Debates of March 18, 2004 (day 3)
Question 32-15(3): Non-Insured Health Benefits – Growing Deficit
Thank you, Mr. Speaker. Mr. Speaker, my questions today are for the Minister of Health and Social Services. We spent a lot of time in this Chamber talking about the devolution of powers and authorities to the territorial government and I remember that it wasn’t so many years ago that the Department of Health was devolved from the federal government to the territorial government. Over the years, many other departments and many other responsibilities have come from the federal government to the territorial government.
Mr. Speaker, recently, I had occasion to find out that the deficit from the NIHB, the non-insured health benefit, the deficit from that program, which we deliver on behalf of the federal government, continues to grow and be a burden to this government as we try to administer it and manage it on behalf of Inuit and status First Nations people. I’d like to ask Minister Miltenberger what the current status is of that deficit and what his department is doing to address this through negotiations with the federal government. Thank you.
Minister of Health and Social Services, Mr. Miltenberger.
Return To Question 32-15(3): Non-Insured Health Benefits – Growing Deficit
Thank you, Mr. Speaker. Mr. Speaker, there are two main program areas that we administer programs on behalf of the federal government: the non-insured health benefits component, which is about $5.9 million a year, recently up to about $7.3 million or $7.4 million; and the big ticket item for us under DIAND is the health services to Indian and Inuit people. That’s one where we’ve been running an annual deficit, which is about $22 million. So we have had some relief from the federal government. They’ve acknowledged under NIHB that it is under-funded, so we have a commitment from them to up the base to $7.3 million or $7.4 million, I believe, which is a bit of good news for us, but there’s still about $4.7 million outstanding. The big ticket item is the DIAND one.
Also, we’re constantly running arrears with DIAND just on the way they pay. They hold back money. They make you go through many hoops to get the money that they are going to pay in addition to not paying for millions. So it’s a very frustrating process in the system. Thank you.
Supplementary, Mrs. Groenewegen.
Supplementary To Question 32-15(3): Non-Insured Health Benefits – Growing Deficit
Thank you, Mr. Speaker. Mr. Speaker, does the Minister see any relief in even the administrative delays and are the carrying costs of this…Does he see any further relief for this in the future and what’s his immediate intention to do to address it? Thank you.
Minister of Health and Social Services, Mr. Miltenberger.
Further Return To Question 32-15(3): Non-Insured Health Benefits – Growing Deficit
Thank you, Mr. Speaker. Mr. Speaker, at the staff level we have almost around-the-clock, year-round processes and tables going with the federal government. It also, as the Premier has indicated, is an issue of national significance. Minister Pettigrew was up here a couple of months ago. The issue of health was raised with him. We’ve suggested things like it would make sense to take DIAND health programs and put them under Health Canada where they belong, where they can be administered with some consistency and with some possible greater efficiencies. We’ve successfully negotiated and got the federal government to acknowledge that there’s no need for holdbacks.
So we are continuing to press. There’s also ongoing pressure at the political tables because this is an issue that affects all jurisdictions that administer programs for Indian and Inuit people, which is almost every jurisdiction in the country. So we are having some small success, but it still remains a program that is problematic. Thank you.
Supplementary, Mrs. Groenewegen.
Supplementary To Question 32-15(3): Non-Insured Health Benefits – Growing Deficit
Thank you, Mr. Speaker. Mr. Speaker, for the public record, is it a program and service that’s being delivered by our government on behalf of some of our constituents that is problematic enough that the territorial government would ever consider handing it back to the federal government? Has that been considered or discussed recently? I’m referring to I’m sure what are some of the Premier’s comments which were made out of absolute frustration with the negotiations recently and I just want to know for the record what the status of any considerations might be to just hand the whole thing back to the federal government. Thank you.
Minister of Health and Social Services, Mr. Miltenberger.
Further Return To Question 32-15(3): Non-Insured Health Benefits – Growing Deficit
Thank you, Mr. Speaker. This issue has had some discussion in many forms. As a government, we look at all the options and try to control our costs. To continue to deliver a program or programs for the federal government that we are losing money on, for example, the program for Indian Affairs we’ve spent $8.5 million more than we’re going to get back last year, so the amount that we’re losing is growing, that it’s not a sustainable kind of process and can we legitimately expect ourselves as a territory and our constituents to tighten their belts and have other programs cut because the federal government arbitrarily refuses to pay. Yes, it is an issue that is there. We’re going to look at all options. We’ve also been instructed to look at the numbers, look at the impact. There would have to be lots of discussions, of course, to do that, but I think clearly we want to send a signal that we don’t mind administering the programs. But we can’t rob other program areas to cover those costs, as the Finance Minister has indicated as he seeks to storm the debt wall. This is one of the areas where there’s money on the table that belongs to us. Thank you.
Final supplementary, Mrs. Groenewegen.
Supplementary To Question 32-15(3): Non-Insured Health Benefits – Growing Deficit
Thank you, Mr. Speaker. Mr. Speaker, on behalf of our constituents, who are the beneficiaries of this particular programming, I would like to have the Minister’s assurance that the level of service is not going to be diminished or affected by these shortfalls and by the lack of response from the federal government. I’d like to know from the Minister, as well, does he see any other scenario? We’ve heard about the possibility of these services being delivered, the money flowing through, for example, the aboriginal governments as opposed to this government. Would he see that as any solution to the problem or would that, in fact, complicate the issue by having a dual health care system and, in fact, drive our costs up? Thank you.
Minister of Health and Social Services, Mr. Miltenberger.
Further Return To Question 32-15(3): Non-Insured Health Benefits – Growing Deficit
Thank you, Mr. Speaker. Mr. Speaker, as my colleague knows, having been in the 13th and 14th assemblies, especially with division, when you make two out of one you never do it for the same costs. The more administration and the more different program areas or delivery mechanisms we create, the greater the costs that take away from the ability to deliver the program. The issue for us, the fundamental issue is that we are delivering programs on behalf of the federal government that are under funded that they refuse to acknowledge. We had some small relief with the non-insured health benefits, but that is the big issue. I want to assure the Member and her constituents, all our constituents, that there’s no intention of this government to lessen the services we currently provide to our people, our citizens. But we do have a serious disagreement with the federal government and it’s one that’s very high on our agenda as we try to bring some relief to this growing debt just on the health side. Thank you.