I guess maybe we can take this up another time because it does get complicated, but let me ask, what is our access for Canada’s disaster relief here. I see that referred to in the material in helping recover costs, these costs.
That is in reference to the flood at Nahanni Butte.
Okay. So is this $1.212 million strictly with respect to the Inuvik situation?
There is $461,000 to pay for increased utility costs for public housing in Inuvik, mainly resulting from the conversion from natural to synthetic natural gas; $669,000 to provide for housing repairs in response to the Nahanni Butte flood, which will partially be recovered from Canada; and then $82,000 to fund increased electricity costs resulting from the approval of the interim rates set by the PUB.
Thank you for that explanation there. Returning to my original question, the first point and the last point show that due to increasing costs, which are accruing as electricity bills, these new costs are accruing because we are no longer subsidizing. As each year goes by we spend less money subsidizing, and what happens is it disappears from the obvious expenditure and becomes part of our utility costs. My question is: What proportion of the millions that we’re now spending to subsidize beyond the annual Territorial Power Subsidy Program to help with electricity costs are we absorbing into government utilities that we just pay as the normal course of events?
We, as a government, have put in subsidies to cushion the rate shock. As well, on an operational basis, governments don’t get any type of subsidies, so we pay out the cost to cushion, or the subsidy, and then we pay the fully burdened rate for the service.
I think I’ve got it. This is just simply the higher cost of electricity. Thank you.
Thank you, Mr. Bromley. Committee, we’re on page 4 of the Supplementary Estimates (Operations Expenditures), No. 3, 2012-2013. Finance, operations expenditures, deputy minister’s office, not previously authorized, $1.212 million. Total department, not previously authorized, $1.212 million. Does committee agree?
Agreed.
Thank you. Page 5, Supplementary Estimates (Operations Expenditures), No. 3, 2012-2013. Municipal and Community Affairs, operations expenditures, public safety, not previously authorized, $349,000. Mr. Bromley.
Thank you, Mr. Chair. Do we know yet what proportion of that will be recovered? I’m assuming that the total in Nahanni Butte now is the $1.964 million, if I’m reading that right, which usually I’m not. If I can get confirmation on what the total is, recognizing that we’re dealing here with the $349,000, and maybe get some sense about if we any idea on what we will be recovering…
Thank you, Mr. Bromley. If I can just get you to finish that last part of your sentence, please.
Sorry. I dragged off there. To see what will be recovered through the Disaster Relief Fund. I know it won’t cover all, but I think we were hoping it will cover a lot of it. If I can just get that completed.
Thank you, Mr. Bromley. For that, we’ll go to Minister Miltenberger.
Thank you, Mr. Chair. It’s estimated at approximately $865,000 of the $1.018 million. Expenses incurred will be recovered under the DFAA, additional costs being incurred by DOT mentioned, in the amount of $1.028 million will be added to the final claim, which is anticipated to be filed with the Public Safety Canada prior to March 31, 2013. Maximum recovery is up to 85 percent.
Thank you, Minister Miltenberger. Committee, we’re on page 5, Supplementary Estimates (Operations Expenditures), No. 3, 2012-2013. Municipal and Community Affairs, operations expenditures, public safety, not previously authorized, $349,000. Total department, not previously authorized, $349,000. Does committee agree?
Agreed.
Thank you, committee. We’ll go to page 6, Supplementary Estimates (Operations Expenditures), No. 3, 2012-2013. Public Works and Services, operations expenditures, asset management, not previously authorized, $732,000. Total department, not previously authorized, $732,000. Mr. Bromley.
Thank you, Mr. Chair. I understand that this amount is for the increased electricity rate. What year are we in in that series of four years in increases?
Thank you, Mr. Bromley. For that we’ll go to Minister Miltenberger.
Thank you, Mr. Chairman. We are in year two. Thank you.
Am I correct, then, in assuming that we approved a similar amount last year, probably a little bit less for the increase last year?
Thank you, Mr. Bromley. For that we’ll go to Mr. Kalgutkar.
Thank you, Mr. Chair. This is the 2012-13 fiscal year. I apologize to the Minister. I misled him. This is actually the first year of the 7 percent increase. So this is the first year that the department is seeing the rate increase. Thank you.
Mr. Chair, that’s why I wanted to confirm that we have three more years of increases that is above this rate to go. Thank you.
Thank you, Mr. Bromley. Page 6, committee, Supplementary Estimates (Operations Expenditures), No. 3, 2012-2013. Public Works and Services, operations expenditures, asset management, not previously authorized, $732,000. Total department, not previously authorized, $732,000. Does committee agree?
Agreed.
Thank you, committee. Page 7, Supplementary Estimates (Operations Expenditures), No. 3, 2012-2013. Health and Social Services, operations expenditures, program delivery support, not previously authorized, $1.402 million. Mr. Yakeleya.
On page 7 it says to provide funding to reflect the impact of projected shortfall for costs of blood and plasma protein products. Do you know how many people in that that reflects on the cost here?
Thank you, Mr. Yakeleya. Minister Miltenberger.
Mr. Chairman, could I just get the Member to repeat that? I was just putting my earpiece on.
Thank you, Mr. Miltenberger. Mr. Yakeleya, if you could repeat that, please.
Okay, the Minister has his earpiece on now? To provide funding to reflect the impact of projected shortfall for costs of blood and plasma protein products. I’m trying to figure out how many people or how much is that initially in the North here. It’s quite a high number.
Thank you, Mr. Yakeleya. Yes, the Minister is listening and hearing. Go ahead, Minister Miltenberger.
Thank you, Mr. Chairman. It will change. Some of these costs could be attributed in the last year it was two individuals that drove the costs, that some of the blood products are very expensive depending on what may be ailing the individual clients. Thank you.
Mr. Chair, anybody that needs medical attention or services, certainly my prayers go out to them. I just want to look at the numbers here. Is this not recoverable to any type of federal government program? This is our cost to our own for having the best health care services in Canada?
It is, Mr. Chairman.
Has it been projected by the Department of Health and Social Services? Is this a cost that we will incur every year in our budget? Hopefully these people can get well. That’s the ultimate goal here and something that is not a fault of anybody. Is it something that we project to see other people in the Northwest Territories that will have this type of disease and we need to take care of them?
This is a demand-driven service. Given all the factors that affect the health of Northerners, the age, the lifestyle issues, genetic issues, environmental issues, we anticipate that, yes, there will be an ongoing demand. The blood services part of Health and Social Services is one that has seen constant growth. Thank you.
Like I said, I certainly send my prayers to the people who have to deal with this issue. So far the Minister said there are two individuals. That’s half a million dollars for each individual to seek this type of specialized treatment. Certainly, no individual in the Northwest Territories can cover the cost for this type of treatment program. Certainly, we do the best we can in light of the other pressing issues that we have in the North in regard to how we prioritize our costs with treatment and medical needed by people in our communities or in the North. I just want to make note of that.
It’s a point where, even for us sometimes, we have to talk about the uncomfortable issue of treatment and who do we cover, because we went through that discussion already in past governments as to medical services in the Northwest Territories. Again, I’m hoping the people who need this for themselves would get better. I’m not too sure. That’s more of a comment, Mr. Chair. Thank you.
Thank you, Mr. Yakeleya. We will treat it as a comment, then. Committee, we are on page 7, Supplementary Estimates (Operations Expenditures), No. 3, 2012-2013. Health and Social Services, operations expenditures, program delivery support, not previously authorized, $1.402 million. Health services programs, not previously authorized, $5.561 million. Ms. Bisaro.
Thanks, Mr. Chair. I wanted to ask a question here under the health services programs. The funding for projected increased costs for the provision of health care services to non-NWT residents, I just want to totally understand this. This is a lot of money; it’s $4.7 million. This cost is for the provision of health care services to people who don’t live in the NWT. I gather that it is recoverable from the jurisdiction where these people live. I’m struggling to understand how we could underestimate such a large number. Maybe I can get an explanation from the department. Thank you.
Thank you, Ms. Bisaro. For that we’ll go to Minister Miltenberger.
Thank you, Mr. Chairman. This is another service that is demand driven and fluctuates. The target adjustment of $4 million has already been approved in principle for 2014-15. We are looking at trying to… This is one of the areas where we want to make a base adjustment. Thank you.
Thanks to the Minister. It’s good to hear that we’re making a base adjustment. I’m just wondering, when we give approval for appropriation of funds, basically after the fact the way we are doing here from what it sounds like, is there a financial impact on us? Are we spending this money and getting reimbursed at a later date? Are we paying interest costs or whatever? Basically, is it costing us money to be out this $4.7 million? Thank you.
Yes, Mr. Chairman.
Okay, so if we’re out money, is it money that is recoverable? If we are paying interest on it, who are we doing the favour to and can we get the money back from them? Thank you.
Mr. Chair, of course other jurisdictions ask the same of us. For example, with all of our students down south, if someone gets sick, then they bill us. They have to be put into the process and get reimbursed. I’m not aware of the particulars, so I see the Minister of Health is right here and he could probably give us maybe enough detail for the Member. Thank you.
Thank you, Mr. Miltenberger. We’ll go to the Minister of Health, Mr. Beaulieu.
Thank you, Mr. Chair. This is the inpatient outpatient reciprocal billing rates that are approved with an Interprovincial Health Insurance Agreements Coordinating Committee so that the department's representative on committee presents a territorial inpatient rate for approval and this rate is calculated by the department based on actual prior year’s adjustments for inflation. So that’s how we do the recoveries of the actuals and to make sure that we get all of the recoveries, there are some adjustments made.
