I actually really like this episode in retrospect.
I liked the reference to the Dominion here. For starters, the reference was a bit ominous when you think about what was said. The Skreeans were invaded and conquered by another alien race. That race was in turn destroyed by the Dominion. It tells you something right there about the Dominion in that not only were they willing to destroy another civilization, but that the Skreeans felt no sense of relief in having their tormentors destroyed.
In some ways both sides of the discussion between the Bajorans and the Skreeans have a point. The Skreeans were farmers and may have been able to help the Bajorans. On the other side the Bajorans really do have their own problems to think of. What was missing in the discussion was what role the Federation would be willing to play one way or another. It was rather clear that the Federation was going to help the Skreean resettlement effort one way or another. Its a good bet that the world that they settled on was in Federation space and that Starfleet was going to provide some material assistance. Therefore it seemed like the concerns of the Provisional Government could have been addressed by gaining some assurances from the Federation (of course, as I pointed out in my own thread on this topic, the Federation is on shaky ground here sense they should be doing more to help Bajor ANYWAY).