Check Against Delivery

Good afternoon. Today is an historic day for First Nations. After four years of work with our First Nations partners, we are proud to introduce the First Nations Fiscal and Statistical Management Act.

In terms of economic development and financial independence, this is the most significant step forward in the last 100 years. For those First Nations who decide to opt in and meet the qualifications, this bill will re-establish the powers to make their own decisions about their own financing. It means that Chief and Council will have the power to finance their own infrastructure projects without coming to Ottawa to ask permission.

As those Chiefs and Council go through the same debate as I do at the Cabinet table—about raising money and investing in their communities—they will have the best expertise providing advice on those decisions, and the best data to make those decisions. It means the people who contribute to the revenue of First Nations communities through property tax will have better representation. And for First Nations citizens and their communities, it can mean financial independence.

As you know, we released the draft bill for discussion last July. We are now ready to bring this forward for more discussion through Parliamentary Committee. The bill creates four new First Nations institutions. First, an institution is needed to clarify the borrowing authority of First Nations. The proposed First Nations Finance Authority will open the capital markets to First Nations.

We all know about Canada Savings Bonds or the Bonds or debentures used by provincial and municipal governments to fund things like new water mains, roads or other infrastructure. First Nations who opt in to this system will have access to those tools to improve the quality of life for their citizens.

At the moment, First Nations can and do borrow money for these projects, but they often pay higher interest rates. In short, some First Nations are funding their development at interest rates similar to those you'd only see on a credit card. The First Nations Finance Authority will provide the means to borrow at much lower interest rates.

Second, First Nations need to build their financial management expertise. They need the means to keep that expertise current, to share ideas and success. A separate institution—the First Nations Management Board—will establish financial standards, promote expertise, and provide the assessment services for access to the common capital fund.

And third, a First Nations Tax Commission is needed to provide greater representation for taxpayers and strengthen the First Nations real property tax system.

Over 90 First Nations collect property taxes right now and use this money to build their communities just like other governments do. For those First Nations that opt in, this new institution will assume responsibility for the existing tax by-law approval process and serve as an authoritative body to balance community and taxpayer interest.

And finally, a First Nations Statistical Institute is needed to fill the current gap in the reliable data on First Nations populations, and to foster economic growth.

This Institute will help First Nations meet their local data needs while at the same time building linkages with the integrated national systems delivered by Statistics Canada.

Today's legislation is all about my commitment and my government's commitment to improve the opportunities for First Nations citizens. We believe this is a major step forward. First Nations who choose to participate will re-establish many of the financial powers and many of the responsibilities that every other government in Canada takes for granted. Powers that governments use to improve the quality of life and the opportunities for their citizens.

Canadians expect no less, and I am confident that today we are again delivering on that commitment.

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