Archived - Inuvialuit Final Agreement Implementation Coordinating Committee - Annual Report 2003-2004

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Author: Published under the authority of the
Minister of Indian Affairs and
Northern Development
 
Date: 2005 
ISBN: 0-662-69044-3
Catalogue: R71-46/2004
QS- 5354-503-BB-A1

PDF Version  (875 KB, 56 Pages)

 




Table of Contents






Foreword

The Inuvialuit Final Agreement Implementation Coordinating Committee (IFA ICC) is pleased to provide its sixth annual report on the implementation of the Inuvialuit Final Agreement (IFA) (1984). This report covers the fiscal year from April 1, 2003 to March 31, 2004.

The IFA ICC was formally reconstituted on May 11, 1999, and consists of a senior representative from Inuvialuit Regional Corporation (IRC), the Inuvialuit Game Council (IGC), and the governments of the Northwest Territories, Yukon and Canada. Additionally, each member of the IFA ICC has an alternate member who may participate on the IFA ICC in the member's absence. The Committee has agreed to reach decisions unanimously among the relevant parties and serves as a forum where the parties can raise issues and voice their concerns.

The ICC monitors the ongoing obligations of the parties pursuant to the IFA and resolves issues arising with respect to the implementation of the IFA. This annual report describes achievements and developments during the year. Information is contributed by various federal and territorial government departments, IRC, IGC and other stakeholders to the Agreement.

Progress is being achieved within a relationship defined by mutual respect and a commitment to fulfill the obligations set out in the Agreement.

Signature of Nellie Cournoyea
Nellie Cournoyea
Inuvialuit Regional Corporation
Signature of Frank Pokiak
Frank Pokiak
Inuvialuit Game Council
Signature of Terry Sewell
Terry Sewell
Government of Canada
Signature of Mark Warren
Mark Warren
Government of the Northwest Territories
Signature of Mike Connor
Mike Connor
Yukon Government





Glossary of Acronyms and Abbreviations

AHRDA
Aboriginal Human Resources Development Agreement

 APG
Aboriginal Pipeline Group

 BCF/Day
Billion Cubic Feet Per Day

 CDD
Community Development Division

 CEDO
Community Economic Development Organization

 CHAP
Community Harvesters Assistance Program

 COSEWIC
Committee on the Status of Endangered Wildlife in Canada

 CWS
Canadian Wildlife Service

 DEW
Distant Early Warning

 DFO
Department of Fisheries and Oceans

 EIRB
Environmental Impact Review Board

 EIS
Environmental Impact Statement

 EISC
Environmental Impact Screening Committee

 ESRF TAG
Environmental Studies Research Fund Technical Advisory Group

 FJMC
Fisheries Joint Management Committee

 HRSDC
Human Resources and Skills Development Canada

 HTC
Hunters and Trappers Committee

 ICG
Inuvialuit Corporate Group

 IDC
Inuvialuit Development Corporation

 IFA
Inuvialuit Final Agreement

 IFA ICC
Inuvialuit Final Agreement Implementation Coordinating Committee

 IGC
Inuvialuit Game Council

IHAP
Inuvialuit Harvesters Assistance Program

IIC
Inuvialuit Investment Corporation

ILA
Inuvialuit Land Administration

ILC
Inuvialuit Land Corporation

INAC
Indian and Northern Affairs Canada

IPC
Inuvialuit Petroleum Corporation

IRC
Inuvialuit Regional Corporation

ISR
Inuvialuit Settlement Region

ITK
Inuit Tapiriit Kanatami

MGP
Mackenzie Gas Project

 MVEIRB
Mackenzie Valley Environmental Impact Review Board

NAP
Northern Affairs Program

NEB
National Energy Board

NHS
National Historic Site

NWT
Northwest Territories

PWGSC
Public Works and Government Services Canada

 PW&S
Public Works and Services, (NWT)

RAC
Research Advisory Council

RWED
Resources, Wildlife and Economic Development, (NWT)

TNNP
Tuktut Nogait National Park

WAR
Western Arctic Region

WMAC-NS
Wildlife Management Advisory Council - North Slope

WMAC-NWT
Wildlife Management Advisory Council - Northwest Territories

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Highlights


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1 Summary of Agreement Provisions

The IFA was brought into force and effect by the Western Arctic (Inuvialuit) Claims Settlement Act in 1984.

1.1 Land Ownership

The Agreement provides Inuvialuit with fee simple absolute title to approximately 91,000 square kilometres (35,000 square miles) of land in the Western Arctic (NWT). This area includes about 13,000 square kilometres (5,000 square miles) on which Inuvialuit have title to surface and subsurface rights. The ISR includes the North Slope of the Yukon Territory, the eastern half of the Beaufort Sea and the associated mainland, part of the Arctic Ocean, Banks Island, much of the western part of Victoria Island and some of the Parry Islands (see map, Appendix 1).

1.2 Eligibility and Enrolment

An enrolment authority composed of one federal government and two Inuvialuit representatives was initially established to enroll those who were entitled to be registered as beneficiaries of the Agreement. Ongoing enrolment is now a responsibility of IRC.

1.3 Financial Compensation

Under the provisions of the IFA, Inuvialuit received a total of $152 million over 14 years. The Agreement also provided for one-time payments, made in 1984, of $7.5 million to a fund to assist the Inuvialuit in social development and $10 million to the Economic Enhancement Fund.

1.4 Economic Measures

Section 16 of the IFA addresses economic development in the ISR. Its broad objectives are to support Inuvialuit participation in the northern Canadian economy and the integration of Inuvialuit into Canadian society through development of an adequate level of economic self-reliance and a solid economic base. Since 1984, the Economic Enhancement Fund and compensation payments have helped Inuvialuit become more actively involved in the local economy and make long-term investments that will provide a solid base for future development.

1.5 Inuvialuit Corporations

Established under subsection 6(1) of the IFA, IRC holds the overall responsibility for managing the affairs of its corporate subsidiaries and achieving the goals outlined in the IFA. Its ongoing functions and formal obligations are to:

Inuvialuit Regional Corporation is directly controlled by the six community corporations in the ISR through their elected chairs. The directors of the community corporations elect the chair of IRC. The chair of IRC and the chairs of the six community corporations comprise the IRC Board.

The ILC owns the Inuvialuit lands received under the IFA. Inuvialuit Regional Corporation administers Inuvialuit lands through its division, the Inuvialuit Land Administration (ILA), and holds responsibility for matters related to the management, supervision and administration of such lands. The IDC, Inuvialuit Petroleum Corporation (IPC) and IIC carry out business activities and invest settlement funds on behalf of Inuvialuit.

1.6 Wildlife and Environmental Co-Management

Inuvialuit have extensive wildlife harvesting rights in the ISR. They also have a mechanism for settling their claims against developers for actual harvest losses and for compensation or remedial measures as required.

The Agreement established structures to ensure Inuvialuit participation in wildlife management, conservation and environmental protection in the ISR. These structures include community-based Inuvialuit HTCs and the IGC, which consists of members from each HTC.

The Agreement also established five joint bodies that have equal government and Inuvialuit representation.

The Joint Secretariat located in Inuvik was subsequently created to provide technical and administrative support to the five joint bodies and the IGC.

1.7 Arbitration Board

The Arbitration Board was established under section 18 of the IFA. It has the jurisdiction to arbitrate any difference as to the meaning, interpretation, application or implementation of the IFA between Inuvialuit and industry or the Government of Canada.


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2 Specific Issues

2.1 Northern Gas Pipeline Project

A consortium of four gas producers (Imperial, Conoco, ExxonMobil and Shell) with gas holdings in the Mackenzie Delta in partnership with the Aboriginal Pipeline Group (APG) proposed the construction of a stand-alone 1,300 kilometre natural gas pipeline. This line, estimated at a cost of $7 billion, would have an initial capacity of 1.2 billion cubic feet per day (bcf/day) with the potential to increase capacity to 1.9 bcf/day.

Cooperation Plan

The Cooperation Plan for the Environmental Impact Assessment and Regulatory Review of a Northern Gas Pipeline Project through the Northwest Territories represents the agreement by government and co-management boards on potential methods of cooperation in assessing a northern gas pipeline project. The purpose of the Plan is to define regulatory roles and responsibilities clearly for applications relating to a northern gas pipeline project and avoid duplication where possible. The Cooperation Plan in no way pre-judges or pre-approves any potential project that may be proposed, nor does the approach pre-judge the decisions to be made by any authority or bind any authority to a certain course of action.

Agreements

Three agreements will give effect to the Cooperation Plan. Together, they add specific details for the review of the MGP to harmonize environmental assessment processes and avoid duplication.

Current Status

The Mackenzie Gas Producers and APG issued the Preliminary Information Package for the Mackenzie Gas Project to regulatory agencies in June 2003 indicating the basic components of the project. This document outlines plans for all aspects of the Project, including communication and consultation with communities. It also includes information about how a pipeline might affect the environment and lifestyles of the North.

In the ISR, the Preliminary Information Package for the Mackenzie Gas Project was referred in January 2004 to the EISC for public review as described in the Cooperation Plan. The EISC decided that the development could have a significant negative environmental impact on wildlife or Inuvialuit harvesting. The Minister of Environment Canada accepted the EISC recommendation that the project undergo further assessment through an environmental review panel.

In the Mackenzie Valley, in accordance with the elements of the Cooperation Plan, the Mackenzie Gas Producers also submitted "trigger" applications in the Mackenzie Valley for land and water use authorizations to the Mackenzie Valley Land and Water Board, which referred the project for further assessment to the MVEIRB. The MVEIRB conducted public hearings as part of its environmental assessment. The hearings began in March 2004 and will continue into April 2004. The project is expected to then be referred to the Joint Review Panel, which will consist of representatives from Inuvialuit, the MVEIRB (as representing the regions of the Mackenzie Valley) and the Government of Canada. The Joint Review Panel will begin its assessment process following the filing of the EIS expected from the Mackenzie Gas Producers in the late summer of 2004.

The chairs of the environmental and regulatory boards established the Northern Gas Project Secretariat with offices in Yellowknife and Inuvik to provide communications and logistical support to the agencies and boards involved in the Joint Review Panel assessment and regulatory process. The Secretariat is jointly funded through Indian and Northern Affairs Canada (INAC) and the Canadian Environmental Assessment Agency.

Indian and Northern Affairs Canada worked with other federal and territorial government departments and the project proponents to enhance opportunities for increasing the level of community preparedness for the project. It funded Aboriginal groups in four regions (ISR, Sahtu Settlement Area, Gwich'in Settlement Area and Deh Cho), to undertake essential work with the communities in this regard.

As part of its involvement in the Federal Coordination and Consultation Unit, INAC, along with other federal departments, attended several workshops and community meetings held by the project proponents to identify community and environmental issues associated with the project. Other issues, both directly related to the Cooperation Plan and independent of the Plan, include the concerns of the Deh Cho First Nations with the Cooperation Plan and the pipeline in general, and expectations of the four NWT regions with respect to land access agreements and benefits plans.

2.2 Section 16 Economic Measures Review

Section 16(3) of the IFA requires a "full and complete public review of the efficacy of the provisions" of the economic measures chapter in the year 2000 by government and Inuvialuit. The IRC requires a like review every five years thereafter.

The 2000 review was delayed by mutual agreement and completed in early 2002 by representatives of IRC and the governments of the Northwest Territories, Yukon and Canada. It assessed a wide range of issues related to the economic measures of the IFA. The results of the review were not overly positive. Among other things, the review found that there is high unemployment in the ISR, income from employment is low, and the use of social assistance remains high. In April 2003, IRC responded to the review with its report, Implementing Economic Measures of the Inuvialuit Final Agreement: A Report Card and a New Direction. The assessment provided 26 recommendations IRC felt would address the findings of the review. The recommendations fell primarily into four themes: economic planning and business development, capacity development and community planning, economic measures and public review evaluation, and communications. Indian and Northern Affairs Canada provided IRC's report to other federal departments shortly thereafter to garner their comments. This feedback will be provided in the 2004-2005 annual report.

The federal government provided its response to IRC's report in a December 2003 letter, which outlined the recommendations it was willing to accept, not willing to accept, those that required further analysis and those best addressed at the self-government negotiation table. The Government of the NWT responded in December 2003 that it must further review IRC's recommendations to determine the most appropriate mechanisms and initiatives to address them.

In January 2004, federal, territorial and IRC representatives met to discuss the 2002 review, the IRC report and the federal and territorial response. The representatives developed the draft Five-Year Joint Action Plan. The Plan establishes four working groups to conduct a program of work in the first year under the four general themes identified in the IRC report. The implementation of the actions and strategies developed by the working groups in the first year would, once reviewed by the IFA ICC, form years two to four of the Five-Year Joint Action Plan. This Plan will be presented to the IFA ICC for approval in April 2004.

The draft Joint Action Plan indicated that the working groups will consist of federal, territorial and IRC representatives who will review existing government programs and initiatives and discuss required adjustments by December 2004. Canada agreed to lead the Economic Planning and Business Development Working Group while the Government of the NWT agreed to lead the Capacity Development Working Group. The Economic Measures Public Review and Evaluation Working Group and the Communications Working Group will be under IRC's lead.


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3 Inuvialuit Regional Corporation

During 2003, IRC remained committed to fulfilling its ongoing responsibilities related to the implementation of the IFA and its role as parent organization of the IGC. Its activities were guided by the core goals of the land claim.

Through land revenues and profits from its business subsidiaries, the ICG recognized earnings of $17.5 million in 2003. In May 2004, these earnings were shared with the 3,426 beneficiaries of the claim; each receiving a payment of $685.01 for a total distribution of $2,346,840.

3.1 Business Subsidiaries

The IDC enjoyed another successful year, increasing its profits from $6.1 million in 2002 to $7.5 million in 2003. Within its 18 subsidiary companies, the IDC is working toward a balance between corporate profits and opportunities for beneficiaries. The IIC recorded a profit of $3.86 million, achieving a positive annual return of 14.5 percent. The IPC continued to hold a significant investment portfolio in preparation for anticipated oil and gas investment opportunities on Inuvialuit lands.

Significant progress was made on outstanding ILA projects including the development of a new and comprehensive Inuvialuit land management system, the development of a Husky Lakes management plan, land exchanges with the federal and territorial governments, and implementation of the joint ILA/INAC Granular Resource Management Plan. By summer end, the clean-up of all six abandoned Distant Early Warning (DEW) Line sites within the ISR had been completed.

3.2 The Key, Education

Following completion of the public review of the findings of the IFA Economic Measures Evaluation Report (November 2001), IRC developed a response entitled Implementing Economic Measures of the Inuvialuit Final Agreement: A Report Card and a New Direction. The response provided 26 recommendations as a basis for action to address the areas of concern outlined in the evaluation report. The IRC response will be a starter document on which a five-year joint action plan will be developed by the three major parties: IRC, INAC and Government of the NWT.

The public review confirmed that capacity was the greatest challenge to Inuvialuit in achieving economic success, and a sound education was the most critical element in establishing capacity. It is clearly recognized that education is the cornerstone for building the social and economic well-being of Inuvialuit as well as capacity in the communities.

3.3 Community Development Division

During 2003, the IRC's CCD initiated the development of a strategic planning process. Divisional restructuring resulted in IRC establishing a permanent CDD program representation and negotiation presence in Ottawa. The Division continued to expand a range of community-based health, social and economic programs supported by federal, territorial, private sector and in-house funding.

In its role as the representative of Inuvialuit interests at regional, national and international levels, IRC was a signatory in April 2003 to the Beaufort-Delta Self-Government Agreement-in-Principle along with the Gwich'in Tribal Council and the governments of Canada and the Northwest Territories.

In June, a project development agreement on a Mackenzie Valley pipeline was signed between the APG (of which IRC is a member) and the Mackenzie Valley producers.

In October, a successful meeting of the 42 directors of the community corporations was held in Inuvik to provide a solid working knowledge of the ongoing issues in the ISR and current IRC priorities and activities.

In November, the Canadian Museum of Civilization in Ottawa opened a major exhibit entitled Across Time and Tundra: The Inuvialuit of the Canadian Arctic.

As a member of the Senior Management Committee, IRC advanced the Beaufort Sea Integrated Management Planning Initiative.

Through membership on the Board of ITK, IRC worked on a broad range of initiatives, including an "Inuit-specific approach" on all Aboriginal programs and services particularly in the health field, and the requirement for an Inuit-specific office at the senior level of the federal government.

In the international field, IRC worked through the Inuit Circumpolar Conference (Canada) office on issues that included the transportation of airborne contaminants to the development of a circumpolar traditional games strategy.

In 2004, IRC will continue to advance and support efforts to expand the individual, business and organizational capacity of Inuvialuit and their communities. With the strong likelihood that an application to build a Mackenzie Valley pipeline will be filed during the summer of 2004, IRC will focus significant time and resources in preparing for both the economic opportunities and the social and environmental challenges associated with the project.


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4 Arbitration Board

The Arbitration Board provides a mechanism to arbitrate disputes between Inuvialuit and the governments of Canada, Northwest Territories or Yukon, as well as between Inuvialuit and industry. The Arbitration Board has three members appointed by the Government of Canada, including the designates of the governments of the Northwest Territories and Yukon. Industry, represented by the Canadian Association of Petroleum Producers, and the Inuvialuit each appoint three members to the Board. The chair and the vice-chair are appointed by the Government of Canada, and must be acceptable to the Inuvialuit and industry members (as defined by the Agreement). During the year, the Board welcomed Jim Bishop from the Yukon government.

In April 2003, the chair of the Board made a presentation to the IFA ICC on the activities of the Board and its role in dealing with issues brought before it. The presentation emphasized the need for the arbitrators to be free from bias or conflict of interest and avoid even the perception of such bias or conflict of interest.

In 2003-2004, an arbitration was launched by IRC and ILC against the Government of Canada in respect of royalties payable to Inuvialuit from the production of hydrocarbons at the Ikhil site which falls within the ISR. A panel of arbitrators was constituted under section 18 of the IFA, and included appointees of Inuvialuit, the governments of Canada and the Northwest Territories, and the Arbitration Board Chair. It heard oral arguments in Ottawa in November 2003, and met to consider the positions of both parties in Vancouver in March 2004. The Panel is expected to render a decision in April 2004.


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5 Inuvialuit Wildlife Management Structures

5.1 Inuvialuit Game Council

The IGC represents the collective Inuvialuit interest in wildlife and derives its mandate from subsection 14(74) of the IFA. The IGC works in parallel with IRC to implement the IFA. It is responsible for upholding and administering the Inuvialuit harvesting rights recognized under the IFA. The Council also has the mandate to represent Inuvialuit in all matters related to renewable resource management in the ISR.

The IGC appoints Inuvialuit representatives to all the joint wildlife and environmental co-management bodies established under the IFA. With the consent of the IGC, the governments of Canada, and the Northwest Territories or Yukon appoint the chairs for the co-management bodies. In addition to its responsibilities under the IFA, the IGC acts as the regional representative of Inuvialuit hunters, trappers and fishers, and holds a seat on the IFA ICC.

The IGC is made up of a director and an alternate from each of the six HTCs. The chair is elected by the six IGC directors.

Many older pieces of government legislation do not reflect the harvesting rights of Inuvialuit, which are established in the IFA. Although the IFA supercedes existing and future legislation to the extent of any inconsistency, the IGC is consulted to ensure that when legislation is being written or amended, it is consistent with the IFA. The IGC provided ongoing input into various territorial and national acts and regulations. During 2003-2004, the IGC continued to be involved with the changes to the new NWT Wildlife Act and the Species at Risk Act. This activity involved meetings with other Aboriginal groups in the NWT and the Department of Resources, Wildlife and Economic Development (RWED).

As in previous years, the IGC and HTCs spent considerable time meeting with oil and gas company representatives and consultants regarding proposed projects and the wildlife and environmental management processes under the IFA. The main focus in 2003-2004 was on the proposed MGP and, to a lesser extent, exploration activities. On February 2, 2004, with financial support from industry, the IGC hosted a meeting of representatives of all HTCs, community corporations, and Elders committees in the ISR to discuss common concerns and issues related to the MGP. All groups unanimously agreed on the following two points: lack of support for the proposed marine barge option for the development of two of the three major fields and support for the use of the Ikhil right of way for the project's main gathering line to avoid unnecessary disturbance through an area used for harvesting and other traditional activities. Two letters expressing these positions, signed by all 18 community organizations were sent to Imperial Oil on April 16, 2004.

The IGC chair participated in meetings of the three parties to the draft Agreement for the Environmental Impact Review of the Mackenzie Gas Project. The IGC, MVEIRB and Canadian Environmental Assessment Agency are parties to this Agreement, which has been developed to create a streamlined review process for the environmental assessment of the proposed MGP. The Joint Review Panel will meet the legislated requirements of all three parties and also avoid unnecessary duplication of process.

The IGC participated in the drafting of terms of reference for the MGP EIS. These terms of reference will include instructions on what should be addressed in the EIS. During the week of March 22, 2004, the IGC chair participated in a tour of all six ISR communities to consult on the draft. The terms of reference should be finalized by the end of July 2004.

The IGC's involvement with the Environmental Studies Research Fund Technical Advisory Group (ESRF TAG) on drilling waste disposal continued. In September 2003, representatives from the ISR communities, co-management boards, industry and government, discussed the issue of drilling waste at a workshop. The results were used to develop a document of recommended best practices for disposing of drilling waste in the ISR. This document should be available during the summer of 2004.

Constitution and By-Laws

During the year, changes were made to the IGC constitution and by-laws. The most significant change was in the process used to select the chair of the Council. Prior to these changes, the chair was appointed by the IGC directors from among themselves. At the request of the HTCs, the IGC constitution and by-laws were amended so the IGC chair is now elected by all 42 HTC directors and can be any active HTC member over the age of eighteen 18 years. The first election with all 42 HTC directors as eligible voters was held on October 3, 2003. Frank Pokiak was elected as the chair of the IGC.

Meetings

In addition to four IGC directors meetings, IGC members or appointed representatives attended 33 meetings, conferences, symposiums, workshops and gatherings during 2003-2004.

5.2 Hunters and Trappers Committees

Subsection 14(75) of the Agreement provides for the creation of the HTCs. An HTC has been established in each of the six Inuvialuit communities: Inuvik, Aklavik, Tuktoyaktuk, Holman, Paulatuk and Sachs Harbour. Administrative and operational costs of the HTCs are the responsibility of the Government of the NWT.

Aklavik Hunters and Trappers Committee

The Aklavik HTC and the Aklavik Community Corporation continued to operate as a joint venture during 2003-2004.

The Aklavik HTC's activities included:

Olokhaktomiut (Holman) Hunters and Trappers Committee

The Olokhaktomiut HTC's activities included:

Inuvik Hunters and Trappers Committee

The Inuvik HTC's activities included:

Paulatuk Hunters and Trappers Committee

The Paulatuk HTC's activities included:

Sachs Harbour Hunters and Trappers Committee

The Sachs Harbour HTC's activities included:

Tuktoyaktuk Hunters and Trappers Committee

The Tuktoyaktuk HTC's activities included:


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6 Joint Implementing Bodies

6.1 Fisheries Joint Management Committee

Under subsection 14(61) of the IFA, the FJMC provides advice to the Minister of Fisheries and Oceans Canada on all matters affecting fisheries and the management of fish and marine mammals found in the ISR. The FJMC works closely with government agencies, renewable resource user groups in the Inuvialuit communities and other renewable resource boards in Canada and Alaska that oversee common migratory stocks.

Implementation funds to support the Committee's operations, provided through a contribution agreement with DFO totalled $458,200.

Consultation and Planning

In keeping with the co-management philosophy of the IFA, consultation with local HTCs, the IGC and DFO, and other government agencies formed an important part of the Committee's activities. The FJMC held five regular meetings, six teleconferences and public meetings in Paulatuk, Holman and Sachs Harbour to discuss with local hunters and fishers, issues of concern related to fish and marine mammals, and research priorities for the ISR. (Because of poor weather, the planned FJMC meeting with the Sachs Harbour HTC was rescheduled and occurred via teleconference.) One regular meeting was held in Winnipeg at DFO's Freshwater Institute to facilitate information exchange and project planning with the Department's scientific and management staff. The process by which the FJMC sets its research priorities and develops a work plan is unique among Inuvialuit joint implementing bodies. Community meetings in November, discussions with scientific staff at the Freshwater Institute in January and Committee planning sessions in March all comprise the essential elements in the Committee's annual work plan and budgeting cycle for the next fiscal year.

Research and Monitoring

The FJMC was active in numerous research, monitoring and management programs in 2003-2004. Thirty projects were conducted through joint efforts between the FJMC and DFO.

Support continued for charr monitoring projects in Paulatuk and Holman that provide information for existing community-based charr fishing plans for the Hornaday and Kuujua Rivers near Paulatuk and Holman respectively. Also in support of the Hornaday plan, the Committee continued to contribute to a baseline water quality and quantity monitoring project for that river system.

The FJMC continued to support the West Side Working Group in its efforts to develop a community-driven integrated fishing plan for the Yukon North Slope and West Side rivers from the Big Fish River west to Fish Creek near the Alaskan border. The Working Group continued to assemble critical scientific and traditional knowledge information on North Slope fisheries that will form the foundation of the developing management plan. The Committee held a public feast and joint FJMC-West Side Working Group meeting in Aklavik in June 2004 to gather further community input.

Support of a multi-year program to assess the ecology and fisheries resources of Husky and Sitidgi lakes was an ongoing priority of the Committee. These lakes support important local subsistence and recreational fisheries. In coming years, the Committee anticipates growing pressures associated with accelerating hydrocarbon development on surrounding lands and increased public access through seasonal ice roads and a proposed all-weather road to Tuktoyaktuk.

The Committee contributed to an ongoing project designed to monitor the reproductive status and condition of ringed seals in Amundsen Gulf.

The quality of country foods continued to be a significant concern for the communities. In response, the FJMC allocated funds to projects that involved the collection of samples from harvested marine mammals, including ringed seals and beluga whales, for contaminant and disease analysis.

In addition to annual research project funding, the Committee also supported long-term harvest monitoring programs that provide essential harvest data required by the Committee and DFO biologists for making sound management decisions.

In accordance with subsection 14(64) of the IFA, the Committee continued with its Private Lands Sport Fishing Registry. Recreational anglers fishing within the ISR were surveyed in 2003-2004, and will be analyzed for comparison with the data collected in 2000 and 2001. The promotional campaign initiated in 2001-2002 to educate the fishing public continued with the renewal of large wall displays at major air and road travel gateways into the ISR, the provision of private lands wall maps for all fishing licence vendors and HTCs in the region, the reprinting and distribution of information brochures to vendors and HTCs, and the placement of advertisements in NWT Explorers Guide / Guide to Hunting & Fishing in the Northwest Territories and the Beaufort Delta Attractions Guide.

To facilitate the distribution of information related to research within the ISR, the FJMC Technical Report series was reactivated. The first three publications of the series are Possible Impacts on Overwintering Fish of Trucking Granular Materials Over Lake and River Ice in the Mackenzie Delta Area, Mercury in Beluga Whales in the Canadian Beaufort Sea: Causes, Consequences and Potential Research and Inuvialuit Traditional Ecological Knowledge of Fisheries in Rivers West of the Mackenzie River in the Canadian Arctic. The reports are being published, distributed and posted on the Committee's Web site.

Hydrocarbon Development

The FJMC continued to be well positioned to provide sound advice on issues related to accelerating oil and gas industry activities in the ISR. The Committee and staff have been regular participants in pre-submission community and agency consultations by industry. Before every screening meeting, the Committee reviews all proposals before the EISC that have the potential to impact on fish, marine mammals and aquatic habitat in the ISR, including those related to oil and gas.

Committee members and staff attended numerous public meetings and workshops relating to the Mackenzie Gas Project and Devon Canada's proposed Beaufort Sea Exploration Drilling Program and Comprehensive Study Report. The Committee will continue to participate in the review of these projects as they move through the environmental assessment and review processes.

The Committee was directly involved with the EIRB public review of the WesternGeco Mackenzie Delta Marine 2D Seismic Program 2002. This Program has a potential impact on fish harvesting in the Mackenzie Delta. The Committee enlisted the services of a technical expert to ensure that any potential impact of the Program on Inuvialuit harvests would be mitigated and any concerns would be investigated. The EIRB approved the project with certain mitigative and remedial measures.

Beluga Management and Pilot Marine Protected Areas

The FJMC continued its support of the Beaufort Sea Integrated Management Planning Initiative in cooperation with DFO. This multi-stakeholder initiative is facilitated through a working group that includes representatives from the FJMC, DFO, IGC, IRC, INAC and the Canadian Association of Petroleum Producers. The working group conducted community consultations through 2003-2004 to determine support for a pilot marine protect area under the Oceans Act. The proposed Marine Protected Area Management Plan and Regulations are to be completed by early fall 2004 and will be sent to Ottawa for ministerial approval.

Emerging Commercial Fisheries

In response to increasing interest by business entities from outside the region to develop commercial fisheries in the Beaufort Sea, the FJMC continued to work closely with DFO and the IGC to lay the foundations for a regionally managed, sustainable commercial fisheries in the Beaufort Sea that will benefit Inuvialuit economically while not adversely affecting traditional subsistence harvesting activities.

Species at Risk Legislation

With the Species at Risk Act given royal assent on December 12, 2002, the FJMC took a more active role in ensuring Inuvialuit involvement in the protection of endangered fish and marine mammal species. The FJMC will continue to work with the Committee on the Status of Endangered Wildlife in Canada (COSEWIC) to better define the FJMC's role in the federal assessment process for endangered species under the FJMC's jurisdiction. The FJMC participated in the preliminary stages of re-assessment of several species in 2003-2004, including the beluga whale and bowhead whale.

Communications

The FJMC continued to develop its existing Web site www.fjmc.ca  > as a means to better inform the public, government and industry about the FJMC and fisheries co-management in the ISR. Various FJMC reports and other materials are available on the site for downloading by interested parties. The FJMC reaches Inuvialuit beneficiaries within the ISR through its annual ISR community tour and through regular contributions to the Joint Secretariat-Inuvialuit Renewable Resource Committee's newsletter, the JS Common Ground. The newsletter is distributed to every registered Inuvialuit beneficiary each summer and winter.

Student Mentoring Program and Inuvialuit Youth

The FJMC's Student Mentoring Program returned for its seventh successful season in 2003-2004. Activities included:

6.2 Wildlife Management Advisory Council – Northwest Territories

Established under subsection 14(45) of the Agreement, the WMAC-NWT's mandate is to advise the appropriate ministers on all matters relating to wildlife policy and the management, regulation, research, enforcement and administration of wildlife, habitat and harvesting for the Western Arctic Region (WAR). It is the responsibility of the Council to prepare conservation and management plans and to determine and recommend harvestable quotas. The Council also reviews and advises the appropriate governments on existing or proposed wildlife legislation and any proposed Canadian position for international purposes that affects wildlife in the WAR. The Council's geographic area of jurisdiction is that part of the ISR contained within the NWT. Three members are appointed by Inuvialuit, two by the Government of the Northwest Territories, one by the Government of Canada and a chair. The chair is appointed by the Government of the Northwest Territories with the consent of Inuvialuit and the Government of Canada.

The Council focusses on the conservation of terrestrial wildlife species, including polar bears and birds, and provides a forum for all wildlife matters pertaining to the WAR. It works closely with the IGC, HTCs, the government agencies responsible for wildlife management in the ISR and the other co-management bodies established by the IFA.

Community Conservation Plans

The WMAC-NWT, pursuant to its responsibility for conservation and management plans under article 14(60)(b) of the IFA, takes the lead in the development and revision of community conservation plans. There were no revisions in 2003-2004. The office fulfills requests for paper and CD-ROM copies of the plans, in addition to directing people to the Web site where they are available for downloading www.bmmda.nt.ca  >.

Species Management Plans

While a number of species management plans were in draft form at year end, management action on these species was not affected. The Council discussed simplifying the format of the plans.

By-Law Development

Last fiscal year, the Council made several recommendations to the Minister of RWED for season and quota changes. A regulatory amendment under the NWT Wildlife Act changed the grizzly bear season in zones I/GB/04 and I/GB/05 to September 15 to May 31 for all hunter categories. This amendment resulted in changes to the HTCs' by-laws and to the non-Inuvialuit Big Game Regulations.

Harvesting of Wildlife

For species under quota in the ISR, the WMACNWT made three recommendations this fiscal year for changes to existing quotas.

The polar bear quota recommendation was accepted by the Minister of RWED and this regulation amendment is complete.

Seasons and Zones for Wildlife Harvesting

It was recommended to the Minister of RWED that the Dolphin-Union caribou season, zone I/BC/04 for Inuvialuit and general hunting licence holders be changed to include the entire year.

Legislation Affecting Wildlife Management

The federal Species at Risk Act received royal assent on December 12, 2002. This fiscal year, the WMAC-NWT provided comments on the status report for Peary and Dolphin Union caribou.

At the territorial level, discussions on the NWT Species at Risk Act have been postponed while work is underway on the NWT Wildlife Act. Due to the territorial election, discussions were deferred on the process for integrating land claim provisions into the amended NWT Wildlife Act.

Research

Wildlife research is essential to enable WMAC-NWT to make decisions and recommendations on conservation and quotas. Wildlife research in the ISR is supported primarily by IFA implementation funds, as well as regular RWED and Canadian Wildlife Service (CWS) expenditures and in-kind support. The RWED and CWS propose research programs and priorities for the ISR based on continuing consultation with the HTCs. Then, WMAC-NWT considers these proposals, sets priorities for IFA funded research each year and advises the agencies and the IGC of its decisions. It also reviews and advises on wildlife research proposed by other agencies and supported by other funds. In 2003-2004, the Council again reviewed several wildlife and habitat research proposals from the oil and gas industry in support of proposed natural gas gathering systems and pipelines.

Inuvialuit knowledge directs and assists in wildlife research in several ways. The consultation process between RWED, CWS and HTCs assists in setting priorities regarding what research needs to be done and how best to do it. Such consultation must take place before WMAC-NWT approves any research project; WMAC-NWT also requires assurance that research is conducted in a manner satisfactory to the HTCs. The Council considers the development, design, conduct and interpretation of research on the basis of both Inuvialuit and scientific knowledge.

The WMAC-NWT approved 21 IFA-funded wildlife research projects in 2003-2004.

Total implementation funds allocated from RWED were $852,000 (including a 2002-2003 carry over) for 14 projects in the following areas;

Total implementation funds allocated from CWS were $142,000 for seven projects in the following areas:

The WMAC-NWT also supported, in principle, other research in the ISR proposed by RWED and CWS, which was funded solely from non-IFA implementation sources.

Other

The Council continued to advise the EISC with respect to relevant development submissions, conveying concerns regarding impacts on wildlife and habitat. It also continued to assess nongovernment funded wildlife research proposals and submit comments to the permitting agencies prior to issuing the permit. Development applications of note in 2003-2004 were the MGP preliminary information package, and the proposed Bathurst Port and Road Project.

The WMAC-NWT's role in INAC's oil and gas land lease nominations process, use of the community conservation plans in this process, and sensitive bird habitat in the Mackenzie Delta were discussed at several Council meetings. A meeting was held with an INAC representative on these issues. The WMAC-NWT followed up this meeting with a letter requesting that it be more directly involved in the consultation process.

Over the last three years, the Council has made 10 recommendations to the Minister of RWED for wildlife season, zone or quota changes. Discussions by the WMAC-NWT, IGC and HTCs on recommended changes and the actual process to amend the regulations have required a substantial amount of the Council's time. The Council sought clarification with RWED on the process and attempted to streamline it through numerous letters and discussions.

The relationship of WMAC-NWT with COSEWIC and CWS regarding the processes under the new federal Species at Risk Act was enhanced during the year. This rapport occurred following a multi-day meeting between land claim wildlife management boards, COSEWIC and CWS on the roles of these boards in endangered species management, listing and recovery. The WMAC-NWT's responsibilities have been recognized and greater involvement by the Council in the processes has been encouraged by COSEWIC and the CWS. This involvement has included the Council commenting on draft status reports on Peary and Dolphin Union caribou, CWS' draft (endangered species) recovery handbook, and COSEWIC's Web site species list under WMAC's jurisdiction. Once finalized, the inclusion of the land claim wildlife management boards with respect to Species at Risk Act processes will be part of COSEWIC's Operating and Procedures Manual.

Meetings

Members from the WMAC-NWT attended 30 meetings, workshops and conferences throughout the year to assist the Council in adequately and knowledgeably fulfilling its mandate. It held five regular meetings and two teleconferences. In addition, the Council attended the fourth annual joint meeting with WMAC-NS to discuss issues of joint concern, met with the IGC regarding the eastern ISR grizzly bear quota, and conducted a community tour to the six ISR communities. In this tour, RWED, CWS and WMAC-NWT gave presentations on wildlife research and community programs.

6.3 Wildlife Management Advisory Council – North Slope

The WMAC-NS is the Yukon counterpart of WMAC-NWT and was established under subsection 12(46) of the Agreement. The Council provides advice to the appropriate federal or territorial ministers on all matters relating to wildlife policy and the management, regulation and administration of wildlife, habitat and harvesting for the Yukon North Slope. The Council determines and recommends appropriate quotas for Inuvialuit harvesting of game in the North Slope and advises on measures to protect habitat critical for wildlife or harvesting. The Council also provides advice on issues pertaining to the North Slope to the Porcupine Caribou Management Board, Yukon Land Use Planning Commission, EISC, EIRB and other groups.

The WMAC-NS has two members appointed by the IGC, one member appointed by the Yukon government, one member appointed by the Government of Canada and a chair. The chair is appointed by Yukon government with the consent of the Inuvialuit members and Canada.

The following is a summary of some of the major WMAC-NS activities during 2003-2004.

Yukon North Slope Wildlife Conservation and Management Plan

As one element of the special conservation regime it established, the IFA requires the preparation of the Wildlife Conservation and Management Plan for the Yukon North Slope. The Plan is to provide direction to long-term wildlife conservation management consistent with the goals of the IFA. During 2002-2003, Volume 2 of the Plan (Goals and Actions) was completed. It was published in the fall of 2003. This volume can be found on the Council's Web site at www.taiga.net/wmac/wcandmplans.html.

Traditional Knowledge and the Status of Species on the Yukon North Slope

One component of the Wildlife Conservation and Management Plan for the Yukon North Slope is a detailed report on the status of 34 wildlife species found on the North Slope (Volume 3). Recognizing that the reports are based primarily on scientific research, the Council, working in partnership with the Aklavik HTC, initiated a project to collect local information on 22 selected species in the spring of 2003. Interviews were conducted in Aklavik over a two-week period. People who are active on the land were asked to provide information on range, condition, habitat and population size. A public meeting was also held to obtain additional information. A full report summarizing the results of the project was published as Aklavik Inuvialuit Describe the Status of Certain Birds and Animals on the Yukon North Slope and is found on www.taiga.net/wmac/aklavikreport/index.html. Information obtained during the study was also added to the Council's species status reports and can be found at www.taiga.net/wmac/consandmanagementplan_volume3/index.html.

2003 Yukon North Slope Conference

The WMAC-NS worked with the Yukon government to coordinate the seventh Yukon North Slope Conference held in Inuvik in November 2003. It was the first time the Conference was held in the ISR. The Conference theme was Meeting the Challenges of Conservation and Beaufort Development on the Yukon North Slope.

The focus of the Conference was to examine the key management issues associated with current and future Beaufort development that may affect the coastal zone of the Yukon North Slope and surrounding territorial areas. The Conference also looked at the management tools available or required to address these issues.

The three-day Conference included several plenary presentations to familiarize participants with the historic and current context of development and resource management in the area. Traditional use, jurisdictional issues, planning for the future, and the requirements and challenges in the coastal zone and offshore were all considered. A series of 10 workshops were also held to address the opportunities and challenges of Beaufort development including priority issues and areas where efforts should be focussed. Over 150 representatives from Inuvialuit and First Nation organizations, industry, non-governmental organizations, and government agencies and departments attended the Conference. The summary of the Conference can be found at www.taiga.net/wmac/northslopeproceedings/workshop_summary_03.html.

IFA-Funded Wildlife Research

The WMAC-NS receives proposals for IFA-funded research projects related to wildlife management and ecological monitoring on the Yukon North Slope consistent with the goals of the IFA and the provisions contained in section 12. Once reviewed and discussed, the Council makes its recommendations, as appropriate, to support projects and, if required, will also recommend that projects receive implementation funding support from Parks Canada Agency, the Yukon government and the CWS. Recommendations are based on research priorities identified in or by the following, the Yukon North Slope Long-Term Research Plan, Porcupine Caribou Management Plan, ISR Grizzly Bear Management Plan, meetings with the Aklavik HTC, the Aklavik HTC research priority list, community consultation at public meetings in Aklavik and research priorities identified at the Arctic Borderlands Ecological Knowledge Co-operative annual gathering.

The Council monitored the progress of all recommended projects by requesting presentations and final reports from all agencies that received funding. Projects recommended by WMAC-NS and conducted or initiated in 2003-2004 included:

Species Management

The Council continued its work to develop a management plan for the Canadian North Slope muskox population by co-ordinating a meeting in Inuvik in June 2003. The meeting was attended by representatives of the Aklavik HTC, Parks Canada Agency, the governments of the Northwest territories and Yukon, and WMAC-NWT who reviewed outstanding issues and discussed a variety of management options for the muskox population. Once the plan is complete, WMAC-NS will recommend a sustainable harvest quota for Inuvialuit residents of Aklavik.

The management of grizzly bears on the Yukon North Slope is of ongoing importance to the Council. After careful review and consideration of grizzly bear population estimates and harvest levels in the western ISR over the last five years, the WMAC-NS and WMAC-NWT agreed that an increase in the harvestable quota was justified. The WMAC-NS passed a resolution recommending an annual increase of two grizzly bears for a total annual harvestable quota of 13 bears for the entire Aklavik grizzly bear hunting area. The Council also supported the initiation of population assessment of grizzly bear numbers and distribution on the Yukon North Slope. This six-year project will be conducted by the Yukon government in partnership with the Aklavik HTC and the Parks Canada Agency (Inuvik).

Species at Risk

The Council chair and members were active participants in a meeting held in Whitehorse between the members of COSEWIC and representatives of Canadian wildlife management boards to discuss working together on species assessments in the jurisdictions of the boards. The meeting resulted in the preparation of a draft document outlining wildlife management board involvement in the COSEWIC assessment process for species at risk. These recommendations will be used by COSEWIC to revise its operations manual. Comments were also provided by wildlife management boards on the recovery process for species at risk. These comments were forwarded to the National Recovery Working Group to be incorporated into its operations manual.

The Council chair attended the Species at Risk 2004 Conference in Victoria where he presented on the role of wildlife management boards and the implementation of the species at risk legislation, as well as multi-jurisdictional management of wildlife using the draft Canadian North Slope Muskox Co-management Plan as an example. The chair participated in a workshop where he presented the results of the traditional knowledge species assessment completed by the Council in Aklavik.

The Council also reviewed and provided comments to COSEWIC on species being assessed within the region.

Ecosystem Monitoring

The Council maintained its support for the Arctic Borderlands Ecological Knowledge Co-operative www.taiga.net/coop. The chair assisted in the development and drafting of an information protocol for the Co-op. Two Council members and one alternate member attended the Co-op's ninth Annual Gathering, held in Inuvik. The Council recommended funding for the eighth year of the Co-op's Community Monitoring Program. The objective is to record observations, on an annual basis, of changes in the environment using local community experts and interviewers.

Herschel Island - Qikiqtaruk Territorial Park

The Council continued to support the review of the Herschel Island - Qikiqtaruk Territorial Park Management Plan. The Plan, originally completed in 1991, is being updated by the Yukon government to reflect the increase in visitor numbers and other management issues not addressed in the original version. As part of this review, the Council hosted a workshop in Whitehorse that brought Council members together with representatives from the Yukon government to discuss and finalize the contents of the Plan. The Council also recommended funding for a raptor and fox survey and climate monitoring studies on Herschel Island, which were conducted during the summer of 2003.

Parks Canada Agency and Ivvavik National Park

The WMAC-NS continued to work in partnership with the Parks Canada Agency on issues related to wildlife research, management and ecological monitoring in Ivvavik National Park.

Aklavik Hunters and Trappers Committee

The WMAC-NS worked closely with the Aklavik HTC to ensure harvesting needs and concerns of the Aklavik Inuvialuit were addressed in the Council's decisions and actions. Through public meetings and two meetings with the Aklavik HTC's Board of Directors, WMAC-NS provided information and exchanged ideas on the management of wildlife on the Yukon North Slope.

Communications

The WMAC-NS maintained its Web site at www.taiga.net/wmac. The site includes information on the Council and its activities, including term reports, newsletters, fact sheets, species status reports and links to related sites. The WMAC-NS continued to produce a newsletter, Wildlife Watch, to inform user communities of the Council's activities and provide updates on issues of community interest. The Council also contributed to Common Ground, the newsletter of the Joint Secretariat.

Meetings

In 2003-2004, the Council held a regular meeting in Whitehorse and two in Aklavik. The Council also hosted a community meeting in Aklavik, and held a joint meeting with WMAC-NWT in Whitehorse and two joint meetings with the Aklavik HTC in Aklavik.

The Council's chair and members attended a number of workshops and conferences during the year, as both presenters and participants. These events included the Arctic Borderlands Ecological Knowledge Co-operative Ninth Annual Gathering (Inuvik), COSEWIC (Whitehorse), Joint Secretariat Board of Directors' meetings (Edmonton, Inuvik), Herschel Island - Qikiqtaruk Territorial Park Management Plan workshop (Whitehorse), IGC meetings (Inuvik, Whitehorse), Species at Risk 2004 Conference (Victoria), and the 11th Northern Furbearer Conference (Whitehorse). The Chair also attended a meeting of the EIRB in Inuvik to brief members on the Yukon North Slope Wildlife and Conservation and Management Plan.

6.4 Environmental Impact Screening Committee

Section 11 of the IFA requires the screening of any proposed development of consequence to the ISR that is likely to cause a negative environmental impact. Subsection 11(5) of the Agreement established the EISC to conduct this process. The Committee screens all proposed developments of consequence on Crown lands within the ISR, and also on Inuvialuit lands on request from the Inuvialuit. If the EISC decides the proposed development could have a significant negative impact on the environment or on present or future wildlife harvesting, it is referred by the Committee to the EIRB or other appropriate review bodies for an environmental impact review.

The EISC consists of seven members of which three are appointed by the IGC, and three by the Government of Canada from candidates designated by each of the governments of Canada, Yukon and the Northwest Territories. The chair is appointed by the Government of Canada with the consent of the IGC.

Environmental Screenings

Screening decisions are made by a panel of five individuals, consisting of the chair, two Inuvialuit members, the Canada member and the territorial member nominated from the territory within which the project is to occur. Decisions are made on a majority vote basis, with the chair voting in the case of a tie.

Thirty-seven project descriptions were submitted in 2003-2004, down slightly from the 42 submissions the previous year. Of the total submissions, three project descriptions submitted at the end of the previous fiscal year were examined during the present reporting period. Two project descriptions were withdrawn by the proponents prior to completion of the screening process: a hiking tour proposal submitted by Arctic Nature Tours and a filming project submitted by Staplewinds.

In summary, the EISC screened 35 project descriptions during 2003-2004 including research (17), developments associated with hydrocarbon exploration (11), tourism (2) and miscellaneous projects (5) including an old drum/fuel reclamation project, a Royal Canadian Mounted Police tour, a refuelling project, a hunting cabin and an airstrip.

The EISC determined that 33 of the proposed developments would have no significant negative impact. Two developments were referred for further environmental assessment.

The screening process for the majority of submissions (94 percent) required less than 60 days to complete. Twenty-two percent of the submissions were screened in less than 30 days from the date of receipt, requiring a resolution by the EISC to waive the standard requirement. Two submissions took more than 60 days to process after the EISC deferred screening to obtain further information from the proponent or await documentation from other groups.

In addition to developments that are screened, the EISC asks to be informed of other projects proposed for the ISR, but for various reasons are exempt from the screening process. This task is undertaken so the EISC may have a broad picture of the activities being carried out within the ISR for the purposes of cumulative impact assessment. The EISC greatly appreciated the efforts of the other co-management groups, government regulatory authorities and the ILA during the reporting year to keep the EISC apprised of such activities.

The majority of exempted projects in 2003-2004 were research projects that were part of the IFA co-management process, non-government sponsored or funded research, or developments occurring on Inuvialuit private lands.

Review of Mineral Activities in the ISR

During several meetings between April and September 2003, the EISC discussed the 2002 Mineral Report that it produced as an obligation under the IRC/INAC mineral agreement. It had expressed dissatisfaction over the way in which INAC was handling its obligations under the same agreement. Early in the fiscal year, INAC contacted both the EISC and IRC to discuss how they could better engage the communities and industry. Indian and Northern Affairs Canada completed a response to the EISC's Mineral Report and began taking a more active approach in solving the issues and seeing that the agreement was implemented.

Mackenzie Gas Project

In preparation for screening of the MGP preliminary information package, the EISC spent considerable time throughout the year familiarizing itself with the MGP and the Joint Review Panel process as described in the Cooperation Plan for the Environmental Impact Assessment and Regulatory Review of a Northern Gas Pipeline Project through the Northwest Territories. In addition, the EISC chair sat as a member of the Northern Pipeline Environmental Impact Assessment and Regulatory Chairs' Committee.

Drilling Waste Sump Use in the Mackenzie Delta

In December 2003, the EISC wrote to the ESRF TAG to advise it that the EISC shared the rising discontent of communities about the continuing use of sumps in the ISR to dispose of drilling wastes, and in the future would require industry to provide sufficient information to clearly warrant sump use, or come up with suitable alternatives. The EISC felt it required the information to be able to decide whether to approve the use of waste disposal sumps through the IFA screening process or refer any future developments using sumps for further environmental assessment and public review. Industry responded by providing the EISC with additional information during screening meetings held in January, February and March 2004. A report from the ESRF TAG on this matter was in preparation at the end of the reporting period.

Meetings

The EISC received 27 presentations from various government departments, agencies, co-management boards and industry during the year. Members attended 15 conferences, workshops and meetings as well as various meetings of the Northern Pipeline Environmental Impact Assessment and Regulatory Chairs' Committee.

6.5 Environmental Impact Review Board

Established under IFA subsection 11(22), the EIRB is responsible for carrying out the environmental impact assessment and public review of development projects referred to it by the EISC pursuant to the IFA. The Board recommends whether development projects should proceed and under what terms and conditions, including those regarding measures to minimize the negative impact of projects on wildlife harvesting. If wildlife compensation is an issue, it recommends limits of liability for the developer.

As the environmental impact assessment and review body for any development referred to it pursuant to the IFA, the EIRB is structured so government and Inuvialuit are represented equally. Three members are appointed by the Government of Canada, three by the IGC and a seventh member, the chair, is appointed by the Government of Canada with the consent of the IGC. Of the three members appointed by the Government of Canada, one is designated by the Yukon government, one by the Northwest Territories government, and one by the Government of Canada.

Goals of the IFA directly relevant to the Board's operations are to protect and preserve Arctic wildlife, environment and biological productivity.

The Board held three regular meetings and four teleconferences during the year.

Review Activities

In 2003-2004, the EIRB held one regular meeting, one caucus meeting and two teleconferences. It completed one review and began a second review.

Other Activities

The EIRB continued work on developing criteria for establishing acceptable environmental standards and evaluating a developer's standard of performance for the Husky Lakes Area as required by section 8(1) of the IFA. A third draft of the criteria will be circulated during the summer of 2004.

Discussions continued throughout the year on ways to avoid duplication of process should a pipeline be built through the ISR and Mackenzie Valley, or should offshore drilling begin again in the Beaufort Sea.

Meetings

The EIRB members took part in 18 meetings, activities, workshops and conferences to advance the environmental review process and follow the basic goals of the IFA.

6.6 Joint Secretariat

The Joint Secretariat was incorporated as a society in 1986. Although it was not provided for under the IFA, the parties saw fit to establish a secretariat to provide funding, administrative and technical support services to the IGC and the wildlife and environmental committees, councils and boards. The Secretariat establishes and maintains working liaisons with Inuvialuit organizations, government, industry, the academic sector and other relevant agencies or organizations. It also performs library and data archival duties in lieu of the Research Advisory Council (RAC).

The chairs of the five co-management boards (EIRB, EISC, FJMC, WMAC-NWT and WMAC-NS) and the IGC constitute the Secretariat's members.

The Board of Directors held two regular and one annual general meeting during 2003-2004. The June 2003 annual general meeting and Board of Directors' meeting were held in Edmonton, Alberta.

The administration staffing remained stable over the past year, while on the technical side, the Secretariat experienced considerable turnover, with some staff doing "double duty" until vacant positions could be filled. A major task was the provision of input to secure funding for the next five years.

Shell Canada provided funding to the Secretariat via the Arctic Institute of North America for the development of an ISR literature database as a subunit of the Arctic Science and Technology Information System. The Secretariat librarian will assist the Arctic Institute of North America staff in this initiative.

Mackenzie Gas Project

The Joint Secretariat participated in the implementation of the Cooperation Plan for the Environmental Impact Assessment and Regulatory Review of the Mackenzie Gas Project. The executive director was involved in numerous meetings and workshops, mainly in Yellowknife and Calgary which included:

Environmental Science Research Fund

The Secretariat and the IGC are members of the ESRF TAG. This year, the ESRF TAG finalized workshop arrangements, completed a background document and conducted the workshop in Inuvik in September on disposal of drilling waste. The executive director remains a member of the Environmental Science Research Fund Northern Group, which provides advice on research priorities.

Arctic Council Involvement

The IGC chair and the Joint Secretariat executive director are members of the Emergency Prevention, Preparedness and Response Working Group of the Arctic Council. In addition to attending the annual meeting, the Secretariat convened an experts meeting to finalize the Arctic Shoreline Clean-Up and Assessment Team manual. This document will be presented at the next Working Group meeting for subsequent transmittal to the Arctic Council ministers, via the senior Arctic officials, in the fall of 2004. The executive director is also a member of the Protection of the Arctic Marine Environment Working Group for the purpose of developing the Arctic Marine Strategic Plan. This participation has involved several meetings and teleconferences. The completed Plan will be recommended to the Arctic Council in the fall of 2004.

Climate Change Initiatives

The Secretariat continued to be involved in various climate change initiatives with the Aurora Research Institute, University of Laval Canadian Arctic Shelf Exchange Study, Arctic Institute of North America, ITK and the Inuit Circumpolar Conference interface. This has largely involved the development and implementation of ice monitoring and other community programs. The Secretariat's Community Support Unit participated in the Canadian Climate Impacts and Adaptation Research Network Northern, and the executive director is a member of the Network's Coastal Zone Committee. The Secretariat assisted the ITK with community visits during the completion of its climate change project, and the ISR is now the only Inuit region to have every community's views on climate change documented. Continued support was provided to Tampere Polytechnic's projects and students in Canada.

Territorial Legislation

The IGC, WMAC-NWT and Secretariat staff continued their participation in the development of changes to the NWT Wildlife Act and Species at Risk Act. This work involved meetings with RWED and Aboriginal caucuses, until the process entered a pre-election hiatus.

Other Activities

Other activities involving the executive director, and staff as required, included:


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7 Government of the Northwest Territories

Under the terms of the IFA, the Government of the NWT is responsible for appointing the chair and NWT government members of the WMAC-NWT and providing its secretariat, the administrative and operational costs of the IGC, and the six community HTCs, designating a member to each of the EISC, EIRB, Arbitration Board and Research Advisory Council (RAC), and providing the budget for the operation and maintenance of the RAC. An agreement was struck among all parties whereby RAC funding is provided to the Joint Secretariat for library services. The Government of the NWT is also responsible for providing operational funding to the Joint Secretariat, which provides technical and administrative support to the various IFA boards in the NWT.

7.1 Ministry of Aboriginal Affairs

Ministry officials worked closely with Territory program departments and the Joint Secretariat to promote effective administration of implementation funding by coordinating the annual funding agreement process, monitoring departmental implementation budgets, recommending funding reallocations among approved implementation tasks and ensuring the timely carry-over of implementation dollars to future years. The Ministry worked closely with territorial departments and the Secretariat to develop the NWT's funding submission to the Government of Canada, and funding was secured for the next 10-year implementation period. The Ministry was also responsible for preparing the NWT component of this annual report.

The Ministry continued to work to resolve the long-standing issue of municipal requirements for Inuvialuit lands. Occupancy and use of Inuvialuit lands by the NWT government for municipal infrastructure purposes have been issues since the signing of the IFA. During the land selection process and in the absence of legal land surveys, Inuvialuit selected lands that included government infrastructure, such as garbage dumps, sewage lagoons, water intake sites and related access roads. This situation created the problem of municipal infrastructure being situated on private Inuvialuit lands.

The NWT government has consistently advocated a land exchange to resolve this issue. The government and ILA reached general agreement on the size and location of the municipal infrastructure sites. The next stage of the process will be to evaluate those lands, followed by the identification of lands for exchange.

As a result of the land selection process, certain airport lands also became Inuvialuit lands. The 1991 Airport Transfer Agreement between the governments of Canada and the NWT commits Transport Canada to acquiring the title to the additional lands necessary for airport purposes in Sachs Harbour, Paulatuk and Holman. The Government of Canada and Inuvialuit are pursuing a land exchange to resolve this issue. Ministry officials worked very closely with the NWT Department of Transportation to ensure that NWT airport interests are protected.

Discussions continued regarding the economic measures review that was completed in 2001. The IRC proposed working groups to attempt to address those problem areas identified in the review. The NWT government recognizes that the scope of the review and some problem areas identified extend beyond the specific obligations under the IFA. As such, the territorial government is reviewing the appropriate mechanisms and initiatives to best address these areas.

The Ministry participated in two meetings with Inuvialuit, Yukon and federal government officials to discuss outstanding implementation issues. The IFA ICC has provided a positive forum for addressing and resolving outstanding implementation issues.

7.2 Resources, Wildlife and Economic Development

The RWED worked closely with IRC and the Inuvialuit communities to promote Inuvialuit employment opportunities and economic self-sufficiency. During this reporting period, RWED provided $90,000 to IRC for capacity building related to the oil and gas industry. The Department also provided support to various Inuvialuit businesses for on-the-job training in the oil and gas, tourism and information technology fields, business advice, counselling and support, and assisted Inuvialuit businesses and individuals in accessing financial support from various sources.

Plans are underway to deliver the Guide Training Program, previously delivered in Sachs Harbour and Paulatuk, to both Tuktoyaktuk and Holman.

The Department continued to work very closely with the appropriate Inuvialuit organizations in drafting changes to the NWT Wildlife Act and species at risk legislation that incorporates the provisions of the IFA. As well, RWED continued to work with Inuvialuit on a variety of other legislative amendment requests with respect to the harvesting of various species in the ISR.

The Department worked closely and cooperatively with the IGC, WMAC-NWT and local HTCs on all matters regarding wildlife management in the ISR. Wildlife studies were a significant part of RWED's operations with progress achieved in several areas.

Collection of Harvest Data

The Inuvialuit Harvest Study terminated in late winter 2001. Resources, Wildlife and Economic Development, DFO and the CWS maintained studies with the Sachs Harbour, Holman and Paulatuk HTCs to document the number of caribou and selected fish species harvested in these communities.

Banks Island Caribou and Muskox

Analyses were completed of various population and habitat studies completed since 1993. Re-analyses of data collected during the period 1972 to 1993 were initiated. Recommendations on the future population and habitat research needs will be provided during 2004-2005. During the year, RWED continued to work on:

Northwest Victoria Island

The Department began a satellite tracking study of Dolphin and Union caribou on the northwest of Victoria Island. Ten satellite collars were deployed in the Richard Collinson Inlet area during August 2003. Preliminary results of this study were presented at the 10th North American Caribou Workshop.

Cape Bathurst and Bluenose-West Caribou

The eighth year of the satellite tracking program was completed. Maps showing the location and movements of the satellite-collared caribou were provided to the 12 user communities and wildlife co-management bodies. Movements of the Cape Bathurst and Bluenose-West caribou herds in relationship to the proposed Mackenzie Valley pipeline were documented. Work began to summarize distribution and habitat information to assess the potential impacts of development activity on barren-ground caribou.

Working cooperatively with the Parks Canada Agency, a productivity survey was conducted by RWED to estimate the number of cows on the Cape Bathurst and Bluenose-West calving grounds and to determine the number of calves produced by these herds. This project is ongoing.

Grizzly Bears and Seismic Exploration

Resources, Wildlife and Economic Development continued to monitor the movements of grizzly bears in the MGP area. Working with the University of Alberta and a graduate student, RWED initiated a more intensive study of grizzly bear distribution, movements and resource selection. An accurate vegetation map for the development area is in production. A number of training sites (ground areas which are studied to determine vegetation type) were evaluated, and a preliminary satellite image-based vegetation map was produced.

Grizzly Bear Population Study

A study was initiated to obtain current population estimates of grizzly bears in the ISR east of the Mackenzie Delta. Approximately 40 satellite collars were deployed between the Mackenzie Delta and the ISR/Nunavut border to obtain current information on the distribution and movements of grizzly bears. This work will assist the Department in identifying focal areas for mark-recapture studies or surveys in the future.

Grizzly Bear Harvest

The grizzly bear harvest and problem bear occurrence/kill databases for the Inuvik Region were maintained. Reviews of quotas and harvest information for each community hunting area were presented in the annual Summary of Harvest Data for Species Under Quota in the Inuvialuit Settlement Region report prepared for the WMACNWT and WMAC-NS. The Department prepared posters showing the number, sex and kill sites for grizzly bears harvested during the NWT quota years 1998-1999 to 2002-2003 and sent copies to each HTC and to the IGC, WMAC-NWT and WMAC-NS.

Polar Bear Population Studies

The Department worked with CWS, Edmonton and the U.S. Department of Fish and Wildlife, Alaska to conduct the first year of a mark-recapture study designed to obtain a current estimate of polar bears in the South and North Beaufort populations. The majority of the satellite collars deployed on female polar bears in 2000 were removed. Maps showing the movements of these bears were distributed to the HTCs, IGC and WMAC-NWT on a monthly basis.

Polar Bear Harvest

The polar bear harvest and problem bear occurrence/kill databases were maintained for the Inuvik Region. Reviews of quotas and harvest information for each community were presented in the annual Summary of Harvest Data for Species Under Quota in the Inuvialuit Settlement Region report prepared for WMAC-NWT. The Department prepared posters showing the number, sex and kill sites for polar bears harvested during the NWT quota years 1998-1999 to 2002-2003 and sent copies to each HTC, and to the IGC and WMAC-NWT. The Department also prepared the annual report submitted to the Canadian Polar Bear Technical Committee and the Inuvialuit-Inupiat Polar Bear Commissioners.

Arctic Wolf

Skulls and carcasses purchased from hunters and trappers on Banks and northwest Victoria islands were analyzed to determine age, sex, incidence of disease, diet and general body condition of harvested wolves. Tissue samples were also collected for future DNA and fatty acid signature analysis.

Dall's Sheep

Work continued on the assessment of the prevalence of parasites in Dall's sheep in the Richardson Mountains. A survey was conducted in late August to determine population numbers, and lamb/nursery sheep ratios in the population. These results suggest the sheep numbers have continued to decline in some areas of the Richardson Mountains.

Cumulative Impact Assessment

A process was initiated to compile and map all available distribution information documented during various surveys conducted in the ISR and adjacent areas. This information will be used as data layers in a regional cumulative impact assessment model.

7.3 Justice

The Department's Legal Division continued to contribute to the implementation of the IFA by providing legal advice on matters, such as government usage of Inuvialuit lands, proposed land exchanges and IFA amendments. Advice was also given on the consistency of the IFA with the proposed changes to the NWT Wildlife Act.

7.4 Public Works and Services

In support of the economic measures provisions in section 16 of the IFA, and consistent with the NWT government preferential contracting policies and procedures intended to maximize local, regional and northern employment and business opportunities, the following contracts within the ISR were awarded by PW&S to businesses owned by Inuvialuit beneficiaries:

The following contracts were awarded by PW&S to Inuvialuit owned businesses for work outside the ISR:

In addition to the above noted contracts, PW&S continued to maintain the following leases:


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8 Yukon Government

The Yukon Secretariat is responsible for overseeing Yukon's implementation obligations under the IFA by addressing the legislative, policy or procedural requirements to implement the IFA. It is also responsible for preparing the Yukon government component of this annual report. Other Secretariat responsibilities include the administrative requirements related to the appointment of the chair and a Yukon government member to the WMAC-NS, and the designation of a member to each of the EIRB, EISC and Arbitration Board. Implementation funds are managed by the Secretariat for participation on the above-mentioned boards and committees, ongoing wildlife research on the Yukon North Slope, and in Herschel Island - Qikiqtaruk Territorial Park.

The Yukon Secretariat maintained active membership on the boards and committees in 2003-2004.

8.1 Amendments to the Yukon Trapping Regulations

To provide legislative consistency with the IFA, a package of specific amendment proposals to the Yukon Trapping Regulations were developed by a working group with the WMAC-NS, IGC and Yukon government. Those proposals that received approval by the Department of Environment proceeded to the consultation process as required under section 30(1) of the Environment Act.

These proposals were forwarded to the Fish and Wildlife Management Board for review as required under section 16(7)(16) of the Umbrella Final Agreement. They were also sent to the WMAC-NS for review and approval, as the IGC requested that this board play a facilitating role in the regulation development process. It is the Yukon Government 's understanding that the Fish and Wildlife Management Board deferred to the WMAC-NS to provide recommendations to the Minister on the amendment proposals specific to the IFA.

The amendment proposals which were not approved will be brought back to the working group for further discussion in 2004-2005.

8.2 2003 Yukon North Slope Conference

The 2003 Yukon North Slope Conference offered 10 workshops around the theme Meeting the Challenges of Conservation and Beaufort Development on the Yukon North Slope. They included:

There were over 150 participants at the conference, including delegates from Inuvialuit and First Nation organizations, non-governmental organizations, government agencies and departments, and industry. All participants will receive a conference summary in 2004-2005, which will also be available on the WMAC-NS Web site at www.taiga.net/wmac/northslopeproceedings/nslope_03.pdf.

8.3 Wildlife Projects

The Yukon government, in coordination and cooperation with the WMAC-NS and IGC, undertook the following projects in support of the Yukon North Slope's special conservation regime set out in section 12 of the IFA.

Porcupine Caribou Herd Satellite Location Program

The Porcupine Caribou Herd Satellite Location Program maintains eight to ten caribou with satellite collars in the Porcupine caribou herd to document annual migration routes and winter range use of female caribou. This program is an ongoing cooperative effort with many agencies contributing to the costs, such as system feeds, data recovery and collar purchases.

Locations are logged on an ongoing basis. Maps were produced and distributed, and a Web site <www.taiga.net/satellite/index.html> and fax distribution list of caribou locations are maintained.

Porcupine Caribou Conventional Collaring

Between 80 and 100 conventional radio collars are maintained on the Porcupine caribou herd to assist in its location during composition counts and censuses. No census was done in 2003-2004, because the caribou did not group together. Alaskans will attempt to conduct the census in 2004-2005.

Muskox Studies

As part of a three-year program (2002-2005), there were three muskox projects on the Yukon North Slope during 2003-2004 involving Yukon government:

Aklavik Harvest Data Collection

This data collection project documented the harvest of moose, caribou, sheep, swans and furbearers in Yukon and the NWT by Inuvialuit hunters in Aklavik from January 2003 to December 2003. Interviews to document the wildlife harvest by Aklavik hunters were carried out in May, June and December 2003.

Herschel Island Studies

An aerial survey of raptors and foxes was conducted on Herschel Island in July to collect baseline data in preparation for ground monitoring of these species by park rangers and to document the abundance and distribution of raptors and foxes on Herschel Island. More birds were counted in 2003 compared to 1999 with the exception of snowy owls.

The survey crew also helped the rangers with ongoing ecological monitoring initiated in the Herschel Island - Qikiqtaruk Territorial Park in 1999.

Other Projects

Richardson Mountain Sheep Survey

The Yukon government contributed to a full survey of sheep in the Richardson Mountains. This survey was a joint project between, the Gwich'in Renewable Resources Board and the governments of Yukon and the Northwest Territories.

Aklavik Hunter Education

The Yukon government contributed to a hunter education camp for youth held at Canoe Lake in August by the Government of the NWT.

Grizzly Bear Population and Movement on the Yukon North Slope

Planning began for a six-year grizzly bear study on the Yukon North Slope. In 2003-2004, the Yukon government purchased and moved fuel into the field at Komakuk and Shingle Point in preparation for captures scheduled to start in May 2004.

8.4 Herschel Island - Qikiqtaruk Territorial Park

Herschel Island - Qikiqtaruk Territorial Park Management Plan Review

A second workshop on the Herschel Island - Qikiqtaruk Territorial Park Management Plan was held during September 2003 with representatives from the community of Aklavik, the governments of Yukon and Canada, and WMAC-NS. The focus of the workshop was to discuss any outstanding issues and reach consensus on the best management approach to be taken. The Plan was redrafted to reflect the wishes of the workshop participants.

In recognition of the latest draft, which addressed concerns raised by the IGC, Aklavik HTC, Aklavik Community Corporation and WMAC-NS along with numerous other agencies and individuals, the WMAC-NS announced its support for the latest draft at the November 2003 North Slope Conference. In response to this support, the internal government review/pre-approval process has been initiated.

Herschel Island - Qikiqtaruk Territorial Park

Herschel Island - Qikiqtaruk Territorial Park officially opened on April 17, 2003. In 2003, there were 414 visitors, including two cruise ships and five sailboats stopping over during their journey.

The rangers made their first trip of the season on April 3, and found damage to the buildings caused by visitors during the winter months as well as litter inside and outside of the travellers' cabin. The Park office informed the Aklavik HTC and will work with the HTC to inform the membership and the people in Kaktovik that people should be prepared and carry the appropriate supplies when they are travelling on the land.

Wildlife Observations and Harvest

Wildlife sightings and harvests were recorded throughout the season. Four polar bears and two grizzly bears were sighted on the Island this season, with no problems reported. There were also recorded sightings of one snowy owl, one peregrine falcon and a caribou fawn.

The recorded harvest this season was four bull caribou, 318 charr, 113 herring and one seal.

In 2003, rangers issued seven fishing licences, five camping permits and five research permits.

Training

Consistent with section 12(42) of the IFA, the Yukon government provided the following training to the rangers to assist in their current duties and in future employment opportunities: wilderness first aid and cardio-pulmonary resuscitation, a review of law enforcement and park regulations, global positioning system training and a gun safety course, a trail monitoring course (senior park ranger) and a review of ecological monitoring.

Heritage Site Management

The Heritage Resources Unit made two trips to Herschel Island in 2003 to save the Northern Whaling and Trading Co. store from encroaching shoreline erosion. Water and ice are being driven up against and under the building during increasingly violent storms, particularly during the fall.

During the first trip in July, staff spent two weeks on site, bracing and lifting buildings onto built-up beams to move them. Before the store could be moved, the neighbouring customs warehouse had to be moved first. This proved unexpectedly time consuming as the building had no substantial foundation or floor system. Time was spent reinforcing the floor systems of both buildings. Due to time constraints, the store was left lifted off the ground, ready to be moved in the following year.

Subsequently, the chief ranger notified the Heritage Resources Unit that a violent storm at the end of July had further undermined the store supports. Although the $10,000 budgeted for heritage site management was already overspent, another trip from September 3-9, 2003 was necessary to move the building.

During the year, signs were also installed at the edge of the settlement area, advising visitors of the fragility of the wetlands and the need to respect grave sites. A series of four large posters describing the archaeology and Inuvialuit history were made available for the site and the office in Inuvik. Temporary patching was done to the roof of the rangers' quarters.


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9 Government of Canada

9.1 Indian and Northern Affairs Canada

Implementation Branch

The Implementation Branch serves as a liaison on IFA implementation issues for co-management boards, the Inuvialuit, territorial governments and other federal government departments. Its activities include:

The Director General of the Implementation Branch serves as the Government of Canada member to the IFA ICC, and the Director of the Implementation Management Directorate is the alternate. From April to October 2003, Dr. Keith Chang served as the Government of Canada member. His acceptance of a position at another federal department meant that Ms. Aideen Nabigon served as the alternative member from November 2003.

The Branch participated in two meetings of the IFA ICC, in Inuvik in April 2003 and in Edmonton in September 2003.

During the year, activities of the Branch included:

Northern Affairs Program

The Northern Affairs Program (NAP) administers legislation concerning the disposition and use of Crown lands, inland waters, the offshore, non-renewable resources and overall environmental protection within the NWT and Nunavut.

Granular Inventories

The Program administers funding provided for conducting granular resource (sand and gravel) inventories. With continuing planning for a Mackenzie Valley pipeline and an anticipated increase in oil and gas exploration activities, there is concern about the overall potential of the region to meet both short- and long-term public, community and industrial requirements for granular resources. A granular resources management plan integrating granular resource potential, inventories of granular supplies and future granular demands with other land-related information for the ISR is being developed jointly by the Government of Canada and Inuvialuit. During 2003-2004, work continued on an Internet-based information mapping and exchange system to be used for information sharing and consultation on the development of the regional granular resources management plan. This work included data preparation and loading, and developing user interfaces for accessing, reviewing and editing information.

A contract was initiated during the year to update the Internet-based granular resource needs estimating tool in response to user requests for improved models, including consideration of more granular material types. The plan is to integrate this tool with the Internet mapping system and the regional granular resources management plan. Work on the plan will continue in the coming year and the plan will guide responses to applications for use of granular resources throughout the region.

Northern Oil and Gas Directorate

The Northern Oil and Gas Directorate routinely engages in environmental consultations with the IGC, representing the HTCs, prior to offering onshore and offshore lands to the oil and gas industry. Environmental information obtained from the IGC greatly assists INAC in identifying and confirming environmental sensitivities within the ISR. This information is carefully considered by the Minister of Indian Affairs and Northern Development before offering Crown lands to industry in the ISR.

As part of the consultation process, a meeting was held with the IGC on October 3, 2003 in Whitehorse to review the results of the previous year's ISR Crown lands offering, and to examine the environmental sensitivity of certain onshore and offshore lands in support of the next call for nominations. In addition, oil and gas activity over the past year was highlighted, and seismic and drilling activity for the coming winter was forecast.

Benefit Plans

Oil and gas exploration activities continued on the exploration licences issued by INAC in 1999 and 2002 for Crown lands in the Mackenzie Delta. These activities were undertaken in accordance with benefit plans approved under the Canada Oil and Gas Operations Act and gave rise to numerous employment, training and business supply and service opportunities for Inuvialuit, other northerners and their businesses. Inuvialuit and Inuvialuit businesses continued to respond positively to all such opportunities.

The Directorate, INAC NWT Regional Office and Inuvialuit representatives continued to meet to discuss possible means of harmonizing INAC and Inuvialuit arrangements for benefits from oil and gas activities. A roundtable discussion was held at IRC headquarters in Inuvik in June 2003. As a follow-up to the discussion, the three parties initiated work to develop a common template for benefits reporting by operators.

Royalty Administration for the Ikhil Field

The Government of Canada administers, on behalf of Inuvialuit, the receipt and assessment of royalties on gas production from the Ikhil Field on the basis of laws and regulations in force on December 31, 1983 as required by section 7(96) of the IFA.

The Arbitration Board was asked to arbitrate certain matters concerning royalties payable to Inuvialuit under subsections 7(93) to 7(96) of the IFA. The Government of Canada has issued assessments in regard to royalties due on Ikhil production and is actively pursuing its administrative responsibility in this matter.

Web Site

Additional information concerning oil and gas activities in the north can be found at the Northern Oil and Gas Directorate's Web site <www.inac.gc.ca/oil>.

NWT Region

Land Administration

Land Administration is responsible for the administration of surface and subsurface resources where the ownership has been retained by Canada.

The discussions continued regarding section 7(106) of the IFA. Reservations on Inuvialuit lands that are no longer being used by government for their original purpose are to be removed as an encumbrance against the Inuvialuit title. Progress was made toward reaching an agreement on the process to remove reservations from Annex R of the IFA.

Northern Contaminants Program

The Northern Contaminants Program provided $40,000 for an Inuvialuit regional contaminants coordinator to deal with general contaminant issues within the ISR. The IRC received $14,000 ($2,800 directly and the remainder for laboratory analysis) to investigate contaminants in soil and water from the Inuvik landfill. Inuvialuit have representation on the NWT Environmental Contaminants Committee, which supports the attendance of the representative at meetings and national workshops.

Contaminated Sites Program

Kittigazuit Bay/Yellow Beetle

Kittigazuit is located on the shore of the Beaufort Sea, approximately 50 km west of Tuktoyaktuk, NWT. The site was used as a long range aid to navigation from 1947-1950 by the Royal Canadian Air Force and the United States Air Force. In 1976, the site was designated as a waste metal depot by INAC. The area is of significant interest to Inuvialuit both historically and spiritually and was selected as part of the IFA.

A large portion of the remediation was completed in the late summer/fall of 2002 through a contribution agreement of $810,000 with Inuvialuit Projects Inc., a subsidiary of the IDC. This involved demolition of remaining structures, consolidation of waste, and delineation and excavation of metal-contaminated soil. During this investigation, some hydrocarbon-contaminated soil was detected which was delineated in 2003-2004. Further work is planned for 2004-2005 to excavate this remaining contamination and ship it off site.

Horton River

Horton River was a DEW Line Intermediate Site, also referred to as BAR-E or Malloch Hills, near Horton River Delta on Cape Bathurst within the Amundsen Gulf and a peninsula between Paulatuk and Tuktoyaktuk. It was remediated in 1994 under the terms of a cooperation agreement between the ILA and INAC. The clean-up involved the construction of a landfill on top of an existing dump on the site near the airstrip, which INAC committed to monitor. In 2002-2003, due to limited funding, the INAC district inspector monitored the site and found no major issues. Funding was available in 2003-2004, and Inuvialuit Environmental and Geotechnical (through Inuvialuit Projects Inc.) was contracted to conduct more formal monitoring of the site. The company recommended further monitoring in 2004-2005.

Atkinson Point

INAC requested a proposal from Inuvialuit Projects Inc. to conduct remediation work at Atkinson Point within the next couple of years. No funds were available in 2003-2004 due to the ranking of higher risk sites for funding. However, funding for this site will be reconsidered in the next fiscal year when it is once again ranked against other contaminated sites in terms of human health, ecological risk and other issues.

Further assessment work will be required to determine the presence and extent of hydrocarbon contamination on site and confirm metal and polychlorinated biphenyls contamination in soils. There may be a need to repair the airstrip and road access to the beach.

Economic Activity Funding

The following programs provided a total of $4,533,934 to support the objectives of the economic measures chapter:

Mineral Exploration Activities in the ISR

Several companies are active in the ISR, either continuing previous explorations or beginning new work. Most of the exploration has centred on diamonds with a more recent return to the historical focus on copper, nickel and platinum deposits.

In the southern ISR (as well as the Sahtu and Gwich'in settlement areas) a large number of prospecting permits were issued in 2003 and 2004 to various companies and individuals, almost all of which are, or will be, active this season. Diamondex Resources Ltd. continues its diamond explorations related to the permits it was issued in the previous year and new permits that were issued this year. The focus of their activities is in the southwestern corner of mainland ISR. New permits were also issued in the southern ISR to Stornoway Diamond Corporation (one permit), Raymond Davies (three permits) and Matthew Mason (a large number of permits spanning across the width of the southern ISR).

In the eastern and southeastern mainland of the ISR, Diadem Resources Ltd. is conducting exploration of ground held in joint venture with Darnley Bay Resources, and is basing its activities out of Paulatuk. The Diadem mineral tenure package includes prospecting permits, older mineral claims and a large package of new mineral claims.

On Victoria Island, Diamonds North Resources Ltd. continued diamond exploration on the NWT/Nunavut boundary off the east end of Prince Albert Sound. Diamonds North has recently formed a joint venture with Teck Cominco Ltd. to carry out exploration in the ISR and on Victoria Island in Nunavut. In addition to the existing mineral claims held by Diamonds North, it was issued 11 prospecting permits during the year, for the northeast corner of Banks Island.

The interest level for mineral exploration in the ISR continues to increase, with enquiries to INAC from a number of companies, some of whom may become active in the area. Much of the exploration work is being conducted over areas that have not been previously explored. Pending some successful results of this exploration, the interest could increase further.

The Mineral Development Division, INAC NWT Region has been closely involved with the planning activities of the various explorers in the ISR. The Division has provided substantial advice, assistance and, in some cases, hands-on guidance and participation, to these explorers to ensure they undertake consultation with community organizations and residents at the very early stages of the exploration planning. It has also provided mineral development advice directly to the community through consultations with the HTCs as part of the Mineral Prospecting Agreement.

While there have been some difficulties with consultations and process, generally most of the exploration activity has progressed smoothly. Issues remain to be ironed out, and consultations continue between companies and communities and the involvement of the INAC Mineral Development Division, IRC and the ILA.

Devolution

The Chief Negotiators representing the governments of Canada and the NWT, and the Aboriginal Summit initialled the Northwest Territories Lands and Resources Devolution Framework Agreement in 2003 and recommended it to their principals. Political leaders for the three parties signed the Framework Agreement early in 2004. The Agreement sets out the scope, subjects and next steps for negotiation. While the Agreement was being considered by the principals, work on various issues toward an agreement-in-principle continued. Once finalized, the parties plan to begin negotiations toward a final devolution agreement targeted for completion in 2005 and implementation in 2006.

The transfer of legislative and administrative authority over public land, resources and waters in Yukon from the Government of Canada to the Yukon government took effect on April 1, 2003. The Yukon government now has administration and control of public land and resources in Yukon. The Yukon Northern Affairs Program Devolution Transfer Agreement, signed on October 29, 2001, sets out the detailed terms and conditions on various aspects of the transfer. The revised Yukon Act, which implements certain provisions of the Devolution Transfer Agreement, was passed by Parliament on March 27, 2002.

9.2 Department of Fisheries and Oceans

The Department provides support to the FJMC and is responsible for making policy and regulatory changes to accommodate Inuvialuit rights concerning the harvest, trade, transport and co-management of fish and marine mammal resources in the ISR. This year, DFO supported and promoted Inuvialuit representation in the development of the Beaufort Sea - New Emerging Fisheries Policy.

Fisheries and Oceans also promotes the principle of cooperative management of fisheries resources in the ISR, with full cooperation from Inuvialuit. During the year, 23 projects were conducted through joint efforts between the FJMC and DFO. The FJMC met with the senior managers and scientists of DFO's Central and Arctic Region to review progress and plan projects.

Projects conducted by DFO scientists/biologists in consultation with the HTCs included:

The Canadian Coast Guard provided the marine communications and traffic services on Great Slave Lake, the Mackenzie River and Western Arctic waters from May to October 2003. The mandate is to promote the safety of life at sea, protection of the environment, and the safe and expeditious movement of marine transportation, by providing a maritime mobile safety radio communications service that covers Canada's Arctic waters and the Mackenzie-Athabasca Waterway system.

With respect to land administration activities of the Coast Guard, three sites fall within the land set aside by Order-in-Council P.C. 1979-1154 for a reindeer grazing reserve. These sites have no hazardous materials and pose no threat to the reindeer.

9.3 Environment Canada

Environment Canada, through the CWS, is represented on the wildlife management advisory councils, which deal with all significant wildlife issues in the ISR.

In cooperation with Inuvialuit, the CWS continued to carry out a number of studies of migratory birds in the ISR. These studies will help guarantee that populations are not over-harvested and the habitat on which the birds depend receives adequate protection. During the past year, studies of migratory birds focussed on the populations and habitat of snow geese, the most heavily harvested species of migratory birds in the ISR. Long-term data were analyzed and summarized for wildlife conservation purposes. Considerable time and effort was spent by the CWS in procuring additional funding from outside of IFA-related sources to help address the conservation issues arising in the Western Arctic.

With the tremendous increase in oil and gas exploration in the ISR, Environment Canada invested a significant amount of effort in reviewing and screening development proposals and in planning for potential environmental impacts. Several new studies have been initiated, which will help deal with the impacts of gas and oil development on wildlife in the ISR.

As well as serving the fundamental purpose of protecting the environment and wildlife conservation, Environment Canada programs benefit Inuvialuit in other tangible ways. Approximately half of the IFA-related funding and other funds obtained by Environment Canada is spent on contracts with or payments to Inuvialuit-owned companies, organizations or individuals.

9.4 Parks Canada Agency

Parks Canada is responsible for the protection of natural and cultural resources, including the wildlife populations and habitat of the three national parks in the ISR: Ivvavik National Park in the western portion of the North Slope, Aulavik National Park on Banks Island, and Tuktut Nogait National Park (TNNP) near Paulatuk.

Pingo

The Pingo Canadian Landmark National Historic Site (NHS) is located adjacent to Tuktoyaktuk. Included within its boundaries is the largest pingo in Canada and a number of others at different stages of evolution. Created over a number of years, a pingo is an ice-cored mound produced when ice grows in or below permafrost as a result of water pressure.

The agreement to create the Pingo Canadian Landmark is contained in subsection 7(70) of the IFA. Legislation passed in 1996 led to the creation of the Pingo NHS. A working committee, including representatives from Parks Canada and several community organizations in Tuktoyaktuk, was established to guide the development and preservation of the site. This working committee signed the Pingo Canadian Landmark Memorandum of Understanding in December 2001. Priorities for implementation have been identified and undertaken by all represented groups. The working group drafted terms of reference and a vision statement.

As per section 7(72) of the IFA, INAC and the ILA continued to work on transferring lands of equal value to Inuvialuit for the Pingo Canadian Landmark, with no progress made during the year.

Parks Canada conducted a field assessment at the Landmark in September 2003 to consider the best option for the development of an interpretive trail. The assessment report recommended a boat-accessible walking trail of 415 metres, which would end at a viewing platform overlooking a scenic view of the Landmark and the community of Tuktoyaktut. The working committee endorsed the recommendation and circulated the report to all stakeholders for review and comment. If the project proceeds, construction will begin in 2005, following partner consultations and an environmental assessment.

National Park Regulations

Discussions were ongoing with the IGC on a public consultation process to discuss required amendments to the National Park Regulations to ensure that they conform to the IFA. During the year, Parks Canada worked on wildlife regulations that will allow superintendents to permit quota hunts recommended by wildlife co-management boards and approved by the federal Minister of Environment.

Inuvialuit Employment Strategy and Economic Opportunities

The majority of field employees in Ivvavik National Park are Inuvialuit beneficiaries. Two wardens, one patrol person and one full-time clerk who are beneficiaries were employed during the 2003 field season. Activities related to human resources included:

Park Canada continued to use Inuvialuit businesses on a preferred basis in the management and operation of Ivvavik National Park and other heritage resources in the ISR. Inuvialuit Environmental and Geotechnical was awarded the contract to clean up all old waste fuel sites inventoried by park officials within the TNNP.

A memorandum of understanding on the First River rafting operation continued to be revised. Operational guidelines will be removed and attached as a separate document. The memorandum includes day use opportunities in the First River valley for Inuvialuit operators, including cultural interpreters and raft guides.

Research and Monitoring

Research and monitoring activities completed in 2003 by Parks Canada Agency and partners in the ISR included:

Porcupine Caribou Management Board

The Western Arctic field unit allocated funds to the Porcupine Caribou Management Board for various projects, such as population surveys of the Porcupine caribou herd.

Komakuk Beach

The condition of the remediated fuel spill and landfills at Komakuk Beach in Ivvavik was monitored.

Management Plan Reviews

The management plan review of Ivvavik National Park was completed in December 2002, and a revised plan was recommended by the WMAC-NS to the Minister of Canadian Heritage in April 2003. The Parks Canada process to obtain ministerial approval is underway.

Revisions to the Tuktut Nogait draft management plan were discussed by the TNNP Management Board and Parks Canada in March 2004. A final draft is expected to be ready for approval by Parks Canada by the end of December 2004.

Total Parks Canada spending on Inuvialuit goods and services was $440,724 in 2003-2004, comprising $17,025 in goods and $423,699 in services.

9.5 Public Works and Government Services Canada

Pursuant to subsection 16(18) of the IFA, Public Works and Government Services Canada (PWGSC) continued to provide Inuvialuit firms with the opportunity to bid on government contracts by advertising procurement opportunities on the government electronic tendering system and by notifying all claimant groups of procurement of goods, services and construction destined for the ISR. The contracting policy with respect to the IFA requires that whenever PWGSC has a procurement opportunity which impacts on one or more of the comprehensive land claim agreements, notification is forwarded to all the claimant groups.

Assistance and information on the procurement process was provided as requested by Inuvialuit, as well as information on contracts. Whenever practical and consistent with sound procurement management, evaluation criteria were included in bid solicitations to maximize socio-economic opportunities for Inuvialuit.

9.6 Canadian Environmental Assessment Agency

The Agency continued to work with other government departments, Inuvialuit and First Nations to develop frameworks for environmental assessment and regulatory processes for potential project developments in the NWT. In particular, the Agency continued to finalize and implement agreements to harmonize three environmental assessment processes for the review of the MGP. The two agreements involving the Agency are:

Furthermore, the Agency is a signatory to a memorandum of agreement that established the Northern Gas Project Secretariat.

The Agency also cooperated with the NEB, EIRB and IGC on a comprehensive study of a potential Devon offshore exploratory drilling project.

9.7 Human Resources and Skills Development Canada

Human Resources Development Canada (HRSDC) has an obligation to support the implementation of the IFA and Inuvialuit self-government aspirations through its existing programs and Aboriginal Human Resources Development Agreement (AHRDA), and to maintain an ongoing dialogue with Inuvialuit with respect to the Department's operations and activities under the AHRDA. Departmental officials in the NWT communicate with Inuvialuit AHRDA officials frequently to discuss operational issues, clarify and define various clauses of the AHRDA and provide advice on implementing provisions of the agreement. A Human Resources Centre of Canada in Inuvik provides employers and job seekers with information on available programs and services provided by HRSDC and the Human Resources Centre.

The IRC is a signatory to the AHRDA. Signed in April 1999 and extending to 2005, this Agreement provides funding for labour market training for Aboriginal residents of the ISR. The Agreement also provides funding for child-care initiatives to increase the supply of quality child-care services for children with working or training parents who reside in the ISR.

The AHRDA enables Inuvialuit to design and deliver a full service menu of options by integrating several Aboriginal programs including labour market programming and services, capacity building, an urban Aboriginal component, youth programming, child-care programs and programs for persons with disabilities. In 2003-2004, funding was $1,935,623.


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Appendix 1

Inuvialuit Private Lands


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Appendix 2

Schedule of Capital Transfer Payments

Annex N of the IFA outlines the capital transfer payments which were made to Inuvialuit on the last business day prior to December 31 of each of the following years and in the following amounts.

Year Payment ($)
1984 12,000,000
1985 1,000,000
1986 1,000,000
1987 1,000,000
1988 5,000,000
1989 5,000,000
1990 5,000,000
1991 5,000,000
1992 5,000,000
1993 20,000,000
1994 20,000,000
1995 20,000,000
1996 20,000,000
1997 32,000,000
Total 152,000,000

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Appendix 3

Cumulative Costs of Implementation 1984-1985 to 2003-2004

Fiscal Year Amount ($)
1984-1985 1,595,882
1985-1986 1,795,812
1986-1987 6,854,165
1987-1988 6,330,236
1988-1989 7,250,518
1989-1990 6,878,202
1990-1991 6,878,858
1991-1992 7,362,633
1992-1993 9,512,215
1993-1994* 10,632,825
1994-1995* 5,850,000
1995-1996* 5,967,000
1996-1997* 6,086,340
1997-1998* 6,208,066
1998-1999* 6,107,228
1999-2000* 6,169,408
2000-2001* 6,522,296
2001-2002* 6,652,741
2002-2003 6,785,797
2003-2004 6,668,040
Total 128,108,262

* These funds represent funds allocated for implementation purposes, as actual expenditure figures are not available.


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Appendix 4

Membership of Implementing Bodies as of March 31, 2004

Inuvialuit Regional Corporation Board of Directors

Nellie Cournoyea Chair and CEO
Carol D. Arey
Eddie Dillon
Joseph Haluksit
Donna Keogak
Jonah Nakimayak
Duane Smith

Inuvialuit Land Administration Commission

Albert Elias
William Gruben
Andrew Tardiff

Inuvialuit Development Corporation Board

Fred Abbott
Franklin Carpenter
Andy Carpenter
Wayne Gordon
Jackie Jacobson
Robert Joss

Inuvialuit Investment Corporation Board

Frank Hansen
Lucy Kuptana
Fred McKeon
Stephan Pertschy
Evelyn Storr
Barry Wainstein

Inuvialuit Petroleum Corporation Board

Nellie Cournoyea Chair
Carol D. Arey
Eddie Dillon
Joseph Haluksit
Donna Keogak
Jonah Nakimayak
Duane Smith

Inuvialuit Enrolment Committee

Nellie Cournoyea
Fred Bennett
Billy Day
Annie Goose
Agnes Tardiff

Arbitration Board

Stein K. Lal Chair
A. Ernie Pallister Vice-Chair
Jim Bishop
Sandra Elanik
David Loff
Tyson Pertschy
Nick Schultz
Ian Scott
Lena Selamio
Jack R. Williams

Inuvialuit Final Agreement Implementation Coordinating Committee

Keith Chang
Mike Connor
Nellie Cournoyea
Allan Koprowsky
Aideen Nabigon
Frank Pokiak
Duane Smith
Mark Warren

Inuvialuit Game Council

Frank Pokiak Chair
Donald Aviugana
Richard Binder
Andy Carpenter Jr.
Joseph Haluksit
Randall Pokiak
Ruben Ruben

Alternates

Billy Day
Greg Green
Charles Gruben
Chucky Gruben
Donald Inuktalik
Pat Kasook
Darren Nasogaluak
Stan Ruben

Fisheries Joint Management Committee

Robert K. Bell Chair
Donovan Dowler Vice-Chair
Burton Ayles
Billy Day
Max Kotokak Sr.

Alternates

Lorna Dillon
Esther Price
Donald Inuktalik

Wildlife Management Advisory Council-NWT

Larry Carpenter Chair
Frank Pokiak Vice-Chair
Jack Akhiatak
Ray Case
Donald Inuktalik
Bruce Macdonald
John Nagy
Randall Pokiak

Alternates

William Day
Tim Devine
Ron Graf
Jim Hines
Arnold Ruben
Evelyn Storr

Wildlife Management Advisory Council-North Slope

Lindsay Staples Chair
Herbert Felix
Danny C. Gordon
Doug Larsen
Martin Raillard

Alternates

Carol D. Arey
Dorothy Cooley
Alan Fehr
Evelyn Storr

Environmental Impact Screening Committee

William Klassen Chair
Billy Day
Cathy Cockney
Alex Kaglik
Randy Lamb
Johnny Lennie
Frank Pokiak

Environmental Impact Review Board

Robert Hornal Chair
Jack Akhiatak
Peter Bannon
Richard Binder
Tom Butters
Herbert Felix
Andrew Williams

Joint Secretariat, Inuvialuit Renewable Resource Committees*

Board of Directors

Duane Smith Chair
Bob Bell Vice-Chair
Larry Carpenter
Robert Hornal
William Klassen
Lindsay Staples

* Joint Secretariat provides secretariat services to the IGC, FJMC, WMAC-NWT, EISC and EIRB. The secretariat for the WMAC-NS is located in Whitehorse.


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