Debates of March 17, 2004 (day 2)

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Statements

Question 23-15(3): Directions To Cabinet On The Business Incentive Policy

Thank you, Mr. Speaker. Mr. Speaker, my questions are for the Premier and they're to do with my line of questioning that I had raised previously. I would like to ask the Premier what direction he's given to his Cabinet Ministers when it comes to dealing with the business incentive policy. Thank you, Mr. Speaker.

Speaker: MR. SPEAKER

Mr. Premier.

Return To Question 23-15(3): Directions To Cabinet On The Business Incentive Policy

Mr. Speaker, the direction given to Cabinet Ministers is what is in the current policies, that we follow the policies. Where there are exceptions made, then those have to come to Cabinet for Cabinet approval. Thank you.

Speaker: MR. SPEAKER

Supplementary, Mr. Delorey.

Supplementary To Question 23-15(3): Directions To Cabinet On The Business Incentive Policy

Thank you, Mr. Speaker. Mr. Speaker, from that answer am I to take that Cabinet is going to have a look at every contract that's going out from departments? If a department comes to Cabinet with a contract to say we want to waive the BIP on this, they're just going to be picking and choosing what projects they're going to apply the BIP to and what they aren't. Is that the direction we're going now? Thank you.

Speaker: MR. SPEAKER

Mr. Premier.

Further Return To Question 23-15(3): Directions To Cabinet On The Business Incentive Policy

Mr. Speaker, we have policies on a number of areas that we follow. If a Minister wants to make an exception to a policy, then he would have to bring that to Cabinet for approval for the exception. Thank you.

Speaker: MR. SPEAKER

Supplementary, Mr. Delorey.

Supplementary To Question 23-15(3): Directions To Cabinet On The Business Incentive Policy

Thank you, Mr. Speaker. Mr. Speaker, it gets pretty frustrating when on one side I have a constituent who loses a contract because of a technicality. They say it's a government contract, we have to stick to the letter of the law, we can't make any changes and he loses a contract. Then I hear that on a business incentive policy contract, as a matter of going to Cabinet we can make an exception and we'll waive the BIP on it. I think we have to make a decision in this government of whether we're going to have a business policy or not. This is a government policy, and here we have the government making changes to whether they're going to apply it or not. I'd like to hear from the Premier are we going to keep the business incentive policy and apply it across government the way it should be, or are we going to do away with it, or are we going to pick and choose? What are we going to do? Thank you, Mr. Speaker.

---Applause

Speaker: MR. SPEAKER

Mr. Premier.

Further Return To Question 23-15(3): Directions To Cabinet On The Business Incentive Policy

Mr. Speaker, we have policies, we follow the policies, but we don't follow every policy in every possible situation. There are times when it is necessary to make exceptions. If a Minister wants to make an exception to a policy, then that has to be brought to the government. In the case that the Member for Hay River North is referring to, it was a situation where we have been under pressure to provide affordable housing in the communities. In the previous government this was discussed; it was discussed at great length. There were Members on the other side and this side who said we could get housing a lot cheaper than what we're doing it for now. We don't need $300,000 homes for people who can't afford to buy them. How do we get lower cost housing? The previous government took a look at this situation and said if we just went to the market, we know you can buy a modular home for $60,000 or less in the South or wherever, maybe you can buy it in the North for even less than that. So let's look at it with some flexibility. We need to be open on this because the important thing is to get affordable housing into those communities.

This government took that same issue and looked at it and reconfirmed that, yes, maybe it is worth taking a look at. We did make a decision to make an exception in that case. Mr. Speaker, we can't be just bound so much to our policies that we just follow them blindly wherever they take us. There are times when we need to have a look at other ways of doing things that are affordable. In this case, we'll see whether or not this is going to work. Thank you, Mr. Speaker.

Speaker: MR. SPEAKER

Time for question period has expired, but I will allow Mr. Delorey his final supplementary.

Supplementary To Question 23-15(3): Directions To Cabinet On The Business Incentive Policy

Thank you, Mr. Speaker. Mr. Speaker, I thank the Premier for those answers, but at the same time we have a policy that government follows, and that policy was put in place to benefit northern businesses, to encourage northern business to build capacity and be able to survive in the North. I don't believe that if Cabinet is going to take a view of this now that we're going to be picking and choosing on what projects we can apply the BIP on. For two years, we've been asking what is the cost to government and how much are we saving by doing this. We have not been able to see these figures yet. We think it's saving us money, but I haven't seen any figures. Could the Premier supply me some figures that show that we have saved money by waiving the BIP on any project? Thank you, Mr. Speaker.

Speaker: MR. SPEAKER

Mr. Premier.

Further Return To Question 23-15(3): Directions To Cabinet On The Business Incentive Policy

Mr. Speaker, no, I can't show the cost of BIP or the amount of money that was saved by not using BIP in past situations. It's very difficult to pin those numbers down. The issue that we face though as a government and in this particular one that Mr. Delorey is referring to, is the need to have affordable housing. We need low-cost housing that people can afford to buy or afford to rent in the communities. That's our primary concern. How do we get there? One way of getting there is to allow people to obtain housing from wherever they can get it. That achieves our objective on housing. It may not achieve our objective on economic activity and economic support to business in the North, but we need to prioritize what the objective is. In this case, it was affordable housing. Thank you, Mr. Speaker.