SOMBA K'E/YELLOWKNIFE - The MP for the Western Arctic says he wants a 50 per cent increase to the basic Northern Residents Tax Deduction and better planning within future impact and benefit agreements signed by mining companies.

Western Arctic MP Dennis Bevington answers questions during a press conference held Monday to address a recently tabled report on Northern economic development penned by the House of Commons Standing Committee on Aboriginal Affairs and Northern Development. - Guy Quenneville/NNSL photo

In a press conference at his constituency office Monday afternoon, Dennis Bevington took questions from media on a report on Northern economic development tabled last May by the House of Commons Standing Committee on Aboriginal Affairs and Northern Development.

While not a member of the committee, Bevington participated in the process of drafting the report's 35 recommendations, which came after a year and a half of consultation with just under 100 witnesses from all three territories.

Among the issues raised by Bevington: a much-needed 50 per cent increase to the basic Northern Residents Tax Deduction, which currently offers, at most, just over $3,000 per year per eligible applicant. The deduction last saw an increase of 10 per cent in 2007.

"Just to keep up with inflation, it should have been raised by 50 per cent over the past 20 years. We did that calculation," said Bevington.

"The 10 per cent in the 2007 budget was a nice thought, but it didn't really carry the weight that was needed to make a big difference to Northerners. We heard a lot of evidence about the cost of living impacting the (North's ability) to develop."

Warren McLeod, co-owner of FSC Architects and Engineers and president of the Yellowknife Chamber of Commerce, said Bevington and other proponents of the increase should pursue "as much as you could get."

"We'll support any increase that comes along because it all helps and we all have the same challenge of attracting staff to the North," said McLeod. "This would be just another selling feature to prospective staff."

Another recommendation calls for the creation of a template outlining the development of "effective" impact benefit agreements (IBAs), which could include a clarification of the roles and responsibilities of the parties."

The federal government has 45 days to respond to the report. Bevington said he will push the feds to require more forward-thinking within IBAs.

Bevington cited Diavik's recent admission that it is having difficulty recruiting enough Northern Aboriginals to work in skilled underground positions as a sign that better foresight was needed in drafting that mine's IBA.

"If the diamond mines knew 10 years ago that they were going to go underground, where was the preparation? That should have been in an IBA. There should have been some preparation for the different stages of development," he said.

Housing provided by the mines would have helped reduce the number of workers – including Northerners – moving their families south, added Bevington.

Instead, "Many, many Northerners got jobs at the mine and moved south. That happened over and over and over again. What we see was an outmigration of workers because it was more economically advantageous for them to do that. But what it did for us in the Northwest Territories is not all good. That's not what we wanted up here."

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