The NWT’s finance minister has agreed to add more than $13 million in operational spending back into the budget, reversing some proposed cuts.
The 2024-25 budget, worth a total of $2.22 billion in spending, had initially proposed $48.4 million in cuts.
That included axing 91 public-sector jobs, closing the men’s unit of Fort Smith’s jail – which was expected to save $2.7 million – and discontinuing a $900,000 midwifery expansion in Yellowknife.
Speaking in the legislature on Wednesday ahead of a vote to approve the budget, finance minister Caroline Wawzonek said she had made “modest” changes that included adding $331,000 to reinstate two midwifery positions – a manager and senior consultant – as well as finding funding to keep the jail open.
“Rather than focusing solely on huge financial swings, we were able to engage in significant discussion towards policy changes or commitments that are being funded from within the financial parameters proposed in budget 2024-25,” she said of discussions with regular MLAs.
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Cabinet had initially proposed closing Fort Smith’s men’s jail due to underuse.
“We have continued to receive further feedback to support cost savings within corrections and its underutilized facilities. In addition, we all know the need for community wellness, aftercare supports, transitional housing and much more in the space of addressing the effects of trauma is significant,” Wawzonek said on Wednesday.
“However, we do not want to put a deadline on doing hard work – the hard work of developing a plan to support those objectives – when those objectives and pathways to healing must be determined by communities and regional Indigenous governments. The GNWT will continue to update this assembly and the public on progress in this space.”
Wawzonek said the territory has committed to expand midwifery services to Behchokǫ̀ and another yet-to-be-determined community that does not have birthing services over the next four years.
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The budget still requires formal approval from regular MLAs. The precise detail of how the changes being made will be funded was not immediately available.
The Union of Northern Workers had protested job cuts outside the legislature this week, while the Thebacha Chamber of Commerce opposed the jail closure and advocates similarly rallied against midwifery cuts.
Wawzonek on Wednesday also promised to add $240,000 to the budget in ongoing funding for respite services for families, $3 million to assist with public housing maintenance and repairs, and $580,000 to Łútsël K’é Dene First Nation for supplies for a project to build 10 housing units.
Other money newly added or reinstated in the proposed budget includes $3.5 million in ongoing funding to increase the amounts early learning and childcare providers are paid, $1 million to a small community employment program, $1.5 million to an access road and marine access program, and $500,000 to support Aurora College’s transition to a polytechnic university, which has been delayed.
The minister said she plans to release a detailed list of all budget changes to which cabinet has agreed on Thursday. The changes will be brought forward as supplementary estimates in October.
“I would venture to say that almost everyone in this room has, at one stage of their political career or another, spoken about the need for change to improve the lives and northerners in a real and meaningful way,” she said.
“The North is not short on opportunities or ideas, and the work to present this budget for 24-25 – with all of the associated commitments that it will fund – is a testament to those ideas and opportunities.”
