Thank you, Mr. Chair. I am here to present Bill 21, An Act to Amend the Northwest Territories Business Development and Investment Corporation Act.
The NWT Business Development and Investment Corporation, or BDIC, is a territorial Crown corporation that was established in 2005 to promote and maintain economic development and employment.
While the corporation generates substantial income from its investments and loans, it is currently prohibited by its act from using this income to fund its operations.
Instead, the BDIC relies on the Government of the Northwest Territories and some third-party funding for its operating expenditures.
We are proposing amendments to allow BDIC, with the Minister's approval, to use interest and dividend revenue that it receives to cover shortfalls in its operating budget. This would allow the Department of Industry, Tourism and Investment to reduce its annual contribution to BDIC, while enabling the corporation to sustainably continue operating.
ITI has been exploring a variety of options for increasing the BDIC's efficiency and effectiveness in advancing the economic objectives of our government.
In response to concerns expressed by Members of the Legislative Assembly during their review of the 2018-2019 Main Estimates, the department is proceeding with this amendment immediately to ensure that the BDIC has the appropriate long-term sustainability that it requires.
This concludes my opening remarks. Thank you, Mr. Chair.