Thank you. Justice, capital investment expenditures, total department, not previously authorized, $11,203,000. Does committee agree?

Thank you, committee. On to page 18, the Department of Lands. Comments or questions. I see none. I will proceed to call the page. Lands, capital investment expenditures, operations, not previously authorized, $685,000. Does committee agree?

Thank you. Lands, capital investment expenditures, operations, not previously authorized, $685,000. Does committee agree?

Thank you. Lands, capital investment expenditures, planning and coordination, operations, not previously authorized, $274,000. Does committee agree?

Thank you. Lands, capital investment expenditures, total department, not previously authorized, $959,000. Does committee agree?

Thank you. Does committee agree that we have concluded consideration of Tabled Document 384-18(2): Supplementary Estimates (Infrastructure Expenditures), No. 2, 2017-2018?

Thank you, committee. Thank you to the Minister and your witnesses for appearing for us. Mr. Testart.

Thank you, Mr. Chair. I move that consideration of Tabled Document 384-18(2): Supplementary Estimates (Infrastructure Expenditures), No. 2, 2017-2018, be now concluded and that Tabled Document 384-18(2) be reported and recommended as ready for further consideration and formal session through the form of an appropriation bill. Thank you, Mr. Chair.

Thank you, Mr. Testart. There is a motion on the floor. The motion is in order and non-debatable. All those in favour? All those opposed?

---Carried

Thank you, committee. Committee, we have next agreed to consider Bill 15: An Act to Amend the Tobacco Tax Act. I will turn to the Minister responsible for any opening comments he may have. Minister McLeod.

Thank you, Mr. Chair. Mr. Chair, We are here today to review Bill 15: An Act to Amend the Tobacco Tax Act.Legislation is required to amend the Tobacco Tax Act to allow changes to the tobacco tax collection system, to establish a tax duty stamp to be placed on tobacco products sold in the NWT, and to eliminate the commission paid to tobacco tax collectors. The establishment of a tobacco tax duty stamp will require that all tobacco products sold in the NWT be marked, stamped, sealed or labeled with a jurisdictional tax stamp. The introduction of a jurisdictional tobacco stamp will mitigate risks related to smuggling.

These changes will also simplify the administration and auditing of the tobacco tax collection process by reducing the number of transactions, streamlining the reporting, removing the need for inventory reconciliations, and ensuring that all inventories of tobacco products held by wholesalers are tax paid. Thank you, Mr. Chair.

Thank you, Minister. I will turn to the chair of the Standing Committee on Government Operations, the committee that considered the bill, for any opening comments that he may have. Mr. Testart.

Thank you, Mr. Chair. Mr. Chair, the Standing Committee on Government Operations concluded a public hearing on Bill 15: An Act to Amend the Tobacco Tax Act on April 6, 2017. A public clause-by-clause review was held on May 29, 2017. The committee heard from Mr. Roger Walker, owner and general manager of Territorial Tobacco Products, who raised concerns about tobacco tax collection that are outside of the scope of the bill. The committee understands the Department of Finance has taken Mr. Walker's concerns into consideration and has responded accordingly. The committee thanks Mr. Walker for his input. Members may have additional comments or questions as we proceed into consideration of this bill. Thank you, Mr. Chair.

Thank you, Mr. Testart. Minister, do you have witnesses you wish to bring into the Chamber?

Yes, I do. Thank you, Mr. Chair.

Thank you, Minister. Sergeant-at-Arms, please escort the witnesses into the Chamber. Minister, would you please introduce your witnesses.

Thank you, Mr. Chair. Mr. Chair, to my right I have Mr. Jamie Koe, who is our Comptroller General for the Department of Finance, to my left I have Mr. Mike Reddy, who is legislative counsel with the Department of Justice. Thank you, Mr. Chair.

Thank you, Minister. I will now open the floor to any general comments on Bill 15. Mr. Testart.