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Legislative Assembly briefs
MLA calls out cabinet over power bill subsidy
Dolynny decries funding announcement without approval; premier defends decision as reaction to an emergency situation

John McFadden
Northern News Services
Friday, October 2, 2015

SOMBA K'E/YELLOWKNIFE
The Speaker of the legislative assembly will make a ruling next week on whether the territorial government was within its rights to give a nearly $30-million subsidy to the NWT Power Corporation for increased diesel usage without allowing MLAs to debate and vote on it first.

Jackie Jacobson said Tuesday he will make a decision before the end of the current sitting on what is known as a "point of privilege." The issue was raised by Range Lake MLA Daryl Dolynny and was the first order of business as MLAs convened for the final sitting of the 17th assembly.

Dolynny pointed out that in his opinion, it was already a done deal when Premier Bob McLeod and Michael Miltenberger, the minister responsible for power corp., announced the funding at a Sept. 2 news conference, despite the funds not being approved by the legislative assembly.

"It is this public announcement of funding that has yet to receive the authorization of the house to which I object," Dolynny said, adding MLAs did receive notification two days prior to the announcement.

The vote is expected to happen next week and all MLAs do expect to approve it.

Dolynny said a "surprise" $20 million subsidy was given to power corp. under similar circumstances last year. His point of privilege was supported by the three other regular Yellowknife MLAs as well as several others.

The premier rose in the assembly to say that this was not a point of privilege.

"The fundamental issue is how does government react in an emergency situation? We've known that we've been in drought conditions for four years and everybody refers to what we did last year. Well the drought is still there so the expectation is that we use the same process," McLeod said. "We had to make a decision one way or the other. One way was to have everybody in the NWT pay an extra 25 per cent over a two year period ... we felt we gave notice to committee on Aug. 31, recognizing that it would be voted on here in this legislative assembly."

Dolynny said if the Speaker rules in his favour, then it will be up to him to come up with a motion, to be voted on in the house, which could include the removal of a minister to a censorship of a minister or ministers.

New hospital now to cost $350 million

Finance Minister Michael Miltenberger now says the price tag for the proposed new hospital in Yellowknife will be about $350 million. Prior to that, it was pegged at an estimated $300 million.

"There were numbers initially when they were doing their first rough, preliminary estimates of about $180 million to $200 million dollars but over time things have evolved - the number that was finally agreed to a number of years ago now actually - the $350 million number was the firmest one we had that we moved off of and onto the final process," Miltenberger said. "We now have a project that's going to be built on time and within that budget."

Miltenberger said it's going to cost $300 million for the construction and another $50 million for all the work that's being done to move the project forward. Miltenberger said a project of this size has many behind-the-scenes costs including the process to pick the project winner, lawyers and engineers fees, other staffing costs as well as the cost of all the support and regulatory procedures are some of the main areas where the extra $50 million comes from.

Construction is expected to begin this fall with a projected completion date in the fall of 2018.

The announcement last week that the city was getting a brand new hospital came as a surprise to many as the government had previously indicated that the existing hospital would be expanded.

MLA wants answers on possible layoffs

Yellowknife Centre MLA Robert Hawkins said he is concerned there are layoffs coming to the GNWT but very little is being said to the employees who may be affected. He said it is important for the government to come clean and let any workers who may be facing jobs losses know about that possibility with as much advance notice as possible.

"I've been told by program managers that they have not been filling positions and they've pulled some jobs off the table during the competition process."

He says he feels that could be an indication of layoffs coming and says he is challenging the government to be more transparent and let the people know who may be affected as soon as possible.

"I'd like to know ... what type of information is being provided to the public service employees?"

Hawkins didn't specify any particular departments.

Finance Minister Michael Miltenberger would not confirm nor deny whether layoffs are coming but added that he thinks Hawkins is jumping the gun.

"The member is getting way ahead of himself on this particular issue. What we will be providing is a transition document that encompasses a whole range of activities ... the incoming government and assembly will make their own determination ... and decisions will be made as to exactly what steps the 18th assembly will take at that juncture.

The legislature will not sit again until after the Nov. 23 territorial election.

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