1. Building a New Fiscal Relationship Between First Nations and Canada
Ontario Joint Gathering
Toronto
15 May, 2019
Chief Laurie Carr
Hiawatha First Nation
Dan Wilson
Assembly of First Nations
Lynne Newman
Indigenous Services Canada

2. Purpose
Reflect on the journey to date on the new fiscal relationship with First Nations
Update on work of the Joint Advisory Committee
Looking ahead

3. New Fiscal Relationship with First Nations: journey so far
July 2016
Memorandum of Understanding with the Assembly of First Nations
Engagement with First Nations
Joint development efforts
December May 2018
Final Report under the MOU
Recommendations accepted by AFN Chiefs-in-Assembly
Policy development
10 year grants for qualified First Nations
Default prevention reform
Repeal of the First Nations Financial Transparency Act
Advisory body to support ongoing co-development
May May 2019
Outreach and preparations for the 10-Year Grant
Establishment of the Joint Assembly of First Nations – Indigenous Services Canada Advisory Committee on Fiscal Relations
Progress report to AFN Chiefs-in-Assembly
Joint Advisory Committee developing its advice and recommendations

4. Shared understanding of challenges – Fall 2017 engagement
DRAFT
Shared understanding of challenges – Fall 2017 engagement
Funding levels do not address First Nations needs and opportunities
Funding Sufficiency
First Nation governments are highly reliant on federal transfers
Insufficient economic development for many First Nations
Dependency on transfers
Government of Canada decides program goals, funding levels and timing
Limited ability for First Nations to set priorities and choose where and when money should be spent
Inflexible and Unpredictable funding
Unresolved lands and resource issues
Revenue generation options such as taxation underutilized
Provincial and territorial governments not participating fully
Revenue Generation
Program specific and overlapping reporting leaves burden on First Nation governments too high
Too many application-based programs
Administrative & reporting burden
Accountability is compliance based, rather than focussed on outcomes
Socio-economic gaps have not been closing
Focus on compliance not outcomes

5. Shared vision – from the December 2017 report
The new fiscal relationship should:
constitute a regime that by design recognizes and is responsive to First Nations' right to self-determination – a recognition-of-rights approach
be founded on a mutual accountability relationship whereby First Nations governments are primarily accountable to their own citizens, while the Government of Canada and First Nations governments hold one another mutually accountable for the commitments they make to one another
ensure sufficient funding
empower First Nations to plan and invest based on their own priorities, by ensuring greater predictability, flexibility and autonomy of funding arrangements
underpin progress toward the elimination of socio-economic gaps

6. Joint Advisory Committee on Fiscal Relations
Terms of reference developed jointly with committee members
Made up of 14 members - the Assembly of First Nations and Indigenous Services Canada recommended an equal number of candidates with the aim of balancing regional interests and ensuring relevant technical expertise
Appointments valid until March 31, 2020.
Meetings held:
Nov , 2018
Dec. 3, 2018
Jan. 7-9, 2019
Feb. 4-5, 2019
Mar. 4-5, 2019
April 28-29, 2019

7. Joint Advisory Committee Members
Technical Representatives
Harold Calla, First Nations Financial Management Board
Don Drummond, Queen’s University
Terry Goodtrack, Aboriginal Financial Officers Association
Bonny Healy, First Nations Information Governance Centre
Kevin Page, University of Ottawa
Regional Representatives
Chief Richard Sidney, Chief Executive Officer, Teslin Tlingit Council
Richard Nerysoo, Executive, Gwitch’in Tribal Council
Chief David Jimmie, Squiala First Nation
Chief Lee Crowchild, Tsuut’ina Nation
Vice-Chief Heather Bear, Federation of Sovereign Indigenous Nations
Chief Christian Sinclair, Opaskwayak Cree Nation
Chief Laurie Carr, Hiawatha First Nation
Chief Connie Lazore, District Chief, Mohawk Council of Akwesasne
John Paul, Executive Director, Atlantic Policy Congress of First Nations Chiefs

8. Mandate: Build on recommendations of December 2017 report
Recommendations for implementing a new fiscal relationship and broad engagement with First Nations.
Recommendations for a new Fiscal Policy Framework to address funding sufficiency and identify priority funding areas, including recommendations for a permanent First Nations fiscal policy body.
Recommendations for increasing revenue generation opportunities for First Nations, to be developed in collaboration with First Nations, provinces and territories.
Recommendations for strengthening the commitment to flexible and predictable funding, to reduce reporting burdens and shift from program to outcome-based reporting and funding.
Recommendations for development of a national outcomes-based indicators framework.

9. Joint Advisory Committee deliberations
The committee is considering priorities for its recommendations:
Proposals for a new fiscal policy framework to address:
Catch up & keep up funding for all First Nations
Revenue generation opportunities for all First Nations
New opt-in statutory transfer mechanism
Proposals on governance to address:
Financial support for First Nation governments
Capacity enhancement support for First Nations governments
Strengthen First Nations institutions & service providers
Focus on:
Respect for First Nations rights, treaties, title and jurisdiction
Measures to support self-determination, leading to increased well-being
First Nations ownership, control, access and possession of their data
Objective, evidence-based approaches, and continuous improvement

10. Next Steps for Joint Advisory Committee
Spring 2019: Committee to report to ISC Minister and AFN National Chief, with regional engagement to follow
July 2019: Update to AFN Annual General Assembly