At the 2016 AFN Annual General Assembly, National Chief Bellegarde and INAC Minister Carolyn Bennett signed a Memorandum of Understanding (MOU) for a Fiscal Relations Working Group. Under the MOU, the AFN and INAC will examine options for a new fiscal relationship that will identify what “sufficient” funding means. It is not only about removing the 2% cap. It is about meeting real needs now and in the future. It is about changing the way financial allocations are determined. It means looking at the most effective and efficient ways for transferring funds to allow for strategic planning and getting results on the ground. It means addressing how First Nations governments deliver accountability to their citizens. It means ways to measure whether the gap is closing and how quickly that is happening. It means looking at all these areas and more.
Through this work, a report and options for next steps will be presented to Chiefs-in-Assembly for review and further direction. Any recommendations from this work will not be binding.