Thank you, Mr. Speaker. I rise today on a point of privilege in response to an event that took place on September 2, 2015, in the Legislative Assembly’s media room. On that date Premier McLeod and Finance Minister Michael Miltenberger called a press conference for which they announced: “The Government of the Northwest Territories will provide the Northwest Territories Power Corporation with up to $29.7 million to prevent an increase to power rates for all NWT residents. This funding was required because of continued low water levels affecting the Snare and Bluefish hydro systems.”
In an accompanying news release, Premier McLeod is also quoted as saying, “Our government doesn’t believe it makes sense to pass these costs on to residen
ts and has decided to cover them instead.”
Mr. Speaker, it is this public announcement of funding that has yet to receive the authorization of the House to which I object. I seek your guidance as to whether the actions of the government in making this announcement constitutes a breach of privilege under Rule 20(1) of the Rules of the Legislative Assembly which specifies that individually and as a House, Members are entitled to freedom from
obstruction in relation to their duties as elected representatives. I also seek your guidance as to whether this action demonstrates contempt to this House by undermining the legitimate role the Legislative Assembly has in approving spending bills and for the guiding principles of consensus government.
Mr. Speaker, this is our first time back since the House was adjourned for the summer on June 4, 2015. I am raising this point of privilege now as this is the first opportunity I’ve had to bring this matter to the attention of the House. I am raising this point of privilege because I consider it to be a serious issue for all Members of this House. Therefore, I appreciate your patience as I set out the following facts in this matter.
On Monday, August 31, 2015, Members received a notification from the Minister of Finance advising that the GNWT had approved a significant sum of money to offset the increased cost of diesel for NTPC and notifying Members that the government would be bringing forth a request for supplementary appropriation to be considered in the upcoming session. This notification did not indicate that the government had planned for a press release to be held two days later to publicly announce this almost $30 million NTPC funding subsidy.
I believe, as any reasonable person would, that it was intended as a courtesy notification to Members of the upcoming supplementary appropriation bill. Members were given no reason to anticipate that a public announcement of this funding would be made within two days of notice and prior to the consideration of the spending request in this House. As I personally attended the press conference, I want to make one point very clear. Other than a one- line reference written in the Premier’s handout on press day, I wish to assure Members of this House that there was nothing said by either the Premier or Minister in their comments or in the GNWT news release of the fact that this almost $30 million in funding had not yet been appropriated and could only be authorized by the Legislature. It’s apparent the Premier must have forgotten to read that line.
I should note that this is not the first time this Cabinet has used this tactic, having made a surprise announcement on September 26, 2014, of a $20 million subsidy to NTPC that was not included in the 2014-15 Main Estimates and also had not been approved by either special warrant or supplementary appropriation at the time of the announcement.
When this occurred last year, Members advised the Premier and Finance Minister of their displeasure over this premature announcement. As a result of discussions Members held with the Premier, I believed, as my colleagues, that Cabinet had understood that they had been a bit too hasty in their announcement. I also believed this was a one-off
error in judgment that would not happen again. Clearly, I was wrong.
By publicly announcing unapproved funding as though it were a done deal, the Premier and Minister Miltenberger have led the NWT public to believe that with the government’s simple blessing that funding is approved and in place. This creates a heightened public expectation of government expenditures relative to a sensitive political subject. This action obstructs the House and its Members in relation to their duties as elected representatives, making it especially difficult for Members to consider a supplementary appropriation request on its merits or to vote on it in accordance with their conscience and keeping with what we believe is in the best interest of the constituents.
Mr. Speaker, a supplementary appropriation bill is not a formality. To qualify the supplementary appropriation, a funding request must only be used for unforeseen expenditures and must meet one or more stringent attributes. It is a duty of the elected representatives of this House to ensure that government meets these tests before approving spending bills. This is not a rubber stamp process.
The fact that this Cabinet has seen fit to announce its spending initiative before satisfying those tests under scrutiny of the House demonstrates the contempt these Members have for the authority of the Assembly.
Mr. Speaker, I will await your due consideration and thoughtful judgment on this issue that is so integral to the work we do on behalf of all Northerners. Thank you, Mr. Speaker.