Canada Takes Concrete Action to Advance New Self-Government Fiscal Framework with Self-Governing Indigenous Governments

CARCROSS, YT, June 27, 2017 /CNW/ - The Government of Canada is committed to renewing the relationship with Indigenous peoples based on respect, cooperation and partnership. That is why we are working in full partnership with self-governing Indigenous governments on a new self-government fiscal policy framework. This will ensure they have the tools and resources they need to support the wellbeing of their communities. ‎

Today, the Honourable Carolyn Bennett, Minister of Indigenous and Northern Affairs, announced that funding reductions for self-governing Indigenous governments under Canada's own-source revenue policy will be suspended for up to three years while parties work toward a new self-government fiscal policy framework. This will ensure that while work is underway to develop a new policy, those with self-government agreements will be able to allocate all of their resources to the most pressing needs in their communities.

Under Canada's own-source revenue policy, Federal transfers to support those with self-government agreements are offset by a portion of each of their own-source revenues. Own-source revenue is the revenue that a government raises by collecting taxes and resource revenues or by generating business and other income. Under self-government agreements, self-governing Indigenous governments use this revenue to contribute to the costs of their own operations, such as providing programs and services to their citizens.

Quotes

"For years, self-governing Indigenous governments have been calling for changes to Canada's own-source revenue policy. Our Government has heard those calls, and today we are pleased to announce that we are working together on a new fiscal framework that will lead to economic sustainability and better outcomes for Indigenous communities. This marks another step forward in our journey of reconciliation and ensuring strong, vibrant communities for generations to come."

The Honourable Carolyn Bennett, M.D., P.C., M.P.
Minister of Indigenous and Northern Affairs

"The Land Claims Agreement Coalition (LCAC) welcomes the moratorium as a recognition of its members' commitment to working with Canada to develop a new fiscal relationship that is reflective of reconciliation, a nation-to-nation relationship, and their constitutionally protected modern treaties.  LCAC members work hard to develop sources of revenue for their governments and their citizens or members. By ensuring that those revenues remain in the community, the moratorium will greatly assist LCAC members in their efforts to improve the lives of their people.  Our members appreciate this concrete step towards a new fiscal relationship."

Eva Clayton
President of Nisga'a Nation
Co-Chair of Lands Claims Agreement Coalition

"Yukon Self Governing First Nations are encouraged by the recent announcement of the interim suspension of the own source revenue offsets. This suspension will allow for the much required financial resources to remain in our communities and assist with implementation of the agreements. Yukon Self Governing First Nations look forward to further negotiations with Canada on developing a new fiscal relationship."

Grand Chief Peter Johnston
Council of Yukon First Nations

Associated Links

Own-source revenue for self-governing groups 
Fiscal arrangements with self-governing Indigenous groups 
Canada's Fiscal Approach for Self-Government Arrangements

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SOURCE Indigenous and Northern Affairs Canada

Sabrina Williams, Press Secretary, Office of the Honourable Carolyn Bennett, 613-697-8316; INAC Media Relations, Indigenous and Northern Affairs Canada, 819-953-1160