Yeah, thanks for that. I guess given the experience with climate variability, or dare I say climate emergency, over the last couple of years with floods, fires, etcetera, I think we have to seriously look at revising that supplementary reserve so we don't have to resort to shortterm debt and additional spending. What is the department going to do about this? Thanks, Madam Chair.
Thank you, Minister.
Thank you, Madam Chair. Madam Chair, that's likely a question that requires not only the Department of Finance to be involved but also the Department of Infrastructure and ECC. So certainly can commit to taking that back to my colleagues and having that bigger conversation. It doesn't necessarily speak to the reason why we are seeing or certainly not the only reason why we're seeing this impacts here on this sup. A lot of our impacts some of the impacts are due to the floods last year but there's also some fairly significant amounts attached to health and social services here.
So one thing I would note, Madam Chair, we did we are seeing and you would see have seen it at the time of our main estimates that ECC does have very a much more significant increased fire suppression budget now than what they had historically, and there is a small amount here to further enhance that. So, again, whether it needs to be the sup reserve or whether it should more appropriately be within the budgets of the departments that do that work, I think that's probably a bigger conversation to be had. Thank you.
Thank you. Member for Frame Lake.
Yeah, thanks, Madam Chair. Yeah, and I appreciate the Minister's commitment to have that conversation. So I just want to confirm there's no money in this sup for the fire suppression and relief work that's going on for Hay River and K'atlodeeche, is that the case? Thanks, Madam Chair.
Thank you. Minister.
Thank you, Madam Chair. There's nothing extra in this. There is just shy of $19 million, though, in ECC's budget for fire suppression efforts this fiscal year. So obviously the efforts that have been undertaken already to fight that fire would have come out of that budget, and then with respect to the emergency evacuation and emergency response, I mean that, again, the EMO sits as well under MACA so certainly a lot of that would be expected at least to be fronted from there.
A large expense 90 percent of any Disaster Assistance Program monies would be refundable, but obviously that remains to be seen exactly how that comes out in the course of time. And the enhancements that we've made to support the communities to support the United Way and to support individuals with income disruptions, those are currently being funded from within. Thank you.
Thank you. Member for Frame Lake.
Yeah, thanks, Madam Chair. I guess I have a funny feeling, though, that there's going to be some more another supplementary appropriation that's going to contain money that's required to help people in Hay River, and I'll certainly support that, but I think we're going to be making a bigger hole in that supplementary reserve than we would have liked. But I guess I'd like to get an explanation from the Minister, even with this supplementary appropriation, how does this affect the operating surplus in compliance with the fiscal responsibility policy? Thanks, Madam Chair.
Thank you. Minister.
Thank you, Madam Chair. So, Madam Chair, at this point, we're still certainly anticipating to have an operating surplus, and as such and a sufficient operating surplus to be above the amount we would require to avoid being noncompliant with the fiscal responsibility policy. Thank you.
Thank you. Member for Frame Lake.
Yeah, okay, thanks. That's helpful for the Minister to say that. But would it be possible in future supplementary appropriations to actually have some sort of an appendix or, you know I see even with this one, there's a schedule. Would it be possible to have a schedule that sort of shows the compliance with the fiscal responsibility policy for each of the sups going forward just so that the public can have some assurance as well, and us as Regular MLAs, that we're remaining in compliance with it and following it? Thanks, Madam Chair.
Thank you. Minister.
Thank you, Madam Chair. So, Madam Chair, you might recall there has been a revision to the fiscal responsibility policy where there is a commitment to indeed do more tracking and reporting throughout the course of the year with respect to where we're at on the fiscal responsibility policy. That right now will be expected to come out in the fall, which it normally hadn't been previously. So we can certainly look at if there's an opportunity to do that whenever there's an infrastructure sup. I don't think there's any barrier to doing so. But I will confirm and if I'm wrong in that, would advise the house. Thank you, Madam Chair.
Thank you. Member for Frame Lake.
Yeah, no. Thanks. I appreciate that commitment on the part of the Minister, and I think that should just become part of normal practice here, that when sups come forward that there is some statement and presentation of information about compliance with the fiscal responsibility policy. So I'll look forward to that. Maybe get another set in August. Thank you. That's all I've got. Thanks, Madam Chair.
Thank you. Are there any further general comments? Seeing none. We will review the supplementary estimates by department. Does committee agree to proceed to the detail contained in the tabled document?
Agreed.
Committee, we will begin on page 3. Supplementary Estimates (Operations Expenditures), No. 1, 20232024, Department of Legislative Assembly, operations expenditures, Office of the Clerk, not previously authorized, $26,000. Does committee agree?
Agreed.
Supplementary Estimates (Operations Expenditures), No. 1, 20232024, Department of Legislative Assembly, operations expenditures, total department, not previously authorized, $26,000. Does committee agree?
Agreed.
Thank you. Now turn to page 4. Supplementary Estimates (Operations Expenditures), No. 1, 20232024, Department of Education, Culture and Employment, operations expenditures, corporate management, not previously authorized, $1,875,000. Does committee agree?
Agreed.
Supplementary Estimates (Operations Expenditures), No. 1, 20232024, Department of Education, Culture and Employment, operations expenditures, labour development and advanced education, not previously authorized, $2,768,000. Does committee agree?
Agreed.
Thank you. Supplementary Estimates (Operations Expenditures), No. 1, 20232024, Department of Education, Culture and Employment, operations expenditures, total department, not previously authorized, $4,643,000. Does committee agree?
Agreed.
Thank you. Now turn to page 5. Supplementary Estimates (Operations Expenditures), No. 1, 20232024, Department of Environment and Climate Change, operations expenditures, corporate management, not previously authorized, $219,000. Does committee agree?
Agreed.
Supplementary Estimates (Operations Expenditures), No. 1, 20232024, Department of Environment and Climate Change, operations expenditures, environment management, monitoring and climate change, not previously authorized, $3,834,000. Does committee agree?
Agreed.
Supplementary Estimates (Operations Expenditures), No. 1, 20232024, Department of Environment and Climate Change, operations expenditures, policy and strategic planning, not previously authorized, $4,301,000. Does committee agree?
Agreed.
Committee, we will now turn to page 6. Supplementary Estimates (Operations Expenditures), No. 1, 20232024, Department of Environment and Climate Change, operations expenditures, wildlife and forest management, not previously authorized, $3,688,000. Does committee agree?
Agreed.
Thank you. Supplementary Estimates (Operations Expenditures), No. 1, 20232024, Department of Environment and Climate Change, operations expenditures, total department, not previously authorized, $12,042,000. Does committee agree?
Agreed.
Now turn to page 7. Supplementary Estimates (Operations Expenditures), No. 1, 20232024, Department of Executive and Indigenous Affairs, directorate, not previously authorized, $270,000. Does committee agree?
Agreed.
Thank you. Supplementary Estimates (Operations Expenditures), No. 1, 20232024, Department of Executive and Indigenous Affairs, total department, not previously authorized, $270,000. Does committee agree?
Agreed.
Thank you. Now turn to page 8. Supplementary Estimates (Operations Expenditures), No. 1, 20232024, Department of Finance, operations expenditures, directorate, not previously authorized, $17,834,000. Does committee agree? Member for Frame Lake.
Thanks, I'm glad I caught that, Madam Chair. So one of the items here is the Northwest Territories Power Corporation to provide funding for NTPC rates stabilization, costs of additional diesel costs for customers of $15 million. Can someone please explain this. Thank you.
Thank you. Minister of Finance.
Thank you, Madam Chair. So right now, Madam Chair, the rates that are built in were built at a time that reflect a much lower amount of price on diesel. So there's obviously a couple of drivers that are making that now no longer accurate. And what happens is there is a rate stabilization fund approach, which is a standard utility approach to help when there are costs overages of this nature. Of what that would do, it would create a rider and if there is a rider imposed, that would then of course raise the rates. Rather than have individual residents face increased rates at this time given, you know, the number of uncertainties and economic challenges around Canada for individuals over the last couple of years, we've proposed this solution here to have this onetime amount to help offset some of those costs and avoid the rider. And to be clear, Madam Chair, there's two main drivers here.
There's firstly, of course, the price of fuel, which I've mentioned. But also there's very low water levels in the Snare hydro system which I'm told does happen on a cyclical nature. But as a result of low water, of course we then have to burn more diesel to make up for that. So you're getting a double hit on the cost of fuel with that as well. Thank you, Madam Chair.
Thank you. Member for Frame Lake.
Yeah, thanks, Madam Chair. So is this going to be required on an ongoing basis that the government is going to have to put $15 million into rate stabilization going forward? Thanks, Madam Chair.
Thank you. Minister of Finance.
