1. Status Update Regional Council August 13 th, 2012 1

2. Premier Approved Process 2 Agreement on Process (to be enshrined in an MOU) Developing Plans, Strategies for Community and Regional Infrastructure Implementation of Agreed Recommendations (to be enshrined in a formal agreement) Step 1 May 31 st, 2012 Step 2 Oct 31 st, 2012 Step 3 Jan 31 st, 2013 Process and Commitments Outlined by Premier Clark – February 29 th, 2012

3. Signed (Final) MOU 3

4. 4

5. 5

6. Fort Nelson News 6

7. Provincial Press Release 7

8. Joint Working Group Appointees 8 Provincial Working Group Members: Ministry of Community, Sport and Cultural Development: Don Fast, Deputy Minister Julian Paine, ADM- Local Government Division Derek Trimmer, Director, Regional Initiatives Jessica Brooks Talitha Soldera Glen Brown – Infrastructure Ministry of Energy and Mines Laurel Nash, Executive Lead Daymon Trachsel Ministry of Forests, Lands and Natural Resource Operations Duncan Williams, Executive Director, Tenures Mr. Nick Crisp, Executive Director - Regional Operations Butch Morningstar, ED of Regional Operations Ministry of Transportation and Infrastructure Dave Duncan, ADM- Highways Department NRRM Working Group Members: Randy McLean, City Manager Colin Griffith, Director of Strategic Initiatives Gerry Tonn, Consultant David Molinsky – OnPoint Consultants George Macauley – OnPoint Consultants Katrin Saxty, Urban Systems Kevin Brown – KGB Communications Morey Stewart, Consultant

9. Key Milestone Targets July 4, 2012: project team meeting: Purpose: to provide status updates and review draft materials, including scenarios August 29, 2012: project team meeting : Purpose: to provide status updates and review draft materials, and review / finalise Table of Contents for final report. Week of September 24 (Date TBC): meeting with NRRM and Ministers of Community, Sport, Cultural Development and Energy and Mines: Purpose: project team to present NRRM Council and Ministers with draft options; provide opportunity for NRRM and Ministers to discuss options Victoria Meetings to Date Feb 29 th, March 1 st & 2 nd March 20 th & 21 st April 26 th May 16 th May 31 st July 4 th Joint Working Group Meetings 2012 Conference Call Meetings to Date: July 10 th (conference call) July 23 rd (conference call) 9

10. Outline of the Community Development Plan Original work plan drafted by Province  SECTION 1: NRRM FISCAL CAPACITY ANALYSIS  SECTION 2: INFRASTRUCTURE NEEDS ANALYSIS (NRRM MANAGED AND ‘OTHER’ AGENCY)  SECTION 3: SCENARIO DEVELOPMENT  SECTION 4: SYNTHESIS & FINAL REPORT Adjusted work plan initiated by the NRRM  SECTION 1: NRRM FISCAL CAPACITY ANALYSIS  SECTION 2: INFRASTRUCTURE NEEDS ANALYSIS (NRRM MANAGED AND ‘OTHER’ AGENCY) Based on 3 population horizons (7500, 10000 & 15000) Will identify regional infrastructure requirements Will identify provincial service upgrading requirements  SECTION 3: DEVELOPMENT OF ECONOMIC GROWTH SCENARIOS  SECTION 4: PROVINCIAL PROTERTY TAX AND COMPETITIVENESS POLICY & EQUITY COMPARISONS WITH THE PEACE REGION  SECTION 5: LAND USE AND ECONOMIC PLANNING ISSUES INCLUDING THE NORTHERN ROCKIES PARTNERSHIP 10

11. Components of the MOU Community Development Plan 11

12. NRRM Fair Share MOU Impact on Project Start Dates 12 Approximate Timeline for Project Approval Community Infrastructure Projects Residential SubdivisionsAirport Upgrading Commercial Industrial LandWater Sewer and Drainage Streets and RoadsAlaska Highway Corridor Public Safety BuildingRecreation Facilities Step 1 – 3 to 6 monthsStep 2 – 3 to 6 monthsStep 3 – 3 to 4 monthsStep 4 – 3 months Potential Timeframe for Signing / Implementation of MOU 2013 2014 May Provincial Election

13. MOU Must Focus an Integrated Priority for the Development of the NRRM 13

14. Next Steps for the Fall of 2012 14

15. 2012-2013 Lobbying Campaign for NRRM Funding MOU Factors affecting Provincial approval: Support of Premier Clark Support of MLA Pat Pimm Support of Blair Lekstrom (Minister of Transportation) Support of Rich Colemen (Minister of Energy) Support of Kevin Falcon (Minister of Finance) Support of Ida Chong (Minister of Community Development Support of the Provincial Cabinet Support of the Treasury Board Support of other MLAs 15

16. A Quick Review The Business Case NRRM Agreement is separate from Fair Share Our positions on the funding formula Fair Share equivalency The Cost of being Excluded from Fair Share 16

17. The Business Case Development of the NRRM as the Service Centre for the Horn River, Liard and Cordova Basins

18. The Business Case Local Employment and Population Growth

19. The Business Case Cost Benefit Analysis

20. NRRM is NOT to be Folded into Fair Share 20

21. Key Factors in Funding Formula 21

22. Fair Share Equivalency 22

23. The Cost of being Excluded from Fair Share 23

24. Comparing the 3 Major Service Centres in NEBC 24

25. Thank you very much. 25