2017 ANNUAL REPORT

The V oic e of Saskatchewan Business Making Saskatchewan the best place to live, work and invest. 2017 2 SASKATCHEWAN CHAMBER 2017 ANNUAL REPORT SASKATCHEWAN CHAMBER 2017 ANNUAL REPORT 3

“This Annual Report is a reflection of the success we share as a Chamber , as members and as a province. It gives you a snapshot of what your investment has provided in the past year or so, and we hope you agree that the return on investment for your business is impressive.”

Steve McLellan, Chief Executive Officer

TABLE OF CONTENTS

Message from the CEO 1 Message from the Chair 3 Board of Directors 7 Staff 9 Financials 11 ACCE 17 Canadian Chamber of Commerce 19 Chairs Invitational Dinner 21 Events 25 ABEX Awards 27 Saskatchewan Map 29 Energy Efficiency 33 Carbon Pricing 35 Financial Literacy 37 Committee Restructuring 41 Discover China 43 The Fight Against Federal Tax Changes 45 Education Opportunities 49 Northern Business 51 Environmental Scan 53 Sponsors 58 1 SASKATCHEWAN CHAMBER 2017 ANNUAL REPORT

Message from the Chief Executive Officer

The last year was one for the This Annual Report is a reflection of history books. We fought federal the success we share as a tax changes, experienced the Chamber, as members and as a change in leadership of both the province. It gives you a snapshot of government and opposition parties what your investment has provided and kept up the pressure with in the past year or so, and we hope regards to getting Saskatchewan you agree that the return on businesses a fair deal on carbon investment for your business is emission regulations. And that’s impressive. just some of it! As always, thanks to all our Our focus on the economy, skills members – your opinions and your and immigration, workplace safety, valuable time as part of the and tax policy remains strong. We Saskatchewan business added efforts around mental health community allow us to advocate for and domestic violence training, the success of this province in a focusing on safety in the meaningful way. It’s because of that workplace, with very positive spirit of teamwork that this province results. and your Chamber succeeds.

While the view in the rearview All the very best in the next year. mirror is a unique one, it’s nowhere near as impressive or as exciting as the one out the front window.

Saskatchewan businesses have been operating on this land for Steve McLellan, centuries and successfully faced Chief Executive Officer challenges head-on and embraced opportunities with continual success. Even with an economy that has changed from a few years ago, confidence remains high.

Engagement with the membership remains critical, and we had great success in this area. Event attendance, sponsor support, and policy input were all stellar. While we have changed some of the ways in which we get member input – less committees and more task forces – the input remains strong. SASKATCHEWAN CHAMBER 2017 ANNUAL REPORT 5 3 SASKATCHEWAN CHAMBER 2017 ANNUAL REPORT

Message from the Chair

The summer of 2017 was a moving away from the traditional tumultuous time with the expert committees and focusing announcement by the federal our attention on engaging a government of proposed tax representative membership by changes. The changes would have bringing together experts on key negatively impacted tens of issues within a clearly defined thousands of businesses. It was period to create usable advocacy amazing to see the Chamber products. We will focus the network across Canada speak as expertise of our members through one voice, a voice that ultimately 100 day task forces and expert the federal government could not panels to work on key issues as ignore. identified in our ongoing strategic plan. 2017 was the year of the end of an We applaud the development of the “Made in Saskatchewan” era with the announcement from Engagement with our members climate change strategy. Our Premier Wall that he was stepping remains fundamental to the members have been firm that the down after ten years of serving success of our organization and Saskatchewan as its Premier. Chamber should continue to we never forget that it is the voice Premier Wall accomplished much support opposing the of our members that we represent. during his tenure but one of the implementation of a federal carbon The Chair’s Invitational Dinner and most important achievements was pricing program. The Energy the Make a Connection Breakfast the change of attitude he was able Efficiency Task Force formed by are just a few of the events that to instill in all of us. People are now the Chamber in the fall of 2016 allow for dialogue and the sharing positive about Saskatchewan and concluded its recommendations, of expertise among members as its role in the country and the with the primary objectives to well as government officials. world. The increased confidence reduce GHG emissions and to among Saskatchewan businesses increase industry competitiveness. helped Saskatchewan grow into The Chamber continues to the thriving province that it is today. advocate for technological investments and incentives to We welcome Premier Moe and are reduce emissions. Patricia Warsaba, looking forward to continuing the Chair good working relationship between the government and the Chamber, Some internal changes were made as the voice of Saskatchewan with bylaw changes to enhance our business. We are confident that the governance structure. We also consultative process that is the made some significant changes to cornerstone of business−friendly our committee structures, decisions will only be enhanced recognizing that changing times with Premier Moe. means changing demands. We are SASKATCHEWAN CHAMBER 2017 ANNUAL REPORT 7

7 SASKATCHEWAN CHAMBER 2017 ANNUAL REPORT

Board of Directors

Patricia Warsaba Shawna Nelson Michael Cossar Clayton Veresh

2017-2018 Chair Immediate Past-Chair 1st Vice-Chair 2nd Vice-Chair McKercher LLP Sheraton Cavalier and The MNP “I’m proud to serve with the James Hotel “I am interested in how great members of the “As the leader of Private powerful the group of “One of the things that really Chamber Board and team, Enterprise for MNP in business people coming drew me to the Chamber who all work hard to serve Southern Saskatchewan, I together can be, and I am was the business the interests of have directly observed the honoured to be chairing the connections and getting to Saskatchewan businesses valuable role the Chamber Voice of Business in know some of the business in both good times and plays in making connections Saskatchewan.” leaders in our community more challenging ones. and voicing the issues that and learning from them.” Steve and his team are matter to Saskatchewan plugged in to Saskatchewan business.” business and collaborate effectively with local chambers.”

Bruce Bodine Natashia Stinka Sean Young

Director Director Director The Mosaic Company Canpotex Young’s Equipment

“The Chamber provides a “The Chamber’s strength is “Everyone benefits from a unique provincial platform its network. These strong, competitive for business to advocate on connections allow it to business environment. The the issues that can have a understand and provide a Chamber’s work to help real impact on how we collective voice on the foster, and improve, a operate. It increases the issues facing climate conducive to likelihood that Saskatchewan’s business business is extremely Saskatchewan industries community. “ important, and being able to will remain competitive, play a small role in that is which is critical for the very rewarding.” growth and wellbeing of our province.” SASKATCHEWAN CHAMBER 2017 ANNUAL REPORT 8

Evan Doepker Greg Hanwell Valerie Sluth Khurrum Awan

Director Director Director Director Doepker Industries Ltd Beer Bros. Gastropub Praxis Consulting Ltd. Miller Thompson LLP and Deli “The Chamber provides a “Saskatchewan’s business “With the Chamber, I intend powerful voice to advocate “Business is the lifeblood of community is strong and to continue advocating for on behalf of Saskatchewan Saskatchewan, a province successful but we can do policies which will maintain businesses, and where entrepreneurship has so much more to accelerate a vibrant and strong coordinates fantastic forums always been strong. The growth by coming together provincial economy, and it for top notch networking Saskatchewan Chamber under a common voice with provides me with a great opportunities.” exists to give voice to the a clear agenda. This is why opportunity to network with broad needs of all I believe in the work of the other business people Saskatchewan businesses Chamber and contribute my across the province.” big and small.” time to be part of this important organization.”

Monica Kreuger Tim Schroh

Director Director Global Infobrokers Inc. Affinity Credit Union

“The provincial Chamber “What drives me to the has a different focus, has a Chamber of Commerce is broader perspective and is the collective voice, more aligned with member especially around concerns right across the advocacy, and I think that province, not just the big brings back value to the cities and I think that the business community.” perspective we have as a Chamber is crucial.” 9 SASKATCHEWAN CHAMBER 2017 ANNUAL REPORT

Staff

Steve McLellan Michele Geres Curtis Hemming Cindy Wright Chief Executive Officer Executive Assistant & Director of Government Director of Special Events Secretary to the Board Relations Steve is responsible for Cindy is responsible for overseeing operations, Michele is responsible for all Curtis coordinates Chamber coordination and logistics of strategic planning, reporting administrative support to advocacy and lobbying all Saskatchewan Chamber to the Board, representing the CEO and staff. She activities, in addition to events. the Chamber with various coordinates SCC Board leading the Financial organizations, and meetings, elections and Literacy and representing the processes, plus Entrepreneurship files. Saskatchewan Chamber in coordination of the China the media. tour.

Elissa LaLiberte Joshua Kurkjian Morgana van Niekerk Director of Membership Director of Research & Director of Marketing & Engagement Policy Development Communications

Elissa is the liaison between Joshua’s primary role is to Morgana is responsible for the Saskatchewan Chamber research and develop creating and managing the of Commerce and its policy on issues and Chamber's internal and members, ensuring that the opportunities for business in external communication Chamber is engaged with Saskatchewan. He also plan, as well as ensuring its membership in all areas. works to gather direct input that the Saskatchewan She also works on all from Chamber members Chamber continues to be events, sponsorships, and and selected experts to known as the Voice of new projects. ensure the Chamber has the Saskatchewan Business. best information on current and emerging issues. SASKATCHEWAN CHAMBER 2017 ANNUAL REPORT 13 11 SASKATCHEWAN CHAMBER 2017 ANNUAL REPORT

Financial Statements

Financials continued on page 13. SASKATCHEWAN CHAMBER 2017 ANNUAL REPORT 8 13 SASKATCHEWAN CHAMBER 2017 ANNUAL REPORT

Financial Statements

SASKATCHEWAN CHAMBER 2017 ANNUAL REPORT 19

“The benefit we enjoy the most is the ability to network with government as well as other key business leaders in the province. The events allow us, in a really nice environment to actually connect and get to know our politicians in our province. The investment has been such a great return for us.”

Cindy Fuchs Canadian Red Cross 17 SASKATCHEWAN CHAMBER 2017 ANNUAL REPORT

Association of Chamber of Commerce Executives (ACCE)

For the second consecutive year, During the four-day conference the the Saskatchewan Chamber of Saskatchewan Chamber team also Commerce was named a finalist for attended seminars on topics the 2017 Chamber of the Year including community development, Award by the Associations of Chambers for the next generation, Chamber of Commerce Executives event strength, thought leadership, (ACCE). digital disruption, global opportunities, inclusivity, and more. The Chamber of the Year Award is North America’s only award recognizing the leadership role that chambers have in communities. Chambers are evaluated on “Being in the top-two in membership retention, North America of all the organizational strength, innovative State chambers is truly practices, and advocacy efforts. amazing.” The Saskatchewan Chamber’s nomination package showcased its Steve McLellan creation of the Saskatchewan Financial Literacy Network and the work done by the Northern Business Task Force.

Patricia Warsaba, Steve McLellan and Elissa LaLiberte travelled to Nashville, Tennessee from July 16- 19, 2017, for the ACCE’s Annual Conference where the final judging and interviews were held to determine the Chamber of the Year recipient. Nominations were reviewed and evaluated by a committee of veteran Chamber executives and former Chamber of Top: ACCE Annual Award Show the Year recipients. While the Georgia Chamber of Commerce Bottom: Patricia Warsaba, Steve ultimately received the coveted McLellan and Elissa LaLiberte Chamber of the Year Award, the Saskatchewan Chamber of Commerce was proud to be selected among the top two State and Provincial Chambers in North America. SASKATCHEWAN CHAMBER 2017 ANNUAL REPORT 14 19 SASKATCHEWAN CHAMBER 2017 ANNUAL REPORT

Fredericton

Canadian Chamber of Commerce

The Saskatchewan Chamber of hold meetings with federal Commerce (SCC) continued to government Ministers and senior partner with the Canadian officials. Chamber of Commerce (CCC) on a wide variety of advocacy activities Finally, the SCC, through its in 2017. involvement with the Chamber of Commerce Executives of Canada The most significant initiative was (CCEC), has continued to the successful fight against the encourage the creation of more proposed federal tax changes, but professional development there was also work done in opportunities for Chamber staff response to the renegotiation of the across the country. Various SCC North American Free Trade staff participated in CCEC training Agreement (NAFTA), pipelines, webinars and other activities skills development, and overall during the year. Canadian tax competitiveness.

The SCC also participated in numerous Canadian Chamber policy committees, travelled to Fredericton to participate in the CCC’s annual policy session, and held a Saskatchewan/Manitoba Policy Caucus prior to that event in Fredericton.

Top: New Brunswick Legislature While there has been a lot of advocacy work done in partnership Bottom: Canadian Chamber of with the CCC, the SCC has also Commerce Policy Sesssion continued to encourage even greater interaction between the CCC and provincial and city Chambers across the country on research and advocacy projects. As there is often a shared end goal, particularly with issues of national scope, it makes sense for all of these Chambers to collaborate as much as possible. Planning also began for a 2018 CCC “Day on the Hill” event in Ottawa where the SCC, along with other provincial Chambers, will SASKATCHEWAN CHAMBER 2017 ANNUAL REPORT 23 21 SASKATCHEWAN CHAMBER 2017 ANNUAL REPORT

Chair’s Invitationa

The 2017 Chair’s Invitational Dinner was held at the Conexus Art Centre on September 16 th , 2017. The event was once again sold out with over 200 guests.

Representatives of the provincial government connected with business leaders and members of the Saskatchewan Chamber of Commerce over a Saskatchewan- themed meal.

Topics of discussion included transportation routes within the province and connecting Saskatchewan with other provinces, Saskatchewan’s water and potential threats from invasive species, legalization of marijuana and other points of interest or concern from guests.

Thank you to our sponsors: Enbridge Inc., Chartered Professionals in Human Resources, Helicopter Transport Services Canada, Potash Corporation, RBC Financial Group.

Kent Campbell, Deputy Minister to the Premier SASKATCHEWAN CHAMBER 2017 ANNUAL REPORT 22

Top left: Clare Isman, Senior Advisor to the Deputy Minister to the Premier

Top right: Rupen Pandya, CEO SaskBuilds Bottom left: Deborah Jordan, Ministry of Health al Dinner Bottom right: Monica Kreuger and guest

SASKATCHEWAN CHAMBER 2017 ANNUAL REPORT 27

“As a consultant and business owner, the networking that this event provided was invaluable. It would have taken me months to organize and meet with leadership and colleagues from so many different sectors and government ministries.”

Scott Langen MBA, CMC, PMP Praxis Consulting Ltd. 25 SASKATCHEWAN CHAMBER 2017 ANNUAL REPORT

Events

SCC Annual Conference 2017 Political Forum 2017

The Saskatchewan Chamber In 2017, Political Forum was again Annual Conference was held on an opportunity for members to May 10 th and 11 th at the Delta Hotel present issues that matter with in Regina. A total of 51 conference Saskatchewan’s elected officials. delegates, as well as 45 Chair’s The sold-out event was held on Luncheon guests had an January 12 th at the Hotel opportunity to network with local Saskatchewan and connected Chambers from across members with 9 cabinet ministers Saskatchewan and take advantage and 9 critics from the Opposition. of the educational opportunities on Panel sessions covered issues of offer. importance to the membership, including investment and growth, Thank you to our sponsors: the environment, and human CN, TransCanada Pipelines, resources. SaskPower, Saskatchewan Workers’ Compensation Board, Thank you to our sponsors: Deloitte ChamberPlan Insurance, CAA and LLP, The Mosaic Company, Canpotex Scotiabank

Make a Connection Reception 2017

The 2017 edition of Make a Connection Reception was held on April 6 th at the Queensbury Top: Dolapo Fadare Convention Centre in Regina. This sold-out event gave members the Bottom: Patricia Warsaba opportunity to connect with Deputy Ministers, Crown Corporation Presidents and Chiefs of Staff to establish or reaffirm good working relationships. Thank you to our sponsors: CPA Saskatchewan and The Mosaic Company SASKATCHEWAN CHAMBER 2017 ANNUAL REPORT 26

1 2 POLITICAL FORUM 2017 1. Shawna Nelson 2. Cam Cooper and guest 3. The Saskatchewan Party at Political Forum 4. The Official Opposition at Political Forum

3

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5 6 MAKE A CONNECTION RECEPTION 2017

5. Alanna Koch

SCC ANNUAL CONFERENCE 2017

6. Curtis Hemming and Murray Wood during media panel 27 SASKATCHEWAN CHAMBER 2017 ANNUAL REPORT

ABEX

The Saskatchewan Chamber of For the 34 th edition of the ABEX Commerce strives to support Awards, two Lifetime Achievement businesses around the province Awards were presented to Bruce and is honoured to recognize Johnstone and to Doug Elliott. The Saskatchewan business success Lifetime Achievement Awards are with the annual ABEX Awards. presented to individuals who have achieved distinction in their field As the largest event celebrating and whose expertise has helped to business enterprise in the shape the Saskatchewan business province, the 34 th ABEX Awards landscape. once again celebrated Saskatchewan’s business Thank you to our sponsors: excellence on October 21 st , 2017 at TCU Place in Saskatoon. Conexus Credit Union, Potash Corporation, Miller Thomson LLP, This year’s Saskatchewan-themed Innovation Saskatchewan, Minard’s awards, presented by Conexus Leisure World, Saskatchewan Credit Union, saw Saskatchewan’s Trade and Export Partnership, northern businesses receiving Cogent Chartered Professional many of the awards of the evening. Accountants LLP, Saskatchewan AREVA Resources Canada was Indian Gaming Authority, inducted into the ‘Saskatchewan Saskatchewan Polytechnic, Business Hall of Fame’ while Geoff SaskEnergy, Cameco, PFM Capital Gay received the ‘Business Leader Inc., Handy Special Events, of the Year’ award, and ‘Community Ministry of the Economy, David Leader of the Year’ was awarded to Aplin Group, WorkSafe Chief Tammy Cook-Searson. Saskatchewan, CPA As the long-time CEO of the Saskatchewan, Information Greater Saskatoon Chamber of Services Corporation, EVRAZ Inc. Commerce, Kent Smith-Windsor NA, Saskatchewan Construction was the 2017 recipient of the Roger Safety Association, Crowe MacKay, Phillips Chamber Builder Award. Doepker Industries Ltd., WESK, This award honours an individual SaskTel, Leader Post, Star Phoenix, who has made significant and Great West Life. contributions to the Saskatchewan Chamber network.

This year, 82 ABEX nominations Top: Emcee’s Terri Harris and John were received, 50 finalists were Lagimodiere selected, and 11 Saskatchewan Middle: Community Leader of the Year businesses received Awards. By Chief Tammy Cook-Searson striving for excellence, these winners personify business Bottom: Business Leader of the Year Geoff Gay with his family success in Saskatchewan. SASKATCHEWAN CHAMBER 2017 ANNUAL REPORT 28

ABEX Award Winners

Priority Focus - Energy Roger Phillips Chamber Service Young Entrepreneur Efficiency Builder CAA Saskatchewan N.L Construction Inc. North Ridge Development Kent Smith- Windsor Award Sponsored by Minard’s Award Sponsored by Cameco Corporation Leisure World Award Sponsored by SIGA

Business Hall of Fame Business Leader of the Year Business of the Year Community Involvement

AREVA Geoff Gay CAA Saskatchewan S & E Trusted Online Presented by Conexus Credit Award Sponsored by Award Sponsored by David Directories Inc. Union Saskatchewan Polytechnic Aplin Group Award Sponsored by Cogent Chartered Professional Accountants

Community Leader of Export Growth and Expansion Innovation the Year Vendasta The Deveraux Group of IntraGrain Technologies Inc. Chief Tammy Cook-Searson Award Sponsored by Companies Award Sponsored by Award Sponsored by Saskatchewan Trade and Award Sponsored by PFM Innovation Saskatchewan SaskEnergy Export Partnership Capital Inc.

Marketing New Venture Lifetime Achievement Lifetime Achievement

Diamonds of Detroit 9 Mile Legacy Brewing Co. Bruce Johnstone Doug Elliott Award Sponsored by Handy Award Sponsored by Special Events Saskatchewan Ministry of the Economy

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“The Chamber provides us with “credible networking”. We attend Chamber events and we know everything is set up, and structured in a way that allows us to spread our wings, introduce ourselves to companies across this province.”

Mike Tate Shermco Industries 33 SASKATCHEWAN CHAMBER 2017 ANNUAL REPORT

Energy Efficiency

The theme of energy efficiency and is an important first step played an integral part in the toward tackling climate change in Saskatchewan Chamber of this province. Commerce’s research and advocacy efforts throughout 2017. The Energy Efficiency Strategy was In a member survey issued in released to the general public in November 2016, a large majority of November 2017. The two main those surveyed indicated that objectives of the recommendations reducing greenhouse gas were to reduce carbon emissions, emissions was important. However, and also increasing Saskatchewan respondents also stated that the industry competitiveness. The Saskatchewan Chamber of responses from those working in Commerce should continue to the energy management sector oppose the implementation of a have been overwhelmingly carbon pricing scheme and positive. instead support technological investments and incentives that Copies of the full report, along with reduce emissions. the executive summary have been received by the Saskatchewan In response, the Saskatchewan Minister of Energy and Resources, Chamber of Commerce as well as the Minister of the established the Energy Efficiency Environment, Dustin Duncan and is Task Force in early 2017. The also available on the Sask mandate of the Task Force was to create a series of policy Chamber website. The Chamber recommendations to advance the will continue to meet with officials implementation of energy efficiency from those Ministries to promote measures as a means of achieving the recommendations. meaningful reductions in carbon emissions. Task Force members Moving into 2018, the had specialized knowledge and Saskatchewan Chamber of training in the area of energy Commerce will continue to build conservation and were familiar with upon the momentum generated by a suite of Demand Side the report’s recommendations. As Management (DSM) programs there is currently an immature offered by utility providers aimed at market in the province for private the commercial-industrial sector. sector energy management services, the next phase will focus The Saskatchewan Chamber of on creating a forum where vendors, Commerce continues to maintain service providers, and consulting that reducing energy consumption firms can meet and discuss per unit of production makes both opportunities for growth and business and environmental sense, innovation. SASKATCHEWAN CHAMBER 2017 ANNUAL REPORT 26 35 SASKATCHEWAN CHAMBER 2017 ANNUAL REPORT

Carbon Pricing and Climate Change Policy

• In May 2017, the Government of • In December 2017, the Canada released its technical Government of Saskatchewan paper on the federal carbon released its long-awaited climate pricing backstop plan that would change strategy. At the core of be imposed on provinces that did the Made-in-Saskatchewan plan not have their own climate is a focus on the use of offsets, change strategy in place by performance credits, as well as 2019. As a part of our research sector-specific, output-based and advocacy efforts, the emissions intensity standards Saskatchewan Chamber of aimed at large emitters. The Commerce consulted extensively Saskatchewan Chamber of with large industrial emitters in Commerce formally endorsed the the province to better understand Government of Saskatchewan’s the economic implications of plan as it is tailored to the Minister of the Environment and such a policy. In addition, the Climate Change Minister McKenna with province’s economic situation Saskatchewan Chamber Steve McLellan and Joshua Kurkjian and covers a broad range of published a brief summary and carbon emissions - all without a analysis of the technical paper direct tax. that was circulated to members, Through its Environment and submitted formal comments Committee, the Saskatchewan The Saskatchewan Chamber of to Environment and Climate Commerce commends the Chamber of Commerce was active Change Canada. in both its research and advocacy Government of Saskatchewan and its climate change strategy for efforts on the carbon file for 2017. • Also in May 2017, the Chamber creating a flexible and results- As indicated in a November 2016 met with the Parliamentary based regulatory process that member survey, the Saskatchewan Secretary to the Minister of articulates clearly specified Chamber of Commerce continued Environment and Climate benchmarks and allows industry to to support the provincial Change, Jonathan Wilkinson, to seek out the most cost-effective government’s opposition to the discuss the details outlined in the implementation of a federal carbon pathways for compliance. technical paper and to pricing scheme, and instead communicate the concerns advocated for technological expressed by our members. In investments and incentives to July, the Chamber was granted reduce carbon emissions. the opportunity to meet with the Minister of the Environment and Throughout 2017, the Climate Change, Catherine Saskatchewan Chamber of McKenna, along with technical Commerce met with officials from experts from both the both the Saskatchewan Ministry of Environment and Environment and Department of Finance and Climate Change Canada (ECCC) ECCC at the Chamber office in to express its concerns. Regina. SASKATCHEWAN CHAMBER 2017 ANNUAL REPORT 39 37 SASKATCHEWAN CHAMBER 2017 ANNUAL REPORT

Campbell Collegiate students at ABEX Awards

Financial Literacy and Youth Entrepreneurship

The Saskatchewan Chamber of The Saskatchewan Chamber has Commerce (SCC) continued to also continued to financially financially contribute and support contribute and participate in the the Saskatchewan Financial governance of Junior Achievement Literacy Network (SFLN) in 2017. of Saskatchewan. This organization has continued its rapid growth The SCC also continued its across the province and is now advocacy efforts to persuade the providing youth entrepreneurship provincial government to create programming to more students mandatory, stand-alone classes on than ever before. both financial literacy and youth entrepreneurship within Continuing to provide free tickets Saskatchewan’s K-12 curriculum, for high school, college, and with much success. university business students to attend SCC events, like the On March 27, 2018 Deputy Premier Achievement in Business and Minister of Education, the Excellence (ABEX) Awards, Honourable Gord Wyant Political Forum, Conference on announced that Financial Literacy Business, and the Chair’s will be introduced into the K-12 Invitational Dinner, have also curriculum in the 2018/2019 school helped to connect these young year. This important step forward people with established business for Saskatchewan’s youth is a operators within the Saskatchewan testament to the advocacy efforts Chamber’s membership. In 2017, of the Chamber and its partner the SCC had more business organizations. Chamber members, students attend its events than in Top: Jordan McFarlen, Patricia partners and teachers applauded any previous year. Warsaba, Minister Gord Wyant and the Ministry of Education on this Shawn Davidson announcement and look forward to The SCC has also continued its the implementation of the financial support of various Bottom: Campbell Collegiate Business curriculum in Saskatchewan business student-related events in Celebration night schools. high schools, colleges, and universities, including the Encouraging the provincial Campbell Business Celebration government to participate in the Night, the Saskatchewan Business financial literacy portion of the next Teachers’ Association (SBTA) High round of Programme for School Business Case International Student Assessment Competition, the Hill Business (PISA) testing has been another Dinner, and various activities held important part of the SCC’s by the University of Saskatchewan advocacy activities on this issue. Junior Chamber of Commerce. SASKATCHEWAN CHAMBER 2017 ANNUAL REPORT 41

41 SASKATCHEWAN CHAMBER 2017 ANNUAL REPORT

Jessica Theriault, David Stevenson and David Brock

Committee Restructuring

For many decades, the continuing in its present form and Saskatchewan Chamber of will lead on the carbon tax files as Commerce has utilized expert well as other current and pressing committees comprised of hard- environmental issues. working volunteers to engage with members, identify and act upon Furthermore, 100-Day Task Forces issues of importance to the will be created on an ad-hoc basis business community, and create to address issues in real-time, sound policy recommendations. resulting in a report and a series of These past efforts are important recommendations. In 2017, the first and have delivered many positive 100-Day Task Force successfully results over the years. produced a report on Energy Efficiency. Ron Styles, Bob Schutzman and The second half of 2017 brought Joshua Kurkjian with it profound changes to the The Water Council for Chamber’s policy input process. Saskatchewan, also created in 2017, is continuing in its present Since the Chamber originally form but will move towards being a formed its expert committees, the stand-alone entity in the future. ways for Chamber members to interact with committees, as well as The Saskatchewan Chamber with each other, has changed. New members have and will continue to communication tools, coupled with play a critical role in identifying key members’ limited availability to issues and opportunities that may participate in meetings led to a be on the horizon. While member review of the committee structure. input into the policy-making process will always remain a As a result of this review, the constant, how the policy process Finance, Human Resources, works has been updated. These Investment & Growth, and Youth, various changes will serve the Education & Training Expert Chamber well and will make the Committees no longer meet as of policy input process stronger than December 31, 2017. In place of ever. these committees, Expert Advisory Panels have been created to focus The Saskatchewan Chamber of on select key issues that align with Commerce Board of Directors and the objectives outlined in the staff sincerely appreciate the time Saskatchewan Chamber of and expertise of our members, and Commerce’s Strategic Plan. we never forget that it is your voice Members with expertise on a select that we represent. key issue are invited to participate on an Expert Advisory Panel. The Environment Committee is SASKATCHEWAN CHAMBER 2017 ANNUAL REPORT 45 43 SASKATCHEWAN CHAMBER 2017 ANNUAL REPORT

The Great Wall of China

Discover China with the Saskatchewan Chamber of Commerce

In 2017, the Saskatchewan Due to the overwhelming response Chamber of Commerce and the received for this trip, the Chamber of Commerce Executives Saskatchewan Chamber of of Saskatchewan partnered with Commerce hopes to plan more Citslinc International to offer an trips in the future with Citslinc as 11-day all-inclusive tour of Beijing, well as other chamber travel Suzhou, Hangzhou and Shanghai, companies. Overall, this trip’s departing April 7, 2018 and success is a great credit to the returning April 17, 2018. Citslinc chamber network and its high level International is one of the largest of customer service! providers of foreign tours to China and works exclusively with over 800 Chambers of Commerce in Canada and the US. Over 20,000 people travelled with Citslinc International on Chamber tours last year alone!

This fully escorted trip is an introduction to the people, history, culture, commerce and daily life of this exciting country. The itinerary is packed with sights and activities that will provide a full and rewarding experience including visits to historic sites like the Great Wall of China and Tiananmen Square. There is also an opportunity to make business contacts in China.

The trip promotion was opened to the general public and received a Top: Tour group in Shanghai large amount of interest. In April 2018, there will be 180 people from Bottom: Canal tour in Suzhou all over Saskatchewan, as well as some from Alberta and BC, traveling to China with Citslinc International. This number also includes several chamber representatives that will be accompanying the group. SASKATCHEWAN CHAMBER 2017 ANNUAL REPORT 47 45 SASKATCHEWAN CHAMBER 2017 ANNUAL REPORT

The Fight Against the Federal Tax Changes

On July 18, 2017, the Federal • Meeting with the Parliamentary Minister of Finance, Bill Morneau, Secretary to the Minister of unveiled draft legislation intended Finance, Joël Lightbound in to make changes to planning Regina along with strategies used by Canadian other stakeholders. Controlled Private Corporations (CCPCs). • Creating an online petition administered through our website The three strategies targeted were: that collected responses from 600 • (i) income sprinkling employers representing over (ii) converting a CCPC into 15,000 employees. capital gains, and (iii) passive investment income • Addressing members of the Curtis Hemming and Joshua Jurkjian held inside a CCPC. In response Senate of Canada’s Standing sending petition results to Federal Committee on National Finance in Finance Minister Bill Morneau to Minister Morneau’s announcement, the Saskatoon in November 2017. Saskatchewan Chamber of Commerce received numerous In response to overwhelming th phone calls and emails from criticism, on October 16 Minister members on this issue and the Bill Morneau and Prime Minister message was consistently loud Justin Trudeau announced and clear – the business significant amendments to the community strongly opposed the earlier proposed measures. proposed tax changes. Here are some advocacy wins: Throughout the summer, the Saskatchewan Chamber of • The Small Business Rate on the Commerce’s multi-faceted research first $500,000 of income will and advocacy efforts included: decrease from 10.5% to 9% by 2019. • Consulting with tax planning experts, accountants, and • The Federal Government will not professional services firms. move forward with limiting access to the indexed Lifetime Capital • Writing a report, Issue in Focus Gains Exemption. Taxation: Proposed Changes to the Taxation of Private • The Federal Government is Corporations in Canada, intended abandoning its plan to curtail the to better inform our members. conversion of income to capital • Submitting an open letter to gains. Minister Morneau outlining the SCC’s concerns and counter- recommendations. SASKATCHEWAN CHAMBER 2017 ANNUAL REPORT 46

However, the Federal Government is unwisely choosing to go ahead with some of the more controversial measures.

These include: • The measure to curtail income splitting for family members not deemed by the CRA as active in the business will move forward but the reasonableness test will be simplified. • The taxation of passive investment income will go ahead, but a new threshold of $50,000 in income annually will be exempt from the new, higher tax. Draft legislation is anticipated for Federal Budget 2018.

In 2018, the Saskatchewan Chamber of Commerce will continue to recommend that the Federal Government establish a Royal Commission-type panel to undertake a comprehensive review of the tax system. The business community should be proud of its Left to right: Joshua Kurkjian, Joël Lightbound - Parlimentary Secretary for the advocacy efforts around this issue. Minister of Finance, and Steve McLellan met in Regina

The significant amendments made by the Federal Government, along with the Standing Committee on National Finance’s final report urging the Federal Government to scrap the tax changes entirely serve as a testament to the power of the Chamber network.

“The Saskatchewan Chamber has been instrumental in the Northern Business Taskforce, it has brought a lot of awareness to southern Saskatchewan about the potential in northern Saskatchewan.”

Geoff Gay Athabasca Basin Development 49 SASKATCHEWAN CHAMBER 2017 ANNUAL REPORT

Education Opportunities for Members: Mental Health First Aid, and Domestic Violence and the Workplace

An increased focus on mental With this in mind, the Chamber health and wellness continues to partnered with PATHS, the be a priority for the Saskatchewan Provincial Authority for Transitional Chamber of Commerce, not only as Housing Saskatchewan, for two a business advocacy group but as training sessions aimed at part of the broader Saskatchewan providing guidance on the creation community. of policies for businesses that would provide support structures Creating an environment in the for employees dealing with intimate workplace that allows individuals to partner violence. By creating these support each other in times of support structures, employees feel mental stress is the goal of the protected and stable in their Mental Health First Aid training that workplace and will be able to focus the Chamber offered to its on being productive. membership, as presented by Bridges Health. This two-day In order to uplift our communities training, certified by the Mental and promote workplace safety, Health Commission of Canada, continued focus on mental health focused on recognizing signs of and domestic violence is vital. mental distress and providing Cities, rural municipalities and guidelines and practical examples northern communities all need of what can be done to assist. support structures in place, offering training opportunities and Along with a renewed focus on creating safe platforms for open mental health, the Chamber also discussions are an important part supported organizations dealing in creating a safe business and Top: Domestic Violence seminar with the effects of domestic social environment. presented by PATHS violence.

Bottom: Mental Health First Aid Training presented by Bridges Health Canada-wide, the losses to employers due to intimate partner violence add up to $77.9 million and Saskatchewan has the highest rate of reported domestic violence incidents in Canada. Having policies in place to deal with these situations as they affect employees and the workplace can ensure a more productive and permanent workforce, and create stability for affected employees. SASKATCHEWAN CHAMBER 2017 ANNUAL REPORT 53 51 SASKATCHEWAN CHAMBER 2017 ANNUAL REPORT

Ice road outside Wollaston Lake

Northern Business

The Saskatchewan Chamber of them to fund all or part of the Commerce (SCC) continued to Wollaston Lake road, the federal advocate on a variety of items government has indicated that they highlighted in its Northern Business are very interested in assisting with Task Force Report from 2014. this project, as it will create a reliable road connection between The Northern Business Task Force Wollaston Lake and southern was made up of representatives Saskatchewan. from companies and organizations that operate in northern The federal government also Saskatchewan, as well as announced that communities in individuals who have specific Saskatchewan that were eligible for knowledge and expertise in the receiving the Nutrition North social and economic issues that Canada subsidy would see their northern Saskatchewan faces. subsidy on Level 1 healthy foods Through ongoing discussions on increase from $0.05/kg to $1.60/kg. current and future issues, the Task This was a significant increase that Force submitted twelve has brought down food costs in recommendations focusing on those areas. solutions aimed at accelerating northern Saskatchewan’s economic Northlands College, Saskatchewan and social development. Polytechnic, First Nations University of Canada, and other Additional progress during 2017 institutions are continuing to included the Saskatchewan develop new courses that are more Chamber continuing to encourage focused on the needs of northern Photos taken on a flight during the both SaskPower and the federal businesses and residents. Northern Business Task Force Tour government to create new programs to encourage residential and commercial energy efficiency In late 2015, Industry Canada improvements in Saskatchewan’s announced that Saskatchewan remote northern communities. In would be receiving $7.42 million February 2017, the SCC created a through the Connecting Canadians new 100 Day Energy Efficiency program to expand high-speed Task Force that issued a report internet in northern Saskatchewan containing a variety of communities. SaskTel also recommendations that would contributed $2.48 million to this benefit northern Saskatchewan. project, and by the beginning of 2017, there were 26 communities in While the Government of northern Saskatchewan with Saskatchewan has said low significantly improved high speed commodity prices will not allow internet service. SASKATCHEWAN CHAMBER 2017 ANNUAL REPORT 55

53 SASKATCHEWAN CHAMBER 2017 ANNUAL REPORT

Environmental Scan: Ten Demographic and Economic Indicators

The Chamber and its members had what could be • Business investment, the second engine, declined called a “mixed” year in 2017. On a positive note, the for three consecutive years from the peak in population continued to grow and the slump in the 2014 including a drop of 1.0% in 2017. The most provincial economy came to an end. Less positively, recent survey of businesses suggests that capital the slump was not replaced with growth. Instead, the investment will grow by 0.5% in 2018. economy went into a kind of holding pattern. • Government spending slowed in 2017 as the In this summary, ten demographic and economic provincial government, the most important of the indicators are used to describe 2017 in three levels of government, reduced spending Saskatchewan. because of lower resource revenues.

Demographic Trends Th e Saska tchewa n pop ulation is growing at a healthy Annual Change in Retail Sales, Saskatchewan pace. In the year ending October 2017, the population 10% grew at an annual rate of 1.25%. International immigration is the main reason for the increase. 8% 6% Economic Trends Economists typically use the gross domestic product 4% after adjusting for inflation (real GDP) to measure 2% economic prosperity. By that measure, Saskatchewan went through a shallow but prolonged recession in 0% 2015 and 2016. Growth in 2017 is estimated at 1.7%. -2%

Four Economic Engines -4% One way to analyze economic growth is to look at the 2012 2013 2014 2015 2016 2017 four engines that make up the GDP. The four engines are consumers, businesses, governments, and out-of- province buyers of our goods and services. Annual Change in Private Sector , Capital Investment, Saskatchewan 20% Annual Change in Real GDP , Saskatchewan 15% 7%

10% 6%

5% 5% 0% 4% -5% 3%

2% -10%

-15% 1% -20% 0% -25% -1% 2013 2014 2015 2016 2017 2018 intent -2% 2012 2013 2014 2015 2016 2017 • Data on international and interprovincial trade, the • Consumer spending has recovered from the fourth engine, are not available but the value of slowdown in 2015. Retail sales, one of the best international merchandise trade is a useful indicators of consumer spending, grew by 2.2% in proxy. The value of international merchandise 2016 a nd 4.0% in 2017. Muc h of the sales growth in exports (net of imports) fell in 2017 for the third

2017 was the result of a 9.5% increase in unit consecutive year because of a decline in commodity sales of ne w moto r v ehicles. prices. Continued on page 55.

SASKATCHEWAN CHAMBER 2017 ANNUAL REPORT 57

55 SASKATCHEWAN CHAMBER 2017 ANNUAL REPORT

Environmental Scan: Ten Demographic and Economic Indicators Continued

Annual Change in Provincial Government Annual Change in Average Household Income S pendin g ( general revenue fund), Saskatchewan After Taxes and Adjuste d for Infl ati on, Saskatchewan 5% 5% 4% 4% 3% 3% 2% 2% 1% 1% 0% 0% -1% -1% -2% 2012- 2013- 2014- 2015- 2016- 2017- -2% 2013 2014 2015 2016 2017 2018 -3% 2012 2013 2014 2015 2016 2017 Employment The total number of people employed is a useful summary measure that reflects economic activity Annual Change in V alue of Mineral Sales,

across all sectors. Employment growth slowed to 0.5% Saskatchewan in 2015 and d eclined b y 0.9% in 2016 . There was a 15% further, modest (0.2%) decline in 2017. 10%

Personal Income 5% Adjusted for inflation, personal income after taxes fell in both 2015 and 2016 because of lower employment 0% earnings. The estimate for 2017 is for a modest -5% increase. -10%

Net Farm Income -15% Agriculture is one of the most important sectors in the economy and net farm income is a useful summary -20% measure of the health of the sector. Net cash income increased at double digit rates in 2014 (+17%) and -25% 2015 (+27%) before falling back slightly in 2016. -30% Preliminary figures suggest an increase of 4% in 2017. -35% 2012 2013 2014 2015 2016 2017 Value of Mineral Sales The resource sector is another important sector in the provincial economy. The value of mineral sales fell at double-digit rates in 2015 and 2016 from the peak of $23 billion in 2014. Preliminary data suggests sales in 2017 will be near the 2016 level.

Source: Sask Trends Monitor from Statistics Canada Data SASKATCHEWAN CHAMBER 2017 ANNUAL REPORT 59 57 SASKATCHEWAN CHAMBER 2017 ANNUAL REPORT SASKATCHEWAN CHAMBER 2017 ANNUAL REPORT 58

2017 Sponsors

It is thanks to these sponsors that various Saskatchewan Chamber of Commerce events and projects were possible in 2017. m o c . s t r e p x e d n a r b y r u b d a r b

: n g i s e D

t r o p e R

l a u n n A 59 SASKATCHEWAN CHAMBER 2017 ANNUAL REPORT SASKATCHEWAN CHAMBER 2017 ANNUAL REPORT 60 Small business is our business

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