Mr. Speaker, Bill C-31 is a land claim and self-government agreement between the Tlicho, earlier known as the Dogrib, the Government of the Northwest Territories and the Government of Canada, and makes amendments to the Mackenzie Valley Resource Management Act, and consequential amendments to other acts. Because it is a land claims agreement as well as a self-government agreement, it is constitutionally protected. As well, this is enabling legislation to give effect to the Tlicho tax treatment agreement.
I have many general observations about all this.
The federal government has been essentially carving up the north since the 1980s with the creation of Nunavut, the comprehensive Yukon Indian agreement for the 14 Yukon first nations, and the Gwich'in, the Inuvialuit and the Sahtu land claim agreements in the Northwest Territories. Essentially there are two areas not yet covered with a land claim in the north after the Tlicho, and they are the Akaitcho and Dehcho in the Northwest Territories which border to the south and west of the Tlicho, the agreement we are talking about, which is just north of Yellowknife. I hope that puts it in perspective for some people.
The impression I and others get from reading this agreement is that the federal government is trying to be all things. In the process it has agreed to provisions that contain some contradictions and a deliberate lack of clarity.
To give a bit of background,Stephen Kakfwi, the former premier of the Northwest Territories and the former holder of the aboriginal portfolio as well, promoted a very strong aboriginal and northern ownership agenda. In August last year he suggested that within five years virtually the entire Northwest Territories would live under some form of aboriginal governance. We have had a lot of land claim agreements but we have not had aboriginal governments until this agreement.
Jim Antoine, another longstanding MLA, as the Northwest Territories' resources minister stated that aboriginal governments will become allies in the territories' fight to win control of its resources and the associated royalties from the federal government. That was last August as well.
That gives a little of the flavour of where the territorial government is coming from in respect to this whole issue.
The agreement gives the 3,000 Tlicho people claims to subsurface resources, law-making authority and the power to tax, levy royalties and manage resources on 39,000 square kilometres laying between Great Bear and Great Slave lakes north of Yellowknife. That is an area roughly half the size of New Brunswick. It is bounded on the north by the Sahtu, on the east by Nunavut, and on the south and to the west by the future Akaitcho and Dehcho territories.
I talked a little in my question to the parliamentary secretary about the concurrence issue. I think he explained that reasonably well.
This agreement consumed $27 million in negotiation costs for the Tlicho. This has been a tremendously expensive process and one which I do not think demonstrates a proud record.
I still remain very concerned. The Charter of Rights and Freedoms applies to the Tlicho government in respect to all matters within its authority. That is clear in the agreement. However the agreement states:
protections for Tlicho Citizens and for other persons to whom Tlicho laws apply, by way of rights and freedoms no less than those set out in the Canadian Charter of Rights and Freedoms;
That gives me some difficulty.
There are two operating diamond mines in the Tlicho territory that are specifically excluded from the land claim area but remain within the territory. Any future subsurface extraction on Tlicho lands would be subject to a Tlicho royalty regime.
As it stands right now, under the Mackenzie Valley resource sharing agreement the Tlicho get 10.5% of the first $2 million of mineral royalties received by the federal and territorial governments for subsurface resources within the five regions of the Mackenzie Valley and a further 2.1% after the $2 million figure is raised. This brings in about $3.5 million a year to the Tlicho government from the whole basin of the Mackenzie Valley.
The royalties from the existing diamond mines that are specifically excluded from the Tlicho lands, contribute to that formula, which is also shared by the Sahtu, the Gwich'in and others in the Mackenzie Valley region.
The proposed route of the Mackenzie Valley pipeline would not traverse Tlicho lands and therefore is not an issue at this time.
The band is involved in hydro development and is likely to become self-sufficient and a net contributor to the grid for the Northwest Territories.
The largest of the four Tlicho communities, Rae Edzo, is located along the Fraser Highway and the Tlicho government is planning an all-weather highway to link the other three communities, which are Lac la Martre, Snare Lake and Rae Lake.
Taxation provisions of the agreement are a little bit unclear since there is no concluded taxation agreement between Canada and the Tlicho government, although one is to be concluded.
Tlicho citizens would pay GST and income tax. Tlicho government corporations would not pay either tax when conducting business on Tlicho land.
The Indian Act would no longer apply to Tlicho citizens and Tlicho lands would not be considered reserve lands.
Tlicho citizens would have continued access to all federal programs for status and non-status Indians and Metis. The Tlicho government would receive taxes paid to the federal government from Tlicho residents.
The Criminal Code would continue to apply.
There are several other areas I would like to talk about but I will summarize where I will go next time. The first area relates to the provisions for governance and the setting up of a renewable resources board, a land and water board and some of the financial costs and funding details.
This is an agreement that has a $152 million cash settlement to be paid out over 15 years and the Tlicho government will pay off its $27 million negotiating loan in the first six years.
In addition, there is a one time payment of $5 million to an economic development fund to be managed by the Tlicho government. That fund comes from the federal government.