April 24,

2012 HOUSE OF ASSEMBLY PROCEEDINGS Vol.

XLVII No. 20

The House met at 2:00 p.m.

MR. SPEAKER (Wiseman): Order, please!

The hon. the Minister of Finance.

SOME HON. MEMBERS: Hear, hear!

MR. MARSHALL: Mr. Speaker, I move, seconded by the Premier, that this

House approves in general the budgetary policy of the government.

MR. SPEAKER: The motion is that this House approves in general the

budgetary policies of the government.

The hon. the Minister of Finance.

MR. MARSHALL: Thank you, Mr. Speaker.

Introduction

In October of last year, Mr. Speaker, the people of this province entrusted

our government with a third mandate to build, with new energy, on the work we

started to raise Newfoundland and Labrador to the full measure of its

magnificent potential.

That our province has undergone a wholesale transformation since 2003 is

indisputable. Our newfound status as a leader on the national stage is

unprecedented. How far we have come, and we have only just begun.

This year's Budget, Mr. Speaker, is about moving boldly forward, raising the

pillars of new growth on that solid foundation, making responsible investments

to deliver more fully the dividends of growth to the people and the families of

Newfoundland and Labrador.

Where once we dared only to dream, we now dare to believe. We have ditched

once and for all the old defeatist stereotypes, the old self-deprecation, the

old self-doubts that held us back from becoming all that we were capable of

being.

As our Premier stated in a business address in January: "Instead of wasting

our time lamenting opportunities missed in generations past, we have set our

gaze firmly on the opportunities before us now, determined to capture them to

build a sustainable future."

The plan I lay before you today follows through on the three principal

objectives of this year's Speech from the Throne.

Firstly, it improves the delivery of services to the people who need them.

Secondly, it empowers businesses and communities to grow.

Thirdly, it positions Newfoundlanders and Labradorians to seize career

opportunities opening up all around them.

Our plan, Mr. Speaker, is fiscally responsible. Our plan, Mr. Speaker, is

also socially progressive. It is carefully crafted to sustain the momentum that

has made Newfoundland and Labrador an inspiration and an example to all

Canadians of how it is done.

As far as we have advanced already, Mr. Speaker, the best indeed is truly yet

to come.

SOME HON. MEMBERS: Hear, hear!

Economic Performance 2011

MR. MARSHALL: With respect to economic performance in 2011, let us begin

by measuring how far we have progressed in this past year alone a year in

which many others have not fared so well.

Newfoundland and Labrador is predominantly an exporting province and, as

such, we must consider the global economic environment in which we operate. The

state of the global economy in 2011 could best be described as recovering but

fragile. While Gross Domestic Product and unemployment growth were recorded in

most countries, this growth was not as robust as would normally be expected

after a deep recession, and concerns remain about the strength and

sustainability of the recovery. European debt troubles continued to cause

uncertainty, and GDP growth in China and India showed signs of slowing towards

the end of 2011. On the other hand, the recovery in the United States has shown

some resilience towards the end of 2011, with quarterly GDP growth climbing to

3.0% in the fourth quarter.

Canada's economy fared better than those in the U.S. and most European

nations last year, benefitting from strong commodity demand from developing

countries like China and India. Newfoundland and Labrador continues to benefit

from this strength in commodity demand and robust prices.

Economic growth was very strong in our province in 2011. Our GDP is estimated

to have grown by 4.3%, driven mainly by gains in investment and mineral

production. The level of growth was one of the highest amongst all provinces in

the country last year.

Investment increased by 21.9% to $7.4 billion. Major projects continued to be

drivers of investment as Vale's Long Harbour nickel processing facility, Hebron,

White Rose and Hibernia expansions, and iron ore expansion in Western Labrador

proceeded throughout the year. Construction employment in 2011 was the highest

ever recorded in our history.

Exports received a boost from the continuing global recovery. Real exports

are estimated to have grown by 2.0%. Offshore oil production decreased by 3.4%

to a total of 97.3 million barrels, due to production issues at Terra Nova and

natural declines. The volume of fish landed was down 12.1% compared with 2010,

although higher prices for crab and shrimp resulted in a significant increase in

value. Mineral shipments grew by 22% to about $4.6 billion, reflecting higher

production and higher prices. This represented the highest mineral shipment

value on record.

Employment grew by 2.7% to reach 225,400 in 2011, an all-time high.

SOME HON. MEMBERS: Hear, hear!

MR. MARSHALL: Newfoundland and Labrador recorded one of the strongest

growth rates in employment in the country in 2011. The unemployment rate

averaged 12.7% that year, 1.7 percentage points lower than in 2010 and in fact,

Mr. Speaker, Newfoundland and Labrador last year enjoyed its lowest annual

unemployment rate in 36 years.

SOME HON. MEMBERS: Hear, hear!

MR. MARSHALL: Personal and disposable income both increased by 6.3%

during the year.

With people working, with people having high disposable incomes, and with a

high level of confidence in consumers, retail sales rose by 5.1%. These higher

sales were supported by continued growth in income and high levels of consumer

confidence, the highest in Atlantic Canada.

SOME HON. MEMBERS: Hear, hear!

MR. MARSHALL: Population levels also benefited from this economic

performance. In February 2012, Statistics Canada released the results of the

2011 Census which indicated that since 2006, the population of our province has

increased by 1.8%.

SOME HON. MEMBERS: Hear, hear!

Fiscal Review 2011-12

MR. MARSHALL: A year ago, in Budget 2011, we forecast a surplus of $59.1

million for the year ended March 31, 2012. Since Budget 2011, commodity prices

have strengthened, but even more significantly, offshore oil production

increased by approximately 15.7 million barrels over our budget expectations,

resulting in a projected surplus for 2011-2012 of $776.4 million and a reduction

in our net debt of $361 million. Consistent with our Blue Book commitment, we

will invest the equivalent of one third of that surplus to fund our public

service pension plans.

SOME HON. MEMBERS: Hear, hear!

MR. MARSHALL: Mr. Speaker, including the revised forecast for fiscal

2011-2012, the cumulative value of surpluses that have been generated by this

province in six of the last seven years approximates $5.5 billion, bringing the

province's net debt to $7.8 billion at the end of fiscal 2011-2012. I will have

more to say about debt in a minute.

Economic Outlook 2012

But let us first look at the economic outlook for the year that is coming.

The uncertainties that have persisted in the global economy in recent years

are expected to continue in 2012. Sovereign debt troubles in Europe will act as

a drag on global economic growth and there remains a distinct possibility of a

recession in Europe. Growth in developing economies like China and India is also

expected to slow to more long-term stable levels.

In our province the underlying strength in the economy is expected to

continue.

Real Gross Domestic Product is expected to increase by a modest 0.1% as the

Terra Nova and White Rose production facilities are taken offline for

maintenance. Nevertheless, most other economic indicators are expected to remain

strong, reflecting higher levels of business investment and the overall strength

in the economy.

Capital or business investment is expected to rise by 30.1% to an

unprecedented $9.6 billion, representing the strongest investment growth in the

country.

SOME HON. MEMBERS: Hear, hear!

MR. MARSHALL: Mr. Speaker, the province will benefit from private sector

investments, such as mining expansion in Labrador West. Construction activity at

Vale's nickel processing facility is expected to peak this year. Development of

the Hebron oil field will continue to advance with construction of the GBS and

the topside modules scheduled to commence this year as well. And the Muskrat

Falls Project will continue to move forward to a project sanction decision. As

well, Government's commitment to road work and other public infrastructure in

the coming year will be a major contributor to investment activity.

Employment is expected to grow by another 1.8% to an average of 229,400

people and the unemployment rate is expected to drop further to 12.3%. Personal

income and disposable income are each expected to grow by 5.4%, aided by wage

gains and employment growth. Retail sales are expected to increase by 4.0% and

surpass the $8 billion mark.

Fiscal Forecast 2012-13

Mr. Speaker, as a province, we have enjoyed surpluses for six of the last

seven years; however, 2012-13 will bring fiscal challenges. This year's Budget

reflects the end of the offset payments under the Atlantic Accord, a reduction

in revenue of $536.1 million in 2012-13 and future years. As previously

mentioned, both the Terra Nova and the White Rose FPSO vessels are scheduled for

maintenance shutdowns during the year, further constraining provincial revenue.

The loss in revenue attributable to these two sources is approximately $1.1

billion. As a result, the province is projecting a deficit of $258.4 million for

2012-13.

Mr. Speaker, our record of responsible fiscal management leaves us

well-positioned to address the fiscal challenges that we face in the coming

year. In an effort to minimize the impact of the decrease in revenue, Budget

2012 reflects a reduced rate of spending growth, while ensuring the important

programs and services that Newfoundland and Labrador families rely upon are not

compromised. Net program expenses will grow by 1.7% in 2012-13, well below the

2.2% expected rate of inflation.

Mr. Speaker, this government is committed to balancing the objectives of

fiscal sustainability while at the same time making long-term strategic

investments. The decline in revenue created a fiscal challenge for Budget 2012.

Faced with this challenge, the government chose to invest responsibly in

programs and services, and necessary infrastructure. We did not want to risk

reversing the gains that have been achieved to date. With deficits forecast for

the next two years and then a return to surplus projected in 2014-15, our

investments must be prudent and sustainable, while ensuring that our economic

momentum is maintained. Within the framework of a long-term fiscal plan, the

government will make measured choices to avoid the pitfalls of short-term

decisions.

In preparation for Budget 2012, all departments were asked to identify

potential savings to reduce expenditures without negatively impacting program or

service delivery. As a result of that review, savings of $38.8 million have been

incorporated in the 2012-13 Estimates.

Since 2004, we have made substantial financial progress. We have decreased

net debt from a high of $11.9 billion to a projected $7.8 billion as at March

31, 2012, a decline of 35%.

SOME HON. MEMBERS: Hear, hear!

MR. MARSHALL: In addition, net debt as a percentage of GDP will have

improved from a high of 70.2% to just 25.0% at March 31, 2013.

SOME HON. MEMBERS: Hear, hear!

MR. MARSHALL: This reflects strength in the ability of the

province to support its debt.

Another key measure of fiscal performance is the percentage of revenue which

is consumed to service the debt. In 2004, debt expenses consumed over 23% of our

gross revenues - that is almost twenty-three cents on every dollar. Budget 2012

forecasts a significant improvement in this indicator, with debt expenses

budgeted to be 10.8% of gross revenues, enabling us to make more productive use

of each revenue dollar that is generated for the benefit of the people of this

province.

SOME HON. MEMBERS: Hear, hear!

MR. MARSHALL: Mr. Speaker, rather than a collection of ad hoc decisions

that are stitched together, each of our Budgets is a carefully constructed

strategy, conforming to a wide-ranging vision and a far-reaching fiscal plan.

The long-term focus of this government is demonstrated in our chosen goal to

lower net debt per capita to the all-province average over 10 years.

Successfully achieving this target requires a focus on generating surpluses

sufficient to support capital investment and to reduce net debt. This target

measures the province's performance relative to other provinces and considers

the burden that debt places on the people of the province.

As this year's Throne Speech clearly stated, debt reduction is not an end in

and of itself, but a means of strengthening our economy to leave our children a

legacy of growth. Debt is a drain on resources, consuming money we could be

spending on programs or tax cuts. Reducing our burden of debt, as we have been

doing so effectively, diverts hundreds of millions of dollars from interest

payments to high-priority initiatives and tax relief. This is the responsible

way forward, and Newfoundland and Labrador will be stronger for taking that

path.

SOME HON. MEMBERS: Hear, hear!

MR. MARSHALL: Mr. Speaker , our government remains committed to

providing tax relief to our people to the greatest extent that we can. No

government in this province's history has done more to provide tax relief than

ours. Three years ago, we highlighted a series of measures that, in a three-year

period, provided cumulative tax relief to Newfoundlanders and Labradorians

exceeding three-quarters of a billion dollars. Since that Budget, we have not

implemented any increase in personal income taxes and I am pleased to announce

that there will be no increases in personal income taxes or any other taxes in

the coming year.

SOME HON. MEMBERS: Hear, hear!

MR. MARSHALL: Government's fiscal plan forges alignment between today's

choices and tomorrow's prosperity. This public commitment to the people of our

province lays out the roadmap to which this government will stand accountable.

This target will be the blueprint against which we will manage and be measured.

Fundamental to this fiscal plan is its ten-year time horizon, which enables

the province to manage towards the target and calibrate the plan over time,

avoiding the volatility and uncertainty that comes with short-term fiscal

planning.

Mr. Speaker, our economy has never been stronger; investment is at record

levels and employment is robust.

We have established a solid foundation with a new mandate to lead this fine

province. We now have a responsibility to make choices that will benefit the

people of this province two, ten, and thirty years down the road.

Budget 2012 builds upon the Government of Newfoundland and Labrador's

commitment to sound fiscal management and sustainability while continuing to

invest in necessary infrastructure, and programs and services.

Our strong economy and our solid fiscal performance are assets that we will

manage responsibly to provide continuing dividends into the future.

We will make decisions that capitalize on our strengths and chart a long-term

path with definition.

We will strike an acceptable balance between fiscal management and strategic

investments.

Our future will be shaped by the choices we make right here, right now.

SOME HON. MEMBERS: Hear, hear!

PEOPLE AND PROSPERITY

MR. MARSHALL: Mr. Speaker, even though net program expenses will grow by

just 1.7% in 2012-2013, our total provincial expenditure program this year will

be significant, totalling $6.6 billion.

Time will not permit me today to describe all the initiatives this funding

will support and all the benefits that Newfoundlanders and Labradorians will see

because of Budget 2012. However, I would like to draw your attention to some of

the new, strengthened, and sustained initiatives that are going to make a

significant difference this year in advancing our people and securing our

prosperity. In keeping with the objectives of this year's Throne Speech, let me

describe these initiatives under three basic themes: first of all, services that

will improve the lives of our people; secondly, stimulus that will grow

businesses and communities; and thirdly, stepping stones that will help people

reap the benefits of emerging career opportunities.

Mr. Speaker, I will speak firstly about improved services.

Improved Services

As this year's Throne Speech stated, we are taking measures to ensure that

public service delivery is versatile to adapt to people's changing needs,

user-friendly, and clearly focused on priorities. Each department will undertake

a structured analysis of departmental core mandates to ensure that the

departments are focused on their essential functions and to identify

opportunities to do things better. The objective is to ensure all government

personnel and resources are focused first and foremost on delivering

high-priority services and achieving high-priority goals. The process will

identify not only the current best practices for service delivery but innovative

approaches to deliver services more effectively.

No services are more important than the health and community services we

deliver through our four Regional Health Authorities. This year, we will invest

more than 40% of total expenditures around $3 billion in health care and

continue to work with our Regional Health Authorities to ensure every dollar

invested delivers results for Newfoundland and Labrador families. Already, we

have made tremendous progress. Never in our province's history have we had more

doctors, nurses, and other health professionals to care for our people in need.

In specialty areas such as cardiac care, Newfoundland and Labrador is considered

a leader. We are investing in the latest technologies and hosting health care

professionals who come to our province to learn best practices.

We are taking an approach in other areas of health care delivery that ensures

continuous progress. In February, our Health Minister announced the fulfillment

of our 2011 Blue Book commitment to advance strategies to reduce wait times for

joint replacement surgeries and emergency room care.

Cancer care, Mr. Speaker, is another priority we have been working

aggressively to address. In 2010, we released our Provincial Cancer Control

Policy to guide cancer control efforts in the coming years. We made a specific

commitment in the Blue Book to engage the Provincial Cancer Control Advisory

Committee to determine the best age to begin screening for breast cancer. On

their advice, we are expanding the Breast Cancer Screening Program to include

younger clients aged 40 to 49 who are referred by their primary health care

provider. This improvement will be introduced at the existing sites in St.

John's, Gander and Corner Brook. To support this initiative further, we will be

adding a new mammography unit at the James Paton Memorial Hospital in Gander.

SOME HON. MEMBERS: Hear, hear!

MR. MARSHALL: Mr. Speaker, most people at one time or another will rely

on prescription medications for acute illnesses and for chronic conditions, and

those therapies can be very costly. We recently brought forward progressive

legislation to introduce a new generic drug pricing model that will lower the

cost of generic drugs for every person in this province. With the savings this

new model achieves, we will invest $29 million over the next four years, to

enhance the 65Plus Plan to pass those savings on to seniors. As well, we are

ensuring that the people who rely on all our government drug plans continue to

have affordable access to eligible medications. We are also investing $37

million over the next four years to support our pharmacies.

SOME HON. MEMBERS: Hear, hear!

MR. MARSHALL: This includes $1 million annually which will be targeted

toward pharmacies operating in underserviced, rural areas of the province.

Government was pleased with the agreement it recently reached with the

Pharmacists' Association of Newfoundland and Labrador. We are also investing

another $4.4 million in the Newfoundland and Labrador Prescription Drug Program

to better ensure the people of this province who rely on this program have

access to appropriate therapies.

SOME HON. MEMBERS: Hear, hear!

MR. MARSHALL: Mr. Speaker, in 2007, our government released the

Provincial Healthy Aging Policy Framework. I am delighted to announce that we

will be moving ahead this year to keep our 2011 Blue Book commitment that, in

appreciation for their lifelong contributions as citizens, we will be providing

seniors with a 35% discount on motor vehicle registration, drivers' licences and

other licences and fees for such things as hunting, fishing, cutting wood and

camping.

SOME HON. MEMBERS: Hear, hear!

MR. MARSHALL: Making it easier for seniors to remain active and engaged

is not only an excellent way of saying thank you' to the people who invested

their hearts and their souls into building this province; it is also

complementary to our goals of our Provincial Healthy Aging Policy Framework.

Mr. Speaker, an indispensable component of health care delivery is the

provision of infrastructure and services in areas where they are needed. When we

took office in 2003, hemodialysis was available in only seven sites in the

province with a total capacity to serve 340 patients. People told us enhancing

dialysis availability was a priority, and we listened. Today, dialysis is

available to 531 patients at 14 sites throughout the province.

SOME HON. MEMBERS: Hear, hear!

MR. MARSHALL: This year, we are investing another $1.9 million to further

enhance dialysis services in Harbour Breton, in St. Anthony, in Carbonear, Happy

Valley-Goose Bay and Corner Brook, bringing our total investment in improved

access to dialysis over the course of our nine Budgets to $189 million.

SOME HON. MEMBERS: Hear, hear!

MR. MARSHALL: Let's add it up, Mr. Speaker. In the eight Budgets from

2004 to 2011, we have invested a total of more than $800 million in health

infrastructure projects throughout Newfoundland and Labrador $800 million.

This year, we are investing another $230.5 million in health infrastructure

some of it for continuing construction and redevelopment, some for new equipment

and some for renovations and repairs. These investments will include work on the

emergency department at St. Clare's; the forensic unit at the Waterford; the

provincial PET scanner administered by Eastern Health; the Genetics Centre and

the Faculty of Medicine at the Health Sciences Centre; the health centre at

Flower's Cove; the health clinics in Marystown North and Glovertown; the

addictions treatment centres at Paradise, Harbour Grace and Grand Falls-Windsor;

the new regional hospital in Labrador West; the continued redevelopment of the

Central Newfoundland Regional Health Centre in Grand Falls-Windsor; and planning

for the new acute care facility in Corner Brook. Is there any doubt, Mr.

Speaker, that health care is our number one priority!

SOME HON. MEMBERS: Hear, hear!

MR. MARSHALL: Mr. Speaker, we are also delivering the next phase of our

commitment to provide additional long-term care spaces closer to communities

where they are needed. Five projects on which work will advance this year are

the long-term care facilities in Carbonear and St. John's, the North Haven Manor

in Lewisporte, the Dementia Centre Bungalow in Bonavista and the inclusion of

additional beds at the Corner Brook long-term care facility.

SOME HON. MEMBERS: Hear, hear!

MR. MARSHALL: Many families receive the care they need under the Personal

Care Home Program. Portable subsidies under this program give individuals and

families the freedom to choose the facility that is right for them. Five years

ago, we were providing 1,030 portable subsidies. Today, we are providing 1,711.

This year, we will increase that number by another 100 to provide subsidies to a

total of 1,811 clients.

SOME HON. MEMBERS: Hear, hear!

MR. MARSHALL: Many people benefit from receiving the care they need in

their own homes. Because of our aging population, the demand for home support is

growing. To address the need, we are expanding the capacity of our Home Support

Program this year with a funding increase of $14 million. Secondly, we are

adding another 12 positions to our Regional Health Authorities to improve the

quality of the home and community support services our clients receive. Thirdly,

we are investing another $3.8 million to increase the home support hourly rate

to $12.25, representing a total increase in the hourly rate over the past five

years of approximately 50%.

SOME HON. MEMBERS: Hear, hear!

MR. MARSHALL: Mr. Speaker, the province also engages home support workers

to provide respite and behavioural aid for children and youth through the Child,

Youth and Family Services department. The hourly rate increase I just mentioned

will apply to these home support workers as well.

Mr. Speaker, social workers are the professionals we engage to protect

vulnerable children and youth. Our government has made significant advances in

the supports we have in place to do this work. Recently, we completed the

transition of staff from the Regional Health Authorities to the new Department

of Child, Youth and Family Services. Over the span of one year, the department

has successfully transitioned approximately 700 staff from the four Regional

Health Authorities- a monumental accomplishment. More than just the creation of

a new line department, this transition means key systemic improvements that will

allow our frontline staff to better serve our most vulnerable children and

youth. We are investing $2.4 million this year to hire an additional 29 new

frontline staff - primarily people with expertise in social work - to meet our

commitment to reduce caseloads and improve services for children and families.

SOME HON. MEMBERS: Hear, hear!

MR. MARSHALL: Among our most valuable partners are the province's foster

parents who provide care for children and youth in need of out-of-home

placement. With an initial budget this year of $4.1 million rising to $14.3

million next year, we will begin implementing a new long-term continuum of care

strategy. Aspects of this strategy will include more funding for kinship

arrangements and foster homes, more support and training for foster parents,

streamlined processes that will ease the administrative burden foster parents

face, and a new framework for staffed residential facilities that will eliminate

the need for the current alternative living arrangements for children and youth

requiring this level of support. Every investment we are making is focused on

addressing the needs of vulnerable children and youth and giving them the

protection, care and supports they require.

SOME HON. MEMBERS: Hear, hear!

MR. MARSHALL: Beyond the work our government is doing to protect children

and youth, we also believe there is a collective responsibility for providing

children with a solid head start. There is more brain development occurring

between birth and age three than at any other time in our lives, so when we talk

about investment in early childhood learning, we must start at the beginning

at birth. This year's Budget includes almost $1.7 million for the second year of

implementation of the province's early childhood learning strategy, Learning

from the Start , which is designed to enhance early learning opportunities

for young children and families. It is part of a three-year $4.8 million

investment, announced last year, with an initial focus on the years from birth

to age three.

Our government, Mr. Speaker, is also implementing a 10-Year Child Care

Strategy which addresses this need as well as strengthen labour market

participation by providing parents with the opportunity to pursue education or

employment. One component of this strategy, that was announced in 2011, was the

two-year pilot Family Child Care Initiative, focused on increasing spaces with

an emphasis on children under two, the age which research shows has the least

spaces available. This year, we will be advancing the second year of the pilot

project, which has generated considerable interest. To further assist parents,

we will also be maintaining the supplementary Child Care Tax Credit, an

investment in families that we introduced last year. Other elements of the

strategy will focus on recruiting and retaining early childhood educators,

providing grants for child care centre operators and targeted expansion of

affordable regulated child care spaces. The work we do over the course of this

strategy will not only benefit our children's development, but also enable their

parents to balance careers and family responsibilities. We believe this

investment is significant and will ensure we have a child care system which is

sufficient, affordable and of high quality.

SOME HON. MEMBERS: Hear, hear!

MR. MARSHALL: Enabling people to achieve a greater measure of personal

self-reliance has been one of our primary goals from the start a goal we have

been advancing under our Poverty Reduction Strategy since we launched it in

2006. This year, we are increasing funding under this strategy by $11.3 million,

bringing our total investment this year to prevent, reduce and alleviate poverty

in Newfoundland and Labrador to $150.8 million.

SOME HON. MEMBERS: Hear, hear!

MR. MARSHALL: Initiatives we are continuing to support this year include

the progressive indexation of income support rates and the Adult Dental Health

Program. In addition, we are advancing initiatives that include the elimination

of the requirement that income support recipients have to apply for and lock

into Canada Pension Plan benefits at a reduced rate at age 60 as well as the

expansion of the Earned Income Supplement, which gives working single parents a

greater measure of financial independence.

SOME HON. MEMBERS: Hear, hear!

MR. MARSHALL: Complementing these poverty reduction investments will be

our sustained investment in our long-term Social Housing Plan, addressing one of

the most basic necessities of life for individuals, persons with complex needs

and families. Investments totalling $29.8 million this year will be channelled

through a range of initiatives, including the Rent-Geared-To-Income Adjustment

Program; the Homelessness Fund; an expanded Rent Supplement Program; the

Provincial Home Repair Program, primarily for seniors living in their own homes,

mainly in rural areas; the Residential Energy Efficiency Program; the Affordable

Housing Initiative; the Home Modification Program for persons with disabilities;

and support for community and neighbourhood centres. All of these are making a

profound difference in people's lives. In addition, the Supportive Living

Program has been transferred from the Department of Advanced Education and

Skills to our housing corporation to be delivered to various community partners

which work on homelessness and housing projects, and we are continuing to

deliver the Education Incentive Program, which is keeping vulnerable children in

Grades 7 to 12 in school. This incentive complements the Positive Actions for

Student Success or PASS program a two-year pilot project that is currently

working to keep some 250 students in school.

SOME HON. MEMBERS: Hear, hear!

MR. MARSHALL: One of the initiatives we are most excited about this year,

Mr. Speaker, is the launch of a strategy whose time has come. Access.

Inclusion. Equality. is a progressive and comprehensive plan to eradicate

barriers to ensure inclusion for all. Reflecting ideas and solutions from

persons with disabilities and their families, including our Provincial Advisory

Council for the Inclusion of Persons with Disabilities, this strategy takes a

long-term cross-disability approach designed to bring about substantive changes

within policies, services, programs and attitudes. This year, as promised in our

2011 Blue Book, we are supporting this strategy through funding of $6.5 million

to move towards a fully inclusive Newfoundland and Labrador.

SOME HON. MEMBERS: Hear, hear!

MR. MARSHALL: Mr. Speaker, all of these initiatives are investments in

people. They fulfill the obligations we bear collectively as citizens to

safeguard the vulnerable, to care for the sick and the frail, and to lower

barriers to those who are eager to maximize their potential. Providing essential

services to people is our primary responsibility, and we are delivering, Mr.

Speaker.

Economic Stimulus

Mr. Speaker, there are also measures we are taking to lower barriers for

enterprises that are eager to innovate, grow and maximize their potential. All

of us benefit when businesses thrive. The government believes in free

enterprise, and sometimes, the best thing we can do to promote business growth

is to get out of the way, cut red tape and reduce taxes. That is precisely the

approach we have taken since 2003 in reducing the regulatory burden by more than

a quarter and cutting taxes to among the lowest in Atlantic Canada.

Ensuring Newfoundland and Labrador is a competitive and business-friendly

environment remains one of our key objectives. There are measures we as a

government can take and ought to take along the way to stimulate growth and

diversification. Innovation incentive programs, loan guarantees and

infrastructure investments, as well as business skills development programs, are

invaluable instruments we are using to grow strong businesses and to diversify

regional economies. In sectors from agriculture to aquaculture to an

internationally-recognized ocean technology sector, we are proving that our

approach as a facilitator of growth and innovation is indeed working.

There are those who do not want this story to be told, Mr. Speaker, but the

fact is that our $27 million investments in broadband since 2003 have increased

access to high-speed internet by 312%, reaching more than 470 communities. This

year, in keeping with the goals of our 2006 Innovation Strategy Innovation

Newfoundland and Labrador: A Blueprint for Prosperity we are investing another

$2 million to advance the Rural Broadband Initiative to further improve our

province's telecommunications environment. Complementing this commitment to

strengthening the province's capacity for innovation will be investments in our

Innovation Enhancement Program, our Innovate and Demonstrate Program, and our

Technology Utilization Program, as well as our business investments supporting

use of the Small and Medium-sized Enterprise Fund.

SOME HON. MEMBERS: Hear, hear!

MR. MARSHALL: As we are clearly seeing, business growth means new jobs,

new wealth, and increased economic activities in our cities, towns, regions, and

rural communities. Our new Department of Innovation, Business and Rural

Development leverages the strengths of its predecessor departments and maximizes

our approach to business and regional development with a robust suite of focused

yet flexible programs.

Newfoundland and Labrador is increasingly becoming a major player in

leading-edge, high-technology sectors, none of which is more exciting than the

ocean technology sector. We are pushing the boundaries through innovation,

building on our strengths to make this province a recognized global leader in

cold ocean and Arctic research. In keeping with our five-year ocean technology

strategy entitled "Oceans of Opportunity", we are this year providing $2.6

million to implement the OceanTech Intelligence Program to advance specific

projects while supporting our industry's goal of doubling its value to a billion

dollars by 2015.

SOME HON. MEMBERS: Hear, hear!

MR. MARSHALL: Mr. Speaker, Our Research & Development Corporation has

been driving innovation in a range of leading-edge sectors, committing $50

million to date to projects that are growing opportunities and giving our

province a reputation for excellence and ingenuity. The RDC will have $19

million available for investment in the year ahead.

In the fishing sector, scientific research and innovation are opening new

opportunities for growth that are breathing new life into historic communities.

Our strategic investments in 2012-2013 will include funding for the Center for

Fisheries Ecosystems Research and the Fisheries and Marine Institute of Memorial

University; the Fisheries Technology and New Opportunities Program; the Canadian

Centre for Fisheries Innovation; the Sustainable Fisheries Resources and Ocean

Policy; the Coastal and Oceans Management Program; the Newfoundland Lobster

Conservation and Sustainability Plan; and various worker adjustment measures. We

are growing our fishing industry, Mr. Speaker, undaunted by the challenges and

we are determined, through co-operation and leadership, to put this industry on

a strong, stable, and sustainable footing heading deeper into the 21 st

Century.

SOME HON. MEMBERS: Hear, hear!

MR. MARSHALL: Mr. Speaker, our government is also investing in the

sealing industry, which in recent years has contributed a total of $100 million

to the province's economy, particularly benefiting rural and costal areas. This

year, we are providing a $3.6 million loan to Carino Processing Limited for the

purchase of raw materials to ensure it is available as market demands arise. Our

investment will enable hundreds of harvesters to secure an income this year

while the federal government's ongoing challenges to some countries'

discriminatory trade practices proceed. The harvest is also an important check

on the growth of the east coast harp seal population which, with close to eight

million animals, poses a significant risk to recovering fish stocks. Our

government will continue to seek new markets for our seal products while

countering the propaganda with the facts that our sealing industry is

ecologically sustainable, economically valuable, and among the world's most

highly regulated and humane animal harvests.

SOME HON. MEMBERS: Hear, hear!

MR. MARSHALL: One of the great fishing sector success stories of our time

is the growth of our aquaculture industry. It has been quite phenomenal, and

indeed, hundreds of people are working in rural communities growing fish for

harvest and sale. Since 2006, we have invested $24 million under the Aquaculture

Capital Equity Investment Program, and through this investment we have leveraged

approximately $400 million from the private sector.

SOME HON. MEMBERS: Hear, hear!

MR. MARSHALL: Mr. Speaker, this degree of leverage is truly impressive.

This year, we will build on these investments by committing $6.5 million to the

program. We are also committing $6.2 million for the construction of aquaculture

wharves in the Coast of Bays region plus another $340,000 to enhance biosecurity

to safeguard our reputation for excellence in aquaculture.

SOME HON. MEMBERS: Hear, hear!

MR. MARSHALL: Mr. Speaker, Newfoundland and Labrador is indeed truly

blessed with a wealth of natural resources, and this government is determined to

ensure those resources are developed for the greater benefit of the people of

this province.

From Long Harbour and St. Lawrence to the north and west of Labrador, among

our greatest success stories is the outstanding growth in the mining sector. To

drive hard the opportunities for new growth, we are investing once again in

geoscience mapping in order to fuel new exploration.

Mr. Speaker, our Budget provides for additional equity payments to Nalcor to

continue the highly profitable investments in the North Amethyst, Hibernia South

and Hebron oil projects. Nalcor is now a significant oil producer, generating

returns that will be reinvested in our green energy future. Our equity payments

also support the planning and preparation activities for the Muskrat Falls

project which is the lowest cost electricity option for the people of the

province.

SOME HON. MEMBERS: Hear, hear!

MR. MARSHALL: To drive growth and innovation in our agricultural sector,

we will build on our investments under the Growing Forward Program.

To drive growth in our cultural sector, we will invest $3 million in season

four of Republic of Doyle , the largest original television or film

project ever produced in our province. We are making this investment because

Republic of Doyle is sustaining 110 full-time jobs; it is returning 2.9

times our provincial investment in terms of economic growth, and marketing our

province to an international audience.

SOME HON. MEMBERS: Hear, hear!

MR. MARSHALL: Mr. Speaker, Finance Ministers become very pleased when

they see public investments in enterprises returning dividends many times

greater than the dollars that we initially commit. Those results demonstrate

that our approach is sound a responsible use of taxpayers' dollars.

Investments in public infrastructure can be just as effective as incentives to

stimulate economic growth. Since 2003, we have invested billions of public

dollars in roads and highways, wharves and bridges, ferries and terminals,

schools and hospitals, drinking water, sewage treatment, waste management and

other public infrastructure. When we took office, we inherited a massive

infrastructure deficit resulting from years of neglect. Even today, after years

of doing the work that others did not, we still have some way to go. This year,

we will invest almost $900 million on public infrastructure to advance a number

of the many projects that warrant our attention.

SOME HON. MEMBERS: Hear, hear!

MR. MARSHALL: Mr. Speaker, our government's support for the province's

municipalities remains solid and unwavering. Through cumulative investments in

municipal operations, capital works, firefighting, recreational facilities and

waste management totalling hundreds of millions of dollars, we are improving the

lives of our citizens while showcasing our strengths to developers and visitors

alike. We are ready to build on this foundation. Over the next two years, we

will invest $130 million for new municipal infrastructure projects. To support

municipal operations, in addition to the $17.8 million we provide to communities

on an annual basis through the Municipal Operating Grants, we have maintained

funding of $4.6 million. We will also consult with municipalities on the

development of a new formula that is both equitable and sustainable.

SOME HON. MEMBERS: Hear, hear!

MR. MARSHALL: Our provincial investment in road and bridge work this year

will be $165.1 million, which will leverage an additional $60 million in federal

support for total funding of $225.1 million. Among other things, this funding

will enable us to call the last two tenders to complete Phase I of the

Trans-Labrador Highway, from Labrador West to Happy Valley-Goose Bay.

SOME HON. MEMBERS: Hear, hear!

MR. MARSHALL: Mr. Speaker, it will also enable us to begin work to

replace the Sir Ambrose Shea Lift Bridge in Placentia. It will enable us to

offer a $60.1 million Provincial Roads Improvement program in 2012-13 and fund a

range of other projects. Additional infrastructure funding will enable us to

advance work on our ferry vessel replacement program, complete vessel refits,

maintain and upgrade terminals and wharves, and more.

Labrador, Mr. Speaker, will be a principal beneficiary of these investments,

while benefiting as well from a new road ambulance base in Cartwright, continued

remediation at the former U.S. military site in Hopedale, continuation of the

Air Foodlift Subsidy, continuation of the Labrador Transportation Grooming

Subsidy, and a range of other initiatives, including the Labrador Travel Subsidy

Program, funding to support the 2013 Labrador Winter Games, and the residential

electricity rebate for coastal Labrador homeowners with diesel-generated power.

Labrador also stands to benefit enormously from the development of the renewable

hydropower resources of the Lower Churchill.

SOME HON. MEMBERS: Hear, hear!

MR. MARSHALL: Mr. Speaker, investments in growth do for regions and

regional enterprises the same thing that investments in self-reliance do for

individuals and families. They create opportunities that people can capture.

They open doors that might otherwise remain closed. They provide a catalyst for

the kind of growth that can return dividends many times greater than the initial

investment. These are wise uses of public funds because they make us stronger

and they make our economy more diversified, resilient and sustainable than it

otherwise would be.

Career Catalysts

Providing a catalyst for growth, Mr. Speaker, is also precisely what we are

doing by investing in education and in labour market development. We are giving

individuals the qualifications that they will need to build life-changing

careers. We are giving industries the qualified workers they need to build

competitive enterprises. As we improve access to education, training, and

certification, all of us share in the dividends.

Taking office in 2003, we set to work laying the foundation for growth,

sector by sector, industry by industry, creating the conditions for success.

Today, we are beginning to reap the harvest. Over the next 10 years,

Newfoundland and Labrador is projected to see some 70,000 job openings. Who

would have imagined that, Mr. Speaker, a few years ago! Mr. Speaker, we did!

SOME HON. MEMBERS: Hear, hear!

MR. MARSHALL: Labour market demand of that magnitude may be

unprecedented, but it is not unexpected. As we laid the foundation for economic

growth, we also commissioned both the White Paper on Public Post-Secondary

Education and the Skills Task Force to prepare our people. Building on the White

Paper, we embarked on a policy to make post-secondary education in this province

the most accessible in the country. Building on the Skills Task Force report, we

invested heavily in our trades programs and infrastructure. Taking the

responsible approach prepared us for growth that is now at our doorstep.

Mr. Speaker, we are ready to do more. As we promised in our 2011 Blue Book,

we are extending the public post-secondary tuition fee freeze in 2012-2013.

SOME HON. MEMBERS: Hear, hear!

MR. MARSHALL: Total investments in Memorial University and College of the

North Atlantic since 2005 to support this tuition fee freeze have totalled $183

million.

SOME HON. MEMBERS: Hear, hear!

MR. MARSHALL: Through an additional investment of $19 million, we will

also continue the up-front needs-based grants and the interest-free student

loans as we provide Newfoundland and Labrador's students with the best student

aid program in Canada.

SOME HON. MEMBERS: Hear, hear!

MR. MARSHALL: While other jurisdictions are ratcheting back their support

for students, we are ratcheting up. In the term ahead, we will fulfill our Blue

Book commitments to do even more. This year, we will take the next step by

increasing the study period exemption from $50 per week to $100 per week under

the Student Financial Assistance Program. This will enable students to earn up

to $100 a week from employment during their period of study without compromising

and undermining their student loan and grant entitlement.

SOME HON. MEMBERS: Hear, hear!

MR. MARSHALL: Mr. Speaker, we are also determined to match our students

to the job opportunities that are available to them. To better align labour

market supply with labour market demands, we are following through on our Blue

Book commitment to establish the Workforce Development Secretariat.

The provincial government has invested significantly to address the

challenges associated with the skilled trades sector. Since the release of the

Skills Task Force Report in 2007, approximately $95 million has been allocated

in the areas of apprenticeship, science and technology, training and

infrastructure. We are investing $4.1 million this year to do even more,

particularly to open doors for people in under-represented groups and to help

graduates progress through the stages of professional certification so they can

embark upon their careers. Initiatives we are funding this year include a new

Journeyperson Mentorship Program, an expanded Apprenticeship Wage Subsidy

Program and an extended Apprenticeship Tracking System. Under the Labour Market

Development Agreement and the Labour Market Agreement that the province

administers on behalf of the federal government, we will further advance our

labour force through the Apprenticeship Wage Subsidy Program, the Government

Apprenticeship Hiring Program, and the Office to Advance Women Apprentices.

SOME HON. MEMBERS: Hear, hear!

MR. MARSHALL: Besides the skilled trades, other career disciplines are

also demanding qualified workers here in Newfoundland and Labrador. To meet the

growing need in the oceans sector, we will invest more than $2 million in the

Marine Institute to finance new and expanded educational programming, research

and student services.

SOME HON. MEMBERS: Hear, hear!

MR. MARSHALL: To meet the growing need for professional engineers, we

will invest $1.7 million to expand Memorial's Faculty of Engineering and Applied

Science to make possible increased enrolment capacity, international recruitment

and enhanced co-op placement services.

SOME HON. MEMBERS: Hear, hear!

MR. MARSHALL: The provincial government recognizes the critical role of

modern infrastructure at Memorial University to propel

our economic strategy, especially related to ocean science and technology. The

provincial government will work closely with Memorial to identify priorities and

to develop an infrastructure plan. We are also

investing $4.7 million to improve science laboratories at Memorial plus another

$10 million for other improvements at the university; and we are investing $2.5

million to accelerate shop modernization at the College of the North Atlantic.

To respond to increased enrolment at Memorial, we are not only constructing new

residences at both the St. John's and Grenfell campuses, but also investing to

renovate existing residences. Together, all of these investments in

post-secondary education demonstrate our unprecedented commitment to

post-secondary students is not only the strongest in the country, but will

continue to grow stronger every year.

SOME HON. MEMBERS: Hear, hear!

MR. MARSHALL: To give students a firm grounding in the fundamentals in

the years before they attend post-secondary, we are also building on our

investments in the K-12 education system. The recent population explosion in

towns just outside St. John's has stretched the capacity of K-12 schools in that

region. The influx of new families is a blessing that creates new

infrastructure demands, and we are ready to respond. We

recognize that site selection and design work needs to begin as soon as possible

to address capacity issues, and we are ready to act. We are providing $6.9

million in new funding for major infrastructure projects, including planning for

potential new schools in Portugal Cove-St. Philip's, Paradise, Conception Bay

South and the Torbay Flatrock Pouch Cove Bauline area, and funding for

modular classrooms on an interim basis to address immediate needs. We are also

allocating funds to investigate the feasibility of a new school in Gander while

providing further support for ongoing planning related to the reorganization of

schools in Corner Brook. This is in addition to the $79 million we are

allocating for ongoing major capital improvements in schools throughout the

province. We are also earmarking another $29 million for priority repairs and

maintenance for schools, bringing the total we have invested in K-12

infrastructure throughout the province since 2004 to $567 million.

SOME HON. MEMBERS: Hear, hear!

MR. MARSHALL: On top of that, in this year's Budget alone, we are

providing $537.8 million for teachers' salaries, substitute teachers, student

assistants, professional development and various services for teachers. We are

proud of the investments we have made and are continuing to make in the

classroom.

Mr. Speaker, why are we making investments of this magnitude in education? It

is because the most important thing we can do for this Province's long-term

economic sustainability is to continue to make the education of our people a

priority.

SOME HON. MEMBERS: Hear, hear!

MR. MARSHALL: These choices that we are making today will be instrumental

in ensuring the foundation our children build upon is not shaky, but solid and

secure. We have an obligation to our youth to think ahead and choose the best

course forward.

Sustainability and Renewability

Mr. Speaker, sometime this year, our government will make a final decision

regarding the provision of energy to meet the people's future needs. The

sanction decision on Muskrat Falls will be among the most important we as a

government will ever make. All expert analysts commissioned to examine this

project have agreed with Nalcor that the Muskrat Falls Project is the lowest

cost option for supplying the island's energy needs into the future. It has the

added benefit of making power available for Labrador industrial development and

breaking the cycle of reliance on fossil fuels at Holyrood. Mr. Speaker, these

are important goals in which we remain confident. We will be bringing the latest

information on the project forward to this House of Assembly for debate. We have

always stated that this project will proceed if and only if it is in the best

interests of the people of the province, and this commitment remains strong.

SOME HON. MEMBERS: Hear, hear!

MR. MARSHALL: Mr. Speaker, the year ahead is one small stretch of the

future that we have in view. We are making the best decisions this year to

ensure we are well-positioned in 2 years, in 10 years, in 30 years from now to

capitalize on the opportunities that abound in this amazing place. We are

focused on sustainability and renewability. We are taking a balanced approach,

making responsible investments that will secure a brighter future for us all. We

are investing in our people. We are investing in our prosperity. We are

investing in essential services, economic stimulus and stepping stones to

opportunity to ensure that, as strong as we are today, Mr. Speaker, tomorrow we

will be even stronger.

Thank you, Mr. Speaker.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Minister of Finance.

MR. MARSHALL: Mr. Speaker, I move, seconded by the Premier, that the

debate be adjourned.

MR. SPEAKER: Motion, that the debate now be adjourned. You have all heard

the motion.

All those in favour, aye'.

SOME HON. MEMBERS: Aye.

MR. SPEAKER: Contra minded?

The motion is carried.

On motion, Budget Debate adjourned.

MR. MARSHALL: Mr. Speaker, I wish to inform the House that I have

received a message from His Honour the Lieutenant Governor.

MR. SPEAKER: All rise.

The following message is addressed to the hon. Minister of Finance:

As Lieutenant Governor of the Province of Newfoundland and Labrador, I

transmit Estimates of the sums required for the Public Service of the Province

for the year ending 31 March 2013, in the aggregate of $7,608,762,400 and in

accordance with the provisions of sections 54 and 90 of the Constitution Act,

1867, I recommend these Estimates to the House of Assembly.

Sgd.: ________________________

John C. Crosbie, PC, OC, ONL, QC

Lieutenant Governor

Please be seated.

The hon. the Minister of Finance.

MR. MARSHALL: Mr. Speaker, I move, seconded by the Premier, that the

message together with the Estimates be referred to a Committee of Supply.

MR. SPEAKER: It is moved and seconded that the message from His Honour

the Lieutenant Governor together with the Estimates be referred to the Committee

of Supply and that I do now leave the Chair.

All those in favour, aye'.

SOME HON. MEMBERS: Aye.

MR. SPEAKER: All those against, nay'.

The motion is carried.

On motion, that the House resolve itself into a Committee of the Whole on

Supply, Mr. Speaker left the Chair.

Committee of the Whole

CHAIR (Verge): Order, please!

We will take a few minutes to distribute the budgetary documents to all hon.

members.

[Budgetary documents are distributed]

MR. MARSHALL: Mr. Chair, I move that the Committee rise, report progress

and ask leave to sit again.

CHAIR: The motion is that the Committee rise, report progress and ask

leave to sit again.

All those in favour, aye'.

SOME HON. MEMBERS: Aye.

CHAIR: All those against, nay'.

Carried.

On motion, that the Committee rise, report progress and ask leave to sit

again, Mr. Speaker returned to the Chair.

MR. SPEAKER (Wiseman): The Member for Lewisporte and Chair of Committees.

MR. VERGE: Mr. Speaker, the Committee of Supply have considered the

matters to them referred and have directed me to report that they have made some

progress and ask leave to sit again.

MR. SPEAKER: The Chair of the Committee of Supply reports that the

Committee have considered the matters to them referred and have directed him to

report that they have made some progress and ask leave to sit again.

When shall we receive the report?

AN HON. MEMBER: Now.

MR. SPEAKER: Now.

When shall the Committee have leave to sit again?

AN HON. MEMBER: Tomorrow.

MR. SPEAKER: Tomorrow.

On motion, report received and adopted. Committee ordered to sit again on

tomorrow.

MR. SPEAKER: Notices of Motion.

Notices of Motion

MR. SPEAKER: The hon. the Member for the District of Bellevue.

SOME HON. MEMBERS: Hear, hear!

MR. PEACH: Thank you, Mr. Speaker.

Because of yesterday being a holiday, Mr. Speaker, I ask leave to permit me

to introduce a private member's motion.

MR. SPEAKER: Does the member have leave?

AN HON. MEMBER: By leave.

MR. SPEAKER: Leave has been granted.

The hon. the Member for Bellevue.

MR. PEACH: Mr. Speaker, the motion reads as follows, and has been

seconded by my colleague for Baie Verte-Springdale. It says:

WHEREAS Newfoundland and Labrador's sealing industry is ecologically

sustainable, economically viable, and among the world's most highly regulated

and well-managed humane animal harvests; and

WHEREAS the provincial government is investing in the sustainable sealing

industry in this Province through initiatives such as communications and

advocacy campaigns, and the provision of a $3.6 million loan to Carino

Processing Limited for the purchase of raw material, which will ensure products

are available as the market grows, while at the same time enabling hundreds of

harvesters and plant workers to secure an income; and

WHEREAS the federal government, in agreement with our government request, is

challenging the discriminatory trade practices of other countries;

THEREFORE

BE IT RESOLVED that this hon. House supports the actions and

investments of the provincial government to advance the growth of a sustainable

and professional sealing industry in Newfoundland and Labrador; and

BE IT FURTHER RESOLVED that this House encourage the federal government to

continue its efforts to support the Canadian sealing industry and to challenge

the discriminatory actions of other countries that violate trade laws.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Government House Leader.

MR. KENNEDY: Thank you, Mr. Speaker.

The private member's motion we will be discussing tomorrow will be the motion

just read into the record by the Member for the District of Bellevue.

Mr. Speaker, I give notice, and by leave move, a, that the following Heads of

Expenditure be referred to the Resource Committee: the Department of Advanced

Education and Skills; the Department of Environment and Conservation; the

Department of Fisheries and Aquaculture; the Department of Innovation, Business,

and Rural Development; the Department of Natural Resources; and the Department

of Tourism, Culture and Recreation.

Also, Mr. Speaker, that the following Heads of Expenditure be referred to the

Social Services Committee: the Department of Health and Community Services; the

Department of Child, Youth and Family Services; the Department of Education;

Newfoundland and Labrador Housing Corporation; the Department of Justice and

Attorney General; and the Department of Municipal Affairs.

Also, Mr. Speaker, c, that the following Heads of Expenditure be referred to

the Government Services Committee: the Department of Finance; the Department of

Transportation and Works; the Public Service Commission; and Service

Newfoundland and Labrador.

Mr. Speaker, tomorrow, the Social Services Committee will meet in this House

to review the Estimates of the Department of Municipal Affairs at 9:00 a.m.

MR. SPEAKER: The hon. the Government House Leader.

MR. KENNEDY: Mr. Speaker, I move, seconded by the Minister of Advanced

Education and Skills, that the remaining Orders of the Day do stand deferred,

and that this House on its rising do adjourn.

MR. SPEAKER: It has been moved that the House do now adjourn.

Is it the pleasure of the House to adopt the motion?

All those in favour, aye'.

SOME HON. MEMBERS: Aye.

MR. SPEAKER: All those against, nay'.

Motion carried.

Tomorrow being Wednesday, Private Members' Day, this House now stands

adjourned until 2:00 p.m. tomorrow.

On motion, the House at its rising adjourned until tomorrow, Wednesday, at

2:00 p.m.