This is page numbers 2333 – 2388 of the Hansard for the 17th Assembly, 4th 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 community.

Topics

Robert Hawkins

Robert Hawkins Yellowknife Centre

Thank you. Maybe the Minister forgets his role. Quite frankly, the department is in charge of the project, the department is paying for the project. Maybe my next question to the manager of this project is: Who is in charge of the construction of the Inuvik-Tuk highway and who will be responsible for the quality of work?

David Ramsay

David Ramsay Kam Lake

That would be the Department of Transportation.

The Speaker

The Speaker Jackie Jacobson

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

Robert Hawkins

Robert Hawkins Yellowknife Centre

Thank you, Mr. Speaker. Well, now that we’ve narrowed down that the Department of Transportation is Bob the Builder on this particular reference, what innovative construction techniques have been found by the Department of Transportation to ensure that this highway will be built and maintain a decent standard? I liken it to Highway No. 3 as we’ve all seen fall apart over the years after and even during its building.

David Ramsay

David Ramsay Kam Lake

I believe it was the same Member who was critical of the $12 million spent to date trying to plan the highway, employing local knowledge, getting that work done on the geotechnical side to ensure that best practices are

followed, that we know where the granular sources are so that we can build the best road that we possibly can in that environment.

The Speaker

The Speaker Jackie Jacobson

Thank you, Mr. Ramsay. The honourable Member for Yellowknife Centre, Mr. Hawkins.

Robert Hawkins

Robert Hawkins Yellowknife Centre

Thank you, Mr. Speaker. The Government of the Northwest Territories has proposed a $299 million construction project that we all know is the Inuvik to Tuktoyaktuk Highway Project. What is the Government of the Northwest Territories proposal on commitment on spending division? In other words, we had a 75/25 plan spoken about before. Is that the same proposal being forwarded to the federal government?

The Speaker

The Speaker Jackie Jacobson

Thank you, Mr. Hawkins. The honourable Minister of Transportation, Mr. David Ramsay.

David Ramsay

David Ramsay Minister of Transportation

Thank you, Mr. Speaker. When we get a response back from the federal government, we’ll be sure to share it with Members. As soon as we get word back from the federal government. Our ask was 75/25 and that’s the ask that went to the federal government.

Robert Hawkins

Robert Hawkins Yellowknife Centre

In order to ask for the $299 million, the Government of the Northwest Territories must have a plan. Knowing that no project has been under budget, or even at budget, what is the territorial government’s plan to assess if there are overruns? That’s not a hypothetical. We need a plan in order to proceed.

David Ramsay

David Ramsay Minister of Transportation

We have a contingency. We don’t get into any project with the belief that it’s going to go over budget, so for the Member to ask questions about the what ifs, what if you go over budget, that is a hypothetical question.

Robert Hawkins

Robert Hawkins Yellowknife Centre

Knowing and understanding the project is not hypothetical. It’s part of the risk of any project.

What is the upper limit of what the territorial taxpayers can afford even if we follow the 75/25 split? Is the potential of $75 million on the taxpayer the upper limit of what they can pay for this project and will that be clear before any highway project is initiated?

David Ramsay

David Ramsay Minister of Transportation

We’re going to get word back from the federal government on the approvals for the funding agreement hopefully sometime this week. Members of this House, when the project is going to be approved, will approve this project and they’ll have all the information available to them so that they can make a decision whether or not they

support the project moving forward. That should happen, hopefully, very soon.

The Speaker

The Speaker Jackie Jacobson

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

Robert Hawkins

Robert Hawkins Yellowknife Centre

Thank you, Mr. Speaker. Part of the process of getting into bed with a project, and becoming a partner in it, and understanding the project is knowing where your upper limit is. I’m asking the government what our upper limit is on this particular project, because once it’s started, it’s too late to stop. We need to help identify these things. That’s all part of the process of our original ask, which is defining the project as almost a $300 million initiative. Clearly, the taxpayers, the citizens need to know what the government’s upper limit is, what is the cut-off point we cannot proceed with this project. It’s a simple number. It’s a simple ask. People want to know where the cut-off is.

David Ramsay

David Ramsay Minister of Transportation

As I mentioned numerous times in response to questions today about the Inuvik-Tuk highway, there are risks associated with the project. Those were shared with committee two weeks ago. As we move forward, we will be providing Members with updates. It is this Assembly that is going to ultimately make the decision on whether the project moves forward or not. All this information is going to be available to both Members and the public.

The Speaker

The Speaker Jackie Jacobson

Thank you, Mr. Ramsay. The honourable Member for Hay River South, Mrs. Groenewegen.

Jane Groenewegen

Jane Groenewegen Hay River South

Thank you, Mr. Speaker. I wasn’t going to ask any questions but I have to just not listen to another set from Mr. Hawkins. My questions today are for the Minister of ITI. It has been very well publicized that Harry Winston is becoming a larger player in the diamond mining in the Northwest Territories with interest, and potential interest, in at least two diamond companies. I’d like to ask the Minister of ITI if he is able to update this House and the public on what the status is on the purchase of the Diavik Diamond Mine at this time.

The Speaker

The Speaker Jackie Jacobson

Thank you, Mrs. Groenewegen. The honourable Minister of Industry, Tourism and Investment, Mr. David Ramsay.

David Ramsay

David Ramsay Kam Lake

Thank you, Mr. Speaker. As far as we know, the sale is moving forward. There were some legal issues earlier on but, for all intents and purposes, the sale is progressing. We have recently met with Harry Winston, soon to be Dominion Diamond Mining, and we wish them well in their pursuits in the Northwest Territories.

Jane Groenewegen

Jane Groenewegen Hay River South

Of course, because of the importance of diamond mining in the Northwest Territories to our NWT economy, I am sure we all

wish them well. When the Minister says he had a meeting with them, I have a question about what our government is saying with regard to the socio-economic agreements that were put in place with the original companies. How does that work? When we have those agreements, the mine’s up and running, we don’t have the same kind of leverage. Now we’re talking about changing hands from one owner to another.

How is the interest of the northern content, and northern employment and northern benefits in those diamond mines maintained when the operation changes hands?

David Ramsay

David Ramsay Kam Lake

The agreements would stay in place with the new owners. We’re very encouraged with what Harry Winston has been discussing with us in terms of northern workforce development and also the provision of perhaps having a rough supply here in Yellowknife for local cut and polish companies to avail themselves of. It’s all very encouraging and I think we have a lot to look forward to with Harry Winston, Dominion Diamond, being involved in the diamond industry here in the Northwest Territories. That agreement the Member spoke of will go with the sale.

Jane Groenewegen

Jane Groenewegen Hay River South

So just to be certain then, I want to confirm with the Minister, the transfer of that socio-economic agreement to the new owner, is that accomplished by any kind of legal instrument or is that just by their commitment in the way of good will?

David Ramsay

David Ramsay Kam Lake

I believe it would just be through commitment and willingness to take on that agreement.

The Speaker

The Speaker Jackie Jacobson

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