Debates of February 18, 2005 (day 39)
Question 424-15(3): Multi-Year Funding For Municipalities
Thank you, Mr. Speaker. Mr. Speaker, I am going to continue on the questions of multi-year funding that were brought up during my Member’s statement. My question is to the Minister responsible for the FMBS. Mr. Speaker, the City of Yellowknife, to a large extent, is planning nine months in the dark every year they pass their budget on December 31st because they have to wait until April 1st for the territorial budget to be passed. Does the Minster agree it would make better sense to approve funding for municipalities to look at approving multi-year funding in accordance with the municipal fiscal year that would better accommodate the municipal needs and help demonstrate relative certainty for the municipalities? Thank you, Mr. Speaker.
Thank you, Mr. Hawkins. The honourable Minister of Finance, Mr. Roland.
Return To Question 424-15(3): Multi-Year Funding For Municipalities
Thank you, Mr. Speaker. Mr. Speaker, as a government, for any agreement we enter into with other jurisdictions, other governments, municipalities, the transfer of funds with NGOs, we do enter into multi-year funding, but it is based on the fact that we have a cycle that we follow that every year has to be approved by the Legislative Assembly. So we can’t put an unconditional grant in place where for nine years they can do things or for three years. We have set up block funding agreements on a three-year basis with municipalities so they could do better planning, but that is also conditional on the funds passed through this Assembly. Thank you, Mr. Speaker.
Thank you, Mr. Roland. Supplementary, Mr. Hawkins.
Supplementary To Question 424-15(3): Multi-Year Funding For Municipalities
Thank you, Mr. Speaker. The Minister is very correct when he mentions the item as he says, but it’s conditional. It’s hinged on the proviso of one year. Mr. Speaker, I have an agreement here between the Government of the Northwest Territories and the City of Yellowknife and the agreement becomes effective April 1, 2004. It’s signed April 14th of 2004 by both parties, MACA and the City of Yellowknife, and it spans the calendar year of April 1st to March 31st. So what the Minister said was right, but the problem is these municipalities are passing their budgets with nine months in the dark. Could he take a position by investigating a rolling calendar year that would demonstrate certainty, so when these municipalities pass their budget at the end of their fiscal year, they can plan with comfort? Thank you, Mr. Speaker.
Thank you, Mr. Hawkins. Mr. Roland.
Further Return To Question 424-15(3): Multi-Year Funding For Municipalities
Maybe the Member can answer for me where the nine months comes from. An agreement is signed April to March, so the funding is known for that year but the planning cycles may be somewhat different. So if I could get some clarification there, please.
Thank you, Mr. Roland. Mr. Hawkins, would you like to clarify your question?
Supplementary To Question 424-15(3): Multi-Year Funding For Municipalities
I will answer the question too, Mr. Speaker. If I have to work both sides of this House, I will for the citizens of Yellowknife. Sorry; I was on a soapbox there. Mr. Speaker, the issue is the budget for the City of Yellowknife passed on December 31st, but it only has three months left in that calendar year of that agreement. So essentially, the City of Yellowknife is passing their budget with only three months left of a funding agreement. They have to wait for the new year to be rolled out by MACA and the new year is signed in April. So would the Minister at least agree today that this is a serious concern with the City of Yellowknife? Would he at least agree today and open up a small discussion with the City of Yellowknife to hear their perspective and concerns on this issue? If he feels it’s appropriate, we can finish…
Thank you, Mr. Hawkins. I heard the question there. Mr. Roland.
Further Return To Question 424-15(3): Multi-Year Funding For Municipalities
Thank you, Mr. Speaker. Mr. Speaker, I am aware that the Department of Municipal and Community Affairs is doing a review of community funding and how that’s structured. Once that work is done, we will look at what we can do as a government. Thank you.
Thank you, Mr. Roland. Short supplementary, Mr. Hawkins.
Supplementary To Question 424-15(3): Multi-Year Funding For Municipalities
Thank you, Mr. Speaker. I acknowledge your last thought there. Mr. Speaker, this is a problem with the FAA. It’s not a problem with MACA. MACA is doing their job. The problem is the FAA restricts the ability for these multi-year rolling agreements with provisos. Would the Minister agree to at least hear the City of Yellowknife’s concern on this matter and if he feels it’s appropriate -- I underline that -- then we will take it to another stage once he’s consulted with the city. Thank you, Mr. Speaker.
Thank you, Mr. Hawkins. Mr. Roland.
Further Return To Question 424-15(3): Multi-Year Funding For Municipalities
Thank you, Mr. Speaker. Mr. Speaker, our process as the Government of the Northwest Territories is through the Department of Municipal and Community Affairs. They work with our community governments throughout the Northwest Territories, so there is contact there. Once this review is done, we will look at it and see if we have to make changes overall as a government. Thank you.