First Nations reject $47.8B deal for long-term Indigenous child services reform

By Karunjit Singh ·

Law360 Canada (October 21, 2024, 4:07 PM EDT) -- The federal government has expressed disappointment in a decision by First Nations chiefs to vote against a $47.8 billion deal on long-term reform of Indigenous child and family services over concerns about the uncertainty of annual funding approvals and the implementation structure of the agreement.

“We are disappointed by this outcome but remain committed to the reform of the First Nations Child and Family Services Program. We are committed to building a system together where all First Nations children grow up surrounded by their culture, love and their language,” Minister of Indigenous Services Patty Hajdu said, according to an Oct. 21 release.

The federal government in July reached an agreement with the Assembly of First Nations (AFN), Chiefs of Ontario and Nishnawbe Aski Nation to provide $47.8 billion over 10 years for stable and predictable funding to fully support a reformed program.  

The proposal more than doubled the $20 billion over five years proposed for long-term reform of the First Nations Child and Family Services Program under an earlier agreement in principle.

The AFN held a special chiefs assembly in Calgary where 267 out of 414 chiefs voted against a resolution in support of the deal, even though it had received support from the Nishnawbe-Aski Nation and the Chiefs of Ontario earlier this month.

The Squamish Nation said it was “celebrating the defeat” of the draft agreement, claiming that the agreement had a flawed implementation structure and reflected weak commitments to long-term reform.

“While the draft Final Settlement Agreement outlined $47.8 billion in funding over 10 years, this financial commitment depended on annual parliamentary approvals and other vague, undefined federal approval processes,” the First Nation said in a release.

The Squamish First Nation called for binding long-term commitments “that extend beyond a 10-year window” to ensure an end to systemic discrimination against First Nations children with respect to child and family services.

On the other hand, the Nishnawbe Aski Nation expressed its dissatisfaction with the deal not being ratified and at celebrations on the defeat of the resolution to approve the agreement.

“[W]e want to highlight the shameful way that the defeat of today’s resolution was celebrated by those in the room — many being those in the child welfare agencies who will continue to benefit from the status quo. Instead of moving forward together in a strength-based approach, we saw the divisiveness that unfortunately just continues to cause harm to our children,” the First Nation said in a release.

The proposed agreement included key reforms to the current program’s funding methodology to put “First Nations in the driver’s seat in delivering child and family services to their communities” according to a government release.

The proposed reforms would also provide funding focused on culturally appropriate prevention activities, as well as child and family services funding to support First Nations youth aging out of the child welfare system.

The agreement-in-principle also provided for a $2 billion fund for First Nations to purchase, construct or renovate housing units in their communities in relation to the needs of First Nations children.

Indigenous Services Canada noted that the federal government had made significant investments toward reforming the First Nations Child and Family Services Program, including implementing key provisions of the agreement-in-principle that were supported by previous AFN resolutions.

“This includes increasing program funding from $680 million in 2015-16 to over $3.8 billion in 2023-24,” ISC noted, adding that the government has committed $8.1 billion to date towards meeting the needs of First Nations children through Jordan’s Principle.

Jordan’s Principle makes sure all First Nations children living in Canada can access the products, services and supports they need when they need them. It is named after Jordan River Anderson, who was born in 1999 with multiple disabilities and lived over two years in a hospital because federal and provincial governments could not agree on who would pay for his at-home care.

The AFN noted that its executive committee would meet to discuss a path forward to reach an agreement with the federal government on long-term reform of First Nations child and family services.

“The AFN has been directed to return to the negotiation table, a mandate we take seriously,” the AFN said in a release.

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