NLIS 5
June 24, 2005
(Justice)

NOTE TO EDITORS:

Please be advised that the attached information was provided to all Members of the House of Assembly, in preparation for the debate on amendments to the Fisheries Products International Act which occurs today in the House of Assembly. It has also been posted to the government Web site at //www.fishaq.gov.nl.ca/fpi/, to supplement information posted on June 6, 2005.

Media contact: Billy Hickey, Communications, (709) 729-6985, 691-6390

• June 23 Amendments to Term Sheets

BACKGROUNDER

Notes of June 20, 2005 Meeting on Harbour Breton

1. The response to Harbour Breton�s economic circumstances requires flexibility in the delivery of government programs, because Harbour Breton is the hub community of the Connaigre Peninsula and the Peninsula is exceptionally remote and isolated from other regions. The Peninsula is also unique in its distance from harbour and airport infrastructure.

2. The priority for all parties is to generate ideas for economic development projects that can employ displaced fish plant workers as they exhaust their eligibility to receive EI. The IAS Committee, supported by federal and provincial officials, will have primary responsibility for this task.

3. Federal and provincial departments agreed to apply their programs and services to the Harbour Breton situation in a flexible and integrated manner to address the short and long-term needs of the area.

4. The federal government reiterated its commitment to a $2 million investment through existing programs and clarified that this amount could be exceeded based on additional proposals and good opportunities.

5. ACOA will make contributions to economic development projects in various sectors. Some tourism-related projects are under active consideration, with the possibility that 40 jobs could be created within 30 days and another 40 jobs within 60 days (the latter subject to environmental assessment). ACOA will also fund a project management officer within the Town of Harbour Breton.

6. HRSDC will work closely with the community and other partners to ensure that its human resource programs are readily available and closely aligned with the priorities of the community. HRSDC also offered to finance the Harbour Breton business and labour market development plan for up to $250,000 in order to free up provincial funds for other uses in respect of Harbour Breton.

7. As a longer term initiative, DFO will start immediately to examine the opportunity for cod aquaculture in association with DFA, ACOA and the community.

8. Provincial departments will examine the best way to apply $1.25 million in provincial funding to ensure that federal projects can be secured and to ensure that workers can access employment on a timely basis. The provincial government will also examine its other economic development and labour market programs for application to the Harbour Breton area.

9. Together, federal and provincial departments will establish a fast-tracking process for economic development and labour market projects that will ensure that programs work for Harbour Breton on a flexible and timely basis. ACOA and INTRD will act as the focal points for this process.

10. Long-term options will flow from the business and labour market planning process. Projects related to the plant will be considered in this context.

11. The Provincial Government noted that $3 million may be available to Harbour Breton upon passage of FPI-related legislation and issuance of the income trust. The provincial government will continue to work with FPI to optimize opportunities for Harbour Breton.

12. Regarding quotas, the provincial officials and the community representatives reiterated their desire for clear decisions in the near future regarding quotas to sustain a fish processing enterprise in Harbour Breton. In particular, the province is seeking the establishment of a federal ministerial committee to provide support for this process. DFO officials said that the fishing industry has played a very prominent role in the economy of Harbour Breton and DFO believes it will continue to do so in the future. There are several options that have been brought forward by the community that the Department and the Minister are reviewing. It is important to note that these options are long term in nature and will require careful consideration. At this point, no options have been ruled out.

13. Future discussion will occur on the following issues:

                        a. the Harbour Breton proposal for a community development fund;
                        b. the purchase of quotas;
                        c. the utilization of the $3 million from FPI;
                        d. employment needs of other workers in the community.

2005 06 24                                                         2:45 p.m.