Agreed.
Debates of Oct. 29th, 2014
This is page numbers 5033 – 5072 of the Hansard for the 17th Assembly, 5th 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
Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters
Some Hon. Members
Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters
The Chair Robert Bouchard
Committee, we’re on Department of Industry, Tourism and Investment, operations expenditure summary, mineral and petroleum resources, not previously authorized, $400,000. Mr. Bromley.
Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters
Bob Bromley Weledeh
Thank you, Mr. Chair. Am I right in believing that this is an extension of a past, I believe, three-year contract, and if so, was that provided for in the original contract and when would this go out for RFP for competition to see if we could reduce this cost?
Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters
Aumond
I believe we provided this information to committee just today, but the $400,000 is the incremental cost for a contract. The Department of ITI had, I believe, $2 million in their budget for the diamond evaluation work for the contract, but the contract negotiations came in about $400,000 higher, which is why we’re here seeking the supplementary appropriation there. It was a contract that was previously held by the federal government with this proponent. The contract was not assigned at the time of devolution but was, rather, negotiated with the proponent and the negotiations weren’t complete by the time the budget process was completed for ’14-15 and came in, as I said earlier, $400,000 over the appropriated budget amount and now we’re seeing an additional $400,000 for that purpose.
Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters
Bob Bromley Weledeh
I appreciate that information. So this is a 20 percent leap in this contract. That seems like a pretty steep increase in a year. Have the value of diamonds gone up by 20 percent? Again, I’m assuming that this was not an RFP, but
was this contract a competitive thing, and if not, will we be contemplating that in future years?
Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters
Michael Miltenberger Thebacha
The current contract was a negotiated contract, and I’d ask the Minister about the future years and what the intent of the department would be.
Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters
David Ramsay Kam Lake
Thank you, Mr. Chairman. The deputy minister outlined the reason why we sought the increase of $400,000. The Member is right; the value has increased on rough diamonds and evaluation services. It’s the funding that we require to provide the service, and the company that we’re working with has the experience to deliver the service that the Government of the Northwest Territories requires in evaluating diamonds.
Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters
Bob Bromley Weledeh
Thank you, Mr. Chairman. I guess, am I correct in hearing in that answer that this will not be put out for competition in the future?
Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters
Michael Miltenberger Thebacha
Thank you, Mr. Chair. I just note that there’s a clause in the current contract that does also allow for a three-year extension of the current contract.
Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters
Bob Bromley Weledeh
Thanks, Mr. Chair. If we’re looking at a 20 percent increase every year, would the government exercise that clause without going to competition?
Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters
Aumond
Thank you, Mr. Chair. My understanding is that this is the cost for the contract per year and we’re not looking at a 20 percent increase per year over the next subsequent years of the term.
Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters
Bob Bromley Weledeh
Thank you, Mr. Chair. So, at the end of the three years, would we be going out for a competition on this contract?
Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters
David Ramsay Kam Lake
Thank you, Mr. Chair. I guess that would be determined based on a number of factors, and three years from now I guess we’d be able to answer that question.
Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters
The Chair Robert Bouchard
Thank you, Mr. Bromley. Committee, we’re on Industry, Tourism and Investment, operations expenditures, minerals and petroleum resources, not previously authorized, $400,000.