EdinburghNLP/nunavut-hansard-plusplus huggingface dataset:
065 – 2(2): Letter to the Information and Privacy Commissioner and her Response (Peterson) 824
066 – 2(2): List of Capital Needs for the Hamlet of Grise Fiord (Barnabas) 8254
067 – 2(2): Future of the Nanisivik Mine Site (Barnabas) 825
068 – 2(2): Return to Oral Question 005 – 2(2) DNA Testing (Clerk) 825
069 – 2(2): Qulliq Energy Corporation Third Annual Report for the Year Ended March 31, 2004 (Picco) 825
070 – 2(2): Government of Nunavut Petroleum Products Specifications (Kilabuk) 825
071 – 2(2): Letter to Tagak Curley in Regards to Bad Gasoline in Rankin Inlet (Curley) 8265
009 – 2(2): Appointment of the Languages Commissioner – Notice (Netser) 826
009 – 2(2): Appointment of Languages Commissioner of Nunavut (Netser) 826
007 – 2(2): Tabled Document 053 – 2(2) Referred to Committee of the Whole (Tootoo) 827
010 – 2(2): Adjournment for the Day (Tootoo) 832
Bill 8 – Appropriation (Operations and Maintenance) Act 2005-2006 – First Reading 829
Bill 8 – Appropriation (Operations and Maintenance) Act, 2005-06 – Second Reading 831
Friday, Februay 25, 2005
I would ask Mr. Evyagotailak to say the opening address.
Speaker (interpretation): Welcome, Mr. Premier, Members of the Legislative Assembly, members of the Executive.
We have received correspondence dated February 20, 2005, and addressed to Jobie Nutarak, Speaker of the Nunavut Legislative Assembly.
“I wish to advise that I recommend to the Legislative Assembly of Nunavut the passage of the following Bills during the second session of the Second Assembly:
Bill 8, Appropriation Act – Operations and Maintenance, 2005 – 2006
Bill 9, Supplementary Appropriations Act Capital 3,, 2003, 2004 and 2005
Bill 10, Supplementary Appropriation Act Operations and Maintenance 3, 2004-2005.
Lena Metuq,
Deputy Commissioner of Nunavut.”
That was the correspondence we received.
Honourable colleagues, and for Nunavutmiut today, I am pleased to table the second budget of the Second Legislative Assembly.
As we prepare for the second year of this government, I want to emphasize to Members and all Nunavutmiut that, although we have made significant progress in a number of areas, we must bear in mind that Nunavut is a young territory.
This means that at times, there are and will be difficulties as we move forward.
We have the opportunity to ensure that an efficient and accountable government is provided in our territory.
This is a significant challenge and comes with tremendous responsibilities - responsibilities that flow from the public service, to cabinet to you, the members of the Legislative Assembly, and ultimately, Nunavutmiut.
We have many initiatives to strengthen financial management and accountability within the public service.
Many measures for better assessment and control of the spending of government revenues are being put in place.
Mr. Speaker, since my first budget address, three major positive developments in which Premier Okalik has played a prominent role took place.
There were two First Ministers’ meetings in the fall of 2004 that benefited us greatly.
The first one in September dealt with health care funding issues, the second in October considered Equalization and Territorial Funding Financing transfers to provinces and territories.
As well, the Prime Minister and the territorial premiers announced the development of a Northern Strategy in December 2004.
The strategy will permit us jointly to define new ways of working with the federal government to achieve our objectives in the years ahead.
Mr. Speaker, our budget process outlines how we as a government will meet our responsibilities to deliver public services to Nunavumiut and to manage our financial situation in the coming year.
It establishes a fiscal framework and identifies financial priorities consistent with the priorities of the government for our current term as set out in Pinasuaqtavut.
While Pinasuaqtavut sets out the priorities, it is this budget that provides the blueprint for how we use our financial resources in the coming year to realize our priorities.
Implementing these priorities will enable us to expand our economy, build a stronger cultural foundation based in Inuit societal values and continue with our efforts to improve education, housing and health care.
We will continue to build a positive business climate in Nunavut. Having a strong private sector and a strong public sector will ensure that we reach our goals.
Our efforts will continue to be shaped by our full commitment to the Nunavut Land Claims Agreement.
In carrying out our work we will be guided by the eight principles in Pinasuaqtavut that embody Inuit societal values.
We will use these important principles of Inuit Qaujimajatuqangit in our efforts to make our government and the programs and services we offer more responsive to the people we serve.
Departments are currently completing work plans to implement Pinasuaqtavut priorities.
These plans will be both reflective of these principles and tied to the fiscal and economic blueprint that I am providing to you today.
Once these plans are developed, they will form the basis of a three year fiscal plan we will be detailing in the 2006 budget and business plan a year from now.
The input of Members of the Legislative Assembly into this medium term fiscal plan will be sought through a fiscal planning retreat proposed for the fall of 2005.
I will now provide a fiscal update for the 2004 – 2005 year before outlining our plans for the coming year.
Fiscal Performance for 2004 – 05
Mr. Speaker, our projected revenues for 2004 – 05 are $45.4 million higher than projected in my first budget in May 2004.
This increase in revenues results from a new framework for Territorial Formula Financing agreed to as a result of the First Ministers’ Meeting in October.
The additional revenue has given us the flexibility to deal with the fuel costs and pressures in health, education and other key expenditure areas.
As a result, our revised expenditure projections for 2004 – 05 based on approved appropriations to date are $40.9 million higher than originally budgeted.
The net impact of these revenue and expenditure adjustments means that the projected deficit changes from the 2004 budget level of about $13 million to a current level of $8.4 million.
However, additional requests for expenditure appropriations for the current year will be brought forward for consideration by the Legislative Assembly later in this Session.
Included will be a request for an extra appropriation to deal with the financial requirements of the Qulliq Energy Corporation up to March 31, 2005.
The challenges of our new territory are large.
Much progress has been made, but the hurdles we face as a new territory remain great.
However, we must renew our efforts to deal with these challenges.
Patience and persistence will lead to success.
The outcome of the September First Ministers’ Meeting on health recognized that the delivery of health care North of 60 was significantly different from the model that operates South of 60.
The federal government provided additional funding to help us deal with medical travel.
In the South, there are roads to access hospitals and basic health care needs.
In the North, we use airports and landing strips.
People understand this when they come to visit us.
But, knowing the problems does not automatically result in solutions.
It took a persistent and constant presentation of our facts before additional monies were made available to us.
Similar action was required to deal with per capita funding.
This concept simply does not work for jurisdictions with small populations, particularly for Nunavut.
Only after we patiently made our case at every opportunity did the federal government change its approach in allocating new federal funding in important areas such as infrastructure and most recently in the sharing of the federal gas tax.
Mr. Speaker, of even greater significance is the need to succeed in getting our fair share of the wealth from our abundant natural resources.
To achieve this, we expect soon to begin discussions in earnest with the federal government about devolution that will bring about this result.
At the same time, the government will continue to lobby at the national level for additional funding and the lifting of various barriers to the development of our economy, especially in the case of fisheries.
The recent boom in natural resource exploration activity within Nunavut gives us greater hope that in the future, we will be more fiscally independent and will not need to make a strong case for federal transfers.
We all look forward to that time.
But here again, we must be persistent.
We can only benefit from our natural resources if we have province-like powers.
In order to get these powers, we need a devolution agreement with the federal government.
At the launching of the Northern Strategy initiative in December 2004, the Prime Minister of Canada indicated that he would support our Premier’s efforts in advancing this important process.
We know already that it will not be easy to negotiate a deal that fully benefits Nunavumiut.
But, Mr. Speaker, we accept this challenge because if we do not persistently pursue it, we will always be relegated to being heavily dependent on federal transfers.
This is our single largest challenge.
It is key to solving and dealing with social and economic needs in our communities – whether in housing, health or education.
We are a capable and competent people.
Most of us are Inuit, but we are enriched by the wide variety of other Canadians and world peoples that find our land so appealing.
If we are ultimately to be masters of all the responsibilities over this vast area of Canada, we must demonstrate our capabilities as Nunavutmiut and the fact that we are fully accountable for our actions.
Mr. Speaker, this high degree of accountability is evident in the fiscal plan I will now outline.
Fiscal Plan for 2005 – 06
Each year through the budget process the government allocates its available resources for programs and sets out an overall fiscal plan.
The goal of the process is to identify and use resources in the most efficient manner to address our priorities.
Since 1999 the Government of Nunavut has consistently maintained a prudent approach to the management of its finances that has allowed us to avoid large accumulated deficits and the build up of significant levels of additional direct or guaranteed debt.
Mr. Speaker, I am happy to report that the 2005 Budget will be balanced.
After taking into account estimated appropriation lapses mainly for capital projects of about $27 million and a contingency of $60 million, we are projecting a surplus of approximately $3.6 million for 2005 – 06.
Part of the contingency is set aside to cover additional costs to government related to electricity.
On February 28, Minister Picco and I will announce the electricity rate increases which will be granted to the Qulliq Energy Corporation and changes to the Nunavut Electricity Subsidy Program.
The final Report from the Utility Rates Review Council also will be made available.
At that time I will be providing details of the effects these changes will have on government operations and maintenance expenditures, including subsidies to the consumer.
A $15 million provision is contained in our fiscal framework for the cost to government of these changes, including any further financial support the corporation may require in 2005 – 06.
Mr. Speaker, a major objective of this government is to continue to ensure that electrical energy is available to Nunavutmiut at the most affordable rates possible.
It is also critically important to make decisions that will lead to a much more financially secure Qulliq Energy Corporation.
In the medium term we expect to be able to meet all our operating requirements and maintain a relatively aggressive capital expenditure program within the constraints of a balanced budget.
We are aware, however, that budgetary deficits may result from unanticipated events such as a slower than expected level of economic activity.
This can result in a combination of lower revenues and higher expenses.
Currently we have approximately $53.5 million available under the borrowing limit of $200 million.
To date $141 million has been used to guarantee debt of the Nunavut Housing Corporation and the Qulliq Energy Corporation.
We also have $5.5 million of direct debt for the mortgage on the Sivummiut office building in Iqaluit.
A case can be made for borrowing to fund capital expenditures given that such outlays should yield benefits in future years to offset the interest and other costs associated with this method of funding investment.
We have not seriously considered this approach at this stage in our development.
We remain hopeful that the borrowing authority of $200 million imposed on Nunavut as part of the federal Nunavut Act will remain adequate to look after our financing requirements over the medium term.
As prudent fiscal managers, Mr. Speaker, we want to avoid high debt levels and the associated high debt servicing costs.
Revenues for 2005-06
For the coming year our revenues are projected to be $972.4 million.
This represents a 5.4 percent increase over the 2004-05 revised revenue forecast.
Mr. Speaker, this increase is due mainly to increases in federal transfers.
We are expecting our Territorial Formula Financing transfers to provide an additional $27.3 million and other transfers stemming from the September First Ministers’ Meeting on health to increase by about $15.5 million.
In total, we expect to receive an additional $42.8 million in federal transfers this coming fiscal year.
Our own-source revenues also are expected to increase in 2005-06.
Increased income taxes and other taxes and fees are expected to provide $81.5 million to our revenues.
This represents an increase of about $7.2 million above what these revenue sources brought in last year, with no increases in tax rates.
Mr. Speaker, our taxes remain the lowest in the country.
The federal government has announced that it will provide $40 million of additional funding to Nunavut over three years.
This will provide us with additional capacity to help achieve the objectives of the Northern Strategy in the short term.
These funds have not yet been included in our fiscal framework.
The vast majority of our revenues still come from the federal government in the form of transfers.
The Formula Financing Arrangement between Nunavut and Canada expired March 31, 2004.
In the lead up to the October First Ministers’ Meeting we were able to negotiate increases in the base funding we receive from this important source.
At the time of the First Ministers’ Meeting in October, the federal government announced a new framework for Equalization and Territorial Formula Financing.
The new framework established a floor for the Formula Financing Arrangement for 2004-05 and 2005-06 and sets an escalator of 3.5 percent for the floor after 2005-06.
At the same time, the federal government announced that an expert panel would be set-up to review the Formula Financing Arrangement and to determine how funding should be allocated amongst the three territories.
The expert panel will provide its report before the end of the coming fiscal year.
While the Government of Nunavut is in a relatively good fiscal situation, we must continue to show fiscal discipline and to consider all our expenditures carefully.
This high degree of fiscal responsibility is reflected in the expenditure plans for 2005-06 that I will now present.
Expenditures for 2005-06
Mr. Speaker, total expenditures in the 2005 Budget are $935.8 million, of which about 89 percent or $833.9 million is for operations and maintenance expenditures.
The remaining 11 percent, or approximately $102 million, is for spending on capital projects.
Mr. Speaker, to reflect the important role the Department of Education plays in both education and the delivery of social services the departmental operations and maintenance budget has been increased to $174.2 million in 2005-06.
This represents a 10.5 percent increase from the 2004-05 budget.
Minister Picco has an ambitious plan for the department for the coming year.
On the education side this plan includes:
developing a new school funding formula to reflect truly the needs of schools with implementation over the next three years,
enhancing services available to special needs students, and
initiating a ‘Young Parents Stay Learning’ program to assist with child care expenses for parents 18 years and younger.
With regard to social services the plan includes:
increasing the social assistance food allowance by five percent,
exempting co-op dividends from reportable income, and
coordinating homelessness issues and services.
Work called for in the Bilingual Education Strategy will be implemented and multiple graduation options for high school students will be developed.
As well, the department will undertake feasibility studies needed to consider the possibility of trade and cultural schools for Nunavut.
Mr. Speaker, the 2005-06 operations and maintenance budget for the Department of Health and Social Services has increased to $215.2 million.
This represents an 18.1 percent increase from the department’s 2004-05 budget.
Minister Brown will introduce a new direction for the provision of health care in the coming year called Closer to Home.
This initiative will strengthen community capacity in delivering health care, and expand the scope of services currently being provided locally in Nunavut.
This new approach to delivering health care will be simple, accessible and responsive to the needs of Nunavutmiut.
It is very considerate of Inuit Qaujimajatuqangit and the goals of Pinasuaqtavut.
Mr. Speaker, the new health centres in Rankin Inlet and Cambridge Bay, are a practical example of the Closer to Home vision in action.
These new facilities will open during 2005 and will introduce more and better health services for these communities, and indeed for the Kitikmeot and Kivalliq.
Construction will continue on the Qikiqtani General Hospital in Iqaluit, which is scheduled to open in early 2007.
To support the new approach to health care, an education and training program will be developed so that Nunavutmiut can begin to pursue careers as health care professionals.
This program will include a Continuing Education Strategy that will enhance the skills of our current staff.
In the coming year, extraordinary efforts will be made to recruit new nurses and doctors for the territory.
A recruiting firm is working to help us find 100 new nurses by September 2005.
As well, eight additional doctors will be hired.
First priority will be given to filling positions at the health centres in Cambridge Bay and Rankin Inlet.
This summer a new family practice clinic will be opened in Iqaluit.
This new clinic will be staffed by nurse practitioners and supported by doctors providing much needed service to the growing population of our capital.
Mr. Speaker, in order to provide better care for expectant mothers, the Midwifery and Maternity Care Services offered by the department will be expanded.
In 2005-06, six new positions will be added so that these services can be provided in more communities.
In addition, a maternity care training program will be developed in partnership with the Nunavut Arctic College so that Nunavutmiut can be trained as maternity care workers.
Finally, Mr. Speaker, a comprehensive strategy will be developed to ensure that elders receive better quality health care and support.
This will include a plan to create 24-hour elders care facilities in more communities.
Mr. Speaker, the Housing Corporation will continue to increase the Nunavut housing supply in the coming year.
The corporation will spend a total of $181.2 million in 2005-06 when contributions from Canada Mortgage and Housing Corporation and Infrastructure Canada’s Strategic Infrastructure Fund are included.
At least 80 units will be built in Nunavut communities this construction season under Phase Two of the Infrastructure Fund.
Mr. Speaker, this means that in total 160 new public housing units will have been constructed under this initiative.
To help ensure adequacy and suitability of private homes for Nunavutmiut, additional funding will be made available to a number of popular initiatives the corporation offers such as the home repair program.
In the new year, Minister Kilabuk, in partnership with Nunavut Tunngavik Incorporated, will continue to lobby the Federal Government to partner with us in the implementation of the Nunavut Ten-Year Inuit Housing Action Plan.
The operations and maintenance budget of the Department of Justice will be increased by $5.6 million to $54.6 million for 2005-06.
In the coming year, the department will:
increase the funding of the circuit court system to ensure Nunavutmiut have access to the justice process in communities,
provide more training for justices of the peace and coroners, and
increase the number of labour standards audits.
As well, additional funding will be provided to ensure that the growing number of court-ordered mental assessments of accused can be carried out in a timely manner.
Mr. Speaker, as Members know, the Akitsiraq Law School initiative is nearing completion.
Minister Okalik is proudly looking forward to this summer graduation of Nunavut’s first locally trained lawyers.
In order to ensure the successful start of the graduates’ legal careers, the Department will fund five of the 11 potential graduates for six months of their articling after graduation.
The Department of Justice provides important programs to our communities.
These programs cover a wide variety of issues from public safety to settling disputes between individuals.
The department will increase its funding generally to communities in the coming year and specifically will ensure that the spousal assault program in Rankin Inlet continues.
Additional funding also has been set aside to ensure that elders who provide guidance and counseling to youth and adults are appropriately compensated for their contributions.
Mr. Speaker, the Department of Culture, Language, Elders and Youth will continue to preserve and enhance Nunavut’s culture and to provide healthy active living opportunities for Nunavutmiut.
In the coming year, Minister Tapardjuk will lead the consultations on developing made-in-Nunavut language legislation.
The department will continue to hold terminology workshops to research and develop enhancements in our languages.
A new elder advisor will also provide cultural input to the department and coordinate community-based projects that focus on incorporating Inuit societal values.
These projects will be designed with the input from the Department of Justice to accommodate the need for restorative justice in our communities.
Mr. Speaker, the department will continue to work along with Nunavut Tunngavik Incorporated and Inuit Heritage Trust to identify funding sources so we can build a Nunavut Heritage Centre.
To ensure that Nunavut continues to participate in the Arctic Winter Games and other national games, additional funding will be provided to Sport Nunavut.
In 2005-06, the department will provide $5.4 million in grants and contributions to communities to support capacity building in the areas of culture, heritage, language, communications, the arts, sport, recreation and leisure.
Mr. Speaker, in our efforts to develop a sustainable economy in which Nunavutmiut are to be in control, we face many challenges.
To meet these challenges, Minister Simailak will continue working with all parties to implement the Nunavut Economic Development Strategy and to develop a positive business environment.
An example of this is our work with Indian and Northern Affairs Canada to develop a process and plan to invest our share of the $90 million provided in the 2004 federal budget for economic development in the North over four years.
The department will establish a Nunavummi Nangminiqaqtunik Ikajuuti (NNI) Secretariat in the new year to coordinate the implementation of the incentives built into the NNI Policy.
We are confident this will help ensure the NNI Policy becomes more effective in promoting increased participation of Inuit in the workforce and in supporting the growth of Inuit business.
In the upcoming year, the department will focus on two key initiatives: