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First Nations Are Doing It For Themselves

Posted: 06/03/2013 3:52 pm

Poundmaker First Nation Theft

As transparency and accountability in First Nations have taken centre stage in the Canadian public eye, many politicians and decision makers on both sides are still grasping at age-old arguments over treaties and land claims. The question is, what do we do in the here and now?

First Nations, like other Canadians, do not like being dictated to on how to run their governments or their daily lives. The Idle No More protests have shown that First Nations are opposed to the paternalistic, top-down approach used by Canadian governments historically. What would the future look like if someone were to hit the "reset" button on the Crown-First Nations relationship and just start over?

The first thing to go would be the ethnocentric relationship that has made many First Nations "wards of the state," allowing natives and the Crown to stand on equal ground. That would mean that First Nations would be able to manage their affairs in much the same way that all other levels of government in Canada have done since confederation. This would include the ability to access capital at wholesale rates in order to finance major infrastructure projects. How do those non-aboriginal governments do it? They issue bonds. Could there ever be a First Nations bond issued?

It took some brave and forward thinking First Nations a decade to have the First Nations Fiscal and Statistical Management Act, 2006 passed into legislation. This First Nations-led initiative is not a mandatory piece of legislation; it is an option for those First Nations governments that have developed their administration to the level where investors can be confident that they stand upon solid ground. It created three institutions that promote First Nations transparency and accountability across Canada.

The First Nations Financial Management Board assesses and develops financial administration under internationally recognized Committee of Sponsoring Organizations of the Treadway Commission (COSO) standards. COSO is a joint initiative of five private-sector organizations dedicated to providing thought leadership through the development of frameworks and guidance on enterprise risk management, internal control, and fraud deterrence.

The First Nations Tax Commission assists those First Nations that lease portions of their lands, including urban reserves, for non-native residential development and which opt to utilize property taxation of non-band members to raise revenue. They are mandated to ensure that the First Nation's tax system is administratively efficient, harmonized, improves economic growth, and is responsive to non-aboriginal on-reserve taxpayers.

The First Nations Finance Authority is the body that accesses the capital markets through debenture financing. It is mandated to provide low-rate loans, investment options, and capital planning advice to First Nation governments.

These organizations, working in harmony, will allow the first ever, First Nations bond to be issued. While the other organizations are governed by qualified appointees, the FNFA is governed by the First Nation communities that join as Borrowing Members. Since the FNFA is a non-profit organization acting on behalf of its members, there is no mark-up on the interest rates for loans. This means that member First Nations can borrow millions of dollars, pay it back over up to 30-year terms and pay the same interest rates available to municipal governments, currently starting as low as 2.5 per cent.

This is a real game changer for First Nations that have historically only been able to borrow at retail rates from banks. Historically, they were only able to borrow over five to eight years and pay "prime-plus" interest rates. They also had to agree to various liens against band-owned assets and future revenues.

A good example of how this can change a community is in Membertou First Nation in Nova Scotia. Membertou was the recipient of the inaugural FNFA loan and used it to refinance their existing bank loans. The First Nation is now saving $144,000 every month on what they used to pay for other loans. Those savings have been reinvested into the economy and Membertou not only has one of the lowest on-reserve unemployment rates in Canada, the First Nation is now one of the primary employers for the neighbouring municipality.

The FNFA pools all the borrowing requests of its member First Nations into a debenture. The FNFA bond to be issued in the fall of 2013 will raise an estimated $100 million for on-reserve infrastructure. As more and more First Nations join, the future of First Nations finance and governance looks happy, healthy, and prosperous for First Nations. The question then will be, are Canadians ready?

Troy Media

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  • A native dancer looks on during an 'Idle No More' gathering on Parliament Hill in Ottawa on Monday, Jan. 28, 2013. THE CANADIAN PRESS/Sean Kilpatrick

  • Native dancers rally during an 'Idle No More' gathering on Parliament Hill in Ottawa on Monday, Jan. 28, 2013. THE CANADIAN PRESS/Sean Kilpatrick

  • Idle No More Mall Protest

    <a href="http://www.huffingtonpost.com/social/LJ_Henshell"><img style="float:left;padding-right:6px !important;" src="http://graph.facebook.com/630755180/picture?type=square" /></a><a href="http://www.huffingtonpost.com/social/LJ_Henshell">LJ Henshell</a>:<br />A First Nations Drummer plays during a protest at Intercity Shopping Center in Thunder Bay, Ontario

  • It's about the future

    <a href="http://www.huffingtonpost.com/social/LJ_Henshell"><img style="float:left;padding-right:6px !important;" src="http://graph.facebook.com/630755180/picture?type=square" /></a><a href="http://www.huffingtonpost.com/social/LJ_Henshell">LJ Henshell</a>:<br />A child protests in Thunder Bay, Ontario

  • United we stand

    <a href="http://www.huffingtonpost.com/social/Doug_Cleverley"><img style="float:left;padding-right:6px !important;" src="http://graph.facebook.com/805699678/picture?type=square" /></a><a href="http://www.huffingtonpost.com/social/Doug_Cleverley">Doug Cleverley</a>:<br />At the #IdleNoMore rally in Owen Sound (Saugeen Ojibway Nation territory), during a spontaneous round dance at the main downtown intersection.

  • Killer Whale Dance

    <a href="http://www.huffingtonpost.com/social/Courtney_Harrop"><img style="float:left;padding-right:6px !important;" src="http://images.huffingtonpost.com/twitter_profile_img/4441016.png" /></a><a href="http://www.huffingtonpost.com/social/Courtney_Harrop">Courtney Harrop</a>:<br />Idle No More actions, Coast Salish Territories, Powell River, BC

  • Idle No More #J11

    <a href="http://www.huffingtonpost.com/social/Courtney_Harrop"><img style="float:left;padding-right:6px !important;" src="http://images.huffingtonpost.com/twitter_profile_img/4441016.png" /></a><a href="http://www.huffingtonpost.com/social/Courtney_Harrop">Courtney Harrop</a>:<br />Coast Salish Territories, Powell River, BC

  • Idle No More #J11 March

    <a href="http://www.huffingtonpost.com/social/Courtney_Harrop"><img style="float:left;padding-right:6px !important;" src="http://images.huffingtonpost.com/twitter_profile_img/4441016.png" /></a><a href="http://www.huffingtonpost.com/social/Courtney_Harrop">Courtney Harrop</a>:<br />Coast Salish Territories, Powell River, BC

  • Tla'Amin Prayer Song #J11 Idle No More

    Tla'Amin Prayer song on #J11 2013 Idle No More, Coast Salish Territories, Powell River BC

  • Tla'Amin Killer Whale Dance, #J11 #IdleNoMore

    Tla'Amin Killer Whale Dance, #J11 #IdleNoMore, Coast Salish Territories, Powell River, BC

  • C45 affects all Canadians! Join the fight.

    <a href="http://www.huffingtonpost.com/social/Eleanor_Kure"><img style="float:left;padding-right:6px !important;" src="http://graph.facebook.com/840875359/picture?type=square" /></a><a href="http://www.huffingtonpost.com/social/Eleanor_Kure">Eleanor Kure</a>:<br />At the Idle No More protest in Halifax Nova Scotia. with an eco-justice article in pocket, spreading the word that Bill C45 affects every Canadian, not only First Nations. Thank you FN, for beginning this movement.

  • Piyesiw Awasis

    <a href="http://www.huffingtonpost.com/social/mizzren"><img style="float:left;padding-right:6px !important;" src="http://images.huffingtonpost.com/twitter_profile_img/3183681.png" /></a><a href="http://www.huffingtonpost.com/social/mizzren">mizzren</a>:<br />Thunderchild First Nation @ Lloydminster Flash Mob. January 16, 2013

  • <a href="http://www.huffingtonpost.ca/2013/01/16/idle-no-more-queen-elizabeth-2-highway-blockade-alberta_n_2490009.html">Idle No More supporters jump onto a truck</a> as they are pushed by a driver trying to pass, as the protesters block Highway 2 as part of a planned national day of action, in Edmonton, Alberta on Wedneday January 16, 2013.

  • Aboriginal protesters march down Huron Church Road towards the Ambassador bridge in Windsor Ontario, Wednesday, January 16, 2013. About 1000 demonstrators disrupted traffic to the country's busiest border crossing for several hours.

  • Aboriginal protestors pray at the end of their blockade of a CN railroad track just west of Portage La Prairie, Man., on Wednesday, January 16, 2016. They ended their protest without incident.

  • Aboriginal protesters demonstrate at the base of the Ambassador Bridge in Windsor Ontario, Wednesday, January 16, 2013. About 1000 demonstrators disrupted traffic to the country's busiest border crossing for several hours.

  • Idle No More demonstrators block a CN east-west track just west of Portage La Prairie, Manitoba Wednesday, January 16, 2016.

  • Mississaugas of the New Credit support INM

    <a href="http://www.huffingtonpost.com/social/Vicki_King_Jamieson"><img style="float:left;padding-right:6px !important;" src="http://graph.facebook.com/750500023/picture?type=square" /></a><a href="http://www.huffingtonpost.com/social/Vicki_King_Jamieson">Vicki King Jamieson</a>:<br />New Credit Youth supporting INM

  • Montreal Idle No More

    <a href="http://www.huffingtonpost.com/social/Caillum"><img style="float:left;padding-right:6px !important;" src="http://s.huffpost.com/images/profile/user_placeholder.gif" /></a><a href="http://www.huffingtonpost.com/social/Caillum">Caillum</a>:<br />Thousands of people, both Native and Canadian, show their support at an Idle No More protest in Montreal on January 11th, 2013.

  • #Denendeh #J11 #IdleNoMore #YZF #NWT Yellowknife "Northwest Territories"

    Video of the Global Day of Action rally in downtown Somba K’e (Yellowknife)on the Akaitcho territory of the Yellowknives Dene First Nation in Denendeh (Northwest Territories).

  • #IdleNoMore March and Round Dance in Yellowknife Denendeh NWT

    "Today (Friday, December 21, 2012) in Denendeh and across the globe, we made an impact, a statement for true justice to be brought forward and acknowledged. But it will not stop, for the 8th fire has been lit and will only grow. Mahsi for all who showed up and united, we felt the support....we felt the fire!! And there's more to come in the new year." On Facebook By Lawrence Nayally, Melaw Nakehk'o and Eugene Boulanger https://www.facebook.com/events/112403725595655/

  • Attawapiskat Chief Theresa Spence, wearing a headdress, takes part in a drum ceremony before departing a Ottawa hotel to attend a ceremonial meeting at Rideau Hall with Gov. Gen. David Johnston in Ottawa, Friday January 11, 2013.

  • Attawapiskat Chief Theresa Spence, centre, departs a Ottawa hotel to attend a ceremonial meeting at Rideau Hall with Gov. Gen. David Johnston in Ottawa, Friday January 11, 2013.

  • Prime Minister Stephen Harper meets with First Nations leaders in Ottawa on January 11, 2013.

  • Prime Minister Stephen Harper meets with First Nations leaders in Ottawa on January 11, 2013.

  • Attawapiskat Chief Theresa Spence makes a brief statement on Victoria Island near Parliament Hill Friday January 11, 2013 in Ottawa. Spence is speaking out for the first time about how her reserve spends government money, saying most of what flows to her isolated James Bay reserve actually gets spent outside the community.

  • Aboriginal Chiefs stand at the main gate to Parliament Hill during a protest Friday January 11, 2013 in Ottawa.

  • Idle No More protesters listen to speakers during a rally on Parliament Hill Friday January 11, 2013 in Ottawa.

  • Gordie Odjig of Wikwemikong stands at the west gate to the Langevin Block during the aboriginal meeting in Ottawa on Friday, January 11, 2013.

  • Idle No More at UBC Vancouver

    <a href="http://www.huffingtonpost.com/social/Randall_Gray"><img style="float:left;padding-right:6px !important;" src="http://graph.facebook.com/100001602753648/picture?type=square" /></a><a href="http://www.huffingtonpost.com/social/Randall_Gray">Randall Gray</a>:<br />

  • Idle No More at UBC Vancouver

    <a href="http://www.huffingtonpost.com/social/Randall_Gray"><img style="float:left;padding-right:6px !important;" src="http://graph.facebook.com/100001602753648/picture?type=square" /></a><a href="http://www.huffingtonpost.com/social/Randall_Gray">Randall Gray</a>:<br />

  • Los Angeles Rally In Solidarity with First nations

    <a href="http://www.huffingtonpost.com/social/hp_blogger_Melinda Gopher"><img style="float:left;padding-right:6px !important;" src="http://www.huffingtonpost.ca/contributors/melinda-gopher/headshot.jpg" /></a><a href="http://www.huffingtonpost.com/social/hp_blogger_Melinda Gopher">HuffPost Blogger Melinda Gopher</a>:<br />Brock Conway, Blackfeet activist, with Saulteaux Actor Adam Beach and companion. Photo: Morning Star Gopher

  • Native protesters march up Wellington Street in Ottawa on Friday, January 11, 2013.

  • Four-year-old Phoenix Sky Cottrelle,from Aamjiwnaang First Nation, holds a sign as aboriginal protestors gather on Victoria Island before they march to Parliament Hill in Ottawa on Friday, January 11, 2013.

  • Aboriginal protestors hold signs as they march from Victoria Island to Parliament Hill in Ottawa on Friday, January 11, 2013.

  • Gordie Odjig, an aboriginal protestor from Wikwemikong, shouts as he marches from Victoria Island to Parliament Hill in Ottawa on Friday, January 11, 2013.

  • Woman's Voices

    <a href="http://www.huffingtonpost.com/social/Courtney_Harrop"><img style="float:left;padding-right:6px !important;" src="http://images.huffingtonpost.com/twitter_profile_img/4441016.png" /></a><a href="http://www.huffingtonpost.com/social/Courtney_Harrop">Courtney Harrop</a>:<br />Idle No More event Dec 30th,2012. Tla'Amin Nation Coast Salish Territories Powell River, British Columbia.

  • Idle No More Edmonton

    <a href="http://www.huffingtonpost.com/social/AUPELOCAL6CHAIR"><img style="float:left;padding-right:6px !important;" src="http://images.huffingtonpost.com/twitter_profile_img/4411530.png" /></a><a href="http://www.huffingtonpost.com/social/AUPELOCAL6CHAIR">AUPELOCAL6CHAIR</a>:<br />Planned overnight and what a turn out!

  • IdleNoMore March, Dauphin, Mb

    <a href="http://www.huffingtonpost.com/social/Phyllis_Racette"><img style="float:left;padding-right:6px !important;" src="http://graph.facebook.com/1354341984/picture?type=square" /></a><a href="http://www.huffingtonpost.com/social/Phyllis_Racette">Phyllis Racette</a>:<br />#IdleNoMOre Dauphin, Mb

  • Chicago Idle No More @ the Canadian Consulate

    <a href="http://www.huffingtonpost.com/social/Jolene_Aleck"><img style="float:left;padding-right:6px !important;" src="http://graph.facebook.com/644015258/picture?type=square" /></a><a href="http://www.huffingtonpost.com/social/Jolene_Aleck">Jolene Aleck</a>:<br />Chicago's Idle No More 1.5.2012 rally @ the Canadian Consulate

  • VancouverC Jan 2 2013

    <a href="http://www.huffingtonpost.com/social/gerrybates"><img style="float:left;padding-right:6px !important;" src="http://s.huffpost.com/images/profile/user_placeholder.gif" /></a><a href="http://www.huffingtonpost.com/social/gerrybates">gerrybates</a>:<br />Idle No More at Waterfront Station, Vancouver, BC

  • A man waves a flags as aboriginal protesters and supporters in the Idle No More movement block the Blue Water Bridge border crossing to the United States in Sarnia, Ont. on Saturday, January 5, 2013.

  • VancouverA Jan 2 2013

    <a href="http://www.huffingtonpost.com/social/gerrybates"><img style="float:left;padding-right:6px !important;" src="http://s.huffpost.com/images/profile/user_placeholder.gif" /></a><a href="http://www.huffingtonpost.com/social/gerrybates">gerrybates</a>:<br />Idle No More at Waterfront Station, Vancouver, BC

  • VancouverB Jan 2 2013

    <a href="http://www.huffingtonpost.com/social/gerrybates"><img style="float:left;padding-right:6px !important;" src="http://s.huffpost.com/images/profile/user_placeholder.gif" /></a><a href="http://www.huffingtonpost.com/social/gerrybates">gerrybates</a>:<br />Idle No More at Waterfront Station, Vancouver, BC

  • VancouverD Jan 2 2013

    <a href="http://www.huffingtonpost.com/social/gerrybates"><img style="float:left;padding-right:6px !important;" src="http://s.huffpost.com/images/profile/user_placeholder.gif" /></a><a href="http://www.huffingtonpost.com/social/gerrybates">gerrybates</a>:<br />Idle No More at Waterfront Station, Vancouver, BC

  • VancouverH Jan 2 2013

    <a href="http://www.huffingtonpost.com/social/gerrybates"><img style="float:left;padding-right:6px !important;" src="http://s.huffpost.com/images/profile/user_placeholder.gif" /></a><a href="http://www.huffingtonpost.com/social/gerrybates">gerrybates</a>:<br />Idle No More at Waterfront Station, Vancouver, BC, January 2, 2013.

  • VancouverF Jan 2 2013

    <a href="http://www.huffingtonpost.com/social/gerrybates"><img style="float:left;padding-right:6px !important;" src="http://s.huffpost.com/images/profile/user_placeholder.gif" /></a><a href="http://www.huffingtonpost.com/social/gerrybates">gerrybates</a>:<br />Idle No More at Waterfront Station, Vancouver, BC

  • VancouverE Jan 2 2013

    <a href="http://www.huffingtonpost.com/social/gerrybates"><img style="float:left;padding-right:6px !important;" src="http://s.huffpost.com/images/profile/user_placeholder.gif" /></a><a href="http://www.huffingtonpost.com/social/gerrybates">gerrybates</a>:<br />Idle No More at Waterfront Station, Vancouver, BC

  • VancouverG Jan 2 2013

    <a href="http://www.huffingtonpost.com/social/gerrybates"><img style="float:left;padding-right:6px !important;" src="http://s.huffpost.com/images/profile/user_placeholder.gif" /></a><a href="http://www.huffingtonpost.com/social/gerrybates">gerrybates</a>:<br />Idle No More at Waterfront Station, Vancouver, BC

  • Flag Planting

    <a href="http://www.huffingtonpost.com/social/seawaytoday"><img style="float:left;padding-right:6px !important;" src="http://s.huffpost.com/images/profile/user_placeholder.gif" /></a><a href="http://www.huffingtonpost.com/social/seawaytoday">seawaytoday</a>:<br />Akwesasne Idle No More att Cornwall, ON

  • Dec 21st 2012 Idle No More Ottawa: Berdine

    <a href="http://www.huffingtonpost.com/social/Gail_Chicky_Gallagher"><img style="float:left;padding-right:6px !important;" src="http://graph.facebook.com/535670179/picture?type=square" /></a><a href="http://www.huffingtonpost.com/social/Gail_Chicky_Gallagher">Gail Chicky Gallagher</a>:<br />

 

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