This is page numbers 183 to 200 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 programs.

The House met at 1:30 p.m.

Prayer.

The Speaker

The Speaker Paul Delorey

Good afternoon, colleagues. Welcome back to the House.

Item 2, Ministers’ statements. Mr. Roland.

Floyd Roland

Floyd Roland Inuvik Boot Lake

Mr. Speaker, I would like to review the government’s recent fiscal history and describe why we need to take action to bring our spending back in line with our revenues.

The fiscal situation we currently face is not new. Four years ago the 2004 budget showed that action was necessary to achieve a sustainable fiscal position. Action was taken early in the previous government. Budgets presented during the 15th Legislative Assembly were consistent in their message that the G.N.W.T.’s fiscal strategy must be sustainable. But demands on our operating expenditures continued to eat into our revenue base and erode our ability to fund badly-needed infrastructure.

Throughout the 15th Legislative Assembly the long-

term structure of the Territorial Formula Financing arrangements, which are the majority of G.N.W.T. revenues, was uncertain, and the Government of the Northwest Territories was hopeful that a resource-revenue-sharing agreement was imminent. While the G.N.W.T. made some expenditure reductions, it chose not to undertake significant restructuring of spending until the longer term Territorial Formula Financing arrangements were established.

Although the 2007 budget forecast a $44 million operating surplus for 2007-2008, it also showed that without change, the G.N.W.T. would run operating deficits for the remainder of the planning

period as expenditures outpaced revenues, and we would be almost $300 million in debt by 2009-2010. This meant that capital investment would need to be curtailed to meet the government’s fiscal responsibility policy.

We now know what our formula financing arrangements will be for the foreseeable future. New arrangements established by Canada in 2007 provide a predictable, principle-based funding source for our government. These arrangements will not change in the near future. We are not expecting additional revenues beyond those already provided for in the current arrangements.

We continue to pursue devolution and resource revenue sharing with Canada, but we must be realistic and recognize that we cannot build budgets around money we do not yet have. Despite higher amounts in previous years, the 2006-2007 federal public accounts show royalties flowing to Canada from the N.W.T. were only $34 million. According to the proposal outlined in the last federal budget, we would have received only $17 million in resource revenues for that year. Even in the longer term, resource revenues alone will not solve our fiscal challenges.

We are looking at limited revenue options as part of our fiscal strategy, but we know that we cannot solve our fiscal situation solely by increasing taxes on N.W.T. residents and businesses. We must live within our means.

The fact is, Mr. Speaker, without action our spending will continue to grow faster than our revenues. Rather than running the operating surpluses we need to help finance our investments in badly needed infrastructure, we will be running operating deficits and borrowing to pay for our day-to-day expenses. If our expenditures grow at the rate they have over the last four years, by the end of 2011-2012 this government will be $527 million in debt. And along the way we would have no money to invest in the new directions needed to achieve the vision and goals set by this Assembly. Later today I will table a document with information on the fiscal picture presented in recent budgets and on the fiscal responsibility policy of the G.N.W.T.

Mr. Speaker, we have already set out the planning targets to pursue a sustainable fiscal strategy for the Northwest Territories. We have not set out to simply reduce our spending; we have set out to find different ways of doing business and delivering programs and services more effectively so we can reinvest in the priority areas identified by this Assembly.

I look forward to working with Members to ensure our priorities are met. Quyanini.

The Speaker

The Speaker Paul Delorey

Before I go on, I’d like to draw your attention in the public gallery to the presence of Ms. Lena Pedersen, former Member of this House and first elected female Member.

Jackson Lafferty

Jackson Lafferty Monfwi

Mr. Speaker, this Legislative Assembly has placed a priority on building community human resource capacity with an emphasis on trades and entrepreneurial skills. February 4 through 8 is Apprenticeship and Occupational Certification Week, a time when we encourage Northerners to consider careers in trades and occupations and to celebrate the successes of apprentices and occupational workers in the Northwest Territories.

In 2006-2007 the Northwest Territories certified 15 people in designated occupations; 77 Northerners achieved journeyperson status, and 50 of these individuals achieved their red seal, inter-provincial status.

This year there has also been increasing success in pre-employment programs, such as the Warehouse Technician, Oil and Gas, Mineral Processing Operators Training, Environmental Monitor, Underground Miner and the Building Trades Helper programs. These programs are offered through Aurora College, in partnership with the Mine Training Society, Aboriginal Futures, and Northern industry. These programs are an important first step in drawing Northerners into careers in trades and occupations.

Throughout the month of February regional Education, Culture and Employment offices across the North will be hosting Apprenticeship and Occupational Certification Award ceremonies. Altogether 41 awards of excellence will be presented to the candidates who have shown a commitment to excellence during training in their respective trade or occupation.

With the demand for skilled workers growing across the Territories, we recognize that employers, our partners in industry, schools and Aurora College are key to the development of these workers. Without our partners’ participation, delivering trades

and occupational certification programs would not be possible. I would like to extend my thanks to all of our partners who gave their time and energy for training apprentices across the Northwest Territories.

Mr. Speaker, I encourage all members to join me in extending congratulations to all of the many new certified trades people and their employers as well as to those who are continuing their training.

Mahsi cho.

The Speaker

The Speaker Paul Delorey

Item 3, Members’ statements. Ms. Bisaro.

Wendy Bisaro

Wendy Bisaro Frame Lake

Mr. Speaker, January 27, 2008, was Family Literacy Day, and I hope that all Members read with or to a loved one on that day.

The N.W.T. Literacy Council is a non-profit, registered charitable organization and has been promoting and advancing literacy development in all N.W.T. official languages for many years. They do this through training, research and the delivery of programs.

Forty-two per cent of N.W.T. adults function at a literacy level that is lower than that considered necessary for full participation in family, community and work life. That’s almost half of our population, Mr. Speaker. Survey results also show an unacceptable gap in literacy levels between aboriginal and non-aboriginal adults.

Improved literacy can positively affect our residents in many areas. It will increase economic success to reduce public spending on health and other support systems, and it will help to preserve culture. A 1 per cent rise in literacy scores creates a 2.5 per cent increase in an individual’s productivity level. Increased productivity leads to economic growth, and that benefits society as a whole.

During our strategic planning sessions in November last, Members often spoke of community and family and the need for community to build from the bottom up. One of the ways we can do that is by improving literacy and numeracy skills, especially in our youth and unemployed. Residents with an acceptable level of literacy skills lead more productive lives. They feel better in terms of both work and play. Their family relationships are more stable, and they contribute more to the community. All of this serves to benefit and increase community productivity and growth.

The N.W.T. Literacy Council works on behalf of N.W.T. residents but with limited funds, a portion of

which come from the Government of the Northwest Territories. Suffice to say that the government gets very good value for the few dollars that the Literacy Council gets.

As this Assembly strives to advance the goals and priorities set last year, I hope that the government will recognize the importance of this organization and the good work they do, and that it will support the N.W.T. Literacy Council with adequate and consistent long-term funding. Our residents, our communities, our economy will be much better off for it.

The Speaker

The Speaker Paul Delorey

Thank you, Ms. Bisaro. Before I go on, I’d like to draw Members’ attention to the gallery and the presence of the Chief of the Tlicho community of Behchoko and former Member of the 14th Legislative Assembly: Mr. Leon Lafferty is in

the gallery.

Jane Groenewegen

Jane Groenewegen Hay River South

Mr. Speaker, again I listened to the media this morning, and I heard reference to the slashing of government spending. I want to attempt to bring my own description of what is going on to the public from a Member’s perspective.

Members were elected to the 16th Assembly. As

with all Assemblies I’ve been a part of, our first task was to get together and talk about our priorities and things that we would like to see accomplished during our term in office. It’s the perfect time to do that, after we’ve just been through campaigns where we heard from a lot of people. We called those strategic priorities.

Then comes the task of determining if those priorities are being met by the current programs and services undertaken by government. Running parallel to that exercise is the growth of government spending exceeding increases on the revenue side of the page. Whether the 16th Assembly has any

priorities or even if we retain the status quo of government, the growth occurring is not sustainable. The question, then, is: how do we control that growth in spending while at the same time ensuring that our limited but substantial resources are going toward programs and services that are going to benefit Northerners the most and bring the most positive results?

To that end, MLAs, the cabinet and senior management of government all have a role to play. Do the projects and programs on the books reflect the current priorities of the people that we represent? All of this in an environment which is not static. For the fluid review of expenditures all within our fiscal realities, in a perfect world that might require more than a four-year mandate, and we

could embark on things like a department-by-department review process. But we only have a four-year mandate in which we would like to make a difference and not leave the government broke or at our debt limit.

If we know we have to reduce our spending by a certain amount, what is the best way to achieve that? Obviously, not by setting arbitrary targets based on each department’s share of the overall budget. If I were the Premier, in the interest of fiscal responsibility, I would attempt to engage everyone in a dialogue to identify areas of waste, limited results and low priority. The old style of across-the-board reductions is too dangerous. Changes need to be made, but those changes need to be carefully analyzed, and that takes time.

I’m not happy about the way our intentions have been communicated. This is a process in which we need buy-in from the public. I don’t believe people in the public service would find fault with a process which made government spending more effective, efficient and targeted.

I would like to seek to unanimous consent to conclude my statement.

The Speaker

The Speaker Paul Delorey

The Member is seeking unanimous consent to conclude her statement.

Unanimous consent granted.

Jane Groenewegen

Jane Groenewegen Hay River South

In conclusion, we didn’t get out ahead of the process in our messaging, and the targets, although intended to be very tentative, have created a backlash. Everyone elected here to this Assembly came here to represent the interests of their constituents and the Territory in the very best way possible. I don’t blame the media for misunderstanding our intentions, because it’s our job to communicate, not to blame others for coming up with their own interpretations when we fail to do so.

I want to spend the money we have wisely, I want to make new investments where we can, and I don’t want the government to waste money. I encourage anyone who has an idea about where the government can save money, and spend it better in different ways, to e-mail your MLA today and tell us what you think.

I also encourage the public service to partner with us in this exercise. You probably have some of the best ideas, because you work in the government every day.

David Krutko

David Krutko Mackenzie Delta

My statement today is dealing with the new housing rollout, the new housing program that

was implemented in regard to CARE, HELP, PATH and STEP. I think it’s important to realize that it is a rollout. A lot of members in my constituency have raised concerns in regard to accessing these programs and services and also being informed on what the status of their applications is.

I think it’s important that we ensure that we do have ongoing dialogue with our constituents, homeowners and people applying for programs. But more importantly, I think there’s a time for us to consider looking at implementing a program that allows communities to deliver these programs and services within their communities and through the regional centres. I know an effort was made in the previous government by implementing community liaison officer positions to assist in explaining programs and services, to help with maintenance of programs. But again, even the elders fall through the cracks when it comes to assisting them with the maintenance program to ensure that they can continue to remain in their homes.

I for one feel that this government has to have a reporting mechanism — either publicly, through the newspapers, or even through this House — on where the programs and services we deliver are, what the income of those programs is, what the status is of these programs, but more importantly, who is accessing these programs.

At the appropriate time I will be asking the Minister Responsible for the Housing Corporation, who is responsible for this, exactly what they are doing to not only educate the public but to also make this program more publicly sound and ensure the public is involved in the layout of this program and also able to access these programs.

Deh Cho Bridge Project
Members’ Statements

David Ramsay

David Ramsay Kam Lake

I want to speak today about access to information on the Deh Cho Bridge project. I would like to thank the Minister of Transportation’s office, which recently advised me that the cost-benefit analysis of the project is actually posted on the Department of Transportation’s web site. Someone should tell the Premier, who also happens to be the Finance Minister, where that’s at so he can have a look at it.

The document itself looks like it was co-written by the departmental staff, who have injected every possible benefit into its conclusion. Is this the detailed, up-to-date analysis that the Minister and the Premier have told Members about? Certainly, at $160 million, this project would and does deserve much, much more detailed analysis than what’s included on that web site.

Now on to the concession agreement, which is the master agreement signed between the Deh Cho

Bridge Corporation and the G.N.W.T., which arranges for the

development, the design, the

construction, the operation, maintenance and management of the bridge. This agreement was signed by the last government three days before the election, committing the G.N.W.T. to the

project.

I’ve asked for a copy of this agreement numerous times, because I want to see exactly what we’re committing ourselves to, what we have negotiated in the agreement and where our potential liability may rest.

I believe the Members of this Legislative Assembly have every right to see this document. Why is the government so reluctant to provide Members with a copy of the agreement? Is there something in there that they just don’t want us to see?

Mr. Speaker, one option I will be entertaining is looking into getting this Assembly to subpoena the document so that we can see exactly what we are committing ourselves and every government for the next 35 years to. The former Premier promised Members that we would be given the information about the concession agreement

prior to the

government signing it. Obviously, that did not happen, and this government seems intent on charting the same course of secrecy on the agreement. The Deh Cho

Bridge Corporation,

which the last government signed the agreement with, was to have deemed equity of $5 million. I’m still not certain how any government could sign into an agreement with a corporation by just deeming them equity. I wish someone would deem me $5 million in equity, Mr. Speaker.

At this time I’d like to seek unanimous consent to conclude my statement.

Deh Cho Bridge Project
Members’ Statements

The Speaker

The Speaker Paul Delorey

The Member is seeking unanimous consent to conclude his statement.

Unanimous consent granted.

Deh Cho Bridge Project
Members’ Statements

David Ramsay

David Ramsay Kam Lake

Thank you, Mr. Speaker.

The Deh Cho Bridge Corporation still, as I mentioned yesterday in my statement, does not have $5 million in equity. And things have changed now in the make-up of the equity stake in the Deh Cho Bridge Corporation. I want to ensure that our legal experts are going over these agreements with a fine-tooth comb to ensure that our liability is minimized.

At the appropriate time today I will have

questions again for the Premier. Mahsi.

Tom Beaulieu

Tom Beaulieu Tu Nedhe

I’d like to talk about the issue that many of my constituencies as well as many others across the N.W.T. are facing today: the issue of the

public housing rental subsidy transfer to Education, Culture and Employment.

Since the time of the transfer of the public housing rental subsidy in April of 2006 from the N.W.T. Housing Corporation to the Department of Education, Culture and Employment, local organizations have been experiencing operational problems and the tenants have been getting more and more frustrated.

For example, Mr. Speaker, Income Security has not been getting the tenants’ rental subsidy assessments done in time for an accurate assessment of the tenants’ rent. Many tenants do not know their rent until long after the first of the month. Most of these tenants are already surviving on a tight budget, and the last thing they need is to fall behind in their rent. This results in more tenants failing to pay their rent, with no way of catching up. This forces the local organizations to file termination orders against the tenants. Applications by local housing organizations to the rental office have increased, in some cases, ten times more when compared to the old system.

It is not sufficient for Income Security to say rent is economic rent. If the tenants do not report this income, Income Security should ensure the tenants do report this income by working with them, considering that public housing is usually a last resort for accommodation in many of our small communities.

Under the new system both the tenants and the LHOs are clearly frustrated with the quality of service provided by Income Security. As an example of this frustration, in one LHO alone, tenants’ rent accounts receivables have increased from $18,000 to $185,000 in one fiscal year.

The LHOs were created to operate at a community level for direct personal contact with tenants for all their housing needs. The new system has taken this full and effective service out of the public housing system and moved it into a system that has caused nothing but confusion, frustration and stress for both the local housing organizations and the tenants.

The new system is not working, plain and simple. With cutbacks and responsible governance being a priority of this new government, we cannot afford to let this problem drag on any further.

Kevin A. Menicoche

Kevin A. Menicoche Nahendeh

[English translation not provided.]

Mr. Speaker, I am sure that you've seen the media reports of the eviction of a family from public housing last month at Fort Liard. A family of five

was evicted from public housing during one of the coldest months of the year for falling behind in their rent. I am sure you're thinking, Mr. Speaker, that the family must have owed a lot of rent money for such drastic action to be taken. But sadly, this family was evicted from their house for owing just over $1,000.

What has happened to the family? Thankfully, their respective families have stepped up and provided a place to stay for the short term. However, nobody had the space for the family to stay together, so our policies have split up this family and inconvenienced two other families, and subjected the children to teasing by their peers at school — pretty dire consequences for $1,000.

And to really make sure that this family will not be able to get on their feet any time soon, the costs for the rental officer and the Sheriff’s office related to this eviction have been added to their existing bill, and they now owe well over $2,500.

One simple thing that is getting lost in evicting people from public housing is that one way or another, the G.N.W.T. is going to incur costs, through increased social assistance payments for the families to rent a place on the open market, or for downstream costs related to the upkeep of the families. This leaves a bitter taste in my mouth, like wasabi sauce.

I know that we need rules. I know that people living in public housing are expected to pay their fair share for their housing. But as an MLA, I also know that I expect the delivery or withholding of government programs and services to be based on common sense. Just shuffling families between income assistance programs doesn't address the core issues and doesn't save the government any money at the end of the day. Mahsi cho.

Bob McLeod

Bob McLeod Yellowknife South

Mr. Speaker, yesterday I spoke on the rate increase in the NWTPC and the strain it was causing to the residents of Inuvik. I'd like to speak to another subject today that's also causing some strain to the residents of Inuvik.

We had a meeting earlier this year, and we were informed that our supply of fuel didn't make it into the community and that fuel was going to have to be trucked in. This happened a couple of times before, but what we were told at the meeting was that the cost was going to be passed on to the consumers, the residents of Inuvik, and that's where I have an issue. We heard, “It was their fault, their fault.” They're pointing fingers back and forth. The bottom line is, I don't care whose fault it is. What I care about is the costs being passed on to

the people that we represent, and that's what my main concern is in this whole thing.

The attitude of one of the two people who were blaming each other is, “If they don't like it, they don't have to live there.” We've lived there all our lives, and we're not going to move out of there because the price of fuel went up. That's a rotten attitude to have.

What I care about are the seniors that pay their own fuel that are hit with an additional cost. I have an example here, where the cost of fuel for one senior paying his own fuel went up 30 per cent in one year. That’s in addition to the 15 per cent I talked about yesterday.

I said yesterday, Mr. Speaker, they’re trying to price us out of the N.W.T., but it’s not going to happen. And I really don’t care whose fault it is. I want these outfits to resolve their issues amongst themselves and not pass the extra cost increase on to the consumer, Mr. Speaker. Again, we had nothing to do with it, yet we’re the ones who are having to pay the extra costs of trucking all this fuel in Inuvik over the Dempster Highway. I hope they have a safe trip up.

Mr. Speaker, you know, the senior who has to pay his own fuel…. It’s a burden on them, and this is a burden on the government. We have an obligation, Mr. Speaker. Even though this is all private enterprise, I believe this government has an obligation to protect the residents in Northwest Territories from situations like this. I’ve always been a big supporter of the pipeline, Mr. Speaker. But more and more I see the attitude of some of the proponents. I’m starting to wonder if that’s the right attitude to have.

Bob Bromley

Bob Bromley Weledeh

Mr. Speaker, our Premier and Minister of Finance has indicated that as a government, our rate of spending is increasing faster than our rate of revenue intake. Clearly, a remedy is needed. We can make cuts, and we must find ways to increase our revenues. But, Mr. Speaker, I would like to suggest there is a third way.

All Members of this Assembly and, indeed, all people who pay bills, have seen a steep and rising increase in the cost of energy, particularly fossil fuels such as fuel oil, diesel and propane. In those communities where electricity generation depends on diesel generators, there has been a parallel increase in the cost of electricity, as clearly highlighted yesterday by my colleagues Mr. Krutko, Mr. McLeod and Mr. Menicoche.

Mr. Speaker, this government has significant infrastructure and numbers of staff in every community of the Northwest Territories. I see this as an opportunity to make progress on several fronts. As possibly the largest single non-human cost this government faces, energy costs provide an opportunity for major savings. Organizations large and small have proven that just by changing the ways we use energy, savings of between 10 and 30 per cent can be achieved. Families that face crippling utility bills react effectively when informed and motivated. I know individuals and institutions here in the N.W.T. who have reduced their electrical bills by greater than 20 and 30 per cent through their own awareness and action. They’ve done it, and we can do it too.

Besides cutting waste, reductions in energy costs will reduce greenhouse gas emissions and contribute to our efforts to mitigate climate change — one of the most urgent challenges we face. But most immediately relevant to our focus on budgets, finances and trying to do more with less, saving money otherwise spent on energy also means the chance to live within our means without suffering job loss.

We have an innovative and committed workforce of thinking people who would love the chance to show their merit. Mr. Speaker, let’s use this opportunity to challenge our dedicated public service and see what we can do together. Let’s ask for ideas and suggestions from our own public servants on energy savings in government activities and workplaces and, in the process, save jobs, mitigate climate change and develop our workplace morale.

Mr. Speaker, I ask permission to conclude my statement.

The Speaker

The Speaker Paul Delorey

The Member asks for unanimous consent.

Unanimous consent granted.

Bob Bromley

Bob Bromley Weledeh

Mr. Speaker, repeatedly pointing out the obvious to this government with little apparent uptake at this important early decision-making stage is frustrating. In fact, I’m amazed at some of the ongoing archaic thinking on energy and economic issues, thinking that will raise our cost of living and further damage our local economy as well as hugely benefitting the few and increasing migrant workers.

How clear do we have to make it, Mr. Speaker? Save fossil fuel, save money, promote local energy, reduce greenhouse gas emissions, grow our local economies, give people meaningful work and enjoy the social benefits.

Mahsi.

Robert Hawkins

Robert Hawkins Yellowknife Centre

During the 15th Assembly I raised

the issue of vacant or ghost positions within the public service and the fact that funding for these unstaffed positions is included in departments’ budgets. I recognize that many of these vacancies are short-term, but in some instances these positions are left unfilled for long periods of time, and the funding is then used at the discretion of the department. Sometimes that money evaporates into the abyss.

I have two concerns today about these unfilled positions that I wish to highlight. My first one is accountability. Members review and approve the departmental budget with the understanding that the money will be spent according to the budget information provided. I am concerned that these funds may be spent without approval from Members of this House.

My second concern is that at this time, when we are facing serious spending reductions, it is paramount we maximize our resources. Examining the funded but yet unfilled positions needs to be reviewed, and that could go a long way to mitigate some of the effects. So we must look for inefficiencies to avoid any serious ripple effect. We need to be selective when picking from the blueberry patch, Mr. Speaker.

Our government has spent, in past years, like we are living in a dream of gluttony. We must be prepared for and careful about what pound of flesh we demand out of our public service or out of our system in general. I support the course correction, but I do not want a flashback of the Todd days in the ‘90s. Mr. Speaker, I say to the Premier, heed my warning and engage Regular Members. Again I say heed my warning; engage Regular Members early or prepare your few coins for the ferryman, as he is starting to dock for you.

Thank you, Mr. Speaker.

Glen Abernethy

Glen Abernethy Great Slave

It has recently come to my attention that the G.N.W.T. does not offer a palliative care benefits program for Northern residents who have been declared or diagnosed palliative by their physician. Palliative patients are those patients who have reached the end stages of a life-threatening disease or illness and require a variety of medications in order to maintain their comfort, and control pain during the last stages of their illness.

Currently, Northern residents who have been diagnosed as palliative may be covered through the

G.N.W.T.’s Extended Health Benefits Program. This is a good program and provides coverage for Northern residents for a wide variety of conditions, including palliative care patients.

Unfortunately, it is limited when it comes to palliative patients. Many of the medications palliative patients require for management of pain are not automatically benefits under the Extended Benefits program. These required medications can be added as a benefit for patients; however, the application process can be quite long. The net result is that palliative patients will either have to go without comfort management prescriptions until they receive approval from the Extended Health Benefits Program, or pay out of their own pockets until they can be reimbursed once their Extended Health application for the prescribed medication is approved.

This seems unreasonable. Palliative patients should not have to wait for the care that will allow them to live their remaining days in comfort and as they choose. Most southern jurisdictions already have the palliative care benefits programs which are expedited in order to reduce wait times for palliative patients. For example, Albertans are guaranteed a 16–24-hour turn-around time for approval, and they often provide them immediately.

Residents of the N.W.T. who have been diagnosed as palliative deserve more than the wait times they currently face. As a government we need to ensure that no additional barriers are placed on the care and comfort and pain management of these individuals during their last days. We need a palliative care benefits program.

Mr. Speaker, later this afternoon I’ll be asking the Minister Responsible for the Department of Health and Social Services questions concerning palliative care benefits programs for residents of the Northwest Territories.

The Speaker

The Speaker Paul Delorey

Item 4, reports of standing and special committees. Item 5, returns to oral questions. Item 6, recognition of visitors in the gallery. Mr. Lafferty.