âOur Way of Lifeâ
“Our Way of Life” Presentation for Tanana Chiefs Conference Fairbanks, Alaska March 16, 2015 By James Ross, Teetl’it Gwich’in, Canada
Our Way of Life Our land, Our Food, Our People
Change New Comers Roads, Pipelines, Mines, Power, etc.
Our Comeback Fastest Growing Population Experience, Education, Determination Canada’s Experience
The National Aboriginal Economic Development Board
The NAEDB
The National Aboriginal Economic Development Board was established in 1990 by the Government of Canada to provide strategic policy and program advice on Aboriginal economic development.
The NAEDB – Membership Members Chair: Chief Clarence Louie (British Columbia) - Chief, Osoyoos Indian Band Vice-Chair: Dawn Madahbee (Ontario) - General Manager, Waubetek Business Development Corporation Hilda Broomfield-Letemplier (Newfoundland and Labrador) – President and CFO, Pressure Pipe Steel Fabrication Ltd Chief David Crate (Manitoba) -- Chief, Fisher River Cree Nation Dr. Marie Delorme (Alberta) – CEO, The Imagination Group of Companies Adam Fiddler (Ontario) – Past Chief, Sandy Lake First Nation James Ross (Northwest Territories) -- President, Aura Ross Resources Limited Ruth Williams (British Columbia) – Past CEO, All Nations Trust Company
Strategic Priorities
1. Addressing Barriers to Aboriginal Economic Development 2. Increasing Aboriginal Participation in Major Projects 3. Providing Relevant and Timely Advice to the Federal Government
Board Activities
• Quarterly meetings • Economic and policy research • Engagement with Aboriginal leaders, government officials ,and private industry • Policy and program advice • Measuring and monitoring economic progress
Addressing Barriers to Aboriginal Economic Development Focusing on addressing the barriers to Aboriginal economic development will create the right conditions for economic growth.
Key recommendations: 1. Strengthen the Crown-First Nations relationship 2. Simplify Federal Procedures and Processes 3. Invest in Existing and Optional Solutions 4. Increase Human Capacity OnReserve
Increasing Aboriginal Participation in Major Projects Increasing Aboriginal participation in major projects will be an effective way to close the socio-economic gaps between Aboriginals and non-Aboriginal Canadians – by participating as entrepreneurs, employers and employees.
Key recommendations: 1. 2. 3. 4.
Connect Aboriginal communities to Industry Strengthen the Framework for Collaboration Develop Human Capital Promote Information Sharing and Awareness
Aboriginal Economic Benchmarking Report The objective of this report is to assess the state of Aboriginal economy in Canada across a number of key indicators.
Key findings: 1) Aboriginal people in Canada have made gains in a number of important economic measures, including employment and income 2) Gains have not been shared equally among the three Aboriginal Heritage groups 3) Substantial gaps remain between Aboriginal and non-Aboriginal Canadians.
Aboriginal Economic Progress Report
Coming soon….. The Progress report will review progress made on key variables since the publication of the Benchmarking report in 2012.
Enhancing Aboriginal Financial Readiness for Major Resource Development Opportunities Key recommendations : 1.
Further support existing institutions assist Aboriginal groups build capacity to engage in major resource development opportunities.
2.
Make available multi-year fiscal transfer arrangements as an incentive for communities to adopt financial standards and best practices.
3.
Develop a targeted loan guarantee instrument to facilitate Aboriginal groups participating in projects as equity owners.
4.
Create regional economic development tables to support Aboriginal groups in participating and benefiting from major resource development opportunities.
5.
Establish Centres of Excellence on Aboriginal Resource Development to provide communities with needed knowledge and tools to engage in opportunities.
6.
Support and promote Aboriginal rights with respect to negotiation and establishment of resource revenue sharing agreements .
Review of Aboriginal Infrastructure in Northern Communities Coming soon….. A background study on infrastructure in Canada’s Northern Aboriginal communities and the connections between that infrastructure and economic development. A recommendations report will be written with the Board’s recommendations in this area.
Contact the NAEDB
For more information please contact the National Aboriginal Economic Development Board at 819-953-2994 or by email at [email protected] or by visiting the website at WWW.NAEDB-CNDEA.COM.
FIRST NATIONS FINANCE AUTHORITY
“Helping Aboriginal Communities Build Their Own Futures on Their Own Terms”
“Helping Aboriginal Communities Build Their Own Futures on Their Own Terms” Tanana Chiefs Conference
March 16, 2015
ON JUNE 19TH, 2014
FNFA ISSUES INAUGURAL DEBENTURE! MEDIA ADVISORY | FOR IMMEDIATE RELEASE JUNE 19th, 2014 WESTBANK, BRITISH COLUMBIA The First Nations Finance Authority issues Inaugural Debenture
History was made today, as the First Nations Finance Authority (FNFA) issued its inaugural debenture in the amount of $90 million CAD. The FNFA pools the borrowing requests of its member First Nations into one debenture. The capital raised by this inaugural debenture will be used by 14 First Nations to build and make improvements to roads, water and waste systems, power/lighting, public buildings and other local infrastructure as well as providing economic opportunities both on and off reserve.
17
THE FNFA: WHAT IS IT?
Not a Crown Corporation, AANDC or an Agent of Canada Non-profit; 100% First Nations owned and governed
Board of Directors are all First Nation Chiefs/Councilors
Structured after very successful pooled borrowing models
Created under “The Fiscal Management Act, 2005”
18
FNFA’S MANDATE ANSWERS THE “LOW RATE LOAN” NEED
To provide First Nations with access to these same Capital Markets opportunities that are available to other levels of government: 1. Short Term loans below bank prime 2. Long Term loans repayable out to 30 years
19
CAPITAL MARKETS – THE ADVANTAGES
Loan Access – every day of the year. FNFA lends start of each month.
Loan Rates: Short Term Rates – floating like bank loans but always below bank prime. Current short term rate from FNFA = 2.60% Long Term Rates – fixed rates available out to 30 years. Current loan rate from FNFA to fix interest for 10 years = 2.85%; 20 years = 3.50% Loan Assuredness – if revenues can support then the First Nations can access with confidence the amounts when wanted
Control over Community Priorities – now in hands of the First Nations
20
WHY GET A CREDIT RATING? -Separate Institutions-Separate RatingsEstablishes: -Trust -Security -Ability to Issue Bonds -Attractive Investment
Allows for: -Immediate Access -Lower Rates -Longer Terms -No Collateral
21
WHAT PROJECTS DOES FNFA LEND FOR? FNFA Lends for Projects that are: - Economic Development - Social Development - Community owned housing - Equity involvement (power projects, pipelines, etc…) - Land purchases - Infrastructure - Vehicles and equipment
22
HOW MUCH CAN A FIRST NATION BORROW FROM THE FNFA? A First Nation can request FNFA loans to as much as their revenue streams can support:
The “Borrowing Factors” for each $1.00 of revenue are:
20 years
25 years
30 years
10.35
11.37
12.26
9.79
10.76
11.60
10.18
11.19
12.06
Provincial Gaming Revenues
7.95
8.74
9.42
Land Benefit Agreement
5.66
6.21
6.70
Contracts & Leases
7.27
7.99
8.61
Band Business
7.27
7.99
8.61
Federal/Provincial Transfer Municipal Transfers Independent Power Projects (IPP’s)
23
TWO RECENT FNFA CLIENTS’ STORIES Membertou: refinanced existing bank loans plus infrastructure. Per Chief Terry Paul:“My community is saving $140,000 per month by refinancing our bank loan with FNFA . These savings are being re-invested into needed community infrastructure.” Tzeachten: borrowed for 4 projects. Per Chief Glenda Campbell: “Never in my lifetime did I think Tzeachten would have access to affordable financing. What we currently pay banks to service a $1 million bank loan we can now service a $3 million FNFA loan.” 24
CONTACT INFORMATION First Nations Finance Authority PH: 250-768-5253
Frank Busch Director of Info and Marketing [email protected]
Visit our website:
www.fnfa.ca
= @thefnfa
25
Our Way of Life Our land, Our Food, Our People
Change New Comers Roads, Pipelines, Mines, Power, etc.
Our Comeback Fastest Growing Population Experience, Education, Determination Canada’s Experience
The National Aboriginal Economic Development Board
The NAEDB
The National Aboriginal Economic Development Board was established in 1990 by the Government of Canada to provide strategic policy and program advice on Aboriginal economic development.
The NAEDB – Membership Members Chair: Chief Clarence Louie (British Columbia) - Chief, Osoyoos Indian Band Vice-Chair: Dawn Madahbee (Ontario) - General Manager, Waubetek Business Development Corporation Hilda Broomfield-Letemplier (Newfoundland and Labrador) – President and CFO, Pressure Pipe Steel Fabrication Ltd Chief David Crate (Manitoba) -- Chief, Fisher River Cree Nation Dr. Marie Delorme (Alberta) – CEO, The Imagination Group of Companies Adam Fiddler (Ontario) – Past Chief, Sandy Lake First Nation James Ross (Northwest Territories) -- President, Aura Ross Resources Limited Ruth Williams (British Columbia) – Past CEO, All Nations Trust Company
Strategic Priorities
1. Addressing Barriers to Aboriginal Economic Development 2. Increasing Aboriginal Participation in Major Projects 3. Providing Relevant and Timely Advice to the Federal Government
Board Activities
• Quarterly meetings • Economic and policy research • Engagement with Aboriginal leaders, government officials ,and private industry • Policy and program advice • Measuring and monitoring economic progress
Addressing Barriers to Aboriginal Economic Development Focusing on addressing the barriers to Aboriginal economic development will create the right conditions for economic growth.
Key recommendations: 1. Strengthen the Crown-First Nations relationship 2. Simplify Federal Procedures and Processes 3. Invest in Existing and Optional Solutions 4. Increase Human Capacity OnReserve
Increasing Aboriginal Participation in Major Projects Increasing Aboriginal participation in major projects will be an effective way to close the socio-economic gaps between Aboriginals and non-Aboriginal Canadians – by participating as entrepreneurs, employers and employees.
Key recommendations: 1. 2. 3. 4.
Connect Aboriginal communities to Industry Strengthen the Framework for Collaboration Develop Human Capital Promote Information Sharing and Awareness
Aboriginal Economic Benchmarking Report The objective of this report is to assess the state of Aboriginal economy in Canada across a number of key indicators.
Key findings: 1) Aboriginal people in Canada have made gains in a number of important economic measures, including employment and income 2) Gains have not been shared equally among the three Aboriginal Heritage groups 3) Substantial gaps remain between Aboriginal and non-Aboriginal Canadians.
Aboriginal Economic Progress Report
Coming soon….. The Progress report will review progress made on key variables since the publication of the Benchmarking report in 2012.
Enhancing Aboriginal Financial Readiness for Major Resource Development Opportunities Key recommendations : 1.
Further support existing institutions assist Aboriginal groups build capacity to engage in major resource development opportunities.
2.
Make available multi-year fiscal transfer arrangements as an incentive for communities to adopt financial standards and best practices.
3.
Develop a targeted loan guarantee instrument to facilitate Aboriginal groups participating in projects as equity owners.
4.
Create regional economic development tables to support Aboriginal groups in participating and benefiting from major resource development opportunities.
5.
Establish Centres of Excellence on Aboriginal Resource Development to provide communities with needed knowledge and tools to engage in opportunities.
6.
Support and promote Aboriginal rights with respect to negotiation and establishment of resource revenue sharing agreements .
Review of Aboriginal Infrastructure in Northern Communities Coming soon….. A background study on infrastructure in Canada’s Northern Aboriginal communities and the connections between that infrastructure and economic development. A recommendations report will be written with the Board’s recommendations in this area.
Contact the NAEDB
For more information please contact the National Aboriginal Economic Development Board at 819-953-2994 or by email at [email protected] or by visiting the website at WWW.NAEDB-CNDEA.COM.
FIRST NATIONS FINANCE AUTHORITY
“Helping Aboriginal Communities Build Their Own Futures on Their Own Terms”
“Helping Aboriginal Communities Build Their Own Futures on Their Own Terms” Tanana Chiefs Conference
March 16, 2015
ON JUNE 19TH, 2014
FNFA ISSUES INAUGURAL DEBENTURE! MEDIA ADVISORY | FOR IMMEDIATE RELEASE JUNE 19th, 2014 WESTBANK, BRITISH COLUMBIA The First Nations Finance Authority issues Inaugural Debenture
History was made today, as the First Nations Finance Authority (FNFA) issued its inaugural debenture in the amount of $90 million CAD. The FNFA pools the borrowing requests of its member First Nations into one debenture. The capital raised by this inaugural debenture will be used by 14 First Nations to build and make improvements to roads, water and waste systems, power/lighting, public buildings and other local infrastructure as well as providing economic opportunities both on and off reserve.
17
THE FNFA: WHAT IS IT?
Not a Crown Corporation, AANDC or an Agent of Canada Non-profit; 100% First Nations owned and governed
Board of Directors are all First Nation Chiefs/Councilors
Structured after very successful pooled borrowing models
Created under “The Fiscal Management Act, 2005”
18
FNFA’S MANDATE ANSWERS THE “LOW RATE LOAN” NEED
To provide First Nations with access to these same Capital Markets opportunities that are available to other levels of government: 1. Short Term loans below bank prime 2. Long Term loans repayable out to 30 years
19
CAPITAL MARKETS – THE ADVANTAGES
Loan Access – every day of the year. FNFA lends start of each month.
Loan Rates: Short Term Rates – floating like bank loans but always below bank prime. Current short term rate from FNFA = 2.60% Long Term Rates – fixed rates available out to 30 years. Current loan rate from FNFA to fix interest for 10 years = 2.85%; 20 years = 3.50% Loan Assuredness – if revenues can support then the First Nations can access with confidence the amounts when wanted
Control over Community Priorities – now in hands of the First Nations
20
WHY GET A CREDIT RATING? -Separate Institutions-Separate RatingsEstablishes: -Trust -Security -Ability to Issue Bonds -Attractive Investment
Allows for: -Immediate Access -Lower Rates -Longer Terms -No Collateral
21
WHAT PROJECTS DOES FNFA LEND FOR? FNFA Lends for Projects that are: - Economic Development - Social Development - Community owned housing - Equity involvement (power projects, pipelines, etc…) - Land purchases - Infrastructure - Vehicles and equipment
22
HOW MUCH CAN A FIRST NATION BORROW FROM THE FNFA? A First Nation can request FNFA loans to as much as their revenue streams can support:
The “Borrowing Factors” for each $1.00 of revenue are:
20 years
25 years
30 years
10.35
11.37
12.26
9.79
10.76
11.60
10.18
11.19
12.06
Provincial Gaming Revenues
7.95
8.74
9.42
Land Benefit Agreement
5.66
6.21
6.70
Contracts & Leases
7.27
7.99
8.61
Band Business
7.27
7.99
8.61
Federal/Provincial Transfer Municipal Transfers Independent Power Projects (IPP’s)
23
TWO RECENT FNFA CLIENTS’ STORIES Membertou: refinanced existing bank loans plus infrastructure. Per Chief Terry Paul:“My community is saving $140,000 per month by refinancing our bank loan with FNFA . These savings are being re-invested into needed community infrastructure.” Tzeachten: borrowed for 4 projects. Per Chief Glenda Campbell: “Never in my lifetime did I think Tzeachten would have access to affordable financing. What we currently pay banks to service a $1 million bank loan we can now service a $3 million FNFA loan.” 24
CONTACT INFORMATION First Nations Finance Authority PH: 250-768-5253
Frank Busch Director of Info and Marketing [email protected]
Visit our website:
www.fnfa.ca
= @thefnfa
25
