Three First Nations Join Fiscal Management Act

Summary#

This is the Order Amending the Schedule to the First Nations Fiscal Management Act. It adds three First Nations — Garden River First Nation, Xatśūll First Nation and Tseshaht — to the list of communities that can use services under the First Nations Fiscal Management Act. The order took effect on May 21, 2021.

What it does#

• Adds the names of Garden River First Nation, Xatśūll First Nation and Tseshaht to the schedule of the First Nations Fiscal Management Act.
• Lets those First Nations choose to access services provided under the Act through national institutions, including the First Nations Finance Authority, the First Nations Tax Commission and the First Nations Financial Management Board.
• Allows those First Nations, if they decide to, to:
  • set up a property tax system under the Act;
  • seek certification for financial performance and financial management systems; and
  • apply to use a First Nations bond financing regime (borrowing against property tax or other revenue streams).

Who's affected#

• Members, leaders and local governments of Garden River First Nation, Xatśūll First Nation and Tseshaht are the primary groups affected.
• The national institutions named above will work with these First Nations if they opt in.
• It is optional — other First Nations are not changed by this order unless they separately request to be added.

Why it matters#

• Joining the Act gives these communities more tools to manage local finances and raise money for projects. That can make it easier to fund infrastructure, services, or economic development from locally controlled revenue.
• It creates an alternative to the property-tax option under section 83 of the Indian Act, and can open access to capital markets through a bond program once financial standards are met.
• The change is administrative and made at the request of the communities; the government says there are no direct costs to adding names to the schedule.