The NCB Progress Report: 2005

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Chapter 4
First Nations and the National Child Benefit Initiative

The more than 600 First Nations in Canada have markedly diverse traditions, expectations, needs, opportunities, and community settings, and they constitute the youngest, fastest‑growing segment of Canada’s population. In comparison to other Canadian communities, however, significant social and economic disparities exist. First Nations National Child Benefit (NCB) initiatives target these disparities by funding projects that provide opportunities for children from low‑income families to fully develop their potential as healthy, active, and contributing members of their communities.

First Nations NCB initiatives have the same objectives as those of the provinces and territories, working to reduce the depth of child poverty by directing income benefits to eligible low‑income families with children, and reinvesting program funds in services that are specifically designed to promote the independence and self‑sufficiency of low-income families with children.

Each First Nation plays a vital role in the implementation of the NCB, as it designs and administers its own reinvestment projects. Like provincial and territorial governments, First Nations that deliver income assistance have the flexibility to reinvest savings from adjustments to income assistance into programs and services that are designed to meet the needs of people in their communities, provided that the projects support the objectives of the NCB initiative. First Nations base their reinvestment decisions on consultations with their people, or include such consultations as part of the overall redesign of their income support programs. The approach generally taken is to prioritize the service needs, identify services that are under-supplied relative to those needs, assess developmental possibilities in terms of available funding and staffing resources, and create the service structures that will deliver the needed benefits to the targeted population.

The projects funded under NCB reinvestments vary from community to community, and cover a wide range of services, according to the needs and preferences determined by the communities themselves. This flexibility is an important feature of the initiative, as it permits First Nations to implement projects that not only are targeted at alleviating the effects of child poverty but are also culturally relevant and responsive to the unique characteristics of each community.

NCB reinvestment projects for First Nations are categorized in five broad activity areas: child care; child nutrition; support to parents;17 home-to-work transition;18 and, cultural enrichment.19 Descriptions of each activity may be found in Appendix 2.

Table 10
Table 10 shows the total First Nations NCB reinvestment and investment envelope since the program was implemented in 1998.

Year Total ($ millions) 
1998-1999 30.5
1999-2000 50.2
2000-2001 54.3
2001-2002 57.0
2002-2003 56.0
2003-2004 53.2
2004-2005 (estimate) 55.1
2005-2006 (estimate) 52.5

Table 11
Table 11 outlines the First Nations reinvestments and investments by region from 2002-2003 through to 2005-2006.

Region 2002-2003 2003-2004 2004-2005 2005-2006
Expenditures
($000)
Expenditures
($000)
Estimates
($000)
Estimates
($000)
Atlantica 991 757 3,908 3,908
Quebec 8,161 6,202 3,315 3,484
Ontario 8,118 7,344 8,856 7,347
Manitobab 3,209 1,764 0 0
Saskatchewan 16,851 18,816 19,763 21,760
Alberta 9,757 10,174 9,423 7,746
British Columbia 5,973 6,269 6,919 6,577
Yukon 489 439 565 739
Sub-total 53,549 51,763 52,748 51,561
Additional Investment Envelopec 2,439 1,414 2,379 960
Total 55,988 53,177 55,127 52,521

aFigures for the Atlantic region only includes First Nations in Nova Scotia and Prince Edward Island.

bEffective January 2004, Manitoba fully discontinued the practice of recovering the NCB Supplement from families receiving income assistance, including First Nations families. As a result of flowing through the NCB Supplement to families, funds are no longer being recovered for reinvestment.

cThe additional investment envelope includes funding to reimburse Saskatchewan and the Yukon for the portion of provincial/territorial children’s benefits paid on reserve.

Note: Totals may not add due to rounding.

Monitoring and Reporting – First Nation Component

All NCB Partners share the commitment to accountability expressed in the NCB Governance and Accountability Framework. The Treasury Board Secretariat requires that Indian and Northern Affairs Canada (INAC) prepare and distribute annual reports on the progress being made by First Nations in implementing the NCB in their communities. These annual reports provide background information on the purposes and structure of the First Nations NCB. They also give examples of the kinds of projects that are enabled by NCB reinvestment funding. The reports present expenditure and impact data and review the achievements of First Nations. The information for these reports comes from First Nations project administrators and INAC records. First Nations NCB annual reports are available at the NCB Reinvestment Initiative in First Nations Communities website.

Proposal Development and Reporting Guide

First Nations report annually to INAC on activities and results related to NCB reinvestment funding. In 2004, First Nation NCB administrators in collaboration with INAC developed a resource guide to assist First Nation communities with the proposal process for approval of reinvestments projects as well as to outline annual reporting requirements.

National Child Benefit Reinvestment Initiative – National Manual

This program manual was developed to provide further direction to INAC regional officials and First Nation NCB administrators on the interpretation and implementation of program terms and conditions. The manual is an ongoing document which is updated as necessary; the latest version is available at the INAC NCB website.

Review of Activities in First Nation Communities

A review of NCB reinvestment activities by an independent consulting firm was released in March 2005. The report was based on interviews with administrators from thirty‑seven communities. It examined community consultation processes, project administration and evaluation strategies, levels of community awareness and satisfaction with the NCB reinvestment initiative, resource distribution between target groups, the flexibility of NCB design parameters, and suggestions for improvement to the NCB reinvestment initiative.

First Nations NCB Reinvestment Conference

In November 2005, First Nations NCB reinvestment administrators from all regions of Canada attended a national gathering in Edmonton. The goals were to share information on reinvestment success stories, discuss methods to improve communication products to facilitate implementation of NCB reinvestments, seek input for planned 2007 NCB reinvestment evaluation, provide opportunities to network with colleagues from across the country, and clarify and discuss a variety of NCB reinvestment operational issues.

Conclusions

First Nations have achieved many successes by capitalizing on NCB reinvestments funds to establish programs that would otherwise not be available in their communities. The goals of reducing the depth of child poverty and giving low‑income parents opportunities to fully participate in the work force and in the life of the community, are being supported or addressed as a result of the efforts and leadership of First Nations organizations and individuals since the beginning of the initiative.

The adaptability of NCB reinvestments offers First Nations wide‑ranging opportunities to prioritize, develop, and deliver services specifically designed to help families with limited incomes. Like provinces and territories, First Nations are able to invest in areas of local need as long as the investment areas are in keeping with NCB objectives. It is largely due to the scope and flexibility of the NCB that First Nations have successfully used reinvestment funds for many different projects and services.

The benefits of NCB reinvestments for First Nations are:

  • They fund many services that would otherwise not be available to low‑income parents and children. The services support fuller participation in economic, social, and cultural activities;
  • The flexible nature of NCB reinvestment allows First Nations to identify and respond to their own priorities and needs in addressing child poverty;
  • The initiative reinforces the thrust of First Nations organizations and the Government of Canada to develop self‑governing, self‑determining, and self‑reliant First Nations;
  • NCB reinvestment projects enable local officials and administrators to develop transferable knowledge and skills; and
  • Activities that raise awareness of the community cultural traditions and values, including the social, and economic environment foster a sense of pride and individual self‑esteem.

The success of the NCB stands as an example of the progress that is being made by the Government of Canada and First Nations in their shared effort to improve the quality of life for Aboriginal peoples.


17 Formerly reported as Early Childhood Development.
18 Formerly reported as Employment Opportunities/Training.
19 Formerly reported as Community Enrichment.