Typically when you get a parking ticket, you can put a ticket on the vehicle and you just need to record the licence plate. Our Airports Act does not allow us to do that, so when we issue a parking ticket it has to be to the driver of the vehicle.
This economy is going to be faced with, as the Minister has put it many times, we’re going to see some substantial economic growth, which will probably put a little bit of strain and pressure on our airport system. Can the department indicate to us: Have the airport fees been reviewed as of late, and is there any inclination of increasing those fees to accommodate the increased traffic that we may be seeing, especially in areas like the Sahtu?
Thank you, Mr. Dolynny. Minister Ramsay.
The fees related to airports were part of the overall fee review that took place last year and are detailed in this budget under revenue. Yes, we had some inflationary catch-up to do in a number of cases, and we’re coming forward with some new increases to some of those revenues, including those of airports.
Can the Minister indicate to the House here when was the last time those airport fees were reviewed?
I would have to get that detail for the Member. There was a little bit when, I believe it was in the 15th Assembly, we had to find $11 million to use for the upgrades to the main terminal building. But prior to that, probably 2001 was the last time that fees were reviewed. I believe it was just specific to landing fees in 2006, that we had to find an offset for the $11 million to upgrade the terminal at YZF.
Where I’m kind of going with this is that I believe it was, as the Minister put it, an initiative that was overdue in terms of the reviewing of airport fees. Does the current process allow that these fees are being reviewed on a more frequent basis? Is there a provision or a proviso within the review program that will not allow this to lapse, that we actually are keeping up with either inflation or use of our facilities?
The Member is correct. We hadn’t done it for a while so there’s a bit of a shock there. We’re going to try to, as we move forward, look at it on an inflationary basis, year to year, so that there’s not a big gap of 10 years before you look at fees again. Yes, we’re doing just that.
There has been a lot of activity lately here in the ITI sector. Where I’m going with this is that our international exposure has now heightened the awareness of many other countries possibly wishing to use Yellowknife as a destination for their air buses. Edelweiss Air was one of those potentials that were out of Zurich. There were some complications a number of years ago looking at runway length and other, I guess, barriers to looking at increasing our exposure of our airport system to the national and international audience. Can the Minister indicate to the House here if there are ongoing dialogues or discussions with any third-party airlines, international airlines that could be seeing increased traffic, and are we equipped for that international business which could be a huge benefit to the tourism sector of the Northwest Territories?
Yes, there is. There are those types of discussions that happen and Edelweiss is one of them. We certainly have to be taking a look at the infrastructure that we have at YZF. Runway length has been talked about. That would probably require $40 million to $50 million to lengthen the runway. Also, other infrastructure that would be required to handle different types of aircraft, and also the requirement of customs personnel and a customs handling area at YZF. The dialogue continues and we certainly understand and appreciate, from a tourism perspective, what having direct international flights show up in Yellowknife and in the Northwest Territories could mean to the tourism sector here in the Northwest Territories. It’s a dialogue that we continue to have but it is going to cost some money. If we can find a carrier that does want to pursue that, we’re going to have to come up with some sizeable dollars to make it happen.
I am totally in agreement with the Minister here. If we can open up our doors to the world, I think our tourism budget would reflect that.
The concern I have is that within the premise of this operations budget for airports there is no provision what I see here for future thinking or future growth in that area of attracting. I would assume the provisions and putting together a proper study or planning document or emphasis on capital, which I know we’re not discussing, but this is about operations, and operations means planning. If these discussions are indeed transpiring, what reassurances do we have that the department is now working towards a battle plan, so to speak, towards making this a viable option for the people of the Northwest Territories? As I see it, the budget here doesn’t seem to be accommodating that. Can the Minister or designate indicate is this something that we may see in the ‘13-14 budget?
We continue to work toward a business case, and I think that’s where we’re trying to get to. This is discussed in the Airport Development Plan. It outlines what the Member is talking about today. As far as planning, a lot of that would take place under corporate services or the commercial development section of the airports division, so that money the Member talks about would be contained in those units inside the department. But, again, we have to get a business case to make something like this happen.
Thank you, Minister Ramsay. Next, I have Ms. Bisaro.
Thank you, Madam Chair. A couple questions here. I was really glad that Mr. Dolynny raised the issue of airport parking. I’ve had a couple of unfortunate experiences with parking at the Yellowknife Airport. I guess I would like to know from the Minister… I think he’s aware. I think he’s been caught once or twice as well. I appreciate that we want to keep traffic moving in front of the terminal building. We don’t want people parking there and leaving their vehicles, but I do have a concern with the negative attitude, I guess, that is put upon people dropping somebody off. If I’m dropping someone off and they happen to have several pieces of luggage, and I get out of the vehicle to help them take that into the terminal building, I’ve come back out and found that I have a ticket.
I guess I’d like to know whether or not the Minister would look at the whole parking policy, I guess, or the way that we enforce the drop-off zone in front of the terminal building. It would seem to me that we could probably be a little nicer, I guess, so to speak, and we could still enforce the fact that you’re there to drop off or, in some cases, pick up. But, basically, I think we could have a little bit more leniency with the, I’m going to call them Nazi’s, but I’m smiling when I say that, the parking police who roam up and down. I guess I’d just like to know whether or not the Minister and the department would have a look at that particular policy and the way it’s enforced.
Thank you, Ms. Bisaro. Minister Ramsay.
Thank you, Madam Chair. I thank the Member for raising the concern. As far as airports go, we feel that the parking at YZF here in Yellowknife, there’s one hour free parking for anybody that wants to park in the lot. We have to remember there are drop-off areas there so people can drop folks off. There are carts for luggage. From a safety perspective, we have to keep traffic moving in that area, so we can’t have congestion in that area. The parking enforcement at the airport is that it’s meant to be a deterrent to people leaving their vehicles outside of the airport. Not everybody takes advantage of that, but there are some people who would leave… If the parking enforcement isn’t what it is, people would leave their vehicles out there and we’d be faced with situations of congestion. Again, we take that issue very seriously. Like you said, we’ve got the one-hour free parking, which is very generous if you look at other airports around the country. There are not too many airports that offer any free parking at all. Thank you, Mr. Chairman.
Thanks to the Minister. I appreciate that we don’t want people stopping there, but maybe we could just brainstorm a little. I mean, sitting here listening to the answer, I totally agree that we don’t want people parking in the drop-off zone, but maybe if we put luggage carriers outside. You know, something like that just to make life a little simpler. There are a lot of people who simply drop somebody off and move on and you cannot get out of your vehicle unless you want to get a parking ticket. So something like that would make things a little more inviting.
I also wondered with regard to Yellowknife Airport in particular, but a number of years ago there was quite a discussion about changing the management at the Yellowknife Airport, giving the management over to an airport authority and/or the City of Yellowknife, something like that. Has that thought died, so to speak, or is there still an intent of sometime down the road to bring back the possibility of an airport authority at Yellowknife? Thank you.
That is with the program review office and that continues to be a question of where do we want to take that. Certainly, if there’s some political direction on what happens with an airport authority here in Yellowknife, that’s something we look forward to input from Members on their thoughts on an airport authority here in Yellowknife. Thank you.
I look forward to the program review office recommendation, whenever it comes forward. My recollection of the last time around is it didn’t seem to be financially viable, so to speak.
My last question here has to do with runway upgrades. Over the last number of years we’ve been upgrading runways here and there across the territory. Does this budget include any upgrades to any of our runways? Thank you.
That would be under the capital so, no, it’s not in this budget. Thank you.
Thank you. Transportation, activity summary, airports, operations expenditure summary, $29.704 million.
Agreed.
Agreed, thank you. Page 11-18, Transportation, activity summary, airports, grants and contributions, contributions, $30,000.
Agreed.
Page 11-19, Transportation, information item, airports, active positions. Ms. Bisaro.
Thanks, Madam Chair. Just a question here. I note that we are increasing the staffing in this budget by three. Could I know where they’re going and why? Thank you.
Thank you, Ms. Bisaro. Mr. Ramsay.
Thank you, Madam Chair. Two are directly related to the safety management system, one located in Fort Simpson and the other in Inuvik, and also a technical service officer airports division located in Yellowknife. That would also deal primarily with the SMS. Thank you.
Thank you, Minister Ramsay. Transportation, information item, airports, active positions.
Agreed.
Page 11-21, Transportation, activity summary, highways, operations expenditure summary, $64.766 million. Mr. Dolynny.
Thank you, Madam Chair. I’m probably going to open up my conversation on this page with respect to the overall strategy we have for our highway systems. It’s been noted a number of times. I know the Minister had made some comments towards our overall strategy moving forward for the remainder of the 17th and maybe setting up for the 18th Assembly. Can the Minister indicate where we’re at with respect to the overall Highway Strategy as an investment focus, as a terms of priority for maintenance, and some of the key expansion initiatives that this government or future governments will be facing in the next couple of years? Thank you.
Thank you, Mr. Dolynny. Mr. Ramsay.
Thank you, Madam Chair. We hope to go to a Transportation Strategy update in the next year. We also need to come up with a plan and we are currently working on a plan on an infrastructure program from the federal government, a cost-shared program, where we could best utilize those capital dollars in the NWT in our transportation system. We are working on that and that is definitely a work in progress. As soon as we get something concrete, we’ll be coming to the Members to share that plan with them. Thank you.
Madam Chair, I can speak on behalf of I know the people of Range Lake, and I’m sure Yellowknife in general and probably every resident in the Northwest Territories, that this is by far probably one of the biggest frustrations that any one of us deal with on a regular basis. Those of us who have to travel by road know only too well the frustrations that we have out there. We are very cognizant that the department only has so many dollars in their tool chest and their coffers, but I think a strategy would serve well, knowing in terms of priority, in terms of planning, especially those communities that are waiting patiently to find out if their road is going to be touched.
The question I have is in the interim, we are probably talking about a strategy that is imminent, but we have a lot of issues involving road surfacing, a lot of roads that require that type of update and options. Can the department indicate to us is there a plan of action to deal with a lot of the road surfacing hurdles in the short order for roads in the NWT?
Thank you, Mr. Dolynny. Mr. Neudorf.
Madam Chair, certainly I have heard about the frustrations with Highway No. 3 as well. Certainly, it is a challenge in trying to maintain that highway in an area of discontinuing permafrost, and to deal with the heaving, and the melting, and the consolidation of material that’s been going on.
In terms of resurfacing, of course, we get many requests to upgrade the surface of our roads and our highways. Chipseal, having a paved surface provides a much higher level of service and it is appreciated by users of the road. We do want to take a look at that again as part of our capital planning.
The Minister mentioned about preparing a response to the next Building Canada Plan, the next federal government infrastructure plan. We are working on a high-level document that would talk about what our priorities would be and we would look forward to coming to the standing committee to talk about that. Thank you, Madam Chair.
Madam Chair, I appreciate the honesty here. We know the troubles. We know the challenges faced by the department. What would be interesting to have is – and I know we have to wait for the strategy to come full course – the needs assessment, the priority list or the substantiation sheets on those sections of highways that are in dire need of repair or resurfacing or actually even new construction. Has the department compiled such a document? Thank you, Madam Chair.
Thank you, Mr. Dolynny. Minister Ramsay.
Thank you, Madam Chair. The department does a needs assessment every year and has to substantiate every capital request that’s submitted. Thank you.
I guess, in due course I think Members would probably be interested in seeing a consolidated version of that document. I know some Members have received segments or certain sheets from that document, but a consolidated version of that document definitely would put a lens on the needs assessment, and it would also give Members here an opportunity to see as to what road structure or road infrastructure they are affected by their own riding. Again, I will challenge the Minister to provide that in due course.
I’m going to challenge the Minister here to hold to his word in terms of responding to the Members and being upfront with these numbers. Is that $12 million of pre-work, is this included in the overall budget of the cost-sharing estimate of $299 million? Thank you.
That information was provided to Members, and Members would know the answer to that question. The answer to that question is the government had to put money into the project upfront. Those are some costs in a project that’s going to be close to $300 million. So, no, that $12 million isn’t part of the $299 million. Thank you.
Thank you, Minister Ramsay, for answering that question directly. I appreciate it. It saves a lot of time and energy.
My next question and it will be my last question, Madam Chair, is I think people need to understand that should this project exceed, and I say should, the $299 million, would this overage be following 100 percent in the hands of taxpayers to actually pay that overage out of our own coffers and not a cost-sharing involvement with the federal government? Thank you, Madam Chair.
I would just like to remind Members that we’re dealing with the operations and maintenance budget here. We’re not dealing with the capital budget. There isn’t actually anything on this page with respect to what Mr. Dolynny is asking. However, Mr. Ramsay did bring up the issue of the Inuvik-Tuk highway in his opening comments, which I suppose does give Members a reference point. I just want to caution Members to stick to the matters before us on this page and on this department. Mr. Ramsay.
The number of $299 million, worst-case scenario and it does go over $299 million, history shows that other funding arrangements that the territorial government has had with the feds is that they don’t fund cost-overruns. But, again, we haven’t seen a funding arrangement. We haven’t got the approvals from the federal government, so it’s really yet to be determined.
Thank you, Mr. Ramsay. Next I have Ms. Bisaro.
Thanks, Madam Chair. At the risk of angering the Chair, I just want to ask one question with regard to the Inuvik-Tuk highway, I listened with interest to the exchange in the House earlier this afternoon, and I believe the public is interested in knowing details about the project and what is planned, and what the planned costs are. I would like to ask the Minister if he could advise when the public might be able to see or have access to those sorts of intricate details on the Inuvik-Tuk Highway Project. Thank you.
Thank you, Ms. Bisaro. Minister Ramsay.
Thank you, Madam Chair. As soon as decisions are made, the approvals come in from the federal government. We want to stand behind this project. We want the public to know fully what the Government of the Northwest Territories intends to do with this project, how we’re going to build the highway between Inuvik and Tuktoyaktuk. So we will be forthcoming with information as it becomes available to us. Again, we aren’t quite there yet. We have to get approvals. We have to get the funding agreement from the federal government. But I promised the Standing Committee on Priorities and Planning an update as soon as we get those approvals in and the agreement in. We will be back in front of committee and it will be the Members of this House that will approve this project. So we will be putting every number that we have out there. Also, the public has every right to know what those numbers are as well. Once we know what we’re getting into, we will share that information publicly as well. Thank you.
Thanks to the Minister. Really all I asked was when. I’m looking for an estimate of when you think that might be. My point is we do have constituents who have a great deal of interest in this project and will want to tell us what they think so that we can vote accordingly.
I wanted to ask a question, as well, with regard to the Sahtu winter road. You’ve just recently had a lovely experience on it, Mr. Minister. There were a lot of problems, certainly at the beginning of the use of the road this winter. Is there, and maybe this is capital again, and if so, I’m sorry, but is the department planning on doing sort of a bit of upgrading or a lot of upgrading on that road to try and make sure that the problems that occurred this winter don’t occur next winter? Thank you.
