Mr. Speaker, the Government of the Northwest Territories wants NWT businesses to flourish. For small businesses in particular, prompt payment of invoices is critical to their financial health.
As Minister, I can assure you that the Department of Finance places a high value on maintaining a positive working relationship with the companies the GNWT does business with.
The Financial and Employee Shared Services, or FESS, is the division responsible for processing and issuing payment for all supplier invoices for goods and services provided to all GNWT departments, the Northwest Territories Housing Corporation, and as of last month, the Northwest Territories Health and Social Services Authority. FESS's goal is to process payment for all suppliers within 20 to 30 days of receiving an invoice.
Over the past couple of months, FESS has looked into the reasons why some payments are delayed. We have learned that changes that were made to how we process invoices may be causing unnecessary delays. In the past, suppliers sent their invoices directly to the GNWT departments and agencies they provided the goods and services to, rather than one central source. Over time, this shift has likely led to some confusion among suppliers on who they should be forwarding their invoices to, as well as uncertainty within departments and agencies on what to do when they receive an invoice. Mr. Speaker, it is the responsibility of the Department of Finance to make sure that suppliers clearly understand our processes, as well as how to access support when they encounter issues. As a response, the department has updated its website to make certain that key information suppliers need is easily available, including where and how to send invoices, what information is required for speedy processing, and how to sign up for direct deposit instead of waiting for a cheque to be delivered through the mail.
Within the coming months, we will also be sending resources directly to our suppliers to ensure that they are familiar with our processes and know who to contact when they need support. We will also ensure that employees in the departments and agencies supported by Financial and Employee Shared Services know that they should forward any invoices they receive without delay.
Communications to vendors is one step in the process. We must also ensure that we are able to meet our internal processing deadlines. As you are aware, with the onboarding of the NTHSSA, the volume for FESS increased and as with any change, there are dips in production. We are continuing to monitor this, and over time, we will see these numbers pick back up.
Mr. Speaker, I am confident that enhanced communication from the Department of Finance to our suppliers, and within our government, continued monitoring of workflows, and internal streamlining of processes will help to address our suppliers' concerns about payment delays, and we will continue to monitor this situation to ensure that all invoices are paid within our 20- to 30-day target. Thank you, Mr. Speaker.