7. (61) Where any government or municipality, including any settlement, hamlet, or town, demonstrates a need, arising out of the provision of government services, for Inuvialuit lands within the area of or adjacent to the municipal jurisdiction to meet public convenience and necessity, and such lands cannot reasonably be obtained from other sources, the Inuvialuit Land Administration, on receipt of notice of the extent and location of the lands so required, undertakes to negotiate in good faith the terms and conditions, including nominal rent, on which the government might obtain the lands by sale, lease or other disposition or arrangement.

7. (62) Failing successful conclusion of negotiations under subsection (61) within a period of ninety (90) days following receipt of the notice referred to in that subsection, either party may refer the matter to the Arbitration Board pursuant to section 18 and subsection (60).

7. (63) Each party shall submit its final offer to the arbitrator who may select the one considered more reasonable or, after mediation, make a compromise ruling bearing in mind, on the one hand, the governmental use for which the land is required and, on the other, the desire of the Inuvialuit to retain their lands.