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TuesdayDecember220143HEALTHWELLNESSNUTRITIONOttawahasnoproofNorthernersbenetingfromfoodsubsidyAuditorGeneralByMEAGANWOHLBERGAnauditpublishedlastweekbytheCa-nadianAuditorGeneralshowsthereisnoproofthefederalsubsidyprogramdesignedtomakehealthyfoodsmoreaccessibleandaffordabletoisolatedcommunitiesinCan-adasNorthisdoingitsjob.AuditorGeneralMichaelFergusonreleasedthendingsofhislong-awaitedauditonthefederalNutritionNorthprogramlastweekwhichhighlightedalackofmonitoringonthepartofgovernmenttoensureitsfoodsubsidiesareinfactbeingpasseddowntoresidents.AboriginalAffairsandNorthernDevel-opmentCanadaAANDChasnotdonetheworknecessarytoverifythatNorthernre-tailersarepassingontoconsumersthefullgovernmentsubsidyoneligiblefoodsFer-gusonsaidlastTuesday.TheNutritionNorthprogramrequiresthatretailerspassonthefullpricesubsidytoconsumersthroughapricediscountatthestoreandalsorequiresthatAANDCconductcompliancereviewsofretailersinordertodeterminewhetherornottheyareadheringtothatrequirementasspeciedinthefund-ingagreements.Inordertoknowifafullsubsidywasbeingpassedonthedepartmentwouldneedtoknowthelandedcostprotmarginandsellingpriceoftheitem.Thatinformationwaslacking.OverallFergusonsaidAANDChasfailedtoverifywhetherornotthesubsidyisbeingpassedontocustomers.HesaidthedepartmentneedstogetmoreinformationfromretailersincludingprotmarginstoensurecustomersareseeingsavingsandthatAANDCshouldensureappropriatecompliancereviewsaretakingplace.Theauditalsofoundalackofconsistencyinidentifyingcommunitieseligibleforthesubsidy.TheNutritionNorthprogramdoesnotidentifyeligiblecommunitiesonthebasisofneedFergusonsaidcitinganexampleoftwonorthernOntariocommunitieslocated20kmapartwhereonereceivesthefull1.60kgsubsidywhiletheotherreceivesonlyapar-tialsubsidyofvecentsperkilogramoffood.FergusonsaidAANDCshouldreviewitscommunityeligibilitycriteriafortheprogramtoensurethatcriteriaisbasedonneedaswellasensurethatsubsidizedfoodsarehealthy.NWTMPDennisBevingtonsaidithaslongbeenknownbygovernmentthat50commu-nitieseligiblefortheprogramwerebeingun-fairlyleftoutbutnothingwasdonebecauseitwasgoingtocost7millionextra.JustdaysbeforelastweeksauditemergedtheConservativegovernmentpledgedaddi-tionalfundingforNutritionNorth.Anin-creaseof11.3millionwillbeaddedtotheprogrambudgetin2014-15aswellasavepercentannualcompoundescalatorforfu-tureyearstokeeppacewithgrowingdemandforhealthierfoods.ButBevingtonwondersifthatextra11millionisgoingtobesufcientconsideringthedepartmentispayingaroundthesameamountnowasitdidin2009fortheoriginalFoodMailProgram.HesaidpricesintheNorthhaverisenconsiderablysincethenandgiv-ingdozensmorecommunitieslikeFortGoodHopeandLutselKetheproperfreightrateisgoingtostretchresourcesthin.Theauditorgeneralspeakstothefairlyhighinationoffoodinhisreportsowhatyouseeisthatyouvegotaprogramthatsprobablyunderfundedby25to30percentandthatswiththecommunitiesthatwereundertheoldprogramBevingtonsaid.Theres50morecommunitiesthatshouldbepartofit.SohowisitevergoingtocatchupsothatitsactuallyfundingitatalevelitshouldbefundingitatItsastopgapmeasure.Bevingtonsaidtherecommendationsiffollowedarelikelytosignicantlyimprovetheprogrambutwondershowitcanbetrulysuccessfulwithoutaproperdenitionofaffordability.WhatsaffordableIs200percentthecostoffoodinEdmontonaffordableBevingtonasked.Itsnotaffordabletobediggingfoodoutofthedump.ThatsnotaffordabilityhesaidinreferencetostatementsmadebythehamletofRankinInletwheredozensofres-identshavebeenforcedtoscourlandllsforfoodbecausetheycantaffordtopayforit.IfwedonthavenutritionalfoodforpeoplethecostisgoingtobeevenhigherlateronforgovernmentsBevingtonconcluded.AANDCrespondedinagreementtoallofFergusonsrecommendationsnotingthatitisnowconductingareviewofitsrequirementsforretailerssothatitcanverifythatthefullsubsidyisbeingpassedontocustomers.IntotalOttawawillinvest113.7millionindirectfoodsubsidiestoNorthernersinthisyearandnext.FoodcostshavedroppedmajorretailerTheNorthWestCompanywhichowns132grocerystoresacrosstheNorthex-pressedsupportforFergusonsrecom-mendationswhilemaintainingthatithasuphelditssideoffundingagreementswiththegovernment.UndertheNutritionNorthprogramNorthWestpassedontocustomers31.7millioninsubsidiesin2013.Anindepen-dentauditofNorthWestsinternalprocesshasconfirmedthateverydollarofsubsi-dieshasbeenpassedalongtocustomerscompanypresidentEdwardKennedywroteinapressreleaselastweeknotingthatNorthWesthasandwillcontinuetopro-videinformationoncostsandprofitmar-ginstoAANDC.HesaidNorthWesthastracked4000subsidizeditemssince2011andfoundtheaveragepricehasactuallydroppedbyeightpercentdespitetherisingretailcostoffood.WhilecomparablefoodpricesarerisingelsewhereoverallpricesinNortherncommu-nitieshavedroppedbecauseoftheNutritionNorthsubsidiesandbecauseourmoreef-cientfreightroutingshaveoutweighedcostincreasesforproductsfuelstafngutilitiestravelandsoonKennedysaid.Hesaidtheprogramhasalsoallowedthevolumeofhealthyfoodspurchasedtorisewithdairypurchasingincreasingby33percentmeatby26percentandvegetablesby22percentoverthepastthreeyears.CanadianAuditorGeneralMichaelFergusonsaysthefederalgovernmenthasnoevidencethatNutritionNorthsubsidiesarebeingpasseddowntoconsumers.PhotocourtesyofAuditorGeneralsOfcePleaseleaveamessageat872-5543fordetails.WESCLEANNORTHERNSALESLTD.FemaleAdultGreyandwhiteLookingforanewhomeMinniewasaveryscaredshycatwhenshefirstcamein.Shehadbeenkeptinabedroomandwasnotsocialized.Shehascomealongwaybutwillrequiresomepatiencetogainhertrust.Sheisagreatcatjustnotgoodwithotheranimals.Ifwedonthavenutritionalfoodforpeoplethecostisgoingtobeevenhigherlateronforgovernments.NWTMPDennisBevingtonCanadianNaturalpipelinespills60000litresofcrudeoilByDALICARMICHAELAnincidentreportledbytheAlbertaEnergyRegulatorAERstatesthatalmost60000litresofcrudeoilspilledintothemuskeghabitataroundthenorthernpartoftheprovincelastweek.TheleakwasreportedtotheAERonNov.27andissaidtobetheresultofamechani-calfailureataCanadianNaturalResourceLimitedCNRLpipelineapproximately27kmnorthofRedEarthCreek350kmnorthwestofEdmontonandnorthwestofSlaveLake.AfterfacingroughweatherconditionsovertheweekendcrewswereabletoreachthesiteNov.30toinitiateaninvestigationintothein-cidentandtobegincleanupworkintheregion.AccordingtoAERspokespersonCarrieRosaitdoesntappearthatanywildlifewaterbodiesorpeoplehavebeenaffectedbytheleakasofpublicationdate.ThisisntCNRLsrstspilloftheyear.InApriltheCalgary-basedcompanyre-portedthatalmost70000litresofoilandprocessedwaterhadleakedfromapipelineinthesameregion.PhotoCNRLENVIRONMENTPIPELINESPILLForthesecondtimethisyearoneofCNRLspipelinesleakedcrudeoilintothesurroundingarea.