Debates of February 15, 2017 (day 53)
Thank you, Mr. Chair. Yes, that's exactly what we want to do with it. Thank you, Mr. Chair.

Thank you, Minister. Mr. Testart.

Thank you for that answer. Mr. Chairman, if the Minister could answer. The commercial fisheries subsidy, freight subsidy, is that currently meeting the needs of our fishers? Thank you.

Thank you, Mr. Testart. Minister.
Thank you, Mr. Chair. I guess that question would be depending on who asked. If you're asking me, I'm going to say it meets the needs of the commercial fisheries right now.
This payment includes to subsidize the freight costs which go back to the fishermen; that amount is $205,000, as well, to cover a portion of operations, maintenance and capital replacement costs of $20,000. So that's what we're giving to the commercial fisheries right now. Thank you, Mr. Chair.

Thank you, Minister. Mr. Testart.

Thank you, Mr. Chairman. Is that all-season operations or only summer operations? Thank you.

Thank you, Mr. Testart. Minister.
Thank you, Mr. Chair. I believe that's going to summer operations right now, as there is probably no point in commercial fishing as the plant is not open in the wintertime. Thank you, Mr. Chair.

Thank you, Mr. Minister. Mr. Testart.

Thank you, Mr. Chair. So if the Minister can just confirm, there is no commercial fishing activity taking place outside of the summer months? Thank you, Mr. Chair.

Thank you, Mr. Testart. Minister.
Thank you, Mr. Chair. There's commercial fishing going on in the winter, right, but that's all private people doing it and running their own operations. Anything to do with the Freshwater Fishing Corporation, the federation is -- like I said, is not open in the wintertime so there's no commercial fishermen supplying the Freshwater plant in the winter. Thank you, Mr. Chair.

Thank you, Mr. Minister. Mr. Testart.

Thank you, Mr. Chairman. If this fund was enriched, could the commercial fishery expand their operations outside of the summer and increase their capacity and their productivity with a greater subsidy? Thank you.

Thank you, Mr. Testart. Minister.
Thank you, Mr. Chair. Part of the fishing strategy moving forward is how do we encompass all seasons of fisheries and to grow the fishing industry to a sustainable level where it becomes viable and economic for the fishermen to make a more substantial living than they are.
One of the challenges moving forward with the whole strategy is going to be how do we get people to fish in the winter. That has to be a vital part of how we move this strategy as the plant needs to be open longer than shorter to make it economical; and when we look at our strategy moving forward there's a number of initiatives that we need to look at to make this thing a viable operation.
The other side of it is I'm from Hay River and it doesn't matter if you put a subsidy or not, you've got to get the people who want to fish. So that's part of the challenge moving forward, and getting people to fish in the wintertime seems to be even a tougher problem, so we're going to have to have a look at how we're going to move this strategy forward and work with the fishermen in Hay River or in the NWT who are in the commercial fishing industry who want to supply the Freshwater Marketing Corporation in a year-round operation. Thank you, Mr. Chair.

Thank you, Minister. Mr. Testart.

Thank you, Mr. Chairman, and certainly there are challenges to developing any kind of industry. My understanding of the fishery as well is that it has been in decline, but there are hard-working people trying to keep it alive, so our government can help do that. I think we are obliged to do so, and it's low-hanging fruit. We have some of the best fish stock in the world and it's a product in high demand. So again, I would just like to reiterate that the Standing Committee on Priorities and Planning is firmly behind the idea of enriching this fund and supporting our fishing industry, and again low-hanging fruit for expansion of a diversified economy, and we continue to stand on that principle. Thank you, Mr. Chair.

Thank you, Mr. Testart. Would the Minister like to respond?
Thank you, Mr. Chair.

The Minister would not like to respond. Do I have any further comments or questions? Mr. Vanthuyne.
Thank you, Mr. Chair, and I'm not sure that there's too much to say or ask in terms of questions, but just in regard to some comments of what I've been hearing. I know that the Minister is aware that colleagues in the Priorities and Planning Committee have shared with the Minister some of our concerns previously on things that we would like to see possibly reinstated and/or even added, and so, you know, I just want to highlight that the committee is certainly supportive of the SEED Program. You've heard a lot of commentary around that tonight. I think it's a positive thing to know and understand that the department is going to work on committing to a review. However, you know, we're pretty confident that this is one of the government's most popular programs and, as was alluded to, it's often over-prescribed, and we see this as the pot of funds that really had the most potential to diversify the economy. As the Minister may be aware, we would actually like to see some degree of increase put towards this program.
Also alluded to is the support for the fishing industry as it relates to freight support. We see that amount as being fairly steady over the years and would like to see a commitment to more investment there. This is clearly an item that's within the mandate commitment to revitalize the commercial fishing industry. We also recognize the Revitalization Strategy needs to be a strategic and targeted investment to be successful, and we see that in the support for freight support.
Mr. Chair, we also, as the Minister is likely aware, would like to see an increase in the maximum amount that's eligible for BDIC loans. BDIC is clearly an established and well-recognized resource for our entrepreneurs here in the North, and they certainly provide more flexibility for small businesses and small business start-ups.
Mr. Chair, we're not supportive of the reduction of the annual contribution to BDIC. To some degree, this is kind of seen as undermining the role and the potential of BDIC. BDIC is not just a lender. They also provide assistance in getting financial support from others. They host entrepreneurial workshops and they advocate and build a number of partnerships that are important to the success of our economy here in the North.
One thing that we would certainly like to see the department make a clearer commitment to is reducing the administrative complexity of establishing a new business. It's often been referred to by a number of Members in this House about how start-up businesses or even existing businesses are struggling with the red tape and the ability to find efficiencies in getting permits, and so we'd like to see the department have a clear kind of departmental commitment in that regard.
Lastly, Mr. Chair, the committee is certainly going to be overly supportive of the reduction of the Community Futures contribution. We see that as a pot that's continuing to trend down and not up, and that to some degree we see as undermining the small communities and their economic potential, and this has impacts on their ability to create much-needed jobs. So those are just some comments that we cared for the Minister to hear. Thank you, Mr. Chair.

Thank you, Mr. Vanthuyne. Would the Minister like to respond?
Thank you, Mr. Chair. I'll try to respond to all five of them, I believe. As I've said, SEED, we're having a look at it. My concern was when I got the portfolios, are we making the best bang for our buck, and I will not commit to a review right at this point. I'm going to have a look at it for sure, and if there's a need for it we will definitely be having a look at that, but I'm paying close attention on how we're spending SEED for sure and getting value for our money.
The fishing industry, as you know, we're going to table our strategy moving forward. I think the amount of money that we initially have right there, right now, the $200-and-some thousand for support plus the $1.4 million this government has set aside to leverage the federal government, it's going to be important how things go with Freshwater Marketing Corporation. If need be I will be back down in Ottawa and being on the Minister's ear about how we're going to move that initiative forward, because we believe that's something to diversify our economy; not just in Hay River, but the whole Slave Lake system is important to the Northwest Territories.
BDIC, again, we believe that from everything they've said they can continue to service the economic sector of the Northwest Territories. The one thing about BDIC I think a lot of people don’t understand is the application are taken in regions and they're all put forward to BDIC, and they review them and decide if they're going to fund those things. So those are regional things, and different regions have different types of activity in the Northwest Territories and different needs and wants and asks. As the economy is up and down in some regions there's definitely a lot less activity, and it has to be something that's viable moving forward. It just can't be some pipe dream and just think we're going to lend people money. There's got to be a viable business plan with it.
Red tape, we've talked about it in this House already. With the CFIB and their report, we are always working to improve how we do business, especially in the small business sector how they can navigate their way through all the different types of red tape, being, you know, especially the forms, GST, registering your business, all these sorts of things, and BizPal, as we did a Minister's statement in the House, is certainly helping with that and we are working on those items moving forward.
Community Futures reduction, I hear what the Member is saying, but that is something that was already put forward in the last budget and we're just making some small adjustments to that. Thank you, Mr. Chair.

Thank you, Minister. Mr. Vanthuyne, anything further?
Nothing further at this time.

Thank you, Mr. Vanthuyne. Mr. Blake.
Thank you, Mr. Chair. Just a couple of questions here. First, under the Film Industry Rebate Program. I know I asked this last year and we are still waiting for the proposal, but one of my constituents had a great plan to do a film. Some of you may be familiar with the race they had from Fort Providence to Inuvik. I believe one of our Members might have partaken in that. You know, he is planning to do sort of a documentary on the people who took place on that and took part in the race. We have some survivors who are still with us to give their stories. He is from Fort McPherson and wants to work with the elders in the communities. They are planning to do a similar race from Fort McPherson to Aklavik this summer, but he would like to do this film, and he would like to know if there are funds available to do this. I know I asked this last year, but would this pot of funds be suitable for that? Thank you.

Thank you, Mr. Blake. Minister.
Thank you, Mr. Chair. This is the exact type of thing that the film sector is looking at. We would encourage the Member to have him get hold of the Northwest Territories Film Commission and see what kind of support that they can help him with. I know there is more than just money there. There is a lot of mentorship in the sort of things that are happening there.
I have had an opportunity to talk to a number of people in the film industry in the Northwest Territories, and everything I have heard has always been positive. People have come up to me and thanked us for the initiative of bringing this forward to help diversify our economy. There has been a lot of North American interest in the projects in the Northwest Territories. This is probably something that could probably get some real attention, so thank you for that, Mr. Chair.

Thank you, Minister. Mr. Blake.
Thank you, Mr. Chair. Next, under the fur program, the department has done a good job lately, well, for a number of years, on the Genuine Mackenzie Valley Fur Program. I know I brought this up a couple of years back.
I am really glad to see, as I mentioned last year, again, as more and more we are seeing the young fellow there from Hay River who is on satellite TV now, who is really putting it out there that in the Northwest Territories we use humane trapping methods, and I really feel strongly that we need to promote that a lot more. Watching other programs, like Yukon Trapper or whatever, the methods they still use are leghold traps, which we don't use in the territory. You know, I think it is very important that we continue that and continue these funds in the future. Thank you.

Thank you, Mr. Blake. Would the Minister like to comment?
Thank you, Mr. Chair. Again, this is another program that we believe is important to diversifying our economy in the Northwest Territories. Last year, over $2 million in direct revenues was realized through the traditional economy. Over $1 million was paid to NWT trappers last year in revenues and advances and grubstakes under the Mackenzie Valley Fur Program. Over $200,000 was paid out to traditional artists last year, generating an estimated $900,000 in product sales. So we believe it is a great program, and we will continue to support that. Thank you, Mr. Chair.

Thank you, Minister. Anything further, Mr. Blake?
The other thing that is under commercial fishing is there is interest in my riding, as I mentioned last time, I know they will be working very shortly on some sort of commercial fishing plant, possibly in Tsiigehtchic, where we do have the best whitefish in the territory. Seriously, they are making plans to do this, and I know the department was willing to work with them, so I am looking forward to that. I can't wait to see that in my riding for sure. Thanks.

Thank you, Mr. Blake. Would the Minister like to respond?
Yes, thank you, Mr. Chair. Actually, the last time I was home, the superintendent told me about Tsiigehtchic getting hold of them and wanted to know a little bit about doing a commercial fishery in Tsiigehtchic. I think he has actually said that he would probably go up there and have a discussion with them on how they can move that initiative forward. Thank you, Mr. Chair.

Thank you, Minister. Anything further? Mr. Blake.
Good, Minister.

Next, I have Mr. Vanthuyne.
Committee Motion 50-18(2): Tabled Document 261-28(2): Main Estimates 2017-2018, Industry, Tourism and Investment, Deferral of Economic Diversification and Business Support Activity, Carried
Thank you, Mr. Chair. Mr. Chair, I move that this committee defer further consideration of the activity, economic diversification and business support, under the Department of Industry, Tourism and Investment, Main Estimates, 20172018, on page 201, at this time. Thank you, Mr. Chair.

Thank you, Mr. Vanthuyne. There's a motion to defer. The motion is on the floor and being distributed. All those in favour? All those opposed?
Carried

This activity has been deferred. Mr. Beaulieu. Sorry. Minister.
Thank you, Mr. Chair. Could we take a twominute break, please?

We will have a fiveminute recess. Sorry. You know what, I will cancel the recess. I will go to Mr. Beaulieu.
Thank you, Mr. Chairman. Mr. Chairman, I move that the Chair rise and report progress.

Thank you, Mr. Beaulieu. There is a motion on the floor to report progress. All those in favour? All those opposed?
Carried