Debates of February 2, 2006 (day 21)

Good afternoon, colleagues. Welcome back to the House. I'd also like to welcome everybody that's in the gallery here to hear the budget address. Welcome to the House. Orders of the day. Budget address. The honourable Minister of Finance, Minister Roland.

Thank you, Mr. Speaker.

It is my honour and privilege today to stand before you and Members of this Legislative Assembly to present the budget for the Northwest Territories for 2006-07. I would like to take this opportunity to thank my Cabinet colleagues and the standing committees for their input, particularly for the committees’ work on pre-budget consultations.

---Applause

This budget comes at an historic time. Many of us have looked ahead with hope to the day when the Northwest Territories would be self-reliant and strong, with a thriving economy, jobs and opportunities for our people. Today, those are no longer just dreams. We’re on the brink of tremendous economic opportunities; opportunities that will test our imagination and our ability to respond; opportunities that will transform the Northwest Territories into a key economic driver, not only for the North, but for all of Canada.

The Northwest Territories is poised to become a leading player on Canada’s resource development scene. The demand for our energy resources has never been greater.

The Mackenzie Valley pipeline -- once only a far-off dream -- is on the verge of becoming a reality. Public hearings have already begun. If approved, it will open the doors to the vast natural gas reserves of the Mackenzie Delta and the Beaufort Sea.

Our two diamond mines have made the Northwest Territories the third largest producer of gem quality diamonds in the world. Now a third mine is under construction and a fourth is at the approval stage.

These economic developments will not only create jobs and business opportunities, they will bring new hope and opportunities for our people. They will help make our vision for the Northwest Territories a reality. They will

allow self-reliant individuals and families to share the rewards and responsibilities of healthy communities and a prosperous and unified Northwest Territories. They will provide the resources for us to invest in infrastructure, give our children the best possible education, improve our health system, preserve our environment, and build stronger communities.

Mr. Speaker, all of this is possible for the Northwest Territories, but only if two essential conditions are met.

First, as a government, and as citizens of the Northwest Territories, we have to do our part. That means using our revenues wisely and adhering to our fiscal responsibility policy. It means investing in essential services that will bring the best long-term benefits to the people and communities of the Northwest Territories. It means creating a positive environment for business so they see the Northwest Territories as a good place to invest and do business.

That’s our part, Mr. Speaker, and we’ll do our part through the decisions and priorities reflected in this budget.

The other essential condition, Mr. Speaker, is to address the fundamental fiscal issues facing this government. This means working with the new federal government to take immediate action on long-standing issues that stand in the way of the Northwest Territories achieving its full potential.

As I stand here today, presenting the budget for 2006-07, we’re in exactly the same position as we were at this time last year. While we have made progress on new short-term targeted funding arrangements under the previous federal government -- progress that has allowed us to invest in infrastructure, communities and our health system -- fundamental, long-term fiscal issues have not been resolved.

We have no resolution on a new approach to territorial formula financing. We have not reached agreement with the federal government on sharing of resource revenues, and we have not been able to lift the borrowing limit imposed on the Northwest Territories.

These are outstanding issues that can and must be resolved.

Mr. Speaker, just over a week ago, Canadians elected a new Conservative government lead by Prime Minister-designate Stephen Harper. On behalf of the Government of the Northwest Territories, I want to reiterate Premier Handley’s congratulations to Mr. Harper and the Members of his new government.

We very much look forward to what Mr. Harper has consistently called a fresh new approach to government and to relationships with provinces and territories. We were very pleased when he made the commitment at his first press conference last week, to begin negotiations on the fiscal imbalance issues that exist between jurisdictions in this country. The recognition of this important issue by the new federal government is a concrete and welcome step.

Most importantly, we listened carefully on election night when Mr. Harper spoke directly to the territories and told us he sees the potential in the North and looks forward to helping us achieve our dreams.

As a government and as Minister of Finance, we are ready and willing to work with the new Prime Minister and his government, and with our territorial and provincial partners to address these complex and important issues immediately.

The key word is immediately.

The issues related to territorial formula financing are specific and unique to the Territories. So are issues related to resource revenue sharing. There is no need to delay decisions on these critical issues for our territory and for the entire North while negotiations begin on complex issues related to the fiscal imbalance.

So as a government, we urge the new Prime Minister not to wait while other fiscal issues are discussed, but to seize the opportunity to establish a new partnership with Canada’s North and take action on outstanding issues that stand in the way of tremendous progress in our territory. We are ready and eager to meet with him and the new Finance Minister to begin this new partnership immediately.

With these fundamental issues clearly in mind, let me turn now to some highlights from our budget for 2006-07.

Mr. Speaker, the Northwest Territories faces unprecedented opportunities. We cannot and will not shy away from these opportunities. We cannot and will not move forward with a timid budget full of half steps. It’s time to be bold. It’s time to be decisive.

Unlike past budget speeches, I do not intend today to go through all the details of various projects and initiatives included in the budget for 2006-07. All of that information is available in the budget documents and from individual Ministers. We look forward to an in-depth review in this House over the next several weeks.

Instead, I would like to highlight some areas that reflect the bold approaches we’re taking in this budget.

First, the financial picture.

For 2005-06, we are projecting an operating surplus of $18 million. That’s down from our original projection primarily because of an increase in spending needs and a decrease in corporate income tax revenues. It’s important to note, Mr. Speaker, that we remain within the guidelines of our fiscal responsibility policy. That policy has served us well. In spite of the challenges we face, I can assure everyone listening today that we will continue to be sound financial managers for the Northwest Territories.

Maintaining our commitment to responsible budgeting, the budget for 200607 projects an operating surplus of $31 million. Spending in the current year includes a number of one-time initiatives, such as the community capacity building fund. Accounting for these one-time programs, our spending in 2006-07 is expected to increase by seven percent over last year’s budget as we cope with increased social program costs, community infrastructure needs and the requirement for competitive wages. We expect our revenues to increase by about five percent. The bottom line is we will spend $1.07 billion, take in revenues of $1.1 billion, and invest $111 million in capital projects in 2006-07.

The prudent fiscal management approach that we have taken during this Legislative Assembly will allow us to meet our most immediate fiscal challenge. In 2006-07, the government will have to repay $290 million in corporate income tax to reflect an overpayment of taxes that we received from the federal government in 2002. This will increase our borrowing by an estimated $78 million. By year end, we anticipate our total debt to be $223 million, a full $77 million below the federally imposed borrowing limit.

Now for some details.

This budget is about seizing opportunities and maintaining momentum. It is designed to achieve four clear goals:

to invest in priority areas;

to set the stage for further investment and growth in our economy;

to lay the groundwork for reducing the cost of living and raising income levels;

and to position our government to manage development.

To achieve these four goals, our government will pursue an all-weather highway down the Mackenzie Valley and support the investment in engineering feasibility and environmental work on the Bear River hydro project.

Working with communities and industry, we’ll pursue a comprehensive solution to the critical housing needs in the communities by promoting the conversion of pipeline workforce housing into more than 1,000 residential homes.

We will start to ease some of the most critical housing needs through a $4 million allocation from the Northern Strategy Trust to build new affordable housing units in 14 of our smallest communities.

---Applause

In October 2004, this Legislative Assembly made a motion calling for a 10 percent reduction in core housing need. However, to make major progress towards this goal, we require the new federal government to follow through with the commitments made by the former federal housing Minister to provide $100 million over the next three years to cost share more than 500 new affordable, energy-efficient homes in the Northwest Territories.

On top of that, Mr. Speaker, we will follow through on the commitment by Members of this Legislative Assembly to support the development of well-governed and sustainable communities and regions. This budget commits an additional $12 million in new program funding for communities, including $4.5 million from the federal gas tax agreement. The budget also includes $31 million in infrastructure contributions for community and regional operations, and almost $3 million in water treatment plants and sewage and solid waste disposal sites in various communities.

In response to the input we received from Members, we will invest in energy conservation and the cost of living reduction strategies for the environmental and financial benefit of our residents. Mr. Speaker, subsidies and direct government support may be important in the short term, but they are not the long-term solution for this territory. We need to look at the factors that drive higher costs and address those factors head on. That means investing in transportation infrastructure to lower the cost of bringing goods into our communities. It means investing in hydropower to provide a cheaper, more environmentally-friendly energy source. It means protecting those who are least able to cope with rising costs. That’s why we will spend an additional $326,000 this year to increase the low-income senior citizen supplementary benefit from $135 to $160 per month.

Mr. Speaker, it is the responsibility of the Members of this Legislative Assembly to make sure future generations have the opportunities to benefit from the Northwest Territories’ enormous economic growth. That means investing in workforce development and improvements to our education system so future generations have opportunities to learn and work right here at home.

With this year’s budget we will invest a total of $259 million in programs delivered by the Department of Education, Culture and Employment, an increase of $17 million from the current year. Additional money will go towards increasing our commitment to student support. We will provide additional support for full-time kindergarten. We will expand investment in school construction, building new schools in Tulita and Ndilo, replacing the schools in Inuvik, and investing in improvements in student residences for Aurora College students in Fort Smith and Inuvik. The investments we will make in these education projects will top $120 million over the next few years.

On top of our investment in education, we will respond to the call from Members of this Assembly to expand our emphasis on youth programs. This budget invests half a million dollars in the Northern Youth Program funded from the Northern Strategy Trust. It increases our investment in the NWT Games program designed to expand sports and recreation services in communities and increase physical activity among youth. In total, almost $700,000 has been added in this budget to support the NWT Games, Arctic Winter Games and the Canada Winter Games.

Mr. Speaker, the health of our citizens is the priority of all Members of this Legislative Assembly. This budget invests over $265 million in programs delivered by the Department of Health and Social Services, an increase of over $18 million from the current year’s budget. The additional money will go towards enhancing health care programs and addressing the higher costs of delivering health care in the Northwest Territories. We will invest $13 million in renovations to hospitals, treatment centres, medical equipment and upgrading hospital records.

This budget includes a $400,000 investment from the Northern Strategy Trust in the NWT healthy choices framework to promote healthy lifestyles, break addictions and help people make productive and healthy choices. This year, participating departments will move forward with a coordinated curriculum for the Northwest Territories schools and strategies for promoting healthy eating and physical activity.

As I said at the outset, Mr. Speaker, the Northwest Territories is on the brink of unprecedented economic growth. We can’t sit idly by and simply wait for that growth to magically appear at our doorsteps. We need to work for it. We need to create the environment where positive economic development can thrive. We need to carefully manage the impact of growth on our communities, our people, and our territory.

Our government intends to do just that.

We will participate fully and actively in the Mackenzie gas project to ensure that, if the project proceeds, the needs and concerns of our residents are addressed. Last fall, the Premier and I outlined the intentions of the Government of the Northwest Territories to develop a stable fiscal regime for the project. We will proceed with that commitment and work with industry and the federal government to ensure the pipeline proceeds in an environmentally sustainable manner.

This budget invests over $1 million to complete the necessary feasibility studies and environmental baseline work necessary to proceed with the Taltson hydro expansion project.

Additional investments will be made in transportation, including capital improvements for our airports, our highway programs, and the Mackenzie Valley winter road bridge program.

We will continue to promote tourism in the Northwest Territories. This budget includes $1 million to implement Tourism 2010, a multi-year tourism plan for the Northwest Territories that will help us compete for tourists from around the world. We will also invest in enhancing our parks and renovating the Prince of Wales museum.

Mr. Speaker, these are smart investments; investments that will help create a positive, strong and growing economy.

At the same time, we need to understand that, in a highly competitive environment, having the right combination of resources and the necessary infrastructure isn’t enough. Businesses can and do take their investments anywhere in the world. To encourage businesses and industry to locate and do business here in the Northwest Territories, we have to compete, and we have to compete on taxes.

We simply cannot afford to see businesses continue to file their income tax outside of the NWT in order to avoid higher tax rates.

That is why I am pleased to announce today that the Northwest Territories corporate income tax rate on large corporations will be reduced to 11.5 per cent, effective July 1, 2006. I will be introducing the legislation to implement this change during the budget session.

---Applause

Our small business corporate income tax rate, at four percent, is well below the national average. However, we continue to work with the business community in the Northwest Territories to determine how we can best support our small business sector. This tax rate is part of our deliberations and we hope to soon bring forward a proposal for Members to consider. All other taxes will remain the same as a result of this year’s budget.

Mr. Speaker, there are more details and more spending announcements in the budget documents. We are on the verge of tremendous economic growth. We are preparing for that growth carefully, thoughtfully, and deliberately. We’re investing wisely. The benefits of the opportunities in our territory will flow not only to people here in the North, but also to Canada as a whole.

A New Partnership With The Federal Government

That brings me back, Mr. Speaker, to the second condition necessary for us to achieve our goals: a new and cooperative working relationship with the federal government.

We are at a critical stage. From a fiscal perspective, four key issues stand in the way of us achieving the full potential for this territory and for our people; four issues that require a resolution with the federal government.

First, we need a new funding arrangement with the federal government that reflects the needs of the Northwest Territories. The current fiscal arrangements simply cannot continue. Not only are they inadequate to meet the reality of the Northwest Territories, but in many ways they act as a disincentive to the Northwest Territories moving forward.

In the past year, we have worked with the panel established by the Council of the Federation and the expert panel established by the federal government to make our positions clear. We are optimistic that our views have been heard by both those panels and we look forward to seeing both reports this spring. However, decisions on a new approach to territorial formula financing are in the hands of the federal government. Those decisions are both urgent and critical to the Northwest Territories. We intend to use the coming weeks and months to make our positions well known to the new federal government and to press them for action on an immediate basis.

Second, we need to reach a fair resource revenue sharing agreement with Canada.

Our territory’s abundance of natural resources is our best opportunity for the future. It holds the potential for us to become a thriving, self-reliant and prosperous territory.

But as it stands today, the federal government controls virtually all of the natural resources in the Northwest Territories, and the benefits of that control flow directly to the federal government. In 2004-05, federal public accounts show that the federal government took in over $270 million in resource revenues from the Northwest Territories and this amount is growing every year. In comparison, the Northwest Territories public accounts showed only $3.5 million in corporate income tax revenues in that same year.

That situation would never be tolerated in a province like Alberta. It wasn’t accepted in Newfoundland and Labrador or Nova Scotia where special accords recognize their unique needs, and it won’t be tolerated in Saskatchewan if their government has its way. Why should it be tolerated in the Northwest Territories?

What we’re asking for is a fair deal; a deal that gives our territory a net fiscal benefit from the resources of our land. That benefit should cover the costs involved in resource developments, and ensure adequate incentives for economic development. It must allow us to fund our ongoing programs and, at the same time, invest in developing our labour force, our infrastructure and our economy, so all our residents share in the benefits of development.

Mr. Speaker, it’s time to put negotiations for a resource revenue sharing agreement on fast forward. During the recent election campaign, Prime Minister-designate Harper stated that he believed “…northerners should be the primary beneficiaries from the development of northern resources.” Mr. Speaker, this was a bold and welcome statement for this territory and we are committed to working with Mr. Harper in the very short term to make this a reality.

Third, we welcomed the Government of Canada’s commitment to provide $500 million over 10 years to address the social and economic impacts of the Mackenzie Valley pipeline. We expect the new federal government will live up to this critical commitment. But one-time funds, no matter how large or how welcome, do not provide a long-term source of sustainable revenues that can be used to guide future plans and decisions.

Finally, Mr. Speaker, we need the federal government to lift the arbitrary $300 million borrowing limit imposed on the Northwest Territories. This borrowing limit flies in the face of the principle of territorial political autonomy. It reflects an outdated and unreasonable view that we cannot make sound financial decisions on our own, and it does not reflect the fact that the government’s borrowing ability should be based on our capacity to finance debt rather than be set at a fixed level.

Last February, this Legislative Assembly demonstrated our commitment to fiscal responsibility. We maintained that commitment with this year’s budget. Our fiscal responsibility policy sets clear guidelines and a responsible definition of acceptable borrowing limits. The policy was instrumental in achieving an Aa3 credit rating from Moody’s Investors Services, and it should be more than sufficient for the federal government to act immediately to remove the debt limit.

Concluding Comments

Mr. Speaker, this is an unprecedented time in our history; a time when our dreams of prosperity, growth and self-sufficiency are fast becoming a reality.

This budget sets a bold agenda. It invests in priority areas, and it positions our territory to seize the opportunities for economic growth and transform them into benefits for all our citizens. It’s an important step, but there’s much more work to be done. In the coming months, my work will focus on two priorities. First, developing a broad macroeconomic policy for the Northwest Territories.

The Northwest Territories faces important questions as we proceed with economic development. We know we need to make investments. This budget lays the groundwork for many of these investments, but our resources will not be unlimited, even with new fiscal arrangements with Ottawa. We will need to make choices and set priorities. What investments should be made first and how much should be invested? Should we invest millions in transportation infrastructure to further industrial development, grow trade among communities, and reduce the cost of living? Should we invest dramatically in housing or take action to improve education results and promote greater personal self-reliance? Should we invest in hydro-electricity or skills development?

With the help of every Member of this Legislative Assembly, recognized experts, aboriginal governments, the business community, organizations, industries and communities, we will research and discuss these big questions and develop a new economic blueprint for the Northwest Territories.

Second, Mr. Speaker, outstanding issues with the federal government must be resolved. My commitment is to use all my energy, influence and determination to make sure these issues are resolved, and resolved for the benefit of the Northwest Territories and its citizens.

Mr. Speaker, this is an exciting time in the Northwest Territories; a time of hope and optimism about the future, a time when our dreams for the territory, for communities, and for our children can be realized. Now it’s time to get to work.

---Applause

Thank you, Mr. Roland. I think Members will agree that our Finance Minister probably needs a bit of a break now. I would like to encourage everybody to join our Finance Minister out in the Great Hall for a bit of a reception. I will call a half-an-hour break for the House. Thank you, Members.

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Thank you, Mr. Speaker. Mr. Speaker, I listened with interest today as the Finance Minister delivered his budget address. It was a rather abbreviated version from what we are used to hearing in budget addresses. For the benefit of those who came from distant communities, I think they expected a little more detail. For those of us on this side of the House, we appreciated the brevity.

The repeated reference to unprecedented opportunities and growth make a point that is very true. However, I think we need to analyze who the real beneficiaries are of that growth and opportunity. Industry is and will realize much of the profit from the extraction of NWT resources. The federal government is and will continue to benefit from the royalties paid on those resources. I wish I could say the same of our territorial and aboriginal governments. After 10 years in this government, I am very discouraged by the lack of progress on devolution and resource revenue sharing discussions. We are so anxious for more development, but development has to be for the benefit of not just a few; it has to be for the public good, as well. We can’t afford, as a government, to underwrite the cost of wear and tear on our infrastructure and the stress on our social networks without realizing real tangible and monetary benefits to the public purse for the benefit of all northerners from resource development, and we can’t ignore the work that needs to be done on the home front, as well. I don’t think we can say that we have ever gone to Ottawa to discuss devolution and resource revenue sharing with a plan that has been endorsed by all of the recognized governments in the Northwest Territories, public and aboriginal.

I hope that this bold new approach that Mr. Roland refers to will play out in the leadership role our government needs to take at home in obtaining support and buy-in from our northern governments, as well as the leadership that needs to be shown in our dealings with the federal government.

As more development occurs and Canada becomes more accustomed to the vast royalties projected to be generated from northern resources, I have always maintained that our negotiating position and efforts will be more difficult. We need a strong and unified position from the North to Canada. We have a wonderful window of opportunity with a new government in Ottawa, and I hope that we will see the use of all of our resources at our disposal to keep our message front and centre. If we need to engage policy experts, let’s do it. If we need to retain the services of former Members of this Assembly, let’s do it. We need a plan and we need a deal that should be bold, and I support and encourage the Ministers of our government to take those measures. Thank you, Mr. Speaker.

---Applause

Thank you, Mr. Speaker. Mr. Speaker, I’d like to raise a similar issue to what I did yesterday in my statement about the dogmatic, out-of-touch, yet sumptuous bureaucratic system located in Yellowknife, and why this 15th Assembly has to seriously consider restructuring and perhaps downsizing by way of decentralizing or relocating various components so that we can all say with confidence that our Legislative Assembly is actually in control and can change and influence its own bureaucratic bulldog.

Mr. Speaker, I feel that we are losing ground on retaining this control of this once reputable and trustworthy companion we call the public service of the Northwest Territories. The people who are the first to see the façade of good, fair, balanced public service that is supposedly professional and impartial are the people in the remote and smaller communities.

This government is certainly not impartial, by any stretch of the word, when it comes to addressing small community concerns versus the concerns raised in our larger centres. Infrastructure, housing, economic development and health are only some of the areas that are out of balance. By out of balance I’m talking about things like the time it takes to react to the small community concerns is never as quick as the large centres. The time to assess or assert responsibility always gets passed back and forth between the GNWT, the First Nations and/or the small community councils, who never have enough resources to address the deficiency anyway, with no positive resolutions in place.

The resolution of many concerns like property taxation, homeownership, income support, small business support, and alternative health care issues all seem to have become permanent warts on our bureaucratic bulldog backside. A puppy whimpers because it wants to rid itself of these ailments, but does not take consistent, planned, and agreeable approaches when applying wart remover to remove these ailments. So, Mr. Speaker, we need to have the assistance, cooperation and the full participation of our smaller communities if our bureaucratic bulldog wants to disinherit itself of these aging warts on its backside. Then we can all confidently say that it is possible to teach an old dog new tricks. Mahsi, Mr. Speaker.

---Applause

Mahsi, Mr. Speaker. The budget address has given us a new platform and starting point. Just a couple of the highlights that I pick off the address that Mr. Roland has given us; we’re going to start the year with a forecast surplus of $18 million. I’m pleased to see this and that we’re going to be doing this within the terms of the fiscal responsibility framework, the fiscal responsibility policy that I’m a big supporter of, and I want the government to know that I’m happy to see that we’re staying within those terms and hope that we can continue to do so.

Mr. Speaker, we also note that we’re spending seven percent more in this budget, but our revenues are only increasing by five percent. On that rough measure -- and I know there’s other things that go along with it -- we’re still not managing within our means. This places so much more significance and importance on getting a new and sustainable, realistic formula financing deal with Ottawa; something that has escaped us for so long.

Mr. Speaker, I’d also reflect that the budget mentions Mr. Harper and the new Conservative government many times. This is again a reality of ours. We are a creature of the pleasure of the federal government. We have placed a lot of emphasis and significance, a lot of our future is on what the Finance Minister says our relationship is going to be with Mr. Harper and the new government. Maybe so, but I think we could demonstrate some more independence, and some more spirit, and some more gumption, and some more drive and initiative of our own by saying here’s what we’re going to do and not putting quite so much reliance on the new federal government. But I really do look forward to the relationships and improvements in our situation with them. Thank you, Mr. Speaker.

---Applause

Thank you, Mr. Speaker. Mr. Speaker, I recently had an opportunity to visit my constituents in Sachs Harbour from January 9th to 12th, 2006. I was able to do home visits with many residents and hold a constituency meeting. I would like to thank the people of Sachs Harbour for their hospitality during my visit.

Mr. Speaker, I’m sure that this will come as no surprise to you that the number one concern for the residents of Sachs Harbour is the lack of RCMP presence in the community. I have raised this issue in this House on a number of occasions and am beginning to wonder if we will ever address this concern. Are we going to wait, Mr. Speaker, until something drastic happens? I hope not. An RCMP presence in Sachs Harbour will give the residents the same level of comfort and protection that the majority of the NWT residents expect.

I understand, from my visit, that there was an incident that occurred over the Christmas holidays. When I left on January 12th, the RCMP was expected to arrive the next day. I do not think a resident of Yellowknife would accept a two-week waiting period before a complaint is investigated.

In a previous Member’s statement, the question was directed to the Minister of Justice regarding what the department is doing to address the RCMP presence. The Minister of Justice advised, very suddenly, that he had formed a committee to address the issues and policing in communities without a police presence. What are we doing with these discussions?

Mr. Speaker, what are we doing as a government? Are we going to study the issue and make no decisions until there is a tragedy? Would the people of Yellowknife, Hay River, Fort Smith or Inuvik feel comfortable or safe without RCMP presence? I don’t think so, Mr. Speaker. Prime Minister-designate Stephen Harper has promoted sovereignty in the Arctic. It will take years to mobilize the armed forces and build ice breakers. One option is to immediately send three RCMP officers to the community of Sachs Harbour to police the community and to guard the western approach of the Northwest Passage. Mr. Speaker, I request unanimous consent to conclude my statement. Thank you.

The Member is seeking unanimous consent to conclude his statement. Are there any nays? There are no nays. You may conclude your statement, Mr. Pokiak.

Thank you, Members. Mr. Speaker, the residents of Sachs Harbour are entitled to the same level of public protection that all the residents of Canada expect. Sometimes belonging to a society has a cost; a cost this government should be prepared to bear. At the appropriate time, I will have questions for the Minister of Justice. Thank you, Mr. Speaker.

---Applause

Thank you, Mr. Speaker. Mr. Speaker, my Member’s statement is financing our own home. Mr. Speaker, they’re saying that what is mine is mine and what is yours is mine. Mr. Speaker, I’d like to draw some parallels between somebody trying to finance their own household and this government trying to manage its own castle.

Mr. Speaker, now suppose that we live in one side of town and we have a whole bunch of hidden treasures in our home, and on the other side of town you have a wealthy uncle with a much bigger house, possibly a palace on the other side of town. However, you’re in one community. But this uncle thinks that you don’t know how to look after all that treasure, so he wants to help you out, sort of get you on your feet and assist you as you get on with life until you mature. But the catch is that this uncle wants you to trust him and allow him to manage your own affairs; manage your own treasures. He gives you a modest salary, just enough to cover what he figures your expenses should be. The amount will change from paycheque to paycheque. So you wouldn’t know in advance what you are getting, but you are trying to plan the best you can to manage your life. At the same time, he sells off your treasures for you and keeps the money. He also lets you know that whoever he sells them to can come into your house and pick them up whenever they want. Sometimes they come in quietly and sometimes they come in very noisily. They also disturb your whole family. Maybe even sometimes they damage your house by ripping out some of the things from the wall or breaking things. Over time, the treasure gradually disappears and you have to wonder where would your rich uncle be on the day you have nothing left.

Mr. Speaker, to me, the home is our land full of treasures, irreplaceable resources. The federal government is the rich uncle who gives us a modest salary. This year we are expecting $750 million in grants from the government. We don’t know how much the next paycheque will be because we are still negotiating a new fiscal arrangement. We don’t know yet how much the federal government made off our treasures in 2005. However, in 2004, they took $270 million. That is just from the Norman Wells, a bit of gas reduction in the South and maybe some diamonds. Imagine how much the pipeline and more diamonds will be.

Mr. Speaker, we, in the Northwest Territories, want to become a have territory. We want to pay our own way, live within our own means, and earn Canadian respect.

Mr. Yakeleya, your time for Member’s statement has expired.

I seek unanimous consent to conclude my Member’s statement.

The honourable Member is seeking unanimous consent to conclude his statement. Are there any nays? There are no nays. You may conclude your statement, Mr. Yakeleya.

…earn Canadian respect as full and equal partners in Confederation, but the poor homeowners whose treasures are sold out from under them are forced to live from paycheque to paycheque and watch our resources disappear. We have little but any say in how much is sold at what price and under what condition.

Mr. Speaker, there is hope. A new guy has arrived in town -- president-elect Steven Harper and the Conservative government. Hopefully, they will be willing to listen and finally give the Northwest Territories the authority to manage our household responsibilities for future generations. I encourage the Premier and his Cabinet to put all their efforts to get the new federal government onside and finally get a fair share of the resource revenue sharing and devolution by territories. Mahsi.

---Applause

Mahsi, Mr. Speaker. Mr. Speaker, it is great to hear that there will be an increase in the ECE funding for the budget address. I have not heard of enhancing aboriginal language or culture programs, but, at the same time, I am also looking forward to seeing this in the budget in detail.

Mr. Speaker, at this time, I would like to highlight as one of the key areas I would like to focus on. Mr. Speaker, ECE has identified language and cultural-based education as their highest priority. The Aboriginal Language and Cultural Instructors Program, called LCIP, I am happy to note, is currently under review with a draft plan in place for 2006.

The plan includes revising the current out-of-date program and extending the original program to a two-year diploma. It is great to see in here, Mr. Speaker. I commend the department for working so swiftly in this direction. This department is linked to the future of aboriginal language instructions in our schools and ultimately, Mr. Speaker, for the effective survival of our language and culture.

There are 11 official languages in the Northwest Territories, Mr. Speaker. Out of these 11, seven aboriginal languages are in the state of emergency. We have begun to put some programs in place, but I feel the need to stress the urgency of the situation. We need to act now with solid, concrete plans to revitalize these languages before it is too late, Mr. Speaker.

Mr. Speaker, I will have questions for the Minister of Education, Culture and Employment at the appropriate time. Mahsi cho.

---Applause

Thank you, Mr. Speaker. I will change gears a bit and take this opportunity to speak of what is new in Nahendeh this year and the support that we need. I am happy to announce that I am a new grandfather.

---Applause

I would like to announce that my son Keone and his spouse, Theresa Black, had a baby boy January 6th named Kayleb. I would also express my excitement for the many other babies in Nahendeh that were born recently. In Fort Simpson, Sharon Mandeville and Jeff Hardisty had a boy named Seth. Lisa Lafferty and Michael Tetso had a girl named Jacie. Trudy and Dennis Nelner had a girl named Olivia. Priscilla in Wrigley had a girl named Elizabeth. Wendy in Wrigley had a boy named Hunter. Delores and George in Wrigley had a boy named Orrin. Brenda and Floyd in Wrigley had a girl named Fiona. Sharon and Trapper Joe in Trout Lake had a boy named Eden. In Nahanni Butte, Joan and Jim Paul had a boy named Gerry.

In closing, Mr. Speaker, today the government released the budget and I would like to take this opportunity to express the continued importance of funding for day care services facilities and staffing. It is critical for this government to recognize the important day care facilities when in communities, and all communities and all intergovernmental day care initiatives, and be more proactive and creative to address day care concerns. When families and residents are not able to participate in the workforce, their personal and financial freedom is seriously limited.

With that, Mr. Speaker, these new children and those who come rely on our decisions to create their future. Mahsi cho.

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Thank you, Mr. Speaker. Given the fact that our Finance Minister has delivered his budget address today, I feel compelled to comment on some observations that I have had after having now listened to the last three budget addresses.

I find it very ironic that the Finance Minister has delivered his budget address on Groundhog Day. I wonder if he has ever seen the movie Groundhog Day where Bill Murray plays a weatherman who lives the same day over and over again. Every day is Groundhog Day. It would seem to me, Mr. Speaker, that each budget that has been delivered by this government seems eerily similar to the one before it.

It is like we are living in a very bad dream that has lasted 13 years. No fiscal surety, no deal on devolution, no deal on resource revenue sharing, no substantial new vision or focus. We continue as a government to just roll along. Thankfully for our residents, our economy continues to flourish. How can our economy grow 20 percent last year and yet we still struggle to balance our books year in and year out? How can we break the cycle of each budget being a mere image of the one before it? We need to focus our attention on the three big priorities facing the Northwest Territories: devolution, resource revenue sharing and fiscal surety.

With the new government in Ottawa, it is time for us to finally wake up from the bad dream that we were in and focus on the future. I take the issue of fiscal responsibility very seriously. I take any opportunity I can to try and tell the government that we have to look very closely at how we spend our money.

There are many examples of how restructuring and so-called efficiency and effectiveness initiatives do not actually save the government anything but end up costing much more. When a department seems set to lose a few positions, they miraculously appear as new initiatives under a new heading.

We need a thorough examination of our operations. We need to have a vision, a focus, and be able to spend more money where it is needed on areas like social issues and economic and business development. We have to take every opportunity to realize efficiency in our operations. From what I have seen so far, no opportunity is ever taken to realize efficiency and cost savings, and that cost savings seems like a foreign concept to the government. Thank you, Mr. Speaker. I will ask the Minister questions at the appropriate time. Thank you.

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Thank you, Mr. Speaker. I listened to the budget address with a lot of interest. The pipeline hearings are starting in Inuvik and even Mr. Harper said that we should be beneficiaries of our resources. I happen to agree with him. I think we should hold his feet to the fire over this one. I like the tone that this government is finally starting to take and be a little more aggressive in going after what is rightfully ours. There are many things in the address that I agree with. The $270 million that is going out of the Territories every year, how much of that are we getting? I don’t think we are getting anything. These are our resources. I find that just unfair; really unfair.

Hear! Hear!

I like the tone that this government has taken. I think they should be more aggressive. I think we have to go after these people and get what is rightfully ours, because he did say that we should be our own beneficiaries.

He also asked if we should invest millions in transportation infrastructure. I say yes we should invest in a highway down the Mackenzie Valley. We should go right up to Tuk. We have to…

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We have to connect the whole NWT by road. Hopefully that will drive some of the prices down. I would be more than happy to back the Minister up in Cabinet on anything that they might want to try and do. I would be proud to be a Member of a Legislature that finally gets what is rightfully ours from Ottawa.

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That resource revenue royalty sharing plus a highway down the Mackenzie I think would be a good legacy for all of us in here. Thank you, Mr. Speaker.

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Thank you, Mr. Speaker. Mr. Speaker, I, too, would like to make some comments on the budget delivered today. Mr. Speaker, in some ways, I, too, feel like it is a Groundhog Day budget. There is not really that much new in there, although I do support the highway idea all the way to Tuk.

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But there is really not much in there that we have not heard before. Most of the light of the budget was on the federal government. I don’t think I have ever seen a budget where about half of the print speaks to that. Mr. Speaker, I, too, sincerely hope that the new Prime Minister Harper will deliver for the North. I know we make a great deal of the fact that he mentioned us by name in his first speech. I think that speaks more to how neglected we feel than what we know right now about how much importance he will put in that, especially when, as the days and weeks go by, where his agenda will not be…I am hoping that his agenda will not be hijacked by the big vote rich provinces of Ontario and Quebec and all the other provincial and territorial Premiers and Finance Ministers that I am sure are dreaming right now about what addressing fiscal imbalance means to their coffers. I, too, share the optimism. If the change was what was required, we certainly have a change in many areas. I hope that a lot of goodwill comes out of that.

Another thing I want to briefly mention, Mr. Speaker, is the fact that the devil really is in the detail, especially in regards to this budget because there was very little details given about the social spending and what kind of priorities that the government will put in, especially in the areas of kindergarten funding or day care funding or even the housing issues. I know we are going to have a rigorous debate on that. I hope that we don’t debate it on small town versus big towns, but that we will talk about the fact that even if we got every dollar of the $270 million resource revenue into our coffers, that's still only a quarter of the total budget. We have our own budget to manage and we have our own priorities to deal with.

Mr. Speaker, one thing that I really noticed out of the budget is the Minister stating that he wants to be bold. He came into our committee meetings saying that he was going to get aggressive. I am looking at him going, what are you waiting for? We are waiting two years; more than half into the mandate. I give him permission to be aggressive. I want to see him in the headline in the national and territorial media every day. Mr. Speaker, may I seek unanimous consent to complete my sentence?

The Member is seeking unanimous consent to conclude her statement. Are there any nays? There are no nays. You may conclude your statement, Ms. Lee.

Thank you, Mr. Speaker. Mr. Speaker, I know the Minister of Finance is a man of his own word. When he says he is going to get aggressive, I know he is going to get aggressive. We are with him. I am envisioning him being the Incredible Hulk coming out of his shirt, going out there and taking on Mr. Harper and letting him know what we need. So I look forward to seeing his work. Thank you, Mr. Speaker.

---Laughter

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Thank you, Mr. Speaker. To pick up on one of my colleague’s points, it is Groundhog Day. It is finally time that we have seen that our little gopher over there isn’t afraid of his shadow. I am saying kudos to the guy who actually says he wants to stand up to the Government of Canada. So, finally, let’s see if this tough talk actually emerges to anything but sugarplums in dreams. This statement says, like many other statements, oh, let's talk about the dreams of hydro. Let’s put the initiatives of hydro ahead of children. I didn’t hear any statement saying that children are number one. It is just hydro. Wait a minute. Resource revenue sharing agreement. Again, where are our cultural and arts points? They don’t stand out here at all, Mr. Speaker. We don’t have strong, bold statements about what we are going to do to take care of our disabled people. Those are strong and bold statements, I think, when we say we are going to take care of every darn one. We are going to make sure that their safety nets are there to protect them when they need them, Mr. Speaker.

Mr. Speaker, on page 6, we talk about healthy choices in our schools, but we don’t talk about getting rid of the vending machines in those schools. We don’t talk about making sure that those chocolate bars are out. With only going halfway on that issue, it is like holding an AA meeting in a bar, for goodness sake, Mr. Speaker.

---Laughter

All I can say is that this budget statement, I applaud the Minister for saying that he is finally going to get tough. But this government is coasting out of here. We are less than a year-and-a-half away from finishing. Or do we really think we are going to wrap up a resource revenue sharing agreement, drop the corporate tax and it is all going to save our skins? I think we need to worry about number one, our people here. What are we doing again for the disabled community, our arts community? Do we offer strict lip service for those organizations and for those people? I think it is important and critical to make sure that we show that we care about those areas every single day. This is a policy statement for the next year. I don’t see any mention of them. So we are missing low income earners, children, disabled, arts community and our culture. I think those are the values of the Northwest Territories. I think they were missed this time. I think the Minister did a good job, but I think we fell short of where we should really be focusing. Thank you, Mr. Speaker.

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Thank you, Mr. Hawkins.

Point of order, Mr. Speaker.

I think that Mr. Hawkin’s statement was unparliamentary. It was disrespectful. I do not think he should refer to our Finance Minister as a little gopher. I don’t want to draw attention to it, but I think it just decreased the stature of our Assembly by those words. I would like him to retract them. Thank you.

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Mrs. Groenewegen, could you clarify for the House what rule you were raising a point of order under? Unparliamentary language?

Thank you, Mrs. Groenewegen. The Member has raised on a point of order under Rule 23, unparliamentary and disrespectful language in the House, and has asked the Member to withdraw the remarks. The Chair is of the opinion that the language in the House is not to be disrespectful towards other Members. I will support Mrs. Groenewegen’s request to have the remark withdrawn. Does the Member for Yellowknife Centre wish to withdraw the remarks? Mr. Hawkins.

I couldn’t hear you, Mr. Speaker, but I will just assume you are supporting Mrs. Groenewegen in this regard. For sake of ease, I will withdraw them. The only intent was to reference Groundhog’s Day and the groundhog is afraid of their shadow. So, if Mr. Roland and anyone in his family were concerned by the remarks, they were not meant to be intended in any negative way. In that regard, I will withdraw them just for the sake of moving on.

I would like to draw your attention in the gallery today to a constituent of mine, Roy Courtoreille who is regional vice-president of the UNW. He is here today, along with a number of his colleagues on the executive for the UNW. Welcome to the House.

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Recognition of visitors in the gallery. The honourable Member for Frame Lake, Mr. Dent.

Thank you, Mr. Speaker. I would like to recognize some of my constituents who are here today with the UNW: Wendy Carpenter, Allison Barr, and Barb Wyness.

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Thank you, Mr. Dent. Recognition of visitors in the gallery. The honourable Member for Thebacha, Mr. Miltenberger.

Thank you, Mr. Speaker. I have the pleasure of recognizing some folks from the constituency. Some are here for the budget address. Jeff O’Keefe, Margaret Imrie, Alma McDonald and Steve Lafferty from the college. As well, we have two stalwart members of the UNW executive from Fort Smith, Mr. Brad Brake, second vice-president; and Paul McAdams, regional vice-president. Thank you.

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Thank you, Mr. Miltenberger. The honourable Member for the Deh Cho, Mr. McLeod.