First Nations self-government negotiations stopped in Manitoba after 12 years and $55M

From the Winnipeg Free Press

Abandoned grand plan cost $55M - Nothing to show for run at native self-government

By Mia Rabson, Feb 12 2008

"It was a grand experiment, but it failed," said Grand Chief Ron Evans of the Association of Manitoba Chiefs. "Nobody wanted to upset the apple cart."

The Manitoba Framework Agreement Initiative was signed to great fanfare in 1994 with three major objectives: dismantling the department of Indian Affairs and repealing or amending the Indian Act, developing native authorities and institutions for self-government, and restoring the jurisdiction to First Nations for all areas including executive, legislative, administrative and judicial powers.

But in January 2007, the AMC voted to discontinue it, citing concerns about negotiations after the Conservative government took over in January 2006.

"This government doesn't support the framework agreement," Evans said. "The Liberals' fingerprints were all over it and (the Tories) stopped providing the resources."

But trouble with the agreement began almost as soon as it was signed and the former Liberal government continued to flow large amounts of money to the project despite repeated red flags suggesting the process was floundering.

Evans said because First Nations leadership changes hands so often at the band level, there was little continuity in the negotiations.

Sixty First Nations originally signed the agreement, but within two years, at least three had pulled out over concerns that self-government would impede the flow of federal money for programs. Some also said self-government wasn't a priority when they were trying to deliver just basic services like housing and education.

There were repeated concerns about the lack of accountability for the money being spent. Much of it went into consultations with First Nations and various reports that went nowhere. Some of the money was even spent on projects with no connection to the framework agreement.

A federal government spokeswoman reported $55 million is the final tally for the MFAI between 1994 and 2005-06, but she did not produce a breakdown of exactly where it went.

The Free Press will continue to investigate the money trail.

The original 10-year agreement called for reviews at the end of years three, six and 10, but Indian and Northern Affairs Canada can point to only one review, done in 1999. That report noted the process was rife with discord and distrust between First Nations and the federal government.

A year later, an investigation by the Free Press found more than $40 million had already been spent without anything tangible to show for it.

When the government changed hands, the Tories moved away from the MFAI and a year later the agreement died.

"That is a staggering amount of money to go into a hole," said NDP MP Pat Martin (Winnipeg Centre). "(That money) would have built a lot of schools and homes."

Martin said he hopes the MFIA is a major part of the forensic audit of Indian and Northern Affairs' Manitoba regional offices now going on.

"Somebody got rich on $55 million," Martin said. "Where did the money go?"

Liberal MP Anita Neville (Winnipeg South Centre) said she does not agree nothing was accomplished by the MFAI.

"There were a number of steps forward, particularly with social services," Neville said. "I don't think we are where the original (people who signed the agreement) wanted to be by now. I think it was a mixed success."

mia.rabson@freepress.mb.ca

Rest stops on the road to nowhere

December 7, 1994

Assembly of Manitoba Chiefs Grand Chief Phil Fontaine and Liberal Indian Affairs Minister Ron Irwin sign self-government agreement in Winnipeg.

"What we are doing in Manitoba is correcting an injustice that has been institutionalized by government for almost 125 years."

-- Irwin

July 1996

Concerns about the MFAI grow, starting with the withdrawal from the agreement of Sagkeeng First Nation, Fontaine's home reserve. Sandy Bay and Valley River follow suit, and several others indicate plans to withdraw as well.

"Where are we going to get money to survive?... Once you break away, (the government) is going to give you a pot of money, then (if there are problems) they don't have to talk to you because you're on your own."

-- Sandy Bay Chief Raymond Beaulieu.

1997

Fontaine leaves AMC to take over as grand chief of Assembly of First Nations and Ron Irwin retires from politics. Some will later suggest the negotiations drifted in focus after their departures.

1998

AMC acknowledges native self-government may take more than 20 years to accomplish, not the 10 years originally laid out by the MFAI. Reports also show $28 million had already been spent on the agreement since 1994, but little had been accomplished. Major issues of treaty rights and jurisdiction had barely been touched.

"There's a lot of frustration at AMC over this. They are faltering at this, and faltering in a very big way. We've spent $28 million so far, and it's been nothing but a big paper shuffle."

-- anonymous Manitoba chief

February 1999

The first report reviewing the MFAI is released, suggesting the process is rife with difficulties and a rift had developed between aboriginal leaders in Manitoba and officials in the Department of Indian and Northern Affairs. Everything from complex negotiations for funding to the struggle to keep Manitoba chiefs on board was noted as a problem, and the report said there was no longer a common vision for what the MFAI was attempting to do.

2000

The Free Press reports that $40 million had been spent, but the MFAI had not yet accomplished a single one of its objectives. A money trail established by access-to-information requests shows the money was spent on reports that went nowhere, reserve-based consultations that produced no results and projects that had nothing to do with the MFAI.

2005

The federal government considers whether to renew the agreement at the 10th anniversary of the signing. AMC threatens to sue Ottawa if the agreement is not renewed.

January 2007

AMC votes to dissolve the agreement until "Canada demonstrates political will and commitment to a new approach" to the negotiations.