An Act to amend the First Nations Fiscal Management Act, to make consequential amendments to other Acts, and to make a clarification relating to another Act (S.C. 2023, c. 16)

Marginal note:2018, c. 27, par. 414(n)(E)

11 Subsection 20(5) of the Act is replaced by the following:

12 Subsection 23(2) of the English version of the Act is replaced by the following:

Marginal note:2018, c. 27, par. 414(o)(E)

13 Paragraphs 29(a) to (i) of the Act are replaced by the following:

Marginal note:2018, c. 27, s. 394(1)

• 14 (1) The portion of subsection 32(1) of the Act before paragraph (a) is replaced by the following:

  Marginal note:Restrictions

  • 32 (1) The Commission shall not approve a law made under paragraph 5(1)(d) with respect to a loan referred to in paragraph 74(a) unless

• Marginal note:2018, c. 27, par. 414(p)(E)

  (2) Paragraph 32(1)(b) of the Act is replaced by the following:

  • (b) the First Nation has sufficient unutilized borrowing capacity in respect of that loan.

• Marginal note:2018, c. 27, s. 394(2)

  (3) The portion of subsection 32(2) of the Act before paragraph (a) is replaced by the following:

  • Marginal note:Copy and certificate

    (2) On approving a law made by a First Nation under paragraph 5(1)(d) with respect to a loan referred to in paragraph 74(a), the Commission shall provide the First Nations Finance Authority with

• Marginal note:2018, c. 27, s. 394(3)

  (4) Subsection 32(3) of the Act is replaced by the following:

  • Marginal note:Notice of judicial review

    (3) If the Commission becomes aware that judicial review proceedings have been undertaken in respect of an approved law referred to in subsection (2), the Commission shall without delay inform the First Nations Finance Authority of those proceedings.

Marginal note:2018, c. 27, par. 414(q)(E)

• 15 (1) Paragraph 33(1)(a) of the Act is replaced by the following:

  • (a) is of the opinion that the First Nation has not complied with this Part or a regulation made under this Part or, with respect to local revenues, Part 1 or a regulation made under that Part or that a local revenue law has been unfairly or improperly applied,

• Marginal note:2018, c. 27, par. 414(q)(E)

  (2) Subsection 33(2) of the Act is replaced by the following:

  • Marginal note:Independent review

    (2) If the Commission is of the opinion that a First Nation has not complied with this Part or a regulation made under this Part or, with respect to local revenues, Part 1 or a regulation made under that Part or that a local revenue law has been unfairly or improperly applied, it shall conduct a review of the matter in accordance with the regulations.

• Marginal note:2018, c. 27, par. 414(q)(E)

  (3) The portion of subsection 33(3) of the Act before paragraph (a) is replaced by the following:

  • Marginal note:Remedying the situation

    (3) If, after conducting a review, the Commission considers that a First Nation has not complied with this Part or a regulation made under this Part or, with respect to local revenues, Part 1 or a regulation made under that Part or that a local revenue law has been unfairly or improperly applied, the Commission

• Marginal note:2018, c. 27, par. 414(q)(E)

  (4) Paragraph 33(3)(b) of the Act is replaced by the following:

  • (b) may, if the First Nation does not remedy the situation within the time set out in the order, by notice in writing, require the First Nations Financial Management Board to either — at the Board’s discretion — impose a co-management arrangement on the First Nation under section 52 or assume third-party management under section 53 to remedy the situation.

16 The Act is amended by adding the following after section 35:

• 17 (1) Section 41 of the Act is amended by adding the following after subsection (1):

  • Marginal note:Indigenous directors

    (1.1) The Governor in Council shall endeavour to ensure that the majority of the directors are Indigenous.

• Marginal note:2018, c. 27, par. 414(t)(E)

  (2) Subsection 41(4) of the Act is replaced by the following:

  • Marginal note:Qualifications

    (4) The board of directors shall be composed of individuals from across Canada, including members of First Nations, who are committed to the strengthening of the financial management of First Nations or of entities referred to in paragraphs 50.1(1)(a) to (c) and who have the experience or capacity to enable the Board to fulfil its mandate.

18 Section 44 of the Act is replaced by the following:

19 Subsection 45(2) of the Act is replaced by the following:

Marginal note:2018, c. 27, par. 414(u)(E)

• 20 (1) Paragraphs 49(a) to (c) of the Act are replaced by the following:

  • (a) assist First Nations and entities referred to in subsection 50.1(1) in developing the capacity to meet their financial management requirements;

  • (a.1) assist First Nations and entities referred to in subsection 50.1(1) in developing and implementing laws and by-laws respecting financial administration;

  • (b) assist First Nations and entities referred to in paragraphs 50.1(1)(a) to (c) in their dealings with different levels of governments respecting financial management, including matters of accountability and shared fiscal responsibility;

  • (c) assist First Nations and entities referred to in paragraphs 50.1(1)(a) to (c) in the development, implementation and improvement of financial relationships with financial institutions, business partners and different levels of governments, to enable the economic and social development of First Nations and of those entities;

• Marginal note:2018, c. 27, par. 414(u)(E)

  (2) Paragraphs 49(g) to (i) of the Act are replaced by the following:

  • (g) provide monitoring and reporting services respecting financial management systems and financial performance;

  • (g.1) provide First Nations and entities referred to in subsection 50.1(1) with monitoring and reporting services respecting the implementation of laws and by-laws respecting financial administration and the compliance of those laws and by-laws with applicable standards;

  • (h) provide services respecting the co-management and third-party management of local revenues and other revenues;

  • (i) provide advice, policy research and review and evaluative services on the development of fiscal arrangements between different levels of governments and First Nations, as well as on the development of fiscal arrangements between different levels of governments and entities referred to in paragraphs 50.1(1)(a) to (c);

  • (j) develop, implement, test and evaluate, as well as conduct research with respect to, proposals and pilot projects related to the purposes set out in the other paragraphs of this section;

  • (k) assist First Nations, entities referred to in subsection 50.1(1), other levels of government and public and private organizations in the development and implementation of fiscal and economic proposals that contribute to responding to the Truth and Reconciliation Commission of Canada’s Calls to Action and to implementing the United Nations Declaration on the Rights of Indigenous Peoples; and

  • (l) collect data, publish statistical information and conduct research and analysis on matters related to the purposes set out in the other paragraphs of this section.

21 The Act is amended by adding the following after section 50:

Marginal note:2018, c. 27, s. 398

• 22 (1) Paragraphs 50.1(1)(c) and (d) of the English version of the Act are replaced by the following:

  • (c) an Indigenous group that is a party to a treaty, land claims agreement or self-government agreement with Canada or with a province, or an entity established under, or as a result of, such a treaty or agreement;

  • (d) an entity — owned or controlled by one or more First Nations or entities referred to in paragraph (a), (b) or (c) — whose mandate is primarily to promote the well-being or advancement of Indigenous people; or

• Marginal note:2018, c. 27, s. 398

  (2) Paragraph 50.1(1)(e) of the Act is replaced by the following:

  • (e) a not-for-profit organization established to provide public services to Indigenous groups or Indigenous persons, including services with respect to social welfare, infrastructure, housing, recreational or cultural activities, health or education.

23 The Act is amended by adding the following after section 50.1: