Debates of June 7, 2012 (day 11)
Thank you, Mr. Speaker. Again, many of the decisions the Member talks about were decisions of previous governments and, yes, some people ask questions and some remain silent when decisions are made by government, and that happens. We got to the position we’re in today. The original budget was $165 million. During the life of the 16th Assembly there was a decision to put another $15 million into the project. Late last year, because of a year-long delay, there was another $10 million decision, and today we’re faced with the $7.2 million to $9.5 million ask of government, to see the completion of the project. Again, we’ve negotiated. In that settlement we’ve negotiated an end to the construction claims on that project. It is, for us, a way forward and we have to continue looking forward and not backwards. Thank you.
Thanks to the Minister. I’m hearing the same thing over and over. I’m hearing we have to get the project done, we have to move forward. I agree, but I don’t necessarily agree that we need to spend more money to do it. I have the same question that has already been asked and I have yet to hear an answer that makes any sense to me. We had, apparently, a negotiated, guaranteed price for this particular project. Sometimes the parameters change. I understand that. But I would like to know from the Minister what happened to that negotiated guaranteed price. Why has it gone out the window? What changed that made us need to spend more money? Thank you.
Again, the decision to negotiate the construction contract originally with Ruskin was not a decision that I made. I’m responsible for decisions that I’m making and this Cabinet is making in regard to this project. Again, in answering other Members, it’s quite clear, if you look at the options that presented themselves, what this government should do. I’m not sure what Members opposite would consider a prudent thing to do. Just throw our hands up and let the project mire in this long, drawn out claims and fight with the contractor, and be locked in a legal battle for years to come and the bridge not be opened this fall, or we could put our differences aside, come up with a negotiated settlement that would see the completion of the bridge and negotiate the claims that were outstanding, and not be faced with at least a $9 million hit when the bridge wouldn’t open this November. Our intent is to open the bridge in November. That is the way forward and we will continue to pursue that. Thank you.
I’m not sure if I should thank the Minister or not, but I appreciate the answer. I am still struggling to understand. I haven’t yet heard what has changed that requires us to spend more money. We had a contract and there was a price attached to that contract. In the terms of the contract, in the parameters of the project, what has changed that now requires us to spend 10 million more dollars? Thank you.
Like I mentioned earlier in answering other questions, in March it became apparent that the project would not be able to be completed in November. We had to go back. We had to look at a way to ensure that the project would be complete in November. We didn’t really want to look at another year’s delay in the project which, undoubtedly, would cost us more money. There were a number of outstanding claims associated with the project. This wraps it all up. It gives budget surety. It gives schedule surety so that we can see the completion of the Deh Cho Bridge. We’re looking forward to the day when traffic can begin to move across that bridge sometime in November. Thank you.
Thank you, Mr. Ramsay. Final, short supplementary, Ms. Bisaro.
Thank you, Mr. Speaker. I’ve heard the Minister say probably three or four times now this afternoon that we have schedule certainty and budget certainty. I’m having a very hard time believing those words. We’ve had budget certainty for probably the last three years and we’ve gone from $165 million to $202 million.
My last question to the Minister, we talked previously in the government, and it might be a previous Minister, but I will ask this Minister if he will commit to a full-cost accounting of the project once it is completed. All the in-kind man hours that have been donated, will he share that full-cost accounting with the Members and with the public? Thank you.
While I say we need to look forward, and I do believe wholeheartedly, we have to see this project through to completion, and we’re going to do that, once the project is complete, and I’ve made this commitment to the House in a previous sitting, is that we will go back, we’ll take an entire look at the project from its inception, so that we can learn some valuable lessons in other future large infrastructure projects around this territory. There has to be lessons learned. I believe when we go back and take a look at the process, how things unfolded and how they came together, I think that’s what Members are looking for, that’s what the public is looking for, and I’ve already made a commitment to do that. But right now our focus should be on completing that project so we can move on and get that work done. Thank you.
Thank you, The Member for Weledeh, Mr. Bromley.
QUESTION 108-17(3): DEH CHO BRIDGE PROJECT COST OVERRUNS
Thank you, Mr. Speaker. I’d like to follow up on the questions by my colleagues on the Deh Cho Bridge and ask questions of the Minister of Transportation.
I’d like to start by saying that I agree that his project has been an unmitigated disaster from the get-go, and there are some good reasons for that, and we have now, as a House, put in place some policies that will help guard, to some degree, against future recurrences. I’d like to start with ATCON, the original contractor. Can the Minister assure me that we are completely severed now and there are no ongoing unresolved claims with ATCON, the original contractor, and we’re done on at least that front? Thank you.
Thank you, Mr. Bromley. The Minister of Transportation, Mr. Ramsay.
Thank you, Mr. Speaker. There remains one outstanding claim with ATCON that the department continues to pursue and look for a negotiated settlement to that claim.
Mr. Weledeh appreciates that response. So we have at least one other source of surprise cost coming forward in the future. Are there any other further risks that have not been mentioned today that the Minister would care to outline for us at this time?
Mr. Speaker, I appreciate the Member’s question. No, there wouldn’t be. We still do have the sum. It was about $13 million from the Government of New Brunswick. We have remaining in that account about $7 million. That is to address deficiencies or issues after the bridge is complete. We will be able to look at some of that work. It is minor work. That funding is in place to allow that to happen. Thank you.
Mr. Speaker, how long after the bridge is completed will toll collection begin? Thank you.
Mr. Speaker, the rate we are going, it will start on day one. Thank you.
Thank you, Mr. Ramsay. Final, short supplementary, Mr. Bromley.
Thank you, Mr. Speaker. I am not sure that was the right phrasing the Minister used there, the rate we are going. I probably wouldn’t refer to that, but I appreciate the comment.
People of the Northwest Territories, as is clear from the comments of my colleagues today, have foregone a lot of infrastructure options, a lot of provision of important services. These costs will continue to accrue as we pay back the hundreds of millions of dollars in interest and so on. Will the Minister commit to avoiding any such ventures in the future where costs are for a project predicted to continue to rise way beyond the original estimates where the risks are extreme and uncertain and where there is marginal economic benefits being enjoyed by the people of the Northwest Territories? Thank you.
Mr. Speaker, I appreciate the Member’s question. I think there is a lot to learn. I commented on Ms. Bisaro’s questions about a complete look back at the project once it’s complete. We need to ensure the upfront work is done so that we know what we are getting ourselves into. That’s what we intend to do on future projects, is do that upfront work so that we can ascertain costs and risks before we venture in. Thank you.
Thank you, Mr. Ramsay. The honourable Member for Yellowknife Centre, Mr. Hawkins.
Thank you, Mr. Speaker. I seek unanimous consent to return to item 8, oral questions, on the orders of the day. Thank you.
---Unanimous consent denied
Tabling of Documents
TABLED DOCUMENT 22-17(3): PUBLIC WORKS AND SERVICES ENERGY CONSERVATION PROJECTS ANNUAL REPORT 2011
Thank you, Mr. Speaker. I wish to table the following document, entitled “Public Works and Services Energy Conservation Projects Annual Report 2011.” Thank you, Mr. Speaker.
First Reading of Bills
BILL 3: AN ACT TO AMEND THE HUMAN RIGHTS ACT
Mr. Speaker, I move, seconded by the honourable Member for Kam Lake, that Bill 3, An Act to Amend the Human Rights Act, be read for the first time. Thank you, Mr. Speaker.
Thank you, Mr. Blake. Bill 3, An Act to Amend the Human Rights Act, has had first reading.
---Carried
Item 19, second reading of bills. Item 20, consideration in Committee of the Whole of bills and other matters: Tabled Document 2-17(3), Commissioner’s Opening Address: Creating the Conditions for Success; Tabled Document 3-17(3), Northwest Territories Main Estimates 2012-2013; Tabled Document 17-17(3), Supplementary Estimates (Infrastructure Expenditures), No. 7, 2010-2011; Tabled Document 18-17(3), Supplementary Estimates (Operations Expenditures), No. 4, 2010-2011; Tabled Document 19-17(3), Supplementary Estimates (Infrastructure Expenditures), No. 1, 2012-2013; Bill 1, An Act to Amend the Student Financial Assistance Act; Committee Report 1-17(3), Standing Committee on Government Operations Report on the Review of the 2010-2011 Annual Report of the Information and Privacy Commissioner of the Northwest Territories; Committee Report 2-17(3), Standing Committee on Government Operations Report on the Review of the 2010-2011 Northwest Territories Human Rights Commission Annual Report. By the authority given to me as Speaker pursuant to Motion 2-17(3), I hereby authorize the House to sit beyond the daily hour of adjournment to consider the business before the House, with Ms. Bisaro in the chair.
Consideration in Committee of the Whole of Bills and Other Matters
I call Committee of the Whole to order. We have a number of documents to consider here. We have Tabled Document 2-17(3), Tabled Document 3-17(3), Tabled Document 17-17(3), Tabled Document 18-17(3), Tabled Document 19-17(3), Bill 1, Committee Report 1-17(3) and Committee Report 2-17(3). What is the wish of the committee? Mr. Menicoche.
Thank you, Madam Chair. The committee wishes to consider Tabled Document 3-17(3), NWT Main Estimates 2012-13, to continue deliberation of Health and Social Services, then on to Executive, Aboriginal Affairs, Finance and the Legislative Assembly.
Thank you, Mr. Menicoche. We will resume after a short break.
---SHORT RECESS
Okay, I’ll call committee to order. We are on section 8, Health and Social Services. Mr. Beaulieu, do you have witnesses you wish to bring into the Chamber?
Yes, I do, Madam Chair.
Is committee agreed?
Agreed.
Thank you. Sergeant-at-Arms, if you would please escort the witnesses into the Chamber.
Thank you. Mr. Beaulieu, would you mind introducing your witnesses, please?
Thank you, Madam Chair. With me today to my right is Deputy Minister Debbie DeLancey, Health and Social Services, and to my left, Assistant Deputy Minister Derek Elkin, Health and Social Services.
Thank you, Minister Beaulieu. Committee, we are on page 8-17, activity summary, Health and Social Services, program delivery support, operations expenditures summary, $34.772. On my list from yesterday is Mr. Moses.
Thank you, Madam Chair. My question is in regard to population health, the discrepancies between the amounts here in that line. In 2011-12 the main estimates were at $3.678 million. The revised estimates ended up being $6.391 million. I was wondering what the increase was, and then what was the justification behind making the ‘12-13 Main Estimates at $4.426 million. Thank you.
Thank you, Mr. Moses. Minister Beaulieu.
Thank you, Madam Chair. That is the supplementary appropriation that comes to the Assembly from the department every year and would be the Canadian Blood Services and people that go for southern treatment. Adults and children that are in southern treatment are three of, I think, the largest costs from that supplementary appropriation.
Thank you. If that’s the case, from the main to the revised there was a difference of $2.713 million. Is that something that we’ll be looking at possibly revising for the main estimates for this fiscal year under population health? Thank you.
Thank you. We do come back for those costs with a supplementary appropriation every year, depending on the need.
No further question. I just needed some clarity and I thank the Minister and his staff for that clarity. Thank you.
Thank you, Mr. Moses. Page 17, Mr. Dolynny.
Thank you, Madam Chair. Welcome back to the Minister and the Department of Health. I need some clarifications on some of the numbers on this page here under the word “other.” Can I get a better explanation what that encompasses? We see a substantial decrease from the revised estimates from 2011-2012.
Thank you, Mr. Dolynny. Mr. Elkin.
Thank you. Just to clarify, the overall other expenses or the detailed line, other? I just want to clarify.