In the Legislative Assembly on February 25th, 2019. See this topic in context.

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Frederick Blake Jr.

Frederick Blake Jr. Mackenzie Delta

Good afternoon, committee. I will now call Committee of the Whole to order. What is the wish of committee? Mr. Beaulieu.

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Tom Beaulieu

Tom Beaulieu Tu Nedhe-Wiilideh

Thank you, Mr. Chairman. Mr. Chairman, committee would like to consider Tabled Document 322-18(3), Main Estimates, 2019-2020, with the Department of Infrastructure and Industry, Tourism and Investment. Thank you, Mr. Chairman.

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Frederick Blake Jr.

Frederick Blake Jr. Mackenzie Delta

Thank you, Mr. Beaulieu. Mr. Beaulieu.

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Tom Beaulieu

Tom Beaulieu Tu Nedhe-Wiilideh

Sorry, Mr. Chairman. I missed one. We would also like to consider Bill 32, Naturopathic Professional Statutes Amendment Act. Thank you, Mr. Chair.

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Frederick Blake Jr.

Frederick Blake Jr. Mackenzie Delta

Thank you, Mr. Beaulieu. We will continue after a short recess. Thank you.

---SHORT RECESS

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The Chair

The Chair Frederick Blake Jr.

Committee, we have agreed to consider Bill 32: Naturopathic Profession Statutes Amendment Act. I will ask the Minister responsible for the Bill to introduce it. Minister Abernethy.

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Glen Abernethy

Glen Abernethy Great Slave

Thank you, Mr. Chair. I am pleased to introduce Bill 32, the Naturopathic Profession Statutes Amendment Act. The Legislative Assembly passed the Health and Social Services Profession Act to enable the Government of the Northwest Territories to regulate numerous different professions under one legislative framework and later amended the legislation to strengthen competency requirements for professionals.

Work has been under way to draft professional regulations to bring the Health and Social Services Profession Act into force. This includes regulations for three groups of professionals; the emergency medical service providers, naturopathic practitioners, and psychologists. We expect that the Health and Social Services Profession Act will come into force later this year with the regulation of EMS providers, followed by naturopathic practitioners, and both will be newly regulated professions in the Northwest Territories.

Some of the Members may recall that naturopathic practitioners were added to the list of professions to be regulated under the Health and Social Services Act in February of 2014. This decisions was supported by requests from MLAs, members of the profession, and by the 17th Legislative Assembly Standing Committee on Social Programs. Regulating a profession helps ensure the safety of the public, as it establishes rules and requirements for how a profession must practise, train, and conduct themselves.

Since naturopathic practitioners are not currently regulated in the Northwest Territories, there are very few parameters for how the profession can practise. Once regulated, naturopathic practitioners would be subject to complaints and disciplines processes if a patient, a member of the public, another professional, or a complaints officer files a complaint.

Prior to bringing these regulations into force, consequential amendments must be made to the Medical Profession Act, the Pharmacy Act, and the Public Health Act. As regulations do not have the authority to amend or repeal an existing act, the department is putting forward this bill to address the consequential amendment required by the new Naturopathic Professions Regulations.

The proposed amendments will:

  • allow persons who are entitled to practise under the naturopathic profession regulation to use the title of Doctor or the abbreviation "Dr." in accordance with the regulation;
  • exclude naturopathic professionals from the Medical Professions Act;
  • replace the term "naturopath" with the term "naturopathic doctor" in the definition of the personal services establishment under the Public Health Act; and
  • allow pharmacists to accept a prescription issued by a naturopathic practitioner who is entitled to prescribe a drug.

The change to Bill 32 will not come into force until the regulations have been finalized and are ready to come into force.

This concludes my opening remarks, and I will be pleased to answer any questions that the Members may have. Thank you.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Minister. I will now turn to the chair of the Standing Committee on Social Development, the committee that considered the bill, for opening comments. Mr. Thompson.

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Shane Thompson

Shane Thompson Nahendeh

Thank you, Mr. Chair. The Standing Committee on Social Development concluded its review of Bill 32: Naturopathic Profession Statutes Amendment Act on February 14, 2019, with a public hearing held at the Legislative Assembly building.

Six members of the public were in attendance at the hearing, and committee received submissions from Nicole Redvers, a naturopathic doctor. She expressed support for this legislation and was pleased to see naturopathic established as a regulatory profession within the NWT. Committee agrees and also supports the bill as outlined by the Minister. Individual Members may have additional comments or questions as we proceed with consideration of this bill. Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

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

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Glen Abernethy

Glen Abernethy Great Slave

I would, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

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

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Glen Abernethy

Glen Abernethy Great Slave

Thank you, Mr. Chair. With me today are Christina Brownlee, who is legislative counsel, and Gary Toft, the director of policy, legislation, and communications with Health and Social Services.

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The Chair

The Chair Frederick Blake Jr.

Thank you. I will now open the floor to general comments on Bill 32. Is the committee agreed that there are no further general comments?

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Some Hon. Members

Agreed.

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The Chair

The Chair Frederick Blake Jr.

Agreed. Thank you. Committee, can we proceed to a clause-by-clause review of the bill?

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Some Hon. Members

Agreed.

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The Chair

The Chair Frederick Blake Jr.

Agreed. Committee, we will now defer the bill number and title until after consideration of the clauses. Please turn to page 1 of the bill. Clause 1?

---Clauses 1 through 4 inclusive, approved

Committee, to the bill as a whole, Bill 32?

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Some Hon. Members

Agreed.

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The Chair

The Chair Frederick Blake Jr.

Does committee agree that Bill 32: Naturopathic Profession Statutes Amendment Act is now ready for third reading?

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Some Hon. Members

Agreed.

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The Chair

The Chair Frederick Blake Jr.

Agreed. Thank you, committee. Bill 32: Naturopathic Profession Statutes Amendment Act is now ready for third reading. Does committee agree that this concludes our consideration of Bill 32: Naturopathic Profession Statutes Amendment Act?

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Some Hon. Members

Agreed.

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The Chair

The Chair Frederick Blake Jr.

Agreed. Thank you, Minister. Our thanks to your witnesses. Sergeant-at-Arms, please escort the witnesses from the Chamber. Thank you, committee. We will now proceed to consideration of the main estimates, Tabled Document 322-18(3), Main Estimates, 2019-2020. Does committee agree?

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Some Hon. Members

Agreed.

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The Chair

The Chair Frederick Blake Jr.

Agreed. Thank you. We will consider with the Department of Infrastructure. Minister, would you like to bring witnesses into the Chamber? Thank you. Sergeant-at-Arms, please escort the witnesses into the Chamber.

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The Chair

The Chair Frederick Blake Jr.

Thank you. Minister, please introduce your witnesses.

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Wally Schumann

Wally Schumann Hay River South

Thank you, Mr. Chair. On my left is director of Corporate Services, Vince McCormick, of Infrastructure. On my right is Paul Guy, deputy minister of Infrastructure. On my far right is Jaylene Robertson, assistant deputy minister of Regional Operations. Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Minister Schumann. Committee, we have agreed to resume corporate management, operations expenditure summary on page 239. Any questions from committee? Mr. Vanthuyne.

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Cory Vanthuyne

Cory Vanthuyne Yellowknife North

Thank you, Mr. Chairman. When we left off, I think one of the Members was starting to talk about some of the concerns that committee has raised in the past with regard to the centralization of some of our government departments. While it is appreciated that we are building some efficiencies and ways to be effective by doing some amalgamations, the concern lies that, over the years, as we have begun to kind of centralize human resources finance, procurement, and even IT into these centralized government departments, the concern is that a number of the departments and particular regional offices have started to lose the ability to build and maintain the relationships that they have had for a long time with contractors, consultants, and maybe other community partners.

I would like to ask the department, in particular the Minister, because Infrastructure is one of these amalgamation departments and they also seem to be the big spender, I respect and appreciate that, you know, they are tied heavily with the federal funding contributions, and that is well appreciated. I would like to ask the Minister if the department is doing any kind of observation or measuring of what the impacts of these recent amalgamations and centralizations are having on some of the regions and other departments that this department serves, because this is a department that serves other departments of the Government of the Northwest Territories? Thank you, Mr. Chairman.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Vanthuyne. Minister Schumann.

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Wally Schumann

Wally Schumann Hay River South

Thank you, Mr. Chair. I don't think the amalgamation of these two departments in particular has affected that. We have so many regional people out there who interact with the general public and the contractors on a general basis, that either it be procurement or superintendents who are on the ground that deal with contractors on a day-to-day basis. Nothing has come to my attention that clearly made this amalgamation detrimental to the contracting side of things, as far as I am concerned. Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Minister Schumann. Mr. Vanthuyne.

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Cory Vanthuyne

Cory Vanthuyne Yellowknife North

Thank you, Mr. Chairman. I appreciate that that is the opinion of the Minister, and we have seen some concerns from other departments whereby the ability of a department, for example, that used to once be able to put out its own procurement and be able to hire its own workforce, be able to manage its own accounts receivables and payables and its own procurement, it is now a challenge to do that because we have essentially taken are of those abilities and centralize them into -- maybe, I guess, the question is something that I will reiterate again later when we meet with Finance. It might be better suited there. I apologize, Mr. Chair. I am going to defer that question until a later time with the Department of Finance. Thank you. For me right now with the activity of corporate management, I have no further questions. Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Vanthuyne. Would you like to comment, Minister Schumann?

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Wally Schumann

Wally Schumann Hay River South

I guess the one thing I would like to add to that is one thing that we did in this government, too, is we added a whole new region in the Northwest Territories and in the Sahtu, which, you know, there was some strong support from the Member from the Sahtu region to make them their own region. I think, as we are moved forward with five strong regions, the regional support has just gotten better by doing that, as well. That is just an extra comment I wanted to add. Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Minister Schumann. Any further questions, committee? If not, I will read the page. Infrastructure, corporate management, operations expenditure summary, 2019-2020 Main Estimates, $10,715,000. Does committee agree?

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Some Hon. Members

Agreed.

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The Chair

The Chair Frederick Blake Jr.

Thank you. Next, we have Infrastructure, programs and services, operations expenditure summary from pages 242 to 246. Any questions? Mr. Testart.

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Kieron Testart

Kieron Testart Kam Lake

Thank you, Mr. Chair. I note that this activity includes procurement shared services. I would like to know: what funding is being put in place to enhance the department's outreach to clients through procurement shared services to better understand the GNWT's procurement system? Thank you.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Testart. Mr. Guy.

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Guy

Thank you, Mr. Chair. In this budget, there is funding to support a number of outreach programs that we do through procurement shared services. We deliver workshops for businesses and local governments. Over the past year, we had 60 participants attend these workshops from across the territory.

If I go back, and we are still tabulating information for this fiscal year, for 2017-2018, we delivered 18 workshops to businesses on how to do business with the GNWT, which 200 participants attended. We do those workshops in the regional centres or anywhere there is a request to hold a workshop in the Northwest Territories. These things cover things on how to bid on GNWT tenders, how to use the contract and opportunities website, any changes that are made in procurement policies and guidelines, and how to fill out forms and follow some of the preference programs. We also deliver programs and training to our own employees. We have held 83 procurement employee training workshops in 2017-2018, where over 690 employees participated.

A number of these things, we also reached out to the construction community and the contractor community, and held workshops with the construction associations, the engineer associations, the consulting engineers, and Arctic Association to review the approved capital plan once it has been passed, so that vendors and contractors have an idea of what the contracting opportunities are coming up. Those things are all base funded in this budget under procurement shared services. Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Guy. Mr. Testart.

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Kieron Testart

Kieron Testart Kam Lake

If I could just get some information clarified: I heard both 60 participants and 200 participants for the last fiscal year. Which number is accurate? Thank you.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Testart. Mr. Guy.

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Guy

Thank you, Mr. Chair. In 2017-2018, for How to Do Business With the GNWT, there were approximately 200 participants in 18 workshops. Thank you.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Guy. Mr. Testart.

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Kieron Testart

Kieron Testart Kam Lake

I don't know if the department has this information on hand, but what, statistically, does 200 participants represent? How many clients is the GNWT doing business with in a given fiscal year? Is 200 close to a majority, or is this just a sliver of the overall economic field? Thank you.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Testart. Mr. Guy.

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Guy

Thank you, Mr. Chair. I don't have that number. It is a number that we would perhaps be able to get by looking to see how many registered persons or businesses are on our procurement opportunities website. That would one way to find that. We could do that, and that would give some idea of what the quantum is, but we don't have a number of how many particular people participate. In any particular organization, there could be a number of employees that could be registered or participating. Thank you.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Guy. Mr. Testart.

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Kieron Testart

Kieron Testart Kam Lake

Thank you. That would be helpful. Can the Minister commit to doing that, and further include to do more of a qualitative analysis of whether or not this procurement outreach is working? It is fine to log participants and meetings, but those are all output-based metrics. If we don't know that 200 participants is statistically important to easing understanding of our procurement policies within the business community, it is just a number. Can the department commit to putting more qualitative analysis towards this exercise and reporting on it annually, either in business plans or some other mechanism that the Minister feels is appropriate? Thank you.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Testart. Minister Schumann.

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Wally Schumann

Wally Schumann Hay River South

Thank you, Mr. Chair. Yes, we can pull something together for the Member, but at the same time, I think we can offer committee, again, standing committee, we can give them a briefing on procured services and what we are doing and a little more in-detail discussion can take place at that time. Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Minister Schumann. Mr. Testart.

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Kieron Testart

Kieron Testart Kam Lake

Thank you. Apart from this kind of standard outreach, what other client-facing positions and programs are supported in this budget? The Minister is well aware that I and others of my honourable colleagues have brought numerous procurement issues to his attention, and he does not seem to be aware of them before they come on the floor of the House. What is the department doing to address that? There are a lot of concerns out there. They don't seem to be reaching the Minister's ears. How is this budget improving either a complaint process or some client-facing service officer who can listen to these concerns and adequately move them up to chain of command so that they can get properly addressed? Thank you.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Testart. Minister Schumann.

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Wally Schumann

Wally Schumann Hay River South

Thank you, Mr. Chair. The Member makes it sound like we are in dire straits here in procured shared services, and that is clearly not the case. He and I have argued this on the floor of the House a number of times. The department is working on stuff. We made improvements to the RFP evaluation process. We do mandatory customer service training and fairness advisory training with all of our staff. There are a number of things that we continue to work on, and we continue to evaluate on procured shared services moving forward. Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Minister Schumann. Mr. Testart.

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Kieron Testart

Kieron Testart Kam Lake

Thank you. I wasn't asking a policy question, but I appreciate the Minister's comments. I think there is more room to go. Are there client-facing service officers attached to procurement who can listen to concerns from the public directly? Thank you.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Testart. Mr. Guy.

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Guy

Thank you, Mr. Chair. We do have our front-line procurement officers that answer the phone, answer questions, and deal directly on a day-to-day basis with the vendors and the contractors when they are participating in a procurement process. Those front-line staff are available to answer questions and look into or address any concerns that the vendors and clients have. There are also opportunities through the director of procured shared services. He will often field questions from clients or from contractors around matters related to procurement.

On a more formal basis, working with the Department of Finance, a vendor complaint process was also put in place. Where vendors have issues with the procurement process or fairness around a particular procurement event, there is a formal process where they can bring it forward and get their concerns addressed as well.

There are many opportunities where people can raise their concerns in the department around issues related to procurement. There are also opportunities through the Comptroller General's Office in the Department of Finance, who has ultimate oversight over procurement policies and procedures. Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Deputy Minister Guy. Mr. Testart.

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Kieron Testart

Kieron Testart Kam Lake

Thank you, Mr. Chair. Thank you for the response. It was very thorough. Where are these positions located? Are they all in headquarters, or are there also regional front-line client service officers? Thank you.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Testart. Mr. Guy.

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Guy

Thank you, Mr. Chair. We have procurement officers in Fort Smith, Hay River, Inuvik, and, I believe, Fort Simpson. Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Guy. Mr. Testart.

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Kieron Testart

Kieron Testart Kam Lake

Noticing the time, I will just be quick if you will allow me one more question. A lot of the procurement really depends on local knowledge, knowing who the vendors are, knowing what they offer, and knowing what their issues are. Is the department planning on adding additional front-line officers in the regions, especially the new Sahtu region, the Beaufort-Delta? Is that something that the department will consider? Thank you.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Testart. Mr. Guy.

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Guy

Thank you, Mr. Chair. What we do is we look at where the resources are required based on the demand, and certainly, in future business plans, if we see a need to have additional resources there, we would bring forward for the forced-growth process to add additional procurement officers in some of those other centres where the demand for the service is there.

We have put a lot of work into increasing our online presence as well and working with some of the procurement software that is being developed with the Department of Finance to make it easier for people anywhere in the territory to access the procurement office and procurement services as well. We are looking at increasing our telephone support as well. Our regional staff, our regional superintendents, also provide a front-line opportunity for regional contractors and regional businesses to access the department as well. Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Guy. Next on the list, we have Mr. Nakimayak.

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Herbert Nakimayak

Herbert Nakimayak Nunakput

Thank you, Mr. Chair. On the first line on page 243, on air, marine and safety, could the Minister give a little bit of detail on that? Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Nakimayak. Mr. Guy.

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Guy

Thank you, Mr. Chair. That is the division that provides the oversight on our airports program, our ferries program, and overall OHS safety within the department. Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Guy. Mr. Nakimayak.

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Herbert Nakimayak

Herbert Nakimayak Nunakput

Thank you, Mr. Chair. Thanks for that. Four lines down to energy, there seems to be an increase from 2017-2018 to 2019-2020. Could the Minister give a little bit of information on that, please? Thank you.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Nakimayak. Minister Schumann.

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Wally Schumann

Wally Schumann Hay River South

The main one there is going to be the Low Carbon Economy Leadership Fund for $6,746,000. There are a bunch of things that are broken down in there that we have shared with committee: the Government Greenhouse Gas Grant Fund, the Large Scale Commercial and Industrial Greenhouse Gas Grant Fund, incremental Arctic Energy Alliance funding, and Active Forestry Carbon Sequestration, and then there is also delivery of Investing in Canada Infrastructure plan. That's it. Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Minister Schumann. Mr. Nakimayak.

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Herbert Nakimayak

Herbert Nakimayak Nunakput

Thank you, Mr. Chair. Thanks to the Minister for that. Getting back to that, you talk about the Arctic Energy Alliance. There's $1.6 million. I know it's run not by the government, but for the government. Mr. Chair, I think a good thing for the Minister and his department to look at is there are other types of alternative energy. When it comes to that, I think the territory, but Canada as a whole, is far, far behind. This is not coming from myself. This is coming from some constituents who complain that the Arctic Energy Alliance, it's an expensive way to hand out efficient light bulbs and things like that. Like, I said, that's not coming from me. I just might be putting a little bug in the Minister's ear to look at that program, and see how we could advance that in the territory. Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Nakimayak. Minister Schumann.

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Wally Schumann

Wally Schumann Hay River South

Thank you, Mr. Chair. One of the things that we did in the last little bit is we did a program review of Arctic Energy Alliance. We've updated committee on that to restructure that, to see that we -- this is a public facing energy efficiency and conservation renewal alternative energy program for the residents of the Northwest Territories. We wanted to make sure that these new programs lined up with the needs of the funding that we received, and we've rejigged a good portion of it. With the additional funding that we've got, we'll be able to expand some of our programs, and I believe that some of the stuff that we've reallocated money to will put pressure on us in the House here because some of these programs are tapped out so early. I think it's a good fit now going forward, and we've got some stable funding for a number of years to help residents of the Northwest Territories to be able to access these programs. Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Minister Schumann. Mr. Nakimayak.

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Herbert Nakimayak

Herbert Nakimayak Nunakput

Thank you, Mr. Chair. I appreciate that. That's a good response. On the next line, I know MTS, I gave the Minister a hard time last year on MTS, and I know it's not an easy undertaking to take over something like that, and it takes multiple departments to make it work good, and I commend the department for that, actually. I see that there's no funding for the next couple of years. Coming with that, the cost of fuel has risen up in our region. I'm just wondering if the Minister can shed some light on that, looking forward into 2019 and 2020 and the year after? Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Nakimayak. Minister Schumann.

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Wally Schumann

Wally Schumann Hay River South

Thank you, Mr. Chair. The reason there's no line item here is because it has a revolving fund now, so now, as most Members know, this thing has to run on its own merit, which we've been successful in the last couple of years.

To answer the question about what we're going to do going forward, we've recently sent a letter to committee outlining our services update, what we want to do going forward, and lay out some of the stuff that we've done in the past calendar year with the Marine Transportation Services Initiative. Yes, we were challenged this year, as pretty much everybody knows. I've been asked a number of questions in the House. I've been asked on national television about the circumstances around the sea ice challenges that we've had.

To update committee, the letter that we sent there, we're looking at a number of things to help make the resupply a lot, you know, lesson-learned, I guess, from last year. One of the ones we're trying to do is move up our schedule a little bit earlier in the year to supply the communities. Now, that's easy enough said. That's going to be conditional on sea ice again. We're working very closely with the Canadian Coast Guard to help them with the monitoring of ice, and what kind of services they can provide us with. Also, the other side of it is the fuel supply. Last year, we ran into some conditions with the supplier having the fuel supplied in a timely manner, and these are things that are subject to getting these things to the community earlier than later. Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Minister Schumann. Mr. Nakimayak.

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Herbert Nakimayak

Herbert Nakimayak Nunakput

Thank you, Mr. Chair. I appreciate that response. Last year was a tough ice year, and Transport Canada forecasts 2019 to be an even worse year. It's good to hear that the Minister is looking at plans to serve the communities, and hopefully sooner, if we can. I know, during last year's sitting, I asked the Minister about plans for Inuvik and Tuktoyaktuk, and I'm just wondering, I know this is an O and M budget, but I'm just looking to see where they are on that aspect from a 30,000-foot view. Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Nakimayak. Minister Schumann.

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Wally Schumann

Wally Schumann Hay River South

Thank you, Mr. Chair. We are having a look at Inuvik and Tuktoyaktuk from an operational perspective of what we can do in the long-term to possibly help mitigate some of these circumstances that can arise from sea ice challenges, or even fuel shortages. One of the things I think that we need to have a look at, and the department is looking at scoping out, is what infrastructure do we have in place in those two communities, and what would need to be put in there to help mitigate the factor, particularly around the resupply of fuel and the storage capacity that we have in these two communities. That's part of our operational review that MTS is continuing to look at. Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Minister Schumann. Mr. Nakimayak.

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Herbert Nakimayak

Herbert Nakimayak Nunakput

Thank you, Mr. Chair. I appreciate that. Looking at that, talking about fuel, fuel services and long-term plans, there's a lot of infrastructure up in the North that we don't see as civilians. There are radar sites and other types of infrastructure that need heating and need fuel for transportation. It might be worth something in the long run for MTS to think about that, and possibly take other contracts rather than just the territory on a much bigger, bigger scale as the Arctic opens. I just want to hear what the Minister has to say on that. Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Nakimayak. Minister Schumann.

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Wally Schumann

Wally Schumann Hay River South

Thank you, Mr. Chair. As I've been questioned in the House last shipping season about what we were doing around some of this commercial activity that we are doing, MTS is going to continue, of course, to contract with Imperial Oil to supply and deliver fuel to Norman Wells. That's in place, and it is there for a number of years going forward.

We are laying out what our marine charter services and support are going to be going forward, and one of the things that we are looking at is how can we support the federal government with the North Warning Fuel Supply program in the Western Arctic. Those discussions are ongoing for sure.

We are going to probably end up going back to Prudhoe Bay this year. I think we have some interest in delivering some natural gas production models up there. We've got to continue to look at these sorts of things. A lot of people had the confusion last time going around that we are looking after industrial customers without looking after ourselves first, and that's clearly not the case. I've clearly laid that out in our public briefing. One of the reasons we want to get these new double-hulled barges is so we can make fewer trips to service the community. Right now, the way it's laid out with the barges that we have, we've got to make multiple trips to go there. When we get the possession of our new double-hulled barges, the four of them that the tender just closed on here recently that we're evaluating, it's going to help us do the seasonal marine resupply program in a better manner. Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Minister Schumann. Mr. Nakimayak.

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Herbert Nakimayak

Herbert Nakimayak Nunakput

Thank you, Mr. Chair. That's good to hear, actually. Having that little bit of infrastructure could probably go a long way to serving the coastal communities, and even outside the territory, and outside the country. I appreciate the hard work that they're doing as a department to refine something that was working, but barely working by a shoestring. Other than that, I don't have really anything else for this section, Mr. Chair. Thank you.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Nakimayak. Comment noted. Next, we have Mr. McNeely.

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Daniel McNeely

Daniel McNeely Sahtu

Thank you, Mr. Chair. My question is related to pages 244 and 245. I notice quite a variety of different programs with budget amounts to them. I recall this government in previous Assemblies conducted a geothermal potential study from the many federal low-emission green funding sources. Have there been any discussions with the federal government to secure funding for a pilot project related to the geothermal? Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. McNeely. Minister Schumann.

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Wally Schumann

Wally Schumann Hay River South

Thank you, Mr. Chair. The short answer is no. A number of years ago, there was a proponent that approached the Government of the Northwest Territories to do something in the NWT, but it didn't turn out to be a viable project. With the technology and with the depths they had to drill, it wasn't viable at that time, but the short answer is no. Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Minister Schumann. Mr. McNeely.

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Daniel McNeely

Daniel McNeely Sahtu

Nothing further there, Mr. Chair. That was just one that caught my eye that could be potential cost-savings for our buildings, as well as subsidizing the private sector buildings. Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. McNeely. Minister Schumann.

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Wally Schumann

Wally Schumann Hay River South

Thank you, Mr. Chair. When you look at our 2030 Energy Strategy, the way that we have laid that thing out, we have our three-year rolling plan going forward. The reason that we have done this is just because of new technologies and things changing out there. More study and more data is needed to better understand the geothermal resources in the Northwest Territories. With that being said, this is a 10-year plan rolled out by the federal government. There may be opportunities to have a look at the geothermal situation in the Northwest Territories. Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Minister Schumann. Next on our list, we have Mr. Thompson.

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Shane Thompson

Shane Thompson Nahendeh

Thank you, Mr. Chair. In regard to fuel services here, I noticed that, when the Minister talked about MTS, there was no budget line, but fuel services has a budget line. Isn't fuel services a revolving fund, as well? Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Thompson. Mr. McCormick.

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Mccormick

Thank you, Mr. Chair. Yes, the line for fuel services is related directly to the amortization of the GNWT's assets that fuel services uses.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. McCormick. Mr. Thompson.

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Shane Thompson

Shane Thompson Nahendeh

Thank you, Mr. Chair. Could the Minister explain when our amortization of the tanks are going to be up? Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Thompson. Mr. McCormick.

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Mccormick

Thank you, Mr. Chair. I don't have a complete list of the tank farm assets in front of me right now. That equipment amortizes anywhere from 15 to 40 years, depending on the nature of the equipment. They will slowly drop off over a number of years, and as assets are upgraded or replaced, new amortization will hit the budget line. Thank you.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. McCormick. Mr. Thompson.

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Shane Thompson

Shane Thompson Nahendeh

Thank you, Mr. Chair. In regard to fuel services, I have noticed that we have had problems with MTS, given the High Arctic and that, with the smaller communities just recently, i.e., Wrigley. Has the cost gone up, or is it just because of the delivery costs that we have seen increases in fuel in the smaller communities? Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Thompson. Mr. Guy.

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Guy

Thank you, Mr. Chair. There are a number of factors that go into the price of fuel. There is the actual wholesale cost of the fuel, which fluctuates throughout the year depending on when we buy it. Diesel fuel, as you will note, in the last year has been fairly volatile; it has been up and down. Gasoline, even, has had some variation, as well. That is one component. The other component is the transportation costs for trucking. Trucking costs are a factor, and if that goes up or goes down, depending on market conditions, that can have a factor to play, as well as our community contractor costs. All of our fuel is dispensed in the communities by private contractors contracted by the fuel services division, and in those cases, when those contracts come up and are renewed, sometimes there is an increase in the costs. That can contribute to the fuel costs even though the other components of the cost may be the same.

There are a number of things that go into what determines the final price of the fuel, and those things vary at different times in the cycle. Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Guy. Mr. Thompson.

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Shane Thompson

Shane Thompson Nahendeh

Thank you, Mr. Chair. Is this information shared? I know that this is the first I have seen about the contracts, but I have seen the other explanation as to why the costs go up. Have I missed the contracts as part of this? This is the first time I have seen it, so I may have missed it. I apologize, but is it there? Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Thompson. Mr. Guy.

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Guy

Thank you, Mr. Chair. The community dispensing contracts and operating the tank farm contracts come up periodically. Every community is on a different cycle. They are usually two- or three-year contracts. We advertise them publicly. We give contractors in the community an opportunity to participate and respond and submit compliant bids. It depends on what the bid price is that comes in of the successful proponent, which is then factored into the price, and that can trigger a fuel price upgrade.

In some of the communities that are just subject to road delivery, we resupply a community, and there have a different price in the fuel if the price of wholesale fuel goes down or goes up. That can trigger a new price as well. We try to test the prices as soon as we have a new cost component available to input into the pricing. Thank you.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Guy. Mr. Thompson.

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Shane Thompson

Shane Thompson Nahendeh

Thank you. I appreciate that answer from the deputy minister. I know that, in Wrigley, we had to get fuel from the north part because of our ice conditions. Did that have an increase in the cost, or were we able to keep the cost where it was until we were able to ship in a new supply? Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Thompson. Mr. Guy.

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Guy

Thank you, Mr. Chair. I don't believe there was any impact on the cost of fuel for Wrigley, bringing it down. I believe we brought it from Tulita or Fort Good Hope on the winter road. That fuel was procured back in the summer and was probably at the same or slightly less of a price than the fuel that we had already planned to bring in through the normal resupply route. I think it turned out to sort of break even when you add the transportation cost to the fuel, but we will have to confirm that. As far as I know, there were no impact on fuel price in Wrigley as a result of that movement. Thank you.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Guy. Mr. Thompson.

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Shane Thompson

Shane Thompson Nahendeh

Thank you, Mr. Chair. I think you are correct that it didn't. I just wanted to clarify that. The next question I have in regard to fuel supply is the quality of it. Is it the same quality across the North when we resupply the communities? Is the fuel different? I have heard some concerns from constituents, who say, "Well, we get the fuel we get. It costs us X amount of dollars. We only get X amount from our tank." In Fort Simpson, the quality of gas seems to be a little bit different. When we go down south, you get a quality difference. Can you verify that the gas that we provide is all the same? Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Thompson. Mr. Guy.

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Guy

Thank you, Mr. Chair. The fuel that we provide for the petroleum products or through the fuel services division is of the same quality and standard everywhere in the territory. We have a rigorous testing program in place, where we test it at various points in the supply chain. During its final delivery into the tank farm, into the community, we have a regular testing program as well, to make sure that it meets the specifications that we specified when we purchased it. We do that on an ongoing basis as part of our maintenance and operating plan for the fuel services division. It should be the same quality of fuel in any of our tanks anywhere in the territory. Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Guy. Mr. Thompson.

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Shane Thompson

Shane Thompson Nahendeh

Thank you, Mr. Chair. My next question is about MTS. We talked about amortization for fuel services, but do we have any amortization for MTS and the stuff that we have purchased? Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Thompson. Mr. McCormick.

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Mccormick

Thank you, Mr. Chair. The MTS revolving fund records and discloses its own amortization, so there was no appropriated line in the budget. Thank you.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. McCormick. Mr. Thompson.

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Shane Thompson

Shane Thompson Nahendeh

Thank you. I guess I am confused. When we have fuel services, we have amortization in the budget, and then, when we have MTS, we don't have it in there, and both of them are revolving funds. Could you explain the rationale for the difference in that? Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Thompson. Minister Schumann.

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Wally Schumann

Wally Schumann Hay River South

I will start it, Mr. Chair, and then maybe Vince will want to add something. The GNWT owns the tank farm assets. If we were to have that inside the revolving fund for fuel services, the price of fuel would be unaffordable. It wouldn't be attainable, because that would be right down through MTS. This way, it is in the government assets, and it is written down as a government asset versus through the fuel services. I think I have got that right, but I will defer it to Mr. McCormick here to answer it a little bit better. Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Minister Schumann. Committee, please keep the sidebar conversations to a minimum. Mr. McCormick.

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Mccormick

Thank you, Mr. Chair. Yes, Minister Schumann is correct. It is just the way the assets are disclosed. They are all GNWT assets, but they are not disclosed separately for fuel services on their statements. Thank you.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. McCormick. Mr. Thompson.

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Shane Thompson

Shane Thompson Nahendeh

Thank you, Mr. Chair, and I thank the Minister and his staff for answering the questions. No further questions on this one. Thank you.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Thompson. Next, we have Mr. Vanthuyne.

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Cory Vanthuyne

Cory Vanthuyne Yellowknife North

Thank you, Mr. Chairman. I will go to pages 244 and 245, where we have a number of the programs that we contribute to described, in particular, the NWT energy efficiency projects. It seems as though we contribute about $300,000 to this each year. It is where the department works with the Power Corporation to integrate residual heat, variable-speed generators, and other efficiency technologies that could reduce fossil fuel consumption.

The Minister is aware of SSi Energy coming to the Standing Committee on Economic Development and Environment and putting forward a presentation that described some new technologies, to some degree a new technology, but, you know, these were technologies that are fairly well known and fairly well utilized by other means. When you bring them all together, they can do wonders in terms of reducing energy consumption and fuel usage in communities, so I am wondering if the department is taking any consideration into either working with corporations such as SSi or ATCO or others that could form microgrids and/or district energy systems to help get some of the thermal communities off of the use of really large single heavy-duty generators and get down to a system where we can utilize the energy and the fuel more efficiently. Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Vanthuyne. Minister Schumann.

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Wally Schumann

Wally Schumann Hay River South

Thank you, Mr. Chair. I have met with Mr. Philipp myself a number of times. It will be either around his battery initiative that he is working on or his proposed idea of centralized heat within a community and electricity. We have had a number of discussions with him. I have asked him to sit down with our director of energy and have those conversations to kind of dissected a bit. As I have said in the House, when I talked to Mr. Philipp, I was a little bit concerned about the size of the project and the amount that he wanted to chew off at once. Even, I was a little bit concerned about the community, that, even though he's very passionate about Fort Providence, I was a little bit concerned about the size and the layout of it and suggested maybe have a look at a little bit smaller tighter knit community, where some of these things could be done in a more economic fashion.

I like Jeff's concept. I think there is a possibility that something can be worked out in a manner that could work in one of our smaller communities. We will continue to have those discussions with him, but when you have a look at what he was trying to do all at once, I think it is a bit much. It hasn't been quite proven everywhere. He has, in theory, I think, and I am not an expert on this, but when you look at the multiple generators that he wanted to lay out throughout the community and the electricity aspect of it, I said, you know, one of the concerns I've got going forward and when you look at our energy strategy 2030, our three-year rolling plan, I said we are going to put a T-line into Fort Providence and put them on hydro, so does it clearly make sense to have a community that is going to be on the hydro system have diesel generation there for electricity? Central heat is something that is intriguing, but I know the details would have to be worked out around that, around cost effectiveness, about the length of line, about capturing the amount of BTUs from the source point to the building, and what would that entail, and the cost factors of that, and the layout of the community, as well.

That being said, as we have said, our energy strategy is a three-year rolling plan, and I will continue to look at these types of initiatives. We have made the commitment. We need to lower greenhouse gas emissions in the Northwest Territories. It would be around central heat or building efficiencies or electrical generation, and we will continue to work with these proponents going forward. Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Minister Schumann. Mr. Vanthuyne.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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Cory Vanthuyne

Cory Vanthuyne Yellowknife North

Thank you, Mr. Chairman. I really appreciate that the Minister is well in tune with Mr. Philipp's presentation and the concept of the microgrid and the district energy system, but one of the key pieces of that presentation was the idea of just simply getting a community, a large community, off of one large generator that runs full bore 24/7, 365, and getting it replaced with multiple smaller generators. Never mind the other aspects of, you know, graphene batteries or heat exchangers or what have you, just the idea of getting one large massive generator off and putting smaller ones in so that you can only have as many generators running as you need to cover the load that is required at the time, is there some thought being given to us putting some idea into future, replacement of our big, old, large generators into using this smaller multiple-generator system? Thank you, Mr. Chair.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Vanthuyne. I just caution Members: try not to mention any names for future, but we will go on to Minister Schumann.

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Wally Schumann

Wally Schumann Hay River South

Thank you, Mr. Chair. As I have said, you know, I am very interested in what Mr. Philipp is doing. Oh, sorry. Thank you, Mr. Chair. We are interested in looking with a number of proponents who brings these ideas forward with us. As I said, our strategy is a three-year rolling plan. Things are going to change. These types of ideas are out there. There are a number of people who have approached us on a number of ideas on what we can do in the communities, be it biomass or gasification. There have even been conversations about mini-nuclear and all these sorts of things. We have to be open-minded on moving this initiative forward, of lowering greenhouse gas emissions. The Premier has clearly signed on to the Pan-Canadian Framework on Clean Growth and Climate Change with the Prime Minister, and we have lined up our strategies and our federal funding to try to be able to achieve these things, so we have to be very open-minded on going forward. Thank you, Mr. Chair.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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The Chair

The Chair Frederick Blake Jr.

Thank you, Minister Schumann. Mr. Vanthuyne.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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Cory Vanthuyne

Cory Vanthuyne Yellowknife North

Thank you, Mr. Chairman. The $300,000 that is identified here seems like it is a contribution that we make every year to help the Power Corporation in regard to this. Can the Minister give us a little bit of a description on what is being done this year or what projects we might see some improvements, maybe a variable-speed generator or some other integrated residual-heat system completed with this year with this $300,000? Thank you, Mr. Chair.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Vanthuyne. Mr. Guy.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

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Guy

Thank you, Mr. Chair. There are a number of projects I believe the department is working with on the NWT Power Corporation, and I think that refers to one of the solar projects in the Sahtu. Thank you, Mr. Chair.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Guy. Mr. Vanthuyne.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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Cory Vanthuyne

Cory Vanthuyne Yellowknife North

Okay. That is great to hear. It is good to know we are making those kinds of investments in renewable alternative energies. No further questions in this activity. Thank you.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Vanthuyne. Any further questions, committee? Seeing none, I will call the page. Infrastructure, programs and services, operations expenditure summary, $31,885,000. Does committee agree?

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Consideration In Committee Of The Whole Of Bills And Other Matters

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Some Hon. Members

Agreed.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4995

The Chair

The Chair Frederick Blake Jr.

Agreed. Thank you. Next, we have regional operations, operations expenditure summary, from pages 247 to 249. Any questions from committee? Mr. Vanthuyne.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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Cory Vanthuyne

Cory Vanthuyne Yellowknife North

Thank you, Mr. Chair. Since Yellowknife is considered the North Slave district, let's start by confirming: can the Minister confirm that resources are in this budget for the roadside turnout at Big Hill Lake? I believe there were going to be some resources set aside for some predesign, et cetera. Can the Minister confirm that? Thank you.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4995

The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Vanthuyne. Minister Schumann.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

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Wally Schumann

Wally Schumann Hay River South

Thank you, Mr. Chair. Presently, we are working with our own forces internally with the design on this thing. We are working closely with ITI on it, as well. When it comes time to build this, we will be coming forward with appropriate appropriations to build that. Thank you, Mr. Chair.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4995

The Chair

The Chair Frederick Blake Jr.

Thank you, Minister Schumann. Mr. Vanthuyne.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

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Cory Vanthuyne

Cory Vanthuyne Yellowknife North

I appreciate that. It seems to me that there is at least some effort internally being put toward that. That is appreciated. What was my other aspect that I wanted to raise here on regional? I will defer for now, Mr. Chair. Thank you.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Vanthuyne. Next on the list, we have Mr. McNeely.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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Daniel McNeely

Daniel McNeely Sahtu

Thank you, Mr. Chair. My question is related to page 248. I think it might fit well with regional management or facilities management. As we all know, the opening of the regional health centre in Norman Wells took place last year. It is a very modern building. Is it standard within the department to have some set-aside money on the after-care of personnel training to get more and more familiar with some of the small problematic issues that might arise with the new building and in the areas of troubleshooting, for example? Are there monies for staff training for these new facilities coming on stream? Thank you, Mr. Chair.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. McNeely. Minister Schumann.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

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Wally Schumann

Wally Schumann Hay River South

Thank you, Mr. Chair. To inform the Member, in this budget year, particularly around the Norman Wells Health Centre, there is $196,000 that is going to be put in there for O and M and upgrades and stuff going on there with the assets. There are two people who are going to be hired in the Sahtu region primarily to support the region. There is going to be an operating engineer and a plumber being hired on staff to dedicate some forces towards the Norman Wells Health Centre. Ongoing training is also another aspect that will continue as we further evolve with our staff on that building. Thank you, Mr. Chair.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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The Chair

The Chair Frederick Blake Jr.

Thank you, Minister Schumann. Mr. McNeely.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

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Daniel McNeely

Daniel McNeely Sahtu

Nothing further, Mr. Chair. Thank you. It was brought to my attention, so I am satisfied with the reply. Thank you very much.

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Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4995

The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. McNeely. Next, we have Mr. O'Reilly.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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Kevin O'Reilly

Kevin O'Reilly Frame Lake

Thanks, Mr. Chair. I have some questions about the revolving funds. Is this the appropriate place to ask them?

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4995

The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. O'Reilly. Mr. Guy.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

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Guy

The question was to the chair, Mr. Chair.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

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The Chair

The Chair Frederick Blake Jr.

Say again, Mr. O'Reilly.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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Kevin O'Reilly

Kevin O'Reilly Frame Lake

Thanks, Mr. Chair. I think it is actually the next section. When can I ask some questions about the revolving funds?

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Consideration In Committee Of The Whole Of Bills And Other Matters

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The Chair

The Chair Frederick Blake Jr.

Mr. O'Reilly, right now, we are on page 247 to 249. Then we will do the information items. Once we finish this section, then you could ask questions on the information items. Next, we have Mr. Thompson.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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Shane Thompson

Shane Thompson Nahendeh

Thank you, Mr. Chair. Hopefully, this will be really quick. In regard to highway operations, I am assuming this include winter roads in this section? Thank you, Mr. Chair.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4996

The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Thompson. Minister Schumann.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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Wally Schumann

Wally Schumann Hay River South

Yes, it does, Mr. Chair.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4996

The Chair

The Chair Frederick Blake Jr.

Thank you, Minister Schumann. Mr. Thompson.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

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Shane Thompson

Shane Thompson Nahendeh

Thank you, Mr. Chair. In regard to the Sambaa K'e winter road, again, it is the question about the hills there. Have you identified money to help them with two hills for this fiscal year, or is it the past fiscal year? Thank you, Mr. Chair.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4996

The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Thompson. Minister Schumann.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

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Wally Schumann

Wally Schumann Hay River South

Thank you, Mr. Chair. I think, when the Member asked me in the House about this particular question, I said that we would be working with the community on a CAP application. They have submitted one, and we are working with them to looking at approving to do some work on the winter road this year through CAP. Thank you, Mr. Chair.

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Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4996

The Chair

The Chair Frederick Blake Jr.

Thank you, Minister Schumann. Mr. Thompson.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

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Shane Thompson

Shane Thompson Nahendeh

Thank you, Mr. Chair. That is this fiscal year, or are we talking 2019-2020? Thank you, Mr. Chair.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4996

The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Thompson. Minister Schumann.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4996

Wally Schumann

Wally Schumann Hay River South

Thank you, Mr. Chair. That will be this fiscal year. Thank you, Mr. Chair.

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Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4996

The Chair

The Chair Frederick Blake Jr.

Thank you, Minister Schumann. Any further questions committee? Seeing none, I will call the page. Infrastructure, regional operations, operation expenditure summary, $145,523,000. Does committee agree?

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4996

Some Hon. Members

Agreed.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4996

The Chair

The Chair Frederick Blake Jr.

Agreed. Thank you, committee. Next, we have information items from pages 250 to 261. Mr. O'Reilly.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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Kevin O'Reilly

Kevin O'Reilly Frame Lake

Thanks, Mr. Chair. Let's start with the Petroleum Products Revolving Fund. The deficit is sort of jumping all over the place between 2017-2018 and 2019-2020. Can somebody explain what is happening here? Thanks, Mr. Chair.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4996

The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. O'Reilly. Mr. McCormick.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

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Mccormick

Thank you, Mr. Chair. On this information item, the 2017-2018 actuals are the only, for lack of a better term, real number on the page. The main estimates for 2018-2019 were what we estimated at that time. Revised are updated to reflect the operations throughout the years. That is roughly where we would be this year. The accumulated deficit is just the accumulated operational surpluses for the year. Basically, they are sort of rolling budgets as we go along. We do the best we can to estimate them. Then once the financial audit financial statements are done, then we would update at that time. Thank you.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4996

The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. McCormick. Mr. O'Reilly.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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Kevin O'Reilly

Kevin O'Reilly Frame Lake

Thanks, Mr. Chair. 2019-2020, it is predicted that the accumulated deficit is almost going to be $1 million. Is that what I am seeing here? Thanks, Mr. Chair.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4996

The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. O'Reilly. Mr. McCormick.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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Mccormick

Thank you, Mr. Chair. Yes, that is correct. The accumulated deficit represents the Petroleum Products Stabilization Fund. Thank you.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4996

The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. McCormick. Mr. O'Reilly.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4996

Kevin O'Reilly

Kevin O'Reilly Frame Lake

Thanks, Mr. Chair. The MTS expenses that were incurred because of the failure to deliver fuel and other supplies to the coastal communities, is any of that being charged to the Petroleum Products Revolving Fund? Thanks, Mr. Chair.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4996

The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. O'Reilly. Mr. Guy.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

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Guy

Thank you, Mr. Chair. Yes, there is.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4996

The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Guy. Mr. O'Reilly.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4996

Kevin O'Reilly

Kevin O'Reilly Frame Lake

Thanks, Mr. Chair. Well, that was extremely short. Why? Thanks, Mr. Chair.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4996

The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. O'Reilly. Mr. Guy.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

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Guy

Thank you, Mr. Chair. The Petroleum Products Revolving Fund covers the cost of purchasing, delivering, transporting, and operating the fuel distribution system. The cost associated with moving the fuel, whether it is by truck, barge, or in this case, airplane, was charged to that fund. Thank you, Mr. Chair.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4996

The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Guy. Mr. O'Reilly.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4996

Kevin O'Reilly

Kevin O'Reilly Frame Lake

Thanks, Mr. Chair. That is kind of a creative way. Look, I don't run these things, but when an expense is incurred because of one operation and it gets charged to another, is that the way we handle this stuff? Thanks, Mr. Chair.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4996

The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. O'Reilly. Mr. Guy.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

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Guy

Thank you, Mr. Chair. In this case, the cost of transporting the fuel is something that will be charged inside the Petroleum Products Revolving Fund, so that is where that cost was put, along with all of the other marine transportation costs. Thank you, Mr. Chair.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4996

The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Guy. Mr. O'Reilly.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4996

Kevin O'Reilly

Kevin O'Reilly Frame Lake

Thanks, Mr. Chair. Let's turn, then, to Marine Transportation Services Revolving Fund. It is on 255. The revenues are obviously way down from 2018-2019 to 2019-2020. What is happening with the revenues? Thanks, Mr. Chair.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4996

The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. O'Reilly. Mr. Guy.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

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Guy

I am just looking for the number here. In 2018-2019, forecasted revenues are what you see here on the page. Our actual revenues year-to-date for 2018-2019 are significantly higher. Thank you, Mr. Chair.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4996

The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Guy. Mr. O'Reilly.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4996

Kevin O'Reilly

Kevin O'Reilly Frame Lake

Thanks, Mr. Chair. That is helpful. I can see that. Why is there $40 million in 2018-2019 and then only predicted to be $12.35 million for 2019-2020? Thanks, Mr. Chair.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4996

The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. O'Reilly. Mr. McCormick.

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Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4996

Mccormick

Thank you, Mr. Chair. As Deputy Minister Guy has stated, the revised main estimates are tracking where we were at the time that these estimates were produced. The 2019-2020 estimates were based on the business plan that we have in place. There was a three-year rolling business plan, and that is where those numbers came from. That is why they are showing less. Basically, that is to show a conservative estimate, because some of that business, offshore and that, we can't count on year-to-year, so we try not to bank on it for the purposes of estimation. Thank you.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4996

The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. McCormick. Mr. O'Reilly.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4996

Kevin O'Reilly

Kevin O'Reilly Frame Lake

Thanks, Mr. Chair. It looks like we are still trying to figure out that fund. I am going to leave it alone for now, but it is certainly jumping all over the place. Let's turn to the Yellowknife Airport Revolving Fund on 257. I guess my first question is: why is the accumulated surplus for 2019-2020 predicted to be almost $36 million, which is the authorized limit? Thanks, Mr. Chair.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4996

The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. O'Reilly. Mr. McCormick.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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Mccormick

Thank you, Mr. Chair. Because the Yellowknife Airport Revolving Fund is a special purpose statement, the accumulated surplus is just shown this way for presentation purposes. The assets are owned by the GNWT, so the actual authorized limit surplus would not include the accumulated surplus for the assets that the GNWT owns. It is just for presentation purposes on the statements. The actual accumulated surplus would be approximately $12.5 million, is what we are predicting for 2019-2020, and with an accumulated real surplus of about $23 million. There would be a significant difference between that and the authorized limit. Thank you, Mr. Chair.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4996

The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. McCormick. Mr. O'Reilly.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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Kevin O'Reilly

Kevin O'Reilly Frame Lake

Thanks, Mr. Chair. Here is my usual statement: if I wasn't confused before, now I am. There is some other imaginary surplus that is not shown on this page. Can the Minister provide this to us? I am looking at what we are supposed to be reviewing, but some other figures are being presented. Thanks, Mr. Chair.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4996

The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. O'Reilly. Ms. Robertson.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

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Robertson

Thank you, Mr. Chair. Just an initial comment: Mr. McCormick had mentioned the 2017-2018 actuals. If you look at the farthest right-hand column, you will see the $23 million, which represents the value of the capital assets. The capital assets are actually owned by the GNWT, so they are not actually part of the revolving fund, but they are just shown for informational purposes here. That $23 million is carried forward through the years, which is why you see the $35 million of the accumulated surplus at end-of-year in the projection of 2019-2020. Now, because those assets aren't owned by the revolving fund, the actual accumulated surplus is $23 million less than that, and it is $12 million. I do understand that it is a little bit confusing, how these information pages have been laid out, and we will be working with the Department of Finance next year to improve how these pages are shown within the main estimates to make it clearer. Thank you, Mr. Chair.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

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The Chair

The Chair Frederick Blake Jr.

Thank you, Ms. Robertson. Mr. O'Reilly.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

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Kevin O'Reilly

Kevin O'Reilly Frame Lake

Thanks, Mr. Chair. Okay. I think I understand that a little bit better, and a better presentation next year would be helpful. I am concerned that there are growing revenues here that we don't seem to be spending on the Yellowknife Airport. It has grown now by $5 million over two years. Why are we not spending this money on improvements at the Yellowknife Airport? Thanks, Mr. Chair.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4997

The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. O'Reilly. Minister Schumann.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

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Wally Schumann

Wally Schumann Hay River South

Thank you, Mr. Chair. The first problem with this page is that it doesn't show the capital expenditures that we are working on. That is the first problem with it, but we are doing a number of improvements going forward. Trust me; we don't want to be sitting on $12 million of cash when we need to do a number of projects that are going to be happening out there at the Yellowknife Airport.

We have our 20-year master plan, our long-term strategic plan, so hopefully we are going to have that completed by spring. We will probably be sharing that, I suspect, with committee at that time as well. We have talked in the House about a number of things, about relocating the oversized baggage facility to the de-icing facility to runway repairs. We had the federal announcement that I did here a couple of weeks ago around the lighting and the investment that they are going to help with. We have got to do our 25 percent with the federal government on that thing. The projects that we have done lately, like the parking lot and the improvements that we have made to the holding rooms and these types of things. There are a number of projects going forward, and as I said, the page doesn't clearly lay out the capital plan going forward. Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Minister Schumann. Mr. O'Reilly, your time has expired. If you want, I can put you on the list again. Thank you. Any further questions from committee on the information items? Seeing none, we will now return to the departmental summary found at page 231. Infrastructure, total department, $264,013,000. Does committee agree?

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Consideration In Committee Of The Whole Of Bills And Other Matters

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Some Hon. Members

Agreed.

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Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4997

The Chair

The Chair Frederick Blake Jr.

Thank you. Does committee agree that consideration of the Department of Infrastructure is concluded?

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Consideration In Committee Of The Whole Of Bills And Other Matters

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Some Hon. Members

Agreed.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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The Chair

The Chair Frederick Blake Jr.

Thank you. Thank you, Minister, and our thanks to your witnesses for appearing before us. Sergeant-at-Arms, please escort the witnesses from the Chamber. Thank you, committee. We will now turn to the next department, the Department of Industry, Tourism and Investment. Minister of Industry, Tourism and Investment, would you like to provide comments?

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Wally Schumann

Wally Schumann Hay River South

Thank you, Mr. Chair. Yes, I would. I am pleased to present the 2019-2020 Main Estimates for Industry, Tourism and Investment. Overall, the department's estimates propose an increase of $2.9 million or 5 percent over the 2018-2019 Main Estimates.

The estimates include several funding increases to support departmental priorities.

An increase in funding for tourism marketing is proposed to help our highest potential renewable-resource industry continue its growth. Also included is additional funding for parks operations to support their role in this growth while providing high-quality facilities for our residents and visitors.

Funding to implement the Petroleum Resources Strategy, a key element to the Government of Northwest Territories' long-term vision and approach to energy and climate change, is also included in the budget as well as funding to continue the Northwest Territories geological survey's objective to better understand the geology of the Slave Geological Province.

An additional three positions, including operational costs, are included to support our work in developing the knowledge economy, effectively administering mineral tenure, and further supporting our film sector.

As we plan for the up-and-coming fiscal year, the Department of Industry, Tourism and Investment remains focused on the mandate priorities set out by the 18th Legislative Assembly and continues to work to fulfil our commitments.

One of these commitments is to release a Northwest Territories manufacturing strategy, which we are set to fulfil during this 18th Legislative Assembly.

The Department of Industry, Tourism and Investment will be investing in the implementation of its strategy to revitalize commercial fishing on Great Slave Lake.

We will be pursuing MOUs on economic development with Indigenous governments, supporting local food production, and training for commercial farmers.

We will continue to implement the Mineral Development Strategy, most notably through the planned introduction of the Mineral Resources Act and the development of supporting regulations.

In 2019-2020, ITI will also focus on:

  • launching a web-based information portal and educational materials for the Resources and Energy Development Information initiative;
  • installing renewable energy infrastructure in off-grid campgrounds;
  • working with the Department of Lands to develop a land-use tenure approach that will support the agriculture sector; and
  • advancing work towards the federal transfer of the proposed Doi T'oh Park.

Of the department's total proposed budget, 28.7 percent has been allocated to economic diversification and business support, 28.9 percent to tourism, and 27.6 percent is identified for spending in the areas of minerals and petroleum resources.

This concludes my opening remarks, and I welcome questions from the Members. Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

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

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Wally Schumann

Wally Schumann Hay River South

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

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Consideration In Committee Of The Whole Of Bills And Other Matters

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The Chair

The Chair Frederick Blake Jr.

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

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Wally Schumann

Wally Schumann Hay River South

Thank you, Mr. Chair. On my left, I have Nina Salvador, director of finance and administration for ITI. On my immediate right, I have Deputy Minister Tom Jensen. On our far right, we have Tracy St-Denis, assistant deputy minister of economic development. Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you. Committee, you have agreed to forgo general comments and proceed directly to the detail for the Department of Industry, Tourism and Investment. Agreed?

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Consideration In Committee Of The Whole Of Bills And Other Matters

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Some Hon. Members

Agreed.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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The Chair

The Chair Frederick Blake Jr.

The department begins on page 199, but we will defer the departmental summary and review the estimates by activity summary, beginning at page 207. Industry, Tourism and Investment, corporate management, operations expenditure summary, $8,840,000. Any questions from committee? Seeing none, does committee agree?

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Some Hon. Members

Agreed.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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The Chair

The Chair Frederick Blake Jr.

Agreed. Moving on, we have economic diversification and business support, operations expenditure summary, $17,251,000. Any questions from committee? Economic diversification is on page 209 to 213. Any questions? Does committee agree?

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Consideration In Committee Of The Whole Of Bills And Other Matters

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Some Hon. Members

Agreed.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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The Chair

The Chair Frederick Blake Jr.

Okay. I will read the page again. Corporate management, operations expenditure summary, $8,840,000. Does committee agree?

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Consideration In Committee Of The Whole Of Bills And Other Matters

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Some Hon. Members

Agreed.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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The Chair

The Chair Frederick Blake Jr.

Agreed. Next, we have economic diversification and business support, from page 209 to 213. Economic diversification and business support, operations expenditure summary, $17,251,000. Any questions, committee? Mr. Nakimayak.

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Herbert Nakimayak

Herbert Nakimayak Nunakput

Thank you, Mr. Chair. On page 211, the Northern Food Development Program, can I just have a little bit of information for that for this year, please? Thank you, Mr. Chair.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Nakimayak. Ms. St-Denis.

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St-Denis

Thank you, Mr. Chair. The Northern Food Development Program is a program provided by our regional offices, and it supports different program areas, such as fishing. So communities like Tsiigehtchic, where we have commercial fishers or new entrants wanting to enter into that sector, that would be the programming area that their regions would utilize.

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Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4997

The Chair

The Chair Frederick Blake Jr.

Thank you, Ms. St-Denis. Mr. Nakimayak.

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Herbert Nakimayak

Herbert Nakimayak Nunakput

Thank you, Mr. Chair. I appreciate that. I don't know if this is the section. I know Tuktoyaktuk, during the last year's business plans, during sitting last year, there was $100,000 allocated for the community of Tuktoyaktuk to possibly look at upgrading the current visitor centre that they have there now, which is a shack. Thank you, Mr. Chair.

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Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4998

The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Nakimayak. Minister Schumann.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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Wally Schumann

Wally Schumann Hay River South

Mr. Chair, can we get the Member to repeat the question? Thank you, Mr. Chair.

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Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4998

The Chair

The Chair Frederick Blake Jr.

Thank you, Minister Schumann. Mr. Nakimayak.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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Herbert Nakimayak

Herbert Nakimayak Nunakput

Yes, thank you, Mr. Chair. Last year, during the last November sitting, there was $100,000 from ITI to help Tuktoyaktuk with the current visitor centre that they have there now. I believe the department had allocated $100,000 to possibly look at upgrading the visitor centre that they currently have in Tuktoyaktuk right now. I don't know if that helps, but I could dig into e-mails quickly here and find out exactly what it is.

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Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4998

The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Nakimayak. Minister Schumann.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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Wally Schumann

Wally Schumann Hay River South

Thank you, Mr. Chair. From what I know of what is going on with the tourism information centre in Tuktoyaktuk is we are going to help do a feasibility study on the prospect of something happening there, but I think the Member might be referring to something that potentially could be in the capital budget going forward. Thank you, Mr. Chair.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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The Chair

The Chair Frederick Blake Jr.

Thank you, Minister Schumann. Mr. Nakimayak.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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Herbert Nakimayak

Herbert Nakimayak Nunakput

Thank you, Mr. Chair. I believe so. I am sorry for my confusion. I don't think I have anything else right now, Mr. Chair. Thank you.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Nakimayak. Any further questions, committee? Mr. O'Reilly.

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Kevin O'Reilly

Kevin O'Reilly Frame Lake

Thanks, Mr. Chair. Given my colleague's last line of questioning, is this where planning studies would fall for the visitor centre, or would it be found in tourism and parks as we work our way through the ITI budget? Thanks, Mr. Chair.

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Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4998

The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. O'Reilly. Ms. St-Denis.

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St-Denis

Hi there. Yes, thank you, Mr. Chair. When it comes to planning studies, we do have a variety of applicants that do apply under the SEED Program. As it relates to tourism, this would also include SEED as well.

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Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4998

The Chair

The Chair Frederick Blake Jr.

Thank you, Ms. St-Denis. Mr. O'Reilly.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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Kevin O'Reilly

Kevin O'Reilly Frame Lake

Thanks. Well, I will go ahead and try it here, and I might get told I have to ask it later, but is there any funding in the 2019-2020 budget for a territorial or Yellowknife visitor centre? Thanks, Mr. Chair.

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Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4998

The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. O'Reilly. Ms. St-Denis.

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St-Denis

Thank you, Mr. Chair. Later in the budget, there actually is a line item that does speak to Yellowknife visitor services, so we would be able to address questions there. I am not sure if that answers the Member's question at this point.

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Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4998

The Chair

The Chair Frederick Blake Jr.

Thank you, Ms. St-Denis. Mr. O'Reilly.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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Kevin O'Reilly

Kevin O'Reilly Frame Lake

Thanks, Mr. Chair. I will see if I can wait until we get to the end, then. Thanks, Mr. Chair.

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Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4998

The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. O'Reilly. Next on our list, we have Mr. Beaulieu.

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Tom Beaulieu

Tom Beaulieu Tu Nedhe-Wiilideh

Thank you, Mr. Chair. Mr. Chair, I have a question on the commercial fishers. It indicates on there that it is to offset the high cost of freight or production costs. Is that for the whole of Great Slave Lake, or is that the whole territory? Thank you.

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Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4998

The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Beaulieu. Ms. St-Denis.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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St-Denis

Thank you, Mr. Chair. That program actually is for those fishers for freight subsidies where fish is actually going to the Freshwater Fish Marketing Corporation.

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Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4998

The Chair

The Chair Frederick Blake Jr.

Thank you, Ms. St-Denis. Mr. Beaulieu.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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Tom Beaulieu

Tom Beaulieu Tu Nedhe-Wiilideh

Are the fishers from Yellowknife included in that, or just people from the south of the lake? Thank you.

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Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4998

The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Beaulieu. Ms. St-Denis.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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St-Denis

Thank you, Mr. Chair. That program would be for any fisher who was actually selling fish through the fish plant to the Freshwater Fish Marketing Corporation. We do, however, as mentioned earlier, have the Northern Food Development Program, which would help fishers across the Northwest Territories. Thank you.

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Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4998

The Chair

The Chair Frederick Blake Jr.

Thank you, Ms. St-Denis. Mr. Beaulieu.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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Tom Beaulieu

Tom Beaulieu Tu Nedhe-Wiilideh

Thank you, Mr. Chair. I have no further questions.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Beaulieu. Next, we have Mr. Testart.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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Kieron Testart

Kieron Testart Kam Lake

Thank you, Mr. Chair. I am just taking a look at these lines, especially around the SEED program, Support for Entrepreneurs and Economic Development, and Community Futures. Let's just talk about SEED. This money has only seen very small marginal increases over the years. I would like to know what the subscription rates for the SEED fund are. Thank you.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Testart. Minister Schumann.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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Wally Schumann

Wally Schumann Hay River South

Thank you, Mr. Chair. For the number of years that we have tracked it from 2010 to now, it has either been almost 100 percent subscribed or else oversubscribed. Thank you, Mr. Chair.

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Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4998

The Chair

The Chair Frederick Blake Jr.

Thank you, Minister Schumann. Mr. Testart.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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Kieron Testart

Kieron Testart Kam Lake

How much is it oversubscribed? Thank you.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4998

The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Testart. Minister Schumann.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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Wally Schumann

Wally Schumann Hay River South

We can supply this chart to the Members, but in 2017-2018, the surplus deficit was $26,888 over. Thank you, Mr. Chair.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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The Chair

The Chair Frederick Blake Jr.

Thank you, Minister Schumann. Mr. Testart.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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Kieron Testart

Kieron Testart Kam Lake

Thank you. Sorry, I wasn't looking for deficit numbers, but that is helpful. If the SEED fund had the available funding, what is the amount of applications that would have been approved under those conditions? Thank you.

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Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4998

The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Testart. Minister Schumann.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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Wally Schumann

Wally Schumann Hay River South

Thank you, Mr. Chair. Just to give the Member an idea, I will run through it really quickly. In 2010-2011, we had 418. In the next calendar years, 448, 437, 454, 480, 410, 441, 445, are the number of applicants, but the number of people approved changes year to year depending on the type of applications that we receive. Thank you, Mr. Chair.

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Consideration In Committee Of The Whole Of Bills And Other Matters

Page 4998

The Chair

The Chair Frederick Blake Jr.

Thank you, Minister Schumann. Mr. Testart.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

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Kieron Testart

Kieron Testart Kam Lake

Thank you. This funding is crucial capital for entrepreneurs and for businesses that are looking to develop, to grow, and to pursue expansion, and there is just not a lot of private equity out there being floated to northern businesses. I see this fund as a key way that the government can help diversify the economy directly, and yet, we do not see substantial increases to this pot of money.

I recall a couple of years ago when similar arguments were being made to increase the Mineral Incentive Program, which was done, and currently that fund pays out and is contributing a lot to our economy. Why aren't we taking the same approach with this vital fund? The answer, often, when we are raising questions on behalf of our constituents who are looking to access more government support, when we are looking at the general state of the economy, the answer is often, "Go to the SEED fund," and the SEED fund too frequently runs out.

Why are we not putting more resources into this fund, which is a very useful way to contribute to the economy, to diversify the economy, and to get entrepreneurs the capital that isn't as freely flowing to them from private capital institutions? Thank you.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Testart. Minister Schumann.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

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Wally Schumann

Wally Schumann Hay River South

Thank you, Mr. Chair. As I have said under heavy questioning before, around some of the funding allocations that we try to get for the Department of Industry, Tourism and Investment, we have to do our applications just like all of the other departments and compete with the limited amount of resources that the Government of the Northwest Territories has. That being said, with the amount of money that we have right now for Support for Entrepreneurs and Economic Development in the Northwest Territories and the applicants that we have got, I think that we are doing a pretty good job with the allocation that we have, and we are meeting the needs of Northerners at this point. Thank you, Mr. Chair.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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The Chair

The Chair Frederick Blake Jr.

Thank you, Minister Schumann. Mr. Testart.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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Kieron Testart

Kieron Testart Kam Lake

Thank you. I am not disagreeing 100 percent. I think that this is doing a good job. It's just that we could be doing an even better job, and of course, there were changes to SEED that have allowed the program to flow a bit more broadly throughout all of the regions of the territory. Doing the best job that we can with the available resources isn't doing better. We are looking at a future of recession. We are looking at economic hardship ahead. No one denies that. We should be using funding like this and resources like this that, A, we know work; B, we know that entrepreneurs are readily accessing and celebrating the opportunity; and C, we know that a marginal increase over a period of years is going to have large economic impacts and form multipliers.

Will the Minister consider a SEED plan that will see more investment in this fund in the next business plan for a period of years when, again, capital markets are going to contrast even more tightly than they currently are? Thank you.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Testart. Minister Schumann.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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Wally Schumann

Wally Schumann Hay River South

Thank you, Mr. Chair. One of the things that we've done, on recommendation from the Regular Members was, we want more data, so we've taken that initiative. We're taking that step to track these programs, and some of the stuff they're doing within our department. We've clearly set out some internal working groups that collect more data for us to be able to make better decisions on, are we getting value for money around these programs that we're in charge of. This is early days of collecting that data, but as I've said, we've got to compete with resources with every other department with the Minister of Finance and make our case for it. I think, once we get more data to support the fact that the points that the Members raise, if they're supportive of what he's saying, then I would clearly support trying to get more money into the SEED program. First of all, we can't put the cart before the horse. They've asked us to get more data, and that's what we're going to do. Thank you, Mr. Chair.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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The Chair

The Chair Frederick Blake Jr.

Thank you, Minister Schumann. Mr. Testart.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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Kieron Testart

Kieron Testart Kam Lake

Thank you, Mr. Chair. I would encourage the Minister to move expediently on it. Moving to the Film Industry Rebate Program, Members have had an opportunity to speak with the professional association around the film industry in the Northwest Territories, and also look at how this program performs. It's moved from a pilot project to a full-time funding pool, which is fantastic, but again, this is another one where we see very similar funding allocations year on year. If we want to expand the presence of the film industry, especially down-market production, we're going to need to put more financial resources into the rebate program. That down-market production is where you're going to develop the capacity, the knowledge economy, and create jobs that stick around and aren't brought here just during the production phase. These are media professionals who will stick around. Is there any thought as to either putting more resources into this, or developing new funding criteria to support a downstream production of film in the Northwest Territories? Thank you.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Testart. Minister Schumann.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

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Wally Schumann

Wally Schumann Hay River South

Thank you, Mr. Chair. One of the things that we've done throughout this year is that we've asked for a film officer, one new position. That's in there. It's clearly laid out, that we wanted additional funding to help support the implementation of the Northwest Territories Film Strategy in its actions to increase marketing efforts to promote the Northwest Territories Film Rebate program and new targeted initiatives that will include annual familiarization tours to attract interest and investment into the Northwest Territories. This position, as I've said, is to help attract investment and interest in the Northwest Territories, and this is going to certainly help the film industry to move forward with this additional position that we've asked for. Thank you, Mr. Chair.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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The Chair

The Chair Frederick Blake Jr.

Thank you, Minister Schumann. Mr. Testart.

Consideration In Committee Of The Whole Of Bills And Other Matters
Consideration In Committee Of The Whole Of Bills And Other Matters

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Kieron Testart

Kieron Testart Kam Lake

Thank you, Mr. Chair. The Film Commissioner and the office around the Film Commissioner works very hard to do exactly that, and I think the additional support will be great, but marketing and bringing productions here is only half the equation. The way to expand the industry is to actually build that local production capacity so you can have creators and film crews and technicians and engineers and all those people who make movies permanently based here. That's the way we can diversify the economy as well. Local economies in regions that have been successful in this have always built very strong rebate programs. The rebate program we have is great for now and for attracting people to come and make movies here, but if we're going to make our own movies, we need to strengthen it. Is the Minister open to that component of the film industry? Thank you.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Testart. Minister Schumann.

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Wally Schumann

Wally Schumann Hay River South

Thank you, Mr. Chair. Ever since I got this file, the film industry has moved a long way. We've done a number of things working with the film Commission and moving the Western Arctic Movie Pictures and NWT Professional Media Association along. We continue to promote them alongside them. As I've said, we've offered this new officer to help them promote the industry in the Northwest Territories. Last year, at their first annual gala, we supported a new apprenticeship program for its members, which was greatly appreciated by the industry. The feedback that I've got from them to help them grow the industry here in the Northwest Territories, this is going to continue to help support those types of programs of them moving forward.

As I've said, we just can't keep throwing money at this. We've got to do our allocation with our Finance Minister to try to get the appropriate funds where the most need is right now in the Northwest Territories, and I think just adding this one position this year with the limited resources we've got is doing good things for the film industry. Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Minister Schumann. Any further questions from committee? Seeing none, I'll call the page. Industry, Tourism and Investment, economic diversification and business support, operations expenditure summary, $17,251,000. Does committee agree?

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Some Hon. Members

Agreed.

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The Chair

The Chair Frederick Blake Jr.

Thank you. That brings us to minerals and petroleum resources, operations expenditure summary, $16,569,000 from pages 214 to 217. Any questions from committee? Mr. O'Reilly.

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Kevin O'Reilly

Kevin O'Reilly Frame Lake

Thanks, Mr. Chair. On page 216 under grants and contributions I see the NWT Chamber of Mines for $30,000. When I looked at the 2017-2018 grants contributions report from the department, and I see that the Chamber of Mines 2017-2018 got $190,600. How do we go from $30,000 to $190,000? Because that seems to be a flat line over time, although it was more back in 2017-2018. What else is happening here that the Chamber of Mines is getting money from ITI? Thanks, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. O'Reilly. Ms. Salvador.

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Salvador

Thank you, Mr. Chair. I think what we're talking about is the funding that was paid under the grants and contributions report. Basically, the reason why we have an increased amount in 2017-2018 is that contributions in 2017 and 2018 were to promote the NWT as an investment destination through hosting promotional events at major geoscience and mining conferences such as Roundup, PDAC, and Antwerp World Diamond Centre in Ottawa; organizing, promoting, and hosting the 2017 Yellowknife Geoscience Forum; and increasing public awareness of the minerals industry, Mining North works. Overall, there is an increase in activities within the NWT Chamber of Mines. Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Ms. Salvador. Mr. O'Reilly.

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Kevin O'Reilly

Kevin O'Reilly Frame Lake

Thanks, Mr. Chair. Thanks, Mr. Chair. I can read those items in the grants and contributions report, as well. This Indigenous Mineral Development Support Program of $100,000, is that actually run through the Chamber of Mines? Thanks, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. O'Reilly. Minister Schumann.

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Wally Schumann

Wally Schumann Hay River South

Thank you, Mr. Chair. No, that is all run through our department. Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Minister Schumann. Mr. O'Reilly.

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Kevin O'Reilly

Kevin O'Reilly Frame Lake

Thanks, Mr. Chair. How do we go from $190,000 in 2017-2018 to only $30,000 in 2019-2020? That's what's in the main estimates here. Thanks, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. O'Reilly. Minister Schumann.

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Wally Schumann

Wally Schumann Hay River South

Thank you, Mr. Chair. That's the answer that Ms. Salvador just gave him. There were contributions for 2017-2018 in order to promote the Northwest Territories and all those number of initiatives that were mentioned by the Director of Finance. Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Minister Schumann. Mr. O'Reilly.

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Kevin O'Reilly

Kevin O'Reilly Frame Lake

Okay, thanks. I'll see what happens with the future grants and contributions reports. It just doesn't seem to really square up very well. I think this is the part of the budget where, as I understand it, the department is looking at hiring a deputy, an additional deputy mining recorder. Is that correct? Thanks, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. O'Reilly. Minister Schumann.

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Wally Schumann

Wally Schumann Hay River South

Thank you, Mr. Chair. Yes, it is.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Minister Schumann. Mr. O'Reilly.

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Kevin O'Reilly

Kevin O'Reilly Frame Lake

Thanks, Mr. Chair. In the department's business plan which is found on the Department of Finance's website, there's an interesting figure there. It's 12, that shows the number of claims that are in good standing, number of leases in good standing, number of prospecting permits, and virtually all of those have declined from 2014-2015 to 2017-2018. There is this declining trend of either claims being kept in good standing, leases in good standing, number of prospecting permits. Why do we need another deputy mining recorder if all of these trends are in decline? Thanks, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. O'Reilly. Minister Schumann.

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Wally Schumann

Wally Schumann Hay River South

Thank you, Mr. Chair. If you look at the new mineral claims that have taken place in the Northwest Territories since 2015-2016 in particular and forward, the growth has been 165 percent, 175 percent, so, as a result of this increase in mineral activity registration transaction plan inquiries, there is a need to ensure that industry clients receive timely approvals of their claims, work-report filings, related transactions, necessary device, and support for their regulatory requirements related to mineral tender and management that is administered by the mining recorder's office are met. The position is intended to provide appropriate support to the mining industry clients. Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Minister Schumann. Mr. O'Reilly.

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Kevin O'Reilly

Kevin O'Reilly Frame Lake

Thanks, Mr. Chair. The Minister referred to a 165-percent increase in work. That is not what I am seeing on figure 12 in the business plan. As I said, in fact, it is a declining amount of claims that are in good standing, number of leases in good standing, number of prospecting permits in good standing. Everything is declining, so what figure is the Minister referring to? Thanks, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. O'Reilly. Minister Schumann.

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Wally Schumann

Wally Schumann Hay River South

Thank you, Mr. Chair. I will have to have a discussion with the Member, I guess maybe when we are done business plans, but my numbers clearly show there has been an increase in activity of mineral claims, as I said, 165 percent, 175 percent. Registered document filings are up by 695 percent. There are some serious increased activity within this department. Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Minister Schumann. Mr. O'Reilly.

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Kevin O'Reilly

Kevin O'Reilly Frame Lake

Thanks, Mr. Chair. Yes, well, whatever the figures the Minister has certainly don't square with what is in the business plan where, you know, the number of claims in good standing declined in 2014-2015: 2,256 down to 1,123 in 2017-2018. That is less than half. The number of leases hasn't declined quite that rapidly, but I just don't see an increase in workload here. I don't know what figures the Minister has that I can't see. That is not what I am seeing here, so, if the Minister could commit to share that information with me, that would be great.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. O'Reilly. Minister Schumann.

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Wally Schumann

Wally Schumann Hay River South

Thank you, Mr. Chair. Absolutely, we will share that with the Member. Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Minister Schumann. Mr. O'Reilly.

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Kevin O'Reilly

Kevin O'Reilly Frame Lake

Thanks, Mr. Chair. I have another question on this one with regard to the Mining Incentive Program. There is a table in the business plan. It's figure 11. That talks about how the money from the Mineral Incentive Program has resulted, at least in the opinion of the department, in a whole bunch of extra spending on mineral exploration. Can someone explain to me what this leveraged spending is all about and why some of it doesn't even occur in the same financial year as the money that is provided? Thanks, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. O'Reilly. Mr. Jensen.

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Jensen

I am just looking at the numbers here. Thanks, Mr. Chair. In terms of leveraging, the argument is that we make the argument that, if we have provided mining incentive funds to a particular exploration company or advance exploration company, that the funds that they contribute to exploration would not have happened otherwise. That is why we use the term. We would leverage that money. It is money that would not have been spent if we had not contributed money under Mining Incentive Program.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Jensen. Mr. O'Reilly.

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Kevin O'Reilly

Kevin O'Reilly Frame Lake

Thanks, Mr. Chair. Yes, I guess I remain to be convinced that the GNWT contributing $400,000 in one year is going to lead to $3.28 million in exploration funding, but I guess at some point I am going to have to meet with the Minister and his staff to get a better explanation because I don't really quite understand or accept some of the figures that are presented here. I am happy to meet with the staff and the Minister if he will make that commitment. Thanks, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. O'Reilly. Minister Schumann.

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Wally Schumann

Wally Schumann Hay River South

Thank you, Mr. Chair. Certainly, we can sit down and have a discussion with the Member, but one thing: the Mineral Incentive Program has now $1 million to it. It is not $400,000. Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Minister Schumann. Next on the list, we have Mr. Vanthuyne.

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Cory Vanthuyne

Cory Vanthuyne Yellowknife North

Thank you, Mr. Chairman. I would like to start by asking if the Minister is aware of the Member's statement that I gave today, talking about the future with potential ownership, of Indigenous groups and governments having potential equity and ownership and mineral development opportunities. I would like to ask a little bit about the Indigenous mineral development support program. It seems as though we have a running $100,000 that we could put into that program every year. Maybe if the Minister could give us a little bit more detail on what that programs consists of, what its successes have been, and what this $100,000 for this year is allocated to? Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Vanthuyne. Mr. Jensen.

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Jensen

Thank you, Mr. Chair. The monies that are allocated in that part of the budget are for funding Indigenous governments and organizations that are representatives to attend events like roundup and PDAC and those kinds of things. Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Jensen. Mr. Vanthuyne.

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Cory Vanthuyne

Cory Vanthuyne Yellowknife North

Okay. Thank you. Just to be clear, this isn't similar in nature to something like the Mining Incentive Program but for Indigenous interests in mineral resource development; as the Deputy Minister described, this is like assistance to help participation at events like roundup? Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Vanthuyne. Mr. Jensen.

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Jensen

Thank you, Mr. Chair. Yes, that is correct. Also, we are working with the Indigenous governments around developing regional mineral strategies. That would be one of the other things that we do. In terms of the Mineral Incentive Program, it is also available to Indigenous exploration or prospectors if they apply for that, so there may be Indigenous folks who are actually accessing Mining Incentive Program funds as well. Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Jensen. Mr. Vanthuyne.

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Cory Vanthuyne

Cory Vanthuyne Yellowknife North

Thank you, Mr. Chair. No further questions in this activity.

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The Chair

The Chair Frederick Blake Jr.

Okay. Thank you, Mr. Vanthuyne. Any further questions from committee? Seeing none, I will call the page. Minerals and petroleum resources, operations expenditure summary, $16,569,000. Does committee agree?

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Some Hon. Members

Agreed.

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The Chair

The Chair Frederick Blake Jr.

Thank you. Next, we have tourism and parks, operations expenditure summary, $17,314,000. That is on pages 218 to 221. Any questions from committee? Mr. Vanthuyne.

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Cory Vanthuyne

Cory Vanthuyne Yellowknife North

All right. Thank you, Mr. Chair. Well, I will start like I do every year in this category, by commending the department for a lot of the great work that they have done in terms of the investment to a number of our parks throughout the territory, but, in particular, Ingraham Trail and the numerous recreational parks that we have on that road, as that is in my riding. There have been considerable improvements made in recent years, so I just think it is important to let the department know that that work is well appreciated.

That said, one of the aspects that I want to raise in this department is: I think it was in this budget, during this budget process last year, we talked about the idea of putting a pilot project together where we would open up Prelude Territorial Park Loop C. This was to allow for some tour operators to call it a base where they could host aurora tour viewing. We were going to charge a fee. There were some fairly valid reasons to give consideration to this opportunity, let's call it.

Since that time, I just want to let the department know that we have had some concerns raised by tour operators, especially some of the older, more-established tour operators who have their own leases, their own land titles, their own assets and stuff that they have invested in significantly over the years who have shared with me some concern with regard to this particular pilot project.

While I was in favour of this when we first proposed it last year, and recognizing that it is a pilot project, I am wondering if the Minister and the department can share some insight as to, first of all, how well it is going? How many operators have taken them up on the particular opportunity? What kind of rates are we charging on a daily basis? Maybe we will start there, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Vanthuyne. Minister Schumann.

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Wally Schumann

Wally Schumann Hay River South

Thank you, Mr. Chair. As we said, this is a pilot project that we have initiated. The main reasons we have done this are due to safety reasons, for one thing. There has been so much traffic on the Ingraham Trail. A number of the operators who have been operating out there who don't have access to land are stopping right on the highway and turning their lights off for viewing opportunities. That has created a very big safety hazard. As we know, in the wintertime is the resupply for fuel for the diamond mines. There is an atrocious amount of traffic that is out there.

This is one of the reasons we wanted to do this pilot project. What it has done is allowed up to 30 operators to access sites on the Ingraham Trail out there to get off the highway system. You have to be a licenced operator to do this. There is a fee that is applied to this. It is $2,000 a year, I think, for the licenced operators to access these sites for winter use. I think it has been a success so far.

Going forward, I hear the Member saying that there are some concerns around some of these older operators. One of the other things that these guys have to be a little more flexible about is there are all different, various levels of tour operators. There are some very successful tour operators in the Northwest Territories who cater to high-end customers, and there are low-end-tourist-cater operators who look after the lower end. They don't have access to these types of capital assets where they can have their own facilities along the Ingraham Trail.

Due to safety reasons, as I have said, we have piloted this project to try to get these people off the highway. We have worked closely with my other department of Infrastructure to get the pole-off out there at Prelude Lake to open up other opportunities for operators. I have said in this House a number of times that we are victims of our own success for the number of people who are coming here. We have to continue to work with all operators no matter what their stature is and the customers that they have, high-end or low-end, and continue to make sure it is a safe environment for everybody. Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Minister Schumann. Mr. Vanthuyne.

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Cory Vanthuyne

Cory Vanthuyne Yellowknife North

Thank you, Mr. Chair. I certainly appreciate the Minister sharing that insight. I know that highway safety was one of the major concerns. I have brought highway safety to the Minister's attention a number of times in a variety of forms, not just tourists. The primary, let's call it, concern with tourists on the highway wasn't necessarily the operators per se, because the operators were experienced enough and have been experienced enough to go to day-use areas and pull off on the highway. They would go to our existing parks like Yellowknife River, Madeline Lake, or Pontoon, that sort of thing.

The safety concern was individual tourists who would rent cars and drive down the highway and park right on the highway. That would suggest to me that maybe we need better communications in the rental vehicles and maybe better signage along the highway that indicates that you can't park on the highway. I am not trying to discourage the Minister in his previous comments with regard to safety on the highway. We all take it very seriously.

I would almost look at this as an opportunity to motivate some of the tour operators to reach out to our Department of Lands and give some consideration to looking at some leases, not recreational, but commercial leases, because we are still issuing commercial leases. Even though the land-use planning is kind of in a holding pattern, we are still issuing commercial leases, according to the Minister of Lands. Maybe not recreational ones, but commercial ones, we are. That would then only be, again, a bit of a monthly rate. It wouldn't necessarily be something overly expensive. It would be the beginning of them making a longer-term commitment and investment to the territory.

The concern is that some of these older operators do have significant investment in assets and in land and in buildings and having to get insurance and protect their liabilities, et cetera. Now, it is being seen by them, and even others, that the government, through taxpayer subsidy, is letting tour operators, sometimes not even Northern tour operators, use our territorial parks as a base to run their operations at a very low rate.

I just continue to share that concern. I know we are committed to the pilot project, but I would really like the government to pay attention to these concerns. Please continue to monitor, of course, the program and how well it might be doing, and measure it in a way so that, in next year's business plans, we can report back accordingly. That is it. That is all I have with regard to that particular aspect.

I am going to move on just for a moment. One of the other concerns, and I raised it briefly in my Member's statement the other day, was a good problem to have, the ever-growing number of tour operators who are applying for permits here in the North year over year. What is the department's sense on the rate at which this growth is taking place? Is there any reason to be concerned or alarmed at this point in terms of how many tour operators in this region are starting to move into the market? Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Vanthuyne. Ms. St-Denis.

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St-Denis

Thank you, Mr. Chair. Thank you to the Member for that question. Just some information on the tourism operating licences; we had 110 in 2014, and we now have 145 in 2018. That is overall. We have seen the largest increase, as the Member has mentioned, in the North Slave region, where it went from 41 to 68 over a five-year period. There has been some growth, but I am not sure it is to the extent that maybe the optics are on the number of increases of the actual operating licences. Thank you.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Ms. St-Denis. Mr. Vanthuyne.

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Cory Vanthuyne

Cory Vanthuyne Yellowknife North

All right. That is kind of good news to hear because then what that tells me is: when I physically see growth happening, then it is a lot of the current licence holders who are actually expanding their businesses, which is a positive. I know NWT Tourism already does good work in this area. I am going to probably touch on this in a moment. Would there ever come a time where we have a number in mind that we might have to put a cap on the North Slave region and look at trying to promote getting, in particular, aurora tourism operators out into some of the other regions so that the benefits of this growth can be had by some of the other outlying regions?

I just want to quickly share one story, because I know I am limited on time here. The Standing Committee on Economic Development and Environment held our strategic planning meetings up in Norman Wells this summer, and every second person that I ran into asked me, "How can we get our hands on some of that Yellowknife tourism boom that is going on?" That is why I raise the question. Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Vanthuyne. Ms. St-Denis.

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St-Denis

Thank you, Mr. Chair. Just to respond to a few of those questions: yes, we do work quite closely with NWT Tourism. I think that the approach that we have taken, and I think industry has also taken, is that it is a free market, and the idea of actually not limiting opportunities for people to enter or to grow their business within tourism is important. I agree that it is about having the strategy to have many of our tourists go beyond the North Slave region into the other regions. A few of the things that we are working on with NWT Tourism is each of the regions is developing regional tourism plans. As well, we have over $1.4 million of tourism development products, which is actually distributed throughout the five regions based on applications.

Northwest Territories Tourism has just recently released its marketing strategy with the idea of actually promoting the whole Northwest Territories. I believe that all of the elements are there in order to have product across the Northwest Territories, and I think that the heavy use of social media and using influencers and doing familiarization tours would bode well to letting more people know about many of the products across the Northwest Territories. Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Ms. St-Denis. Next on the list, we have Mr. McNeely.

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Daniel McNeely

Daniel McNeely Sahtu

Thank you, Mr. Chair. Related to this activity, on the tourism side, as mentioned in my statement earlier today, it is a vibrant sector doing quite well, supported by various programs and marketing with the department. I compliment the department for their various initiatives and attendances. Looking at the Minister's opening remarks, on the second page, there was a note toward advancing the federal transfer of the proposed Doi T'oh Park. I know that there is a committee in place. I will respect the committee, which is represented by the Tulita District Land Corporation, and they have held a number of meetings.

My only question on this is: knowing that the second summer of cleanup activity is coming up from an RFP that was issued here a couple of years ago, after this last upcoming summer, is there going to be an audit done between the stakeholders for the Doi T'oh Park as part of the statement on advancing work towards the federal transfer? Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. McNeely. Ms. St-Denis.

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St-Denis

Thank you very much. The regional office is working quite closely with the Doi T'oh Territorial Park Corporation, and recently, they have been able to get some funding from INAC to do some strategic planning to actually update the CANOL Management Plan, the idea being that that would be a requirement under the land claim, and then it would get recommended to the Minister. At this point in time, we think that that is a critical element of understanding what that plan is and what the leadership is looking at wanting to do as far as moving forward with the project. We are quite keen to see where that project goes as far as advancing the CANOL Trail. Thank you.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Ms. St-Denis. Mr. McNeely.

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Daniel McNeely

Daniel McNeely Sahtu

Thank you, Mr. Chair. If the department could keep me posted on the progress of that transfer, that will keep me in touch with both stakeholders. Thank you very much, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. McNeely. Minister Schumann.

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Wally Schumann

Wally Schumann Hay River South

Thank you, Mr. Chair. We will certainly commit to doing that. Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Minister Schumann. Any further questions, Mr. McNeely?

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Daniel McNeely

Daniel McNeely Sahtu

Nothing further, Mr. Chair. Thank you.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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The Chair

The Chair Frederick Blake Jr.

Thank you. Mr. O'Reilly.

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Kevin O'Reilly

Kevin O'Reilly Frame Lake

Thanks, Mr. Chair. Earlier when I wanted to ask some questions about planning studies for Yellowknife or a territorial visitor centre, it was suggested that I ask them in this section. What can my friends tell me? Thank you, Mr. Chair.

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Consideration In Committee Of The Whole Of Bills And Other Matters

Page 5002

The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. O'Reilly. Minister Schumann.

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Wally Schumann

Wally Schumann Hay River South

Yes, this is the section, yes. Thank you, Mr. Chair.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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The Chair

The Chair Frederick Blake Jr.

Thank you, Minister Schumann. Mr. O'Reilly.

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Kevin O'Reilly

Kevin O'Reilly Frame Lake

I know that I am all that stands between us and dinner, I guess. The only line item I can see in here with regard to support for Yellowknife tourism, per se, is on 220 under grants and contributions, Yellowknife visitor services, $161,000. Is there any other funding in the 2019-2020 budget to support the design or planning around a Yellowknife visitor centre or, indeed, a territorial visitor centre? Thanks, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. O'Reilly. Ms. St-Denis.

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St-Denis

Thank you, Mr. Chair. Yes, the Member is correct. That is ongoing funding to assist the City of Yellowknife in providing visitor services. There is a longer-term plan that is being looked at. I believe the Member is asking about the actual previous visitor centre facility, and we are working closely with the Department of Infrastructure. They have temporarily stabilized that building, and they are monitoring it for movement, so the building is safe, although not occupiable at this time. They have recently gone out for expressions of interest on possible design opportunities. We are going to be working with them to see what the possible redevelopment approach might be for that building. Once again, it is a matter of understanding what the needs are for that building, whether it is amending the current structure and making some improvements, but once again, we are working with Infrastructure.

Sorry, the long answer to the Member's question is that the funding in the budget is to maintain visitor services, but we would like the Member to know that there are discussions and work going on with the Department of Infrastructure on the facility itself. Thank you.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Ms. St-Denis. Mr. O'Reilly.

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Kevin O'Reilly

Kevin O'Reilly Frame Lake

Thanks, Mr. Chair. That is helpful information. I guess I am wondering, though, about a bigger visitor centre, a better visitor centre for Yellowknife, and what the department is doing with the City or other interests to work towards a new visitor centre for Yellowknife, maybe a territorial visitor centre, as Whitehorse has for the Yukon. Is there any funding in the 2019-2020 budget for that kind of work? Thanks, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. O'Reilly. Mr. Jensen.

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Jensen

Thank you, Mr. Chair. No, there isn't any dedicated funding in this budget for that purpose. I think that, building on what Ms. St-Denis was saying, right now the City of Yellowknife is taking the lead on the visitor services for Yellowknife. We continue to contribute our $161,000 a year for that.

If they are taking the lead on it, they are going to be doing some more work on planning. There is a possibility of looking at more of a visitor services tourism type of hub, but that is very much in the early days. There is nothing in the budget specifically dedicated towards looking at the territorial visitor centre.

I think the Minister was describing something more broadly, but there isn't anything definitely in the budget for that. There is, perhaps, opportunity, if there was a need for further resources to continue this process, that they might be able to find something in the budget under grants and contributions for that. Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Jensen. Mr. O'Reilly.

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Kevin O'Reilly

Kevin O'Reilly Frame Lake

Thanks, Mr. Chair. Can someone tell me how much we are spending on the visitor centre in Dawson, Yukon? Thanks, Mr. Chair.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. O'Reilly. Mr. Jensen.

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Jensen

Mr. Chair, the figure is $119,000. Thank you, Mr. Chair.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Jensen. Mr. O'Reilly.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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Kevin O'Reilly

Kevin O'Reilly Frame Lake

Thanks, Mr. Chair. Case made, thanks.

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The Chair

The Chair Frederick Blake Jr.

No further questions? Okay. I will call the page. Industry, Tourism and Investment, tourism and parks, operation expenditure summary, $17,314,000. Does committee agree?

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Some Hon. Members

Agreed.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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The Chair

The Chair Frederick Blake Jr.

Agreed. Committee, we will continue after a short recess. Thank you.

---SHORT RECESS

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The Chair

The Chair Frederick Blake Jr.

Thank you, committee. We will continue. Okay, committee, we are almost done. Information items on pages 222 to 226. Any questions, committee? Mr. Vanthuyne.

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Cory Vanthuyne

Cory Vanthuyne Yellowknife North

Mr. Chair, just correct me, page 222?

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The Chair

The Chair Frederick Blake Jr.

Yes, 222 to 226, information items. Mr. Vanthuyne.

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Cory Vanthuyne

Cory Vanthuyne Yellowknife North

Thanks again there, Mr. Chair. All I really want to ask here is: can the Minister provide us an update on the status of the review that was undertaken of BDIC with regard to the programs and the organizational and structural review? Thank you, Mr. Chair.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Vanthuyne. Minister Schumann.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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Wally Schumann

Wally Schumann Hay River South

Thank you, Mr. Chair. We have just received it, and we are in the process of reviewing it as we speak. Thank you, Mr. Chair.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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The Chair

The Chair Frederick Blake Jr.

Thank you, Minister Schumann. Mr. Vanthuyne.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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Cory Vanthuyne

Cory Vanthuyne Yellowknife North

How long does the Minister think it is going to take to go through the review process? Will the Standing Committee on Economic Development and Environment be a part of the process? How long until we are expecting to put out a public document to get an understanding of what next steps are going to be with the BDIC? Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Vanthuyne. Minister Schumann.

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Wally Schumann

Wally Schumann Hay River South

Thank you, Mr. Chair. The plan going forward once we do this review is, one of the things that I am trying to do right now, we have been trying to set a date up so I can sit down with BDIC's board and their chair to have a discussion around this. Then, once that is done, I am going to go to Cabinet with this document and then probably to standing committee.

Time frame-wise, I can't give you an exact date because we have been having a heck of a time here to try to get organized with the board, because they are from all over the Northwest Territories, to set up a time that we can meet. I am hoping that is going to happen within the next couple of weeks with them, at least. I suspect it is going to be a little bit tough to sit down with standing committee before the end of this session, so we are going to have to try to figure out, with you as the chair, and the timing, how we can make that work for you guys, as well. Thank you, Mr. Chair.

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Page 5002

The Chair

The Chair Frederick Blake Jr.

Thank you, Minister Schumann. Mr. Vanthuyne.

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Cory Vanthuyne

Cory Vanthuyne Yellowknife North

Okay. Well, thank you, Mr. Chair. We certainly look forward to seeing the next steps on that take place, and hopefully we can actually address the review in some way, shape, or form within the life of this Assembly. Thank you, Mr. Chair.

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The Chair

The Chair Frederick Blake Jr.

Thank you, Mr. Vanthuyne. Any further questions, committee? Seeing none, I will now return to the departmental summary found on page 203. I will call the page again. Industry, Tourism and Investment, Main Estimates 2019-2020, total department, $59,974,000. Any questions from committee? Are we agreed?

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Consideration In Committee Of The Whole Of Bills And Other Matters

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Some Hon. Members

Agreed.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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The Chair

The Chair Frederick Blake Jr.

Thank you. Does committee agree that consideration of the Department of Industry, Tourism and Investment is concluded?

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Consideration In Committee Of The Whole Of Bills And Other Matters

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Some Hon. Members

Agreed.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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The Chair

The Chair Frederick Blake Jr.

Thank you. Thank you, Minister, and thanks to your witnesses for appearing before us. Sergeant-at-Arms, please escort the witnesses from the chamber. Thank you, committee. Mr. Testart, what is the wish of committee?

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Consideration In Committee Of The Whole Of Bills And Other Matters

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Kieron Testart

Kieron Testart Kam Lake

Thank you, Mr. Chair. I move the Chair rise and report progress. Thank you.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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The Chair

The Chair Frederick Blake Jr.

Thank you. A motion is on the floor to report progress. The motion is in order and is non-debatable. All those in favour? All those opposed? The motion is carried.

---Carried

I will now rise and report progress. Thank you.

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Consideration In Committee Of The Whole Of Bills And Other Matters

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The Deputy Speaker

The Deputy Speaker R.J. Simpson

Can I get the report of the Committee of the Whole, Member for Mackenzie Delta?