Kitigan Zibi Joins First Nations Fiscal Act

Summary#

The Order Amending the Schedule to the First Nations Fiscal Management Act (SOR/2020-268) adds the Kitigan Zibi Anishinabeg to the list of First Nations covered by the First Nations Fiscal Management Act. The order was registered on December 7, 2020 and published in the Canada Gazette on December 23, 2020; it came into force on the day it was registered. The order was made by the Minister of Crown‑Indigenous Relations, Carolyn Bennett.

What it does#

• Adds the name Kitigan Zibi Anishinabeg to the schedule of the First Nations Fiscal Management Act.
• Lets that First Nation choose to access services and programs set up under the Act, including work with the national First Nation institutions:
  • First Nations Finance Authority
  • First Nations Tax Commission
  • First Nations Financial Management Board
• Allows the First Nation (if it decides to) to:
  • set up a property tax system under the Act as an alternative to the property tax option under section 83 of the Indian Act;
  • seek certification of its financial management and financial performance; and
  • apply to use a First Nations bond financing regime that can use property tax or other revenues as security.
• The government states there are no costs tied to simply adding a First Nation’s name to the schedule.

Who's affected#

• Primarily the Kitigan Zibi Anishinabeg First Nation and its members in Quebec.
• The national institutions named above will be able to work with this First Nation if it chooses to participate.
• It is not clear from the order that any other communities, businesses, or levels of government are directly affected.

Why it matters#

• This gives the Kitigan Zibi Anishinabeg more tools to raise local revenue and to borrow for community projects, if its council chooses to use them.
• Access to certification and a bond financing regime can make it easier to fund infrastructure and economic development from local revenue sources.
• Joining is optional and does not by itself impose new requirements or costs on the community; further action by the First Nation would be needed to use the new powers.
• The government noted no environmental or additional consultation obligations arise from simply adding the First Nation’s name to the schedule.