I am pleased to present the 2014-15 Main Estimates for the Department of Finance. Overall, the department’s estimates, propose an increase of $33.4 million, or 19 percent over the restated 2013-2014 estimates. Highlights of the proposed estimates include:
•
a total contribution of $83.5 million to the
Northwest Territories Housing Corporation to provide the corporation with its operating cash flow for the fiscal period, which is a 24 percent increase, or $16 million, over the previous year. The increase includes $6.75 million to expand the portfolio of market rental units and a $5 million increase for capital projects;
•
inclusion of an initial estimate of $15 million for
the transfer of 25 percent of the Government of the Northwest Territories’ net fiscal benefit from resource revenues to Aboriginal parties;
•
inclusion of $1.7 million to fund nine positions
associated with devolution implementation in order to process financial transactions, process employee service functions as well as supporting the GNWT’s financial reporting and fiscal policy functions;
•
creation of two new tax auditor positions in Hay
River and Inuvik to support the decentralization initiative;
•
base budget transfer of $21 million from the
Department of Human Resources as well as $1.7 million from the Department of Executive to reflect the transfer of the functions of Human Resources, the program review office and the Bureau of Statistics;
•
base budget transfers of $3.8 million from
departments to recognize full implementation of financial shared services across all regions.
The proposed Department of Finance 2014-2015 Main Estimates continue to support the priorities of the 17th Assembly and continue to advance
initiatives that will support the sustainability of our territory for future generations. Specific activities in support of these priorities include:
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prudently managing the GNWT’s financial
resources, reaffirmed by Moody’s Investor Service with a continued credit rating of Aa1;
•
coordinating the GNWT decentralization
initiative;
•
strategic infrastructure investments such as the
Mackenzie Valley fibre optic link;
•
supporting the implementation of devolution;
•
moving to an increased service-focused
organization through implementation of the Service Innovation Strategy and functions of Finance operating under service partnership agreements such as financial shared services, employee benefits and payroll.
The department’s estimates have been restated to include the transfer of specific functions that are better aligned with the core business of Finance.
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In order to enhance the GNWT business
planning process, the program review office and the Bureau of Statistics will be transferred to Finance from the Department of Executive.
o Increased ability for the program review
office to work closely with the Management Board Secretariat of Finance to develop and implement a systematic review of operations as well as the Bureau of Statistics in developing forecasting, and integrating those processes into the business planning process;
o Ability to integrate program review office
recommendations directly into decisions materials when appropriate;
o Increased efficiencies as the program review
office operates under the direction of Refocusing Government committees which are chaired by the deputy minister and Minister of Finance respectively.
•
The Department of Human Resources will be
transferring the employee services section which includes a regional presence, the Human Resources information systems, or PeopleSoft, as well as the helpdesk function. Advantages of the transfer are:
o allowing HR to focus on a leadership role in
HR management;
o payroll and benefits operating in an
environment focused on transaction processing and controls with a shared services mandate;
o information system support resources will be
more integrated and effective.
That concludes my opening remarks. Thank you.