Debates of March 3, 2011 (day 50)

Date
March
3
2011
Session
16th Assembly, 5th Session
Day
50
Speaker
Members Present
Mr. Abernethy, Mr. Beaulieu, Ms. Bisaro, Mr. Bromley, Hon. Paul Delorey, Mrs. Groenewegen, Mr. Hawkins, Mr. Jacobson, Mr. Krutko, Hon. Jackson Lafferty, Hon. Sandy Lee, Hon. Bob McLeod, Hon. Michael McLeod, Hon. Robert McLeod, Mr. Menicoche, Hon. Michael Miltenberger, Mr. Ramsay, Hon. Floyd Roland, Mr. Yakeleya
Topics
Statements

Prayer

SPEAKER’S RULING

Ministers’ Statements

MINISTER’S STATEMENT 123-16(5): PUBLIC HOUSING RENT ASSESSMENTS

Thank you, Mr. Speaker. The government recognizes that improving the quality of housing services provided to residents will help reduce the cost of living in communities across the Northwest Territories. Today I would like to provide an update to Members on the work of the NWTHC and ECE in improving the assessment process for public housing rents, specifically our success in completing reassessments for tenants who wish to have a review of the rent assessed to them in recent years.

The decrease in rent assessments at that time can largely be attributed to an increase in incomplete applications, meaning that tenants did not provide sufficient paperwork to qualify for a subsidy. The NWT Housing Corporation, ECE and the LHOs continue to promote to tenants the importance of providing proper documentation to qualify for assistance.

As Members are aware, on June 1, 2010, the Northwest Territories Housing Corporation assumed the full responsibility for rental assessments in the Public Housing Program. In the period prior to this date, the number of rent assessments conducted on a monthly basis had declined to 65 percent. Public housing tenants who were not assessed for the PHRS subsidy were assessed maximum unit rents by LHOs. This in turn led to a number of tenants compiling heightened arrears as a result of not being assessed.

Following the June 1st transfer, ECE and the NWTHC addressed the issue of outstanding assessments by implementing a process for LHOs to submit files for reassessment. Information about the process was provided to all LHOs and LHO tenants in June and December 2010. In the months since this process was implemented, LHOs have reported a significant decrease in the number of outstanding assessments and greatly improved rates of rent assessment on a monthly basis. As of March 1st, only 123 of our over 2,300 households still require a reassessment of their rent for the period April 1, 2006, to June 1, 2010. Across the Territory, LHOs have achieved monthly rent assessment rates above 90 percent, which is a significant improvement over the 65 percent rate that we reached in May 2010.

In terms of reassessments, LHOs and regional ECE offices have worked closely to clear their backlog of files needing reassessment and are meeting acceptable standards of rent assessment on a monthly basis. While in most LHOs there are less than 10 percent of files that may be eligible for reassessment, in most cases these individuals are either no longer residing in public housing or have refused to participate in the reassessment process. In those communities where a backlog remains, staff from ECE and the NWT Housing Corp are working closely with these LHOs to clear the backlog and improve awareness within the community of the opportunity for tenants to be reassessed.

Mr. Speaker, as federal funding for the operation of social housing continues to decline, the funds collected through rent is essential to ensure that LHOs have the financial stability to properly operate and maintain the public housing stock. Timely rent assessments are vital to ensure that tenants are properly assessed and able to avoid arrears by paying their rent in full and on time.

Successful program and service delivery depends heavily on strengthened partnerships. The NWTHC and ECE continue to cooperate in providing assistance to those LHOs requiring additional support and assistance. I have been pleased with the effort put forth by LHOs and ECE staff during the transition period and their dedication to complete assessments. LHOs and local ECE offices have worked well together to complete reassessments and ensure that service is client focused.

Finally, I want to thank those tenants who have come forward and worked with the LHO to conduct a proper assessment of their income and who have begun dealing with their arrears.

In closing, Mr. Speaker, we face many challenges in the delivery of public housing in our communities, but I am pleased to say that our local delivery agents and many of our tenants are working together to ensure that public housing programs remain an important contributor to the Assembly’s goals of sustainable, vibrant and safe communities. Thank you, Mr. Speaker.

Speaker: MR. SPEAKER

Thank you, Mr. McLeod. The honourable Minister of Health and Social Services, Ms. Lee.

MINISTER’S STATEMENT 124-16(5): NATIONAL NUTRITION MONTH (MARCH)

Thank you, Mr. Speaker. March is Nutrition Month in Canada. The national theme continues to be “Celebrate food...from the land to the table!” What we eat plays an important role in our health and well-being. The Department of Health and Social Services recognizes this through one of the goals in its action plan, A Foundation for Change. Communities, families and individuals make healthy choices and are protected from disease. This goal is achieved by promoting healthy living and wellness.

Mr. Speaker, last year we invested $74,000 through our Health Promotion Fund to help community groups and organizations deliver a variety of programs related to healthy living including those that supported healthy eating and active living. One example was the Fort Smith Healthy Eating and Active Living Program (HEAL). Twenty residents completed the 10-week program that combined daily physical activities, weigh-ins and nine healthy living and eating modules. The group as a whole lost almost 200 pounds over the 10 weeks. Other projects included: men’s cooking classes at the Salvation Army; Tumbling for Tots program in Norman Wells that promoted healthy eating and active living for toddlers ages three to five; a Healthy Living Program in Tulita that focused on healthy eating, not smoking around children and supporting pre and post-natal moms; Kids in the Kitchen in Hay River, as well as the promotion of breastfeeding through Moms, Boobs and Babies, a Yellowknife breastfeeding support group. Our Drop the Pop campaign continues to be successful, with 43 schools participating. This campaign provides schools with funding to deliver community-based projects that emphasize the importance of healthy foods and avoiding sugary drinks.

Mr. Speaker, in 2009, around 27 percent of NWT residents 18 and over were considered obese and 59 percent were considered physically inactive. This is higher than the rest of Canada, where 18 percent were considered obese and 48 percent physically inactive. Addressing these issues starts with our children and their families. Through programs like Drop the Pop, we are making a healthy choice an easy choice.

Throughout March we will be working in collaboration with partners including the Northern Nutrition Association in celebrating Nutrition Month. We also continue to partner with many territorial groups through our Health Promotion Fund. Community groups looking to support community-led projects can access the Health Promotion Funding. The application form is on our website, www.hlthss.gov.nt.ca.

Mr. Speaker, one of the priorities of this Assembly is to focus on prevention by promoting healthy choices and lifestyles and the role of personal and family responsibility. We can achieve our goal of healthy, educated people only if we all work together and do our part. Throughout Nutrition Month I would like to challenge our residents to be role models and champions of healthy changes in their communities. Thank you, Mr. Speaker.

Members’ Statements

MINISTER’S STATEMENT ON 10th ANNUAL GWICH’IN CUP MINOR HOCKEY TOURNAMENT

Thank you, Mr. Speaker. Today I wish to speak on a huge activity that is taking place in Inuvik starting today. It is running through the weekend. It is the 10th Annual Gwich’in Cup.

This event over the years has grown into the largest minor hockey tournament in the NWT, with participants coming from the majority of the communities in the Inuvik region, including communities in my riding of Ulukhaktok, Paulatuk and Tuk.

Mr. Speaker, over 350 kids will be participating this weekend in the tournament. It is always a thrill for all of the youth to participate in this fun-filled weekend with their families and friends from the Beaufort-Delta communities and also from our neighbours in the Sahtu.

I wish to congratulate the Gwich’in Development Corporation and their partners, including the Inuvik Minor Hockey Association and First Air, just to name a few. Conrad Bates and Tom Williams were the first people who really started this about 10 years ago.

I also wish to thank the parents and the coaches and the volunteers who make this happen. I would like to thank the Minister and his staff. We had 65 nervous kids in Tuk when they found out the road was closed and they were looking to charter a plane. So I thank the Minister and his staff and my good friend Gurdev in Inuvik, thank you. I’d like to thank E. Gruben’s Transport and Northwind to make that road possible to get it open for the kids.

Mr. Speaker, lastly I wish to thank the people who had the vision to create such an important event for our youth in the Beaufort-Delta. Again, to all the organizers and all the young hockey players, I wish you all have a good week and success, and enjoy your weekend with your family and friends. Thank you, Mr. Speaker.

Speaker: MR. SPEAKER

Thank you, Mr. Jacobson. The honourable Member for Frame Lake, Ms. Bisaro.

MEMBER’S STATEMENT ON AUDITOR GENERAL’S REPORT ON THE DEH CHO BRIDGE PROJECT

Thank you, Mr. Speaker. Today I want to comment on the Auditor General’s report on the Deh Cho Bridge Project. In general, the findings are not surprising. This massive construction project was forced ahead by this government a number of times, in spite of warning signs which should have slowed or paused the project. Signs such as a financial analysis in 2007, which determined that a conventional approach to the project, instead of a P3, would provide significant savings for the project. Such as, in February 2008 at the time of financial close, the government had not approved the bridge design. In order to proceed with the project, the need to have design approval by the GNWT was waived. In September of 2007, and again in February 2008, regulations under the Financial Administration Act were amended or waived so the project could proceed. Early in 2009 an independent review of the project management practices showed deficiencies at the construction site. The independent report to the Department of Transport and the Deh Cho Bridge Corporation proposed actions, but not all of the actions were implemented.

At any of these points, Mr. Speaker, and at many others over the last five or more years, the government should have paused and taken the time to thoroughly evaluate whether or not the project should move ahead. It should have been an opportunity for sober second thought, for honest evaluation of the project to that point, for careful consideration of the potential pitfalls if the project went ahead. Instead, decisions were made to push forward; decisions, which in the long run, had highly negative impacts.

This project started with the intention that it would be a P3, a public-private partnership project, and it was to have a focus on community economic development. In a P3 project, risks are supposed to be shared by the partners, but in this case the Auditor General determined that the GNWT assumed all the risk, and as stated in the report, the project morphed into a publicly funded project, more costly than it should have been, with significant risks to the GNWT and little or no economic benefit to the local community.

The Auditor General found that the project risks were not adequately managed, but that does not mean the project is at risk, Mr. Speaker. I certainly do not believe that it is. Risks related to quality control are well looked after at this point and I must congratulate the Department of Transportation for their hard work to manage that risk in both the current construction phase and for going back to ensure quality in phase 1.

Mr. Speaker, I seek unanimous consent to conclude my statement.

---Unanimous consent granted

I congratulate the department for their hard work to manage the risk in both the current construction phase and for going back to ensure quality in phase 1, but the weaknesses in the management of risk in the other three areas is cause for concern. That concern and that finding and many other findings, Mr. Speaker, deserve comments, but I have no time. You’ve allotted me an extra bit already, thank you very much, and I will have questions for the Premier at the appropriate time. Thank you.

Speaker: MR. SPEAKER

Thank you, Ms. Bisaro. The honourable Member for Tu Nedhe, Mr. Beaulieu.

MEMBER’S STATEMENT ON NEED FOR REPAIRS TO HIGHWAY NO. 6

Mahsi cho, Mr. Speaker. Today I will be talking about Deninu K’ue in Fort Resolution. I’d like to thank the Minister of Transportation and his department for the work done on Highway No. 6 to date. It’s a very good job. The job is not finished, however, Mr. Speaker. Highway No. 6 is 90 kilometres long and at this time there’s still about 40 kilometres that are gravel. Mr. Speaker, the department has done a very good job in addressing the worst areas first, but Highway No. 6 needs to be brought to a chipseal stage from the beginning to end.

Mr. Speaker, the majority of that 40 kilometres that’s still gravel is in pretty good condition. However, about 15 kilometres of that portion is very soft and dangerous if not rebuilt.

Twenty-four kilometres of Highway No. 6 was chipsealed over 30 years ago because of the existence of Pine Point. Even though Pine Point only existed from 1961 to 1987, the citizens enjoyed a paved highway for the majority of the town’s existence. Fort Resolution has existed before vehicles did and it will be 2011 before a portion of Highway No. 6 leading into that community is chipsealed.

The community wants all of Highway No. 6 to be chipsealed and this government must put some more infrastructure dollars into chipsealing this highway from beginning to end. A chipsealed highway into Fort Resolution will let the community know that the GNWT is working on equalizing services between smaller and larger communities.

I have spoken to members of Fort Resolution and they are looking forward to chipsealing their community and gaining the economies of scale when chipsealing from Little Buffalo River to Fort Resolution occurs this coming summer.

Speaker: MR. SPEAKER

Thank you, Mr. Beaulieu. The honourable Member for Sahtu, Mr. Yakeleya.

MEMBER’S STATEMENT ON PASSING OF ELDER IN COLVILLE LAKE

Thank you, Mr. Speaker. Throughout our lives in whatever jobs that we do and how we interact with people as a Member or a private citizen or businessperson, we run into a lot of good people in the Northwest Territories. I was very surprised to hear of an elder in Colville Lake who went missing. I thought back in January when I saw him and spoke to him and he talked about his life on the land. He actually gave me some fish and some meat and he talked about living out on the land and being out there in Colville Lake. I was saddened to hear, when I phoned Colville Lake yesterday, that they still hadn’t found this elder and that the people were coming together and helping out with the search and being there for the family. Later on this morning I heard that they located Mr. Alexis Blancho, who was an elder and very independent man. I was saddened to hear of the passing of him.

I want to say that these elders that go on to the next world, when we go visit them and they talk to us, they usually give us very good advice; really good advice. Sometimes it takes a while to figure out what the advice is about. Mr. Blancho said that we should be working together on issues. Talk about issues that are really hard in front of us. We need to work together and how to survive on the land and how to survive in the community. This guy, when I went to him, had hopes for his grandchildren, his children, and he knew the different lifestyles. He also knew the importance of working together and doing what we had to do.

I want to thank people from around the Sahtu and communities for giving support to Colville Lake at this time. I know they are really heavy hearted. They said when the phone calls come in, it lifts their spirits up. I want to thank people who made phone calls to Colville Lake and thank a lot of people for helping out.

Speaker: MR. SPEAKER

Thank you, Mr. Yakeleya. The honourable Member for Hay River South, Mrs. Groenewegen.

MEMBER’S STATEMENT ON COST OF INTERNET SERVICE IN THE NWT

Thank you, Mr. Speaker. I was recently approached by a constituent who had serious concerns about the cost of Internet services in the Northwest Territories. Internet usage, transferring data, is estimated to cost about 3 to 5 cents per gigabyte in the provinces down south. Up north, once you go over your bandwidth cap, NorthwesTel, our main Internet service provider, charges Northerners at least $10 a gigabyte compared to only $2 to $5 per gigabyte down south.

In a recent agreement with wholesalers down south, Bell Canada sells 40 gigabytes of data for $4.25 and still makes a profit. That demonstrates that even in the South the price of Internet usage is very inflated.

True, Internet service may cost more in the North and it’s fair that those who use more should pay more, but at $10 per gigabyte it appears that NorthwesTel is making a 4,000 percent increase over their costs. According to its website, NorthwesTel set its limits “to ensure network reliability and make sure that all high-speed Internet users enjoy a fun, fast and reliable Internet experience.” But does that justify a $10 surcharge for every gigabyte over the limit?

Research estimates that monthly Internet traffic in North America has grown by as much as 50 percent in the last 10 years and that Internet traffic will quadruple between 2009 and 2014. The average Canadian downloads twice as much data as they did two years ago, but their Internet use is offset by increasingly powerful and efficient machines. The Internet continues to offer more and more to users. It is a communication lifeline in our small communities.

There is evidence that our federal regulator, the CRTC, is failing to deliver competitive Internet services in Canada and this problem is only magnified in the North. As the GNWT negotiates a new digital service contract, it should take into account the true cost of service. As private users we should do all we can to seek greater accountability in this area and, as one technology watchdog, the Globe and Mail, put it, make sure that the rates we pay are based on reality.

Speaker: MR. SPEAKER

Thank you, Mrs. Groenewegen. The honourable Member for Kam Lake, Mr. Ramsay.

MEMBER’S STATEMENT ON AUDITOR GENERAL’S REPORT ON THE DEH CHO BRIDGE PROJECT

Thank you, Mr. Speaker. I’m going to speak today about the Auditor General’s report on the Deh Cho Bridge Project. I want to start by saying that I appreciate the time and effort that Ms. Sheila Fraser and her staff have provided on this audit.

The Auditor General’s report confirms clearly and concisely that the concerns I have repeatedly expressed the past seven years on the decision to proceed with the project and its subsequent management are legitimate and real. What becomes abundantly clear is this project, as it was sold to Members and the public as a P3 project, was not a P3 project and it was rushed into during the dying days of the last government. Regulations were amended on Thursday, September 27th, casting aside the requirement to give Members 14 days’ notice. Then on September 28th, on a Friday afternoon, three days before the territorial election, which is clear evidence that the last government knew full well what it was doing. All in an effort, it would seem, to leave that lasting legacy. The disregard for due process and risk management prior to the signing of the concession agreement is truly disgusting.

Throughout my seven and a half years here I have questioned this project at every turn in an attempt to protect the taxpayers in our Territory. This project was questionable right from the very beginning. What is most important to me is accountability and responsibility for decisions regarding this project. Now that the project is clearly in the hands of this government, I will continue to ask questions about the management and the risks associated with the project.

I’m very concerned about this project because if we see significant delays in construction, this will undoubtedly lead to further costs and, quite frankly, we cannot afford much more than we have already paid for this project.

The government has always hid behind the facade that was the Deh Cho Bridge Corporation and it does not surprise me that they continue to be evasive when it comes to answering questions about the contract for $92 million with Ruskin. The Auditor General herself could not get a final figure for the amount spent to date because the external audit of the corporation’s financial statements was not finalized.

I’ve previously referred to this project as a boondoggle and I may have been too generous.

I’ll have questions for the Minister of Transportation at the appropriate time.

Speaker: MR. SPEAKER

Thank you, Mr. Ramsay. The honourable Member for Nahendeh, Mr. Menicoche.

MEMBER’S STATEMENT ON AUDITOR GENERAL’S REPORT ON THE DEH CHO BRIDGE PROJECT

Thank you, Mr. Speaker. [Translation] I will also be talking about the Deh Cho Bridge and in reference to the...and it seems that it’s costing a lot of money and it doesn’t seem like they’re working it as well as they could be. [Translation ends]

...Deh Cho Bridge Project and ask questions every time I go home. Many were never convinced that it would be on time and on budget for the original $165 million. There did not seem to be a good plan in place. The recent Auditor General’s report and comments in the media does say that she, too, is not convinced herself that the new cost of $182 million will be enough. The Auditor General also pointed out the risks, mostly financial, were never properly assessed or used as a decision point to re-evaluate the project as they move forward and to minimize the costs.

In general, my constituents are supportive of the bridge because one day it is our dream that we will have one across the Liard. My colleague Mr. Ramsay has always pointed out the inconsistencies in the project and raised accountability issues from day one about the impacts on our future budgets. The Auditor General’s report did point out that this was not a real P3 and that there were many risks that occurred over the project that led us to taking over the project.

Increased costs do lead to increased government expenditures, therefore, affecting how we use our budget in the Northwest Territories. I stand with my colleagues when we say we simply must learn from this, because we will have large public infrastructure projects and we want to have real P3 projects. I also note that we are in discussions in developing a P3 project and I look forward to fully discussing that and having input from this side of the House.

Speaker: MR. SPEAKER

Thank you, Mr. Menicoche. The honourable Member for Mackenzie Delta, Mr. Krutko.

MEMBER’S STATEMENT ON MAJOR TELECOMMUNICATIONS OUTAGE IN MACKENZIE DELTA AND NUNAKPUT COMMUNITIES

Thank you, Mr. Speaker. A storm hit the Beaufort-Delta and the Sahtu regions last week for five days, with winds over 100 kilometres an hour. At one point the James Creek, where the NorthwesTel tower was disrupted knocking out all telecommunications in that service, was clocked at over 160 kilometres an hour. This was one of the most fierce storms that we’ve had for some time, in which it knocked out the telecommunication systems and Internet systems, not being able to access the Internet and banking services. It completely shut off our communities by way of road closures, airport closures, and not even able to provide municipal services because of the ferocity of the weather.

We also realized that we had power outages and fluctuations of power and freeze-ups of municipal services and individuals’ homes. I think we also have to realize that from that, communities are shovelling themselves out of their homes, municipalities, and the Department of Transportation is getting the roads open and services are now getting back in operation. Also the Internet and telecommunications are up and running.

I think this is a real eye-opener for people not only in the Mackenzie Delta, Beaufort Sea and Sahtu, but the rest of the Northwest Territories. Facing the reality of climate change and the weather patterns that we see in the world, we are not immune to what’s going on around us or even in what we’re seeing in major shifts in weather, wind storms are increasing, and as a government and Legislature and for the people of the Northwest Territories, realizing we have to adapt in some manner or some way, realizing there’s a cost associated with all these storms and the effect it will have on the fiscal climate in the Northwest Territories by way of adaptation to climate change and facing the reality that our world is changing.

Speaker: MR. SPEAKER

Thank you, Mr. Krutko. The honourable Member for Great Slave, Mr. Abernethy.

MEMBER’S STATEMENT ON INCIDENTS WITH PSYCHIATRIC PATIENTS LEAVING STANTON TERRITORIAL HOSPITAL

Thank you, Mr. Speaker. Over the last couple of weeks a number of my colleagues have made statements in this House and asked questions of the Minister of Health and Social Services on mental health issues and Stanton Territorial Hospital; in particular, patients in the psychiatric unit on the third floor. The newspaper and the media over the last couple of weeks have also identified a situation where a patient was able to come and go when they were supposed to be under the care of the psychiatric unit.

If we go back even a little bit further, in November, a young resident of the Northwest Territories who was in the psychiatric unit and released on a temporary pass, left her home and has never been seen again. If we go back in time further and further, there are many, many incidents and situations of people who have been in the psychiatric unit who have left either on a day pass or on their own, with conditions to come back, who have never been seen again.

These are troubling. It goes to what the policies and procedures are within Stanton and what allows a release or what kind of supervised release people should be under. We need to make sure that our hospital is a safe place and that people who need care and treatment, even when they’re being released on a temporary basis, have some protocols in place to ensure that we can track those individuals and make sure that they’re healthy once they’re out.

Later today I’ll be asking the Minister responsible for Health and Social Services what types of review have been done on the system to ensure that people with mental health issues who are being released on a temporary basis are monitored and that we have certainty that they are being released in a safe manner so that they do come back safe and sound rather than disappear forever. Thank you.

Speaker: MR. SPEAKER

Thank you, Mr. Abernethy. The honourable Member for Weledeh, Mr. Bromley.

MEMBER’S STATEMENT ON MYTHS AND FACTS ABOUT CARBON TAXATION

Thank you, Mr. Speaker. The myths and facts of carbon taxation need some discussion. A recent roundtable on a carbon tax in the NWT sponsored by the partnership of Ecology North, Sustainable Prosperity and the GNWT and involving diverse representatives from across the Territory has contributed to that discussion.

First, why a tax? Well, first, climate change through carbon emissions is destroying our planet, as we heard from my colleague, especially the North, leading to high costs from cultural loss to loss of building foundations.

Second, we are at the mercy of rising and volatile oil prices which drain dollars from our economy and increase uncertainty. Traditional life, the prosperity and safety of our children, our hopes for economic stability all are at risk until we reduce our carbon emissions.

Other jurisdictions have taken action by putting a tax on carbon emissions. This government has consulted on a carbon tax option, with some questions and positive feedback. Let’s examine the costs and benefits, the facts and myths.

Myth: Carbon taxes hurt economies. Not true. Three provinces and many European countries have introduced carbon taxes with no negative effect on their economies. In fact, stable energy prices and deriving renewable energy locally has boosted some economies.

Myth: Carbon taxes are felt most by individual consumers, especially low-income earners. Not true. A smart carbon tax is typically offset by reducing rates of income and corporate tax. Taxes can also be carefully constructed to protect people who don’t enjoy a tax savings in wages. We know how to protect our low-income residents in remote communities.

Myth: A carbon tax will drive away industry. Not true. By cutting the corporate tax rate to offset the new tax, there’s a zero cost change to business. The carbon tax is an efficient tool for creating business incentive to cut costs by investing in energy efficiency and promoting energy diversification.

The biggest myth is that we can do nothing. Our main fuel, oil, is constantly jumping in price. Delay in taking action on climate change also means rising costs of climate change impacts later when we can least afford it. For the NWT to lead will set an example that will be noted by the world and influence concerted action.

Mr. Speaker, I seek unanimous consent to conclude my statement.

---Unanimous consent granted

Mr. Speaker, change is difficult, but a smart carbon tax will create the economic incentive to take action. Places that have acted have benefited. Like shopping bag fees, the hoopla has disappeared shortly after these changes have been implemented. Let’s get it done. Mahsi.

Speaker: MR. SPEAKER

Thank you, Mr. Bromley. The honourable Member for Yellowknife Centre, Mr. Hawkins.

MEMBER’S STATEMENT ON ESTABLISHMENT OF A TERRITORIAL HOTEL TAX

Thank you, Mr. Speaker. Today I’d like to speak to the matter of a hotel tax again, as I did a few days ago in my Member’s statement.

The concept of implementing a territorial hotel tax was first proposed back in 2000 and has been raised in many forms ever since. Mr. Speaker, even in October of last year it was once again raised and supported in the discussions hosted by the Finance Minister‘s revenue consultation. In early 2010 even the NWT Association of Communities passed a resolution asking the GNWT to grant municipal authority over the hotel tax issue. As many will recall, even a motion was supported by NWT Tourism on this particular matter.

The vision being proposed is quite simple, Mr. Speaker: one, the hotel tax revenue earned in a municipality would be used for local tourism marketing and development; and two, collection of the tax would not reduce GNWT’s contributions to tourism but, rather, enhance the work that’s already being done.

Although I prefer the drafting of this particular authority be drawn up the Department of Finance, however, I know very clearly that a small amendment could be made to the municipality legislation to allow them to do so. Such an amendment would empower municipal governments, if they so chose, to implement a progressive tax opportunity to enhance their tourism activities.

As stated the other day, a hotel tax is a very common thing across Canada and if a tax was implemented in the Northwest Territories at 1 percent, last year it would have garnered over $200,000 of new money, Mr. Speaker.

Municipalities in partnership with NWT Tourism know best how to attract tourists to their communities. Mr. Speaker, this type of levy would enhance that activity to let them do so. Many of our municipal governments have proven themselves time after time that they have the ability and certainly the know-how of how to manage their own affairs better than anyone else. Accordingly, this government should find ways to work to empower these communities in a manner that allows them to find new revenue sources rather than hold them back.

Mr. Speaker, clearly, providing legislation to allow municipalities to collect a hotel tax is a good thing, so, Mr. Speaker, let’s give them the choice. I urge the Minister of Municipal and Community Affairs to put forward a progressive opportunity to allow legislation to be amended that would allow them to have the authority to make a hotel tax if a municipality so chose to. Thank you.

Recognition of Visitors in the Gallery

Thank you, Mr. Speaker. Mr. Speaker, it gives me great pleasure to recognize two doctors in the gallery. One is our very own CPHO, public health officer, Dr. Kami Kandola, and the other is Dr. Lorne Clearsky, who is visiting us for three days with the possibility of working up here. I’m not sure if he’s decided, but as the Minister of Health I’m just saying that this is a very exciting environment in which to practice medicine. It can be challenging but very rewarding, and when the Deh Cho Bridge is built, it’s going to beautiful, and we might even throw in free Internet. Mr. Speaker, if I could ask my colleagues in welcoming Dr. Clearsky, who in three days really impressed our colleagues here, and we are very excited that he’s here. Thank you.

Speaker: MR. SPEAKER

Thank you, Ms. Lee. The honourable Member for Weledeh, Mr. Bromley.

Thank you, Mr. Speaker. I’d like to recognize the well-known Dick Abernethy, a Member of the Weledeh riding and the father of my colleague Mr. Abernethy. I’d also like to recognize Weledeh constituent Ryan McCord, a well-known musician and known also for his fearless sky walking at great heights. Also, I’d like to recognize Della Green, the victims services coordinator. Mahsi.

Speaker: MR. SPEAKER

Thank you, Mr. Bromley. The honourable Member for Hay River South, Mrs. Groenewegen.

Thank you, Mr. Speaker. I would like to recognize in the visitor’s gallery today my new friends Peter and Tony from Haliburton, Ontario. They’re on a very long road trip. They have had careers in police work and in forestry and they’re here visiting us today. We welcome them to the Assembly. Thank you.

Speaker: MR. SPEAKER

Thank you, Mrs. Groenewegen. The honourable Member for Inuvik Twin Lakes, Mr. Robert McLeod.