Newfoundland and Labrador Hansard — Members' Statements; Statements by Ministers — 29 March 2001 (44th General Assembly, 3rd Session, Vol. XLIV No. 9)

2001-03-29

Newfoundland and Labrador — Debates (Hansard)

Newfoundland and Labrador Hansard — Members' Statements; Statements by Ministers — 29 March 2001 (44th General Assembly, 3rd Session, Vol. XLIV No. 9)

2001-03-29

Newfoundland and Labrador — Debates (Hansard)

March 29, 2001 HOUSE OF ASSEMBLY

PROCEEDINGS Vol. XLIV No. 9

The House met at 1:30 p.m.

MR. SPEAKER (Snow): Order, please!

Before we begin our routine proceedings today, the Chair would like to take

this opportunity to welcome to the Speaker's gallery the St. John's Curling

Club Team who won on Sunday, March 25, the World Junior Men's Curling

Championship. They are: Skip, Brad Gushue; Third, Mark Nicholls; Second, Brent

Hamilton; Lead, Mike Adam; Fifth, Jamie Korab; and Coach, Jeff Thomas.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Premier.

PREMIER GRIMES: Mr. Speaker, if I could, by leave. I did have the

fortunate opportunity to meet this group of fine young men and their coach at

the airport when they returned just a couple of evenings ago. We have publicly

congratulated them, but I think the significance of having them here in our

Legislature today, in the Speaker's gallery, as guests of the Legislature -

SOME HON. MEMBERS: Hear, hear!

PREMIER GRIMES: Mr. Speaker, again, on behalf of everybody in

Newfoundland and Labrador I would like to say to Skip Brad and to Coach Jeff,

and the team, this is an incredible accomplishment for a group of young men from

Newfoundland and Labrador. It has, indeed, put our place on the map again in the

whole of the world. As a team, you are a source of encouragement and inspiration

for everybody in Newfoundland and Labrador, not only people who participate in

sports, like yours being curling, but for people generally. This has been a

boost in terms of a sense of confidence in what can be accomplished by people in

our Province who turn their attention to a particular task. Not a task for you

people, lots of work, but a lot of pleasure too, I expect, in a game which you

very much enjoy; a source of encouragement and inspiration. As I say, we are all

extremely proud, almost too proud for words. I must say, we are delighted to

have them here today. Congratulations!

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Leader of the Opposition.

MR. E. BYRNE: Thank you, Mr. Speaker.

I would like to join, obviously, with the Premier in echoing the sentiments

that everybody feels in the Province. You have done this place very, very proud,

not only yourselves, but you stand as a testament to who we are and the type of

determination that exists amongst our people.

I will say one other thing, the Skip happens to live in Southlands, which is

in the District of Kilbride.

SOME HON. MEMBERS: Oh, oh!

MR. E. BYRNE: Hold on, I don't want anybody to get confused. His skill

and ability with the curling rocks does not necessarily translate to the member's

skill within this place here.

On a serious note, I do want to say that this is a sporting achievement

unparalleled in Newfoundland and Labrador. The importance of the accomplishment

of this group of fine young gentlemen and their coach forever and a day will go

down in the annals of sports history as probably one of our defining and most

distinguished moments.

Thank you, Mr. Speaker.

MR. SPEAKER: The hon. the Member for Signal Hill-Quidi Vidi.

MR. HARRIS: Thank you, Mr. Speaker.

Even though we all expressed our pride and praise the other day in this

House, on Monday, it is a great pleasure to have an opportunity in person to

tell you how proud we are of you. I know you have your pride in your

accomplishment but vicariously every Newfoundlander and Labradorian feels a

little taller as a result of your accomplishments. It is something that shows

the people of this Province what can be done, what talent we have, what can be

done with focus and hard work, and what ability there is in the people of

Newfoundland and Labrador.

I want to wish you all the very best in your own future careers. You have

inspired a lot of young Newfoundlanders and Labradorians. I think you have also

made a name for yourselves as individuals. All have a future both in your sport

and perhaps with opportunities for coaching and teaching internationally

yourselves. Good luck in your futures. Thank you very much, on behalf of all

Newfoundlanders and Labradorians, in making us feel prouder and proud of your

accomplishments.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: As well today, I would like to welcome to the gallery, on

behalf of all members, six students, Levels I, II, and III, from St. Stephen's

All Grade School in Rencontre East, in the District of Fortune Bay-Cape La Hune.

They are accompanied by their teacher, Mr. Shawn Tibbo.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: As well, I would like to welcome to the gallery, Mayor Bob

Mesher and councillor Boyd Noel from the town of St. Anthony.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: Before I call members statements I want to address the point

of order that was raised yesterday.

Yesterday the Government House Leader, at the end of Question Period, rose on

a point of order that the Leader of the Opposition had used unparliamentary

language when directing a question to the Premier. The Chair took the point of

order under advisement to review the records of Hansard.

The Chair has had an opportunity to review the Hansard as well as listen to

the taped recording of the proceedings. I have also checked the use of the word

viper. In addition to being a venomous snake, the Webster's and Oxford

dictionaries state that viper means a vicious or treacherous person.

Paragraph 409(7) of Beauchesne states: "A question must adhere

to the proprieties of the House, in terms of inferences, imputing motives or

casting aspersions upon persons within the House or out of it."

Clearly, to imply that a member is a treacherous or vicious individual is

inappropriate and it is certainly unacceptable to the House. I now ask the hon.

member to withdraw his remark.

The hon. the Leader of the Opposition.

MR. E. BYRNE: Thank you, Mr. Speaker.

I am certainly not going to question the Speaker's ruling. Obviously, I

certainly did not, in any way shape or form, mean to be unparliamentary to the

Premier yesterday. If my word had that affect, which obviously it is ruled that

it does, I certainly withdraw it.

I will go on to say, Mr. Speaker, in your quieter moments, would you also be

able to review the word puppet for me please?

SOME HON. MEMBERS: Hear, hear!

Statements by Members

MR. SPEAKER: The hon. the Leader of the Opposition.

MR. E. BYRNE: Thank you, Mr. Speaker.

I would also like today to stand and pay tribute, on behalf of my colleague

from St. Barbe who was called back to the district on an important matter, to

issue the following statement: pay tribute to Helge Ingstead who died in his

sleep yesterday at an Oslo hospital at the age of 101. Though his home is

obviously very far away from us, Helge Ingstead has played a very crucial and

important

part in the history of our Province; a part that last year culminated

in putting us on the international map in the biggest way ever.

Mr. Ingstead, along with his wife, Anne Stine Ingstead, helped prove

conclusively that the Vikings reached North America. In the 1960s he visited the

area known now as L'Anse aux Meadows. With the help of local residents, he

found traces of the Viking settlement there that dates back 1,000 years, and

laid the groundwork that exposed their international historical significance. It

is because of this work that last year we completed what has become known as the

Great Circle, showing how two vast migration patterns around the planet came

together and culminated on the Great Northern Peninsula of Newfoundland and

Labrador.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Member for Carbonear-Harbour Grace.

SOME HON. MEMBERS: Hear, hear!

MR. SWEENEY: Mr. Speaker, before I make my statement I would like to say

today that I, too, am honoured, like the Leader of the Opposition, of having a

member of the team from my district represented here today as well.

SOME HON. MEMBERS: Hear, hear!

MR. SWEENEY: Our Fifth, Jamie Korab. Hi, Jamie.

Mr. Speaker, on Friday, March 23, I had the pleasure of attending an

e-business symposium at Conception Bay Regional Center in Carbonear. This event

organized by Keyin College, Carbonear Campus, in conjunction with the Mariner

Resource Opportunities Network and Human Resources Development Canada,

highlighted aspects of the fast rising information technology sector and how it

affects the provincial economy.

One example of this growth is the Mariner Resource Opportunities Network were

doing their

part in growing information technology. Through an e-merge

partnership they can help local companies go online. As well, they have the

portal project called: Around the Bay, which highlights the Baccalieu Trail

area. They also serve as regional facilitator to seven local community access

program sites and will soon offer information technology training to volunteers

at these sites.

Mr. Speaker, e-business is here to stay and symposiums such as this one, show

that information technology remains an important facet of the Newfoundland and

Labrador economy.

Thank you, Mr. Speaker.

SOME HON. MEMBERS: Hear, hear!

Statements by Ministers

MR. SPEAKER: The hon. the Minister of Tourism, Culture and Recreation.

SOME HON. MEMBERS: Hear, hear!

MR. K. AYLWARD: Mr. Speaker, as minister responsible for heritage, I want

to take a moment to pay tribute to Dr. Helge Ingstad, who passed away this

morning in Norway. This gentleman was an anthropologist, lawyer, author and

explorer.

There are a few among us who can the commitment to a vision, and ideal as

Ingstad did. With his wife, the late Dr. Anne Stine Ingstad, he left Norway and

made this Province his home while he toiled for more than seven years to uncover

the evidence needed to prove the Norse sagas correct that the Vikings discovered

North America at L'Anse aux Meadows 500 years before Caboto.

Ingstad, born in Norway in 1899, trained as a lawyer there but left his

practice to explore the Arctic. In the 1950s he travelled to Greenland to

investigate the Viking settlement where he became increasingly more interested

in the Vinland colony in Newfoundland. Dr. Ingstad became convinced that the

most likely site for Vinland was in northern Newfoundland, so he and his

daughter explored southern Labrador and the Great Northern Peninsula. With a

local member of the community, George Decker, he was led to an area of L'Anse

aux Meadows that we now know as the UNESCO World Heritage Site.

The discovery of L'Anse aux Meadows is hailed as one of the most

significant pieces of archeological and historical research to have ever taken

place in this Province. To Dr. Ingstad and his wife we are grateful for this.

Helge Ingstad was awarded an Honourary Doctorate by Memorial University of

Newfoundland in 1969 in recognition of his work.

He and his wife have the admiration and thanks of a Province and a people for

the archeological and anthropological work which has given us L'anse aux

Meadows; but, more than that, their unselfish and unfailing commitment to this

work has retrieved for us an unknown part of our history, a history that has

allowed us to proudly recognize the arrival of the Vikings at L'anse aux

Meadows more than 1000 years ago.

During last year's millennium event we celebrated our heritage as a people,

we were awakened to a past that is proud and strong, and we came to know better

the history of those who lived here before us and those who visited them.

On behalf of the people of Newfoundland and Labrador, I wish to extend

condolences to the daughter of Helge and Anne Stine Ingstad, Benedicte. As we

remember her father's life, we celebrate the unparalleled legacy he left to

this Province.

Let me leave you with the following excerpt from Erik's saga which was

written as Erik prepared for the return journey from his explorations:

These oak-hearted warriors

Lured me to this land...

Let us head back

To our countrymen at home;

Let our ocean striding ship

Explore the broad tracts of sea.

Helge Ingstad, Godspeed.

Thank you, Mr. Speaker.

SOME HON. MEMBERS: Hear, hear!

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

MR. SULLIVAN: Thank you, Mr. Speaker.

I, too, join with the minister in paying tribute to an individual who has

made a significant impact and is tied into the history of our Province. We all

saw the effects last year. It was a tremendous event marking that 1000 th

Anniversary. It has great historical significance and it added great tourism

value and dollars to our Province. I think our leader has addressed that quite

well in a statement on behalf of our colleagues on the Northern Peninsula.

As the minister made reference to, I would like to extend condolences to the

family of Helge Ingstad on this particular occasion, the passing of a very

renowned individual who has made a significant impact on the history or our

Province and the world in general.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Member for Signal Hill-Quidi Vidi.

MR. HARRIS: Thank you, Mr. Speaker.

I am pleased to join with the Minister of Tourism, Culture and Recreation and

the Opposition House Leader in paying tribute to the life and work of Dr. Helge

Ingstad. Certainly, he made a great contribution to our Province in unearthing

and discovering some of the roots of historical adventure in this Province, and

its discovery by the Norse 1000 years ago. He has also inspired, I think, those

who have a vision to pursue that vision. I think there is much in this Province,

in our history, in our past, that is still to be uncovered. Those who have a

vision, or have a dream to make a discovery, can be inspired by the work of Dr.

Ingstad, who, in our own adulthood, has made a great accomplishment, a great

discovery, which has provided very beneficial effects to this Province, to

knowledge, to our own culture and our own history.

Thank you, Mr. Speaker.

Oral Questions

MR. SPEAKER: The hon. the Leader of the Opposition.

SOME HON. MEMBERS: Hear, hear!

MR. E. BYRNE: Thank you, Mr. Speaker.

Yesterday, the former Premier and now federal Industry Minister, told the

press that he was bewildered and confused by your stand on water exports. In

fact, he said, and I quote: You know my position. It was very well articulated

when I was there, but Premier Grimes has raised the issue again. I am not sure

why he has, and I think I will wait and talk to him before I comment.

The people of Newfoundland and Labrador are confused, too, Premier. This

debate was a very serious one in this House and in this Province for some time.

The question I have is: Why have you pulled this issue out of the thin air

without so much as consulting the people of the Province, consulting your

Cabinet, consulting your colleagues. In fact, the question is, who did you

consult on this ill-conceived, hare-brained scheme?

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Premier.

SOME HON. MEMBERS: Hear, hear!

PREMIER GRIMES: Thank you, Mr. Speaker.

I appreciate the fact that the Leader of the Opposition is interested in

having an informed debate about a very important issue in the Province without

the details and the information which we are now gathering, and would already

like to come to a conclusion that something is hare-brained, I think would be

the phrase he used. He tends to use those kinds of statements fairly regularly.

Mr. Speaker, the fact of the matter is this: It should be understood, and I

believe the people of the Province do understand it, that Minister Tobin decided

that he no longer wanted to have a say in public policy in Newfoundland and

Labrador. He is in Ottawa.

SOME HON. MEMBERS: Oh, oh!

SOME HON. MEMBERS: Hear, hear!

PREMIER GRIMES: He left this job voluntarily, Mr. Speaker, because he

wants to make a contribution on another stage, in another scene, and we will

work very closely with him in the best interest of Newfoundland and Labrador.

Those of us that are here will do anything and everything every time with

respect to all of the issues, to try to decide on matters that are in the best

interest of this Province.

With respect to water export, what we have said, and what I have said in this

Province, is that we will have all of the information gathered again with

respect to the Free Trade Agreement, all of the information gathered again with

respect to the status of the federal legislation, all of the information

gathered and examined again with respect to royalties and revenues, all of the

information gathered again with respect to options that are available to us

under the water ban that we have signed as a Province, and we will present all

of the information to the people of Newfoundland and Labrador.

MR. SPEAKER: Order, please!

I ask the hon. the Premier now to conclude his answer.

PREMIER GRIMES: If we are to make a change, we will bring it to this

Legislature in the fall and have an informed debate about the export of water

from Newfoundland and Labrador.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: A supplementary, the hon. the Leader of the Opposition.

MR. E. BYRNE: This seems to be, to me, that this may be the first major

recycling initiative of the provincial government.

The Premier's linkage yesterday, or the day before, of water exports to

free tuition is the most crass act I have witnessed from a decade of Liberal

administrations and premiers who have done some crazy things, with one

exception; maybe with the exception of interim Premier Tulk. Did the Premier

consult with representatives within the government? Did he consult with his own

deputy ministers? Did he consult with representatives of post-secondary

institutions in the Province? Or did he consult with representatives from the

student movement in the Province before he flicked this cockamamie idea out to

the public?

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Premier.

PREMIER GRIMES: Mr. Speaker, there was no intention from the government

to try to coerce or blackmail, as the language has been used, students into

being in favor of a particular proposal that we may bring in the fall. I did not

consult with students to suggest that if you agree with the government on a

public policy issue we may be able to provide free tuition. That is not the

nature of the way we do business.

We are dealing with a public policy issue with respect to what that

opposition member admitted this morning is the new generation of oil, the

equivalent of oil for the future. Value, unbelievable value, I believe he said

this morning in a public interview, white gold; and we should sit here in

Newfoundland and Labrador, as the government, we should sit here as the

government and not examine the issue as to whether or not we can take the

benefit of that today.

I heard a statement this morning as well, suggesting that we should wait

eight or ten years to look at doing it right. Well, Mr. Speaker, we are

examining it today, to find a way to do it right so that we can start doing it

as soon as possible and reap the benefits at the earliest possible opportunity

for the people of Newfoundland and Labrador, not to wait eight or ten years. We

will try to do this in the best interest of Newfoundlanders and Labradorians as

soon as we can.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: A supplementary, the hon. the Leader of the Opposition.

MR. E. BYRNE: Mr. Speaker, if the Premier would like to refresh his

memory, if he wants to have a look at the numbers, on September 29,1999, when we

did our analysis, we presented it to the public. So, if he would like to have a

copy of it, I can present it to him.

I do know this: people in this Province do not want bulk water shipped out

with the expense of jobs and the public Treasury going behind it

SOME HON. MEMBERS: Hear, hear!

MR. E. BYRNE: People in this Province want value-added processing in

rural Newfoundland and Labrador. I do know that!

SOME HON. MEMBERS: Hear, hear!

MR. E. BYRNE: People in this Province do not want to see two tankers a

day leave this Province to sell water somewhere else, to create wealth and

employment somewhere else, Premier. I do know that!

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: Order, please!

The hon. member is on a supplementary. I ask him to get to his question.

MR. E. BYRNE: Let me ask him this: Does he agree with the comment made by

the president of the Newfoundland and Labrador Federation of Students, who said

yesterday: My first impression, this is the most asinine, ridiculous statement

that I have ever heard for quite some time.

MR. SPEAKER: Order, please!

The hon. member is on a supplementary. The hon. member knows that

preambles

of any sort should not include quotes from statements, from telegrams, from

papers. I ask the hon. member to get to his question.

MR. E. BYRNE: Thank you, Mr. Speaker.

You may try to slow us down but you are not going to stop us. I will ask the

Premier: Does he agree -

SOME HON. MEMBERS: Oh, oh!

MR. SPEAKER: Order, please!

I ask the hon. member to consider the comment he just made.

MR. E. BYRNE: Mr. Speaker, I will get to the question.

Thank you.

MR. SPEAKER: Order, please!

If I correctly understood the member, he indicated that the Chair was trying

to slow him down? Is that what...?

MR. E. BYRNE: Mr. Speaker, if that was the impression, I apologize.

MR. SPEAKER: Okay.

The hon. the Leader of the Opposition.

MR. E. BYRNE: Mr. Speaker, let me ask the Premier this: Does he agree

with the assessment by the president of the Federation of Newfoundland and

Labrador Students that says this is the most asinine, ridiculous statement that

they have ever heard, that it amounts to blackmail? Does he agree with their

statement saying, we know a lot more about free trade than this Premier and this

government gives us credit for?

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: Order, please!

The hon. the Premier.

PREMIER GRIMES: Thank you, Mr. Speaker.

I do regret that the president of the Federation of Students would make such

a statement, not knowing whatsoever what the intention of the government is and

how this would unfold, because we have not presented anything to the public yet.

We have given absolutely no detail as to whether or not this will occur or how

it would occur. We said that we are willing to have the issue examined fully and

publicly debated in Newfoundland and Labrador, and hopefully find a way to do

it.

It is unfortunate that some people would be willing to jump to a conclusion

to say - because I think the other words that were used by that student leader

were that we do not want to be selling off our water.

Mr. Speaker, we are not interested in selling off anything. We are interested

in reaping maximum benefits from Newfoundland-based resources for

Newfoundlanders and Labradorians.

SOME HON. MEMBERS: Hear, hear!

PREMIER GRIMES: The only thing I do regret is this: I do regret - because

the Leader of the Opposition has been making some fine speeches lately. They are

supposed to be questions, but he is making some fine speeches. For the life of

me, I do not why he was so anxious to give up the job. I think he is doing a

great job as Leader of the Opposition, and I think you should reconsider maybe

in a week's time and maybe challenge to your own job.

MR. SPEAKER: Order, please!

I ask the hon. the Premier to conclude his answer quickly.

PREMIER GRIMES: Yes, Mr. Speaker.

It is unfortunate that he voluntarily decided to apply and lend himself to a

recycling program which will occur next weekend here in Newfoundland and

Labrador.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: Order, please!

The hon. the Leader of the Opposition.

MR. E. BYRNE: Mr. Speaker, the Premier may see it as unfortunate that I

am leaving the job but I can tell you that my kids, Olivia and Isaac, are very

excited and fortunate about the fact that I am going to be around a little bit

more.

I would like to ask him this question: This is not the first time this

Premier was involved in this sort of scheme. If you look at Hansard back in

1989, particularly around 1990, he was involved when he was Parliamentary

Assistant to former Premier Clyde Wells, when he stood in this House and said

that the payroll tax had to be introduced for health and post-secondary

education, which was going to be used to lower tuition costs; he said then. The

tax brings in today over $70 million a year; enough, according to the Premier,

to do exactly what he wanted to do in shipping out bulk water. What happened

then, Premier? Is it not a fact that students did not get any free tuition or

even lower tuition, and that from the time you stood in your place and

introduced the payroll tax -

MR. SPEAKER: Order, please!

MR. E. BYRNE: - on the premise that it would provide lower costs, that

tuition fees escalated by some 300 per cent?

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: Order, please!

The hon. the Premier.

PREMIER GRIMES: Thank you, Mr. Speaker.

If the Leader of the Opposition wants to spend the time in the Legislature

re-debating an issue from ten years ago, instead of a current issue today, that

is fine with me.

AN HON. MEMBER: Words are important (inaudible).

PREMIER GRIMES: Words are very important, Mr. Speaker, and the Opposition

does a good job of trying to twist them on a regular basis.

Everybody - because he was not in the Legislature at the time - understands

the debate at the time where - and this is what he conveniently forgets to add

and put into the debate as a reminder - that debate occurred in the context of a

government that was eliminating schools taxes, a tax that was the most

regressive tax in Newfoundland and Labrador's history, brought in by the

Opposition when they were there -

SOME HON. MEMBERS: Hear, hear!

PREMIER GRIMES: - a tax that they encouraged us to get rid of, which we

did.

Now, the government of that day, no more than the government of any day,

could do without the revenue; so the school tax was eliminated, because it was

not a fair and progressive tax, and it was replaced by a health and

post-secondary education tax.

Everybody in this Province knows that despite what happened to tuition rates

from 1995-2000, because they are going down now - that is the reality of the

day, they are going down - despite what happened in that period, everybody

recognizes that without the revenue that the government collected from what is

now commonly called the payroll tax, that we would have had less money to put

into post-secondary education, and tuition rates would have been even higher. We

would have had less money -

MR. SPEAKER: Order, please!

I ask the hon. the Premier now to conclude his answer.

PREMIER GRIMES: - to put into health care, and there would have been more

service cuts which did occur five and six years ago. If he wants to have that

debate over again, instead of debating an issue of today -

MR. SPEAKER: Order, please!

PREMIER GRIMES: - then let's have the debate from ten years and do it

all over again.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: A supplementary, the hon. the Leader of the Opposition.

MR. E. BYRNE: Mr. Speaker, people made up their minds on the export of

bulk water from this Province two years ago, and they have not changed. The only

person who has changed his mind on that in this Premier.

Premier, do you realize that not only outside this Legislature but inside

this Legislature, on both sides, people are asking: Why has this Premier moved

so far and so fast away from the policies that brought them the government?

MR. SPEAKER: Order, please!

MR. E. BYRNE: Why is it, people are asking - not only outside but inside

this Legislature, Mr. Premier - that you are not standing up for rural

Newfoundland and Labrador?

MR. SPEAKER: Order, please!

MR. E. BYRNE: Why is it that you have taken so many directions away from

the mandate that you sought? They are the questions that are being asked of you,

Premier.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: Order, please!

The hon. the Premier.

PREMIER GRIMES: Thank you, Mr. Speaker.

I am glad that the Leader of the Opposition finally got around to the

question that he was instructed to ask today by the leader, by the puppet

master.

SOME HON. MEMBERS: Hear, hear!

PREMIER GRIMES: It took him a little longer today to get around to the

daily question from the puppet master. It is a serious point and needs to be

clarified. They talk about the mandate from 1999. The only one of the three

issues that he mentions in the mandate in 1999 that was in the public domain,

being publicly debated in this Province at that time, was Voisey's Bay.

The issue about FPI, that he suggested yesterday, that we had a mandate in

the election. It was not even on the radar screen. It was not being talked about

in Newfoundland and Labrador. It happened long after the election. It was an

issue that the government dealt with because it arose after the election. It was

not being discussed during the election. It was not being contemplated during

the election.

With respect to water exports: Guess how much debate there was about water

export in the 1999 election? Zero. It was not in their platform. It was not in

our platform. It was an issue that arose because a proponent came forward well

after the election and said: I would like to export some water from Gisborne

Lake. The government of that day dealt with it and the government of this day

will deal with it again.

MR. SPEAKER: Order, please!

I ask the hon. Premier now to conclude his answer.

PREMIER GRIMES: Once we have information, we will find out, with full

information, whether or not the people of Newfoundland and Labrador support the

export of water in bulk or other forms from Newfoundland and Labrador.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: A supplementary, the hon. the Leader of the Opposition.

MR. E. BYRNE: Mr. Speaker, the Premier is wrong again. He has only read

up to page eighteen of the Blue Book. If he reads pages nineteen and twenty he

will find the quote there: that a PC government, if elected, will not export

bulk water from Newfoundland and Labrador. So read on Premier!

SOME HON. MEMBERS: Hear, hear!

MR. E. BYRNE: You raised the issue of FPI. This is my last question: Have

you decided yet, on the issue of FPI, if you are interested enough -

SOME HON. MEMBERS: Oh, oh!

MR. SPEAKER: Order, please!

The hon. the Leader of the Opposition.

MR. E. BYRNE: Thank you, Mr. Speaker.

I want to know if the Premier has decided - now it is the last day in the

House for this week - if he can answer me frankly and straightly; Mr. Straight

Answers. Have you decided if you are interested enough by today to stand up for

places like Harbour Breton, the Northern Peninsula, Bonavista and other places

which are going to be affected by a significant altercation or alteration in the

structure of FPI? Have you decided if you are interested enough, Premier, to do

that today?

MR. SPEAKER: The hon. the Premier.

PREMIER GRIMES: Thank you, Mr. Speaker.

To the Leader of the Opposition, I would encourage you to stay on, you are

doing a great job. I would assume that you have read the front page of The

Telegram today where the whole point that I have been making about this is

exactly stated on the front page of The Telegram . Nobody knows whether or

not the issue that is before FPI and its shareholders is going to go one way or

the other in terms of who runs the organization. We have stated in this

Legislature that, over that issue, we do not have a great deal of concern. We

are only concerned, with whoever is running FPI, that they do it and continue to

do it in a fashion that protects the interests of rural Newfoundlanders and

Labradorians in the rural communities of Newfoundland and Labrador.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: Order, please!

The hon. the Member for Bonavista South.

MR. FITZGERALD: Thank you, Mr. Speaker.

I have a question for the Minister of Industry, Trade and Rural Development.

Before asking the question I would like to welcome him back from his pilgrimage

to find a seat in the kingdom of heaven in Ottawa.

I have a very serious question. Minister, in 1996 Canada and the United

States signed a Softwood Lumber Agreement that caps the total amount of

duty-free lumber that four Canadian provinces sell into the United States. The

Atlantic Provinces are now exempt from that cap and can sell any amount of

lumber into the United States market, duty-free. Lumber production in

Newfoundland and Labrador has nearly doubled, I say to the minister, in the last

five years from 68 million board feet to one 125 million board feet, and half of

this lumber is shipped out of the Province into markets, primarily, in the

United States.

Minister, this five-year agreement expires on March 31, just a couple of days

time. All indications are that Washington is looking for extra tariffs and

duties on all softwood lumber entering the United States, including those from

this Province. I would like to ask the minister, since this is a very serious

trade issue, what the minister and his government has done in order to protect

this Province's interest?

MR. SPEAKER: The hon. the Minister of Industry, Trade and Rural

Development.

MR. TULK: Let me say to my friend from Bonavista South, first of all, if

ever I should leave this place I hope that he leaves with me so that I don't

miss him.

SOME HON. MEMBERS: Oh, oh!

MR. TULK: I think it would be a tremendous loss in my life if I couldn't

look across at you everyday and see you.

Now to deal with the issue. Yes, Mr. Speaker, we recognize, and recognized

some time ago, that there is a problem with the Softwood Lumber Agreement with

the U.S. As a matter of fact, I think we met with the Maritime Lumber Producers

Association about a month ago, had a discussion with them and we recognize that

we are fighting the rest of -

AN HON. MEMBER: (Inaudible).

MR. SPEAKER: Order, please!

MR. TULK: He is at it again over there. Can somebody feed him?

SOME HON. MEMBERS: Oh, oh!

MR. TULK: We recognize that there is a serious problem and that the rest

of Canada is trying to put pressure on the federal government to see that,

indeed, there be one fee structure, or if you want, one trade structure for

Atlantic softwood. We made representation to the federal minister, through the

Minister of Forest Resources and Agrifoods, that that not be the case and that

they keep the agreement with the U.S. under the North American Free Trade

Agreement the same as it is now.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: A final supplementary, the hon. the Member for Bonavista

South.

MR. FITZGERALD: Minister, just to tell you how important this issue is,

probably as you already know, over 3,000 people are employed in the lumber

industry in this Province on either a full-time or part-time basis. That is

equivalent to the total number of people employed in the mining industry in this

Province. It is about the same number as the number of people employed in the

pulp and paper industry, and three times the projected employment for Voisey's

Bay during peak production.

I ask the minister: If Canada agrees to restrict duty-free lumber exports

from this Province to appease the Americans, has the minister raised the issue

of compensation for companies and workers who make their living from this

industry because of lumber export duties being provided by the United States?

MR. SPEAKER: The hon. the Minister of Forest Resources and Agrifoods.

SOME HON. MEMBERS: Hear, hear!

MR. WOODFORD: Mr. Speaker, with regard to the Softwood Lumber Agreement,

yes it is well known and public knowledge that that agreement is up at the end

of March, that five-year agreement. As the minister has already said, we have

made representation to the federal trade minister, Pettigrew. I brought it up

with the federal agrifoods minister a couple of weeks ago in Montreal, Quebec. I

have also written and copied our representative in the federal Cabinet, Mr.

Tobin. Every five years they come up with this - the last fifteen years, it goes

right back to 1985, 1986. There is always a problem at the end of the agreement.

This year there is a crack in it, in the fact that B.C. is looking to go it

alone, or they were there for a few days. Now, today, it is at the stage whereby

the United States, the Bush administration is saying that Atlantic Canada may be

exempt. Our view on this is that we have to negotiate as a nation and as Canada.

This is where we stand today as a Province. We are making sure that our views

are heard on the federal scene and making sure that this is taken up with the

Bush administration in Washington. It is very important. We exported 62 million

board feet out of this Province last year.

MR. SPEAKER: Order, please!

I ask the hon. Minister to conclude his answer.

MR. WOODFORD: There was 1.3 billion board feet in Atlantic Canada, but

the ceiling in the whole agreement was 14.7 million board feet before there was

any tariffs or countervailing issues put in place before in the old agreement.

We want at least that and then some. We want Newfoundland to be exempt as we did

before.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Member for Baie Verte.

MR. FITZGERALD: Thank you, Mr. Speaker.

MR. SPEAKER: The hon. the Member for Baie Verte.

The Chair has recognized the hon. the Member for Baie Verte, unless the hon.

member wants to give way for one final supplementary to the hon. member.

One final supplementary, the hon. the Member for Bonavista South.

MR. FITZGERALD: Thank you, Mr. Speaker.

I say to the two ministers who stood on their feet: Premier Hamm, from the

Province of Nova Scotia, has seen fit to get involved in this discussion

himself. We have not heard a word uttered from people opposite.

SOME HON. MEMBERS: Hear, hear!

MR. FITZGERALD: The minister states he wrote a letter. I am not sure how

effective letter writing is, I say to the Premier.

The minister and his colleagues made a great hoopla over transferring a

couple of hundred public service jobs to rural Newfoundland from St. John's.

Three thousand jobs in this industry are in jeopardy here, I say to people

opposite, and this government have not uttered a word. I wonder if the minister

can explain why the government appears so unconcerned about rural industries in

rural Newfoundland and Labrador.

SOME HON. MEMBERS: Hear, hear!

AN HON. MEMBER: (Inaudible).

MR. FITZGERALD: It is true!

MR. SPEAKER: The hon. the Minister of Forest Resources and Agrifoods.

MR. WOODFORD: Mr. Speaker, as a government we have made representation.

We have been talking to the Newfoundland Lumber Producers' Association, who in

turn recommended and accepted the fact that the Maritime Lumber Bureau would

represent all of the Maritime Provinces and all of the Atlantic Provinces on the

national scene. Yes, there were different premiers of different provinces who

got involved. Yes, there are ministers in each province who got involved. We

know how important this is to Newfoundland and Labrador. That is why we made

representation on several occasions. That is why we are still monitoring the

situation and we are -

MR. TULK: (Inaudible) on the weekend about it.

MR. WOODFORD: Pardon me?

MR. TULK: There is discussion (inaudible).

MR. WOODFORD: Yes, and we -

SOME HON. MEMBERS: Oh, oh!

MR. SPEAKER: Order, please!

The hon. the Member for Signal Hill-Quidi Vidi.

MR. HARRIS: Thank you, Mr. Speaker.

My question is for the Premier. Since the Premier has dismissed the right of

former Premier Tobin to talk about policy in this Province, I am going to quote

to him his statement in the House on November 30 - this Premier's statement:

The government has heard the people, the government has listened to the people,

the government has already, with the approval of the opposition parties, passed

second reading which is approval in principle on the whole issue that is

outlined in the petition that water is not to leave this Province in bulk for

export. That issue is dealt with.

I say to the Premier, if he was listening to the people then, can he tell us

who he is listening to now on the issue of bulk export of water?

MR. SPEAKER: The hon. the Premier.

SOME HON. MEMBERS: Hear, hear!

PREMIER GRIMES: Thank you, Mr. Speaker.

I appreciate an opportunity to address the issue again, because it needs to

be addressed in the Province several times, obviously; because both parties in

opposition, for some reason, do not even want to talk about it.

What I have put forward is that I do believe that the people of Newfoundland

and Labrador deserve, because it is such a valuable resource, admitted by the

Leader of the Opposition, it is such an incredibly valuable resource, that the

people of the Newfoundland and Labrador deserve to have a full, informed debate

again about whether or not it makes sense and is to our benefit to export water

from Newfoundland and Labrador either in bulk form, bottle form, or both, and we

will not be deterred from gathering the information and having the debate.

We did hear before, but people like the Member for St. John's South wanted

to fearmonger -

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: Order, please!

I ask the hon. the Premier now to conclude his answer.

PREMIER GRIMES: He wanted to fearmonger about implications under NAFTA.

Mr. Speaker, just let me read one quote from the NAFTA agreement where it

says: If you let them export water, it means they can rush in here from the

United States and take our water and run off with the water.

That is what he was saying. The words say this: If an investor comes forward,

there shall be accorded to any other party the same treatment as an investor in

this Province, which means they have to go through the same environmental

process, the same permitting, go through all the same regulations as anybody

else in Newfoundland and Labrador. They cannot come and take our water. They

make you believe they can come and take the water!

SOME HON. MEMBERS: Hear, hear!

PREMIER GRIMES: They do not want to have a real debate, Mr. Speaker.

MR. SPEAKER: A supplementary, the hon. the Member for Signal Hill-Quidi

Vidi.

MR. HARRIS: Thank you, Mr. Speaker.

So, not only is former Premier Tobin ignorant on this issue; so is federal

Minister Anderson who said yesterday that, once you turn it into a good, it will

be subject to export elsewhere.

I would ask the Premier to tell us about what his government has done since

November of 1999 on the issue of royalties on bottled water, when they announced

a ministerial committee would report in ninety days. Have they done anything in

terms of supporting the bottle water industry in this Province, developing a

system of royalties, and increasing this Province's gain from $6,000 to

somewhere approaching a reasonable royalty on bottled water?

MR. SPEAKER: The hon. the Premier.

PREMIER GRIMES: Thank you, Mr. Speaker.

When we have the informed debate - and words are important - when we have the

informed debate about the issues of exporting water from Newfoundland and

Labrador for the benefits of Newfoundlanders and Labradorians in bulk and/or in

bottles, all of these issues will be presented in the public with a factual

basis, and anyone who wants to suggest that someone could come in to

Newfoundland and Labrador bypass the government, ignore the people, and just run

in here with anything they want and scoop up the water and run away with it - we

will have an informed, rational debate.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: Order, please!

Question Period has ended.

Presenting Reports by Standing and Special Committees; Notices of Motion;

Answers to Questions for Which Notice has been Given; Petitions.

Orders of the Day

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

MR. LUSH: Mr. Speaker, I am looking for the appropriate Order of the Day.

I have it.

MR. SULLIVAN: A point of order, Mr. Speaker.

MR. SPEAKER: Order, please!

On a point of order, the hon. the Opposition House Leader.

MR. SULLIVAN: Mr. Speaker, it was a little noisy. With the permission of

the Government House Leader, we have a couple of petitions to present - in fact,

we have three petitions to present - if we could revert to that item on the

Order Paper.

MR. SPEAKER: Is it agreed?

SOME HON. MEMBERS: Agreed.

MR. SPEAKER: The hon. the Member for Harbour Main-Whitbourne.

MR. HEDDERSON: Mr. Speaker, I rise today to present a petition that was

circulated not only in my district but in the area of Trinity and Conception

Bay. It is a petition that amazingly has 13,000 names on it. The petition calls

for a review of the zoning with regard to insurance, from Zone 1, which includes

the St. John's area, to a Zone 2. A recent re-zoning of the Burin and

Bonavista Peninsulas will enable that particular zone, Zone 2, to get much

cheaper insurance rates.

Now, the rationale for keeping the Avalon region - that is the whole Avalon

Peninsula - in Zone 1, is that all of the drivers, all of the automobile drivers

in the Avalon Peninsula region, really use the same roads. The argument of the

movers of this petition clearly point out that is not true.

When you look at the driving patterns of the people in and around St. John's,

it is completely different than the driving patterns of people out in the

Whitbourne-Markland area, upper and lower Trinity, down Bay de Verde region, up

along Carbonear-Harbour Grace, and these 13,000 people are suffering with regard

to high insurance rates.

What these people want is, they want the government to do a review so that

the rationale for this becomes obviously very, very clear to them. They cannot

understand how they can be penalized. They live well beyond 100 kilometres

outside of the St. John's region. Not only are we hearing from these people,

but if you look up the Southern Shore, down around Placentia area, these areas

as well are under that same zoning. I would suspect that my colleagues may speak

on that at some later time, but the reason to bring it to the attention of this

House is again to encourage the minister to review and come back to the people,

these 13,000 people and more, who have signed this petition, to come back to

these people and give them a very clear reason or reasons why the driving

patterns of people - for example in Bay de Verde - are called similar. When we

are talking about this particular region, we are talking about a region made up

of -

MR. SPEAKER: Order, please!

The hon. member's time is up.

MR. HEDDERSON: By leave, Mr. Speaker?

MR. SPEAKER: Does the hon. member have leave?

AN HON. MEMBER: By leave.

MR. HEDDERSON: The region that I am referring to is mostly, for the most

part, a rural area. The density of the population on the Avalon Peninsula is in

and around St. John's and Mount Pearl. So when we talk about looking at

rezoning we are asking the government to look at the people who are living in

these areas. These are mostly senior citizens whose driving patterns are just a

kilometer or two a day.

I call upon the minister - again, if he would look at the names behind this

petition. If the minister would look at, once again, reviewing this entire

situation. We are not looking at the whole Avalon Peninsula. We are looking at

drawing the lines where the patterns certainly are different. These people

cannot understand why, in Bonavista and Burin, they could be put in Zone 2

whereas parts of the Avalon Peninsula have not been considered. Again, a plea to

the minister to change it.

I especially congratulate the mover of this petition, Victoria Harnum of

Harbour Grace. She is in the gallery today. I congratulate her for taking the

initiative of sending around these petitions to the local stores, the local

areas, and getting 13,000 names. I believe this petition certainly indicates

that this issue is not dead. Again, a call to the minister to review the

situation.

Thank you very much, Mr. Speaker.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The Chair would like to take this opportunity to welcome to

the gallery today Mayor Walwin Blackmore of the town of Grand Falls-Windsor.

SOME HON. MEMBERS: Hear, hear!

Orders of the Day

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

MR. LUSH: Order 2, Committee of Supply. We will be debating the

Legislature and Executive Council.

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

Supply, Mr. Speaker left the Chair.

CHAIR (Mercer): Order, please!

The hon. the Member for Waterford Valley.

MR. H. HODDER: Thank you, Mr. Chair.

I did have some questions for the minister, the President of Treasury Board.

The questions I had were more particular to the Estimates themselves. I had

hoped that she would be in her place and be able to respond to these, but I

understand that she is going to be absent for a few moments. We do understand

now that the President of Treasury Board is available for some questions.

I want to go to 3.1.05, 3.1.06 and 3.1.07, to kind of finish up this

section

that we did not complete yesterday afternoon. This is the Executive Council

under Treasury Board, 3.1.05, the Strategic and Human Resource Policy. I did

note last year that you had budgeted $547,800 and the revised budget went up to

$618,300. I want to ask the minister what is the occasion for this rather

significant increase? I notice it is back this year to $599,800. Under Salaries,

3.1.05.01, salary changes over the last two years.

CHAIR: The hon. the Minister of Finance.

MS J.M. AYLWARD: Thank you, Mr. Chair.

I apologize to the member, I was on my way out of the House for a moment. I

think I got the question as it relates to the increase in Salaries in 3.1.05,

under the Strategic and Human Resource Policy. Is that correct?

MR. H. HODDER: Yes.

MS J.M. AYLWARD: What we have done here is added a permanent position

during the fiscal year, and that has accounted for the increase.

CHAIR: The hon. the Member for Waterford Valley.

MR. H. HODDER: You said you added a new position. Would that be a

permanent position, a temporary position with a years' contract, or is this

person on some kind of contractual basis?

CHAIR: The hon. the President of Treasury Board.

MS J.M. AYLWARD: It is a new permanent policy position.

MR. H. HODDER: Thank you very much, Madam Minister.

In the issue of Transportation and Communications, .03; you had $28,200 last

year but it went up to $51,000. I wonder if the minister could explain why the

increase was nearly 100 per cent? Also, this year it is back to $28,200. What

happened last year to drive those travel costs and communication costs to almost

100 per cent more than you had allocated?

CHAIR: The hon. the President of Treasury Board.

MS J.M. AYLWARD: Thank you, Mr. Chair.

As the member opposite would know, this particular subsection covers

Executive Council, the Department of Finance, the Department of Labrador &

Aboriginal Affairs, as well as the Public Service Commission for the Training

and Development Division piece. As a result of all of the departments and

increases in training demands, travel was increased because obviously we don't

just do that sort of thing only in St. John's. We travel around the Province

to do the training for our employees, all across the Island as well as Labrador.

CHAIR: The hon. the Member for Waterford Valley.

MR. H. HODDER: If that is the rationale, Madam Minister, then one would

think that this year you will be doing the same level of training that you were

doing last year. Last year you used $51,000 but this year you are back to

$28,200. Does that mean that you are not going to be doing as much training in

out-of-town locations this year as you were doing last year?

CHAIR: The hon. the President of Treasury Board.

MS J.M. AYLWARD: Thank you, Mr. Chair.

Again, you can see that the original budget was at what the current budget is

estimated for this year. Right now, we are planning just to do our usual. The

way it works is that there are needs that arise throughout the year that you

have to meet those requirements based on the requests that would be made. Right

now, we are budgeting what we had previously budgeted last year. Hopefully, we

will not spend as much if we do not need it, but if we do, you can see we will,

to meet the training needs of our employees.

CHAIR: The hon. the Member for Waterford Valley.

MR. H. HODDER: Thank you, Madam Minister.

If we could go to the next item there, the Opening Doors, up front I want to

say that I am very supportive of this particular initiative of government. This

is employing opportunities for persons with disabilities. It is an initiative, I

think, of which all members of this House are quite supportive. Certainly, we

give encouragement to the government to provide equal opportunities for access

to jobs.

Also, I compliment the government, because when government does something

good, I want to be the first to say that they are doing something right, and not

criticizing for the sake of criticizing.

MS J.M. AYLWARD: A breath of fresh air, I say to the Member for Waterford

Valley.

MR. H. HODDER: We do not get the chance very often to compliment the

government but, when it comes to hiring people with disabilities, this is an

area where I can compliment the government and say to Madam Minister that she

herself has show a strong interest in this particular program for a long time.

MR. FITZGERALD: Stop praising her, Harvey. Don't go praising her; it

might go to her head.

MS J.M. AYLWARD: Yes, come on, get with the program. Get back to

criticizing.

MR. FITZGERALD: She is not tuned in to being praised from over here.

MR. H. HODDER: I do say to my hon. colleague, the Member for Bonavista

South, it is a rare occasion.

On behalf of all of those people with disabilities, the challenges are still

very great, I say to the minister. We have not gone as far as we should be

going, but there have been significant improvements. I certainly have some

complimentary words to say to the minister on behalf of those people who are

participating in the JEEPS program.

Madam Minister, under Salaries, however, we do note that last year you

budgeted $1,847,200, you actually spent $1,748,800, and this year you are going

to spend $2,048,500. I want to ask the minister what new positions we are going

to be putting in place to account for this increase, and also whether these

positions will all be in the St. John's region. Could you give us some idea as

to how these opportunities are spread throughout the Province as well? Are we

providing the same level of opportunities to rural Newfoundland communities

under this program as we would be to the St. John's or Corner Brook areas?

CHAIR: The hon. the President of Treasury Board.

MS J.M. AYLWARD: Thank you, Mr. Chair.

Again, I want to thank and acknowledge the comments made by the Member for

Waterford Valley with respect to this program. We do agree, it is a good

program. The program is focused around increased positions by ten, as you know.

As far as I am aware right now, not all of the positions are filled. I guess

they would have to go through the posting process and look at the needs.

From what I can gather, a number of various regions have submitted the needs

for positions. I guess they will look at the total needs, what they are for, and

make the decision on exactly where they go - I do not think that has been

determined yet - but there is no intent to harbor them all in one area or the

other. It would be based on the application process, the types of jobs that

would be required, and the needs of a particular region.

As far as I know, those ten positions have not been allocated by population

or by any other reason except what is needed throughout the regions and the

requests that they have put forward.

CHAIR: The hon. the Member for Waterford Valley.

MR. H. HODDER: Thank you, Madam Minister.

I just hope that when you get the chance to bring forward the discussions to

the federal level, and we talk about allocating money on the basis of need, that

we can convince the federal government, of course, that should be the philosophy

that they should be allocating money to our health care system on the same

basis.

MS J.M. AYLWARD: Absolutely.

MR. H. HODDER: In this program, as the minister has said, we try to look

at the needs of the people, and where they are located, and how we can most

conveniently find job opportunities for them in the regions closest to where

they are. Certainly, I say to the minister, the change in the federal formula,

which, of course, is based on population only in terms of our health care

dollars, has really constrained the ability of Newfoundland and Labrador to be

able to provide the same level of services in health care as we know exist in

other provinces.

I wanted to move over, if I could, to the French Language program. That is

3.1.07. I want to note again that the budget is basically the same as it was

last year. I did notice that you allocated, under 01. Salaries, $335,900 last

year, you spent $377,400. That extra $40,000, is that because the

recently-retired Premier, the moving-on Premier, in preparation for going back

to Ottawa, he needed more intense language lessons? I did note that he did speak

in the House of Commons a few days ago in French, so we assume that we spent

$40,000 making sure that former Premier Tobin's French Language skills were up

to scratch?

MR. TULK: Former former.

MR. H. HODDER: Former former. I apologize to the Member for Bonavista

North. He is a former former Premier. We forgot you so fast, I say to the

member, we had not expected you back actually. We had expected you to be sending

us a note and saying to your former colleagues here how good it was to be in

Ottawa, how red the carpet was. We certainly had reason to expect that we would

hear big announcements on behalf of the member.

Why did we have such an increase last year, I say to the minister? We went

from $335,900 on French Language instruction to $377,400. There must be a reason

for that. Why did that occur?

CHAIR: Before recognizing the President of Treasury Board, the Chair

would like to recognize the presence in today's galley of Mr. Tom Osborne, the

Mayor of Arnold's Cove.

SOME HON. MEMBERS: Hear, hear!

CHAIR: The hon. the President of Treasury Board.

MS J.M. AYLWARD: Thank you, Mr. Chair.

In response to the question, there was an increase in the temporary

instructors' positions for French training. I cannot speak to exactly who

received the benefit of the extra temporary positions and instructors in French

training.

AN HON. MEMBER: It wasn't me.

MS J.M. AYLWARD: And it wasn't me.

CHAIR: The hon. the Member for Waterford Valley.

MR. H. HODDER: Minister, how many French Language instructors do we

employ, and how many students in the civil service - I will call them clients

within the civil service - are now actively engaged in the French Language

instructional programs?

CHAIR: The hon. the President of Treasury Board.

MS J.M. AYLWARD: Thank you, Mr .Chair.

We have a manager of the French Language unit; we have a staff training and

development office; we have three language training officers. One is provided by

the federal government. We have a bilingual liaison officer and a bilingual

administrative assistant; and we also have the temporary assistants as well.

With respect to the exact number, I would have to find that out. I do not keep a

running tab on who is taking French lessons, if you are registered or not, but I

can certainly find out. It is not an issue.

CHAIR: The hon. the Member for Waterford Valley.

MR. EFFORD: Harvey, the (inaudible) question will depend on what is going

to happen with the Dow Jones tomorrow.

MS J.M. AYLWARD: Yes, I was thinking there was a few other issues I have

been paying attention to lately, I don't mind admitting to my colleagues.

AN HON. MEMBER: (Inaudible).

MS J.M. AYLWARD: There are a few other things on the go recently, I would

say to my colleague, like a Budget and things like that.

MR. H. HODDER: I would say to the hon. the President of Treasury Board

that yes, we understand that her mind might be occupied in other places these

days, particularly over the next few days. As we hear from the media this

morning, there is a lot of activity occurring in and around St. John's with

negotiations with the public service, and that kind of thing.

If I could move over to the Office of the Comptroller General and we note

that again there has been some changes. Last year there was $2.26 million

allocated, the actual spending was $2,089,700, but this year it is back to

$2.278 million. I was wondering if the minister could tell us why there has been

an increase in the allocation of funds for the Comptroller General?

CHAIR: The hon. the President of Treasury Board.

MS J.M. AYLWARD: Thank you, Mr. Chair.

There were some vacancies which occurred during the year which we would be

planning on filling, then you add that on to the other salary benefits and

costs. That would attribute for the increase.

CHAIR: The hon. the Opposition House Leader.

MR. SULLIVAN: Thank you, Mr. Chair.

Just a couple to finish off this

section here under Comptroller General.

Professional Services was budgeted at $50,000, spent $120,000 and back to

$50,000 this year. That must have been an historic amount. Why the extra

$70,000, 140 per cent, over the expenditure in that area?

CHAIR: The hon. the President of Treasury Board.

MS J.M. AYLWARD: I just ask for clarification, under Professional

Services you are referring?

MR. SULLIVAN: Yes, it is.

MS J.M. AYLWARD: The reason that is higher is because there was an

increased use of consultant services for various projects under that particular

section.

MR. SULLIVAN: What type of projects might be over and above the normal?

MS J.M. AYLWARD: I think one of the issues was around the accounting

systems. Looking at the accounting systems and also -

MR. SULLIVAN: Following the Auditor General's advice, that type?

MS J.M. AYLWARD: The payroll systems. Those kinds of initiatives, from

what I can gather.

CHAIR: The hon. the Opposition House Leader.

MR. SULLIVAN: Thank you, Mr. Chair.

Under 06. Purchased Services, there was an expenditure of $65,500 over and

above last year and of course, in this fiscal year now it is budgeted at the

same amount again. Would that have been along the same lines, the same reason

for that too?

MS J.M. AYLWARD: The reason for this particular one is that there was an

increase in the usage of the credit card payments.

MR. SULLIVAN: Pardon?

MS J.M. AYLWARD: There was an increase in the fee cost because of the

increased usage in the credit card payments associated with this section.

CHAIR: The hon. the Opposition House Leader.

MR. SULLIVAN: More credit card use than historically, is that basically -

MS J.M. AYLWARD: No, the fee was higher for the usage, not the usage

itself.

MR. SULLIVAN: Oh, the fee has gone up.

MS J.M. AYLWARD: Right.

MR. SULLIVAN: So wouldn't that reflect in the next year again?

MS J.M. AYLWARD: No, from what I can gather, there was some sort of an

arrangement where I think we are going to get it back to where it was.

MR. SULLIVAN: Okay. So there was some dispute or it was challenged and

you went back and requested that it was too high? You said the fee was too high,

you wanted it rolled back and you got a positive response back. Would that be

it?

MS J.M. AYLWARD: No, we are under the impression that this year the rates

will be more stable than they were. From what I can gather the cost was higher

because of the usage. I guess what we are looking at doing this year is having a

better planned usage of the credit cards with respect to the payments.

MR. SULLIVAN: Okay.

That pretty well completes that

section there so I am going to - I think my

colleague, the leader, has a few things he wanted to touch on under Executive

Council.

CHAIR: The hon. the Leader of the Opposition.

MR. E. BYRNE: Thank you, Mr. Chair.

On Tuesday, before Private Members' Day, we concluded some remarks on the

Budget specifically dealing with the Intergovernmental Affairs Department. As I

indicated at that time, my feeling, this is a department that plays a crucial

and critical role in all aspects of government but yet, at the same time, it is

probably one of the most - or I should say it this way - the least understood

ministerial department in government.

The last day we got into the heading dealing with Policy Analysis and

Coordination. The Minister of Intergovernmental Affairs today, who happens to be

also the House Leader, represents this provincial government in all

interprovincial relations. In fact, in all relations outside of Canada. That is

the line department that takes the lead, coordinates, assists, provides analysis

on government policy, vis-- vis, our sister provinces. We got into the

discussion on Tuesday, vis--vis, of what approach or what has been provided on

the whole notion of Upper Churchill, Lower Churchill and the position of the

government. I would like to ask the minister a few questions today dealing with

- on page 20, budget subhead, 2.3.03. Policy Analysis and Coordination.

Obviously, with the debate that is occurring, the impact of bulk export of

water, et cetera: What positions has government put forward recently, if any, on

this debate to the federal government?

MR. LUSH: I don't think, Mr. Chairman, that the department has put

anything together recently to the federal government. We are presently

coordinating and gathering information for the Premier. That is basically what

we are doing now, collecting, gathering information so that we can be

enlightened as to what all the factors are in this situation. That is basically

what we are doing now, collecting, gathering information for the Premier. At

that point in time, when we have gathered the information, I think then the

Premier will decide whether or not he wants us to proceed to the federal scene.

CHAIR: The hon. the Leader of the Opposition.

MR. E. BYRNE: Under this section, Salaries; $521,300. Do you have

somebody specifically on this file, or do you have somebody specifically on the

Lower Churchill file? Do you have someone specifically dealing with the federal

government, for example, on the Canada Health and Social Transfer Act? How is

the department organized based - I have the salary details here. I am not

worried about the salary details and the explanations, that has been provided.

But, what I am interested in are some of the duties that the minister may have

provided to his staff related to these important files.

AN HON. MEMBER: Oh, I am sorry.

MR. E. BYRNE: I will be finished in a moment, I say to the Clerk.

If he could elaborate. How do you have that staff structured in terms of

duties and responsibilities, what files they have, vis--vis interprovincial

relations, the federal government on Canada Health and Social Transfer, on

issues that are emerging like bulk export, for example? I wonder if he could

elaborate a little bit on that, please?

CHAIR: The hon. the Government House Leader.

MR. LUSH: Thank you, Mr. Chair.

The department is divided into three areas really. We have the

administration, we have people dealing with policy, and we have people dealing

with the regionalization. So, yes, there are people in policy. These people do

work on advising the government on a variety of issues, not only the issue on

Gisborne, but on a variety of issues. I say to the member, it is not a large

department. There would not be large numbers of people, but there would be

people in policy who would be committed to, dedicated to, and assigned to

working on a large variety of problems. So yes, there is a division of policy

and these nine or ten people would be working in a number of areas. I am just

trying to think now, I don't think that they would be specific. They are sort

of in a general capacity. For example, we have people who advise on defense.

That might be the most specific one, people who advise us on defence, but in

other matters - we also have another person in French. There is a person who

advises on Quebec affairs. The others would be more general and they would work

on a variety of files.

CHAIR: The hon. the Leader of the Opposition.

MR. E. BYRNE: Thank you, Mr. Chair.

In terms of outside of the intergovernmental relations within Canada - I

throw this question out more as an opportunity than anything else to the

minister. Do you play a role, for example, in providing analysis and support say

to the Department of Tourism in terms of any market analysis in developing

tourism in the Province? Do you provide a role in any way, shape or form with

the Department of Industry and Rural Renewal now in terms of possible

opportunities that you have identified, or does the departments from time to

time make requests of the Intergovernmental Affairs secretary, their department,

to play a role? Do you provide on the one hand, and proactive, and at times upon

requests from other line departments - do you get involved in that aspect or is

it on a more general basis?

CHAIR: The hon. the Government House Leader.

MR. LUSH: With respect to tourism and culture, particularly - the hon.

member is using that as an example - it would be more on a general basis in

terms of facilitating and assisting. If they were looking for some particular

assistance in federal matters, or they wanted this department to facilitate what

they are doing, but in getting down to the actual details of formulating policy

with respect to markets or determining markets, no. With the Department of

Tourism it would be more of a general matter. In the specifics itself, the

Department of Intergovernmental Affairs in specific matters would deal with

defense. That is a real big one, really. A lot of members are probably not aware

of how large defense is to the economy of this Province. For example, Goose Bay

itself, with respect to its military training, the low level flying, that last

year meant $91 million to this Province. So that is a direct line with this

department. The IGA is the direct line in that department.

Labour mobility; we are presently working with labour mobility with Quebec.

We are in a line situation there. Honourable members will know that with Quebec,

for a long time there have been some complaints with Newfoundlanders, in

particular, that we cannot work in Quebec but Quebecers can work in

Newfoundland. It has been a sore point with Labrador City. No, I should say

Labrador. It has been a sore point there with Labradorians where Quebecers come

in and work. We don't have the reciprocal agreement but we are working on

that, and I might say, we have made some headway. We have made headway now with

workers. We had an exchange of workers in Fatima in Quebec, and we are now

working with contractors. We think, within time, we will have that worked out

where there can be interaction between companies in Quebec and Newfoundland, and

with the workers. That is a large area.

The other thing that we are responsible for is the Ministerial Council of

Social Policy. The IGA minister is a minister of that particular organization

that develops social policy for all of Canada, and the Minister of

Intergovernmental Affairs is an active participant on that committee and

hopefully, is instrumentally in developing social policy for Canada.

Also, we are a line department - which is not very big at the moment but we

hope that it becomes bigger - with respect to immigration. The hon. member

mentioned that the department coordinates - that is the big word - and assists

with the other departments that have federal connections, and we participate in

all agreements for economic development in the Province. I do not think there

are any exceptions. I think we are a part to all of the agreements being signed

for the Province. All in all, it is a very important department.

I want to say, in conclusion, to the Leader of the Opposition, that I want to

thank him for giving me the opportunity to say this. He mentioned Tuesday, I

think it was, when he raised this matter of what we were doing with other - he

talked about what active files there were. I should say, one of the most active

files to the minister now is equalization. We are working diligently to assist

other departments that work on that to ensure that we get a better deal re the

development of our resources. So equalization, working on that particular file,

is a large area at this particular moment. We intend to contact and meet with

all IGA ministers right throughout the country to impress upon them the

importance of Newfoundland getting a better deal and somehow a better share of

the development of our resources, particularly our offshore oil, as it applies

to equalization and related matters.

Thank you, Mr. Chair.

CHAIR: The hon. the Member for Bonavista South.

MR. FITZGERALD: Thank you, Mr. Chair.

It is certainly a pleasure to hear the Member for Terra Nova, my member, the

Minister of Intergovernmental Affairs, asking some pointed questions about his

department. We are curious over here about what the Department of

Intergovernmental Affairs does, and what their involvement is, because we saw so

little action from the former minister. We saw a minister sit in this House

before, for a full term, who did so little and never stood on his feet to answer

a question, we wondered what the Intergovernmental Affairs Department was all

about.

MR. NOEL: The questions are supposed to come from that side.

MR. FITZGERALD: The questions came from this side. I remember, as one

person who questioned, I say to the member, who stood up and asked you some

questions on Employment Insurance. You stood up and talked about going before

your own party up in Ottawa and introducing a resolution that would allow

changes to the Employment Insurance Program. I might add, it was a resolution

that was brought forward that you didn't even have the interest to hang around

and debate. When that particular issue was brought to the floor at your meeting

up in Ottawa, at your federal meeting with your federal cousins, the resolution

was introduced and when it came for discussion there wasn't one member, not

one member, I say to the people here, from that side, who attended that meeting,

who had the courage to get up and talk about the hurt that was going to be

installed and inflicted on rural Newfoundlanders because of the changes that

were brought about to the EI program.

MR. NOEL: We got changes.

MR. FITZGERALD: You got changes, but what changes did you get? Did you

bring about the changes that were really needed? The one thing that hurt people

more in rural Newfoundland as it relates to Employment Insurance, and this is

what your former Premier campaigned on. This is what your cousins up in Ottawa,

the leader of your cousins up in Ottawa, when he stood up before the people and

said, I apologize - remember that a few short months ago? - I apologize to the

people of Canada for bringing about such draconian changes to the EI program. I

was wrong.

Premier Tobin campaigned, and the Member for Terra Nova was with him, by his

side, going out and saying that we are going to make those changes. We are going

to change the legislation. We are going to re-introduce it to the House of

Commons so that it will reflect your need, so that it will reflect the hurt that

has been brought about to people who are unfortunate enough to find themselves

on Employment Insurance.

I say to the Minister of Intergovernmental Affairs, he knows the topic very

well. His district is not a lot different than mine, where I would suggest to

him there are high unemployment levels. Many people there are fortunate enough,

if you would, to have a seasonal job, but unfortunate enough to have to draw EI

somewhere during the year. That particular program, that particular piece of

legislation, as it is introduced to the House of Commons today, certainly has

not gone far enough to reflect the need by the people who have to access that

particular program.

The minister knows full well what I am talking about. He knows full well that

the divisor rule for the Employment Insurance program is hurtful to the people

who have to access EI. I think of our fish plants. I think of the people who

work at seasonal occupations, especially in the fishing industry. That is the

first industry that comes to mind when you think of rural Newfoundland. The

logging industry is another one. It is seasonal work, I say to the minister. The

people themselves do not determine when they go to work. The people themselves

do not determine when they get laid off. It all happens by forces outside of

their control.

Up until those changes that your now minister was instrumental in bringing

about back in 1996 when it came before the House of Commons, when they brought

in the divisor rule, they lengthened the amount of time that somebody could draw

EI and they increased the amount of time the people would need to qualify for

EI. They brought in the intensity rule, where they almost made people think they

were criminals because they had to draw Employment Insurance. Then they go and

pay lip service by introducing it back to the House of Commons again, no mention

of the divisor rule, no changes in the length of time that people can draw EI.

Right now in this Province today, especially in our fish plants, people who

work - and I think this time of the year normally we see some activity in the

shellfish processing plants around the Province. You do not have to drive very

far to see the ice conditions around our coast. Most of our seasonal workers

today, Minister, because of those rules and regulations, are now finding

themselves with their Employment Insurance about to expire at the end of this

month. Most of them will lose their Employment Insurance as of this weekend.

Most of them will find themselves unable to feed their families. Most of them,

through no fault of their own, will probably have the find and make their way to

a social services department in order to ask for a handout in order to be able

to keep body and soul together.

Those are the issues, I say to the minister, that I would feel a great

comfort if I knew that you, as the Minister of Intergovernmental Affairs, could

tell me that you are actively pursuing that and, yes, they have held it up in

the House of Commons and, yes, we are looking at changing it; but I do not hear

a word.

I brought up a topic here today on softwood lumber. Premier Hamm up in Nova

Scotia got involved in it himself because it was so important. It is an industry

worth $30 million in this Province today. It employs 3,000 people. That is more

people than work within the mining industry of this Province; that is double the

number of people who will work at Voisey's Bay at the peak of production; that

is more people than work in the pulp and paper industry of this Province, but we

have not heard one sound from over there.

The minister of forestry got up and said he wrote a letter. Did Premier Hamm

write a letter? Was he satisfied that it was enough to write a letter to show

somebody I am interested? Maybe I should ask the minister to table the letter

that he wrote. Maybe that is in order. I ask the minister what he has done to

protect the lumber industry in this Province today.

The lumber industry is very prevalent in my district. I have two major

sawmills, two major employers. One industry, one company, Jamestown Lumber

Company Ltd., a company that came from a group of people forming a co-op, going

out and taking their own money and putting it together and saying that we

believe in this industry and we are going to make this industry grow. I am not

sure how many people started out in the beginning. I think it might have been

six or eight people. Today, that same company employs anywhere from sixty to

eighty people. If you talk to the owner there, Mr. Bob Dingwall - a lot of

people know him here - he is a real good business man. A person who, when you

talk to him, I say to members in this House of Assembly, does not talk about the

price of lumber, he does not talk about a new machine that he put in, he does

not talk about the need to have other things done with the company. The first

thing he talks about is how proud he is to be able to employ local people from

that particular area coming to work at his sawmill. You go there today, you

drive down between Jamestown and Winter Brook, and see the business that this

man and that board of directors have created, and I can tell you that if we are

going to be looking for something to happen in rural Newfoundland and Labrador,

there is a great lesson to be learned. There is a great lesson to be learned by

people like Bob Dingwall. Those are the people who are going to drive the

economy of that particular area, and I do not think it is good enough for this

government to sit back and rest on their laurels, to write off a letter to - I

do not know which minister they wrote; he did not say. He said he sent a letter

off to some -

MR. LUSH: Minister Pettigrew.

MR. FITZGERALD: I beg your pardon? Who?

MR. LUSH: Minister Pettigrew.

MR. FITZGERALD: Minister Pettigrew. I do not think it is good enough, Mr.

Chair, when you see benefits that are derived from this particular industry, to

say that we wrote a letter.

AN HON. MEMBER: (Inaudible).

MR. FITZGERALD: March 31, two days' time? Sunday, March 31, we should

all be wary of the Ides of March, is it? A lot of things can happen on March 31.

MR. NOEL: (Inaudible) the Ides of March?

AN HON. MEMBER: March 15.

MR. FITZGERALD: I do not know when it is, but I use it as a date. It is

date that, if we do not step up to the plate and if we do not step up and

protect the industries that mean so much to rural Newfoundland and Labrador,

then I fear what will happen.

You just come up a little bit further, up to that particular

section of

Bonavista Bay that we know as Goose Bay and you come to another sawmill there,

Bloomfield Lumber Ltd. I have to say this to the minister: only two summers ago,

I drove up to Ottawa and I was driving through Montreal - it is pretty fast

traffic going through Montreal, in places, especially at rush hour - and I got

behind this transport truck. There was only myself and my wife and I said: Just

look at that. Here I am, in Montreal, nobody knows us, driving with thousands of

cars passing you by and meeting you, and you look at a tractor trailer in front

of your car and what do you see? You see a tractor trailer full of lumber with

Bloomfield Lumber Ltd. written across it. You almost want to stop somebody - I

do not know who owned the truck. I did not know who it was, but I did pass it

and I had to honk my horn because there was something in common there. There was

something that made you feel good. You knew the people, and when you saw the

Bloomfield Lumber Ltd. sign you could relate it to the owner. You could relate

it to the people you know who are going to work there. A lot of that lumber, I

say to people here, from Jamestown Lumber Company Ltd. and Bloomfield Lumber

Ltd,. and I am going to use those two industries because they are the two

industries I know best because they are in my district and I know what they do

for that particular district.

AN HON. MEMBER: Roger, were you playing (inaudible)?

MR. FITZGERALD: I don't know what I was playing. I don't know

anything about that.

I say to the minister that looking after our industries is not unlike running

in an election. If the election is called today, you don't go out, or at least

I don't - I suppose everybody has their own way of how they campaign and how

they electioneer - but you do go out knocking on doors that you don't know

first. The first thing you do is support up what you already have. You make sure

the support that was there for you is there for you now, and that it is firmed

up, and you touch the people who you know first. Then you move on. That is what

I say to the minister. There is not a lot of difference. If you are going to do

something to help rural Newfoundland and Labrador, then you have to support what

is already there first. You have to support the industry that we know is doing

alright. You have to support the industry that we know has a future. We have to

support the industry that you know is a viable industry, but part of making that

a viable industry is to protect -

MR. LUSH: (Inaudible) those people know that I support them.

MR. FITZGERALD: I beg your pardon?.

MR. LUSH: (Inaudible).

MR. FITZGERALD: I am not doubting that for one moment, Mr. Chair, but it

is a situation -

MR. LUSH: (Inaudible).

MR. FITZGERALD: Pardon?

MR. LUSH: (Inaudible).

MR. FITZGERALD: For obvious reasons, I say to the member, but that is no

reflection. The minister knows where I am.

There are two great industries, and it bothers me. If people saw me here the

last number of days that I have been standing, and we have had our plate full of

questions, you stand up at the end of Question Period and there is only a minute

or two left. So it is not something that was only dreamed up today. This is

something that I wanted to ask for days.

AN HON. MEMBER: (Inaudible).

MR. FITZGERALD: That is right. It all goes by getting what you feel needs

to be on first and then you identify a time slot. The clock does not always work

with your list.

CHAIR: Order, please!

Speaking of the clock, your time is up now.

AN HON. MEMBER: By leave.

CHAIR: By leave.

MR. FITZGERALD: The clock does not always agree with the list. I would

encourage the government to, for God's sake, do what needs to be done. Up

until now it has not been a great big issue with - well, I shouldn't say it

hasn't been a great big issue, but this past five years it has not been an

issue, because we could produce and those sawmills could hum. Whatever product

came out was taken somewhere else, and if it wasn't sold locally, the majority

of it went South of the Border. Now, we can see that closed off, and that causes

me great concern. Already the price of lumber is not what it was a few years

ago. Already the stockpiles in those mills have grown from what they used to be.

I say to you, Mr. Chairman, we are not talking about mills here that are

sending out squares or sending out round timber, we are talking about secondary

processing. That is what we are talking about. We are talking about two mills

today that are taking

part in secondary processing. The product that you see

leaving Jamestown Lumber and Bloomfield Lumber is taken to the extent that they

can take it, and ready for the supermarket shelves, ready to go in and build a

house. When it leaves it is either 2x4, 2x8, 2x10 or 2x3, whatever it is that

that market demands.

The other thing is, far different from what happened a few years ago, now it

is kiln dried. You drive down through Bloomfield now or Lethbridge or you drive

down through Jamestown and you will see, any hour of the night, a light and you

will see the smoke powering out of a couple of big houses or establishments,

right on that particular lot, known as kilns.

AN HON. MEMBER: Kilns it is.

MR. FITZGERALD: Kilns, that is what it is, yes.

One company had the unfortunate experience of having their kiln burned just a

couple of short years ago, and within months after the site was cleaned up, a

construction company moved in there and there was another kiln built, and they

are back processing and back producing lumber now as they did years ago.

So, you are not talking about a small employer. You are not talking about an

employer who is in here every day looking for government handouts. You are not

talking about an employer who closes up shop today and comes back and says: Mr.

Minister, I employed fifty people last year and now I need x number of dollars

or else I am going to close up shop and we won't be employing those people

anymore. You are talking about a solid company. You are talking about two

companies that are operated by solid management, and they are going to be there

for the long run.

I would like to, since I am on leave, ask the minister a couple of questions

and let him respond to it. I would like to ask the minister, number one, if he

would table the correspondence that was written to Minister Pettigrew explaining

the need to have those tariffs not continued with or not brought about in

Atlantic Canada. We would like to operate in the same environment as we have

operated and nurture this industry and allow it to unfold and expand and create

jobs as it has done before.

Even though the question was asked of the Minister of Industry, Trade and

Rural Development, I would think that the Minister of Intergovernmental Affairs

would have played a

part in that as well. I would think that the Minister of

Intergovernmental Affairs would be the liaison between this government and its

federal cousin up in Ottawa. I would think that this issue, being as big as it

is, that the Minister of Intergovernmental Affairs would have had some

correspondence back and forth to Minister Pettigrew and the other people in

Atlantic Canada who would have taken part, because it affects Nova Scotia and

New Brunswick just as much as it affects Newfoundland and Labrador.

I wonder if he would allow us access and provide us with a copy of the piece

of correspondence that the minister referred to here today. While he answering

some of the concerns that I have raised, maybe he would also like to tell us

what he has done, since he has been the minister, to change back the changes

that have been implemented with the Employment insurance program to help

Newfoundlanders and Labradorians, because I can assure you that the way it is

right now, it is no great help.

Also, yesterday we heard the former Minister of Fisheries and Aquaculture

stand, a fellow with a great knowledge of the fishing industry - naturally you

would expect him to because look at from whence he came - and he talked about

this new board that was struck to look at future allocation of stocks and quotas

within the fishing industry.

Maybe the minister, while answering those questions, can also ask if he has

made any representation there to have a member of the board appointed as a

Newfoundlander; a Newfoundlander appointed to that board? While we stand here

and say that the members of the board are from British Columbia, New Brunswick

and Quebec, we all say: Why haven't we got representation? Well what

representation have we made in order to made sure that we have had

representation? I would think that the minister would have been involved in that

particular debate as well and would have put forward his concerns and talked

about the need to have this government and his government's views and opinions

implemented to make sure that we had equal representation on that board. Here

again, it is a board whose decisions affect greatly the rural areas of this

Province of Newfoundlanders and Labradorians because it goes much further than a

fish plant or a company decision. You are talking about thousands of

Newfoundlanders who are employed in the fishing industry. Although most of it is

seasonal, it is very important work. It allows most people to be able live in

their communities and be able to provide for their families.

I ask the minister if he would respond to those three or four issues. I will

included (inaudible).

CHAIR: The hon. the Minister of Intergovernmental Affairs.

MR. LUSH: (Inaudible) the hon. member. I wonder if hon. members would

concur?

AN HON. MEMBER: (Inaudible).

MR. LUSH: Yes, will we do it after?

AN HON. MEMBER: (Inaudible).

MR. LUSH: Yes, that is what I think. Before we close.

AN HON. MEMBER: What time?

MR. LUSH: (Inaudible) is working our something here for the hon. members.

MR. SULLIVAN: I do not have a problem with it.

MR. LUSH: You do not have a problem with it?

AN HON. MEMBER: (Inaudible).

MR. LUSH: Yes, just before the House closes. Did you say you have to go?

AN HON. MEMBER: (Inaudible).

MR. LUSH: Yes, Okay. We just want the minister to table a document.

CHAIR: The hon. the Minister of Finance.

MS J.M. AYLWARD: Thank you, Mr. Chair.

I appreciate leave to table two pieces of information pursuant to

section

49(2) of the Financial Administration Act. I wish to table the attached list of

temporary loans raised under

section 48 of the Act since the last report to the

House; and further, pursuant to

section 55(3) of the Financial Administration

Act, I wish to table the following list of guaranteed loans paid out by the

Province since the last report to the House.

Thank you very much.

CHAIR: The hon. the Member for St. John's West.

MS S. OSBORNE: I would just like to make a brief comment. I would like to

welcome back to the Chamber the Minister of Health and Community Services. She

looks fabulous. I understand that she had good news. She is an inspiration to us

all!

SOME HON. MEMBERS: Hear, hear!

CHAIR: The hon. the Member for Bonavista South.

MR. FITZGERALD: Mr. Chairman, obviously the minister is not going to

answer some of the concerns that I have raised. That is okay. It is not uncommon

to ask questions in this Chamber and not have answers, but I can tell you those

are very serious concerns.

I am just going to chat a few minutes about the other lumber company. I

talked about -

MR. REID: On a point of order, Mr. Chair.

CHAIR: On a point of order, the hon. the Minister of Fisheries and

Aquaculture.

MR. REID: With regard to the board that you are talking about, it was not

fully set up before I arrived in that job but apparently the intent of the board

was not to have individuals who were directly involved in the industry so that

it would be an impartial board. For that reason we welcomed it as well, because

we did not want to have an individual from Nova Scotia on that board who is

directly involved in the fishery who would have his own self-interest. It was

supposed to be an independent board, independent of the industry.

CHAIR: The hon. the Member for Bonavista South.

MR. FITZGERALD: Mr. Chairman, I can understand that, but I say to the

minister, I thought that we would have a representative from the Province. I am

not saying we should have a representative from the industry. In fact, I agree

with you, that sometimes people are self-serving, that is human nature. My

problem is, I say to the minister, that we don't have any representation from

the Province, and I think we should. I do not have to get into a litany of what

the fishing industry means to this Province, the minister knows it very well. I

stood up and put forward the industry as I see it here many times and I am not

going to get into that again today because we know what the fishing industry is

worth. We know what it means. I do not think there are any of us here who would

want to see something done that would hurt people, hurt the industry, or hurt a

company.

I say to the Minister of Intergovernmental Affairs, I agree that your

department is an important department but I think we have to be more proactive

and we have to make sure that we have representation on some of those boards. I

am not suggesting somebody from the fishing industry, but I am suggesting

somebody from the Province.

AN HON. MEMBER: Why not?

MR. FITZGERALD: Well if it has to be somebody from the fishing industry,

I have no problem with that either. I would rather see somebody from the

industry there than not have somebody from the Province there, have nobody

there. Sometimes, as the minister knows, people's attitudes are self-serving

and whether that would be a problem or not with other fishing industries - if we

could find somebody that everybody agreed with, fair enough. There are lots of

capable people in this Province who are willing, I am sure, and very capable of

expressing -

AN HON. MEMBER: (Inaudible) fine fellow.

MR. FITZGERALD: Absolutely, I say to the minister, and I can name another

dozen fine fellows.

AN HON. MEMBER: I wouldn't say that many.

MR. FITZGERALD: I would, that the minister would agree with, I am sure.

Mr. Chairman, I talked about the lumber companies and I am going to go on a

little bit in that vein until my time is up. I am going to refer to Bloomfield

Lumber again. Here is a little lumber company which was started back long before

I was even born, by a gentleman by the name of George Sexton. I have always said

that George Sexton has probably put more food on people's tables in Bonavista

Bay than any other person there.

AN HON. MEMBER: (Inaudible).

MR. FITZGERALD: The present George Sexton. I know the man very well. I

can remember stories about him and how he had the first old truck. He would go

around working with the Department of Highways. I don't know what it was

called then, I guess it was roads or something. He was going around filling

potholes. Then he started going in the woods with his horses and started

employing people. He put in his own woods roads. He had his own sawmill. Then he

progressed from the sawmill to have a planer. Now he has progressed - and his

son has pretty well taken it over now, Kevin Sexton. Good business people. They

employed a lot of people. Salt of the earth, I call them, salt of the earth

people.

If you go out in Bloomfield now - well it is Bloomfield Lumber. They live in

Bloomfield. Just across the bridge is their sawmill, I say to the ministers

opposite. You should see the set up that they have out there now. He is a

Newfoundlander employing local Newfoundlanders, and that is the reason why I

feel a little bit peeved and I feel a little bit disappointed that your

government, I say to the minister opposite, has allowed this particular

agreement to expire without making the representation that is needed. That is

what bothers me.

If you go out there you see the lights on nighttime, you see the smoke coming

out of the kiln and you see the barges coming in the bay, bringing lumber in

from other places, employing truckers, employing people to unload it, employing

people in addition to the eighty or ninety people who are employed year round in

that sawmill. And we should take that kind of thing for granted?

AN HON. MEMBER: What would you do?

MR. FITZGERALD: I will tell you what I would do, Sir. I would make sure

that if I was the Premier of this Province that I would be there front and

centre to make sure that our interests were looked after. That is what Premier

Hamm did. Is there anything wrong with that?

MR. EFFORD: Did he (inaudible) what he wanted?

MR. FITZGERALD: Well, we do not know. It does not expire until March 31.

The problem is, what help did he get? What help has he gotten from here? We

heard the minister say today that he wrote a letter.

AN HON. MEMBER: He said more than that.

MR. FITZGERALD: He wrote a letter. That is all I heard. Okay, maybe he

attended a meeting, but we need representation, I say to the Minister of

Justice. We need representation there, and if there is a meeting that is going

to concern rural Newfoundlanders and Labradorians - well, I don't care if they

are from rural Newfoundland or urban Newfoundland. They are all Newfoundlanders

and Labradorians, they are all this Province, they are all taxpayers. It is

people that employ you and I. If we have a meeting on the go, or if there is an

agreement that is about to expire, and if it is helpful and convenient the way

that it is, then we should make every effort to protect the industries that

employ Newfoundlanders and Labradorians.

There is a great future in the lumber industry of this Province, a great

future. This same company, Bloomfield Lumber, I say to the minister, have

recently gone to I believe it is Roddickton and opened up another sawmill on the

Northern Peninsula that closed down, could not function. All of a sudden new

management, new ideas, new business sense moved in and have gone up on the

Northern Peninsula and opened up a sawmill that has been closed for years,

employing Newfoundlanders in rural communities again.

I do not know what is going to happen if the United States, if good old

America, Uncle Sam, decides that they are going to slap tariffs and duties on

our lumber imports going into the United States. I do not know what is going to

happen, and I fear that, because while we go to work and we see the sawmills and

we hear the mills humming, there has to be somebody out there to buy it. There

has to be a market.

If we do not reach out and make sure that we protect the markets that we

have, then there is no point in us going out and shouting and standing here on

our feet and saying how happy we are because we created another half-a-dozen

jobs. How about the fifty or sixty or the eighty, I say to the minister, that we

are going to lose in the meantime?

AN HON. MEMBER: French people (inaudible). You know that, don't you?

MR. FITZGERALD: I do not have anything against the French, I say to the

minister. I do not know what the minister has against the French people of this

country, but I have nothing against the French.

I say to the minister. I am also saddened that she has not stood in her place

and told us what she has been hearing from her constituents about their fear of

what is happening to Fishery Products International.

AN HON. MEMBER: You do not have to worry, I will deal with my

constituents; you deal with yours.

MR. FITZGERALD: I can tell you that I will deal with them, and I have

dealt with them, and I have reached out and spoken out. I do not keep my

thoughts in here. I let people know where I stand. I say that the minister has

not done that. I have talked to the people. I have talked to some of the mayors

down there and, I tell you, they are waiting for you. They are waiting for you

to speak out, to speak up and let them know where you stand. Let them know where

you stand.

I say to the minister, she has to let them know where she stands. There are a

lot of people who work in her area, employed by FPI, who have grave concerns.

The minister right here, who is rolling up his shirt sleeves, it is time for you

to roll them up and represent your people. Tell us about Harbour Breton.

MR. LANGDON: A point of order, Madam Chair.

MADAM CHAIR (Ms Hodder): On a point of order, the hon. the Minister of

Municipal and Provincial Affairs.

MR. LANGDON: I do not need the Member for Bonavista South to tell me to

roll up my sleeves. I have already done that. I have talked to the union and I

have talked to the mayor. I am in contact with my community

MADAM CHAIR: There is not point of order.

Continue.

MR. FITZGERALD: Maybe the minister can tell us where he stands on it. It

is not enough to talk; you have to know where you stand in this world. You have

to know where you stand. It is not enough to be on the fence. You have to be on

one side or the other side. You know what happens if you stay on the fence. You

have to represent the people who put you here. You have to dance with the one

that brung you. That is what you have to do.

The people down in Harbour Breton have some great concerns, I say to members

opposite. The people down in Marystown have concerns. The people in Burin have

concerns. In Fortune, in Dildo, people in Port Union and Bonavista, all have

great concerns about what might happen if something happens to Fishery Products

International.

I have, too, myself. The thing that bothers me is, when you hear and you see

outside interests stepping up and saying: we are not happy with the way this

particular company is operating; we are not happy with the management team; we

are not happy with the profits we are making, then why did they put their money

there in the first place? There are lots of places to put money. The Member for

Port de Grave tells everybody he has made all kinds of money. He has lots of

money. I do not know where he made it, but he did not make it by putting it into

companies that were not profitable. That is not the way to make money.

MR. H. HODDER: You made your own companies, didn't you, John?

MR. FITZGERALD: He has also had some investments. I would assume he has.

When the former minister, who should be Premier, when that man makes an

investment, he doesn't go and invests his money in a company that is not

profitable and say: I am going to get in there now and I am going to buy that

company, take it over, put some new people in there to run it, but I will only

own 10 per cent or 15 per cent of it. That is not the way you make money.

MR. EFFORD: The difference between John Efford and John Risley is that

John Risley cares only about (inaudible).

MR. FITZGERALD: That is what I am getting at. You are like the Panasonic

television. You are slightly ahead of my time.

What do they do? They reach out and try to take over the company. They take

over the company and say they are going to make it more profitable. How do you

make a fishing company more profitable? The way you make a fishing company more

profitable is, number one, number two or number three. I see three ways of doing

it.

Number one is, in order to access the product, in order to access the fish,

you are going to pay a lower price to fishermen. Number two is, you are going to

strip wages and benefits away from your employees. I would venture to say that

Fishery Products International and Beothic Fish Processing Ltd. are probably two

- I am not going to say that they are the only two, but they are probably two -

of the fishing company employers in this Province today to pay the higher wages

to their employees. I think they are. I am almost sure of that.

MADAM CHAIR: Order, please!

The hon. member's time is up.

MR. FITZGERALD: So, what do you do? You either strip away the benefits

and the wages by your employees, you lower the cost of what you are going to pay

for fish, or you get rid of the plants that are not making a profit.

MADAM CHAIR: Order, please!

I remind the hon. member that his time is up.

MR. FITZGERALD: By leave?

MADAM CHAIR: Does the hon. member have leave?

SOME HON. MEMBERS: By leave.

MADAM CHAIR: By leave.

MR. FITZGERALD: You either do one thing or the other. I see it being done

in three ways.

I say to the senator who just rolled in there, if this was happening with

Beothic Fish down in Bonavista North, I doubt if he would be quiet.

MR. EFFORD: It is up for sale.

MR. FITZGERALD: Beothic Fish is?

MR. EFFORD: Yes, Sir.

MR. FITZGERALD: So, it is up for sale. Fair game, if it is up for sale,

not a problem. It is a privately owned company. It is certainly a reputable

plant. It is certainly a reputable company.

MR. TULK: When did Beothic Fish go up for sale?

MR. EFFORD: Last year.

MR. TULK: Listen, you stop spreading rumors about the best fish plant in

the Province. (Inaudible). Beothic Fish is not for sale.

MR. EFFORD: You stopped telling me what to do six months ago.

MS S. OSBORNE: Good for you, John.

MR. FITZGERALD: Beothic Fish is a great processing company. It is

probably a model, it is probably a flagship, I say to them. When you hear tell

of this group of people going on strike, or this group of people unhappy because

there are a number of jobs being done away with through new technology, Beothic

Fish always seems to be able to come up and provide new opportunities to do new

initiatives, to make new ways of doing things in order to look after their

employees. If you do not have good employees, if you do not have happy

employees, then I do not see how you can have a successful business. Beothic

Fish has been very good at doing that. They have good people there, and they

have had them over the years. I think of people like Harry Harding, I think of

the Way's, and I think of a lot of the people I know who worked in the fish

plant.

MR. EFFORD: I will tell you one thing, if John Risley gets his hands on

FPI, it will have some impact on the (inaudible) fish.

MR. FITZGERALD: Yes, you have that right. It will have an impact on the

whole fishing industry.

MR. TULK: John, let me tell you, I think I made that statement to you

about a year ago.

MR. FITZGERALD: That is what concerns me.

MR. SULLIVAN: That is over now, isn't it?

MR. FITZGERALD: No, it is not over. There was a little deflection thrown

in there, I say to members opposite, to try to deflect attention. I spoke with

some people this morning and that is still a work in progress. All they have to

do, even though they may not have a group of dissident board of directors put in

place for the meeting on May 1, I say to the minister, all they have to do is

serve notice that they are going to do it within 90 days and there has to be

another meeting and they probably will have a new board of directors there at

that time.

What they will do, Mr. Chair, is strip the company apart, they will go out

and we are right back to the old fish merchant scenario again, right back to

where we were back in the 1940s, 1950s and 1960s, that kept our forefathers and

our own fathers slaves to the fish merchants. That is what you will go back to,

and that is what is happening.

Mr. Chair, we have some great concerns and the people that I know, Minister,

are looking to you to bring about some of those changes. They are looking to you

to make representation on softwood lumber. They are looking to you, I say,

Minister, to make representation on the EI system to show that those people who

are in need of it are able to access it. The unemployment insurance system was

never meant to create a $30 billion profit where they could out and use it as a

slush fund in order to generate money to get people elected. It was never meant

to go out and take it from the poorest of this Province and this country in

order to go out and put in water and sewer to communities that could afford it;

because in all the things that come down from Ottawa, it shows you how much

attention they pay to this particular Province. You see that in the

infrastructure system, and I could keep going because, as I talk, something else

comes into my head and I can tell you about how unfair that is.

Minister, you have your work cut out for you, and probably some of the first

things you are going to confronted with are some of the things that I just

talked to you about, and you are going to be called to task on it. You are going

to be called to explain. It is not going to be enough to get up and just say,

well, we wrote a letter, or we are going to plan on meeting with them, or we are

looking to talk to the federal minister. They are going to want to know what you

have done. They are going to want to know what you, the Minister of

Intergovernmental Affairs, and the Member for Terra Nova, have done in order to

protect their interests.

When you go to a community out in your district, a community that cannot

access provincial-federal infrastructure money because they do not have the

one-third in order to access it, they are going to ask you, Minister. Up until

now you could always slough the blame off and say, I know where you are coming

from, and I have tried and I know it is unfair. Now they are going to look to

you for guidance. They are going to look to you for answers.

Those communities that want to have their streets lights put back on, that

are going to want to go and service their community with water and sewer, that

want to be able to maintain the infrastructure they have in the ground, they are

going to be coming to you, Minister, and they are going to say to you: Minister

Lush, what have you done to make sure that small communities without a tax base

like ours, are included and can access the infrastructure program?

I do not think the infrastructure program was ever put in place to help the

Grand Falls-Windsors and to help the St. John's and the Mount Pearls of the

world. Great, let them access some of the big money there and get on with their

projects, but do you know the reason that we applied for infrastructure money?

Do you know the reason why we asked the federal government to partner with us?

It was asked to be done so we could help rural areas. It was asked to be done so

we could help the small communities.

Only a few years ago, government went out and encouraged people to become

organized and form a local government. They encourage people to go out and say,

look, Mr. Community Leader, why don't you incorporate your community, bring

about some minimum tax, and here are the benefits that we can provide you with.

We are going to provide you with street lighting. We will give you the right to

apply on a 75/25 for fire protection. We are going to give you some payments

from the provincial government that will reflect the number of people living in

your community. We will allow you to access money to pave your local roads. We

will allow you money in order to keep up your waste disposal area. People said:

hey, this is something that we would like to be a part of because we are going

to be living here all our lives. We are raising our family here. Maybe we should

form and incorporate our communities. You had three choices at that time. It

could be a town. It could be a local service district. There was another one.

What was it? It was a community - what was the other one? There was another one.

AN HON. MEMBER: City.

MR. FITZGERALD: No, it was not a city. It was a town council, a local

service district -

AN HON. MEMBER: (Inaudible).

MR. FITZGERALD: It was a community council. That is exactly what it was.

A local service district, a community council and a town council. A local

improvement district. They have done away with the community council part of it.

Now it is either a town council or a local service district, one or the other.

There is nothing wrong with that. Even with the local service district, for the

most part they do not get into water and sewer and those kind of things. They

see a need and they respond to it. They have input to deal with government in

order to bring about some changes and some positive things for the communities.

Then, at that particular time, whether it was right or wrong - I was not here

to say, but I do know the hurt that has been reflected on communities out there.

The people were encouraged to apply for money. No matter how much money you

applied for all you had to do was be responsible for paying back 20 per cent of

your gross revenue to government. So the big race was on, Madam! You know it

very well, you served your community. The big race was on as to who could get

the most money for water and sewer, roads, street lighting and fire protection,

and the list goes on. It made sense. You only had to pay back 20 per cent of

your money. So no matter what money you had, no matter how much money you got,

you only had to pay back 20 per cent.

Do you want to ask a question? Go ahead.

MR. TULK: How well have FPI done for the Province?

MR. FITZGERALD: How well have they done? I will need some extra time

after I am up. So you give me leave because I want to finish this train of

thought, and then I will talk about that.

Madam Speaker, the race was on to access government funding. Then in comes

the Minister of Industry, Trade and Rural Development's friend and colleague,

and mentor, the former, former, former Premier.

MR. TULK: No, no.

MR. MANNING: Two formers.

MR. FITZGERALD: No, former, former, former Premier. He said: I am going

to change this. This is not right.

AN HON. MEMBER: (Inaudible).

MR. FITZGERALD: I am talking about the chief justice. That is exactly who

I am talking about, who was the former, former, former Premier.

MR. SULLIVAN: That is the fellow who brought in income supplementation,

wasn't it?

MR. FITZGERALD: Brought in income supplementation. I can hear the former

Member for Terra Nova now out in the Holiday Inn talking about what a wonderful

plan it was.

AN HON. MEMBER: (Inaudible).

MR. FITZGERALD: You probably supported it, I say to the Member for Terra

Nova. Don't leave! Listen to me because you are part of this. This is part of

what you are all about. I'm talking to you. You are my member and you are

leaving the House. Sit down and listen to it.

Here is the situation, and you can try to get out of this one all you want

but you did support it -

AN HON. MEMBER: (Inaudible) supported what?

MR. FITZGERALD: He supported the Income Supplementation Program. He was a

member of Cabinet, I know he did! I still have petitions here. Just imagine, and

this is when the new Industry, Trade and Rural Development minister, soon to be

senator, was sitting back in my colleagues -

MR. MANNING: The nosebleed section.

MR. FITZGERALD: There you go, it is the nosebleed section. He came in and

he put his hand under his head and he would not even look at him. The only time

he came here was when the cameras were here.

AN HON. MEMBER: (Inaudible).

MR. FITZGERALD: You were not here very often. I do not know how you earn

your money because you had just gotten a slap on the wrist. I say it to the

minister -

AN HON. MEMBER: (Inaudible).

MR. FITZGERALD: Yes, a likely story.

AN HON. MEMBER: I'm serious.

MR. FITZGERALD: I am serious too.

I say to the minister: How could you go out and support a program like the

Income Supplementation Program?

MR. TULK: (Inaudible).

MR. FITZGERALD: I hope you are making a note of all those questions

because I am going on with them.

Here was a program - sit down and listen, I say to the member. Sit down and

listen while I tell you about what you supported because you obviously have no

feeling for it! Sit down!

AN HON. MEMBER: (Inaudible).

MR. FITZGERALD: Well, we will take a break until you come back. I am

going to tell you about the Income Supplementation Program. There is a lot of

people over there who supported it. The Minister of Fisheries was not there

then. The minister from Burgeo was not here. The former Premier supported it. A

couple of people over there who sit in Cabinet. Not a lot of the ones who are

there now. The Member for Virginia Waters, nobody ever knew where he was and

they still don't know. He still hides. He has a public meeting every three

months but there is never anything brought back here about the public meetings

and the changes that he wants brought about. Never.

I have to speak for a minute about the Member for Grand Falls-Buchans. Yes, a

lady that I respect over there, but I have to refer to a comment in the paper

today. It reminded me when I seen the former Minister of Finance, and when I see

the present Minister of Mines and Energy walk in, about a poll that he did

during the Hydro debate. Do you remember that unpolluted poll? The Member for

Grand Falls-Buchans referred to a poll today. She said: I have evidence now that

the transfer of jobs from the urban areas to rural areas, people agree with. Do

you know the reason why they agree with it? Because she responded

Document details

CollectionNewfoundland and Labrador — Debates (Hansard)
Citation2001-03-29
Typehansard
Volume / chapter2001-03-29
Languageen
Formathtm
SourcePROVINCIAL
Identifiere8184c9aeaaa970c9084096053674c1e0f66bf2c

Source file is stored in the law ingest library (htm).