Thank you, Mr. Chair. Yes, that is correct. The accumulated deficit represents the Petroleum Products Stabilization Fund. Thank you.
Thank you, Mr. McCormick. Mr. O'Reilly.
Thanks, Mr. Chair. The MTS expenses that were incurred because of the failure to deliver fuel and other supplies to the coastal communities, is any of that being charged to the Petroleum Products Revolving Fund? Thanks, Mr. Chair.
Thank you, Mr. O'Reilly. Mr. Guy.
Thank you, Mr. Chair. Yes, there is.
Thank you, Mr. Guy. Mr. O'Reilly.
Thanks, Mr. Chair. Well, that was extremely short. Why? Thanks, Mr. Chair.
Thank you, Mr. O'Reilly. Mr. Guy.
Thank you, Mr. Chair. The Petroleum Products Revolving Fund covers the cost of purchasing, delivering, transporting, and operating the fuel distribution system. The cost associated with moving the fuel, whether it is by truck, barge, or in this case, airplane, was charged to that fund. Thank you, Mr. Chair.
Thank you, Mr. Guy. Mr. O'Reilly.
Thanks, Mr. Chair. That is kind of a creative way. Look, I don't run these things, but when an expense is incurred because of one operation and it gets charged to another, is that the way we handle this stuff? Thanks, Mr. Chair.
Thank you, Mr. O'Reilly. Mr. Guy.
Thank you, Mr. Chair. In this case, the cost of transporting the fuel is something that will be charged inside the Petroleum Products Revolving Fund, so that is where that cost was put, along with all of the other marine transportation costs. Thank you, Mr. Chair.
Thank you, Mr. Guy. Mr. O'Reilly.
Thanks, Mr. Chair. Let's turn, then, to Marine Transportation Services Revolving Fund. It is on 255. The revenues are obviously way down from 2018-2019 to 2019-2020. What is happening with the revenues? Thanks, Mr. Chair.
Thank you, Mr. O'Reilly. Mr. Guy.
I am just looking for the number here. In 2018-2019, forecasted revenues are what you see here on the page. Our actual revenues year-to-date for 2018-2019 are significantly higher. Thank you, Mr. Chair.
Thank you, Mr. Guy. Mr. O'Reilly.
Thanks, Mr. Chair. That is helpful. I can see that. Why is there $40 million in 2018-2019 and then only predicted to be $12.35 million for 2019-2020? Thanks, Mr. Chair.
Thank you, Mr. O'Reilly. Mr. McCormick.
Thank you, Mr. Chair. As Deputy Minister Guy has stated, the revised main estimates are tracking where we were at the time that these estimates were produced. The 2019-2020 estimates were based on the business plan that we have in place. There was a three-year rolling business plan, and that is where those numbers came from. That is why they are showing less. Basically, that is to show a conservative estimate, because some of that business, offshore and that, we can't count on year-to-year, so we try not to bank on it for the purposes of estimation. Thank you.
Thank you, Mr. McCormick. Mr. O'Reilly.
Thanks, Mr. Chair. It looks like we are still trying to figure out that fund. I am going to leave it alone for now, but it is certainly jumping all over the place. Let's turn to the Yellowknife Airport Revolving Fund on 257. I guess my first question is: why is the accumulated surplus for 2019-2020 predicted to be almost $36 million, which is the authorized limit? Thanks, Mr. Chair.
Thank you, Mr. O'Reilly. Mr. McCormick.
Thank you, Mr. Chair. Because the Yellowknife Airport Revolving Fund is a special purpose statement, the accumulated surplus is just shown this way for presentation purposes. The assets are owned by the GNWT, so the actual authorized limit surplus would not include the accumulated surplus for the assets that the GNWT owns. It is just for presentation purposes on the statements. The actual accumulated surplus would be approximately $12.5 million, is what we are predicting for 2019-2020, and with an accumulated real surplus of about $23 million. There would be a significant difference between that and the authorized limit. Thank you, Mr. Chair.
Thank you, Mr. McCormick. Mr. O'Reilly.
Thanks, Mr. Chair. Here is my usual statement: if I wasn't confused before, now I am. There is some other imaginary surplus that is not shown on this page. Can the Minister provide this to us? I am looking at what we are supposed to be reviewing, but some other figures are being presented. Thanks, Mr. Chair.
Thank you, Mr. O'Reilly. Ms. Robertson.
Thank you, Mr. Chair. Just an initial comment: Mr. McCormick had mentioned the 2017-2018 actuals. If you look at the farthest right-hand column, you will see the $23 million, which represents the value of the capital assets. The capital assets are actually owned by the GNWT, so they are not actually part of the revolving fund, but they are just shown for informational purposes here. That $23 million is carried forward through the years, which is why you see the $35 million of the accumulated surplus at end-of-year in the projection of 2019-2020. Now, because those assets aren't owned by the revolving fund, the actual accumulated surplus is $23 million less than that, and it is $12 million. I do understand that it is a little bit confusing, how these information pages have been laid out, and we will be working with the Department of Finance next year to improve how these pages are shown within the main estimates to make it clearer. Thank you, Mr. Chair.
Thank you, Ms. Robertson. Mr. O'Reilly.
Thanks, Mr. Chair. Okay. I think I understand that a little bit better, and a better presentation next year would be helpful. I am concerned that there are growing revenues here that we don't seem to be spending on the Yellowknife Airport. It has grown now by $5 million over two years. Why are we not spending this money on improvements at the Yellowknife Airport? Thanks, Mr. Chair.
Thank you, Mr. O'Reilly. Minister Schumann.
Thank you, Mr. Chair. The first problem with this page is that it doesn't show the capital expenditures that we are working on. That is the first problem with it, but we are doing a number of improvements going forward. Trust me; we don't want to be sitting on $12 million of cash when we need to do a number of projects that are going to be happening out there at the Yellowknife Airport.
We have our 20-year master plan, our long-term strategic plan, so hopefully we are going to have that completed by spring. We will probably be sharing that, I suspect, with committee at that time as well. We have talked in the House about a number of things, about relocating the oversized baggage facility to the de-icing facility to runway repairs. We had the federal announcement that I did here a couple of weeks ago around the lighting and the investment that they are going to help with. We have got to do our 25 percent with the federal government on that thing. The projects that we have done lately, like the parking lot and the improvements that we have made to the holding rooms and these types of things. There are a number of projects going forward, and as I said, the page doesn't clearly lay out the capital plan going forward. Thank you, Mr. Chair.
Thank you, Minister Schumann. Mr. O'Reilly, your time has expired. If you want, I can put you on the list again. Thank you. Any further questions from committee on the information items? Seeing none, we will now return to the departmental summary found at page 231. Infrastructure, total department, $264,013,000. Does committee agree?
Agreed.
Thank you. Does committee agree that consideration of the Department of Infrastructure is concluded?
Agreed.
Thank you. Thank you, Minister, and our thanks to your witnesses for appearing before us. Sergeant-at-Arms, please escort the witnesses from the Chamber. Thank you, committee. We will now turn to the next department, the Department of Industry, Tourism and Investment. Minister of Industry, Tourism and Investment, would you like to provide comments?
Thank you, Mr. Chair. Yes, I would. I am pleased to present the 2019-2020 Main Estimates for Industry, Tourism and Investment. Overall, the department's estimates propose an increase of $2.9 million or 5 percent over the 2018-2019 Main Estimates.
The estimates include several funding increases to support departmental priorities.
An increase in funding for tourism marketing is proposed to help our highest potential renewable-resource industry continue its growth. Also included is additional funding for parks operations to support their role in this growth while providing high-quality facilities for our residents and visitors.
Funding to implement the Petroleum Resources Strategy, a key element to the Government of Northwest Territories' long-term vision and approach to energy and climate change, is also included in the budget as well as funding to continue the Northwest Territories geological survey's objective to better understand the geology of the Slave Geological Province.
An additional three positions, including operational costs, are included to support our work in developing the knowledge economy, effectively administering mineral tenure, and further supporting our film sector.
As we plan for the up-and-coming fiscal year, the Department of Industry, Tourism and Investment remains focused on the mandate priorities set out by the 18th Legislative Assembly and continues to work to fulfil our commitments.
One of these commitments is to release a Northwest Territories manufacturing strategy, which we are set to fulfil during this 18th Legislative Assembly.
The Department of Industry, Tourism and Investment will be investing in the implementation of its strategy to revitalize commercial fishing on Great Slave Lake.
We will be pursuing MOUs on economic development with Indigenous governments, supporting local food production, and training for commercial farmers.
We will continue to implement the Mineral Development Strategy, most notably through the planned introduction of the Mineral Resources Act and the development of supporting regulations.
In 2019-2020, ITI will also focus on:
launching a web-based information portal and educational materials for the Resources and Energy Development Information initiative;
installing renewable energy infrastructure in off-grid campgrounds;
working with the Department of Lands to develop a land-use tenure approach that will support the agriculture sector; and
advancing work towards the federal transfer of the proposed Doi T'oh Park.
Of the department's total proposed budget, 28.7 percent has been allocated to economic diversification and business support, 28.9 percent to tourism, and 27.6 percent is identified for spending in the areas of minerals and petroleum resources.
This concludes my opening remarks, and I welcome questions from the Members. Thank you, Mr. Chair.
Thank you, Minister. Minister, would you like to bring witnesses into the Chamber?
Yes, I would, Mr. Chair. Thank you.
Thank you, Minister. Sergeant-at-Arms, please escort the witnesses into the Chamber. Minister, please introduce your witnesses.
Thank you, Mr. Chair. On my left, I have Nina Salvador, director of finance and administration for ITI. On my immediate right, I have Deputy Minister Tom Jensen. On our far right, we have Tracy St-Denis, assistant deputy minister of economic development. Thank you, Mr. Chair.
Thank you. Committee, you have agreed to forgo general comments and proceed directly to the detail for the Department of Industry, Tourism and Investment. Agreed?
Agreed.
The department begins on page 199, but we will defer the departmental summary and review the estimates by activity summary, beginning at page 207. Industry, Tourism and Investment, corporate management, operations expenditure summary, $8,840,000. Any questions from committee? Seeing none, does committee agree?
Agreed.
Agreed. Moving on, we have economic diversification and business support, operations expenditure summary, $17,251,000. Any questions from committee? Economic diversification is on page 209 to 213. Any questions? Does committee agree?
Agreed.
Okay. I will read the page again. Corporate management, operations expenditure summary, $8,840,000. Does committee agree?
