First Nations Fiscal Management Act (S.C. 2005, c. 9)

Marginal note:Reporting of other revenues

14.1 If a First Nation is using other revenues as security for a loan from the First Nations Finance Authority, the First Nation shall account for all of its other revenues — including other revenues that have not been used as security for the loan — separately from its other moneys, and shall provide that accounting information to the Authority and the First Nations Financial Management Board on request.

Marginal note:Non-application of certain provisions

15 Paragraphs 83(1)(a) and (b) to (g) and section 84 of the Indian Act do not apply to a First Nation and any regulations made under paragraph 73(1)(m) of that Act do not apply to a First Nation in respect of the borrowing of money under a law made under paragraph 5(1)(d) or 8.1(1)(a).

PART 2First Nations Tax Commission

Interpretation

Marginal note:Definitions

16 The following definitions apply in this Part.

Commission

Commission means the First Nations Tax Commission. (Commission)

taxpayer

taxpayer means a person paying taxes or fees under a law made under paragraph 5(1)(a) or (a.1). (contribuable)

Establishment and Organization of Commission

Marginal note:Commission

• 17 (1) There is hereby established a commission, to be known as the First Nations Tax Commission, consisting of 10 commissioners, including a Chief Commissioner and Deputy Chief Commissioner.

• Marginal note:Capacity, rights, powers and privileges

  (2) The Commission has the capacity, rights, powers and privileges of a natural person, including the capacity to

  • (a) enter into contracts;

  • (b) acquire, hold and dispose of property or an interest or right in property, or lease property;

  • (c) raise, invest or borrow money; and

  • (d) sue and be sued.

Marginal note:When agent of Her Majesty

• 18 (1) The Commission is an agent of Her Majesty only for the approval of local revenue laws.

• Marginal note:Savings

  (2) For the purpose of subsection (1), the issuance of a certificate referred to in paragraph 32(2)(b) is deemed not to be an approval of a local revenue law.

Marginal note:Appointment of Chief Commissioner

• 19 (1) On the recommendation of the Minister, the Governor in Council shall appoint a Chief Commissioner and Deputy Chief Commissioner.

• Marginal note:Tenure

  (2) The Chief Commissioner and Deputy Chief Commissioner hold office during good behaviour for a term not exceeding five years, subject to removal by the Governor in Council at any time for cause.

Marginal note:Appointment of commissioners

• 20 (1) On the recommendation of the Minister, the Governor in Council shall appoint four commissioners to hold office during good behaviour for a term not exceeding five years, subject to removal by the Governor in Council at any time for cause.

• Marginal note:Appointment of commissioners

  (2) On the recommendation of the Minister, the Governor in Council shall appoint three additional commissioners — one of whom shall be a taxpayer using reserve lands for commercial, one for residential and one for utility purposes — to hold office during good behaviour for a term not exceeding five years, subject to removal by the Governor in Council at any time for cause.

• Marginal note:Appointment of additional commissioner

  (3) A body prescribed by regulation shall appoint an additional commissioner to hold office during pleasure for a term not exceeding five years.

• Marginal note:Staggered terms

  (4) In determining the term of appointment of commissioners, the Governor in Council shall endeavour to ensure that the terms of no more than three commissioners expire in any one calendar year.

• Marginal note:Qualifications

  (5) The Commission shall be composed of individuals from across Canada, including members of First Nations, who are committed to the development of First Nations local revenue systems and who have the experience or capacity to enable the Commission to fulfil its mandate.

Marginal note:Status

21 The Chief Commissioner shall hold office on a full-time basis, while the other commissioners shall hold office on a part-time basis.

Marginal note:Reappointment

22 A commissioner may be reappointed for a second or subsequent term of office.

Marginal note:Remuneration

• 23 (1) Commissioners shall be paid the remuneration determined by the Governor in Council.

• Marginal note:Expenses

  (2) The Chief Commissioner shall be reimbursed for reasonable travel and other expenses incurred in performing duties while absent from their ordinary place of work. Other Commissioners shall be reimbursed for such expenses incurred in performing duties while absent from their ordinary place of residence.

Marginal note:Chief Commissioner — functions

24 The Chief Commissioner is the chief executive officer of the Commission and has supervision over, and direction of, the work and staff of the Commission.

Marginal note:Deputy Chief Commissioner — functions

25 In the event of the absence or incapacity of the Chief Commissioner, or if the office of Chief Commissioner is vacant, the Deputy Chief Commissioner shall assume the duties and functions of the Chief Commissioner.

Marginal note:Head office

• 26 (1) The head office of the Commission shall be on the reserve lands of the Tk’emlúps te Secwépemc or at any other location that the Governor in Council determines.

• Marginal note:Additional office

  (2) The Commission shall maintain an additional office in the National Capital Region described in the schedule to the National Capital Act.

Marginal note:Rules of procedure

27 The Commission may make any rules that it considers necessary for the conduct of, and the fixing of a quorum for, its meetings.

Marginal note:Staff

• 28 (1) The Commission may

  • (a) hire any staff that is necessary to conduct the work of the Commission; and

  • (b) determine the duties of those persons and the conditions of their employment.

• Marginal note:Salaries and benefits

  (2) Persons hired under subsection (1) shall be paid the salaries and benefits fixed by the Commission.

Purposes

Marginal note:Mandate

29 The purposes of the Commission are to

• (a) support and protect the integrity of First Nations local revenue systems and promote common approaches to those systems as part of the Canadian fiscal framework;

• (b) support and promote the reconciliation, in First Nations local revenue systems, of the interests of taxpayers with the responsibilities of councils to govern the affairs of First Nations;

• (c) support and promote positive relationships between First Nations and taxpayers, including through the provision of support services for the resolution of disputes related to First Nations local revenue systems;

• (d) assist First Nations in the exercise of their jurisdiction over local revenues;

• (e) develop and deliver, and provide support for the development and delivery of, training and education services — and conduct research — respecting the implementation and administration of First Nations local revenue systems, respecting First Nations economic growth and respecting the evolution of local revenue systems;

• (f) assist First Nations in growing their economies and increasing their local revenues;

• (g) promote transparency of First Nations local revenue systems and understanding of those systems by members of First Nations, taxpayers and the public;

• (h) conduct research and provide advice and information to the Government of Canada, including the Minister, regarding the future development and implementation of frameworks to support First Nations in exercising their jurisdiction over local revenues;

• (i) conduct research, analyze information and provide advice to support the development, implementation and administration of First Nations local revenue systems;

• (j) collaborate with First Nations, Indigenous institutions and organizations and all levels of government to strengthen First Nations economies and support the development of legal and administrative frameworks to promote the evolution of their jurisdiction over local revenues;

• (k) support the negotiation, development and implementation of agreements related to First Nations local revenue systems;

• (l) provide services to any Indigenous group named in the schedule to any regulation made under section 141; and

• (m) 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.

Functions and Powers

Marginal note:Powers

30 In furtherance of the purposes set out in section 29, the Commission may enter into cooperative arrangements and shared-cost ventures with national and international organizations to consult on or sell products or services developed for First Nations who have made property taxation laws.

Marginal note:Local revenue law review

• 31 (1) The Commission shall review every local revenue law.

• Marginal note:Written submissions

  (2) Before approving a law made under paragraph 5(1)(a), (a.1) or (c), other than a law referred to in subsection 10(1), the Commission shall consider, in accordance with any regulations made under paragraph 36(1)(b), any representations made to it under paragraph 7(b) in respect of the law.

• Marginal note:Local revenue law approval

  (3) Subject to section 32, the Commission shall approve a local revenue law that complies with this Act and with any standards and regulations made under this Act.

• Marginal note:Registry

  (4) The Commission shall maintain a registry of every law approved by it under this section and every financial administration law made under section 9.

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

  • (a) the First Nation has obtained and forwarded to the Commission a certificate in respect of their financial performance, issued by the First Nations Financial Management Board under subsection 50(3); and

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

• 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

  • (a) a true copy of the law registered under subsection 31(4); and

  • (b) a certificate stating that the law meets all the requirements of this Act and the regulations made under this Act.

• 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:Certificate is evidence

  (4) A certificate referred to in paragraph (2)(b) is, in the absence of evidence to the contrary, conclusive evidence in any judicial proceedings of the facts contained in it.

Marginal note:Review on request

• 33 (1) On the request in writing by a member of a First Nation, or by a person who holds an interest or right in reserve lands, who

  • (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,

  • (b) has requested the council of the First Nation to remedy the situation, and

  • (c) is of the opinion that the council has not remedied the situation,

  the Commission shall conduct a review of the matter in accordance with the regulations.

• 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: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

  • (a) shall order the First Nation to remedy the situation; and

  • (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.