EdinburghNLP/nunavut-hansard-plusplus huggingface dataset:
Mr. Chairman, I think this department, with the setup of this new department is a crucial department for the government right now and this mandate, as Ed indicated, one of the priorities that it wants to develop and build is the economy in Nunavut.
I think we all recognize that we don’t want to rely as heavily as we do on the federal government for our financial resources.
We would like to try and find ways and explore ways to develop our own sources of revenue, and also even try and get away from strictly a government economy, which has been pretty much the case for some time now.
I think from that aspect, the role that this department will play in that is very crucial.
The minister indicated in his opening comments that they’ve received another $4 million for the Strategic Investments Initiatives Program, and I look forward to hearing from the minister on how the uptake on that program was last year, and what kinds of results were benefited from that.
Also, when they talk about the Mineral Exploration and Mining Strategy, I think that is something that is again, a sector, that is going to play a crucial role in our territory’s future and urge the minister responsible to do what he can to help develop this sector. Also at the same time, do it cautiously and carefully, keeping in mind the people, the land, the animals that Inuit have survived on, and need to continue a traditional lifestyle, to maintain those cultural skills that are needed to survive in our territory.
Another area that this department has a responsibility for and I’ve always referred to it as the untapped resource, and that’s tourism.
I would really like to see a much stronger emphasis put on tourism.
The oil and gasoline sectors, those are non-renewable resources. Tourism is a renewable resource. It’s something; our territory, our landscape, our wildlife, and just everything in Nunavut, it won’t disappear just by people coming to see it.
I think we need to look at ways to try and make tourism more attractable and more affordable for people to participate in.
Since 1999, we’ve seen a substantial increase in people coming to Nunavut as tourists.
I think we can try and assist Nunavut Tourism to do more to further develop that market.
Again, one of the things that the minister talked about as far as economic development and it’s one thing that we’ve seen over and over again in the past, is where individuals and corporations come looking for funding for their businesses, and a lot of people are just given money and left alone.
As he mentioned in his opening comments about an aftercare support program, I think that is something that is crucial because in most of those cases where businesses fail, that’s exactly why.
They don’t have the bookkeeping, or management skills to keep their idea going.
I would say every business that the government provides funding for is probably a good idea otherwise they wouldn’t provide funding for it.
So if they’re failing, we should look at why and try and put some measures in place to help those individuals so that they can have successful businesses and contribute to pay their taxes, and contribute to employment and everything else within strengthening our private economy.
I think another area that this department also has an area of looking at and that, as the minister mentioned, is what they’ll continue to do to complete Safe Harbours Program.
I know I questioned, I believe, I don’t know if it was this minister or a previous minister, someone about looking at something here where there was you know an unfortunate incident here where emergency services workers had to go into the cold water up to there waist just to try and help individuals that were coming back in that needed their attention.
So I urge them to continue to push on that and like I said, not only here.
I’m sure Iqaluit is not alone in that area for requiring some type of a boat launch that would provide easier access for emergency services and access in and out regardless of where the tides are at.
When you look at some of the major projects that the department is looking at on the Bathurst Inlet Road and Port Project and Manitoba Nunavut Highway route selection process, I think those concepts or those projects could be included under the National Transportation Strategy and try and feed that in there and make sure they don’t forget about mentioning Mr. Harper’s deep sea port here in Iqaluit as well.
I think there could be tremendous economic benefits to, not only the community of Iqaluit, but to the rest of Baffin region as well for re-supply and sea lift purposes, and also for some of the trans-fishing industries and re-supplying some of the vessels that fish in our waters between here and Denmark.
It would save them seven days shipping they can come here and re-supply their vessels and do crew changes and things like that.
That saves them money and also dumps money into our economy.
Something else that I think should have a good hard look taken at, and that is the NNI Policy. I think that the concept behind the policy is great, but in practice, it’s not really meeting those needs, or what it was intended to do.
We have all kinds of concerns from individuals that, you know, they see NNI policies included for things like fuel re-supply or purchasing of fuel.
There’s nowhere in Nunavut where they build ships to bring them in or produce fuel so things like that, people look at that and say; “why does that apply to that?” and it’s not really something that is done up here, take a good hard look at that.
Also with storefront locations for people going for a northern supplier, they have a lot of concerns by business people that have spent the dollars to put up infrastructure in the communities, and are only being out bid by someone that has a fax machine in their apartment and using it as a front for places in the south to provide those materials up here and just using them as a thing or a supplier when they don’t really have a store front or an investment.
I know my time’s up so I’ll leave it at that for now. I could go on for another ten minutes, but, we’ll give other members a chance.
We’re on page K5.
Economic Development and Transportation. Branch Summary.
Total Operations and Maintenance. $3,918,000. (interpretation) Do you agree?
Chairman (interpretation): We will take a break for 10 minutes.
I think there are snacks out there.
>>Committee recessed at 14:56 and resumed at 15:17
We are on K-6, K-7, K-8, K-9, K-10, K-11, and K-12. (interpretation ends) Economic Development and Transportation. Economic Development.
Mr. Patterson, no, Mr. Peterson.
I see the minister is looking awfully cheerful this afternoon, it must be a Friday, TGIF.
On page K-7 of the main estimates, the Nunavut Geoscience Forum, it’s a joint operation between the Geological Survey, DIAND, the Government of Nunavut, and NTI, and they are putting $450,000 into it, is that a one-quarter share of the funding?
Hon. Olayuk Akesuk: Thank you, Mr. Chairman. It’s half and half between the GN and the federal government.
How many staff work at the Geoscience Office?
Thank you, Mr. Chairman.  Chairman: Thank you, Member.
Hon. Olayuk Akesuk: Thank you, Mr. Chairman. I can get back to Mr. Peterson on how many staff there are.
We don’t have it off hand right now, but I’ll get back to him as soon as I get the number of PYs that are under Geoscience.
Mr. Peterson: Thank you, Mr. Chairman. What work does the Geoscience Office have planned for 2006-07?
Our goal as a territory and government is to make sure that we do our very best to come out with geoscience in our territory as we are under mapped or under surveyed.
I do believe the federal government also came up with more money that they just announced on the geoscience side. So we are also going to try and get money out of that amount announcement that was from last week.
So it’s to map and to make sure that we have accurate mapping of our territory. That’s the plan, to make sure that we have accurate mapping of our territory to come up with ideas where the mining potential is, or the oil and gasoline exploration.
I do believe that’s what we want to do.
I had an opportunity to stop by the Nunavut Geoscience Office display booth at the Prospector Developers’ Conference earlier this week.
They had some very detailed maps, and it appeared to be one of the most, at least while I was there, one of the most well attended booths with a lot of people coming up.
I don’t know if they were all mining people but they were certainly interested in all the maps that the staff had there.
I had a chance to talk to staff, and they say that Nunavut has to be mapped, as the minister said, very detailed mapping is required.
It is one thing to talk about mining and mineral development in Nunavut, but you have to have the mapping.
This was very important.
I’m glad the minister is going to continue in that area.
On the same page, Mr. Chairman, Prospectors Assistance Program; it was $150,000 last year.
It’s decreased to $100,000.
So a $50,000 drop and that’s providing contributions to Nunavut residents holding valid prospecting licenses. They require financial assistance to carry out prospecting activities.
Is it being forecasted that there are going to be fewer people requiring assistance in 2006-07, hence the decrease in $50,000?
Yes, we’re expecting a decrease on that.
There are a few people that got certificates on the prospectors courses that we’ve held since 2000 I believe.
And, most of these prospectors have found jobs with the mining sector.
We also increased the contribution from $5,000 to $8,000 per person.
I think this I something that we still continue to work closely with the people of Nunavut to make sure we have enough people that are interested in the mineral sector, or prospectors programs.
Mr. Peterson: Thank you.
I think it’s very important that we continue to support individuals who want to get out there and kick rocks with their geology picks.
Sometimes you can find interesting stuff just stomping around on the land.
On the same page, Mr. Chairman, the Nunavut Business Credit Corporation, can the minister tell us how many staff he currently has working at the Nunavut Business Credit Corporation?
We have four working right now.
If you hire a comptroller, that would make it five?
We have four PYs for Nunavut Business Credit Corporation and one unfunded positions, so, I think we’re at the level that we want to be at.
Again, it’s important that we have staff for this corporation. We do our very best to have a comptroller to make sure that the business credit corporation is doing their job as they are supposed to do for our constituents in Nunavut.
Can the minister tell us how large is the portfolio of loans under the Nunavut Business Credit Corporation in Nunavut?
As of December 2005, the outstanding loans are totalling at $19 million.
It is a big number.
That is our portfolio right now on the loaning of money.
The Business Credit Corporation is a lender of last resorts so you have to take higher risk loans. Can the minister tell us what level of risk the Nunavut Business Credit Corporation is prepared to take in approving loans?
We have a very active NBCC Board that have a lot of knowledge into business on the loans. The loans have to go through the board and I do believe the board does their very best to make sure that they maximize the contribution to people that want loans from the corporation.
As a minister, I have not had a chance to meet with the NBCC Board. Once I have a chance, I will also have a meeting with them to have an idea on what we are going to do, so we have a board that thinks and looks at the applications seriously to make sure that we will be paid back in the future.
Chairman: Thank you, minister. Mr. Peterson.
I understand that when you do make loans that you hope to get repaid. The banks have typically, or organizations that have provided loans, they are very tight in terms of giving out loans and are very quick to foreclose on businesses so that is why they, in most cases, higher risk loans, they will not touch. That is why you have the Business Credit Corporation.
I am more interested in finding out from the minister if the Government of Nunavut, through the Business Credit Corporation, is prepared to take on higher risk loans and by doing so they are possibly going to experience a higher loss ratio because basically they are, the higher risk loans, and a number of other factors.
Can the minister comment on it?
Yes, we are often looking to other areas how we can lend more money to our people in Nunavut. Our allowance for doubtful account continues to remain under the five percent benchmark. I think that is a very good number that we have in this corporation and I think we could improve and make it a bit more better like that, but then again, no loans corporation in the nation or in the world has high risks of losing 40 or 50 percent, so five percent is something that is very reasonable and I do believe that we can do even better in the future.
So again, once I get a chance to have a meeting with the credit corporation, I will have a better idea of how we could meet other challenges that we have in the future.
I agree that under five percent is probably good, but again as the Nunavut Business Credit Corporation is not a bank so they are, in a sense, the lender of last resort to help people and entrepreneurs who can not get help from the banks because the banks, their ratios might be lower, 0.05 percent.
If we want to stimulate the Nunavut economy the Department of Economic Development and Transportation, through the various programs and entities, have to be prepared to invest in our businesses of Nunavut and take a bit more risk.
I encourage the minister when his sits down with the board of directors to discuss that.
Mr. Chairman, I wonder if the minister could tell us if the Business Credit Corporation keeps track of information in terms of how many jobs are created in the contribution of the businesses to the Nunavut. Do they keep that kind of information?
I can look into that for my colleague. Again, I do not know how many jobs are created within the loans that we give out to our clients in Nunavut.
We do not have the number at hand right now, but once the sitting is over I will get information and pass it out to my colleagues.
I thank the minister for making that offer.
In my mind, it is very important that we do not just give out money in loans, grants and contributions. We have to know that we are getting a return on our investment and that entails keeping track of the jobs created, the contributions to the economy and disposable income that is generated in the communities in the taxes collected.
You said that we have given out $19 million, so I would hope that the investment in Nunavut businesses has generated is at least double or maybe triple the return on our investments.
My next question, Mr. Chairman is: the Business Credit Corporation’s loans are approved by the board of directors; are there any loans that the minister is aware of that they are having difficulty in collecting or have gone into default?
I will give my deputy minister to answer that question.
At the present time, we do not have the specific information on that, but when I last had discussions with the CO there were two that were on the verge of acquiring some management support, aftercare kind of support as well.
We can confirm that with the rest of the reports that the minister will table in the House.
I thank the minister and Mr. Campbell for that information. Are you planning to table the annual report in the House any time soon?
I will be tabling it next week as soon as I can do it, like Monday or Tuesday. One of those two dates.
Mr. Peterson: Thank you, Mr. Chairman. On page K8, the tourism support budget for core programming funding appears to have been decreased by $150,000. Is there a reason why there is a decrease in their budget by that amount?
I will have my deputy minister answer that question.
We do have a number of organizations that we provide funding for all sorts of programs. Mainly, Nunavut Tourism will get most of the funding.
Last year we provided funding to the Francophone Tourist Association for Iqaluit to do certain projects for Nunavut.
That arrangement has lapsed and we’re going to be reallocating that $160,000 in other areas of our budget.
I thank Mr. Campbell and the minister for that information.
Can the minister give us an idea of how much the annual tourism revenues are in Nunavut?
I don’t have the number off hand.
Again, we’ll have to contact the Nunavut Tourism to get the numbers of how much is being spent in Nunavut by tourists.
I do believe we have more people coming into our territory in the last five or six years to go see our territory, and we’re continuing to promote our territory even to the limit that we want to make sure that we have a lot of people here.
In New York we also had in Time Square on screen that we’ve also promoted Nunavut.
So we’re trying to promote Nunavut as much as we can so that we could benefit as much as we could from the tourism in our territory.
Again, Mr. Chairman, I’ll get back to my colleague with the numbers on how much was spent in our territory that benefited both sides and all communities.
Several years ago when I was a visitor to the Gallery watching the proceedings at the time, I think the budget for tourism support was around $1 million. The minister at the time indicated that the annual tourism revenues were $50 million.
The Member of the Legislative Assembly at the time cracked a joked saying, “Give them another million and it will double to $100 million.”
I think we shouldn’t underestimate the amount of revues that tourism can generate for our territory; a lot of jobs, employment opportunities, training opportunities, are in that sector.
So when I see a decrease of $150,000 it sends off the wrong signals.
Further down on the page Mr. Chair, under Business Development Centres, its $800,000 budgeted for three regional based not-for-profit Community Futures Organizations.
I’m aware in the Kitikmeot Region that there isn’t a Community Futures Organization.
Could the minister update me on the status of trying to reactivate that Community Futures?
The Kitikmeot Economic Development Commission has made a proposal to the department to re-establish the Kitikmeot Business Development Centre (inaudible) draft will then be reviewed, the Community Organization Business Kitikmeot in April of 2006.
So, we’re just around the corner with an agreement with the Kitikmeot Region on the Community Futures Organization.
As of April 2006, we’ll have an idea of where we are with that. So, hopefully we’ll have something running by then, in a couple of months after that.
Two seconds, Mr. Peterson.
Can the minister just confirm for the record the maximum size of the loans that Community Futures can make to businesses?
Hon. Olayuk Akesuk: I think it’s at $75,000 per small business.
So, that’s where we are. Thank you, Mr. Chairman.
Mr. Peterson, your time has expired, so I’ll move along.
Mr. Barnabas (interpretation): Thank you, Mr. Chairman. Under the Commissioner’s Address, she stated that...(interpretation ends)...for developing and expanding our economy, $5 million will be invested in community economic development with emphasis on supporting non-decentralized communities. (interpretation) When will we be able to see the results of the $5 million to be used towards economic development for non-decentralized communities?
Chairman (interpretation): Thank you, Mr. Barnabas. Minister Akesuk.
Hon. Olayuk Akesuk (interpretation): Is he questioning about the $5 million that was going to be allocated?
Mr. Barnabas, I don’t understand your question, could you rephrase it?
Mr. Mapsalak had asked the question as to what that $5 million was going to be used towards non-decentralized communities. What is that fund going to be used for?
We are gradually finishing up the planning process and we have to submit the proposal to the ministers, to Cabinet, and we will be dealing with this subject in the near future because we don’t want anybody to wait for so long and we don’t want the smaller communities to wait for so long for the decentralized communities.
So we will have the funding and I will be dealing with this subject while I’m still the minister of this department. We will find out exactly where they are at and I would like to reassure my colleagues, the ones that are representing the non-decentralized communities, that we will give them an update on that.
Will they we be able to get an update on this item before the next session?
Hon. Olayuk Akesuk (interpretation): Yes, before the next session. Some time in June we will be able to have a better idea of exactly where they are at and how they are planning to use this money.
Thank you for clarification on this matter.
I just wanted to ask this question. I know that they met in Nanisivik; Nanisivik and other parties are meeting about buildings and deciding on what the buildings are going to be used for.
So we are going to clean up the town-side area with this money. We are looking forward to this funding.
The money is going to be used for the Government of Nunavut buildings, but we can’t touch any other buildings aside from the government buildings.
I would like to ask a question on page K-7. We had heard that the prospectors get a prospecting license, but I hear that there has been a decrease in the number of prospecting licenses that were issued.
From what I know this Prospectors Assistance Program is geared mostly for Inuit. That’s what I know in the Keewatin area.
Usually what they do is they start preparing to go prospecting when the snow is starting to melt.
It’s usually the beginning of future potential mines coming up.
In the Prospectors Assistance Program I see that there’s a cut of $50,000.
Could you give us an overview on that?
In 1999 or 2000 we started the Prospectors Assistance Program and it has been well utilized.
There has been a decrease in the number of prospectors but I can tell you that it’s very well utilized.
If we have we have a surplus in an amount and if there’s an increase in the prospectors applying for prospecting licenses we could put in more money here in order to assist everyone.
The reason why there’s a decrease is because there is a decrease in the number of prospectors.
Mr. Alagalak (interpretation): Thank you, Mr. Speaker, Mr. Chairman, I’m sorry.
In April the people out there will find out exactly how much is available for prospectors assistance.
If they hear that there is a decrease in the number of prospectors some will just quit.
In 2004-05, it was very popular and there was a lesser number prior to that.
There was a time when we heard that there were gems and valuable stone being found and then all of a sudden there was an increase.
The prospectors enjoy going out on the land and prospecting.
There’s an excitement in the air and they’re able to look.
If there’s an increase in the amount, they can go out prospecting, charter airlines to go to particular places.
There are 26 communities and I’m sure that there are quite a number of people who don’t know this assistance program.
Is it possible for the minister to increase this amount?
An individual can access $8,000 and we’re basing this amount on last year’s number of prospectors. Due to that, there is a decrease.
If the $100,000 is too small for this year we can always increase the amount if there’s a surplus in other programs that are under-utilized.
That’s what we have planned.
We’re keeping it as flexible as we can. If there’s an increase in prospectors then we will put in more money. It’s a flexible program.
Mr. Alagalak (interpretation): Thank you, Mr. Chairman. Thank you, minister, for that response.
There are going to be some surpluses but we will probably know when all the snow is gone. We will see the remnants fallen to the ground by that time from different programs.
In our review, Mr. Minister, it would increase by double, if there were some findings, I am sure that there will be an increase in the numbers so what I would suggest to increase is to double this amount.
From the Inuit Qaujimajatuqangit point of view, there are people who want to be looking in the banks prospecting for gold and we hear that there is lots of moisture on the ground.