First Nations Financial
Management Board Scheduling
Registering for Compliance
Acho Dene Koe First Nation is working towards compliance with the requirements set forth by the First Nations Financial Management Board (FNFMB).
The initial step includes involves registering with the FNFMB schedule and then enacting a First Nations Financial Administration Law.
In 2025 the First Nation took the initial step by registering for the First Nations Financial Management Board Schedules.
The target date for passing Financial Administration Law is before April 30, 2026.
What does Compliance Mean
In passing a First Nations Financial Administration Law, it establishes a framework aimed at improving the financial governance and administrative practices of First Nations in Canada.
This legislation enables Indigenous governments to effectively manage their financial operations, upholding principles of transparency, accountability, and sustainability. It represents a significant advancement in the broader pursuit of self-governance and economic autonomy for First Nations. By recognizing the inherent right to self-determination, this legal structure permits Indigenous governments to formulate their own financial policies and procedures, independent of the Indian Act, thereby optimizing resource management.
The First Nations Financial Management Act (FNFMA), enacted in 2006, serves as a foundational statute that allows participating First Nations to build robust financial systems, access capital markets, and develop fiscal frameworks that reflect their distinct cultural and economic contexts. Through the promotion of sound financial management practices, the First Nations Financial Administration Law not only strengthens overall governance but also fosters community development and sustainable economic growth.
What is the Steps to Passing a First Nations Financial Administration Law
- The First Nation must conduct consultations with the First Nations Financial Management Board to discuss the Nations desires to address community members concerns regarding financial governance and how to improve financial transparency and stability.
- This is often followed by the development of a draft law, which outlines the financial management practices, reporting requirements, and accountability measures tailored to the community’s needs.
- Once the draft is prepared, it undergoes a review process, often involving legal advisors to ensure adherence to relevant legislation, such as the First Nations Financial Transparency Act.
- After revisions, the proposed law is presented to the community for further discussion, and ultimately, it is put to a vote.
- If the community supports the law, it is formally adopted and implemented, with ongoing education and training for members on the new financial practices established by the law.
Where are is Acho Dene Koe First Nation currently in passing of the new Law
The Chief and Council at their December 16, 2024, meeting passed a band council resolution to provide notice that the First Nation wanted to inform the First Nations Financial Management Board (“FNFMB”) that Acho Dene Koe First Nation intended to become the first Treaty 11 First Nation to enact a Financial Administration Law.
At that same meeting the Chief and Council approved by resolution to sign the Letter of Cooperation between the First Nations Financial Management Board and Acho Dene First Nation.
And lastly, at the December 16, 2024, meeting, Chief and Council approved a band council resolution to give notice to the First Nations Financial Management Board that Acho Dene Koe First Nation wishes to be added to the Schedule to the First Nations Financial Fiscal Management Act.
The next step involves step #2 – the drafting of the financial administration law.
Funding is being sought from Canada in the new year (2025-2026) that will provide for the hiring of a consultant to work with management and Council in the preparing of the draft law. Once prepared then it will go through the review process of legal and then brought to the members for explanation, discussion, and ultimately adoption. It is hoped that all these steps and the passing of the law can occur prior to the end of the 2025 calendar year.
For More information about the First Nations Financial Management Board, please see their website at https://fnfmb.com
Key Features of First Nations Financial Administration Law
- Financial Governance Framework: The First Nations Financial Administration Law establishes a governance framework that outlines the roles and responsibilities of financial officers, councils, and community members in the administration of financial resources.
- Financial Management Policies: The law will require Acho Dene Koe First Nation to update and create stronger financial management policies that cover budgeting, accounting, and reporting. The intent of these revised policies is to promote greater transparency and ensure that financial decisions are made in the best interest of the community.
- Financial Reporting: Acho Dene Koe First Nation will continue to be mandated to prepare annual financial statements and reports that provide a clear picture of its financial position. This fosters accountability and allows community members to stay informed about financial matters.
- Audit Requirements: The First Nations Financial Administration Law includes provisions for regular audits, ensuring that First Nations financial practices are subject to independent review. This helps identify areas for improvement and strengthens financial governance.
- Capacity Building: The First Nations Financial Administration Law encourages First Nations to invest in capacity building, providing training and resources to enhance the skills of financial personnel and improve overall financial management.
Benefits of a First Nations Financial Administration Law
- Enhanced Autonomy: By developing its own financial administration laws, Acho Dene Koe First Nation gains greater control over its financial affairs, independent of Canadian legislation and the Indian Act.
- Improved Financial Management: The establishment of standardized financial practices will help the Nation manage its resources more effectively, leading to better financial health and sustainability.
- Increased Access to Capital: With improved financial governance, Acho Dene Koe First Nation and its associated entities will be able to access funding from various sources, including private investors and financial institutions, facilitating economic development projects.
- Strengthened Community Trust: Transparency and accountability in financial management foster trust among community members, encouraging greater participation in decision-making processes.
- Provide access to participate in the New Fiscal Relationship (“NFR”) with Indigenous Services Canada (“ISC”). Indigenous Services Canada (ISC) is accepting expressions of interest for the New Fiscal Relationship (NFR) Grant. The NFR grant is an optional funding mechanism that provides predictable and flexible funding to eligible recipients for up to 28 programs and services. The NFR grant supports self-determination by providing recipients with:
- long-term funding predictability through a renewable term of up to 10 years
- flexibility to design and deliver services to meet community priorities
- flexibility to allocate, manage and use funding to address changing circumstances
- ability to retain unspent funds
- predictable cash flow options with annual payments available April 1 each year
- annual funding escalation based on inflation and population growth, with a minimum growth rate of 2% each year
- reduction in administrative reporting
- As of the 2024–25 fiscal year, 160 First Nations have signed NFR grant funding agreements, and ISC continues to work with many other interested First Nations who are considering the grant. At present there are no Treaty 11 First Nations of the Northwest Territories who have signed a NFR grant funding agreement with Canada, like Acho Dene Koe First Nation there are several considering
https://sac-isc.gc.ca/eng/1527080791657/1527080813525