* (1345)

ORAL QUESTION PERIOD

VLTs

Payout Percentages

Mr. Gary Doer (Leader of the Opposition): Madam Speaker, my question is to the Deputy Premier (Mr. Downey).

Last week the government released some information dealing with video lottery terminals and some limited information dealing with a community-by-community breakdown.

We would like to also know from the government, given the fact that the Ombudsman letter confirms that the Lotteries Corporation is highly computerized and has been since 1992, what is the percentage return to the investor or the gambler in VLTs in the province of Manitoba? Is it at the 92 percent level that was stated by the government when these machines were brought into this province? Can the government please tell us the return?

Hon. Eric Stefanson (Minister charged with the administration of The Manitoba Lotteries Corporation Act): If the Leader of the Opposition is referring to the prize payout of the machines, the prize payout is in the 92 to 96 percent range, Madam Speaker.

Mr. Doer: I would like to table a computer readout from a hotel over a two-year period and make available a copy to the minister. This computer readout indicates that over a two-year period six machines, which of course are computerized, had a revenue of $991,000 and a payout of $710,000 for an average of about 71 percent.

I would like to ask the government--they obviously have computer printouts from the Lotteries Corporation of every machine by every week by every community--can the minister table today the material that would indicate that in fact the payout is in the 92 to 96 percent range as alleged by the minister and the government?

Mr. Stefanson: Madam Speaker, I thank the Leader of the Opposition for the information he has just provided. I will take it as notice and determine what the reasons may be for what appears to be a potential discrepancy.

Mr. Doer: Of course the Lotteries Corporation told the Ombudsman on six occasions that they were unable to provide information of a community-by-community breakdown when in fact we knew that the information was available since 1992. So we are somewhat concerned on this side of what the Lotteries Corporation says and what the Lotteries Corporation actually knows.

Madam Speaker, would the minister today agree to table the computer breakdown of how much money goes into the machines and how much money comes out to the gamblers in terms of prize money or whatever term they use, the terms of return, so that we can determine whether in fact the Lotteries Corporation is telling us the accurate amount of money?--because it appears to us that the payout is quite a bit less than what they originally stated.

Obviously, we do not have all the information the government has. We did not have the cabinet briefing that the government had on November 30. They have the information; the minister has the information; the former minister has the information.

Would he table in the House the breakdown of prizes or returns versus monies invested in these machines so Manitobans will know whether in fact these machines are operating like one-armed bandits or are they operating like two-armed bandits or how are they operating in terms of Manitobans?

Mr. Stefanson: Without even necessarily accepting the information provided by the Leader of the Opposition, as the information they bring to this House is not always 100 percent accurate, I have indicated that I will follow up on the specifics of the sites they have shown on this document that they tabled, and I will report back on the reason for any of the perceived discrepancies at this point in time.

Health Care System

Surgery Waiting Lists

Mr. Dave Chomiak (Kildonan): My question is for the Minister of Health.

Another report has again told Manitobans something that Manitobans have known for a long time, that we are waiting too long for surgery in this province, particularly cardiac surgery.

How does this minister and this government justify its cutbacks and its inaction to the thousands of Manitobans who are waiting in pain and with health problems to already too-long waiting lists in this province?

Hon. James McCrae (Minister of Health): The honourable member makes reference to a report put out by the Fraser Institute, dealing with wait lists for various surgeries across the country.

The Manitoba response does not lend itself to a very accurate report. That is, I think, when two cardiologists of 11 report to the institute, you are not going to be guaranteed an accurate result, but rather than quibble with the report, which really does not take us very far down the road, the honourable member is correct that waiting lists for various surgeries, including cardiac surgery, have not been acceptable, neither to himself nor to me. That is why in this year's budget we made an infusion of $500,000 to assist us over a three-month period with respect to surgeries in Manitoba.

The report put out by the institute dealt with last year, and that program began this year, so we expect to see some improvement since then until the present time.

* (1350)

Mr. Chomiak: Madam Speaker, how does the minister explain, therefore, that he told us in Estimates he was going to not extend this three-month program that was announced before the election to coincide with the election and to end on June 15, to decrease waiting lists? How does he explain that this program is now ended, and the minister said he was not intending to put additional money in to reduce waiting lists to continue this program? How does he explain that?

Mr. McCrae: Madam Speaker, in the same way that I explained it in Estimates. After the infusion of $500,000 and the three-month program, all of the people involved in that would then evaluate the success of the program, with a view to making decisions about whether we need to do more of that or not. That is what I said in Estimates, and that is what I say today.

Dr. Bill Lindsay we have been able to recruit back from the United States to head up the heart program in Manitoba. He took over in January of this year. He has identified some areas where improvements could be made. He has identified the need for surgical intensive care beds. Manitoba Health has approved the expansion of surgical intensive care beds. There have not been requests for funding for additional operating room time. The attention seems to be focused on the intensive care aspect of it.

Dr. Lindsay has also initiated a process whereby twice as many heart-pump procedures can be performed on a daily basis, so a number of things are happening in that area.

The honourable member's question did not refer to ophthalmology where we have performed an increase of 2,682 procedures since 1988.

Mr. Chomiak: Madam Speaker, how can we accept this minister's explanation that they are working on this problem when I will table for the minister notes from the minister's briefing book 1991 that identified these various problems and said the government had recommendations in January 1991 to eliminate these problems to reduce waiting lists?

How can we accept this minister's explanation the waiting lists will be reduced now when they did not do that in 1991 when they had a briefing note that identified those very same problems?

Mr. McCrae: I think we should be very clear, Madam Speaker. When the time comes when not one single Manitoban is put to any discomfort because they have to wait for surgery, we will continue to have a problem. There may be a time when the honourable member will conclude that somebody can darn well wait for a few weeks while they are in pain or living in uncertainty about what is going to happen for the rest of their lives. Well, that is not good enough for me. It might be good enough for him.

Madam Speaker, much effort is being expended to address the issue of waiting lists in Manitoba. We have had in the past, I suggest, problems with respect to how we spend that 34 percent of our budget, which is the highest percentage in this country. The honourable member, all he ever wants to suggest is that we spend more. I suggest we spend what we have and we spend it wisely.

Bell of Batoche

Theft

Mr. Gord Mackintosh (St. Johns): Madam Speaker, my question is to the Acting Minister of Justice.

The bell from the church at Batoche is an article of great historical significance. On October 20, 1991, we understand it was stolen, along with two engraved Riel Rebellion medals, during a break and enter at the Royal Canadian Legion at Millbrook, Ontario.

My question to the minister is, could the minister explain why no charges have been laid, let alone a search warrant issued regarding this incident, despite our understanding that at least two individuals have given sworn statements as to the bell's likely whereabouts in Manitoba back in April?

Hon. James McCrae (Acting Minister of Justice and Attorney General): I would be pleased to pass on the honourable member's question to the Minister of Justice (Mrs. Vodrey).

Mr. Mackintosh: Would the acting minister--if this is indeed the Acting Minister of Justice today--then confirm that the Department of Justice has been sitting on this matter for weeks, and would the minister ensure that this House be provided immediately with the detail as to whether the Minister of Justice or any member of the government has any information, when they became aware of any information as to the bell's whereabouts and what action has been taken to avoid any suggestion that there has been a suppression of charges by this government?

Mr. McCrae: Madam Speaker, I would be very reluctant and cautious about accepting anything the honourable member would say in a preamble to a question. So the wisest course would be to pass it on to the Minister of Justice.

* (1355)

Millbrook Legion

Reimbursement for Damages

Mr. Gord Mackintosh (St. Johns): Would the minister either inform this House or have the Minister of Justice (Mrs. Vodrey) inform this House as to whether the minister is aware of or has directed an investigation into a statement made in writing by the former national spokesperson of the Metis National Council and the former president of the Manitoba Metis Federation when on May 21, 1992, he committed on behalf of the MNC to reimburse the Millbrook legion for all costs relating to damages to its premises?

Hon. James McCrae (Acting Minister of Justice and Attorney General): Madam Speaker, this question, too, I will pass on to the Minister of Justice.

CN Rail

Layoffs

Mr. Daryl Reid (Transcona): Madam Speaker, I am advised that the CN Transcona Shops operations will contribute some $140 million to the Manitoba economy in 1995. Employment has decreased from nearly 3,000 jobs in 1990 to some 1,250 jobs today.

Two weeks ago the provincial Minister of Transportation met with CN officials. I would like to ask the minister, can this Minister of Transportation advise the House, did he ask CN if there would be further layoffs of rail employees in Manitoba during 1995-1996?

Hon. Glen Findlay (Minister of Highways and Transportation): Madam Speaker, the member is fully aware that CN is going through a significant downsizing of its workforce right across the country. It is being done over three years. This is the third year of that process.

I have asked officials in CN to be sure that Manitoba is not negatively affected in terms of the percentage of jobs that we currently have here of CN nature, that that not be affected in the process of their adjustments of their labour force. He has assured me that would be the case.

Bill C-89

Government Position

Mr. Daryl Reid (Transcona): I take it the answer is no then. Can the minister advise whether or not he travelled to Ottawa to make a presentation on Manitoba's position on Bill C-89, the privatization of CN, and will the minister table a copy of his presentation if he made one?

Hon. Glen Findlay (Minister of Highways and Transportation): Madam Speaker, we have written letters to the federal minister about a variety of topics, including the one of privatization of CN, but no, I did not travel to Ottawa. We have expressed our opinions in correspondence with the federal minister.

CN Transcona Shops

Work Transfers--Montreal

Mr. Daryl Reid (Transcona): Can the Minister of Transportation advise the House if he asked CN officials who were here two weeks ago if they plan to transfer CN Transcona Shops work to Montreal's AMF shops which are due to be sold to a European firm with a guarantee of work on CN equipment? Will that work be transferred from Manitoba to Montreal?

Hon. Glen Findlay (Minister of Highways and Transportation): Madam Speaker, I have no knowledge of what the member brings to the House. I will inquire to determine if there is any validity to what the member has brought to the House.

Canada Transportation Act

Government Position

Mr. Gerard Jennissen (Flin Flon): My questions are for the Minister of Highways.

Over the course of this session we have raised a series of questions concerning fundamental changes taking place in the transportation industry and the effects upon Manitoba. Regrettably, we have not received any suggestion of interest or commitment from this government on these matters.

I want to begin by asking the Minister of Highways and Transportation whether his department has reviewed and has a position on the recently tabled Canada Transportation Act.

Hon. Glen Findlay (Minister of Highways and Transportation): Madam Speaker, there is no question that a lot of changes are happening in transportation, driven to a large extent by actions by the federal government. We review everything they do to be sure that we do not have negative impacts in Manitoba that are any different than any other part of the country.

Mr. Jennissen: Madam Speaker, my supplementary question is to the same minister.

Will this minister be appearing before the House of Commons committee studying this bill in the fall?

Mr. Findlay: The department is currently looking at that and will determine if that is appropriate, whether I or some member of the department should make some representation.

Government Analysis

Mr. Gerard Jennissen (Flin Flon): My final supplementary question is to the minister.

Rather than saying simply that regulation is inevitable, will the minister and his department make sure to study and give us an idea of what these federal changes will mean?

Hon. Glen Findlay (Minister of Highways and Transportation): I can assure the member that department staff are going through that process to get some answers in the context of which he has raised the question today.

* (1400)

Canada Transportation Act

Northern Air Service

Mr. Eric Robinson (Rupertsland): Madam Speaker, my questions are also for the Minister of Highways and Transportation.

I assume by now this government has studied the new transportation act.

I would like to ask this government if this government has determined the effect of eliminating special regulations governing northern air service and what effect that will have on small northern airlines.

Hon. Glen Findlay (Minister of Highways and Transportation): Madam Speaker, there is no question the federal government has made a lot of changes that affect airports and the operating of airplanes in airports throughout Canada. I have no information at this time to indicate that there will be negative impact in terms of safety of the use of those aircraft in those airspaces in northern Manitoba.

Mr. Robinson: My question is to the same minister.

Has the department studied how the elimination of federal licensing and tariff regulation on marine resupply services in the North will impact on the millions of dollars of goods shipped from Churchill to the N.W.T.?

Mr. Findlay: I will take that question as notice from the member and inquire from the department what idea they have on that particular question.

Public Hearings

Mr. Eric Robinson (Rupertsland): My final question is to the same minister.

Since the act will be passed this fall, this gives this province and the public a very short time to respond with concerns. Will this government be requesting hearings in northern Manitoba to deal with concerns over the threats of jobs and services?

Hon. Glen Findlay (Minister of Highways and Transportation): The member raises an issue that has been common to all kinds of actions the federal government has been taking in the transportation field. They put large, massive changes on the table with very little consultation and very little opportunity for input from the various affected regions. It is a major concern.

I can assure the member we are doing what we can to bring information to their attention that we want to have answers to, and we have not been getting the appropriate answers or enough answers to give us the comfort in all the areas we would like to have. There is dramatic change going on. Our bottom line is be sure that safety of the operation, particularly in the aircraft industry, is maximized in the process of the changes they are undertaking.

Canada Transportation Act

Rail Service

Ms. Rosann Wowchuk (Swan River): Madam Speaker, my question is also for the Minister of Highways and Transportation.

Under the Canada Transportation Act, railways are being given power to shut down many lines in communities that have only a single-shipper capacity. We have already seen one railway by-pass this province and ship through southern Saskatchewan and the States.

What will this mean for rural communities in areas such as the Parkland and Interlake that will lose railway services and see their costs of shipping increase dramatically? Why has this government not taken a stand on this issue to support farmers and people in rural communities?

Hon. Glen Findlay (Minister of Highways and Transportation): Madam Speaker, I want to remind the member that two major things have happened in this province to try to facilitate the ability of rail lines to move grain from Manitoba to export markets. One was passing the branchline legislation which came into effect about a year ago, to allow branchline operations to operate under provincial regulation within the boundaries of Manitoba. That opportunity exists for lines that may be abandoned and allows an opportunity of assessment by particular entrepreneurs to look at branchlines for that purpose.

Secondly, we have drastically reduced the fuel tax to a railroad to allow them to operate here cost competitively with other regions.

I want to remind the member, our fuel tax is less than half of what it is in Saskatchewan. I think it is 6.3 cents per litre, where it is 15 cents in Saskatchewan.

Ms. Wowchuk: Madam Speaker, I want to ask the minister whether he will agree that we have received nothing in return. We have lost hundreds of jobs and had a huge shift in cost onto local municipalities for road maintenance and a huge shift onto farmers.

Will he agree that we have nothing in return for what has been sacrificed?

Mr. Findlay: Madam Speaker, also, a lot of cost has been shifted onto the provincial government in terms of the roads that we will have to maintain in the future.

Dramatic changes have happened in the transportation industry. The rail industry is now the third group to go through it. Air and trucking have gone through it previously. We wanted to be sure, the bottom line for us is that we have CN and CP both operating as competitive railroads to deliver services in rural Manitoba to move grain and other commodities to export. We believe that the process that has been ongoing allows an opportunity for CN to survive. We did not support the principle of CP buying out CN so we only had one railroad for all the shippers to deal with. We did not support that at all.

So the process of the evolution of change, which I know the member opposes in every context, is probably the best alternative we can have to be sure we have competitive, competing railroads who can offer jobs and make a profit at the end of the day so they can afford their capital upgrades to be viable entities in the future.

Ms. Wowchuk: Madam Speaker, I just do not understand--

Madam Speaker: Order, please. I would remind the honourable member for Swan River, this is her final supplementary question which requires no postamble, no midamble and no preamble.

Ms. Wowchuk: Madam Speaker, I want to ask the minister how he can accept these changes which will result in offloading to municipalities, loss of services to farmers and loss of many jobs throughout Manitoba. How can he accept this and say that this is good for this province?

Mr. Findlay: It is obvious that what the member for Swan River wants would have been to have CN go broke and shut down. That would have been the acceptable alternative for her.

The process that is ongoing right now is to be sure that we have a viable, competitive second railway option for all the shippers of Manitoba for her region and the rest of Manitoba.

I believe, Madam Speaker, that if she looks at the process that is going on, that is probably the best that we could expect in this circumstance that we exist in right now.

Health Care System

Surgery Waiting Lists

Mr. Kevin Lamoureux (Inkster): Madam Speaker, my question is for the Minister of Health.

The Fraser Institute has released a report that causes a grave concern with respect to heart surgery in the province where it is really highlighted in terms of it takes approximately 120 weeks in the province of Manitoba compared to 4.7 weeks in the province of Quebec.

Another startling figure that has come out, Madam Speaker, is from Dr. Michael Walker from the Fraser Institute, who now says 45.5 percent of these patients inquire about or receive out-of-province treatment.

My question is, what is the minister doing to deal specifically with this issue, given the high percentage? The closest percentage to that is the province of Saskatchewan at 5.3. We are at 45.5--

Madam Speaker: Order, please. The question has been put.

Hon. James McCrae (Minister of Health): Well, Madam Speaker, you are right. The question was put earlier by the honourable member for Kildonan (Mr. Chomiak), and I gave an answer.

There are a number of things that need to be done. First off is to recognize that there, indeed, is an issue, and it has been a chronic issue in Manitoba for some time. The development of the consortium between the Health Sciences Centre and St. Boniface Hospital last fall, which flows from the Memorandum of Understanding from last fall, is an important piece in order to bring some solid leadership and co-ordination to the heart program in Manitoba. That has been happening, Madam Speaker, under the leadership since January of Dr. Bill Lindsay, who has assumed leadership of this consolidated cardiac services program.

We have assisted by redirecting $500,000 towards the reduction of waiting lists for a period of three months this spring which expired on June 15, and we are evaluating the performance of that. We want to continue to develop with the surgeons waiting lists that we can learn from, as opposed to every doctor keeping separate waiting lists.

* (1410)

Mr. Lamoureux: Madam Speaker, can the Minister of Health tell us today how many Manitobans are actually seeking to get treatment and receiving that treatment?

Does the Minister of Health have this? The Fraser Institute is saying 45.5 percent of those who are on the waiting list are attempting to seek referrals.

Mr. McCrae: Madam Speaker, the Fraser Institute also tells us we have no MRI, which we have had since 1991. That should tell the honourable member that there are some things about this report that we ought to look at, but I do not mean by saying the report is flawed to say that we do not have an issue to deal with because we do have one. We have been working together for some time, and we expect to see some improvement this year over last year.

Surgeries overall in Manitoba are up year after year. There are more and more surgeries being done--the fundamental question about, well, do we need to resort to surgery in every case?

The honourable member asks how many. Well, it is impossible for me to give him an answer to that question because each doctor has his or her own waiting list, and we are trying to get the doctors to work closely together. Through the leadership of Dr. Ross Brown at St. Boniface Hospital and the appropriate access committee, we hope to bring some co-ordination to this whole thing.

The honourable member is right to raise the question. It is just that it is exactly the same one that was raised earlier.

Mr. Lamoureux: Madam Speaker, if I understand clearly, the minister is saying, and I ask the minister, is he saying to the House that he does not know how many Manitobans are even looking at getting heart surgery because of this government's inability to provide elective heart or cardiovascular surgery? Is that the case, that the minister does not know?

Mr. McCrae: Well, the honourable member, by using the expression elective surgery, puts his finger on the problem in my view, because there are various kinds of surgeries. There is emergent surgery which is available immediately. There is urgent and then there is elective surgery. It is that elective list that causes all of us some concern, because I do not believe there is an appropriate co-ordination of that elective list.

I am not able to give the honourable member an accurate number of Manitobans awaiting surgery, because those waiting lists are kept by the individual physicians or surgeons involved. All I can tell the honourable member is that we see this as a priority item, and that is why we put $500,000 towards a three-month program, and now we have some data flowing from that that we can evaluate and, hopefully, produce better results.

Bill C-89

Maintenance/Stock Yards

Ms. Marianne Cerilli (Radisson): Madam Speaker, my question is for the Minister of Transportation.

Railways have traditionally been the largest industrial employer in Winnipeg. Railways in Manitoba have declined in their employment from 12,000 people in 1990 to 7,000 last year.

I want to ask the minister, in view of this, if he has asked why the federal Bill C-89 did not require maintenance in stockyards to remain in Manitoba, as they did for the administrative offices in Montreal, given that 60 percent of the profits for CN come from its western operations.

Hon. Glen Findlay (Minister of Highways and Transportation): Madam Speaker, the member is very right. The majority of CN's profit comes from western Canada. This is their operating unit that generates the revenue to run the company.

We have asked even a bigger question: Why can the headquarters in Montreal not come west where the operation activity really is?

Unfortunately, without any opportunity for real input from western Canada, the federal government decreed that it shall stay in Montreal, thus not fair given the fact that CN's major operation is out in the West.

I think the member must also remember some very basic facts that exist in the rail industry, although it is terrible that we lost jobs, and, yes, there are lots of services we want shippers to have on rail, but over the last 40 years rail has gone from handling 70 percent of the bulk commodities in this country down to 28 percent. The trucking industry has taken over an awful lot of the movement of bulk commodity activity that the rails used to do 20, 30 and 40 years ago. It is an unfortunate circumstance, but it is a reality. There is no question over time jobs of transportation have shifted from rail to road, but there are more jobs today in transportation than there ever was.

Madam Speaker, we want to be able to be sure that all the commodities that are in the process of handling goods for shippers can operate competitively and profitably to deliver services in the future and create the jobs that go with those opportunities.

Ms. Cerilli: Well, the minister raised the issue of the cost to Manitoba, in terms of road maintenance, with the trend for loss of transportation in the rail industry.

I want to ask the minister: How does this government justify the thousands and millions of dollars it is spending to keep the Jets and the arena here when it has not had the same kind of campaign to maintain the 1,200 jobs and the $35-million payroll in the Transcona yards for Manitoba?

Mr. Findlay: Madam Speaker, we have made a major effort and been successful in bringing the customer service jobs for all of CN, for the whole country of Canada, to Winnipeg. They have eight service centres across the country. In the future they will have one service centre for all of Canada. That means jobs will leave seven other regions of this country and end up in Winnipeg. That is a major initiative on our part to be sure that there are rail-related jobs here in this province as opposed to that centre being moved out of this province to some other location.

It is an area of technology that now is very important to the operation of the rail industry, and it is all located here in Winnipeg in the future.

Ms. Cerilli: With the kinds of guarantees the minister seems to be putting forward in the House today, can he tell us how much of the $35-million payroll currently in the Transcona yards will be here once CN is sold and privatized in Canada?

Mr. Findlay: The other alternative that CN is not an operating unit at all is not an acceptable option. Downsizing is happening in that sector, in CP, in many other sectors of our economy.

The purpose of CN's existence is to supply service to shippers. If they do a good job of that then jobs are created in the transportation sector and they have to be economically viable. Billions and billions of taxpayers' dollars have been pumped into CN as a Crown corporation over many decades in this country. The federal government, in their wisdom, have taken the position that that has to stop. There is one taxpayer in this country, so they have taken the position if they commercialize the industry in the future there will no longer be any taxpayer subsidy, and that is supportable.

Goods and Services Tax

Harmonization

Mr. Leonard Evans (Brandon East): Madam Speaker, I have a question for the Minister of Finance.

Although the federal Liberal government promised to eliminate the GST, this regressive tax unfortunately continues to exist. Now the new Premier of Ontario has offered to harmonize Ontario's sales tax with the GST. This matter will likely be discussed at the western Finance ministers' meeting, which I understand will be tomorrow.

I would like to ask the Minister of Finance, what will Manitoba's position be? Is this government ready to fall in line with the Ontario Conservative government, or will we continue to oppose the GST?

Hon. Eric Stefanson (Minister of Finance): Madam Speaker, in the last two national meetings we have had of Finance ministers with the federal Finance minister, this issue has not been on the agenda. I do expect that at one of our next meetings it will resurface.

As the member for Brandon East knows, we have continued to oppose the solutions that have come forward from the federal government, which really have been a form of harmonization. I will not go into all of the details of their proposals. I think members know what the federal government has been proposing in terms of harmonization.

We have continued to oppose that, because it has meant applying the tax on a broader base. It has meant thereby taxing some items that currently are not taxed. It has also meant a shift of taxes to consumers. It has meant effectively a net loss of revenue for governments which would have to be made up by other taxes.

The solutions that have come from the federal parliamentary committee from the federal government in terms of the GST issue have been unacceptable to this government. They are not in the best interests of Manitobans, and we have seen nothing come from the federal government that we feel is worthy of support at this time.

* (1420)

Economic Growth

Interest Rate Reduction

Mr. Leonard Evans (Brandon East): Madam Speaker, will this minister urge the western ministers of Finance to pressure the Bank of Canada to lower interest rates to help stimulate the economy, in light of predictions that are now coming forward, predictions of many economists that we could be heading into a recession because of weakening consumer demand, because of a slowing down of exports to the United States coupled with restrictive fiscal policies of federal and provincial governments?

Hon. Eric Stefanson (Minister of Finance): The member for Brandon East knows it is always a fine balance in terms of what interest rates should be reflected here in our country, what is happening with inflation rates and so on.

We have seen some increase recently in terms of the national inflation rate, which is not at the point at being a major concern but we know what inflation has done to the economies of Manitoba and Canada several years ago.

That is always a delicate balance, to have that right balance between what the interest rate should be and inflation, and it is an ongoing--[interjection]

That issue is certainly discussed occasionally, not only by western Finance ministers but at the national level, as well, Madam Speaker, and I anticipate it will be on one of our future agendas.

Bank of Canada

Deputy Governors' Salaries

Mr. Leonard Evans (Brandon East): At this conference, would the Minister of Finance urge the western ministers of Finance to protest the unconscionable 10 percent pay increase for four deputy governors of the Bank of Canada, raising their salaries from $122,200 per year to $134,750, while this same federal government is planning further cuts to UI and old age pensions? It has engaged in cuts and pay freezes for the public sector.

Hon. Eric Stefanson (Minister of Finance): Madam Speaker, the member refers to one area of expenditure within the federal government. They do all kinds of things that we are not necessarily happy with. We have various occasions and various ways that we communicate the issues that do concern us.

If the member for Brandon East and the NDP have a concern in that area, I would encourage them to be contacting the federal government, not unlike he is requesting us to do.

From my perspective, while I am not discounting the significance of the issue raised by the member for Brandon East, we do have a lot more what I feel are important issues that directly affect the economy of Manitoba that we will be discussing.

Air Command Mobility Group

Relocation

Ms. MaryAnn Mihychuk (St. James): Madam Speaker, my question is to the Deputy Premier.

The federal government is considering relocating the Air Command mobility group, one of those sites that we learn is here in Winnipeg.

Will the Deputy Premier assure the residents of St. James and all Manitobans that this government will pull all stops to bring these 300 jobs into Winnipeg?

Hon. James Downey (Minister of Industry, Trade and Tourism): Madam Speaker, I want to, first of all, acknowledge the hard work and effort by my colleague the member for Sturgeon Creek (Mr. McAlpine), my colleagues the members for Assiniboia (Mrs. McIntosh) and Kirkfield Park (Mr. Stefanson) and all the hard work and effort that they have put forward when, in fact, the federal government made the decision to move Air Command out of Manitoba.

We believe it was the wrong decision. We have been very aggressive and have worked very hard to make sure that any other organizational changes that take place within the air or the military, that, in fact, Winnipeg receives some of that activity that we hope will take place.

Madam Speaker: The honourable member for St. James, with a very short supplementary question.

Ms. Mihychuk: Well, unfortunately, we are seeing those 300 jobs leave. What is this government going to do to ensure that these jobs come to Winnipeg? Are you going to Ottawa?

Mr. Downey: Madam Speaker, although it is a federal government organization, I can tell you that we the government of Manitoba have been aggressively working to make sure that Manitoba will be the location, particularly for operational activities within the military. As well, in the broader context, we have not raised taxes for some eight years in the province of Manitoba. We have created an economic climate so that business could feel comfortable in moving to Manitoba.

Madam Speaker: The time for Oral Questions has expired.

Committee Changes

Mr. George Hickes (Point Douglas): I move, seconded by the member for Broadway (Mr. Santos), that the composition of the Standing Committee on Law Amendments be amended as follows: Wellington (Ms. Barrett) for Radisson (Ms. Cerilli); Osborne (Ms. McGifford) for Brandon East (Mr. Leonard Evans); Burrows (Mr. Martindale) for Crescentwood (Mr. Sale) for Thursday, June 29 at 10 a.m.

Mr. Edward Helwer (Gimli): Madam Speaker, do I have leave to make changes to committee? I move, seconded by the member for Turtle Mountain (Mr. Tweed), that the composition of the Standing Committee on Law Amendments be amended as follows: the member for Riel (Mr. Newman) for the member for Gimli (Mr. Helwer); the member for Tuxedo (Mr. Filmon) for the member for Turtle Mountain (Mr. Tweed); and the member for Lac du Bonnet (Mr. Praznik) for the member for Kirkfield Park (Mr. Stefanson).

Motions agreed to.

TABLING OF REPORTS

Hon. Leonard Derkach (Minister of Rural Development): Madam Speaker, may I ask leave of the House to revert back to Tabling of Reports, please?

Madam Speaker: Does the honourable Minister of Rural Development have leave to revert back to Tabling of Reports? [agreed]

Mr. Derkach: Although the Supplementary Information for Decentralization was circulated to the critics of Rural Development, I would like to today formally table the Supplementary Information.

NONPOLITICAL STATEMENT

Manitoba Society of Seniors 55-Plus Games

Mr. Peter Dyck (Pembina): Madam Speaker, I would like to ask for leave to make a nonpolitical statement.

Madam Speaker: Does the honourable member for Pembina have leave to make a nonpolitical statement? [agreed]

Mr. Dyck: I would like to recognize some of the many volunteers who worked so diligently this year to make the Manitoba Society of Seniors 55-Plus Games in Winkler such a success. The games were held from June 20 to 22 and involved more than 1,600 people. That is a new record for participants in the games.

The Pembina Valley region not only displayed hospitality but also tremendous skill in the games with the highest winning points of all other regions. The games were surrounded by a warm spirit of friendship, sportsmanship and camaraderie.

I would like to mention just a few of the many volunteers who made it so successful. The host committee was led by Chairman John H. Wiebe with Vice-Chair Abe Dyck and Treasurer Mary Ginter. Fundraising was under Henry F. Wiebe and Margaret Ens was the secretary. There are also nearly 30 others who chaired various committees and many more who volunteered in getting the event scheduled and making sure that everything went smoothly.

Madam Speaker, I believe it is particularly fitting that we recognize and thank these volunteers for their efforts as we celebrate June as Seniors Month in Manitoba. Thank you.

* (1430)