Quotulatiousness

December 14, 2025

Where does all the money go for so many First Nations bands?

Filed under: Bureaucracy, Cancon, Economics, Government — Tags: , , , , , — Nicholas @ 03:00

Earlier this month, I shared a long thread highlighting some incredible findings from the audit of a single First Nations group in Saskatchewan (here). On the social media site formerly known as Twitter, @Martyupnorth discusses how the federal government has gone out of its way not to ensure that First Nations funding is transparent:

    Cory Morgan @CoryBMorgan
    The Siksika reserve got $1.3 billion a few years ago and the housing is still predominantly shit.

    It’s not lack of government funding folks.

    It’s a broken system of racial apartheid.

    This ruling won’t help a bit.

Let’s talk about transparency in First Nations reserve finances in Canada. It’s topic that’s sparked a lot of debate.

Back in 2013, the Harper government passed the First Nations Financial Transparency Act (FNFTA), which required chiefs and councils to publicly disclose their salaries, expenses, and audited financial statements. The goal? To ensure accountability for the billions in federal funding going to reserves, empowering community members to hold leaders responsible and curb potential corruption.

But the Act was controversial from the start. Critics, including many First Nations leaders (no surprise there), called it paternalistic, imposed without proper consultation, and an infringement on Indigenous sovereignty. Some argued it violated privacy by forcing the public release of sensitive financial details, like personal remuneration schedules.

Enter Justin Trudeau. During his 2015 campaign, he promised to repeal the FNFTA, saying it wasn’t “respectful” to First Nations and needed replacement with a co-developed approach. Once in power, his government didn’t formally repeal the Act, but effectively reversed it by suspending enforcement. They stopped withholding funds from non-compliant bands, halted court actions, and reinstated frozen money. Compliance rates plummeted afterward, with fewer bands disclosing info publicly.

See the screen shot below. The Siksika Nation, to whom Cory refers to, hasn’t dislosed financial data since 2013.

The Liberals’ rationale? Building “mutual accountability” through partnership rather than top-down rules, addressing privacy concerns and respecting self-governance. But a decade later, as of 2025, the Act remains on the books unenforced, while polls show most Canadians still want transparency in how reserve funds are mis-managed.

What do you think? Does ditching enforcement help or hinder real accountability?

Update: At some point, the audits have to start and the government and the courts will then have their hands full:

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