EdinburghNLP/nunavut-hansard-plusplus huggingface dataset:
As we all know, the moving of the office just came out in recent days, so we haven’t done the costing of the moving of the office yet, but the department is in the process of doing that at the moment.
Would the minister commit to letting the Members of this Assembly know once they figure out what those numbers are going to be for the relocation, and also the amount and where that money is going to be coming from?
Hon. Patterk Netser: Yes. Thank you, Mr. Chairman.
On the same page K-4, it states here that the Nunavummi Namminiqaqtunik Ikajuuti, or the NNI Policy, as I understand it, is directed to improving the leverage of businesses owned by long-term residents here in Nunavut.
If there’s going to be a construction contract, I’ll use Pond Inlet as an example, I believe there was a 20 percent premium set aside for local contractors.
It has also been reported that the Government of Nunavut and NTI are reviewing the NNI Policy for 2008.
When is this going to start and what kind of changes in NNI Policy does the Department of Economic Development and Transportation anticipate?
Hon. Patterk Netser (interpretation): In regard to the NNI Policy, there’s quite a lot of work to do and it’s quite overwhelming.
If you’re a local contractor, there’s seven percent, if it’s a northern contractor, there’s an additional seven percent, if they are an Inuit firm, seven percent and if it’s local, in Pond Inlet, for example, there’s a seven percent for local content and for Nunavummiut, there’s seven percent over and above those from outside of Nunavut.
It’s at 21 percent under the NNI Policy at this time.
Again, we are going to be reviewing the NNI Policy to see how we can improve the system and the enforcement of the policy, and we will be doing that in cooperation with Nunavut Tunngavik Incorporated.
We all know that a lot of Inuit do not agree with that and it’s not used all the time and that it needs improvement.
In the 2008-09 business plan, one of Nunavut Development Corporation’s priorities states that “… NDC’s subsidiaries are often not given preferential treatment when they try get a contract under the NNI Policy,” and that “This reality has hindered the development of some subsidiary companies as they do not receive the bid preferences…”
I would like to ask the minister: during the review of the NNI Policy, do you think that there will be some improvement on the concerns that we have?
The NDC is the business arm of the government and it wouldn’t look very good if we used the NNI Policy when there are local Inuit contractors competing for the same contract, so we don’t use that on NDC’s subsidiaries.
Some of the subsidiaries are still from Nunavut.
Not only that, there are some smaller companies in our communities that have tried to get contracts and they don’t even bother any more.
One of the obvious ones, for example, is our Co-op.
The members of Co-op are 96 percent Inuit, but they don’t even qualify for NNI.
Why? Because it’s not wholly owned by Inuit. Looking at it closely, only seven percent is owned by non-Inuit.
Will that be reviewed as well?
As I stated earlier, we will review this policy along with Nunavut Tunngavik Incorporated and try to fix the problems that exist.
I’m pretty sure the members will have suggestions or comments on this so that it can be more beneficial to Inuit.
I can’t say how long it will be, but we definitely want to make improvements and we’re pretty sure it can help Nunavummiut. (interpretation ends) Thank you, Mr. Chairman.
Thank you, Mr. Arvaluk. (interpretation ends) Page K-4.
Just in relation to the department’s review of the NNI Policy, I know one of the concerns that has been raised to me and I’m sure to other people as well is that they will have a small company that is Inuit-owned bidding on a large contract and then, basically, they are utilizing the services of a southern-based company to fulfill their obligations under the contract.
I’m just wondering if there’s any way in the review of looking at tightening that up because there have been cases where companies based in Nunavut have made significant investments in their companies but are losing these contracts because someone else is getting it but they’re subbing it out or partnering up with southern-based companies.
So I’m just wondering if that’s something that the minister would commit to reviewing or looking at closely and trying to find ways to address in their review.
You have already spoken on this matter and I will exercise my discretion and allow you one question on this page, Mr. Tootoo.
Hon. Patterk Netser (interpretation): Thank you, Mr. Chairman. (interpretation ends) Yes, we can commit to looking at those loopholes that the member is talking about and we will do a thorough review of the NNI Policy.
We really believe in the policy but there are some loopholes that need to be tightened and that will be one of the areas that we can commit to looking into.
A supplementary to your first question, Mr. Tootoo.
Mr. Tootoo: I can supplementary all night, Mr. Chairman, and thank you for your discretion.
Just dealing with the NNI Policy, I know in the past and I guess it kind of ties into something that was mentioned earlier, NDC has subsidiaries all across the territory and I think the objective for NDC is to put/start businesses in areas where they usually wouldn’t be successful with the goal of trying to make them self-sufficient.
I know in the past, when they bid on contracts, they haven’t been given the same treatment as other northern-based or Inuit-owned companies because they’re a subsidiary of NDC and therefore, they don’t get any of the 21 percent grading on their bids.
If the goal is to make them self-sufficient and if they’re not going to be treated the same as everyone else, then how does the department figure they’re ever going to be self-sufficient?
That’s a real tough question to answer. These subsidiary companies that the NDC has are 51 percent owned by NDC and as I said earlier, NDC belongs to the Government of Nunavut and pertaining to the NNI Policy, I don’t know if they would qualify under that program.
So under the review of this, we can look at how we can accommodate those subsidiaries into achieving contracts.
I have a question under K-10 in the business plan. If I understand it correctly, it states at the bottom of the page that, “The NNI policy supports community economic development by providing community and Inuit businesses a preference in the government tendering process.”
You’re saying that it recognizes that Crown corporations must comply with the NNI Policy and they are adhering to it.
Why don’t they include the subsidiaries with those parent corporations in adhering to those policies?
The Rules are against you (interpretation ends). Mr. Curley, you have already spoken on this matter and I will exercise my discretion and allow you to ask an additional question, but this will be last time for this page.
I am going to ask my DM to respond to that question.
I think the minister has already outlined that this is an area that we’re going to have to take a closer look at because they’re in conflict. So that’s something we will take a look at.
I know that for the NNI Policy, if you receive about 51 percent of funding from the GN, you do have to comply to the NNI Policy.
I know that’s under the contribution agreement that the department has that we do provide in there, but your comment about NDC is something that we will look into.
Mr. Curley: Thank you. (interpretation) Mr. Chairman, I would like to ask the minister if they’re going to include that in the NNI Policy, that they would make improvements. It states that, “contribute further to the growth of community economics.”
When can the minister respond expeditiously?
I know what the deputy minister said, but I would be happy to hear when you anticipate it to be completed. (interpretation ends) Thank you.
Hon. Patterk Netser (interpretation): That review that we’re talking about (interpretation ends) on the NNI Policy (interpretation) has a completion date of November 2008.
If we finish it before that month, we will table it, but we don’t think it will be done by then. (interpretation ends) Thank you, Mr. Chairman.
We’re on page K-4.
One of the priorities for 2008-09 on page K-16 in your business plan is to “Design and implement a plan to strengthen the capacity of the department to administer contribution agreements and provide internal financial services, with a focus on staff training and improved program processes.”
That’s a pretty heavy priority.
Can you provide some clarity of what that means and who all is going to be involved with organizations and entities across Nunavut?
I’m going to ask my DM to respond to that question.
Part of the action plan for this is to really take a look at some of the contribution agreements that we provide to various organizations and also look at specifically the grant programs in terms of reporting, and trying to make sure that we get good information.
I think at standing committees and comments by other members, we need to get better information about the impact of the money we’re providing.
We’re taking a look at those kinds of things - employment numbers, what’s the impact on the economy.
Those kinds of things are what we’re trying to take a look at.
So we’re going to be working with organizations, such as the Nunavut Economic Developers Association and other organizations, to see how we can kind of improve that and also improve our own monitoring of where the money is going.
I can see in your business plan that you provide core funding to a number of entities. Is that core funding through contribution agreements and is it on an annual basis or a multi-year funding arrangement?
Hon. Patterk Netser: Thank you, Mr. Chairman. To Ms. Keenainak.
All our grants and contributions are on an annual basis because we have to wait for the Legislative Assembly to approve them. Currently, we do not have any multi-year agreements.
I thank the minister and the deputy minister for that.
In your experience, minister or deputy minister, do you see a need for multi-year contribution agreements or funding instruments to help the organizations that do a lot of work for your department so that they can plan and carry on their responsibilities from year to year without worrying about whether they can get their quarterly funding or yearly funding?
Obviously, it would be very nice to have a multi-year commitment, but I’ll let my DM respond to that question.
In terms of that, I don’t have a particular organization where we would be looking at doing multi-year agreements.
However, that is something that we can take a look at as part of the objectives for this upcoming year.
Mr. Peterson: Thank you, Mr. Chairman. I thank the minister and the deputy minister.
I can see the Nunavut Arts and Crafts Association, the Nunavut Broadband Development Corporation, the Nunavut Economic Developers Association, the Nunavut Film Television, and New Media Program, and this one looks like a Tourism Development Program, it might be Nunavut Tourism, but I can see there are several organizations or entities that do work for the Government of Nunavut.
You’re the Department of Economic Development and Transportation, so I could see where it would make sense to have multi-year funding arrangements. I know the federal government has those arrangements. It worked for the Kitikmeot Inuit Association.
We did sign multi-year agreements with the federal government. They were five-year agreements, actually.
They were agreements that were very valuable and they allowed a lot of organizations that were a part of the regional Inuit associations to plan farther into the future, and if you undertook work in one year, you could be sure that you would still have funding to continue in the second year and possibly even the third year.
It also allowed the entities to set up banking arrangements with commercial lenders and other organizations.
So I’m wondering: has your department at all thought about that, how they could help these organizations with their needs so that their employees know, for example, that they have a job from one year to the next so they can plan some long-term strategies, knowing that they’re going to receive the funding?
I suspect that’s something that you’re going to have to discuss with the Department of Finance, but I think it’s something that your department should seriously consider.
Can the minister prepare something for us to review in the spring session?
We can look at that, but for setting up and brining it up to the table for the spring session; I think it’s a little bit too early as we’re kind of overloaded with the work at NBCC and all the other stuff happening within the department.
So I can’t commit to bring it to the table for the spring session but we can certainly look into it down the road.
I thank the minister for that sort of loose commitment. Can he give me a firmer date?
Down the road; that road could be like 1,000 miles long or something. I would like something earlier like in the spring session or maybe in the fall if he can prepare something for our standing committee to review.
Hon. Patterk Netser: Thank you, Mr. Chairman. We will try and put something together for the fall session.
Page K-4.
Total Operations and Maintenance, to be Voted. $7,924,000.
K-5.
Mr. Curley: Thank you. (interpretation) Mr. Chairman, I want to ask a brief question.
A few days ago when I made my Member’s Statement, I alluded to the fact that the minister stated that they were going to get an Arctic Char Fisheries Strategy.
I was wondering if the minister can update us on whether this is for the whole of Nunavut or for the regions. Exactly how is this Arctic Char Strategy going to be?
We believe the marketing of Nunavut arctic char products both within the territory and export markets will open up important economic opportunities or growth opportunities for the Nunavut fishery and private businesses.
Mr. Curley: Thank you. (interpretation) Just to get further clarification, there’s no quota or commercial quota, and some of them probably don’t even have pilot projects.
Perhaps you can provide some assistance to small businesses in the communities. They don’t have any funding to do research on fisheries. It’s impossible to have commercial fisheries with arctic char if there’s no quota, so I would like to hear more on this. (interpretation ends) Thank you.
Hon. Patterk Netser: Thank you, Mr. Chairman. (interpretation) This winter, the Nunavut Development Corporation is working with Repulse Bay on test fisheries.
At this time, Mr. Chairman, the Fisheries Development Diversification Fund is going to be $525,000 for test fisheries.
That line item will be used for that. (interpretation ends) Thank you.
Mr. Curley (interpretation): It’s good to hear that the $525,000 won’t just be for the Repulse Bay test fisheries.
Will you have another test site in the Kitikmeot region as well?
Will you be doing test fisheries in one community and then extend it to other communities?
The other communities will have to make an application to us if they want to have a test fishery in the vicinity of their communities. They can ask our department for assistance and we can review their application for test fisheries. (interpretation ends) Thank you.
This is very interesting to hear. We are interested in hearing that and I know this spring, we will want to hear more about it.
With that, will the minister be able to update members on the status of the communities? So could you commit to providing a report on each community?
We will be able to table reports in the House on the test fisheries that have been completed. (interpretation ends) Thank you.
Mr. Curley: Thank you. (interpretation) I’m very happy because the communities need to hear that. When they don’t know anything, they can’t make an application, so therefore, you must inform the communities.
When there’s funding available, there are times when it’s not used at all and then we reprofile them to something completely different.
We have signatures for reprofiling funds, so I’m encouraging you to provide that information to the communities and the hunters and trappers organizations. Can you commit to doing that?
In April, we will issue a press release through the media and to all the hunters and trappers organizations and municipalities with regards to the programs and services that are made available for economic development and promote them.
In your 2008-09 business plan, I didn’t write the page number down, but we will be heading that as well and want to complete it this year on the sealing strategy, (interpretation ends) another Nunavut Sealing Strategy. (interpretation) When would it be completed?
What do you have to do before it’s completed?
Hon. Patterk Netser: Thank you, Mr. Chairman. (interpretation) We will go through the consultation process with the communities, so we can’t say exactly when the sealing strategy will be completed at this time. (interpretation ends) Thank you.
Minister Netser, did you want to add something?
Hon. Patterk Netser: Thank you, Mr. Chairman. (interpretation) We had a sealing workshop this week in Iqaluit, on Tuesday. (interpretation ends) Thank you.
Can the minister state who was doing the sealing strategy in Iqaluit? Were they consultants only or were they hunters and seal researchers?
Hon. Patterk Netser: Thank you. (interpretation) The HTOs, regional wildlife officers, DFO, and NTI participated at the sealing strategy meeting here in Iqaluit. (interpretation ends) Thank you.
Mr. Curley: Thank you. (interpretation) Good work.
This is quite encouraging if and when the strategy is implemented. We totally support this initiative. We also have some expectations now based on what you reported to us.
As well, many of our harvesters in the communities are experiencing difficulties with the rising cost of gasoline and other fuels.
With respect to this sealing strategy, the sale of sealskins is probably not the only issue facing Inuit. I believe that there are other beneficial aspects we can create, such as subsidies for vehicles and I’m wondering if these could be included in the sealing strategy.
As an example, businesses can apply for all sorts of grants, such as purchasing computers, although I doubt that the seal hunters will require computers. However, I know for a fact that you need to be outfitted properly to succeed.
Will you be exploring other ideas or are you only looking at marketing the sealskins and by-products of seal harvesting?
It would be really interesting to hear some of the provisions contained in the framework for the sealing strategy. (interpretation ends) Thank you.
Hon. Patterk Netser (interpretation): Thank you, Mr. Chairman. (interpretation ends) It will mainly consist of a sealskin grading and purchase program, developing the northern markets, including local access to processed sealskins, providing the Nunavut Inuit Collection for international and Nunavut venues, and exploring the sealskin preparation process, and the distribution of public relations and promotional stuff.
Mr. Curley: Mr. Chairman, (interpretation) when you were preparing this strategy, it seems the sole purpose behind it was the marketing of the sealskins.
At least I see that as the baseline reason for it, but the reason why I’m bringing this up is because our harvesters need more assistance, such as materials for cabins.
In the old days, as the minister knows, men like his father used to be on the land for many days harvesting animals for subsistence. These days, most harvesters are only out for a while.
One idea is to develop facilities for the hunters.
As an example, when the fishery in Pangnirtung started, they received support from the business grants and programs, and some have used this support to build little cabins to use while fishing.
Would harvesters be able to qualify for grants and contributions through the proposals from you for requests for marketing?
I think this would be a great opportunity and they will be greatly encouraged by this in the communities. Would you be able to produce those kinds of things?
Hon. Patterk Netser: Thank you, Mr. Chairman. (interpretation) After we complete the sealing strategy, then we can start thinking about how we should work with the communities for the Strategic Investment programs because we do have that funding.
We can review it again. (interpretation ends) Thank you, Mr. Chairman.
Thank you, Mr. Curley. (interpretation ends) Page K-5. (interpretation) Mr. Arvaluk, did you raise your hand? Mr. Arvaluk.
In your business plan, you stated that “Viable community banking systems to support community economic development and wealth generation must be established in Nunavut, outside of our regional centres.”
What do you have prepared on this in the business plan and what are you working on?
Hon. Patterk Netser: Thank you, Mr. Chairman. Could he point to the page that he is referring to?
Mr. Arvaluk (interpretation): I can’t seem to find it, but I know it’s talking about banking.
Perhaps he can tell me now, “No, we didn’t have that in our business plan,” because I can’t find it now but I think it was being talked about during a committee meeting. Can he clarify then that they’re not into it?
Hon. Patterk Netser (interpretation): I think he found the page as he clearly has his hand raised, Mr. Chairman.
It’s a good thing I took my glasses off.
On page K-13 at the top, Alternate Financing Systems, “Banking and financial facilities in our communities will incur savings and make lending capital available for business development.”
My question is: how is the department addressing the issue of banking services for smaller communities?
My DM wants to answer that question.
The position of the department has been that providing banking services has to come from the private sector. I know that NTI and I believe Atuqtuarvik have been working on proposals on this with the First Nations Bank.
One of the things that the Department of Justice will deal with is to see if there are any legislative or regulatory things that we would need to do as a government. That’s where we will provide some assistance.
We have been monitoring it; however, it has to come from the private sector.
Mr. Arvaluk: I don’t know how this fits in the business plan then if it’s just a statement from the department by simply stating that, “When the other people are interested in creating banking programs for smaller communities, then we will look at the rules and regulations.”
Is that all the department is saying by providing this Alternative Financing System in the business plan on K-13?
Before we can look at a community, it has to obviously be a viable banking system before we can commit to looking at that program. That’s all I have to say at the moment.
Then what is the rationale behind making a statement in the business plan called an Alternate Financing System if the minister’s response is such?
What is the rationale in making us believe that is part of their business plan?
If the member will go over to page K-9, it says that these are the Environmental Scan, not what we want to do.
I’m a bit confused because the business plan to me is what the government will do or at least attempt to do with this budget, but I will skip that now because Environmental Scan usually talks about what their dreams are.
The business plan to me is something that is being planned for what they will do during the 2008-09 fiscal year with the money that we are debating.
Mr. Chairman, last June, the Minister of ED&T informed the Legislative Assembly that “The need to remote barriers will continue to be worked on by the government.
One such initiative will be the development of a new mechanism for reviewing regulations, licensing, and permitting process that may impede business development on a case-by-case basis.”
As of today, what is the status of developing this new mechanism and can you provide any example of how the government has reduced unnecessary red tape and regulations?
The difference between an environmental scan and an actual business plan is that they are two totally different things.
So based on that and as for the member’s question, I will ask my DM to respond to his question.