be to agree on the definitions or come to understand the definitions of the words that the Member is using — stabilize, levelize — in relation to corporate taxes and those types of things. Clearly, the goal of the government, as laid out by the Premier and that I as well spoke to in my fiscal update, is to come up with affordable government that has new revenues coming in, where we have a government that we can afford, yet we maintain the high level of services that people have come to expect. We’re working diligently to reach that point.

Question 406-16(2) Proposed Revenue Options
Oral Questions

The Speaker

The Speaker Paul Delorey

Thank you, Mr. Miltenberger. Final supplementary, Mr. Hawkins.

Question 406-16(2) Proposed Revenue Options
Oral Questions

Robert Hawkins

Robert Hawkins Yellowknife Centre

Thank you, Mr. Speaker. As I started off in my very first question to talk about how I seem to be so unquoted that it’s messy, I want to ask the Minister what he is going to do to continue to consult. That’s all I was asking. What are you doing to consult with Members as a discussion paper on these tax initiatives before you run out to the public and scare them?

Question 406-16(2) Proposed Revenue Options
Oral Questions

Thebacha

Michael Miltenberger

Michael Miltenberger Minister of Finance

Mr. Speaker, I recollect, I believe, it was the Member saying this just today in this House: just do these specific taxes; don’t bother; let’s just get at it; we know which ones are the right ones.

This whole process we’ve laid out with the revenue options paper, the mail-out across the North, the two day round table, the briefing of committee, the business planning process which we’re going to feed all this information into, is all geared to engage fully the wisdom and advice that we’re going to get from the committees and the Members, even the Member opposite from Yellowknife Centre, and their feedback into this process to make sure we come up with the best decisions possible.

Question 406-16(2) Proposed Revenue Options
Oral Questions

The Speaker

The Speaker Paul Delorey

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

Question 407-16(2) Fuel Price Regulations
Oral Questions

David Ramsay

David Ramsay Kam Lake

Mr. Speaker, I want to pick up on the questions I had earlier, but this time I’m going to ask the questions of the Minister of Finance.

The one thing I think residents here in the Northwest Territories have a difficult time with is that we ship our resources south — look at the Norman Wells Pipeline, the proposed Mackenzie Gas Project

and then they get trucked back to

us, and our residents get charged exorbitant prices for the fuel once it gets back to the Northwest Territories. We have the resources here. That’s the thing I take issue with. I think we need to find a way and means to keep some of this resource here at home to feed our own residents.

I’d like to ask the Minister of Finance: in regard to regulating fuel prices here in the Northwest Territories, I’m wondering if the government has ever done any work in that area to look at the pros and cons of regulation of that industry, as they do in Atlantic Canada.

Question 407-16(2) Fuel Price Regulations
Oral Questions

The Speaker

The Speaker Paul Delorey

Thank you, Mr. Ramsay. The honourable Minister of Finance, Mr. Miltenberger.

Question 407-16(2) Fuel Price Regulations
Oral Questions

Thebacha

Michael Miltenberger

Michael Miltenberger Minister of Finance

Mr. Speaker, there’s been work done in other jurisdictions like New Brunswick and Nova Scotia, and assessments of the programs by economists, from what I understand, have concluded that while there may be specific short term, minor gains and political gains, overall there are significant political and economic costs once ceilings are put into place.

Question 407-16(2) Fuel Price Regulations
Oral Questions

David Ramsay

David Ramsay Kam Lake

Just for discussion purposes I’d like to ask the Minister today if his government, the government here, would take a look at regulating gas prices and home heating fuel prices here in the Northwest Territories. At least let’s look at it. Let’s put everything on the table, the pros and cons. I think our residents need that stability in pricing and not the volatility that they’ve been experiencing lately.

Question 407-16(2) Fuel Price Regulations
Oral Questions

Thebacha

Michael Miltenberger

Michael Miltenberger Minister of Finance

What I would like to offer to do is to share the information we have on the issue of regulating fuel prices and gas prices with the Member, the Chair of the EDI committee, and whatever other information they may require. Then we can sit down and have a discussion so that we’re talking from the same base of information. We’ll see as we move forward what may be possible. Clearly, there’s been work done in other jurisdictions, and I’ll commit to doing that so that we can have that informed discussion.

Question 407-16(2) Fuel Price Regulations
Oral Questions

David Ramsay

David Ramsay Kam Lake

Mr. Speaker, I thank the Minister for that.

Another question that I do have — and it’s an issue that I’ve raised in the House — gets back to home heating fuel and the fact that the Government of

Canada charges GST on home heating fuel. There’s an election going on right now, and I do believe that the Government of the Northwest Territories has to be working with their counterparts in Nunavut and the Yukon Territory to make the federal government understand that charging GST on home heating fuel in northern Canada is the wrong thing to do and that they should stop that practice immediately. That message has to be sent loud and clear to the federal government. Mahsi.

Question 407-16(2) Fuel Price Regulations
Oral Questions

Thebacha

Michael Miltenberger

Michael Miltenberger Minister of Finance

Mr. Speaker, we’ll note the Member’s concern. I think we’re down to less than two weeks now before the election. The issue of the economy and the cost of living has become one of the major themes in the election, and the Premier as well has heard the concerns. We’ll talk about this and how to best approach that particular issue when we have our next gathering tomorrow morning.

Question 407-16(2) Fuel Price Regulations
Oral Questions

The Speaker

The Speaker Paul Delorey

Thank you, Mr. Miltenberger. Final supplementary, Mr. Ramsay.

Interjection.

Question 407-16(2) Fuel Price Regulations
Oral Questions

The Speaker

The Speaker Paul Delorey

Thank you. Oral questions. The honourable Member for Weledeh, Mr. Bromley.

Question 408-16(2) Cost Of New Tax Collection Efforts
Oral Questions

Bob Bromley

Bob Bromley Weledeh

Thank you, Mr. Speaker. The Minister of Finance can stay standing if he’d like.

My question is on revenue options. Specifically, in this case, one of the things I always hear back when I’m trying to come up with innovative ideas is that the cost of tax collection is prohibitive. Right now the federal government collects our taxes for us. If we take it on, is the Minister investigating what the actual cost of that tax collection would be so that we can make an informed judgment on whether that’s a valid response or not?

Question 408-16(2) Cost Of New Tax Collection Efforts
Oral Questions

The Speaker

The Speaker Paul Delorey

Thank you, Mr. Bromley. The honourable Minister of Finance, Mr. Miltenberger.

Question 408-16(2) Cost Of New Tax Collection Efforts
Oral Questions

Thebacha

Michael Miltenberger

Michael Miltenberger Minister of Finance

Thank you, Mr. Speaker. We’re considering, as we look at potential taxes that were laid out in the options paper, that the new ones would probably require new legislation. As well, depending on which tax it is, it would require a new collection and administration. So, yes, those are issues that we have to factor in and subtract from the potential gains from those types of taxes.

Question 408-16(2) Cost Of New Tax Collection Efforts
Oral Questions

Bob Bromley

Bob Bromley Weledeh

I’m hoping that this side of the House will be able to see the results of that exercise too. Is the Minister looking into revenue options that were not in the revenue options paper? Are his officials looking into other options perhaps as a result of the round table? If so, what are they?

Question 408-16(2) Cost Of New Tax Collection Efforts
Oral Questions

Thebacha

Michael Miltenberger

Michael Miltenberger Minister of Finance

We’re reaching out to Northerners for all and any advice they would care to give us. For example, the Territorial nominee program for immigration was not specifically listed, I believe, in the options paper. It’s something that we’ve been discussing. Same with the better application of the socio-economic agreements to the mines to get fly in workers to actually live in the North. So, yes, we’re looking for all ideas that could help lead to that.

In the two day round table there was significant longer term discussion about how we better market the Northwest Territories, how we sell the great advantages, how we list things and let people know about health programs for seniors and social or financial assistance for students. They have given us advice and identified issues we know are issues; for example, housing for staff in communities.

The exercise was positive enough that all the members present agreed

and I committed to this

that we would meet from now on for the life of

this government at the same time next year here in Yellowknife. We’ll meet to go over what has been done, what the landscape is, how we move forward and how we keep factoring in that particular advice we are getting from all the folks from across the North so that we do it on a more planned, consistent way and not just when we are being squeezed for money.

Question 408-16(2) Cost Of New Tax Collection Efforts
Oral Questions

Bob Bromley

Bob Bromley Weledeh

I think the Minister semi-anticipated my next question. There are, as he mentioned, just less than a couple of weeks left. It happens to coincide almost with the federal election.

Are there any particular areas that our public should be aware of that you are interested in comments on that you have not heard from them on? This is an opportunity for our public to hear about that, and I think we’ve had some response on that. If there are any comments on how the public can best focus their comments on areas that might be most fruitful, this would be a good chance to hear about it. Thank you.

Question 408-16(2) Cost Of New Tax Collection Efforts
Oral Questions

Michael Miltenberger

Michael Miltenberger Thebacha

The area that is of most interest, the preferred vehicle for everybody we talked to, is the area of new revenue that is not going to come from taxes. The things we have talked about are in terms of the population growing carefully and developing revenue streams in a broadened economic base. For example, the Minister of ITI would be glad to talk to you about the recent diamond cutting operation that has set up an operation in Yellowknife. It is an opportunity that has been realized.

Those are the types of things that I think people are keenly interested in. They tell us as well as the government to control our cost, which, as I have indicated in my fiscal update, we are planning to do.

Question 408-16(2) Cost Of New Tax Collection Efforts
Oral Questions

The Speaker

The Speaker Paul Delorey

Thank you, Mr. Miltenberger. Time for question period has expired. Mr. Bromley will have a final supplementary.

Interjection.

Question 408-16(2) Cost Of New Tax Collection Efforts
Oral Questions

The Speaker

The Speaker Paul Delorey

Thank you. The honourable Member for Great Slave, Mr. Abernethy.