Agreed.
Thank you, committee. Environment and Natural Resources, total department, operation expenditures, not previously authorized, $1,535,000. Does committee agree?
Agreed.
Committee, please turn to page 8 of the tabled document. Department of Executive and Indigenous Affairs.
Executive and Indigenous Affairs, Cabinet support, not previously authorized, negative $20,000. Does committee agree?
Agreed.
Thank you. Executive and Indigenous Affairs, directorate, not previously authorized, negative $20,000. Does committee agree?
Agreed.
Thank you. Executive and Indigenous Affairs, Executive Council offices, not previously authorized, negative $80,000. Does committee agree?
Agreed.
Thank you, committee. Executive and Indigenous Affairs, total department, operation expenditures, not previously authorized, negative $120,000. Does committee agree?
Agreed.
Thank you. Committee, please turn to page 9 of the tabled document. Department of Finance.
Finance, directorate, not previously authorized, $6,190,000. Does committee agree? Member for Yellowknife North.
Thank you, Madam Chair. I see there's $6,200,000 increased to the Housing Corporation which shows up in the Department of Finance as a transfer. My understanding of this money was that it was going to be a permanent increase to the Housing Corporation so that their grant from the government, or the GNWT, has been rather consistent for almost a decade or so.
So I'm just wondering if this is a permanent increase to what we give the Housing Corporation, and if so, is there anything that kind of reflects that in the main estimate or in the supplementary appropriations? Thank you, Madam Chair.
Thank you. Minister of Finance.
Thank you, Madam Chair. Madam Chair, the core programs amount there that you see for $4 million is going to be ongoing. It wouldn't necessarily be reflected here. This is a supplementary appropriation to the 20222023 Main Estimates but it should be showing up when we do the review for the 20232024 Main Estimates and through the business planning cycle. Thank you, Madam Chair.
Thank you. Member for Yellowknife North.
Thank you, Madam Chair. Yes, and then I take it that the 2.2 emergency shelter homeless funding may be in a bit more of a question than the $4 million then.
My understanding is that this well, this goes to a number of shelters but one of them significantly was the Arnica, now known as the Spruce Bough, in Yellowknife. I'm wondering if the Minister has an update of whether any hope of ongoing funding, whether funding for what next fiscal would look like for that organization? Thank you, Madam Chair.
Thank you. Minister of Finance.
Thank you, Madam Chair. Madam Chair, yes, the amount for the emergency shelters was not intended to be ongoing but to help provide some support to the Housing Corporation so that they in turn could support some of the shelters that were in sort of immediate need and to tide them over because it's my understanding that there were federal funds that were coming available but they just weren't ready at the time. So it was meant for one time to get them through what was a difficult cycle. If there is further needs ongoing by the next cycle, then that would have to come through a business planning process. This $2.2 million won't be reflected as a permanent increase. Thank you.
Thank you. All right, so Finance, directorate, not previously authorized, 6 million oh, Member for Monfwi.
Thank you. I like this where it says it's going to go towards home repair, emergency repair, fuel tank, and all you know, elders, seniors aging in place. I just want to make sure that, you know, some of this gets spent in communities. And I hope this fund that we're going to be approving will not be used to hire more people to do more planning, studies, etcetera, as mentioned before. So I hope it will get spent in the communities. I would like to see it get spent in communities, in small communities or larger centre outside of Yellowknife, that's what I'm saying. So I would like to see this get spent out there than spent I hope I it doesn't get spent to hire more people. Thank you.
Thank you, Member. Minister.
Thank you, Madam Chair. So Madam Chair, these funds, and I take note, and I appreciate the comment here, that these are programs that really one of the reasons I think that they were chosen or targeted is that they are funds that people can apply to so that they are funds that then are the dollars go out to the communities or to individuals who can apply to the funds. So rather than relying on what is, frankly, often already stretched to capacity to deliver further capital planning programs from within GNWT departments, and particularly and including Housing, here individuals who would like to access the money from any community can do so. So I'm quite happy to have that opportunity to highlight the fact that there's been this increase to exactly that emergency repairs, fuel tank replacements, the Home Purchase Program, mobility modifications, several others as well. Seniors aging in place, etcetera. So I am looking forward to, you know, certainly this is money that we hope does get spent by individuals in communities across the Northwest Territories. Thank you.
Thank you. Finance, directorate, not previously authorized, $6,190,000. Does committee agree?
Agreed.
Thank you. Finance, human resources, not previously authorized, negative $150,000. Does committee agree?
Agreed.
Finance, management board secretariat, $1,615,000. Does committee agree? Member for Yellowknife North.
Thank you, Madam Chair. I have a question about the reduction in contract services here in the management board secretariat. It's rather significant. And I'm just wondering how what contracts we expect to lose from this? I don't really understand what the management board secretariat does to be honest.
And if we don't actually expect to lose any contracts, just if someone could colour how we end up, you know, with about $700,000 of surplus in a specific accounting line for this group. Thank you.
Thank you. Minister of Finance.
Thank you, Madam Chair. Madam Chair, so there are a few things bound up in there.
I am mindful of time, but the management board secretariat is an integral part of the Department of Finance, and they provide the strategic advice and analysis that goes into the financial management board to help analyze decisions that are being made and they'll provide us advice when the financial management board meets.
There's quite a lot of information about them on the website, and I'd certainly be very happy to have the Member go and look at it because they are an important they do perform a very important function.
With respect to the contract services, and we've already seen a few, this one is perhaps more notable in terms of its size.
The decision that was made around which departments and divisions within them to reduce contract services, it's not because there was necessarily a surplus or a known surplus. The effort was made in concluding the budget discussions with other Members, with MLAs, that we made these reductions but that we would try to make them in departments that have historically had the most surpluses as compared to some departments or divisions that actually often do run in deficit and actually need to go back and get more money put in for their contract services. And so that's the reason why this one here, again, historically hadn't see a maximization of it.
For any specific contracts that might be impacted, I would suggest we go to the deputy secretary, or to Mr. Courtoreille, please.
Thank you. Mr. Courtoreille.
Thanks, Madam Chair. The contract service budget for management board secretariat is really one of the main placeholders for all contract services done within the Department of Finance. So by default, it was one of the larger budgets in the department. We're not expecting that no work, or contract services work is going to be foregone because of this reduction. Thank you.
Thank you. Finance, management board secretariat. Member for Thebacha.
Thank you, Madam Chair. I just want to question the funding for air carriers for the period of January 1st to March 31st, 2022.
I understand that there was a million that was put aside for regional airlines that was not spent in the previous year, and the Government of the Northwest Territories received an extension for an extra year to get the money out. Is that million going to be spent on regional airlines? And if you did that, there would be only $1,091,000 that would be left for the other airlines, is that correct?
Thank you. Minister of Finance.
Thank you, Madam Chair. Madam Chair, so there was no extra money remaining in this particular line item. There is a surplus amount in the Regional Air Transportation Initiative, or RATI agreement, which is managed under Infrastructure and which I think we'll come to shortly.
These funds are specifically were negotiated with the Department of Transportation Canada really out of COVID relief. And, yes, as I say, there was nothing that wasn't spent in what we had available.
Madam Chair, I think there was another question in there, and I apologize, I forgot what it was.
Thank you, Minister. Member for Thebacha.
Thank you, Madam Chair. The Government of the Northwest Territories did not spend $1 million of support that was supposed to go to regional airlines by March 31st, 2022. And so they've asked for an extension of an extra year to get the money out.
I want to know why these funds weren't spent before March 31st, 2022?
Thank you, Member. Minister of Finance.
Thank you, Madam Chair. So Madam Chair, again, the Department of Infrastructure does manage the Regional Air Transportation Initiative, or RATI. It's a federal fund that is there to help maintain and reestablish regional air connectivity services across Canada that might have been impacted by COVID19. It's being delivered by CanNor, and that money did not all get out the door. But that is not the same it's not the same money as what Department of Finance manages for the purposes of COVID relief.
The RATI money was something that was helping to shore up services, shore up the airports. You know, essentially it was really assisting with things that might come up as a result of COVID19 but not necessarily relief funding to airlines or air carriers.
The Department of Finance had the airline and air carriers relief funds that we were managing, and that's this one. And this came through in four different phases. And this is simply the last, the fifth of the phases, and I anticipate likely to be the last of the five. Or to be the last, this fifth one. Thank you, Madam Chair.
Thank you. Member for Thebacha.
Madam Chair, it's disturbing to me that Canadian North got 46.5 percent of the contributions that were given. Every other airline across the board all are less than 10 percent. And regional airlines, especially the one from Northwestern Air Lease, was 4.1, the lifeline to some communities like Fort Smith and especially Fort Smith, because that's all we have there. And it was a major problem the last time, the phase 4 was brought out. And it concerns me that the majority of the monies that go out to these major airlines, ownership is not in the Northwest Territories.
The ownership with Northwestern Air Lease, and all the people that live in Fort Smith and work for the airline, are all residents of the community of Fort Smith. But Canadian North ownership is in Calgary. There's other Summit Air is in Ontario, the ownership.
So likewise, our government is constantly making sure that southern interests overrides northern interests.
This is extremely important to the people of Fort Smith because, you know, first of all, they used to employ about 75 local people that all lived there and own homes there and do business in Fort Smith, including the owners. And yet we're sending all this money, 46.5 percent out of 51 point some million, that's about $25 million or more, to Canadian North, and ownership is in Calgary.
I'm not saying that they shouldn't get money to ensure that the airline still serves the North, but I just wonder where the priorities are. And I'd like to know what the priorities are. Thank you, Madam Chair.
Thank you, Member. Minister of Finance.
Thank you, Madam Chair. Madam Chair, so again, this is a program that was cost shared with the federal government, and it was part of funding that was being delivered through COVID19 and the pandemic when airline services across the country were facing fairly dire straits, when there was the sort of significant and immediate shut downs of airline services and impacts to them.
The portion that we received was to help maintain air service costs across the Northwest Territories. The federal government wasn't, you know, supporting which you know, based on where ownership might be. They were supporting based on where the air services were based or being required.
We were able to get some flexibility where, for other regions, there may have been only passenger services that were receiving the funding relief and supports. We were able to demonstrate that in the Northwest Territories there are carriers that service regions and communities that provide essential services, whether it's cargo, medical transport, medical supplies, etcetera, and in fact, you know, COVIDrelated supplies ultimately. So that was the focus of these supports.
Again, these are not, you know, an economic development opportunity. It was really ensuring that various networks remained alive and at least healthy so that services and routes could be maintained. Thank you, Madam Chair.
Thank you, Minister. Member for Thebacha.
Thank you, Madam Chair. You know, economic recovery starts at home, okay. It wasn't an economic opportunity for a small airline to get some help in the fourth phase and now in the fifth phase. Economic recovery is for those people who live and reside in the Northwest Territories.
We are constantly – constantly doing the wrong thing when it comes to these kind of initiatives where we're always making sure that the southern interest is always looked after. And, you know, that's not okay.
When you have people in a community, like Fort Smith, with over 50 employees still there, all living and working there, spending their money there, going to the grocery store and all these other things, and our government and this Minister decides that the criteria they don't look out of the box with the criteria. They have a set thing to make sure that they look after the bigger air carriers, and they and the ownership is not here.
That is unbelievable, unacceptable, and I'm not really happy about that. And I hope that when the amounts come out after we're done this session like usual, that they take into account the regional airlines that actually serve the North and the people that are living here. Thank you, Madam Chair.
Thank you, Member. Did you have any question for the Minister?
No questions.
Finance, management board secretariat, not previously authorized, $1,615,000. Does committee agree?
