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SOMBA K'E/YELLOWKNIFE - Much was made in the legislative assembly's last session of a $1 billion, 10-year partnership proposal between the territorial and federal government that Premier Floyd Roland presented to Prime Minister Stephen Harper during his September visit to Inuvik.

Little has been said in recent months though, until the proposal was trumpeted in Finance Minister Michael Miltenberger's Feb. 5 budget address as another step toward devolution, or the "transfer of legislative authority over lands and resources to the GNWT."

The deal, Roland said, would fund infrastructure projects like the Mackenzie Valley Highway. Since September, a great deal has happened in both Ottawa and the NWT, and Roland admits there has been no movement on the proposal other than the initial "favourable discussion" Harper gave it. Roland said talk of coalition governments and the global economic crisis have kept the government from moving on the proposal.

"We are hoping now, as soon as things settle down a bit, we may see these discussions proceed," he said.

On Feb. 9, Roland said he did not have a scheduled meeting with the prime minister at that time but said he will bring up the proposal the next time he speaks to him.

Andrew MacDougall, a spokesperson for the prime minister's office, did not reveal much about Harper's interests or reservations with the proposal, other than reiterating that both sides are committed to coming to a devolution agreement that was mutually beneficial.

"The premier's proposal remains under consideration as the devolution process moves towards its conclusion," said MacDougall.

Roland said the deal would see resource revenues return to the territory. "I took the opportunity when the prime minister was up here in the Northwest Territories to write him a letter requesting we look at the opportunity of using royalties that come out of the Northwest Territories and diverting them back into the North for infrastructure projects," said Roland.

"This government has put forward a road to the prime minister to look at an infrastructure deal that would help us deal with the devolution and resource revenue sharing arrangements that we have been working back and forth on," said Roland.

Roland said it was still too early to know what percentage of money the territorial government would put into the deal.

Late in 2007, Roland famously announced he was putting devolution on the "backburner" but said in February last year that the government was pursuing it again.