Three First Nations Join Fiscal Management Act

Summary#

This order adds three First Nations to the schedule of the First Nations Fiscal Management Act, letting them opt into the Act’s financial and taxation tools. The change took effect on January 15, 2024.

What it does#

• Adds the names Binche Whut’en, Gitanyow and Mikisew Cree First Nation to the schedule of the First Nations Fiscal Management Act.
• Lets those First Nations access services from the national institutions created by the Act: the First Nations Finance Authority, the First Nations Tax Commission and the First Nations Financial Management Board.
• Allows those First Nations, if they choose, to:
  • set up a property tax system and use those revenues for community projects;
  • seek certification of their financial management and performance; and
  • apply to borrow through the First Nations bond financing regime that can use their revenue streams as security.

Who's affected#

• The main parties affected are the three First Nations named: Binche Whut’en, Gitanyow and Mikisew Cree First Nation.
• Residents of those communities could be affected if their band governments choose to introduce property taxes or new financing arrangements.
• The national institutions under the First Nations Fiscal Management Act will work with these First Nations if they opt in.
• It is optional: the addition happens at the request of each band council, so other First Nations are not changed by this order.

Why it matters#

• Opting into the First Nations Fiscal Management Act gives these communities more tools to raise money and manage finances.
• That can make it easier to fund local infrastructure, housing or economic development without relying only on federal transfers.
• It also opens a path to tap capital markets (bond financing) once financial systems are certified.
• The government’s analysis says there are no direct costs to government or businesses from simply adding a name to the schedule.