Thank you, Mr. Speaker. Mr. Speaker, the Government of the Northwest Territories has made a commitment in its mandate to develop a territorial climate change strategy and I wanted to tell Members about the work that is underway. As you know, climate change is occurring at an accelerated pace in the Northwest Territories. We have no choice but to be leaders in addressing and adapting to the impacts of climate change in our communities.
The Northwest Territories is warming at a rate four to five times faster than global averages and this is causing significant changes to the natural environment. These changes include: thawing and degradation of permafrost; shorter winters; longer and drier summers; changes in wildland fire patterns; shrinking sea ice; and increased coastal erosion. This is resulting in impacts on species, ecosystems, water quality and quantity, the health and well-being of residents, Aboriginal cultures, infrastructure, buildings and some economic activities.
Risks to economic, social and cultural values in our communities will intensify if climate change continues to affect our ability to maintain our traditional pursuits and lifestyles.
Mr. Speaker, climate change mitigation and adaptation, the high cost of living and reducing our territory’s reliance on diesel-generated power are key priorities for the government and we are actively working on climate change at a national and territorial level.
The Government of Canada is developing a pan-Canadian framework on clean growth and climate change. Four federal-provincial-territorial working groups were established to begin implementation work. The NWT is participating in all four groups, working on adaptation and climate resilience, mitigation opportunities, carbon pricing mechanisms and clean technology, innovation and jobs.
The Department of Environment and Natural Resources is developing an NWT Climate Change Strategic Framework. This framework will act as a road map in our efforts during the next five to ten years as we continue to deal with the impacts of climate change. It will identify ways the NWT can contribute to national emission reductions and benefit from investments in clean energy, adaptation and low-carbon infrastructure.
The Department of Public Works and Services is leading the development of an Energy Strategy. A key objective of both of these strategic initiatives is reducing our greenhouse gas emissions. As a result, ENR and PWS are coordinating joint public engagement on energy and climate change issues.
Engagement on the Climate Change Strategic Framework and the Energy Strategy will involve a series of workshops and regional public information sessions starting at the end of October.
ENR has developed fact sheets and a backgrounder to help inform residents and interested stakeholders prior to holding these workshops and community public information sessions. Mr. Speaker, the framework will be developed in partnership with NWT residents and key stakeholders. It will rest on three key pillars: knowledge; resilience and adaptation; and economy, innovation and emissions.
It will better prepare the NWT to adapt to climate change impact by improving monitoring, planning, coordination and implementation. The framework will build on existing strategies and initiatives that include significant public engagement and input, and explore key linkages between the Climate Change Strategic Framework and the Energy Strategy. The Energy Strategy will focus on energy supply and use in the NWT, including electricity, renewable and alternative energy, heating, transportation and energy efficiency. Development of the Climate Change Strategic Framework and the Energy Strategy will complement each other to ensure economic, social and cultural needs are considered without compromising the ability of future generations to meet their need.
Topics for discussion at workshops and public information sessions will include: building knowledge of climate change impacts and opportunities; identifying priorities for monitoring and risk assessments; finding ways to increase resilience and adaptive capacity to withstand climate change impacts; improving energy use and supply in communities; reducing greenhouse gas emissions and cost-of-living; exploring carbon pricing and making meaningful contribution to national and international efforts to reduce emissions. I look forward to thorough and meaningful engagement in the coming months. Thank you, Mr. Speaker.
Masi. Ministers' statements. Minister of Public Works and Services.
Thank you, Mr. Speaker. Mr. Speaker, transitioning away from expensive fossil fuels for home heating and electricity generation will be critical to reducing the costs of living for NWT residents and protecting the NWT environment, but it will take time, innovative approaches and continued investment.
I would like to update Members on some of the work that Public Works and Services is doing this year to support the use of energy efficient technologies, as well as increase the production of renewable and alternative energy in the NWT.
The department will be undertaking several key initiatives this year as we strive to make energy in the NWT more sustainable.
We are developing a new ten-year Energy Strategy to guide our long-term approach to energy, a strategy to address the energy security and affordability, as well as address the environmental impacts of energy in the NWT. This new strategy will focus on energy efficiency, as well as on renewable and alternative energy.
To inform this strategy, the Departments of Public Works and Services and Environment and Natural Resources will partner to host a number of regional public engagement sessions in the coming weeks. We will ask questions and listen to suggestions about how we will deal with issues concerning energy and concerning climate change.
The GNWT will host regional engagement sessions in Fort Simpson, Inuvik, Norman Wells, Fort Smith, Hay River and Yellowknife. We will bring in stakeholders from surrounding communities and provide venues in which community voices can be heard. We will also host open houses in each of these centers so that the general public may ask questions and provide feedback.
I am pleased to announce that Indigenous and Northern Affairs Canada is our partner in these engagement sessions, and have contributed $250,000 to help us fund this initiative.
The GNWT has also been in discussions with Indigenous and Northern Affairs Canada about securing additional funding to support and deliver other energy initiatives. These initiatives include LED lighting upgrades, solar panels on public housing in Inuvik, and a combined heat and power pilot project in Fort Simpson.
Mr. Speaker, the GNWT has made a commitment in its mandate to continue to investigate and implement renewable and alternative energy solutions to replace diesel. While working towards a new long-term strategic direction for energy, we continue to undertake many initiatives to support efficiency, as well as renewable and alternative energy projects.
One of those initiatives in Aklavik has the GNWT working with the Northwest Territories Power Corporation to install a special high efficiency variable speed generator combined with 40 kilowatts of solar power to reduce the community’s dependence on diesel for electricity.
The department is also assessing the feasibility of installing a large wind turbine project in Inuvik. This project, up to four megawatts in size, has the potential to displace up to 5,000 tonnes of greenhouse gas in our largest thermal community.
The Department of Public Works and Services is also finding ways to reduce electricity costs in thermal communities. A tender was recently awarded to a northern Alberta supplier for the supply of liquefied natural gas to Inuvik. This replaces the supply of LNG from southern BC, allowing us to increase shipments and reduce transportation costs, displacing more diesel fuel and reducing the cost of power generation to government by $300,000 to $400,000 each year.
Mr. Speaker, we also continue to focus on energy efficiency and conservation throughout the NWT. This year we are providing the Arctic Energy Alliance with $3.5 million to deliver energy programs to residents, business and governments. The LED swap out project will distribute 10,000 LED light bulbs in thermal communities this year, providing residents with an energy-efficient and cost-saving alternative to traditional light bulbs. Households that receive the bulbs will save an average of about $300 annually, and the project will reduce greenhouse gas emissions by about 380 tonnes per year.
The GNWT has also made a mandate commitment to work with our partners in the federation and in the territory to implement the Canadian Energy Strategy. Public Works and Services is actively involved in this work; in particular, participating in the Pan-Canadian Task Force on reducing diesel in remote communities.
Another of our mandate commitments is tasked with exploring solutions to reduce diesel fuel and the use of 300 off-grid communities throughout Canada. We know that part of finding those solutions is to partner with stakeholders here at home. A Pan-Canadian seminar reducing diesel in remote communities will be held in Winnipeg this November, and I am pleased to report that the Public Works and Services has invited the Arctic Energy Alliance, the NWT Power Corporation, and representatives from seven NWT Aboriginal governments to join us and with stakeholders from across Canada at this meeting.
Mr. Speaker, we are doing a lot of important work to address energy, security and affordability, as well as to address the environmental impacts of energy in the NWT. We will continue to engage with the federal government seeking support to implement our long-term energy strategy.
As we develop our long-term approach, we will work closely with our appropriate standing committees, communities and governments and other stakeholders to ensure they address the energy issues Northerners find important. Thank you, Mr. Speaker.
Masi. Ministers' statements. Minister responsible for NWT Power Corporation.
Mr. Speaker, continuing to invest in our power system and looking for innovative approaches to meeting NWT energy needs will be critical to our efforts to reduce the cost of living for NWT residents and protect the NWT environment. I rise today to provide an update on how the Northwest Territories Power Corporation, or NTPC, is contributing to that work.
Mr. Speaker, NTPC is a member of the Northern Energy Consortium which is driven to solve electricity-related problems across Canada's North and includes utilities in all three territories. The federal government is matching funds provided by the consortium members to support an industrial research chair in Northern Energy Innovation awarded by the Natural Sciences and Engineering Research Council of Canada to Yukon College. The chair, Dr. Michael Ross, and the consortium aim to achieve the highest level of efficiency, reliability, cost reduction, and enhanced environmental stewardship standards in the northern electrical industry through applied research and innovation.
Mr. Speaker, one of the areas of this research will be the integration of renewable energy into isolated community grids. NTPC, in conjunction with the GNWT, recently introduced new solar arrays into the local electrical systems in both Wrigley and Fort Liard and in the first five months of operation has already decreased diesel consumption by 8,500 litres.
Mr. Speaker, along with integrating new alternative energy, NTPC continues to invest in its aging infrastructure to ensure safe and reliable electrical systems in all of the communities it serves. This year, $27.8 million is being invested in capital projects including major repairs, engine replacements and overhauls, and maintenance.
One of the major projects earlier this year was the seven megawatts Snare Falls hydro plant overhaul which was completed in April and was fortunately not affected by the wildfires that burned at the Snare site this summer. Those same wildfires burned one section of the Snare to North Slave transmission line causing several outages for customers in and around Yellowknife. However a safe but quick repair was carried out, minimizing the need to rely on diesel generation.
Mr. Speaker, the past two years have seen increased diesel usage due to low water in the Snare River and I am happy to announce that water levels for 2016-2017 are average in the Snare system. The Bluefish system has also recovered although the Duncan Lake reservoir remains below normal as we approach winter.
Mr. Speaker, NTPC continues to balance safety and cost with meeting expectations of reliability from its customers. However, like utilities across the country, NWT's generating infrastructure is aging and NTPC is feeling the pressures of increases in its own operating costs, which in turn increase the rates customers pay.
I think it is important for the public to understand that power rates are not set by NTPC or the GNWT. People have been hearing that NTPC is charging Yellowknife customers a premium to subsidize the operation of the NWT power system; that is simply not the case.
First of all, rates from one electricity zone do not subsidize rates in other zones like the South Slave and thermal communities. Secondly, power rates for all utilities, including NTPC, are regulated by the Public Utilities Board through a fair, thorough and open process that examines how much it costs a utility to generate and distribute power and how much consumers need to pay to cover those costs.
NTPC filed a General Rate Application with the PUB in June seeking rate increases of 4.8 per cent, 4 and 4 per cent respectively for the next three years. These increases cover inflation and are being partially off-set by a Fuel Refund Rider made possible by lower diesel costs. Far from seeking a premium, Mr. Speaker, the latest GRA proposes to charge Yellowknife customers only 98 per cent of the cost of service for 2016-17 and to hold that rate at around 100 per cent for the next few years.
Not only is Yellowknife not paying a premium, Mr. Speaker, but the GNWT has provided direct subsidies of over $40 million to NTPC in recent years to offset increased costs in the Snare Hydro System. Without that subsidy from government, rates in Yellowknife would already be higher.
NTPC continues to work hard to look for ways to lower costs and to ultimately lower the cost of living, Mr. Speaker, and looks forward to participating in the upcoming energy discussion and the subsequent Energy Strategy that will establish principles to guide us as we tackle climate change, manage carbon taxes and our impact on the environment, all the while managing reliability and affordability of electricity. Thank you, Mr. Speaker.
Masi. Ministers' statements. Colleagues, I'd like to draw your attention to the public gallery. I'm pleased to recognize Mr. Erin Weir that's here with us, Member of Parliament for the riding of Regina-Lewvan. He is in Yellowknife to attend some meetings. Welcome to the Assembly. Masi for being here with us.
Thank you, Mr. Speaker. Mr. Speaker, as I mentioned yesterday this is an important week for the business community. This week the Yellowknife Chamber of Commerce is recognizing Small Business Week.
I have the privilege of being a small business owner and operator myself. Small businesses are the lifeblood of our communities. They reflect the will, resolve and dedication of individuals and families. They are people who have a good idea and want to make things happen in their community, so they go out, relying on their own idea, work hard and make things happen.
Mr. Speaker, as I mentioned yesterday, small businesses are at the core of activities that keep our community healthy, active and vibrant. They are the corner store, the coffee shop, the gathering place. They provide the first job for a boy or a girl in their foray into the workforce; the chance of a little pocket money for a student working towards his or her future. If there is a new idea out there being tried for the first time, it's often a small business that's doing it.
I feel fortunate that my riding of Yellowknife North is home to a broad range of thriving small businesses. From artists and authors to bush plane operators; from auto body shops to the NWT's only craft brewery; from tourism operators to naturopathic health providers, a glass recycler and one of the North's oldest retailers, Weaver and Devore. I am fortunate to represent the riding that's home to these businesses, Mr. Speaker.
Mr. Speaker, I'd like to single out three Yellowknife North businesses that received awards at the YK Chamber of Commerce business awards gala last weekend. The Small Business of the Year award was given to the NWT Brewing Company. The Breakout New Business award went to Award Communications, and the Customer Service Award of Excellence was awarded to Quality Furniture. These successful businesses and many others are good examples of the spirit of independence, hard work and determination that makes small businesses such an important element of our economy in the North.
Mr. Speaker, the business community is always there for our communities. I ask my colleagues to join me in consciously making an effort to support our local businesses. Thank you, Mr. Speaker.
Masi. Members’ statements. Member for Nahendeh.
Thank you, Mr. Speaker. Today I wish to speak as a Member for the Nahendeh riding. It is about representing all six communities. Mr. Speaker, Wrigley is facing job losses after being passed over for a highway maintenance contract. Pehdzeh Ki Contractors bid on a contract to do the maintenance on part of Highway No. 1. Unfortunately, they were not successful with their bid on this contract.
Mr. Speaker, unfortunately this is not the end of the story as they say. Mr. Speaker, Wrigley was the last community of the Nahendeh tour with the three Ministers in October of this year. As we headed into a meeting the Chief and some of the counselors and community members addressed this concern. Even though the Minister of Transportation wasn't there, that was a prime issue brought forth.
Mr. Speaker, the loss of the highway contract puts five to seven people out of work, this could affect up to 10 families, which is not good at all. Mr. Speaker, this is not about the process, it is about people's lives. It is about working, not social income.
What saddened me is how the band found out that they lost the contract; the previous day they had a meeting with some public servants from Yellowknife after setting up a meeting with the Minister. Unfortunately, the very next day they were informed that the contract was awarded without even given the opportunity to discuss it with the Minister.
Mr. Speaker, it was very disappointing that the commitment was made, then it was not. To make it even more disappointing, the Development Corporation had to purchase brand new equipment in order to initiate receiving the previous contract. Mr. Speaker, it was my understanding that there would be a potential of extending the contract at least two to five years, until the equipment was paid off. Unfortunately, this did not happen. So now, not only did they lose their jobs, they also have to foot the bill to pay for this equipment.
The press reported that the Minister was unable to meet due to other work commitments, and communicated this in a letter, but not by phone which could have easily been done. Mr. Speaker, here is a perfect opportunity for the government to do something to help a small community, and they slam the door on them. To even do more damage, the airport contract was brought up at the meeting and the department wanted to discuss it with them, consolation prize so to speak.
Mr. Speaker, if this is the Minister's real understanding at what capacity building was about, he would understand for small communities you need to work harder to get things done. Mr. Speaker, today I will have questions for the Minister of Transportation. Mahsi cho, Mr. Speaker.
Masi. Members’ statements. Member for Frame Lake.
Merci, Monsieur le President. I made a Member statement on 911 emergency services in this House on June 7th and asked some follow-up questions. I thought we were getting somewhere, Mr. Speaker. The Minister of Municipal and Community Affairs committed to see whether Northwestel could change its current message when people dial that number to at least give the right telephone information rather than a simple recorded message about the absence of any service. The Minister also committed to look at a phased-in approach to implementation of 911.
Last week the new Minister of Municipal and Community Affairs tabled a written follow-up to these commitments. On the good side, the Minister has committed to advertise the fact that there is no 911 service in early 2017, and checked into the Anderson v. Bell court decision as a possible avenue for funding. She also indicated that the lack of 911 service has been brought to the attention of the federal government as a possible area of investment and said that a briefing would be offered to the Government Operations Committee.
However, the Minister also said, "In light of the GNWT current fiscal environment, 911 is not included in MACA's 2017-2018 business plan." To say I was disappointed would be an understatement. What we have here is how the $150 million reduction target has hamstrung Cabinet in introducing the most basic new service designed to protect lives and public safety that now exists in every other part of this country except Nunavut.
To say we can't afford $615,000 and $266,000 a year afterwards is beyond belief, Mr. Speaker. Can we afford to continue to put our residents and visitors at risk and roll the dice in terms of liability from our failure to provide adequate services? I will have questions later today for the Minister of Municipal and Community Affairs. Mahsi, Mr. Speaker.
Masi. Members’ statements. Member for Deh Cho.
Mahsi, Mr. Speaker. Mr. Speaker, small business is imperative to the Northern economy. Mr. Speaker, this is Business Development Week and across Canada people are highlighting the contribution that businesses make to our country. Mr. Speaker, independent businesses enhance our community's character, quality and the value of services available to residents.
The government distributed a total of $21.5 million in grants and contributions in 2014-2015, almost 20 per cent of that funding went to business and manufacturing support and 17 per cent to business support agencies.
Mr. Speaker, even our smallest communities have local business ventures. Take Kakisa, for example, where Noda Enterprises manages the local store, hotel, gas station, and campground. These services are much needed in the hamlet and offer essentials to residents and visitors. As a territory, we must ensure we support the small business sector and encourage Northern entrepreneurs who have the tenacity and courage to launch an independent business or take on a franchise.
Support the entrepreneurs in economic development contributions, the Business Development and Investment Corporation, and sector-specific funding for ventures that develop the arts, agriculture, tourism and fisheries are examples of some of the ways that GNWT offer support to small businesses.
But how well do these programs work? Mr. Speaker, I'm pleased to say that funding was distributed in all 33 communities, proving that there's an interest and uptake. SEED funding was distributed across all sectors from mining, oil and gas, to fine and performing arts. But how do we ensure funding is being used as intended and in ways that gives us the most bang for our buck?
Mr. Speaker, we're duplicating efforts, we're paying staff to deliver workshops using funds that could be allocated to businesses that offer basically the same service. But how do we measure the effectiveness of our investments? Are we getting adequate feedback from entrepreneurs and small business owners to target funding and other resources?
Mr. Speaker, we have some good programs, we have some great entrepreneurs and the NWT offers some of the best opportunities. How are we making the most of that potential? Mahsi, Mr. Speaker.
Masi. Members’ statements. Member for Yellowknife Centre.
Mahsi, Mr. Speaker. Mr. Speaker, in August of this year changes came into effect for the Income Assistance Regulations administered by the Department of Education, Culture and Employment. The department changed the amount of both the food and the clothing allowances available to low-income families. Mr. Speaker, the department refers to the number of people in a household as units. Until the end of July a household included each member in the family counted as a unit for the purpose of food and clothing calculations.
At the beginning of August the new regulations counted only adults and mature children as units, and left children under 18 out. Take the example of a single-parent family living in Yellowknife with one child; only the parent now qualifies for the food and clothing allowance. That means the amount of money the family as a whole receives from Income Assistance has gone down.
The amount of money the parent gets for food has been reduced by $137 a month and for clothing, $37 a month. In this booklet of exemplars provided by ECE, living in Tulita a single parent with two children over six and one under six, her food allowance has gone from $1,286 to $643. For two parents and three children living in Fort Providence, their food allowance has gone from $1,006 to $744. I'll table this document so that Members may see additional detail.
So, no matter the example, the end result is the same, the family is getting less money for food and clothing because income assistance doesn't count children anymore. Mr. Speaker, how are low-income families supposed to get by? Why does the department think children are fed and clothed at no cost? Families have to turn to the federal government for help.
Families with income under $80,000 are eligible for the federal government's Child Tax Benefit, paid on a sliding scale. Coincidentally, the federal tax benefit came into effect in July, just a month before the changes to the income assistance regulations. The Minister had made much of the fact that the federal benefit would not be clawed back as income. In reality, the GNWT has offloaded the responsibility for feeding and clothing children onto the federal government. So what, you may ask. May I seek unanimous consent to conclude my statement? Thank you.
Unanimous consent granted
Mahsi, Mr. Speaker. So what? Well, first almost a quarter of NWT children live in poverty, 22 per cent. The Canada Child Tax Benefit is supposed to alleviate poverty for these children and low income families, but NWT families on income assistance are being shortchanged. The federal government has given with one hand, and the GNWT has taken away with the other. Poor families are the ones out of pocket. I will have questions. Mahsi, Mr. Speaker.
Members’ statements. Member for Tu NedheWiilideh.
Marci cho, Mr. Speaker. Mr. Speaker, the NWT Housing Corporation must begin to change the way they do business. Currently, the suite of programs they deliver are not desirable to NWT seniors.
Mr. Speaker, there are very few jobs in the small communities and the people cannot afford to pay house insurance and pay the copayment requirements of the programs. Also, Mr. Speaker, elders in small communities do not have money to leave to their adult children. All they have is their homes. On applying for any substantial programs, the elders must sign a document that encumbers their house for 10 years. They are afraid their houses will go to the NWT Housing Corporation if they pass within those 10 years.
Mr. Speaker, the NWT Housing Corporation must find a way to communicate and advise them that changes were made recently that allows 100 per cent of the outstanding mortgage should the elder pass before full forgiveness. However, Mr. Speaker, if the elder moves into longterm care, the mortgage becomes due and payable and that is still a problem. Mr. Speaker, copayment mortgage house insurance requirements are high deterrents to elders applying for help. Therefore, they continue to live in inadequate houses.
Mr. Speaker, the NWT Housing Corporation must deliver a new program that achieves several goals that are good for the government, the elders, and the rest of the people of the NWT in as far as deferring costs go that would otherwise be a huge burden for future generations.
I am speaking of Aging in Place, which, Mr. Speaker, is part of our mandate. For example, if the NWT Housing Corporation was to develop a program that would allow a senior to remain in their home for an additional 10 years versus going into longterm care, it would defer a cost of $1.3 million, double that if the household had two seniors.
Mr. Speaker, right now, the Department of Health and Social Services is looking at a looming issue of how to house all the seniors that must go into longterm care. Moving forward, they are short many, many beds. The program that keeps them aging in their own homes, in their own communities, will defer that cost for years to come.
Mr. Speaker, today I will have questions for the Minister responsible for the NWT Housing Corporation to see what she has done towards GNWT's mandate of Aging in Place. Thank you, Mr. Speaker.
Masi. Members’ statements. Member for Nunakput.
Thank you, Mr. Speaker. Mr. Speaker, today I talk about the Darnley Bay marine protected area. Mr. Speaker the people in Paulatuk are awaiting a creation of a marine protected area near their shores. Darnley Bay protected area, north of Paulatuk, is proposed to be 2,361 square kilometres, almost half the size of PEI. It would protect species such as polar bears, beluga whales, ringed seals, bearded seals, and important arctic char and migratory bird habitats. Species including octopus, crab, shrimp, krill, cod, herring, capon, and rare kelp beds also contribute to the vast ecological diversity of the area.
Mr. Speaker, the ocean is a grocery store for the people of Paulatuk. Many residents rely on the bay to feed their families and stock their freezers. The ocean is an integral part of their way of life, and protection and management would allow the area to continue to be used as it has been for centuries and would help maintain the health of the Arctic Ocean.
I'm pleased to say the people of Paulatuk have been involved since day one, when the area was first proposed by Canada in 2008. At the beginning of talks, Inuvialuit were assured that their rights and benefits would not be closed off in the marine protected area. The new designated area will not include any strict notake zones that are limited to everyone. Other activities, like dredging in the area around Paulatuk, some shipping, and activities related to national defence and emergency service will also be allowed.
Protecting the area is a high priority as shipping traffic is expected to increase in the Arctic, Mr. Speaker. Darnley Bay also has rich mineral resources and offshore oil and gas potential. The designation would ensure longterm safeguards to the environment, help prevent species loss, and address ecosystem concerns through regulations and management plan.
Mr. Speaker, under the United Nations Convention of Biological Diversity, the federal government committed to protecting 10 per cent of Canada's oceans by 2020, but, in 2014, Canada had fully protected only 0.11 per cent of its oceans against constructive industry. In contrast, nearly 10 per cent of the U.S. and U.K.'s oceans are protected.
Originally, Paulatuk wanted almost four times larger to be designated for protection, but the community still supports the proposed amount. They say a protected area is a very good idea for future and for their children. Mr. Speaker, if established, Darnley Bay would be the second internationally recognized marine protected area in the Arctic, after the Tarium Niryutait Marine Protected Area in the Mackenzie River Delta. Thank you, Mr. Speaker.
Masi. Members’ statements. Member for Hay River North.
Thank you, Mr. Speaker. Mr. Speaker, we've all heard about NTCL's financial problems. It's been granted creditor protection because it owes over $130 million that it can't pay. Steps are being taken to raise that money. As one such step, NTCL made an application with the Court of Queen's Bench in Alberta to cease the special payments it has been making to top up an underfunded employee pension plan. The plan is only funded to around 80 per cent, with a shortfall of about $22 million. That application is going to be heard by the court on October 26th, next Wednesday.
If NTCL is successful, it appears as though the 622 pension recipients will be the ones to eat that $22 million. If you're one of the eight key employees who NTCL was granted a court order to pay bonuses to, then that shortfall might not hurt you that much. However, it's more likely that if you worked at NTCL recently you were given a temporary layoff notice.
These temporary layoff notices were issued 11 days after Kyle Barsi, NTCL's vice president of finance, stated in an affidavit that it is highly unlikely that attempts at restructuring or refinancing would save the company, so he clearly believed that these layoffs would be more than temporary.
Coincidentally, under the Canada Labour Code, employees subject to a temporary layoff are not eligible for severance pay until a layoff becomes permanent. If they become permanent, it's likely NTCL won't be around to make those payments, so employees and their families face the possibility of no severance pay and a reduced pension.
NTCL has stated that the existence of the pension plan was a significant impediment to finding a buyer to carry on NTCL's business. Many people I've talked to see this as adding insult to injury, and it sounds a bit to me as NTCL's attempt to justify not living up to its obligation.
I'm aware that NTCL is a privately held company and that the GNWT can't bail out every private company that gets into trouble. However, that doesn't mean that we should do nothing to help the employees who have dedicated their lives to that company. We should be taking steps to ensure that the promise made to the people and to the families of the people who have provided a vital service to the North for generations is honoured, and the government should be working to make sure that this doesn't happen to employees in this territory in the future, as well. I'll have questions for the Minister of Finance at the appropriate time. Thank you, Mr. Speaker.
Masi. Members’ statements. Member for Kam Lake.
Mr. Speaker, on the morning of August 10th, an individual escaped custody from the North Slave Correctional Centre and almost immediately this information was in the media, sending the community of Yellowknife into a sense of great unease. Through the commendable efforts of the RCMP, the individual was apprehended three days later, on the morning of August 13th.
I applaud the efforts of our officers in “G” Division. They acted with great distinction in resolving this unprecedented incident in a peaceful manner. However, throughout the crisis the response from the Minister of Justice was lacklustre and failed to inspire confidence that this issue was of serious concern to Northerners.
On the day of the incident, it was reported that this escape exploited the pre-existing gap in the physical security to facilitate the escape at the centre and, more specifically, into my constituency of Kam Lake. I was pleased to hear that area used for the escape has been isolated and that necessary improvements are being made. It is unfortunate that it took an incident of this proportion to realize that this security gap existed, and this is a great disservice to our territorial peace officers.
Sheriffs, correctional officers and others put their lives on the line every day for the benefit of Northerners. It's crucial that we provide them with the equipment, training and facilities they need to ensure they can do their job safely and effectively. What our correctional officers go through every day in the course of their duties is something to be admired and not dismissed or trivialized.
I'm deeply saddened to see media reports questioning the ability of our correctional officers to do their jobs when, in fact, the issue was with a previously unknown security gap at NSCC. It is up to the Minister to demonstrate his commitment to public safety by ensuring the integrity of our facilities so all Northerners know that this government stands behind our correctional staff.
Mr. Speaker, the Minister directed a critical incident review after this escape took place and now has recommendations to prevent such an incident from ever happening again. I now urge the Minister to release as much information as possible from the review so that my constituents, those who live a stone's throw away from the jail, know that their homes and families are safe. Thank you, Mr. Speaker.
Masi. Members' statements. Member for Mackenzie Delta.
Thank you, Mr. Speaker. Mr. Speaker, during this summer in the Delta region we had a lot of rain, similar to the last number of years. It was looking like the widening on the Dempster would not be completed, but, Mr. Speaker, luckily in September we had about three weeks of great weather and the majority of the work was completed.
Mr. Speaker, I'd also like to take this time to thank the Department of Transportation for resurfacing the road between Tsiigehtchic and Wrangling River. Mr. Speaker, this has made the highway much safer. Mr. Speaker, there is a lot more work to be done on this section, but I know it will happen over the next few years as this area is the next in line to be widened through the Building Canada Fund. I will have a couple of questions for the Minister later today. Thank you.
Masi. Members' statements. Member for Sahtu.
Thank you, Mr. Speaker. Today I'm going to have questions for the Minister of Finance on the fibre optic project. I understand it was initially started as a two-year project with a one-year extension, so given the fact that this is going to be the last year I'm kind of hoping that the wave of solidarity might be wishful thinking, but I'm going to ask anyway from my side having not experienced yesterday. However, this is a project that is going to be an ownership by this government for the people and at a significant price tab and I'm particularly going to ask questions and get the assurances that there's no liens or encumbrances that is going to be incurred by this government during the transitional phase for non-payment to subcontractors that are providing current services. Thank you, Mr. Speaker.
Mahsi, Mr. Speaker. I have the Standing Committee on Rules and Procedures Report on the Review of the Establishment of a Mid-Term Review Process.
One of the first actions by Members of the 18th Assembly was to task the Standing Committee on Rules and Procedures with recommending a process for a public mid-term accountability review. Motion 7-18(1), entitled "Establishment of a Mid-Term Review Process" and carried on December 17, 2015, states as follows:
WHEREAS the Members of the 18th Legislative Assembly have resolved to work together to set priorities and to develop a mandate to guide this government over the next four years;
AND WHEREAS the development of a mid-term review process will provide an opportunity to evaluate progress on implementing the Assembly’s agreed-upon priorities;
AND WHEREAS such a review will also provide a mechanism to evaluate the performance of the Executive Council and standing committees, both collectively and individually;
AND WHEREAS the establishment of a public mid-term review process will demonstrate the commitment of the 18th Legislative Assembly to greater transparency and accountability;
NOW THEREFORE I MOVE, seconded by the honourable Member for Tu Nedhe-Wiilideh, that this Legislative Assembly conduct a mid-term accountability review of the adopted mandate of the 18th Legislative Assembly, including the performance of the Executive Council and Standing Committees, to take place in the Chamber of the Legislative Assembly prior to the Fall 2017 sitting;
AND FURTHER, that this Assembly refer this matter to the Standing Committee on Rules and Procedures to recommend a process, including terms of reference, for such a review and that the standing committee report back to the House with its recommendations during the Fall 2016 sitting.
The committee met 11 times on this matter from January to October 2016, in addition to countless internal discussions with other Members, Ministers, and staff. To the best of our ability, the recommendations in this report represent a positive step in the evolution of consensus government in the Northwest Territories. We look forward to consideration of this matter in the House and by the public at large.
Despite efforts to reach full consensus of committee Members, the recommendations are not unanimously supported. The Honourable Louis Sebert, the Minister responsible for Public Engagement and Transparency, exercised his right to issue a dissenting opinion. It is included in its entirety in the addendum of this report.
The challenge in conducting mid-term reviews in a consensus government is focusing on accountability -- the government's progress on its priorities, and legitimate performance issues -- rather than individual opportunity. This uneasy dynamic has cast a shadow on mid-term reviews since the NWT's first one in 1985. It was conducted entirely behind closed doors, and resulted in a new government leader and two new Ministers. The news was delivered in a terse press release with no explanation of the process or Members' reasoning.
It is worth remembering this took place in a different time, when the government leader (not yet Premier) had much less sway over his or her Cabinet. Ministers were selected to represent a wide range of regional interests from Fort Liard to Pangnirtung. There was no guarantee this collection of Ministers would pull together as a team; they had little official direction and no mandate letters. The government's overall priorities were vague; the Northwest Territories' consensus system was in an early phase of its development.
Subsequent mid-term reviews, held only twice and in public, were much less dramatic and attempted to add a layer of accountability to our consensus government. Members of the 12th and 13th Assemblies both agreed at the outset of their terms to carry out a mid-term review of Cabinet performance. Both were conducted by the Territorial Leadership Committee, which was then, as now, the forum for selecting the Premier and Cabinet. The mid-term reviews featured extensive discussion of priorities and questioning of Ministers by Regular Members. Neither review resulted in changes to Cabinet membership, but grades from A to F were assigned to Ministers in 1993. No mid-term reviews have been conducted by Northwest Territories Assemblies since the creation of Nunavut in 1999.
Nunavut, however, adopted a mid-term review as a regular feature of its consensus system. Four successive Assemblies have conducted the review, which features public questioning of Ministers about priorities, progress and leadership. Confidence of the House was formally affirmed for every Minister but one. In the past two Assemblies, this was done by a secret-ballot confidence vote for each Minister.
Today's Standing Committee on Rules and Procedures has heeded the lessons of history, and recommends a mid-term review process that reflects the goals of the 18th Legislative Assembly, as outlined in the initial House referral motion.
The committee’s next order of business was to set out principles to guide the mid-term review and elaborate on the goals of the process. All process options were considered in light of these principles:
Accountability to the Legislative Assembly: a consistent, formal mechanism is needed to assess progress on achieving the mandate, demonstrate the responsibility of Cabinet, and make necessary changes.
Public accountability: a formal mechanism is needed to improve public understanding of the Assembly’s work and demonstrate the accountability of consensus government demanded by voters.
a mechanism is needed to adjust the government’s mandate at mid-term to fit changing circumstances, and in light of what has been achieved.
Fairness and transparency: the process for assessing the government’s progress in delivering on its mandate, Cabinet’s performance, and committees’ performance, must be fair, consistent, transparent, and evidence-based. Anonymous assessment surveys are not consistent with a fair and transparent process.
Mr. Speaker, I'd like to turn to Ms. Green to deliver the next part of the committee's report. Mahsi.
Masi. Member for Yellowknife Centre.
