The legislative assembly resumed sitting on Wednesday afternoon, for the first time since residents of Yellowknife and much of the South Slave regions were allowed to return home.
Premier Caroline Cochrane was first to deliver remarks, pointing out what the 19th assembly has accomplished over its time. But when it came to the fiscal outlook, it wasnSA国际影视传媒檛 a very rosy one.
In her ministerSA国际影视传媒檚 statement to the house, Cochrane indicated that the GNWT would most likely be running a deficit in the 2023-24 fiscal year.
And itSA国际影视传媒檚 the wildfires that are to blame.
SA国际影视传媒淭he 2023-2024 budget has been challenged by the dramatically increased costs of this yearSA国际影视传媒檚 wildfire season,SA国际影视传媒� she said.
Cochrane confirmed the reduced surplus that was talked about by Finance Minister Caroline Wawzonek earlier this month, from a projected $178 million down to $5 million.
The premier said that the drop was expected to affect the current fiscal year only and would not be seen in future years.
But she did say that the GNWT will likely run a deficit in the 2023-24 fiscal year when capital expenditures are considered, though she added that the fiscal outlook appears to be stable.
There was no indication how much the deficit will be.
She added that the federal government will be providing disaster relief funding under the Disaster Financial Relief Arrangement.
SA国际影视传媒淚n the coming years, the GNWT may recoup up to 90 per cent of evacuation and rebuilding costs incurred during the 2023 wildfire season,SA国际影视传媒� she said. SA国际影视传媒淣ormally, this could take several years, but weSA国际影视传媒檙e negotiating with Canada to advance some of this money sooner.SA国际影视传媒�
The federal government is open to that idea, according to Cochrane.
She said the territorySA国际影视传媒檚 fiscal stability is due to what she called SA国际影视传媒渞ight-sizingSA国际影视传媒� the capital budget in this fiscal year to reflect the capacity to complete infrastructure projects.
She said that would improve the cash balance on hand for the GNWT and the overall debt outlook, as well as not reaching the federally-mandated debt limit of $1.8 billion.
