First Nations Financial Transparency Act

An Act to enhance the financial accountability and transparency of First Nations

This bill was last introduced in the 41st Parliament, 1st Session, which ended in September 2013.

Sponsor

John Duncan  Conservative

Status

This bill has received Royal Assent and is now law.

Summary

This is from the published bill. The Library of Parliament often publishes better independent summaries.

This enactment enhances the financial accountability and transparency of First Nations.

Elsewhere

All sorts of information on this bill is available at LEGISinfo, an excellent resource from the Library of Parliament. You can also read the full text of the bill.

Votes

Nov. 27, 2012 Passed That the Bill be now read a third time and do pass.
Nov. 26, 2012 Passed That Bill C-27, An Act to enhance the financial accountability and transparency of First Nations, {as amended}, be concurred in at report stage [with a further amendment/with further amendments] .
Nov. 26, 2012 Failed That Bill C-27 be amended by deleting Clause 13.
Nov. 26, 2012 Failed That Bill C-27 be amended by deleting Clause 11.
Nov. 26, 2012 Failed That Bill C-27 be amended by deleting Clause 1.
Nov. 22, 2012 Passed That, in relation to Bill C-27, An Act to enhance the financial accountability and transparency of First Nations, not more than one further sitting day shall be allotted to the consideration at report stage of the Bill and one sitting day shall be allotted to the consideration at third reading stage of the said Bill; and That, 15 minutes before the expiry of the time provided for Government Orders on the day allotted to the consideration at report stage and on the day allotted to the consideration at third reading stage of the said Bill, any proceedings before the House shall be interrupted, if required for the purpose of this Order, and in turn every question necessary for the disposal of the stage of the Bill then under consideration shall be put forthwith and successively without further debate or amendment.
June 21, 2012 Passed That the Bill be now read a second time and referred to the Standing Committee on Aboriginal Affairs and Northern Development.

Bill C-27—Notice of time allocation motionFirst Nations Financial Transparency ActGovernment Orders

November 22nd, 2012 / 11:10 a.m.
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Conservative

John Duncan Conservative Vancouver Island North, BC

Mr. Speaker, the question that the member posed does not have anything to do with Bill C-27, quite obviously. Once again, we are seeing some politics at work here. I know that the whole pipeline--

Bill C-27—Notice of time allocation motionFirst Nations Financial Transparency ActGovernment Orders

November 22nd, 2012 / 11:10 a.m.
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Conservative

The Acting Speaker Conservative Bruce Stanton

I appreciate the intervention by the Parliamentary Secretary to the Minister of Aboriginal Affairs. The question before the House pertains to the time allocation question regarding Bill C-27. The member has posed a question. We will leave it to the minister if he wishes to answer the question and we will proceed at that point. I thank the hon. member.

Bill C-27—Notice of time allocation motionFirst Nations Financial Transparency ActGovernment Orders

November 22nd, 2012 / 11:10 a.m.
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Conservative

Greg Rickford Conservative Kenora, ON

Mr. Speaker, I rise on a point of order. I understand the latitude that is afforded to all members in their questioning, but we started out this debate on three specific motions from the critic for aboriginal affairs and the bill itself. We have seen best efforts here to attach things like accountability back to the bill and I have remained seated, but this question actually has nothing to do with what we are currently debating, not in any way, shape or form.

I would turn our minds to Standing Order 11(2) where the Speaker in this case, having called the attention of the House to the conduct of a member who persists in irrelevance or repetition, and, in this case, the point of order is on irrelevance. It has nothing to do with Bill C-27 in its substance.

That question was--

Bill C-27—Notice of time allocation motionFirst Nations Financial Transparency ActGovernment Orders

November 22nd, 2012 / 11:05 a.m.
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Conservative

John Duncan Conservative Vancouver Island North, BC

Mr. Speaker, I have come to expect that from the member.

There is no requirement under Bill C-27 for anyone beyond elected officials to disclose salaries, per diems and honorariums. That is what we do federally, provincially and municipally. There is the odd jurisdiction that goes beyond that. We do not want to put this whole area into the realm of political partisanship, which is what the member is trying to do.

Bill C-27—Notice of time allocation motionFirst Nations Financial Transparency ActGovernment Orders

November 22nd, 2012 / 10:50 a.m.
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Conservative

John Duncan Conservative Vancouver Island North, BC

Mr. Speaker, the views and concerns regarding the bill have had ample time to be debated and discussed. The bill was introduced on November 23, 2011. Second reading debate occurred on June 20, with the vote occurring June 21, and it featured almost six hours of debate in this chamber before being referred to committee. The standing committee met seven times between October 15 and November 5 to study and discuss Bill C-27. We also heard from 21 witnesses from 13 organizations.

During the report stage debate yesterday, the House spent over six hours of debate on the bill. The NDP had no less than 20 speakers. We heard no new opposition issues in all this time. On two occasions the Speaker had to intervene to ask members to keep their comments focused on the subject under debate. All this was for a relatively simple bill with only 13 clauses.

Bill C-27—Notice of time allocation motionFirst Nations Financial Transparency ActGovernment Orders

November 22nd, 2012 / 10:40 a.m.
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York—Simcoe Ontario

Conservative

Peter Van Loan ConservativeLeader of the Government in the House of Commons

moved:

That, in relation to Bill C-27, An Act to enhance the financial accountability and transparency of First Nations, not more than one further sitting day shall be allotted to the consideration at report stage of the bill and one sitting day shall be allotted to the consideration at third reading stage of the said bill; and

That, 15 minutes before the expiry of the time provided for government orders on the day allotted to the consideration at report stage and on the day allotted to the consideration at third reading stage of the said bill, any proceedings before the House shall be interrupted, if required for the purpose of this order, and in turn every question necessary for the disposal of the stage of the bill then under consideration shall be put forthwith and successively without further debate or amendment.

Report StageFirst Nations Financial Transparency ActGovernment Orders

November 20th, 2012 / 5:20 p.m.
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NDP

Carol Hughes NDP Algoma—Manitoulin—Kapuskasing, ON

Mr. Speaker, it gives me great pleasure to speak to the bill again.

At the outset, Bill C-27 remains largely unnecessary. It in no way addresses the multitude of better known, long-lasting and long-standing problems that persist on many first nations. The bill would create an unnecessary reporting mechanism that would rely on a form of communication that really would not reflect the way most people in these communities go about talking to each other or learn about their relationship.

Bill C-27 is overly punitive and amounts to a waste of valuable and much needed funds by duplicating efforts and increasing the bureaucratic burden on those first nations that do not already have self-governing regimes. It would set the course for costly legal battles and would ignore the advice of the Auditor General to reduce the reporting burden placed on first nations. It would add to that reporting burden at the same time the government handcuffs the participants by reducing the abilities and effectiveness of those bodies that assist with first nation governance.

Everyone in this place is aware of the failings of the Conservative government that claimed it would be more transparent and accountable than its predecessors. The Conservatives have learned that it is not as easy as it sounds, yet they are demanding what they cannot do themselves of our first nations.

In fact, the bill would impose standards greater than those applied to politicians in many other elected jurisdictions in a way that would create more bureaucracy without really increasing accountability of first nation governments to their communities.

The question that begs to be asked is this. Why is this being done now?

We might hear about a handful of overpaid band politicians. However, this is not the norm and any assumptions that are drawn from those stories are often based more on opinion than fact.

Also, if hearing about something is excuse enough to set the wheels of change in motion, I invite the government to recall how often we have heard about the challenges related to poverty, inadequate housing, substandard education opportunities, mental and physical health and so many more significant well-documented problems that persist in far too many first nation communities across Canada. I invite the government to find some resources to address some of those arguably more urgent issues.

I also invite the government to recall that only work done under the broader concept of full consultation is bound to succeed. If the government works in isolation, ignores its duty to consult, or only listens to the opinion of those who support its opinion, it will be spinning its wheels.

From the outset, we know that there is a problem because the intention of the bill is to duplicate something that already exists. Anyone watching Parliament today might be tempted to think that first nations report nothing about the funding they receive or on the salaries and compensation provided to their leadership when in fact the opposite is true.

First nations produce year-end reports that include annual audited consolidated financial statements for the public funds provided to them. These reports include salaries, honoraria and travel expenses for all elected, appointed and senior unelected band officials.

First nations are also required to release statements to their membership about compensation earned or accrued by elected, appointed and unelected senior officials and the amounts of remuneration paid, earned or accrued by elected and appointed officials, which must be from all sources within the recipient's financial reporting entity, including amounts from economic development and other types of business corporations.

Let us remember the June 2011 findings of the Auditor General which stated that despite repeated audits recommending numerous reforms over the last decade, the federal government had failed abysmally to address the worsening conditions for first nations.

That report tells us that the money just is not flowing to the problems and that it is not for lack of audits or reporting processes. The Auditor General pointed out that the reporting burden on first nations had actually worsened in recent years despite the fact of the office's repeated calls to reduce the reporting burden.

Worst of all, the findings showed how many of the reports were not even used by federal government departments and were not serving anything but bureaucratic processes. They are white elephants and the government is eagerly seeking to increase them.

In this respect, we have a government that is all about creating more burdensome red tape to go along with the handcuffs it is putting on first nations communities, communities that rely on the services of tribal councils, the First Nations Statistical Institute and the National Centre for First Nations Governance to assist with many items related to governance.

Consider the way the government has attacked tribal councils on one hand and created a great deal of work that those councils are uniquely positioned to assist with at the same time. The cuts to funding in this area show that the government is not working from a coherent plan. There is no playing to strengths or even acknowledgement of interplay between variables. In fact, cuts to the tribal council funding program mute the significant assistance that tribal councils could provide bands that will be forced to comply with the technological bureaucracy the bill sets in play. That program funds tribal councils so they can provide advisory services to their member first nations and to administer other Indian and northern programs.

Let us remember that tribal councils are institutions established voluntarily by the bands. In 2006-07 the program funded 78 tribal councils that served 471 first nations for a hair less than $45 million. That is not an excessive amount of money for the work these councils do. It is nowhere near the amount the government flushes down the drain for self-congratulatory advertising.

Consider the work tribal councils do. Five advisory services have been devolved to tribal councils: economic development, financial management, community planning, technical services and band governance. It is only reasonable to expect these cuts will affect the output of many first nations. Certainly, the work tribal councils on advisory services dovetails with the demands that Bill C-27 places on first nations. Be it technical services, financial management or band governance, tribal councils had an important role to play in this process. However, the government saw fit to claw back those budgets ahead of this bill.

We understand there is not an infinite amount of resources. That is why the New Democrats would never make the kinds of cuts and demands that the government has and pretend that one does not affect the other.

It is no secret that many first nation communities are not as well off as most non-aboriginal places. We know that almost a third of first nation households struggle to get by on less than $20,000 a year. We know that number is growing, which is to say, it is not going in the right direction. This is a significant problem and the government's answer seems to be to pile on in terms of the amount of money a community now has to spend reporting on how it spend its money. It sounds absurd. That is because it kind of is.

Consider that first nations are already subject to various policy-based and legal requirements regarding the management and expenditure of federal public funds. If these new requirements did away with those, or streamlined them, it might make more sense. Instead, this is just the creation of more red tape for first nations.

The New Democrats remain convinced that changes to how audited statements are made public does not require heavy-handed legislation. Any changes deemed necessary could be a requirement of funding arrangements that the department would have each first nation government sign.

We are concerned that Bill C-27 not only ignores the simple solution, but is overly punitive as well. Bands that do not comply with the demands of the bill can have their funding withheld or have a funding agreement terminated by the minister. How will that improve education, housing or the infrastructure challenges that many of these communities face?

The New Democrats do not see the need to divert more money to a new level of bureaucracy to reproduce much of what has already been done in a new or novel format. We understand there can be problems associated with reporting on the website that are not apparent to anyone. As someone who represents a northern rural constituency, Internet connectivity is not always possible. In fact, it is enough of a challenge to get service to relatively accessible areas like Manitoulin Island, so we can see that website reporting could become a hurdle some bands might not easily jump over, especially those in more remote areas.

Report StageFirst Nations Financial Transparency ActGovernment Orders

November 20th, 2012 / 5:15 p.m.
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NDP

Dennis Bevington NDP Western Arctic, NT

Mr. Speaker, I agree to a certain extent. Consultation is important but it is also important to recognize the fundamental principle that this is a government to government relationship. The Government of Canada does not consult with the government of the Northwest Territories and tell it what its transparency arrangements are going to be.

What are we speaking about when we speak about government to government relationships? First nations that accomplish the work for themselves, that develop their own systems of transparency, are going to be the most successful ones. That is simply the case. We need to throw off the shackles that exist between the federal government and first nations in a proper and respectful fashion.

Bill C-27 goes in the wrong direction. It goes in another direction, which is simply going to increase the aspects of what we do not want. That is the problem we have with the bill. It is a problem that the government has to recognize because it has a number of other bills coming forward that are going to do the same thing, that are going to create the same problem with the relationship between the federal government and first nations.

Report StageFirst Nations Financial Transparency ActGovernment Orders

November 20th, 2012 / 5:05 p.m.
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NDP

Dennis Bevington NDP Western Arctic, NT

Mr. Speaker, I thank everyone here who is supporting my speech. I speak to a very difficult bill that the government has brought forward, Bill C-27, ostensibly called a “transparency act”, but really it is another colonial act. That is what the bill is about. We have a bill that speaks to a very small segment of society that considers first nations to have extreme problems with accountability. It demands a system of accountability that is really unacceptable, that would not meet the needs of first nations and that would impose a burden that would, in some cases, put first nations at a disadvantage with other Canadians.

The bill would force first nations who are still under the Indian Act to publicly post their financial statements of any moneys provided to chiefs and band councillors regardless of where it is earned, including reimbursements for out-of-pocket expenses, its auditors' reports on financial statements and its auditors' reports on moneys paid to chiefs and council, and to make these available on a website for a period of 10 years. All this information is already accessible to band members through the Department of Aboriginal Affairs by request. This information is available to those who want it and they make use of that service, from what we were told, upwards of 150 to 200 times a year. I do not know if that is every year or in particular years, but out of the 600 or so bands, that is the volume of requests put forward.

Once we took the bill to committee, even those who supported it said that there needed to be amendments. There were a few major supporters within the first nations who took the position of the government and said they wanted it. They made that choice. However, by and large, the majority of first nations people understood and recognized that this was not the way to do business and that this was not government to government. When the minister was in front of us I asked him whether he considers the relationship between the federal government and the band councils in Canada to be government to government. He agreed with me. He said that it is. Hence, the hypocrisy of the bill, which would treat first nations people as wards of the state.

In the Northwest Territories, another government that is set up by a bill of this Parliament, the NWT Act, the NWT government gets to choose how it discloses information. That applies to Nunavut as well as to the Yukon. We have a situation here where the government agrees it is a government to government relationship, yet it will not treat the first nations in the same fashion that it treats others. We have equality in this country. We have equality as a guiding principle of this country and the Conservatives seem to take that and ignore it.

There is a hypocrisy issue here as well because quite clearly the current government has been one of the most secretive governments in the history of Canada. International agencies that monitor access to information have taken us from fourth place in the world to 52nd place in our ability to access information from the government. In terms of the information that is given, when the Conservative government came to power, the average redaction of information was 15%. Fifteen per cent of the items that the government released to the public was redacted. It is now 47%. Why? Has the nature of government changed so much? Has secrecy become so important?

If it is so important for the Conservatives, why would they insist that first nation governments would have to show everything to everyone in this country on a website for every nitpicker in the country to look at. Everyone with a grudge against first nations could go there and go through their dirty laundry to look for something. That is what the government wants to do to first nations. That is what it is doing with the bill. What a shame.

The government could have, through incentives to first nations, enabled them to develop their own information systems. Many have. Many of the first nations that came in front of us said, “Look, here is the work that we have done. Here is how we disclose our information. We are proud of it. We did this ourselves”.

What does the government do? It slaps it on everyone. How is that government to government? Shame on the government. Shame on it for not treating first nations in a respectful fashion. That is the problem we had in Canada for 100 years. I thought we were trying to get over this problem of treating first nations with little respect. After signing treaties with them, after taking over their land, when are we going to treat them with respect?

Let us talk about the Conservative government for a while, because the bill is going to pass and we are going to end up in a situation where the first nations are going to have wait three years to get this fixed. Right now, the government has done very bad things with respect to accountability and transparency.

One of the first acts by the government was to create the office of the Parliamentary Budget Officer, saying this would make the government more accountable. Since that day, the government has denied information, delayed the release of information and demeaned the PBO. Most recently, the PBO has had to threaten court action to get the information he needs to provide parliamentarians with the facts we need to properly review Conservative budgets and other financial statements. This is a public government, open to every citizen of the country, unlike first nations, which are governments for specific groups of people in this country. We have a responsibility as a public government to release information to all and sundry.

When it comes to the environment, the Conservative government has shut down investigation into climate change, taken out the Experimental Lakes Area, closed Arctic research centres and has muzzled scientists from speaking in public. What is going on? What is it about science that Conservatives feel the rest of the Canadians should not know? What is it about science that the government wants to hide from us?

That is a question that perhaps we will get in the next election. That is when the Canadian public will actually decide what information they want. There is the F-35 auditor's report and the handling of the Auditor General's report. In his first report as Auditor General, Michael Ferguson said the Department of National Defence gambled on the F-35 fighter jet without running a fair competition, while lacking cost certainty or any guarantee the plane could replace the current fleet of CF-18s by the end of the decade. He went on to talk about business conducted in an uncoordinated fashion by federal departments.

What did the government do? First it said his information was all wrong, after refusing to release the information he requested. Then it tried to shut committee meetings in this boondoggle. The final attempt by the Conservative government to hide the truth has been to delay the release of the public accounts committee report looking into the debacle. These are hardly the actions of a government that supports accountability and transparency.

I could go on for quite a long time about the inadequacy of the government when it comes to accountability and transparency. The Canadian public would probably enjoy hearing about all the issues we have with that. I could talk about robocalls, the impact of the health care transfer cuts to the provinces, the cost of the ideological prison agenda or election financing schemes, but I would be here all day and I only have 30 seconds.

For the Conservatives to say that the single biggest issue for first nations people, many of whom live in third world poverty, is the need for accountability beyond what they do already is real hypocrisy.

Bill C-27—Notice of time allocation motionFirst Nations Financial Transparency ActGovernment Orders

November 20th, 2012 / 5 p.m.
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York—Simcoe Ontario

Conservative

Peter Van Loan ConservativeLeader of the Government in the House of Commons

Mr. Speaker, first nations of course have asked for greater accountability and transparency from their governments, and we believe that first nations, like all Canadians, deserve transparency and accountability from their elected officials.

Thus I must advise that an agreement has not been reached under the provisions of Standing Order 78(1) or 78(2) concerning the proceedings at report stage and third reading of Bill C-27, An Act to enhance the financial accountability and transparency of First Nations.

Under the provisions of Standing Order 78(3), I give notice that a minister of the Crown will propose, at the next sitting, a motion to allot a specific number of days or hours for the consideration and disposal of proceedings at those stages.

First Nations Financial Transparency ActGovernment Orders

November 20th, 2012 / 4:30 p.m.
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NDP

José Nunez-Melo NDP Laval, QC

Monsieur Speaker, I would like to start by saying that it is a privilege for me to address the Chair and all the members of the House.

Truth be told, my one true regret, or should I say criticism of this bill, is that it is pointless and senseless. Bill C-27, An Act to enhance the financial accountability and transparency of First Nations is an aberration across the board.

Let me begin by pointing out that my honourable colleagues have invested a considerable amount of time, either here in this House or in committee, debating this bill. Instead we could have been diligent and spent more time debating other more important bills, especially those for which my honourable Conservative colleagues have arbitrarily invoked time allocation.

Our caucus opposes the bill at report stage. Bill C-27 requires the annual disclosure of consolidated financial statements, a separate schedule, an auditor’s written report respecting the consolidated financial statements and an auditor’s report respecting the schedule of remuneration.

This is a great deal to ask for and it is extremely constraining, particularly for small governments such as first nation governments.

We the members of the New Democratic Party caucus are opposed to this bill because first nations would be bound by all of its provisions, irrespective of the fact that they were not consulted. I listened to what my colleague opposite had to say a short while ago. She stated that previous Parliaments held consultations. I believe that is not entirely accurate and that these consultations were conducted in a rather cavalier manner.

As far as we are concerned, the emphasis should instead be on respect between first nations and the government in power.

We do not support this bill because we feel it does nothing to improve the accountability process either. It requires the drafting of a number of reports which are probably irrelevant. Furthermore, confidential information will be widely disseminated electronically. Information will find its way online and onto websites and that is not the intent here.

The NDP does not support this bill. As I just said, we feel it does nothing to improve the situation. It also imposes standards that are stricter than those to which elected officials in many jurisdictions are held. It gives the minister the power to withhold payment of any moneys due to a first nation or to rescind any agreement providing for the payment of a grant or contribution to a first nation should it breach its duty.

This is no laughing matter, although I do find all of these constraints that have no business existing in the first place quite laughable.

The federal government has failed miserably over the last decade to address the worsening living conditions of first nation members.

This bill shows that the government wants first nations to do what it should in principle have demanded of foreign governments in its famous free trade agreements. The government does not impose on any foreign nation restrictions as convoluted and serious as the ones it wants to impose on small first nation communities in Canada which are deserving of its respect. This is a very serious situation indeed.

In our view, the kinds of changes that are being required of first nations, such as having to prepare audited financial reports, should not be consigned to legislation. They could be part of the requirements already set out in funding agreements that the department has had each first nation sign. There is already a bill stipulating that first nations with self-government agreements should not be subject to additional texts and legislation. It reminds me of comments made by my colleague from Burnaby—New Westminster to the effect that the Conservatives are attacking groups that oppose their policies or their actions, targeting all small first nation governments.

Our honourable colleague from Newton—North Delta also explained very quickly what happens when groups disagree with the funding arrangements this government is attempting to impose on first nations.

As I also recall, our honourable colleague from Rivière-des-Mille-Îles talked about a double standard at play. That matter was also addressed in a question raised by our honourable colleague from Trois-Rivières. There is clear evidence here of a direct attack on any group that opposes the policies put forward by the Conservatives.

I started off by saying that it was a privilege for me to speak to this House on this bill. However, on reading the notes carefully and listening to the comments of my colleagues, I should have begun by saying that I regretted having to make any reference to this bill.

In closing, I would simply reiterate that the NDP caucus is opposed to this bill because it is arbitrary and pointless. Perhaps more time should be devoted to debating more important bills that would benefit the general public and first nations in particular.

First Nations Financial Transparency ActGovernment Orders

November 20th, 2012 / 4:30 p.m.
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Green

Elizabeth May Green Saanich—Gulf Islands, BC

Mr. Speaker, as this is my first chance to speak to Bill C-27 in the House, I will say that I find the demands being placed on first nations disturbing, particularly in terms of time and the costs of producing these additional papers. The words just used by our parliamentary colleague of patronizing and paternalistic apply here.

I wonder if we could turn the mirror on ourselves and ask why it is that at the Board of Internal Economy all of the other parliamentary parties in this place object to the expenses of members of Parliament being placed on the public record. I wonder if we could do that before we ask the same of first nations.

First Nations Financial Transparency ActGovernment Orders

November 20th, 2012 / 4:15 p.m.
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NDP

Mylène Freeman NDP Argenteuil—Papineau—Mirabel, QC

Mr. Speaker, I rise today to oppose Bill C-27 because the bill is incredibly problematic. As with most bills introduced by the government pertaining to aboriginal peoples, it demonstrates a dangerous misunderstanding of the concerns and issues first nations face and a misunderstanding of how the federal government could best address them.

I oppose Bill C-27 both on principle and pragmatically because insofar as its implementation goes, the bill would not accomplish what it is intended to do. It does nothing to increase accountability of first nation governments to their people and gives the ability of the minister to withhold funding to the community, while holding first nation chiefs to an impossible standard, especially compared to that of other elected officials in other jurisdictions. The bill is actually redundant if what we are looking for is accountability from first nations.

First nations, excluding those who have their own self-governing regimes, are already beholden to funding arrangements with the Government of Canada in the form of fixed contribution agreements under which first nations must satisfy certain conditions to ensure continued payment of federal funds. Audits are already provided to Aboriginal Affairs and first nation band councils are already required to release their documents and statements to their people.

According to the Library of Parliament's legislative summary on the bill:

First Nations bands are [already] subject to certain financial disclosure requirements under the Indian Act and related statutes and regulations. In particular...a band’s financial statements [are] audited annually, and that the auditor’s report [is] posted “in conspicuous places on the Band Reserve for examination by members of the Band.”

Therefore, practically speaking, the bill is doing nothing but forcing a burdensome and costly hoop for every first nation to jump through annually. It is designed to make a statement that these sovereign nations, which is what they are or should be, must be transparent to us, the average Canadian, and not to their own people or to their federal funding partners.

At best, the bill is working to make it appear that native leaders are so egregiously corrupt that they require extra paternalistic oversight, far more than any of our own levels of government are subject to. At worst, the bill is a deflection from the real source of first nations financial unaccountability, which, as was repeatedly proven by the Auditor General, is the federal government.

I would like to quote Cindy Blackstock, who is the executive director at the First Nations Child and Family Caring Society. When she appeared last May at the status of women committee, she said:

That is not to say that when this happens people shouldn't be held to account, but it should be no reason to deny children basic access to services. Where there are allegations of mismanagement of funding, there are provisions within the agreements to stop that and address it—and of course, there are the criminal courts, and they should be used to the fullest extent.

Introducing a bill that takes extreme, near emergency, measures to ensure that every financial statement, audit and report is made available to every Canadian and is subject to the unilateral power of the minister is simply trying to perpetuate a myth that band council chiefs are all mismanaging large sums of funding on reserves. That is simply untrue.

I am proud to be the member of Parliament for the Kanesatake Mohawk, whose band council grand chief, Serge Simon, is fighting every day to provide the best possible care for his nation. That is in spite of its massive debt and underfunding. Kanesatake is, and has been, working to build itself a sustainable economic future against the tremendous odds that the federal government has stacked against it and perpetuated until this day. Chief Simon has gone so far as to prove his commitment to the greater welfare of his community by donating his own salary back to the communal coffers in order to help pay back Kanesatake's debts.

Why should Kanesatake and all 638 band councils be targeted as being corrupt? I am certain that if we were to compare band council politicians and Canadian politicians at all levels of government, we would find more cases of corruption and mismanagement in our politics than in theirs. Yet, if we were to give a minister the power to unilaterally withdraw all federal transfers from provinces, territories or municipalities, as the bill would allow the Minister of Aboriginal Affairs to do to first nations, the proposal would be met with outrage.

Would we start closing down schools and sewage systems because political corruption or mismanagement exists at the city level? Of course not, because we would not punish innocent citizens and their children no matter the crime of their elected representatives.

Again, to quote Cindy Blackstock, who contacted me specifically with her comments on this legislation:

The Auditor General has repeatedly pointed to shortcomings in the accountability of the Federal Government in its relationships and funding policies respecting First Nations peoples and governments. Instead of addressing the government's internal accountability shortcomings they are wasting more tax dollars doing something that the Auditor General specifically recommended against—implementing more reporting requirements for First Nations. I would like to see the funds being spent on this initiative re-profiled to do something that will make a difference and save tax payers millions in the long run—building safe schools for First Nations children, providing equitable child welfare funding and improving health care services.

While the government is proposing impossible standards for our underfunded first nations, it withholds information from our own Parliamentary Budget Officer on spending cuts. It seems to me that is the very definition of hypocrisy.

First nations' band councils should not be treated pre-emptively like criminals, especially not by the current government. In this case the Conservative government has no moral high ground, and my colleague from Burnaby—New Westminster demonstrated that quite well a few minutes ago. When it comes to financial accountability and transparency, the Conservative government has no credibility.

The larger problem with this bill, and pretty well with every bill on first nations the government puts before Parliament, is that it is imposed on first nations without consultation. This runs counter to the Conservatives' pronouncements at the Crown-first nations gathering that they would strive to work together with first nations. However, they continue to impose legislation without the consent of the first nations their legislation would affect. New Democrats would never pass any law regarding aboriginal people without consultation, which requires consent.

This is not simply a matter of principle but one of our obligations as a signatory of the UN Declaration on the Rights of Indigenous Peoples. Article 32 of the declaration requires free, prior and informed consent on any matter relating to indigenous peoples' lands or welfare. The fact that the vast majority of first nations were not consulted on Bill C-27, let alone gave consent, means that Canada is once again breaking faith with this important declaration of rights. Why would the Prime Minister ratify the UN declaration when he does not even intend to make a cursory attempt to uphold its standards?

To quote the Assembly of First Nations on this issue:

First Nation governments are arguably among the most transparent and accountable governments in all of Canada. The AFN has long advanced its Accountability for Results initiative and continues to work with First Nation organizations and leaders—and with the Auditor General of Canada, the Treasury Board Secretariat, and Indian and Northern Affairs Canada--on better approaches to both governance and accountability.

We all know what the problems are—they are not exorbitant salaries—they are decades of paternalism that have placed many First Nation leaders in a position where they are responsible for implementing decisions, but where the ultimate power to make decisions rests with the federal government....

Alongside my New Democrat colleagues, I believe that we must move away from the paternalism of the Indian Act and toward a paradigm where we have a healthy relationship with first nations as partners, where they are able to maintain their own sovereignty and jurisdiction over their lands and business. This legislation is a perfect example of exactly the opposite and demonstrates that Conservatives have no genuine desire to work with first nations to find collaborative and functional solutions to problems.

First Nations Financial Transparency ActGovernment Orders

November 20th, 2012 / 4 p.m.
See context

NDP

Claude Gravelle NDP Nickel Belt, ON

Mr. Speaker, as I was reading the House notes last night, the first thing that came to my mind, and I am glad the member mentioned it, was to compare Bill C-27 to Bill C-377. I am also glad he used the word “strangle”. That is the proper word to use with this bill and Bill C-377. The Conservatives are trying to strangle or choke organizations that do not agree with Conservative policies. If they cannot choke or strangle them with paperwork, they take away their funding, like they did with KAIROS. It did not agree with the Conservatives' ideology, so it took away its funding. That is the only example I am going to give.

I am going to ask my colleague this. Am I right to compare Bill C-27 to Bill C-377 and say that they are almost the same?

First Nations Financial Transparency ActGovernment Orders

November 20th, 2012 / 3:45 p.m.
See context

NDP

Peter Julian NDP Burnaby—New Westminster, BC

Mr. Speaker, I am a little saddened to rise in this House and speak to this bill, particularly in the context of what we see in first nations communities across the country. Just a few months ago, members of the NDP caucus went up to Attawapiskat where we saw the appalling state of housing. We were in communities where many families live in shoddy housing. We have seen problems of funding for first nations schools and the children are in appalling conditions. What we are seeing systematically by the Conservatives is the cutting of funding to first nations communities, those communities that depend on federal government funding in order to establish the schools and have adequate housing.

Instead of putting forward a bill that would deal with the dire shortages of adequate housing and schooling, the government has put forward, as it has done in a number of other sectors, a bill that tries to strangle first nations communities. We saw this with Bill C-377 as well. With the labour unions, which are democratically run and members have the full ability to influence their course of events, the Conservatives wanted to strangle those labour unions with red tape. We see the same thing here with Bill C-27. With inadequate resources that are the fault of the Conservative government, it is trying to strangle the first nations communities.

The government members try to pretend that they are actually concerned about accountability. Here is some accountability for them. In 2006, the Assembly of First Nations said that it wanted to establish an effective financial control system for first nations communities across the country. It wanted an auditor general and an ombudsperson for first nations so that those in the community could follow up with the ombudsperson and, at the same time, it could have an auditor general looking at the finances of first nations, most of which are extremely well run, and ensure that the moneys that are forwarded are put to adequate use. That is common sense. An NDP government would have said that it made a lot of sense and it would support it and put it into place.

Six years later, is there a first nations auditor general? No. Six years later, is there a first nations ombudsperson? No. The whole pretense of the Conservative government to somehow be interested in financial accountability goes right out the window because for six years it has not done what the Assembly of First Nations has said is a solution to this issue. We support those solutions but the Conservatives refuse to do it. Instead, they put forward a bill on which there has been no consultations with first nations at all and a bill that would strangle those already underfunded first nations with the red tape that only the Conservatives know how to impose.

We see this targeting of communities, groups or organizations that the Conservatives do not like. However, let us talk about the accountability of the Conservative government. It cut back on the Auditor General's department. It says that it wants nothing to do with the accountability mechanism that exists for it and that, through underfinancing, it will strangle the Auditor General's department so it cannot look into the expenditures of the government.

We have seen the government attack systematically the Parliamentary Budget Officer. The Parliamentary Budget Officer protects the public's interests. The people watching today understand that we need to have an impartial officer of Parliament who looks into whether the government fudges the numbers. What has the government been doing systematically? Because the Parliamentary Budget Officer has been doing what is for the Conservatives the worst possible sin they can think of, which is telling the truth, he has been under vicious and unrelenting attack by the government.

The government wants nothing to do with accountability, nothing to do with actually having a system of checks and balances. The government relentlessly attacks any independent budget officer, any independent agent like the Auditor General. It does everything it can to undermine that impartial work. Those officers are working in the best interests of the public. The Conservatives are saying that they want nothing to do with accountability and transparency.

What is the result? How accurate is the financial information that we get from the Conservatives? How accurate is the information that they actually provide to Canadians? Let us take just one file, the F-35s. I think that is an adequate representation of how bad the Conservatives are at financial management. This is an untendered contract that they put forward. Originally it was supposed to cost $9 billion. We found out subsequently through the Parliamentary Budget Officer that it had gone from $9 billion to $20 billion to $30 billion. The last estimate before they tried to hide it under their cloak and let things just blow over was nearly $40 billion for the F-35s. There is no accountability there. They did not even tender the contract. Their attempt now to retreat on this issue just underscores their ineptitude and incompetence when it comes to financial matters.

As a former financial administrator, I know when one is putting together the books, one does not cook the books. We need to be honest, whether we are talking about an NGO, a business, a labour organization or a government. The Conservative government cooks the books on an ongoing basis repeatedly. The Conservatives simply do not respect the public's right to know, and the F-35 is one example.

How about the Muskoka summit? We now know, because of a variety of interventions by the NDP, that the summit cost over $1 billion. There is no accountability there. The government just decided to throw that money around and did not even have a paper trail in many cases. When it comes to accountability and transparency, the government gets an f.

Let us look at the West Block renovations that my colleague, the member for Edmonton—Strathcona, has been questioning. The West Block renovations, which were supposed to cost $750 million, are now at somewhere around $1.5 billion. Again, there was no accountability and no transparency. The government throws money around like there is no tomorrow when it comes to its lobbyist friends or when it comes to its pet projects. It does not understand accountability or transparency.

Then we see the actions of individual ministers. We were all appalled by the former member for Durham, Bev Oda, the minister who decided to move to another hotel, hire limousines and pay $16 for a glass of orange juice. When knocking on doors in Durham on Sunday night, all people wanted to talk about was how the Conservatives are so egregiously bad when it comes to entitlement. In fact, one Conservative voter told me that the Conservatives were as bad as the Liberals. We can only agree. The Conservatives are as bad as the Liberals when it comes to entitlement.

What else? We had the Minister of National Defence flying around on Canadian Forces jets and helicopters. When the Prime Minister was in India, he had his limousine flown in from halfway around the world instead of renting limousines that exist everywhere in India. I have been to India and it has a lot of great limousines. We do not even know how much was spent. It could have been a half a million dollars or a million dollars. We have no idea because under the government there is no transparency and no accountability.

We have a government that is trying to strangle first nations. It has put forward suggestions that are clearly a resolution of the problem instead of looking at itself. The government is the least accountable and the least transparent in Canadian history. I . Accountability is something that the Conservatives should be embracing but they are not, which is why we are saying to them--