Mr. Conrad Santos (Chairperson): Mr. Speaker, the Committee of Supply has considered certain resolution, directs me to report progress and asks leave to sit again.

I move, seconded by the Honourable Member for Selkirk (Mr. Dewar), that the report of the Committee be received.

Hon. MaryAnn Mihychuk (Minister of Industry, Trade and Mines): Mr. Speaker, I have a ministerial statement for the House.

I would like to take the opportunity this afternoon to pay tribute to the nominees and recipients of awards presented May 11 at a ceremony honouring the Manitoba Women Entrepreneur of the Year Awards for the year 2000. The event was organized by the Women Business Owners of Manitoba who have acted as stewards of this event since its inception in 1992.

To reflect the diversity of business enterprise in the province, five awards were presented in the following categories: Start-up Award; Contribution to the Community Award; Impact on Local Economy Award; Home-Based Business Award; and Lifetime Achievement.

I would extend my congratulations to the following award recipients: Maureen Kennedy of Eclectic Communications in Winnipeg; Roswitha Scharf-Dessurealt of the Tea Cozy of Winnipeg; Sandra Altner of The Management Exchange in Winnipeg; and Merilee and Katherine Mollard of Triple-M Ranch in Stonewall.

I would like to pay a special tribute to Elaine Cowan of Anokiiwin Training Institute in Winnipeg and Thompson who was not only honoured for impact on local economy but was also named Manitoba Woman Entrepreneur of the Year. Anokiiwin Training Institute provides training services to First Nations and Métis communities ranging from high school diploma programs to computer training. Since inception in 1995, Anokiiwin Training Institute has grown to employ 20 full-time employees and 30 contract instructors.

I would also like to take this opportunity to thank the Women Business Owners of Manitoba for continuing to organize this incredibly worthwhile event and to encourage them to continue inspiring excellence, learning and growth in business. I hope that all honourable members will join me in congratulating this extraordinary group of women. Thank you.

Mr. Mervin Tweed (Turtle Mountain): I want to thank the Minister for her statement honouring women entrepreneurs of the year. It is regrettable I think that the YM-YWCA Women of Distinction were not honoured in the same fashion with a statement in the House.

I have had the opportunity to attend the awards events. One of the things I find most interesting is the fact that the set-up of the organization and the willingness of the group to–[interjection]

Mr. Speaker: Order.

Mrs. Bonnie Mitchelson (River East): Mr. Speaker, the Minister responsible for the Status of Women is certainly making a lot of noise from her seat while our critic is trying to respond to the ministerial statement, and it is a shame that she did not stand up for the women in Manitoba who received the Women of Distinction Award from the YM-YWCA. Shame.

* (13:35)

Mr. Speaker: The Honourable Member does not have a point of order. I would just like to take this moment to ask the co-operation of all honourable members that when a member is responding to a ministerial statement to please give the honourable member the courtesy of attention.

Mr. Tweed: Thank you, Mr. Speaker. As I was saying, I think that awards like these recognize people in our communities, men and women, in this particular instance women, but business people who contribute and give a lot of time and effort, not just through their business ventures but to their communities. We, certainly on this side, want to congratulate them on their efforts.

I think when we reflect back in recent weeks to the business climate and some of the concerns that many business people in Manitoba are expressing to us in regard to the situation after the Budget, that there is some discouragement felt in them, and I think that events like this do help to bolster and support each other. We all work within a common area where we can learn from each other and benefit from others' experiences. Events like this really draw to the forefront people who have stepped forward in their communities, in the business world but I would suggest in the entire community itself.

So I would like to congratulate the winners but also the nominees and all business women in the province of Manitoba who have taken great strides to make this a better place to live.

Hon. Ron Lemieux (Minister of Consumer and Corporate Affairs): On behalf of the Minister of Agriculture, I am pleased to table Agriculture and Food Supplementary Information for Legislative Review.

Mr. Speaker: Prior to Oral Questions, I would like to draw the attention of all honourable members to the gallery where we have with us from West Kildonan Collegiate, 22 Grade 9 students under the direction of Ms. Barb Tascona. This school is located in the constituency of the Honourable Minister of Health (Mr. Chomiak).

On behalf of all honourable members, I welcome you here today.

Mr. Glen Cummings (Ste. Rose): Mr. Speaker, I would direct my question to the Deputy Premier.

This government has taken a big-brother attitude towards the installation of YNN in our schools, despite the fact that it is supported by many parents, teachers, principals and well-trained people involved in the educational system, in the words of one educator, the opportunity for distance education, virtual education opportunities, fast Internet download, and a vast range of free opportunities and cable hook-up and large amounts of high-tech equipment. I would ask the Deputy Premier if, in fact, she is prepared to ask that the Minister of Education (Mr. Caldwell) reverse his hide-bound and blind opposition to this program.

Hon. MaryAnn Mihychuk (Acting Minister of Education): Mr. Speaker, during the election our government made it clear our opposition to YNN and the commercialization of curriculum and opportunities for children that is supported by the majority of Manitobans, and we continue on our process to discontinue YNN being distributed to our children.

* (13:40)

Mr. Cummings: Well, Mr. Speaker, as I said, where I come from, that is blind and hide-bound opposition without much thought.

It does appear that this government has recently partnered with YNN and MAST in the development of a series of educational videos dealing with teen pregnancy. Does this minister believe that that is an appropriate partnership?

Hon. Tim Sale (Minister of Family Services and Housing): Mr. Speaker, in relation to the issue of teen pregnancy, Manitoba continues to have a very unacceptable rate of teen pregnancy. Under the previous government, grants were made to MAST to bring together a number of young people to develop excellent commercials, and we were glad that that was done. We support the teen pregnancy education program that has been launched through those young people reaching out to their peers, and we are glad to have MAST's involvement in that process.

Mr. Cummings: Mr. Speaker, I did not say we had a problem with the program. I asked who we partnered with to develop the program.

Consistently from this government, we see varying answers–

Mr. Speaker: Order, please. The Honourable Government House Leader, on a point of order.

Hon. Gord Mackintosh (Government House Leader): Mr. Speaker, I just remind the Member that Beauchesne's 410(8): "Preambles to questions should be brief and supplementary questions require no preambles."

We have heard, again, more preamble here for the second supplementary.

Mr. Speaker: The Honourable Member for Ste. Rose, on the same point of order.

Mr. Cummings: Mr. Speaker, a point of order. When the Government House Leader was Opposition House Leader, he referred to it as post-amble and did it consistently.

Mr. Speaker: Order, please. On both points of order, I would like to take this opportunity to remind all members that Beauchesne's Citation 409(2) advises that a supplementary question should not require a preamble.

Mr. Speaker: I would ask the Honourable Member for Ste. Rose to please put his question.

Mr. Cummings: My question for the Deputy Premier again is: Will this government review its position on YNN, as it is now agreed that it will show programs commercial-free in conjunction with the educators who want to take the opportunity to be involved in this program?

Ms. Mihychuk: Mr. Speaker, school divisions across the province faced enormous financial pressures by lack of funding by the previous government. That difficult situation left many school divisions, not by choice, to lead and search out other partners, because the former provincial government was not willing to come to the table, was not willing to fund public education at sufficient levels. We have taken the first step to meeting the needs, the valid needs of the public school system by providing a reasonable funding level.

Some Honourable Members: Oh, oh.

Mr. Speaker: Order.

Ms. Mihychuk: Thank you, Mr. Speaker. By working towards meeting the gap of a lack of funding for the public school system, we are meeting those needs. We hope to expand our availability for distance education and other high-technology options. This is the role of government, and we intend to commit to that and see that public schools have that access.

Mr. Speaker: The Honourable Member for Ste. Rose, on a new question?

* (13:45)

Mr. Cummings: A new question, Mr. Speaker. I fear that the Acting Minister knows not of what she speaks, because Turtle River School Division, which lies in the area that I represent, received a cut in support from this government. They have had meetings with parents, they have had meetings with teachers, they have the support of the teaching staff and they have had public meetings where the parents have agreed and support this programming. Will this government reconsider that in light of local autonomy in education?

Ms. Mihychuk: The funding levels were set province-wide. The individual school divisions across the province received their share of that funding through a funding formula created by the previous government. It is based on the number of students in the school division, taxation levels and needs. There is a considerable demand by school divisions and parents for that formula to be reviewed. That is underway, but the formula that divided up the money that we allocated was set up by a formula created by the previous government.

Mr. Cummings: Well, Mr. Speaker, why is it then that this minister, on behalf of this government, is standing between the students of Ste. Rose School, McCreary, Alonsa, communities that are supported by one of the smaller tax bases in this province? Why are they denying them the opportunity for $200,000, $220,000 worth of equipment that they can put to use and a program that teachers say they want to bring into the schools to start discussion.

Ms. Mihychuk: The decision to remove YNN from classrooms was based on the fundamental belief that advertisements for Froot Loops were inappropriate for Manitoba classrooms.

Mr. Cummings: Well, I regret that the Acting Minister of Education chose that answer. Tomorrow in Ste. Rose there will be a kick off for the YNN program across the country on zero tolerance in school playgrounds where the students from Ste. Rose will be participating. Will they support–

Mr. Speaker: Order, please.

Hon. Gord Mackintosh (Government House Leader): I would just ask again, Mr. Speaker, if you could draw the Member's attention to Beauchesne's 410(8): Supplementary questions require no preamble. Thank you.

Mr. Speaker: The Honourable Member for Ste. Rose, on the same point of order.

Mr. Cummings: Mr. Speaker, on the same point of order, this is a critical educational issue in communities that want advantage of the YNN programming. I would ask that I be given the liberty of a preamble so that this minister can recognize what she is cutting off.

Mr. Speaker: Order, please. On the point of order, the Honourable Member does have a point of order. I would just like to remind the Honourable Member that Beauchesne's Citation 409(2) advises that a supplementary question should not require a preamble.

Mr. Speaker: I would ask the Honourable Member to please put his question.

Mr. Cummings: Mr. Speaker, this Acting Minister of Education or the Minister of Education (Mr. Caldwell), are they prepared to go to Ste. Rose and pull the plug on YNN?

Ms. Mihychuk: Absolutely. In fact, if the community of Ste. Rose–

Some Honourable Members: Oh, oh.

Mr. Speaker: Order.

Ms. Mihychuk: Thank you, Mr. Speaker. YNN is not a suitable provision for information. If Ste. Rose requires information on zero tolerance, we would be more than glad to provide all sorts of information on a number of policies that have been well developed by numerous other school divisions. That information is available and we would be glad to provide it to any school that requires it.

Mr. Speaker: The Honourable Member for Ste. Rose, on a new question.

* (13:50)

Mr. Cummings: A new question, Mr. Speaker. I would ask this acting minister, on behalf of the Minister, to review the program that is being undertaken at Ste. Rose, because they are not seeking information. Their program is being used as a model across this country, and I would ask them to refrain from pulling the plug until at least they have shared that information.

Ms. Mihychuk: The commitment that we made during the election is being carried out. Information to students will be on a non-commercial basis. So, unfortunately, YNN is not a suitable vehicle.

Mr. Cummings: Mr. Speaker, on behalf of the Minister, the Acting Minister continues to repeat that YNN programming is not suitable. I would like to table a list of the topics of programming that YNN is prepared to participate in with schools across the country. I would ask this acting minister if she is opposed to programs on getting a job, to programs on advertising and computer hackers, to programs on low self-esteem, on computers, on credit cards, on anger management, on gasoline taxes, on teenage prostitution. Is she against it? Is this government against it?

Some Honourable Members: Oh, oh.

Mr. Speaker: Order.

Ms. Mihychuk: Our commitment to the public during the election was to remove commercialization from the classroom. We will continue that commitment and end YNN.

Mr. Edward Helwer (Gimli): Recently the Rural Municipality of St. Andrews voted unanimously to rescind its letter of support for a casino. They also voted to not allow any future casinos until a binding referendum and six town hall meetings are held.

Mr. Speaker, I ask the minister responsible for lotteries and casinos, who said that the final decision is up to Cabinet, will he abide by the wishes of St. Andrews residents?

Hon. Ron Lemieux (Minister charged with the administration of The Gaming Control Act): I thank the Member for the question. We have a process in place, and this process is an independent selection committee. Just in case the members opposite have not heard this answer before, maybe I will repeat it again. There is an independent selection committee in place. They are looking over the proposals. They are making recommendations to the Government on May 31. Thank you.

Mr. Helwer: Mr. Speaker, will the Minister, instead of offering his usual speech, once and for all, tell Manitobans what his government will accept as a qualified level of support for a casino, or does he support his leader's comments that local wishes will be ignored?

Mr. Lemieux: Just to point out to the Honourable Member–and thank you for the question for the Member opposite–that the selection process and the request for proposal has been out there for awhile now. The proponents have certainly attempted to address all the criteria within place, and the selection committee is looking at that and ascertaining whether or not they have met that criteria.

Mr. Helwer: Mr. Speaker, how does this Minister justify demanding that CRTC public hearings and his government initiating public hearings for matters such as drivers' graduated licensing, for FIPPA, Workers Compensation and others, but not for an issue that local residents are demanding: casinos?

Mr. Lemieux: Mr. Speaker, I have a real concern with the Opposition, because it seems like they are speaking out of both sides of their mouths as well. They had a Cabinet committee. In the Winnipeg Free Press former Minister Newman stated that their Cabinet was in favour of economic development and jobs for First Nations people and the casinos would provide that opportunity for them.

Now I am hearing a lot of things different from the Opposition, Mr. Speaker. Where do they really stand with regard to First Nations casinos and the attempt for First Nations casinos to give First Nations people the opportunity to get a lot of pride back that they have lost over a century of different governments? Now they have an opportunity for jobs, economic development. Minister Newman of the former government stated that in the Cabinet committee of the former government.

* (13:55)

Mr. Frank Pitura (Morris): Mr. Speaker, the debate about the establishment of First Nations casinos continues. We know that some members of the Long Plain First Nation reserve recently held a demonstration to show their concern about the social and economic impacts of the expansion of gaming on their community.

Mr. Speaker, my question is to the Minister of Aboriginal and Northern Affairs: Has he held consultations with individual First Nations communities to determine if they believe the expansion of gaming is in fact the best way to create jobs and economic opportunities for those communities?

Hon. Eric Robinson (Minister of Aboriginal and Northern Affairs): I think that what we have done with the creation of the selection committee is we have moved a step forward from the Bostrom report as previously commissioned by the previous government.

I would like to point out to the members opposite that in the request for proposals, as issued by the Manitoba First Nations casino project selection committee, one of the most important elements of any proposal to be considered is that the project must be socially responsible and protective of the public interest, and only proposals that have a demonstrated support of the host community, meaning the First Nations community and the adjacent local governments, will be presented.

Mr. Frank Pitura (Morris): Mr. Speaker, to the same minister: I would like to ask him if consultations have taken place with all First Nations stakeholders to ensure, if an expansion of gaming takes place, that a formula will be established whereby all First Nations people share equally in the proceeds of gaming.

Hon. Eric Robinson (Minister of Aboriginal and Northern Affairs): Mr. Speaker, I think that we have to give some credit to the First Nations leaders of this province and also to the leaders of the municipalities. I believe that they have been holding meetings among themselves, consultation meetings if you will, to talk about the viability of these economic initiatives, such as casinos, as we were talking about this afternoon. We should give credit to these leaders as well.

Mr. Frank Pitura (Morris): I would like to ask the Minister as well, the same minister, to indicate to this House and to all Manitobans if funds from the provincial Treasury will be used to help fund the construction of the First Nations casinos?

Hon. Eric Robinson (Minister of Aboriginal and Northern Affairs): Mr. Speaker, I would like to, again, draw the members opposite's attention to the request for proposals. Much of the information that they are asking us is in fact contained in this document that has been prepared by the selection committee. No money will be used by the provincial Treasury in the establishment of these casinos. One of the requirements will be that the First Nations communities will have to identify their financial resources, including the support that we have been talking about from adjacent communities and the host community.

Hon. Jon Gerrard (River Heights): Mr. Speaker, each day in the newspaper we read story after story about the outrageous behaviour at the Manitoba Lotteries Corporation. In yesterday's report on Human Resources at the Lotteries Corporation, it was apparent that a similar report with similar recommendations was presented in December 1997, and yet nothing was done, nothing has changed.

I ask my question to the Minister: What time frame has she provided to the Manitoba Lotteries Corporation to fully implement all the recommendations provided yesterday in the Human Resources report from Manitoba Lotteries Corporation?

Hon. Diane McGifford (Minister charged with the administration of The Manitoba Lotteries Corporation Act): I do thank the Member for River Heights for his interest in this matter because I know the members opposite do not seem to be interested in asking questions about this matter.

However, to respond to the Member for River Heights, he is perfectly right. There was a 1997 report which was virtually ignored. My understanding is, if that report had indeed been implemented, or most of the recommendations implemented, the kind of fiasco that took place certainly would not have taken place. To answer the Member's specific question, the Human Resource report is now in the hands of the Board. The Board is meeting with senior executives at the Manitoba Lotteries Corporation.

Mr. Speaker: Order. The Honourable Member's time is up.

* (14:00)

Mr. Gerrard: My supplementary, Mr. Speaker. I am still listening for the time frame but, clearly, given the seriousness of some of the allegations of harassment and abuse of authority, what is the Minister going to do about these allegations, and what is the time frame?

Ms. McGifford: Well, I am very happy that the Member for River Heights asked that question. Unfortunately, my time frame prevented me from providing an answer to the first question. But, as I said, these recommendations are with the Board. The Board is meeting with senior executives from the Manitoba Lotteries Corporation this week. Actions will be forthcoming and decisions will be made. When those decisions are made, they will be made public.

Mr. Gerrard: My supplementary to the Minister: What is the Minister's view of the allegations that there was serious, real or perceived political influence, and what is the Minister's view about whether or not there should be political influence in the Manitoba Lotteries Corporation?

Ms. McGifford: My understanding of the Manitoba Lotteries Corporation is that it is a Crown corporation. I think we all understand that, that it operates at arm's length from government. I do not think that government should be micromanaging the Manitoba Lotteries Corporation.

Mr. Harold Gilleshammer (Minnedosa): Mr. Speaker, at the Western Premier's Conference, the Premier of Manitoba (Mr. Doer) criticized provinces who compete for new industries and jobs. What this government fails to recognize is that lowering personal income taxes is also a consideration for attracting and keeping industry and jobs.

Mr. Speaker, I ask the Deputy Premier, given her leader's comments, is it this government's position that neighbouring provinces should increase taxes so Manitoba can remain competitive?

Hon. MaryAnn Mihychuk (Minister of Industry, Trade and Mines): Our recent budget has provided Manitobans a balanced approach of not only increased investment in health care and education, but significant tax cuts, both on the property side and on income tax. This balanced approach is viewed as very reasonable when compared to other jurisdictions.

Mr. Gilleshammer: Mr. Speaker, the Premier said it is absurd to see Manitoba, Saskatchewan and Alberta competing. Does this minister not recognize that what is truly absurd is she has made Manitoba the highest taxed province in all of Canada?

Ms. Mihychuk: Mr. Speaker, well, that statement is not true, and it is not true as cited by David Perry of the Canadian Tax Foundation. I would like to just state that, in an interview today, he indicates, in a study of all jurisdictions in Canada, that in fact Manitoba is middle of the road when it comes to taxes.

Mr. Gilleshammer: Mr. Speaker, the Premier said provincial competition is senseless. Does this minister not recognize that it is her government's lack of common sense when it comes to reducing personal income taxes that has made Manitoba the high-tax island in a sea of tax cuts?

Ms. Mihychuk: According to Mr. David Perry of the Canadian Tax Foundation, Manitoba has followed the lead of other provinces by reducing its tax rate this year and is in the middle of the road when it comes to taxation. That shows not only are we investing in education and health care, but we are reducing taxes, which is good for Manitobans.

Mr. Ron Schuler (Springfield): Mr. Speaker, over the past few weeks we have asked the Minister of Conservation to act on the issue of the contaminated site in East St. Paul. We have now discovered that the aquifer, which provides the drinking and cooking water for the residents of East St. Paul, runs under the contaminated site.

Will this minister inform the residents of East St. Paul of the potential danger? What is his plan of action today to deal with this mess?

Hon. Oscar Lathlin (Minister of Conservation): Mr. Speaker, I thank the Member for the question because–[interjection]

Mr. Speaker: Order, order.

Mr. Lathlin: Mr. Speaker, I should advise the Member before I give my major response, that is, on I believe it was May 11, I went to the site with staff. Also, while I was there, I was able to meet with residents from that area. I know the two members of the Opposition were there by the time I arrived on the site. I assured the two residents from that area that we were doing everything in our power to remedy the situation. I gave him the assurances that we would be testing and evaluating the water from the residential wells, and we have done that.

So far, my information is that the water fortunately has not been contaminated, and we

are continuing to remove the contaminated soils from the site today.

Mr. Schuler: Will the Minister, other than visiting the site, raising his arms in the hope that the cancer-causing chemicals will simply depart, assure the thousands of residents who rely on this aquifer that their drinking water is safe?

Mr. Lathlin: You know, for almost 10 years I sat on those benches and almost every Question Period I raised issues affecting the people of northern Manitoba, whether it was employment, health, environment or otherwise. Not once–

Mr. Marcel Laurendeau (Opposition House Leader): Beauchesne's 417: "Answers to questions should be as brief as possible, deal with the matter raised and not provoke debate."

Mr. Speaker: On the point of order raised, I would like to take this opportunity to remind members that Beauchesne's Citation 417: "Answers to questions should be as brief as possible, deal with the matter raised and not provoke debate."

Mr. Speaker: I would ask the Honourable Minister of Conservation, to please continue with his answer.

Mr. Lathlin: As I was saying, I take this matter very seriously. I was about to say that I wish the previous members, when they were ministers, whenever I raised issues in the House, would have come North and actually come to the site and inspect and see what I was talking about. But not once did that happen. So I was very happy to go out to the site and meet with the people who live in that area to assure them that I take that matter very seriously, and we are working hard to remedy the situation.

Mr. Schuler: I ask the Minister: As some wells have already been found to have traces of this cancer-causing chemical, how many children have to get sick before he will do something and clean up the sites? Shame on this minister. Clean it up.

Some Honourable Members: Oh, oh.

Mr. Lathlin: Are you ready for the answer?

An Honourable Member: There is no answer, just clean it up.

Mr. Speaker: Order. I am sure we would all like to hear a response from the Minister.

Mr. Lathlin: Mr. Speaker. I will say it once more to the Member opposite that my information tells me that the testing that was done, results have come back, and the results are that the water was not contaminated.

As of now, the contaminated material has been piled up, ready to be trucked out of the site. We ran into some weather problems. It rained there for a good three or four days, and then we were waiting for the weather to improve. So now we are going to be trucking the material out of that site onto a more suitable place.

* (14:10)

We are also providing an information bulletin which will be handed out to residents in that area this week from our department, and also the Health officials were in the area to fill those residents in on what we are going to be doing as far as giving them information is concerned.

Mrs. Bonnie Mitchelson (River East): It is really unfortunate that the residents in the East St. Paul-North Kildonan area are still having to deal with this issue when this minister knew about this issue when the ground was still frozen and took no action, Mr. Speaker. This could have been resolved very easily before we got to a situation where ground water and run-off have contaminated some of the wells in the area.

My question is for the Minister–

Some Honourable Members: Oh, oh.

Mr. Speaker: Order. I would like to ask the co-operation of all members, when a speaker stands, to please respect that. I would like to ask all members.

Mrs. Mitchelson: Thank you, Mr. Speaker.

My question for the Minister of Conservation is: Given that the residents that he is informing are the residents that live on Knowles Avenue in North Kildonan and the aquifer does not even run that way yet, would he notify the residents of East St. Paul in his letter and his communication, those who are impacted and affected by the aquifer that runs right into their community, what action he is going to take today to ensure their safety and their drinking water is safe?

Hon. Oscar Lathlin (Minister of Conservation): Mr. Speaker, I share the concern that the members opposite have, you know, not just for East St. Paul, but any time a situation like this develops, there is cause to be concerned. I, for one, can relate to that very well because up North we have abandoned mines that have material leaching into the streams and aboriginal communities living downstream from those abandoned mines where chemicals are going in are using that for drinking water. We have a forest industry that is causing all kinds of environmental problems for our people, and we have hydro development.

So I can very well relate to the concerns that these members opposite have in regard to lindane seed, and that is why I am taking it very seriously, and I am not going to let it go by the wayside.

Mrs. Mitchelson: Mr. Speaker, my question for the Minister of Conservation is: Is he going to send departmental staff out today to test wells in East St. Paul, because he has not even entered the East St. Paul community? Will he go and test those wells today, not the wells on Knowles but the ones in East St. Paul, to ensure that that water is safe?

Mr. Lathlin: Mr. Speaker, I would like to again assure the Member opposite that I have taken this matter very seriously. I actually went to tour the site just to know what areas we are talking about because I was not familiar with that area, that land area. I should also advise the Member further that we have had Health officials go to the area and visit some of the residents there advising them as to how the process will be handled.

We are trying to advise the public in that area in the best way we know how so that nobody is misinformed, so that everybody gets factual information.

Mrs. Myrna Driedger (Charleswood): Mr. Speaker, when the Healthy Child Initiative was established, the NDP said the benefit of having a cabinet committee oversee it was, and I quote: Its ability to develop co-ordinated long-term strategies for children at the highest level of government. Yet the NDP advertised nationally for a director for this initiative. On April 6, the Minister of Education (Mr. Caldwell) said, and I quote: It is essentially a super Children and Youth Secretariat with ministers in charge instead of a bureaucrat.

Mr. Speaker, can the Acting Minister of Education explain why they are advertising for a civil servant to head up the Healthy Child Initiative when he said the ministers would run it?

Hon. Tim Sale (Minister of Family Services and Housing): I am sure the Member opposite is perhaps confused about the difference between leadership from the Government through a cabinet committee mandated by the Premier (Mr. Doer) and the Cabinet to give overall policy direction and the ability of the program itself to be implemented through the normal channels of five departments that have program responsibility to work with the community in a partnership way.

We are very proud of the Healthy Child Initiative. That is why we have advertised on a national level, to make it plain to everyone that this is a very important post and that we are committed to improving and strengthening our programs through the five departments, through the leadership of the cabinet committee and our Premier for the healthiest possible outcomes for children in Manitoba.

Mrs. Driedger: Can the Acting Minister of Education explain why a qualified, award-winning, long-time civil servant was terminated from her position when the NDP are now hiring somebody to replace her?

Mr. Sale: I think that the members opposite will understand that discussing senior personnel matters in the House is not an appropriate place. Decisions are made on Order-in-Council appointments by all governments. This decision was made, and I think it is appropriate to leave it there.

Mr. John Loewen (Fort Whyte): The Minister of Intergovernmental Affairs has acknowledged in this House that she has disbanded the capital review panel. I would ask the Minister if she will be on her own creating a dispute resolution mechanism, as is recommended by the capital review panel?

Hon. Jean Friesen (Minister of Intergovernmental Affairs): I thank the Member for that question. There are a number of recommendations in the capital review report that we have sent out to municipalities and to the people who submitted to that commission. We will be reviewing all of those recommendations in due course. We have a group within the Department and across departments who are also looking at that, and it is under review.

Mr. Speaker: The time for Oral Questions has expired.

Mr. Conrad Santos (Chairperson): Mr. Speaker, I inadvertently moved the incorrect Supply report because there were two resolutions that were passed in the other rooms and would ask leave humbly to move the correct report.

Mr. Speaker: Does the Honourable Member have leave? [Agreed]

Mr. Santos: Mr. Speaker, the Committee of Supply has adopted certain resolutions, directs me to report the same and asks leave to sit again.

I move, seconded by the Honourable Member for Selkirk (Mr. Dewar), that the report of the Committee be received.

* (14:20)

Mr. Peter Dyck (Pembina): I move, seconded by the Member for Emerson (Mr. Jack Penner), that the composition of the Standing Committee on Law Amendments be amended as follows:

Emerson (Mr. Jack Penner) for Tuxedo (Mr. Filmon); the Member for Steinbach (Mr. Jim Penner) for Seine River (Mrs. Dacquay); the Member for Fort Whyte (Mr. Loewen) for Fort Garry (Mrs. Smith).

Mr. Gregory Dewar (Selkirk): Mr. Speaker, I move, seconded by the Member for Wellington (Mr. Santos), that the composition of the Standing Committee on Law Amendments be amended as follows:

La Verendrye (Mr. Lemieux) for Inkster (Ms. Barrett); Swan River (Ms. Wowchuk) for St. Johns (Mr. Mackintosh); Brandon West (Mr. Smith) for St. Vital (Ms. Allan).

Mrs. Myrna Driedger (Charleswood): On Thursday, May 18, Charleswood Junior High celebrated its Festival of the Arts. Charleswood Junior High's staff and students welcomed the community to a showcase of their talent. The gym was full of displays of art, writing, science projects, PowerPoint presentations, storytelling and many other examples of the innovative and creative efforts of these junior high students.

In addition to the displays, there were also performances given by individual students in various rooms of the school. These performances included a guitar solo, Shakespearean scenes, singing, dancing, poetry reading and public speaking. As well as enjoying all the wonderful displays and taking in the talented performers, we were also treated to Charleswood Junior High buskers.

A performance in the gym by the Charleswood Junior High Jazz Band was outstanding. This band recently won triple gold at the Optimists Festival. More entertainment in the gym followed with singing, contemporary dancing, as well as the display of highland dancing.

For sustenance during the evening, Mr. Hunter's Future in Business class sold cotton candy, nachos, chips, penny candy and soft drinks. The parent council's bake sale was appreciated by all, myself included.

To end the evening, the school unveiled a spectacular millennium mural painted by the students. This mural was very thought-provoking and colourful and will be hung in the school as a reminder to future students of some of the highlights of the last millennium.

At this time, Mr. Speaker, I would like to congratulate all of the students and staff and parents for the great success that Charleswood Junior High experienced in putting on this year's Festival of the Arts. Thank you very much.

Ms. Nancy Allan (St. Vital): On Friday, May 12, I had the privilege of attending an intergenerational conference of seniors and high school students presented by the Boni-Vital Council for Seniors and the St. Vital and St. Boniface school divisions entitled Can We Talk? I would like to congratulate the youth and seniors who attended this unique opportunity to dialogue intergenerational issues and break down stereotypical barriers.

I would like to thank and recognize publicly the organizing committee members whose hard work made this conference possible: Representing the St. Vital School Division, Alex Boyes, Special Assistant to the Superintendent; the student team was Renee Barnabe and Marina Sewart from College Jeanne Sauve; David Cordingey and Tod Noakes from Glenlawn Collegiate; Morgan Penuita and Dele Meshe from Dakota.

Representing the Boni-Vital Council for Seniors was Don James, the Resource Co-ordinator; Warren Hibbert and Crystal Peters from the St. Boniface Geriatric Day Hospital; Olga Janzen from the Manitoba Society of Seniors; Martha Treichel from the Highsteppers Club; Lisa Sinnicks and Pat Sytnick from Manitoba Housing; Sherry Frechette and Carol McPherson from the Youville Centre of St. Vital and Marianne Neuman and Karen Irvin.

I would also like to thank and pay recognition to the Assiniboine Credit Union for their assistance and support which made this very unique conference a huge success.

Thank you.

Mr. Jack Penner (Emerson): Mr. Speaker, on May 13, the town of Altona named Theodore (Ted) Friesen its citizen of the year.

I cannot think of a more deserving individual to receive this honour. Mr. Friesen has lived through eight decades of the 20th century, most of them in Altona, and he has chronicled many of the experiences over these years in a book that he wrote, edited or helped to commission.

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Ted Friesen has been a patron of the arts, a promoter of culture locally and elsewhere as a community booster, a church builder and a lifetime purveyor of the Mennonite faith and history. Furthermore, his was a very central part of the business role in the town of Altona and a real proponent of the economic growth in the community for much of his career.

Until his retirement in 1986, he served as treasurer of Friesens' corporation, formally known as D.W. Friesen and Son, the printing business started by his father, D. K. Friesen.

Please join me in congratulating Mr. Ted Friesen and his wife, for their many contributions to Altona and the province of Manitoba. Their dedication and work, as well as being strong, devoted to their faith and heritage, are a model for each of us in our communities. God bless them. Thank you.

Mr. Cris Aglugub (The Maples): I rise today, Mr. Speaker, in recognition and appreciation of the work Maples Collegiate has done to address the challenges of racism and discrimination.

Since 1995, students at Maples Collegiate have formed a unity group who organize events to raise awareness of racism and discrimination. Two major annual events planned by the students are Unity Day and the March for Unity.

Unity Day is a school-wide event held in conjunction with International Day for the Elimination of Racial Discrimination. This event gives the students, staff and the community an opportunity to raise awareness of racism and celebrate our cultural diversity.

I was pleased to speak at this year's Unity Day where I was very impressed by the work done by students to help educate their peers and teachers.

Today is the fourth annual March for Unity, where students from various schools walk to the steps of the Legislature to bring their message to members of this Assembly. I was honoured to walk part of the way with these students to help raise awareness of their efforts to end discrimination.

Initiatives like the Unity Group and the March for Unity are excellent learning experiences for our young people. They provide opportunities for our youth to recognize and become actively involved in addressing social issues that directly affect their lives.

It is reassuring to witness such a strong student-led response to racism and discrimination. It is essential that everyone in our community understand their role in ensuring–

Mr. Speaker: Time is up.

Hon. Jon Gerrard (River Heights): Mr. Speaker, I rise to put a few words on the record about the Manitoba Lotteries Corporation and the current situation that we are in.

The daily documentation of abuses and outrageous behaviour, the Human Resources report, which was put down yesterday, highlight a very serious matter in the history of Manitoba. The report points out the nature of this industry with the fast-paced excitement and so on.

It is quite clear when we are dealing with the gambling industry that there needs to be a level of watchfulness, a level of integrity, a level of probity which is above and beyond that which is in any other industry in this province. It is quite clear that, for quite a number of years, that level of activity, that level of integrity, that level of probity has been seriously missing.

Given the very nature of this industry, given the concerns that many Manitobans have about gambling, I view the response to date to the Human Resources report by the Government as inadequate.

Quite frankly, the refusal to commit to fully implement all the recommendations is not good enough. The refusal to put a time line to when those recommendations will be implemented is not good enough. I suggest to the Government that it is going to have to do a lot better if it is going to meet the standards that we should have and we must have in Manitoba.

Introduction of Guests

Mr. Speaker: I would like to take this moment to draw the attention of all honourable members to the loge to my left where we have with us the former member for Arthur-Virden. On behalf of all honourable members, I welcome you here today.

Hon. Gord Mackintosh (Government House Leader): Mr. Speaker, if you could canvass the House to determine if there is unanimous consent to adjourn at 2:55 this afternoon.

Mr. Speaker: Is there unanimous consent to adjourn at 2:55 this afternoon? [Agreed]

Mr. Mackintosh: Mr. Speaker, I move that Mr. Speaker do now leave the Chair and the House resolve itself into a committee to consider of the Supply to be granted to Her Majesty, seconded by the Minister for Consumer and Corporate Affairs (Mr. Lemieux).

Mr. Speaker: Mr. Deputy Speaker, please take the Chair.

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Mr. Chairperson (Harry Schellenberg): Will the Committee of Supply please come to order. This section of the Committee of Supply will be considering the Estimates of the Department of Aboriginal and Northern Affairs.

Does the Honourable Minister of Aboriginal and Northern Affairs have an opening statement?

Hon. Eric Robinson (Minister of Aboriginal and Northern Affairs): Yes, Mr. Chairman, I do have an opening statement.

However, I believe to open up our Estimates process for this particular department, I would ask you, Mr. Chairman, to canvass the table and see if there is a willingness to call it 2:55 p.m. We can commence with Estimates of our particular department at the earliest opportunity.

Mr. Chairperson: Is it the will of the Committee to call it at 2:55 p.m.? [Agreed]

Committee rise.

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Madam Chairperson (Bonnie Korzeniowski): Good afternoon. Will the Committee of Supply please come to order. This afternoon this section of the Committee of Supply meeting in Room 255 will resume consideration of the Estimates for the Department of Highways and Government Services.

As had been previously agreed, questioning for this department will follow in a global manner with all line items to be passed once the questioning has been completed. The floor is now open for questions.

Mr. Glen Cummings (Ste. Rose): I would like to continue with a line of questioning that we were on yesterday. I just need to organize my stack of papers a little better. We were looking at some of the boards and the responsibilities of the Motor Transport and Highway Traffic boards. As we were discussing as we adjourned, the Minister put on record the process for appeals under Highway Traffic Board decisions.

Hon. Steve Ashton (Minister of Highways and Government Services): Madam Chair, the appeal is to the Public Utilities Board. Either, for example, the department or a proponent can make that appeal.

Mr. Cummings: If I understood what the Minister just said, the appeal would be to the Public Utilities Board. Do they provide a decision or recommendation to the Minister?

Mr. Ashton: I am advised that it is a decision.

Mr. Cummings: There would be no appeal to a decision from the Public Utilities Board on a matter that had been heard there by the Highway Traffic Board.

Mr. Ashton: It was just explained that this has never happened, so we are into some questions here in terms of what would happen. I guess the key element is whether it is appealed through the courts. There is some indication that may be the case.

What I can do for the Member is perhaps give him a response at our next sitting just to be on the safe side.

Mr. Cummings: Obviously, I do not need the answer this afternoon, but I would like to have the process clarified.

Whether it is unique to my constituency or not–I do not think it is–here are a number of areas of normal development of communities where the highway, as the railways used to be, becomes the main artery and, in some respects, starts to become the main business thoroughfare and then the whole development cycle starts over again. But there are from time to time inequities that arise or appear to be inequities in terms of access and egress to communities where bypasses or where new construction has taken place. Certainly I recognize that these evolve over a number of years and can be, not as a result of any intent, but simply a matter of from time to time decisions being made in a piecemeal manner.

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Does the Department of Highways ever go back and review the amount of access that there is in some of the more main highways with an eye to putting in–and I am not talking about only at the point of a rebuild but in terms of building or removing egress to businesses that have established along the side of the highway?

I will give you an example. I want to avoid the town of Neepawa, which is a different situation, but where you have a town that is established along the side of a highway and there may be seven or eight exits off the highway into that town, probably there traditionally when the highway went through in the first place, and yet the next town, to choose a number, will have a reduced number because it was a more recent construction.

This raises questions that have come to me from a number of different directions. Is there a policy or other than just one-by-one safety examination of these laneways and turning lanes that the public can look to, a policy from Highways similar to, for example, policy on signage, that type of general policy?

Mr. Ashton: I think it is fair to say that decisions are made on a one-by-one basis largely because no two situations are identical. Obviously, you have to combine factors related to the specific roads, the traffic flow, the engineering of the road that is involved, but there are obviously basic standards that have been developed that are applied.

I think the key thing is to find the balance. I believe the department should err on the balance of safety. I realize there have been some ad hoc developments over time that perhaps may have been explainable for other factors, just the development of highways. That happens all the time, but there are situations where the department does go in and deal with access-related questions.

If you look at the capital construction budget, we are not just building new roads or enhanced roads. In some cases we are looking at everything from intersection improvements through to other ways of improving situations, and I think that is appropriate. If you end up with situations where you have a trade-off between access and safety, and recognizing that over time traffic volumes can go up considerably, what may not have been a major problem 10, 20 years ago may become a significant problem. I think the Member would probably agree that the important thing is to err on the side of safety.

I realize this is often a difficult situation for those who are directly affected, but that is very similar in a way to what we do when we expropriate or purchase property for any highways improvement. It is never an easy process, but at some point in time you have to make decisions based on the greater public good.

Mr. Cummings: Then when there is an access road contemplated in replacement of laneways or other traditional access that may have been to highways, whose responsibility is it? Is it Highways that has the responsibility if they are re-establishing an access road, so they can reduce the number of accesses? Is it the responsibility of Highways or the responsibility of the local municipality?

Mr. Ashton: I will just give the Member an example of some of the–

Madam Chairperson: Order. The hour being 2:55 p.m., just as previously agreed, Committee rise.

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Mr. Chairperson (Conrad Santos): Will the Committee of Supply come to order, please.

This section of the Committee of Supply has been dealing with the Estimates of the Department of Industry, Trade and Mines. Would the Minister's staff please enter the Chamber.

We are on page 107 of the Estimate book, Resolution 1. Administration and Finance (b) Executive Support (1) Salaries and Benefits $406,500.

Mr. Mervin Tweed (Turtle Mountain): As I stated yesterday, we just would have a few follow-up questions. I know we are a little bit limited by time.

Yesterday we talked a little bit about some of the knowledge-based economies in the province and some of the areas that the Department was moving forward with. I just have a few questions more.

I believe yesterday the Minister stated that there was no change in any of the programs in this year's budget. Am I correct in assuming that?

Hon. MaryAnn Mihychuk (Minister of Industry, Trade and Mines): That is correct. There has been some reduction in programming. The Call Centre Team has been modified, but the overall programming has remained the same.

Mr. Tweed: Would the Minister just elaborate? She had mentioned that there had been some reductions. I know on the number lines we can find the exact dollars, but where are the largest amounts that have been taken out of the budget?

Ms. Mihychuk: The most substantial changes are in the two areas of funds, providing funds to businesses. Mr. Chair, $1.5 million was reduced from the call centre initiative. This was monies given out as incentives to bring jobs, and that type of programming has been changed, as we talked about earlier. The second area is $400,000 from the Business Development Fund.

Mr. Tweed: Of the $1.5 million that has been taken out of the call centre initiative, is that a reduction on the funding side or employment or both, or could you just tell me what that amounts to?

Ms. Mihychuk: That component does not impact on personnel. It is the forgivable loans or the business subsidies portion that was cut.

Mr. Tweed: I noticed one of the announcements that the Minister made, and I do not have it in front of me for the date, but it was in regard to Gage Marketing. Did the province participate in that?

Ms. Mihychuk: Yes, we did. That was an initiative that was initiated by the previous government, the initial contacts. The deal was in the works, and we were glad to complete it. We did not want to change the footing for businesses in progress. We wanted to give them a heads-up on changes, and I did have an opportunity with the Premier to attend the opening.

Mr. Tweed: Can the Minister advise us if there has been any new applications for funds in this area?

Ms. Mihychuk: There have been inquiries by a number of companies that are looking at establishing or expanding call centre locations. We are not looking at the substantial forgivable loan programs that were available under the previous government, and we are very pleased to say that the infrastructure has meant that it is a favourable place to open a call centre on our own merits. Trader.com has just announced that they will be opening a significant national call centre right here in Winnipeg and received no provincial business subsidies.

Mr. Tweed: With the reduction in the 1.5 call centre initiatives, and I am presuming that that is the forgivable loan part, how much does the Government anticipate in putting out in forgivable loans in this area this year?

Ms. Mihychuk: In that fund remains $1.4 million. Those will be used as strategic investments, and we are moving into the new service centre concept, so it has been reduced by just over 50 percent.

Mr. Tweed: So the $1.4 million that remains will be used in forgivable loans to attract that type of industry. Is that what the Minister is saying?

Ms. Mihychuk: There have been some opportunities through call centres that are looking for, in particular, rural locations. Main Street, rural Manitoba, is quite attractive for some companies. There are certain circumstances where those funds will be used to assist in a strategic investment, but the type of direct grants per job are not being considered. This fund will provide us with some flexibility and ability to invest strategically, particularly when we are dealing with a new frontier in the new economy, and provides us some flexibility.

Mr. Tweed: So the 1.4 will not be used as a forgivable loan program.

Ms. Mihychuk: Without looking at the specific proposal, it is very difficult to say. We want to ensure that we have the flexibility to be there if the project requires it and if it is strategically important to Manitoba. It may involve some direct loans, forgivable loans, but I would not make a commitment that all that money was going to be used in that format. There may be infrastructure requirements that would be needed, and I think that that would be looked at even more preferentially.

We made a commitment during the election to reduce business subsidies. We have made significant ground in that area, but we do want to keep some flexibility, and there are strategic investments that we do want to participate in.

Mr. Tweed: Has the Minister had any inquiries by companies or by communities in rural Manitoba in regard to obtaining a call centre?

Ms. Mihychuk: Well, I can assure you that there are a number of communities that would love to have a call centre in their community. I know that Portage is on the short list, that we have been active taking companies to Portage la Prairie to look at Southport and facilities in the downtown area. We have also taken call centre companies to Brandon and Pinawa and Beausejour, and I do know that there are many other communities that are very interested, including Arborg, Dauphin, Swan River. I think Lynn Lake would really like a call centre as well.

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Mr. Tweed: Mr. Chairman, the Minister speaks about investing strategically and then talks about the desire and the needs for rural Manitoba, or wants, of call centres. Can the Minister explain what, other than forgivable loans, she would imply or suggest, would be available to companies wanting to move into rural Manitoba?

Ms. Mihychuk: There would be labour market studies, training and recruitment, infrastructure. Those are all areas that would be available for companies that are interested in coming to Manitoba.

Mr. Tweed: So what, then, would a community need to convince the Province to participate?

Ms. Mihychuk: I have been encouraging communities to perhaps get a resolution from their town council or have a business plan, know what space is available in your communities. The companies that I have had opportunity to discuss the issue with are looking for employment targets of 200, 300 individuals. Most of rural Manitoba can supply the workforce required, and they do require a building, and they need the good will of the community. I think those are all easy things that Manitoban communities can provide.

Mr. Tweed: The Minister mentioned that she has been escorting investors or potential–not her, her department. Is that something that the Call Centre Team does? Do they take the individual parties to the communities?

Ms. Mihychuk: The Call Centre Team has been quite aggressive and proactive in dealing with bringing in call centre jobs. Yes, they do reach out to companies and take them on individual tours and show them the sites and opportunities in Manitoba.

Mr. Tweed: Mr. Chairman, I would ask the Minister who is in charge of the Call Centre Team.

Ms. Mihychuk: Steve Demmings.

Mr. Tweed: I ask, Mr. Chairman, to whom he would report.

Ms. Mihychuk: He reports to the Deputy Minister, Hugh Eliasson.

Mr. Chairperson: The hour being 2:55 p.m., as previously agreed, Committee rise.

Call in the Speaker.

Mr. Speaker: The hour being 2:55 p.m., as previously agreed, this House is adjourned and stands adjourned until 10 a.m. tomorrow (Thursday).