Wally Schumann

The Northwest Territories Manufactured Products Policy and the Business Incentive Policy follow the same principles of northern preference. However, our Manufactured Products Policy is an independent process and works slightly different. In order to be able to be purchased by the Government of the Northwest Territories under the manufactured policy, at least 25 percent of the product's value has to be created in the Northwest Territories by an eligible company registered under the Business Incentive Policy. Provided this requirement is met, the product can be priced up to 20 percent higher on...

I will take this question as notice.

As I said in the House the other day, the most important element for Members to understand is the context of what the Canada Free Trade Agreement is. As the Minister of internal trade and external trade, these things have to be negotiated with other governments when we are signing this agreement, and that is the only reason that this government can negotiate an exemption. That is where we have to deal with the other provinces and countries when we are doing these agreements, and that one exemption that we fight for all the time is the Business Incentive Policy.

Thank you, Mr. Speaker. You see, this is what happens when someone gives a heads-up and you give a full-hearted answer. There is no cap or ceiling identified in the Northwest Territories Manufactured Products Policy. The Northwest Territories manufactured products, however, is pursuant to or enabled by the Business Incentive Policy, and that means, technically, the ceiling of $500,000 would also apply to manufacturing.

That said, our manufacturing policy only pertains to goods for the maximum bid adjustment of $500,000 to apply. We would need to be in the position of buying $16 million worth of...

Thank you, Mr. Speaker. This is one of the Member's favourite discussions that he is having on the floor of the House. To be honest with you, I can't even answer his question. If he would actually give someone a heads-up on a question, I might be able to answer it fully on the floor of this House, but the question that he is asking me right now, I have no idea. Thank you, Mr. Speaker.

Mr. Speaker, I wish to table the following document entitled "Follow-up Letter to Oral Question 751-18(3): Former Northern Frontier Visitors' Centre." Thank you, Mr. Speaker.

I didn't quite hear the question. I believe the Member said: what do we do if the person isn't following the conditions that they said they would do in the tender? Well, first of all, if a person is not following the conditions of the contract that they were awarded, I suspect that they are subject to penalty or even disqualification of being able to continue to do the work until they rectify what they have bid, to get the bid adjustment to determine that they were awarded this tender that they would have to follow the contract that they signed.

Thank you, Mr. Speaker. Infrastructure is not in charge of BIP. ITI is in charge of BIP, but Infrastructure follows the BIP policy in our procurement process. When we put out a tender, depending on the size of it, say it's under $1 million, because that's the conversation that we have been having, $1 million under and $1 million over, there is a line in there that you can put, which encourages local use of labour, local use of northern content, local of use of business, and that helps you do your bid adjustment to how much northern content you have. Thank you, Mr. Speaker.

When we are negotiating these agreements, internal trade or external international trade agreements, BIP is something, to put in simple terms, that we try to protect for the residents of the Northwest Territories. These things are negotiated through reciprocity agreements, and some provinces do not like the fact that we have this, in particular a couple of western provinces that are totally against it. However, we have been able to negotiate them into it to protect northern businesses and residents.

Thank you, Mr. Speaker. After our conversation the other day, I talked to my assistant deputy minister, and she is in conversations with BC, and we are actually gathering some more information on internal trade on this issue.