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March 2008 Quebec Budget

Serge-Hugues Ouimet, C.A.
Partner
BDO Dunwoody LLP

The Quebec government has introduced various initiatives aimed at Aboriginal communities and related to remote regions. We have summarized the most important ones.

The “Société des établissements de plein air du Québec” (Sépaq) administers and operates the public facilities of Québec’s networks of national parks, wildlife sanctuaries and tourist centers.

In recent years, Sépaq modernized and upgraded its infrastructures and in the coming years will invest $55 million to the following programs:

Network of northern national parks

With the participation of the Inuit and Crees of Québec, the government is pursuing the objective of designating more than 30,000 km2 of public land as national parks. Over the next three years, a total of $26 million will be invested in the establishment of large national parks and their development by Aboriginal communities.

These efforts are part of the government’s goal of designating at least 8% of Québec’s land mass as protected areas while favoring economic diversification in Aboriginal communities.

Working in partnership to establish a network of protected areas on private land

In Québec, responsibility for establishing protected areas on public land in relatively unpopulated areas essentially falls to the State. The government intends to support the initiatives of conservation agencies and private landowners by encouraging, in particular, the acquisition of privately own tracts of land to be designated as protected areas. In doing so, the government hopes to consolidate the existing network of protected areas on private land and triple the surface area of the network to 300 km2 over the next five years.

A five-year budget of $25 million will be granted to build partnerships for the purposes of developing the network of protected areas on private land.

Creation of the Bureau québécois des connaissances sur l’eau

Québec has over 3% of the world’s renewable freshwater reserves. Sustainable management of this resource demands thorough knowledge of Québec’s major aquifers and the development of expertise in water management and technologies.

Out of a concern for the sustainable use, restoration and conservation of the water resource for the benefit of present and future generations, $13.5 million over five years will be invested in the creation of an office of water knowledge (the Bureau Québécois de connaissance sur l’eau), whose mission will be to build financial and scientific partnerships for the purpose of filling knowledge gaps concerning water.

Watershed-based management

When applied to surface water, “watershed” means a geographic area bounded peripherally by a water parting and draining to a common outlet. Basin organizations are the principal players in integrated water management at the watershed level. There are currently 33 basin organizations in Québec.

In 2007, in the context of the forum on blue-green algae, the government undertook to define, in partnership with the “Regroupement des organismes de bassin versant du Québec”, the geographical boundaries of the territories of basin organizations with the aim of applying the watershed-based management approach throughout southern Québec and improve knowledge about the water resource in these areas, as provided for in the Québec Water Policy. A budget of $15 million over five years will be allocated to this initiative.

Creation of a national mining institute and other labor force development measures for the mining sector

The mining sector is characterized by major and increasing needs for specialized workers. More than 4,000 positions need to be filled in various regions of Québec. Given this shortage, worker training and development are priorities for the industry.

Fuller participation by Native people, retention of young people in the regions concerned and reclassification of workers in the forest sector are among the strategies that can be developed to meet this major challenge. Thus, as a partial response to these needs, while promoting the creation of quality jobs in the regions, the government is announcing the creation of a nation institute of mines.

This specialized school will make it possible to adequately train the future workers in the mining industry.

Serge-Hugues Ouimet is a Partner with BDO Dunwoody's Montreal Office where he has been a tax expert since 1977. Serge also specializes in financial planning, reoganization and estates.

This material is general in nature and should not be relied upon to replace the requirement for specific professional advice.

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