Mr. Speaker, I would like to present a petition dealing with the matter of funding to Aurora College.

Mr. Speaker, the petition contains 224 electronic signatures of Northwest Territories residents, and, Mr. Speaker, the petitioners request that the Government of the Northwest Territories maintain funding to Aurora College in the 2017-2018 budget year and throughout the life of the current Assembly that is sufficient to allow the college to continue to offer all of its existing programs. Thank you, Mr. Speaker.

Masi. Petitions. Item 13, reports of committee on the review of bills. Item 14, tabling of documents. Minister of Education, Culture and Employment.

Thank you, Mr. Speaker. I wish to table the following document entitled "Government of the Northwest Territories Response to Motion 26-18(2): Junior kindergarten." Thank you, Mr. Speaker.

Masi. Tabling of documents. Honourable Premier.

Mr. Speaker, I wish to table the following document entitled "Package of Letters of Support for the Mineral Exploration Roundup 2017."

Further to my returns to Written Questions 15-18(2) and 16-18(2), Mr. Speaker, I wish to table the following two documents, "List of Northwest Territories Ministers and Staff Who Attended One or More Events Associated with the Mineral Exploration Roundup in Vancouver January 2017" and "List of Northwest Territories Ministers and Staff Who Attended One or More Events Associated with the Northwest Territories Mission to Ottawa, November 2016." Thank you, Mr. Speaker.

Masi. Tabling of documents. Member for Kam Lake.

Thank you, Mr. Speaker. I have three letters I would like to table. One is from Ms. Karen Lapine-McFeeters, a third-year Teacher Education Program student. One from Her Worship Lynn Napier-Buckley, the Mayor of Fort Smith, and a member of the Board of Governors of Aurora College; and a letter from Chris Westwell, an actively engaged and concerned citizen. They are all in reference to the cuts at Aurora College. Thank you, Mr. Speaker.

Mahsi, Mr. Speaker. Mr. Speaker, I give notice that on Thursday, February 23, 2017, I will move the following motion: I move, seconded by the Honourable Member for Great Slave, that, notwithstanding Rule 14, when this House adjourns on February 23, 2017, it shall be adjourned until Tuesday, February 28, 2017;

And further, that any time prior to February 28, 2017, if the Speaker is satisfied, after consultation with the Executive Council and Members of the Legislative Assembly, that the public interest requires that the House should meet at an earlier time during the adjournment, the Speaker may give notice and thereupon the House shall meet at the time stated in such notice and shall transact its business as it has been duly adjourned to that time. Mahsi, Mr. Speaker.

Masi. Notices of motion. Item 16, notices of motion for first reading of bills. Item 17, motions. Item 18, first reading of bills. Item 19, second reading of bills. Item 20, consideration in Committee of the Whole of Bills and other matters: Bill 7, Bill 13. Committee Report 6-18(2), Tabled Document 261-18(2), with Member for Hay River North in the chair.

By authority given to me as the Speaker by Motion 18-18(2), I hereby authorize the House to sit beyond the daily hours of adjournment to consider the business before the House.

I'll now call Committee of the Whole to order. What is the wish of committee, Mr. Beaulieu?

Marci cho, Mr. Chairman. Mr. Chairman, committee wishes to consider Tabled Document 261-18(2), Northwest Territories Main Estimates 2017-2018, and we would like to consider the Department of Infrastructure. Thank you, Mr. Chairman.

Thank you, Mr. Beaulieu. Does committee agree?

I call the Committee of the Whole back to order. Committee, we have agreed to continue our discussion of Tabled Document 261-18(2), Northwest Territories Main Estimates 2017-2018, and we have agreed to consider the Department of Infrastructure. I would ask the Minister responsible if he has any opening comments. Minister.

Thank you, Mr. Chair. I am pleased to present the 2017-2018 Main Estimates for the proposed Department of Infrastructure. Overall, the department’s estimates, totalling $240.4 million, propose a decrease of $4.5 million or 1.9 per cent from the 2016-17 combined estimates of the Departments of Public Works and Services and Transportation.

These estimates continue to support the GNWT’s objective of ensuring a strong and sustainable future for the government and its programs by managing expenditures due to limited revenue growth.

The 2017-2018 Main Estimates include an increase of $2.9 million from the 2017-18 business plan reviewed by standing committee in September. This increase resulted from a $2.3 million increase in amortization expense for new assets being brought into service; $350,000 transferred to the department for leases formerly administered by the Department of Executive; and $253,000 for permafrost research and development activities along various sections of the highway system.

The 2017-2018 Main Estimates also include an increase of $1.5 million to maintain and enhance our transportation infrastructure through construction and maintenance of the Wekweeti winter road, operation and maintenance of the Inuvik to Tuktoyaktuk highway, and through various highway and winter road contracts intended to improve transportation infrastructure in the Deh Cho region.

These increases are offset by reductions totalling $6.5 million resulting from the amalgamation of the Departments of Transportation and Public Works and Services.

The amalgamation will achieve future savings through improved efficiencies, such as eliminating duplicate services in the areas of finance, administration, and management of the vehicle fleet.

A priority for the department is the continuation of a decentralized service delivery model, which will be enhanced with the proposed establishment of a new regional office in the Sahtu to be headquartered in Norman Wells.

The department’s 2017-18 estimates will continue to support the priorities of the 18th Legislative Assembly. Specific initiatives include increasing the use of renewable and alternative energy in off-grid communities, engaging with the federal government to access funding for major renewable energy initiatives, like assessing ways to use the surplus power available in the South Slave region, and the ongoing development of the NWT Energy Strategy to support the priorities of this Legislative Assembly by reducing our reliance on fossil fuels, reducing the cost of living, and promoting a sustainable future for our land and people. The department will also provide $2.7 million to the Arctic Energy Alliance to support its work promoting the use of energy efficient technologies for residents, businesses, and communities.

The department will continue its investment in the Deferred Maintenance Program by upgrading and preserving our building assets such as workshops, offices, schools, and health centres. The Deferred Maintenance Program helps the GNWT to better target its capital dollars in support of its priorities by maintaining and extending the useful life of our existing asset base.

The exit of an established northern marine carrier from the Western Arctic shipping business made it necessary for the Government of the Northwest Territories to step in and secure its unique assets and keep them in the North. The decision to purchase the assets was only made within the last few weeks, so marine operations are not reflected in these estimates.

The department is currently researching and evaluating various business models so the government of the Northwest Territories can make the best use of these marine assets. Our residents, businesses, and communities depend on reliable marine transportation services to deliver their household goods and building supplies as well as aviation, diesel, gasoline, and heating fuels. To fund the planning and start-up of operations the department will be seeking supplementary appropriations in 2016-17 and in 2017-18 that will be fully offset by shipping revenues. Providing reliable and affordable marine resupply services to government and residents is one way the Department of Infrastructure is advancing this Legislative Assembly’s goals to address the high cost-of-living.

That concludes my opening comments, Mr. Chair.

Thank you, Minister. Do you have witnesses you would like to bring into the Chamber?

Yes, I will, please.

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

Thank you, Mr. Chair. On my left is Deputy Minister Russ Neudorf for Transportation. On my right is Deputy Minister Paul Guy of Public Works and Services, and on my far right is Vince McCormick, director of corporate affairs services for Public Works and Services.

Thank you, Minister. I would like to welcome the witnesses to the Chamber. Thank you for coming well prepared, it looks like. I will now open the floor to general comments on the Department of Infrastructure. Each Member will be given 10 minutes to speak, followed by a 10-minute response from the Minister if he still wishes. Mr. Vanthuyne.

Thank you, Mr. Chairman. Mr. Chairman, Infrastructure, of course, is a new department formed through amalgamation and, of course, we are aware that amalgamation of the departments is one of the biggest changes to government organization introduced by this government in this budget. This is not to suggest that Regular Members do not recognize some of the efficiencies that are being gained through the proposed amalgamations.

As we just heard from the Minister, there is set to be a regional office in the Sahtu if this budget is approved. We know obviously that our fellow colleague would be very supportive of that, our colleague from the Sahtu, and so we recognize that there certainly are efficiencies to be had, but Members also have difficulty, to some degree, supporting some of the amalgamations and the reductions proposed with it.

Some of the reasons are that we have been clear all along that we see that the amalgamations have been primarily driven by the fiscal strategy and its reduction targets. We have shared concerns with the validity of zero-based review. We have also shared concerns that amalgamations seem to lack clear implementation and change management plans, at least to the degree that they have not been shared.

We are clearly being concerned about risks of disruption to front-line services when it comes to amalgamations. Probably most importantly, however, is we are very concerned with the negative impact on jobs and employment, especially at a time when that could be seen as contributing to the challenges facing our current situation with our economy.

Under the corporate management aspect of this department, as the Minister is probably aware, we have been seeking an increased Investment and Community Access Program. We have seen a lot of uptake for this program. It has always been a strong program. Communities use these funds to complete projects they determine to be a priority. It has been beneficial in all the regions.

In programs and services, the Minister is also aware that we have wanted to see an increase in funding to the Arctic Energy Alliance. We see the Arctic Energy Alliance is obviously a reliable and proven partner in helping the GNWT achieve its greenhouse gas reduction targets, and is a leader in implementing renewable energy sources and has helped a number of the communities over the years identify and work on alternative energy solutions.

Arctic Energy Alliance programs are directly tied to the GNWT's climate change and energy strategies and so clearly, Mr. Chair, their efforts help us meet our own targets and goals as a government. The Arctic Energy Alliance programs will broaden access to programs to improve participation by lower-income residents. This helps reduce the costs of living and certainly reduces the use of diesel fuel.

Mr. Chair, regionally, in the regional operations aspects, as the Minister is aware again, we are seeking for further investment in the Sambaa K'e winter road. Like all winter roads, it has become a lifeline for the community and reduces the cost of air service. We see it as a very important investment.

As was talked about in the House today, winter ferry services at Peel and Arctic Red Rivers, we are seeking a reinstatement there that I am sure the Minister is clearly aware of. We know that this takes away some of the uncertainty that is created in the region. We see it as unacceptable without a solid contingency plan for a winter road. We heard from our Member from the Mackenzie Delta earlier today that it is obviously a job creator and it keeps the cost of living down.

These are some of the aspects that I wanted to share on behalf of Regular Members as general comments before leading into the department, Mr. Chair. Thank you.

Thank you, Mr. Vanthuyne. Next, I believe I have Mr. Blake.

Thank you, Mr. Chair. Just a couple of things I wanted to comment on. As we all know, there were reductions to the ferry services in the fall, with the Peel and Mackenzie River. It is really unfortunate, as I said in my statement earlier today. Just when the department seemed to have mastered operating during the fall season, they turn around and shut it down. I am not sure what they used those funds for, whether it was to buy NTCL or give it to transportation for maintenance of the Inuvik to Tuktoyaktuk Highway, just looking at all the different numbers that increased.

It could be used for anything that the department wanted, but they cut a lot of jobs, just to let them know that. They might not see that from whether it is here in Yellowknife or Hay River, but back home we really notice a big difference, Mr. Chair. Reducing the cost of living was in his opening statement, and he is actually increasing the cost of living, up in the Mackenzie Delta, with shutting this service down to our residents.

I guarantee you will see the price of fuel increasing in Inuvik, the cost of groceries. Every year, we have the same issue in Tsiigehtchic, running out of groceries in the store there. For sure, you are going to be seeing skidoos running across the rivers now to shuttle people across. That is the only way that you could travel out of Tsiigehtchic and McPherson to keep the costs down. Not everybody could afford choppering out of Tsiigehtchic or flying, travelling to McPherson, jumping on the charter, which only operates during the week. You know, there are no services on the weekends out of Fort McPherson, as well.

So, they are actually not doing what they've stated in their statement, which is reducing the cost of living. Maybe here in the south you pay anywhere from 50 to 60 cents cheaper per litre of gasoline than we do back home, so all of these, the department needs to consider when they are making these sort of decisions. It may seem like a lot to them, but they cut $1.8 million out of this service that is benefiting the whole region, and then they go and spend a little over $7 million for a barging company, which the majority of those assets are not able to operate.

We have a graveyard in Hay River that now this government has to clean up. A lot of my constituents and people around the territory are saying, well, now we have to clean up this whole mess. Sure, we have some barges that can operate and some tugs, but that is an added cost that we have taken on. I know we do have to service the communities that need those services, but it is really frustrating here. We see the benefits first-hand. Right out my front window, you could see the operations during the fall, and it is a real shame that the department made those cuts. That is all I have for now. Thanks.