This is page numbers 1593 to 1630 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 capital.

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Tabled Document 93-16(2) Northwest Territories Capital Estimates 2009–2010
Consideration in Committee of the Whole of Bills and Other Matters

David Ramsay

David Ramsay Kam Lake

Again, I’m just having a little bit of trouble understanding how you can award a contract that hasn’t been approved by the House. Anyway, I guess it’s just a funny thing when you’re negotiating what would appear…. I mean, nobody has yet told me what exactly it’s going to cost. There have been numbers thrown around, anywhere between $120 million and $140 million.

If I could, I’d just provide a recommendation, if you will. This is a project for which we need to expedite the process; we need to find out exactly what we’re building and put a cap on it before it grows in cost any more than it already has. I would put this at the top of the priority list. When you’re going out there and trying to get a project completed, let’s dot the i’s, cross the t’s and do whatever you can to make sure that this project doesn’t increase in cost by any more millions of dollars. I haven’t heard anybody tell me exactly what it’s going to cost, because I don’t think anybody knows. Mr. Chairman, I think we should know, and we should try to nail it down and get it done.

Tabled Document 93-16(2) Northwest Territories Capital Estimates 2009–2010
Consideration in Committee of the Whole of Bills and Other Matters

Michael Miltenberger

Michael Miltenberger Thebacha

Mr. Chairman, we have a very clear, specific figure that’s been agreed

to, but the contracting process has not been concluded. Therefore, we have to respect the confidentiality of that process until the final documents have been signed. Once those documents have finally been signed, we would be very willing to share that number with the committee. Thank you.

Tabled Document 93-16(2) Northwest Territories Capital Estimates 2009–2010
Consideration in Committee of the Whole of Bills and Other Matters

The Chair

The Chair Glen Abernethy

Thank you, Minister Miltenberger. Mrs. Groenewegen.

Tabled Document 93-16(2) Northwest Territories Capital Estimates 2009–2010
Consideration in Committee of the Whole of Bills and Other Matters

Jane Groenewegen

Jane Groenewegen Hay River South

Okay; I’m going to jump in on this one here. Mr. Miltenberger says we have a very clear price we have agreed to. Is the very clear price we have agreed to the price that was authorized? Was it the dollar amount that was authorized that was approved by this House that somebody — I don’t know; Mr. Roland? — just referred to and said it was approved in last year’s budget? Is it the same amount?

Tabled Document 93-16(2) Northwest Territories Capital Estimates 2009–2010
Consideration in Committee of the Whole of Bills and Other Matters

The Chair

The Chair Glen Abernethy

Thank you, Mrs. Groenewegen. Minister Miltenberger.

Tabled Document 93-16(2) Northwest Territories Capital Estimates 2009–2010
Consideration in Committee of the Whole of Bills and Other Matters

Michael Miltenberger

Michael Miltenberger Thebacha

Thank you, Mr. Chairman. It’s within the appropriation.

Tabled Document 93-16(2) Northwest Territories Capital Estimates 2009–2010
Consideration in Committee of the Whole of Bills and Other Matters

Jane Groenewegen

Jane Groenewegen Hay River South

It’s within the appropriation. This is really getting confusing. Earlier today Mr. Lafferty said the contract for the Inuvik school has been awarded. Mr. Miltenberger says a very clear price has been agreed to. I’m sure there was a very clear price agreed to when we approved the budget last year for this particular capital project. Was the amount agreed to in the award of the contract the same as what this House voted to approve? Yes or no? Thank you.

Tabled Document 93-16(2) Northwest Territories Capital Estimates 2009–2010
Consideration in Committee of the Whole of Bills and Other Matters

Michael Miltenberger

Michael Miltenberger Thebacha

The number that’s in the capital plan of $115.365 million, the number that’s been agreed to, though not finally signed off by the Government of the Northwest Territories, is within that appropriation.

Tabled Document 93-16(2) Northwest Territories Capital Estimates 2009–2010
Consideration in Committee of the Whole of Bills and Other Matters

Jane Groenewegen

Jane Groenewegen Hay River South

Was the amount agreed to in last year’s capital plan and budget for the entire $115 million, or was it for a portion of that?

Tabled Document 93-16(2) Northwest Territories Capital Estimates 2009–2010
Consideration in Committee of the Whole of Bills and Other Matters

Michael Miltenberger

Michael Miltenberger Thebacha

Last year was for a portion of that $115 million.

Tabled Document 93-16(2) Northwest Territories Capital Estimates 2009–2010
Consideration in Committee of the Whole of Bills and Other Matters

Jane Groenewegen

Jane Groenewegen Hay River South

So in fact, then, Mr. Chairman, the amount that was indicated in the contract that has been awarded, which is a very clear amount, has not been approved by this House.

Tabled Document 93-16(2) Northwest Territories Capital Estimates 2009–2010
Consideration in Committee of the Whole of Bills and Other Matters

Michael Miltenberger

Michael Miltenberger Thebacha

It’s subject to approval by the House.

Tabled Document 93-16(2) Northwest Territories Capital Estimates 2009–2010
Consideration in Committee of the Whole of Bills and Other Matters

Jane Groenewegen

Jane Groenewegen Hay River South

I’m sorry; I didn’t hear that. It wasn’t very loud. It is subject to the approval of this House. Is that what he said?

Tabled Document 93-16(2) Northwest Territories Capital Estimates 2009–2010
Consideration in Committee of the Whole of Bills and Other Matters

The Chair

The Chair Glen Abernethy

Thank you, Mrs. Groenewegen. Yes, that’s what he said. Mr. Aumond.

Tabled Document 93-16(2) Northwest Territories Capital Estimates 2009–2010
Consideration in Committee of the Whole of Bills and Other Matters

Aumond

Thank you, Mr. Chair. All of our construction contracts have a clause in there that they are subject to approval by the House. The appropriation must be approved by the House. That’s a subject to clause. This project is no different. It’s subject to the approval of the House in the plan before you today.

We have awarded and we gave a letter of award for the contract on the project. We have not signed a contract with the contractor as there are still details to be worked out. But this contract, like any other, is subject to approval of this House. Thank you.

Tabled Document 93-16(2) Northwest Territories Capital Estimates 2009–2010
Consideration in Committee of the Whole of Bills and Other Matters

Jane Groenewegen

Jane Groenewegen Hay River South

Okay. So if this House does not approve this appropriation and this contract has already been awarded, what position does this government find itself in if we do not proceed with this contract that’s been awarded? If we do not agree to the appropriation for this project, what kind of exposure have we got?

Tabled Document 93-16(2) Northwest Territories Capital Estimates 2009–2010
Consideration in Committee of the Whole of Bills and Other Matters

Aumond

We have not signed a contract with the contractor, so we have no exposure to the contractor.

Tabled Document 93-16(2) Northwest Territories Capital Estimates 2009–2010
Consideration in Committee of the Whole of Bills and Other Matters

Jane Groenewegen

Jane Groenewegen Hay River South

So we have awarded the contract, but we haven’t signed the contract. You know, this is kind of a fine line here. Does the awarding of the contract in any way legally bind this government to this contract in the absence of the actual appropriation of the money approved in this House?

Tabled Document 93-16(2) Northwest Territories Capital Estimates 2009–2010
Consideration in Committee of the Whole of Bills and Other Matters

Tabled Document 93-16(2) Northwest Territories Capital Estimates 2009–2010
Consideration in Committee of the Whole of Bills and Other Matters

Jane Groenewegen

Jane Groenewegen Hay River South

The details that the Minister and the deputy minister referred to that need to be worked out: are there dollar and value issues associated with those details?

Tabled Document 93-16(2) Northwest Territories Capital Estimates 2009–2010
Consideration in Committee of the Whole of Bills and Other Matters

Michael Miltenberger

Michael Miltenberger Thebacha

The issues are to do more with issues tied to bonding issues and such.

Tabled Document 93-16(2) Northwest Territories Capital Estimates 2009–2010
Consideration in Committee of the Whole of Bills and Other Matters

Jane Groenewegen

Jane Groenewegen Hay River South

Just as a matter of process, who would have signed off on the award of this contract?

Tabled Document 93-16(2) Northwest Territories Capital Estimates 2009–2010
Consideration in Committee of the Whole of Bills and Other Matters

The Chair

The Chair Glen Abernethy

Thank you, Mrs. Groenewegen. Mr. Aumond.

Tabled Document 93-16(2) Northwest Territories Capital Estimates 2009–2010
Consideration in Committee of the Whole of Bills and Other Matters

Aumond

Thank you, Mr. Chair. We gave a letter of award. We did not sign off on the award of the contract. It’s a standard practice to us when we come to an agreement on the fundamental aspects of a contract that we provide a letter of award — it’s like a letter of intent when you’re entering into a lease — subject to working out all the terms and conditions of the contract, which we have not yet done, which is why we have not yet signed the contract.

Tabled Document 93-16(2) Northwest Territories Capital Estimates 2009–2010
Consideration in Committee of the Whole of Bills and Other Matters

Jane Groenewegen

Jane Groenewegen Hay River South

Did the letter of award subject to working out the details also include subject to the approval of this House, and did that letter of intent include a dollar value, and are we capped at that dollar value?