EdinburghNLP/nunavut-hansard-plusplus huggingface dataset:
It has been a very hard, challenging six and seven months for all of us, and I appreciate the help and input from all the standing committees and my colleagues.
We will be taking a five-minute break.
>>Committee recessed at 16:26 and resumed at 16:37
Bill 02 – Appropriation (Operations & Maintenance) Act, 2014-2015 – Economic Development and Transportation – Consideration in Committee
I would like now to ask Minister Kuksuk.
Do you have officials you would like to appear before the committee?
For the record, Minister Kuksuk, please introduce your officials.
Good afternoon to the people who are watching the proceedings.
My fellow Nunavummiut, today I will be here with my officials for Economic Development and Transportation. (interpretation ends) To my left is Pauloosie Suvega, Associate Deputy Minister and to my right, Deputy Minister Robert Long. (interpretation) Although she’s not sitting beside us, Tanya Winmill, Director of Finance and Administration, will be here with us.
Those are the officials, Mr. Chairman.
Please proceed with your opening comments, Minister Kuksuk.
It is my pleasure to appear before the Committee of the Whole to present the 2014-15 operations and maintenance budget for the Department of Economic Development and Transportation.
I am pleased that we will be fulfilling important priorities from our government’s mandate, Sivumut Abluqta – Stepping Forward Together, and continuing to build Nunavut’s economy and manage our transportation system.
To help answer my colleagues’ detailed questions on program and financial matters, I have with me (interpretation) officials that I mentioned earlier.
(interpretation ends) The budget we are reviewing today is for grants and contributions, compensation and benefits, and other expenses.
The total budget I am proposing for the 2014-15 fiscal year is $60,682,000, which represents a decrease of $395,000 compared to the budget for 2013-14.
As I explained to the Standing Committee on Community and Economic Development, there are housekeeping changes to our grants and contributions and an increase of just under $1 million to the contract services budget for the Transportation Branch, which is offset by a decrease of just under $1 million to the Transportation Branch’s utility costs.
So there are no large program changes in 2014-15, but we will be focusing on implementing the government’s new mandate, Sivumut Abluqta – Stepping Forward Together.
One of the priorities set out in Sivumut Abluqta is economic growth through responsible development across all sectors. This priority commits the Department of Economic Development and Transportation to a number of activities, including:
Ensuring the application of sound regulatory processes to attract and manage responsible resource development;
Encouraging and supporting economic development initiatives that build on and add value to identified areas of potential, including the arts and tourism sectors;
Promoting entrepreneurship and business development by simplifying rules and making it easy for small business to comply; and
Supporting the development of current and future Nunavut artists in all media to produce high-quality work and to market their work across Canada and around the world.
There are two additional actions that are also particularly important for the department and these are:
Reviewing our programs to determine what is working well and what needs improvement; and
Ensuring that recipients of public funds are providing the outcomes we expect from our investment.
Over the course of this fiscal year, we will pay particular attention to these commitments. We are committed to effective and efficient government, and as a department that spends almost $22 million in grants and contributions, we recognize that we have a special responsibility both to review our programs and to ensure that funding recipients are accountable to the public.
Implementation of the department’s existing programs this year will be guided by Sivumut Abluqta, but we will use this year to review our programs and ensure that they are focused on implementing the mandate and enabling Nunavut’s success.
The department’s business plan for the 2014-15 fiscal year sets out a number of priorities, including:
Working within the Nunavut Economic Forum, the department will facilitate the Sivummut IV conference and release the renewed Nunavut Economic Development Strategy;
Following up on the comprehensive review of the NNI Policy, the department is leading work towards a renewed preferential procurement policy;
The department will use the results of our review of the Sanaugait arts and crafts strategy to support the development of current and future Nunavut artists in all media to produce high-quality work and market their work across Canada and around the world;
As part of the implementation of Nunavut’s tourism strategy, the department will work towards amendments to the Travel and Tourism Act and begin working on a cruise ship and yacht management plan;
We will publish the results of the very successful carving stone deposit evaluation project so that knowledge of new and existing carving stone resources is transferred to communities;
Our Motor Vehicles Division will implement the Nunavut Motor Vehicle Inspection Program for commercial carriers and begin the process for enforcing the School Bus Regulations;
Nunavut Airports will work with NAV Canada to identify community airports which would benefit from the installation of GPS systems; and
Here in the capital, we will transfer responsibility for operations of the Iqaluit International Airport to the P3 private partner and begin monitoring their compliance with all provisions of the construction and operations plans for the airport, including Inuit employment and training provisions.
Mr. Chairman, the department’s proposed main estimates and business plan for the 2014-15 fiscal year are consistent with our new government’s mandate and reflect the department’s ongoing mandate to develop Nunavut’s economy and maintain and improve Nunavut’s transportation system.
Does a member of the Standing Committee on Community and Economic Development have opening comments?
I am pleased to provide opening comments on behalf of the Standing Committee on Community and Economic Development on its review of the proposed 2014-15 main estimates and 2014-17 business plan of the Department of Economic Development and Transportation.
The standing committee notes that the department’s proposed 2014-15 operations and maintenance budget of $60,682,000 has decreased by approximately 0.6 percent since the introduction of the department’s 2013-14 main estimates. The number of positions in the department remains at 142.
The standing committee notes that the department’s business plan indicates that the Poverty Reduction Division of the Department of Family Services has “completed an options paper” on the government’s Country Food Distribution Program, which is administered by the Department of Economic Development and Transportation.
The standing committee encourages the Department of Economic Development and [Transportation] to work closely with the Department of Community and Government Services to address the issue of assisting municipalities to identify funding for the ongoing operation and maintenance of community freezers acquired under the program.
The department’s proposed 2014-17 business plan indicates that one of its priorities for the 2014-15 fiscal year is to “draft a renewed policy to implement Article 24 of the Nunavut Land Claims Agreement, implementing the changes identified in the 2012-2013 comprehensive review of the NNI Policy.”
The standing committee also notes that the extent to which the NNI Policy applies to the contracting and procurement activities of the Qulliq Energy Corporation remains unclear.
This issue was discussed during the hearings on the 2012 Report of the Auditor General of Canada to the Legislative Assembly on Procurement of Goods and Services, in addition to the final report on the 2012 NNI Comprehensive Review, which was tabled in the Legislative Assembly on September 16, 2013.
The standing committee notes that the 2008-09 Annual Report of the NNI Contracting Appeals Board was not tabled in the Legislative Assembly until March 22, 2010.
The standing committee urges the minister to table the 2009-2010, 2010-11, 2011-12, and 2012-13 annual reports of the Contracting Appeals Board in a timely manner.
Responsibility for the Government of Nunavut’s Energy Secretariat was transferred from the Department of Executive and Intergovernmental Affairs to the Department of Economic Development and Transportation on July 1, 2012. The draft 2014-17 business plan of the Department of Economic Development and Transportation indicates that one of its priorities for the 2014-15 fiscal year is to “provide leadership and oversight in implementing” the government’s Energy Strategy, which was originally tabled in the Legislative Assembly on October 30, 2007.
However, the Affordable Energy Fund is not referred to in the draft 2014-17 business plan of the Department of Economic Development and Transportation.
The Department of Economic Development and Transportation administers a number of policies concerning its funding programs, including the Community Transportation Initiatives Program Policy, the Strategic Investments Program Policy, the Small Business Support Program Policy, and the Country Food Distribution Program Policy.
However, a number of the department’s policies appear to have expired.
The department’s draft 2014-17 business plan indicates that one of its priorities for the 2014-15 fiscal year is to “undertake program reviews to plan activities to promote economic growth through responsible development across all sectors and continue to promote a regulatory regime that will attract responsible resource developers.”
The standing committee notes that the government’s two central agencies, the Department of Finance and the Department of Executive and Intergovernmental Affairs, will be jointly managing an “external review of government programs” during the 2014-15 fiscal year.
The standing committee emphasizes the importance of ensuring that the government’s different program review initiatives are undertaken in a coordinated manner.
The Department of Economic Development and Transportation’s proposed 2014-15 main estimates include $600,000 in core funding for the Nunavut Business Credit Corporation and $3,358,000 in core funding for the Nunavut Development Corporation.
The 2013-14 ministerial letters of expectation to Crown corporations and agencies were tabled in the Legislative Assembly on September 17, 2013.
The responses to the letters of expectation were also tabled on that date.
The standing committee encourages the timely tabling of the 2014-15 ministerial letters of expectation.
The 2013-14 ministerial letter of expectation to the chairperson of the corporation’s board of directors outlined a number of priorities for the corporation.
These included direction to “pursue divestment of Nunavut Development Corporation majority ownership at Pangnirtung Fisheries” and to “critically assess the performance of any existing subsidiary company from a cost per job creation position and take corrective action necessary for those companies deemed ineffective according to the corporation’s own investment guidelines.”
The Department of Economic Development and Transportation’s new Tourism Strategy was tabled in the Legislative Assembly on May 16, 2013. The department’s proposed 2014-15 budget for its Tourism Development Program remains at $1.8 million.
This budget has been used to provide core funding to Nunavut Tourism.
The standing committee has requested the minister to table a copy of the department’s current contribution agreement with Nunavut Tourism.
The department’s draft 2014-17 business plan indicates that one of its priorities for the 2014-15 fiscal year is to “review the Travel and Tourism Act and regulations.”
The department’s new Tourism Strategy indicates that amendments to the legislation are needed to provide “a licensing system that reduces overlaps with other related licensing processes, an effective mechanism for collecting current data from licensed tourism operators, and policies and regulations to address the rapid growth of cruise ship and yacht traffic.”
Although the standing committee recognizes the jurisdictional complexities associated with the regulation of cruise ship activity, it strongly supports the introduction of measures to more closely monitor activity in this area, including the protection of sensitive sites from damage associated with cruise ship traffic.
The standing committee also supports initiatives to work with communities to identify strategies to increase the economic benefits from cruise ship visits.
The department’s 2013-16 business plan indicated that two of its priorities for the 2013-14 fiscal year were to “complete [Development Partnership Agreement] negotiations with Baffinland for the Mary River Project” and to “continue Development Partnership Agreement negotiations with Agnico-Eagle Mines for Meliadine.”
The business plan also noted that “similar discussions are anticipated for AREVA’s Kiggavik Project.”
The department’s draft 2014-17 business plan indicates that “negotiations have yet to be started by either party” with respect to the Mary River Project.
It also indicates that “discussions will continue with Agnico-Eagle Mines on a Development Partnership Agreement for the Meliadine project.”
The standing committee also notes that the department’s draft 2014-17 business plan indicates that one of its priorities for the 2014-15 fiscal year is to “promote a regulatory regime that will attract responsible resource developers, including by developing guidelines to clarify expectations during socio-economic impact assessments, developing positions on transportation routes and developing positions on oil and gas development.”
On June 5, 2009, the Nunavut Transportation Strategy was tabled in the Legislative Assembly.
The department’s proposed 2014-17 business plan indicates that one of its ongoing priorities is to “actively lobby the Government of Canada on remaining harbours identified in the 2006 Small Craft Harbours report: Repulse Bay, Chesterfield Inlet, Kugaaruk, Qikiqtarjuaq, Clyde River and Pond Inlet.”
Another departmental priority is to “work with communities and port proponents to develop plans for marine infrastructure in communities where port infrastructure has the potential to achieve financial sustainability and multi-modal linkages.”
The standing committee continues to urge the department to closely examine options for feasible and affordable improvements to existing community marine infrastructure that focus on the safety of boaters and protection of equipment, and which can be undertaken with available resources.
The department’s draft 2014-17 business plan indicates that two of its priorities for the 2014-15 fiscal year are to “work with NAV Canada to identify community airports which would benefit from the installation of GPS systems,” and the installation of the GPS systems would cost the department little or no cost as NAV Canada would bear the cost, and also to “update the 20-year capital needs assessment for Nunavut airports.”
The standing committee supports both initiatives.
Earlier this year, hearings were held on the Report of the Auditor General of Canada to the Legislative Assembly on the Safety of Schools and Childcare Facilities in Nunavut.
The standing committee notes that one of the Department of Economic Development and Transportation’s priorities for the 2014-15 fiscal year is to “implement the first phase of a two-phase process for enforcing the School Bus Regulations [under the Motor Vehicles Act].”
The standing committee recommends that the department review these regulations with the goal of establishing reasonable and enforceable requirements that focus on issues of mechanical safety.
The department’s proposed business plan also indicates that it will “continue to work with the Government Liaison division [of the Department of Executive and Intergovernmental Affairs] on improving the delivery of motor vehicle services throughout Nunavut.”
Mr. Chairman, the issue of improving the efficiency and delivery of general identification cards and driver’s licences has been raised in the Legislative Assembly on numerous occasions.
I would also note that the department’s 2014-15 capital estimates include $2.8 million in funding for the replacement of the government’s motor vehicle information system.
The Department of Economic Development and Transportation’s 2014-15 main estimates include a total of $21,732,000 in funding for grants and contributions programs.
This constitutes approximately 35 percent of the department’s total operations and maintenance budget.
One of the goals contained in the government’s new mandate statement is to “ensure recipients of Government of Nunavut funds are providing the outcomes we expect from our investment.”
The proposed business plan of the Department of Finance indicates that one of its priorities for the 2014-15 fiscal year is to “review the processes for monitoring grants and contributions and ensure that the appropriate controls are in place to assure good value for money from grant and contribution recipients.”
The standing committee looks forward to reviewing progress in this area.
Mr. Chairman, that concludes my opening comments on the proposed 2014-15 main estimates and 2014-17 business plan of the Department of Economic Development and [Transportation].
Do members have any comments on the opening comments?
I have not too many; just a few.
In regard to the Energy Secretariat, what’s the main function of this office?
Thank you, Mr. Chairman. Comments?
Oh, I’m ahead of myself.
Chairman: Just comments.
We will now proceed to the page-by-page review of the departmental estimates starting with page K-4.
Economic Development and Transportation. Branch Summary. Corporate Management.
My apologies. I got ahead of myself here. I got so excited to look at economic development and transportation.
What is the main function of the Energy Secretariat? I guess I’ll start off with that as my first question.
This question, by my colleague, in terms of clarifying the goals (interpretation ends) it’s responsible for the implementation of the energy strategy to address the territory’s dependency on imported oil for heating, power, and transportation.
(interpretation) This secretariat, Energy Secretariat, is given to the Department of Economic Development and Transportation as a responsibility for it’s day to day operations.
If his office were…first of all, how many PYs do you have in this office?
I’ll ask that first.
On the question of the operation and maintenance of this office, I can have my deputy answer that, if you don’t mind, Mr. Chairman?
Chairman: Thank you. Mr. Long.
Mr. Long: Thank you, Mr. Chairman. There are four positions in that secretariat, two of which are filled at the moment.
Ms. Angnakak: Thank you, Mr. Chairman. I’m just wondering with the two positions that are filled, are they directly involved with the proposed hydro project that’s been on the government books for a few years now?
My deputy can address the question.
The Qulliq Energy Corporation is the lead on that file. We have offered support and encouragement but it’s actually their research that’s being done.
Can the minister tell us then what this office is busy doing at the present moment?
I apologize for taking a while to answer the question.
I had trouble finding the specific answer to that specific question.
I would like my deputy, Mr. Long to answer that question.
These two employees work inside the office. As an example, they work with the Qulliq Energy Corporation in reviewing certain things. We became part of the Arctic Energy Alliance that reviews energy issues in the Arctic in terms of what the other arctic countries are doing, for example, in Greenland.
I think there are probably more questions there, but I’m going to go on to the Community Economic Developers Association. What is the department’s relationship with the hamlets when it comes to economic development officers?
Chairman: Thank you. Minister Kuksuk.
There could be many varied answers in terms of what the economic development department does in cooperating with the hamlets.
Some of those things relate to, for example, many hamlets have community economic development employees and we provide funding to them.
There are also financial resources that the municipalities provide for various economic development projects, such as trails and projects that aren’t very costly like minor development projects or minor community projects. They can receive funding through community economic development.
I think the reason or the purpose of providing funding to hamlets to support economic development officers is to help the communities create new businesses.
I’m wondering if the department has the information to tell us how many new businesses have been created in Nunavut under this initiative.
I was using just a very few examples in relation to what community economic development officers do. We’re mainly looking at small businesses and small projects. We provide funding so that municipalities can do those things.
However, with respect to the specific question, the information is not at our fingertips at this exact moment.
I’m wondering if the department will be doing a review on the value or to see if we provide enough money, even to the hamlets, to provide the service or to review how many businesses are being created or if the initial purpose of this is actually being carried out.
Hon. George Kuksuk (interpretation): Thank you very much, Mr. Chairman. I again thank the member for that question.
Mr. Chairman, the way we have discussed this is by way of the department stating that they will be reviewing what businesses are operating, what businesses are in the process of failing, or local businesses that are not running so good. We will be reviewing those programs when we do our program review.
When we provide to the municipalities, they have to make progress reports as to what those local businesses are doing, what those projects are creating and there are many of them….
Which could be interrelated to each other which would make us be able to assess which areas of local businesses may be running well.
We will look forward to seeing more development and finding out more about the businesses.
I’m going to go on to the Nunavut Business Credit Corporation. How many new businesses have been created or supported through the Nunavut Business Credit Corporation?
I don’t have the information so I will get my deputy to respond to that question.
Mr. Chairman, through you, if you don’t mind.
I can’t answer that question directly but I can give you some information that will be helpful.
The Nunavut Credit Corporation has had $25 million available to it as a loan fund.
Several years ago that was at about $13 million was out in loans. Today all $25 million of that has gone out in loans and they are currently processing more and have gone back to the financial management board to draw down another $15 million from the maximum of $50 million they can have.
They have been very busy and they are doing their job.
Thank you for that. It’s good to hear.
It’s a lot of money.
I’m going to go on to country food distribution. When we talk about Nunavut’s poverty reduction efforts and I’m looking at your business plan of 168.
I’m wondering if the Country Food Distribution Division of your department will be transferred to Family Services under their Poverty Reduction Division?
Mr. Chairman, I would like to get the Associate Deputy Minister, Pauloosie Suvega, to respond to that question through you if you don’t mind, Mr. Chairman?
It is not going to be transferred from our department but what we do is we work with the Department of Family Services and the Department of Environment with respect to country food distribution. We have to do a little bit more review on how we are going to be spending money with respect to country food distribution.