:
I call this meeting to order.
Welcome to meeting number 11 of the House of Commons Standing Committee on Indigenous and Northern Affairs. We recognize that we meet on the unceded territory of the Algonquin Anishinabe people.
Pursuant to Standing Order 108(2) and the motion adopted by the committee on Wednesday, September 24, the committee is proceeding to a briefing on budget 2025.
To adopt the budget for today's briefing on budget 2025 in the amount of $500, we need a little housekeeping here. I would ask for consensus to adopt this budget.
Some hon. members: Agreed.
The Chair: Before we continue, I'm going to ask for unanimous consent to allow Lori Idlout five minutes in the last spot in the first round.
Some hon. members: Agreed.
The Chair: Thank you.
Mr. Lemire, please go ahead.
:
Yes, exactly. Thank you.
[English]
Appearing today, we have the Hon. Rebecca Alty, Minister of Crown-Indigenous Relations, and the Hon. Rebecca Chartrand, Minister of Northern and Arctic Affairs.
From the Department of Crown-Indigenous Relations and Northern Affairs, we have Valerie Gideon, deputy minister; Georgina Lloyd, assistant deputy minister, northern affairs; and Manon Nadeau-Beaulieu, chief finances, results and delivery officer.
Ministers, you each have five minutes. Please proceed.
I want to begin by acknowledging that we are gathered on the traditional, unceded and unsurrendered territory of the Algonquin Anishinabe people.
[Translation]
I'm pleased to be here today to talk about the generational investment introduced by our government two weeks ago and to explain why this budget must be passed later today in order to build a strong Canada.
[English]
This is an investment budget. We're building homes. We're building infrastructure. We're protecting our communities. We're empowering the people of Canada.
Budget 2025 reflects our commitment to reconciliation, equality and respect. That commitment is seen in the investments we make and in the tools we create to support growth.
[Translation]
It makes generational investments that strengthen our social fabric and support healthier and more resilient communities.
[English]
As part of this plan, we recognize that the need for first nations, Inuit, and Métis housing is acute. We are working together with first nations, Inuit, Métis and modern treaty holders to support a self-determined approach to increasing housing and community infrastructure. Budget 2025 confirms $2.8 billion for urban, rural and northern indigenous housing. Alongside my colleague, the , we will deliver a cross-government indigenous housing strategy.
[Translation]
To promote economic growth and shared prosperity, we're investing in the major projects office. This office will speed up the implementation of infrastructure projects that create jobs, increase family incomes and generate revenue for governments.
These projects will be guided by reconciliation. Each project must respect indigenous rights, fulfill the crown's duty to consult, honour modern treaties and self‑government agreements and follow the principles of the United Nations Declaration on the Rights of Indigenous Peoples.
The projects will be carried out only after extensive consultations and, if necessary, adjustments.
To this end, the indigenous advisory council guides the major projects office. It provides expert advice on policies, operational practices and process improvements in order to fully integrate indigenous perspectives and interests into each project.
[English]
Supporting this work, budget 2025 would provide $10.1 million for the federal initiative on consultation to fund co-developed consultation protocols and resource centres to ensure that indigenous rights holders are properly engaged in national projects. Consultation protocols set out how indigenous groups want to be engaged, creating clear, mutually agreed processes that make consultation more efficient and respectful. Developing these protocols also builds relationships and deepens understanding of community perspectives.
Resource centres based within indigenous organizations provide support, research and knowledge to help communities participate meaningfully. This budget would continue supporting existing protocols and resource centres and would establish three new targeted centres to strengthen indigenous participation.
Budget 2025 also proposes changes to the First Nations Fiscal Management Act. These changes would allow the First Nations Finance Authority to lend to special purpose vehicles. Special purpose vehicles are stand-alone companies that manage and finance a single project, keeping risks separate and making it easier to raise capital.
For indigenous communities, special purpose vehicles allow multiple nations to work together to borrow as a group and reduce paperwork and costs. With a small legislative change, the First Nations Finance Authority could lend directly to these special purpose vehicles, giving communities access to lower rates and more opportunities to take equity in major projects. With better access to financing, communities could create jobs, grow local businesses and build long-term prosperity.
Another financial and economic empowerment tool in budget 2025 is the bonding and surety pilot program. Smaller, community-based indigenous contractors are often the backbone of local economies, but they face barriers like bonding requirements that larger firms can navigate more easily. Without access to financial tools or large administrative teams, these smaller businesses are at a disadvantage.
That's why we're also building a bonding and surety pilot with first nations partners, including the First Nations Finance Authority. The bonding and surety pilot fund would act as a guarantor of last resort, helping smaller contractors overcome limits under section 89 of the Indian Act and access bonding without complicated arrangements.
The model would be scalable and renewable. Once a project wrapped up, the security could be used again, ensuring smaller firms would have equal access to opportunities. This pilot would help first nations lead their own infrastructure projects, creating jobs, building skills and strengthening communities.
[Translation]
Honourable members, the time has come. The time has come to build a stronger, fairer and more prosperous Canada for everyone. A Canada where reconciliation is a daily reality, where first nations, Inuit and Métis people are empowered and where all Canadians, indigenous and non‑indigenous alike, can look to the future with hope.
Meegwetch, mahsi cho, thank you.
Hello. Tansi. Aaniin.
I'd like to thank my colleague, Minister Alty, for her opening remarks.
[Witness spoke in Ojibwa and provided the following text:]
Boohoo. Tansi. Aaniin. Wapinoong. Anishinaabe Ikwe. Ojibwe Nidishiniicaz. Ojibwe Pine creek, duck bay, vogar nindoonjii.
Kwe kwe.Ullukkut. Tansi. Boozhoo.
[English]
Thank you, Chair.
I would like to first acknowledge that we are gathered on the traditional unceded territory of the Algonquin Anishinabe people. I am pleased to be before you to discuss the budget, in my capacity as Minister of Northern and Arctic Affairs and the Canadian Northern Economic Agency.
Released just a few short days ago, budget 2025 is clearly good for northerners. The budget reflects a shift in how we approach the north. Canada is an Arctic nation, with the true north strong and free as a central part of Canada’s identity. The world sees that, and budget 2025 affirms this. It is our commitment to a renewed Arctic agenda, one that places northerners and indigenous rights at the centre as partners, from vision to results. This renewed agenda recognizes that the leadership and stewardship of northerners and indigenous peoples drive lasting change.
Many major projects today include indigenous and territorial governments, northern communities, financial institutions and development corporations in designing, financing and leading. Our role is to make certain that we support indigenous communities in their involvement.
We introduced the federal initiative on consultation for the meaningful participation of indigenous rights holders in consultation processes throughout the review cycle of national interest projects.
To advance the new $1-billion Arctic infrastructure fund's support for northern projects, we are providing funding to speed up regulatory processes through consultations with indigenous governments and organizations, and with local northern communities.
This means enhancing the roles of Crown-Indigenous Relations and Northern Affairs Canada, and the northern projects management office through the Canadian Northern Economic Development Agency, to coordinate the Government of Canada’s role and relationship with the regulatory regimes and with indigenous partners in the three territories, while developing critical infrastructure in the north and closing that gap with the rest of Canada.
In addition to infrastructure, building the north means investing in people. Providing access to high-quality education is critical to individual success and to our economic success as a whole. Education that is close to home will support resilience and self-determination. Budget 2025 will build on investments to support indigenous and territorial partners with post-secondary institutions.
Budget 2025 is good for the north. We're investing in the creation of an Inuit Nunangat university, which is long overdue. This will be Canada’s first university in Inuit Nunangat.
Access to health care, food security and affordability remain urgent priorities, so we’re here to listen. We're here to learn, and most importantly, we are here to work together. We want to create change that bolsters a “made in the north” solution.
We will be collaborating on an assessment of health care and infrastructure needs in the north to improve access and to reduce medical travel costs. In partnership with northern and Arctic indigenous peoples, we will work together to identify solutions that strengthen delivery and available services in northern communities.
To meet the high cost of living and affordability challenges faced by northerners, we will co-develop evidence-based food security approaches informed by the external reviews of Nutrition North Canada by the minister’s special representative.
Internationally, Canada’s Arctic ambassador is working alongside circumpolar partners to advance co-operation in Arctic governance. We’re active in Arctic Council working groups and multilateral forums because climate change, energy security and sustainable development are shared and urgent priorities.
We will work with indigenous peoples and northerners to uphold their rights, to advance their priorities and to make certain that they are at the table in decisions that affect their lands, waters and communities.
Our work must continue to reflect both the environmental realities facing the north and the priorities voiced by communities themselves. This budget is a step forward. It reflects a shift toward partnership, place-based policy, and a future where the north and the Arctic play key roles, and where their voices are heard and valued.
Thank you. I look forward to your questions.
Meegwetch. Marci. Ekosi.
:
The budget is over 400 pages long. People like so many different things about this budget. However, I can think of a number of things in particular.
[English]
It's a bit of a financial, economic, autonomy and growth package that I would say is the monetizing of federal transfers, the bonding and surety, the special purpose vehicles, as well as accelerating the additions to reserve process.
In my speaking notes, I talked a little bit about the benefit of the bonding and sureties. I can't underscore that enough. We can have a target of 5% of procurement, but if indigenous businesses can't bid because they can't get bonding because they don't have assets that they can use as collateral, then we're never going to meet that 5%. In discussions with a number of leaders, this issue was raised and a suggestion was made.
It's the same with the special purpose vehicles. They allow a number of first nations, Métis and Inuit businesses to be able to actually come together as one company. That reduces the risk because the loan is actually looked at from a project perspective as opposed to the individual nation's health. If they're looking to buy equity into X, Y or Z project, it's actually the review of the project.
Monetizing federal transfers is frequently what municipalities are able to do with stuff like the Canada community-building fund. They're able to get a loan from the bank by showing that they have annual funding coming in from the federal government. Instead of having to save up all their money to be able to buy their water, to install the water treatment plant or...the school or houses, they're actually able to get a loan with those federal transfer payments as a monetization.
There are some of those policy things. Of course, there are also the tax cuts, the consumer carbon price reduction, the automatic tax enrolments, the housing and the infrastructure.
I would say there are a bundle of packages to increase the financial and economic opportunities, as well as just the taxes, infrastructure and budget.
:
I've had the opportunity to meet with a number of our leaders throughout northern Manitoba and have ongoing discussions with some of the leaders in the territories, as well. I think this budget brings new opportunities like never before, so those are the discussions we're focusing on.
Some of the things in particular are major projects. We're really happy that Grays Bay is on the major projects list, as well as Churchill Plus.
There is an ongoing conversation about how we will continue to engage indigenous peoples in conversations. A number of those conversations are happening right now. Those are engagement sessions happening across the provinces and the territories.
Those aren't consultations. One of the things we're clarifying with indigenous rights holders is that these are engagement sessions. Once projects get referred to the major projects list for approval, we will continue to engage and pull together a conditions list that will give indigenous leaders the opportunity to ensure that their requests are being met and included on those conditions lists.
We're also hearing about procurement. I know that with the increase in budget, northerners are really excited about the opportunity for enhanced procurement. That's something we continue to discuss. We continue to have those conversations and, as Minister Alty said, we are looking at ways to enhance those opportunities to ensure that northerners have access to those procurement opportunities in the north.
Housing is a big one. A lot of our communities, as you know, are looking for more housing opportunities. I think Build Canada Homes and the $13 billion that was set aside for it is going to allow us to double housing, so we're working effectively with northern and indigenous communities. With the Nunavut Housing Corporation, for example, we're looking to fast-track.
We'll continue to meet with indigenous partners, indigenous leadership and northern territorial governments to ensure that their voices are heard and we're working collaboratively as we move forward.
Ms. Alty, thank you for joining us.
Your government announced $14 million in the budget to restructure the additions to reserve policy. Obviously, this includes the remainder of the $43 million in funding over four years announced in 2021. I'm saying this because it seems that a great deal of this budget consists of recycled revenue rather than new money.
In my region, the Long Point and Wolf Lake first nations still don't have reserve lands. Despite the good will, no progress has been made in four years of negotiations with your department. I feel strongly about this key issue. The lack of land bases directly affects the population, which will suffer as a result.
Why, in 2025, are these communities still not recognized by Ottawa?
:
I can confirm that this request was made by these two indigenous communities. I would be happy to welcome you and to join you in meeting with them, if I can be of assistance.
In its budget brief, the Assembly of First Nations Quebec‑Labrador, or AFNQL, requested funding to provide interpretation and translation services within its organization. The two main language families in Quebec, Algonquian and Iroquoian, include many indigenous languages. As you know, the unique reality of the first nations of Quebec and Labrador means that some communities speak French, some speak English and some are bilingual.
As a result, the AFNQL requested that its budget be increased by $225,000 to reflect this reality and to ensure the professional translation of documents and an interpretation service during major meetings.
However, the budget fails to provide for this. Do you plan to resolve this issue, especially since Canadian Heritage recognizes the unique reality of the first nations of Quebec and Labrador and is calling for an adjustment to this funding formula?
:
Yes, absolutely. Thank you for that, PS Hanley.
I did want to talk a little bit about the mines, in terms of the work that we're doing.
Giant Mine was established in 1948. We've inherited the challenges that come with mine remediation, but you can't put a price on safety. We want to ensure that we do this right, to ensure that the project is complete.
For example, there is a new water treatment plant. This is a long-term water treatment plant that is being constructed. It is on track. It will be operating in 2026. I had the opportunity to visit this site. The project is also subject to independent oversight through legally binding environmental agreements. Those are important.
We also have Honourable Murray Ran who has been appointed as a special representative to engage with indigenous rights holders. This is to ensure that we're addressing this legacy project in partnership and in collaboration with indigenous rights holders as well as community members.
In terms of procurement, with the mine remediation, we continue to strongly prioritize northern indigenous businesses. We want to ensure that the cleanup provides local jobs and capacity building as part of that core project objective.
This is an ongoing joint effort that we are committed to. The remediation, from our perspective, is on time and on budget.
:
As I said earlier, we are committed to doing the best job possible with mine remediation. That is a huge part of the work under the Department of Crown-Indigenous Relations and Northern Affairs to which we're committed.
I want to add that, with the mine remediation, we also understand that there are challenges with mining in the north. Burgundy Ekati mine, for example, is something that we've been supporting. We've been exploring opportunities under the large enterprise tariff loans. That demonstrates that our government is committed to supporting those who find themselves challenged within the mining industry.
We also have the critical minerals infrastructure fund. There are investments in geoscience to identify and map new critical mineral deposits. This will help track explorations and investments. With that comes the opportunity for employment. These explorations are working. We're working hand in hand with northern territorial governments, as well as indigenous leadership.
In terms of the northern contaminated mine sites, we've created 15,000 jobs for northerners. This continues to be a high priority because it is an industry that is employing people and putting food on the table, quite frankly.
:
Thank you, Mr. Chair. I will share this round with Ms. Lavack.
I want to start, Minister Alty, with you.
I was just at the Geoscience opening in the Yukon, and there was definitely a buzz in the room. This was for a number of reasons, not least being the interest in the major projects in the north, particularly since the announcement about the Yukon-B.C. grid connect project being referred to the MPO as part of the northwest critical conservation corridor.
I want to really talk about opportunities for indigenous partnership through the MPO process, whether it's based on existing legislation.... You also mentioned a few times the special purpose vehicles. If we try to get really pragmatic here, using some of the tax measures, special purpose vehicles, other credit programs and other items in the budget will really help to maximize first nations and indigenous participation and the economic opportunities associated not just with the major projects but also, of course, with building infrastructure, with some of the defence investments in the north and with other budget commitments—Arctic infrastructure being another example.
Please answer fairly briefly because I want Ms. Lavack to have adequate time as well.
:
Thank you. I appreciate the question.
It was exciting—and not only the intertie projects. I was in Iqaluit last week to announce the Iqaluit hydro project, which is 100% Inuit owned.
There are a number of things in the budget. There's the doubling of the indigenous loan guarantee from $5 billion to $10 billion. There are the amendments for the special purpose vehicles. There's the increase in the Canada Infrastructure Bank, going up to $45 billion.
In my home territory, the projects that they're looking at—Taltson, the Arctic security corridor and the Mackenzie Valley Highway—are all projects that they're working with the Canada Infrastructure Bank on. The critical minerals sovereign fund, I think, is also another opportunity for those of us in critically rich mineral areas. There are a number of different funding pots that indigenous nations and businesses, as well as non-indigenous businesses, can access.
I'm happy to chat further with you and other constituents who would like more information on these projects.
:
Thank you, MP Idlout, for that question.
I do want to inform you that we've actually been trying to get a meeting with you. We've sent several requests to your email to sit and discuss. This is one of the issues or topics that we were looking to connect with you on, so it's actually nice to see you here today and to bring this up.
As I mentioned earlier, all three parties have agreed: the Government of Nunavut, NTI and Canada. We are waiting, post election, to follow through on the Nunavut land use plan.
We also recognize that we want to ensure that we continue to fulfill our obligations on the Nunavut land use plan, so we continue to fund the implementation, ensuring that all the major projects comply with article 11 of the Nunavut agreement. As you know, this requires the land use planning to protect Inuit rights, the environment and community well-being.
:
Waachiyeh.
Meesuuyeh.
Kwe kwe.
Ullukkut.
Tansi.
Bonjour.
[Witness spoke in East Cree and provided the following translation:]
Greetings everyone. I want to thank you all for inviting me to come today.
[English]
Thank you, Chair, and thank you to the members of this committee for the invitation to be here today and to speak on a very important subject—how budget 2025 is going to continue to build on our important work with indigenous partners and to ensure that we are delivering results for first nations, Inuit and Métis.
[Translation]
The 2025 budget will protect essential services, invest in future projects and—crucially—support indigenous solutions.
We're spending less to invest more in people, communities and infrastructure.
[English]
Budget 2025 is about how we're going to build Canada strong. That includes indigenous people.
Investments at Indigenous Services Canada are really about the core of our work. We know that clean water, safe housing and services for children and family in indigenous communities are very important. We know that budget 2025 also continues to build on progress by committing $2.3 billion over three years, starting in 2026-27, to renew the first nations water and waste water enhancement program. It's going to support 800 projects. This is going to help communities upgrade systems, continue to train operators, build capacity at the local level and prevent new advisories.
Since 2016, there have been 1,545 water and waste water projects that have been supported in 595 communities, meeting the needs of nearly half a million people. Clean water is fundamental to health and dignity. We've made real progress, but we know that the work isn't finished. Until every community has lasting access to safe drinking water, we will continue on our commitment.
Housing and infrastructure are also areas where we've made progress, but additional work is required to meet the needs of these files. Safe, dignified housing isn't just about a building or a home. It's also about health, stability and the ability to thrive in one's community.
[Translation]
In the 2025 budget, we allocated $2.8 billion for indigenous housing in urban, rural and northern communities, and over $3 billion for indigenous infrastructure.
We're also investing in roads, schools, health care centres and energy infrastructure.
These projects are led by the communities because this respects their culture and they're designed to last. They address local priorities and, above all, support well‑being in the long term.
[English]
In 2016, my department invested $16.77 billion in infrastructure projects. That's over 13,000 projects that have been supported, and over half are already completed. This means things like new homes, new classrooms and new clinics have been built by and for first nations communities.
Now in this budget we're also exploring surety bonding and monetizing federal transfers to help first nations contractors access bonding to grow their businesses and lead their own builds. This also means there's opportunity for projects to be driven by local expertise and to keep economic benefits and employment within the community.
We're also seeing meaningful change in child and family services. We continue to support indigenous governments as they take back control of these critical services. Under the act, first nations, Inuit and Métis children have seen a commitment of over $2.7 billion to support indigenous laws and models of care. This work keeps children connected to their families, their language and their nations. It also helps communities heal from the harms of the past and build a stronger future.
[Translation]
We're also looking to the future.
The 2025 budget proposes legislation to make Canada's national school food program permanent.
Starting in 2029‑30, it sets out $216.6 million a year, including $47.5 million for Indigenous Services Canada.
This means that more indigenous children will have healthy meals at school and will be able to learn better.
[English]
To support indigenous youth obtaining employment, budget 2025 also includes a strategy that will provide jobs and training and support mentorship, transportation and mental health counselling for up to 20,000 young people each year.
We want to put indigenous children, families and essential services first. This new government is innovating to better serve Canadians and indigenous people by improving efficiency and coordination across departments.
The federal government has a distinct duty to indigenous people. That's why our priority in 2025 is to protect critical services, including water, housing and infrastructure in communities and to ensure that any changes made will strengthen delivery of service.
[Translation]
We're taking the time to co‑develop solutions in order to improve services in the long term.
During this work, the services will continue without interruption.
[English]
We've made significant progress, but we are not done yet. This budget is a building block towards indigenous-led solutions, reconciliation and a future in which every indigenous child grows up with clean water, a safe home and a strong sense of belonging. We must all work together to ensure that we attain that important goal.
[Witness spoke in East Cree and provided the following translation:]
Thank you all for allowing me to be here.
[English]
Thank you.
:
It is a really important bill. The bill was established to look at enfranchisement of 3,500 members.
It's important to look at what the target of the bill was. Bill is there to address those individuals who had to give up their status through enfranchisement, sometimes under duress.
Giving up status and termination of status through the second generation cut-off are two different things. That is why I think there needs to be additional work with community and with leadership. We do have the duty to consult. We have to respect rights holders and have them be part of the solutions that need to be determined for second generation cut-off. It is an extremely complex and multi-faceted solution that sometimes has to be applied very individually at the community level.
I believe that having a one-solution approach for all of Canada would be very harmful to the process. That's why I want to ensure that we uphold the duty to commit and work directly with communities and have them determine what the steps are and how they intend to address second generation cut-off.
I think we can also innovate and go beyond in this space. I think it's important for communities to have authority over their membership lists.
How can we come to that conclusion? I'm very open to working with them. I'm—
:
Thank you, MP Battiste. It is a pleasure to be here and to work with my indigenous and non-indigenous colleagues. I'm really appreciative that the has trusted me to take on this mandate. To me, that signals that there needs to be a new approach.
This was something that I also heard very clearly in my engagements this summer. It was challenging. I heard a lot of stories from different groups, from leadership and users of the program itself, about what the impact is with the change in the recent operational bulletin. One of the hardest things to hear this summer was actually the statement made by Jordan River Anderson's father himself, Ernest Anderson, who was really addressing what Jordan's principle looks like now and what it was meant for. I have to acknowledge that, as a minister, the decisions taken were challenging ones, because they were taken without alignment of the input of those people who are using Jordan's principle.
This is critical work that we have to do. It was one of the first files. I think one minute after I became a minister, somebody said, “Can I talk to you about Jordan's principle?” To me, that indicated that it was a priority file. I spent the majority of my summer engaging with leadership through various means, and speaking to users of the program, to identify what we can do to address the state that Jordan's principle is in now and how we can address the approach the program is taking.
That's why, for me, I think it's important that we do the engagement with community, and that we spend time reflecting on what that operational bulletin looks like: What does it mean for users who are facing challenges and decisions in the application of the operational bulletin? How can we respond to the important needs that users of Jordan's principle have in a timely way? I know that there is a backlog in place. I have asked my department and my team to really come up with a strategy to respond to that. I'm looking forward to some of the future announcements that we're going to make very soon on what we're going to do to take those next steps.
You did see $1.9 billion for Jordan's principle in the main estimates. I also want to let the committee know that this is something that we respond to. It has increased exponentially. There is a huge need to fill that provincial-federal gap. It is something that I think we need to have a strategy for in order to ensure that we're consistently able to meet the needs of the applicants for Jordan's principle. We also need to ensure that there's clarity in the process that's being used. I think in this transition that was undertaken, the rollout was really where there was a lot of difficulty for users to understand this: What is going on now? What is applicable? What is no longer applicable?
It's a huge undertaking, but it is something that I take very seriously. It is one of the first initiatives we're going to launch.
:
Thank you very much, Chair.
Thank you, Minister, for coming.
Minister, since ISC was created back in 2017, your department has gone from about 4,200 employees to almost double that, at over 8,000. The last estimate I found on your website was 8,600 employees, but your outcomes have actually gone down.
We've had numerous Auditor General reports putting out continuous failures within the department: Housing is overcrowded, crime is on the rise and mental health and addictions are still continuing to get worse under your government's watch. We still have drinking water advisories in effect, some of which have lasted 10 years or more, but your government promised to end that in 2019.
Why do we continually add more people to your department, yet we see more failures at the same time?
Thank you, Minister, for being here and thank you to the officials.
I'm reflecting also on Mr. Battiste's eloquent comments and certainly wholeheartedly support the importance of your being here as an indigenous minister and bringing your experience to the table. I also want to thank you for speaking and answering questions with such candour. I think that says a lot for the work you've done.
On a theme similar to Mr. Schmale's, but from perhaps a somewhat different point of view, I'd say it's notable that you were facing a 15% cut and you and your colleagues I think have successfully advocated for reducing that. I want to note again the success of your advocacy in speaking to the need for reducing the spending reduction to 2% from 15%.
Nevertheless, that is a target. I know, having directly engaged with some of the public service locally in my region in the Yukon, that there is anxiety amongst regional staff about how cuts will affect them and their programs when they feel that in the north they're already really overstretched and overextended.
You've spoken very well already here, so I won't ask you to reiterate your vision for how you'll get there. What more can you say about how you can reassure continuity of service given the incredible demands you have to meet? Also, I know that there are really dedicated public servants on the ground in the north. How will you assure the continuance of that delivery of services and programs to first nations and Inuit communities?
What we are trying to do at ISC is really transform the way we're delivering service. We're trying to modernize. We're trying to introduce the implementation of digital service. We're trying to introduce a one-window service approach where communities come to ISC and they're able to ask all of their questions across a variety of subjects and receive that service in a timely manner instead of going to multiple different areas within the department.
That's really important to me; communities need support in a timely way. We want to be able to respond to them and empower them to participate in the application process and ensure they can define on their terms the intent and the outcomes of a project and define what the future of their nation or their community looks like.
Those targets can be very different. They can be very different for indigenous children, for youth in community and for families simply because of how they have been historically treated.
I am very proud to be here as the first indigenous minister, but I also have to be very frank that this is extremely challenging work to see the level of uncertainty that was provided to them historically. What we are trying to do with this budget, in this period of time when Canada is facing some of the deepest economic impacts because of our relationship with our trading partners, the state of the Canadian economy, the impact of inflation and everything coming out of the pandemic.... Although it was not that long ago, we do continue to see the impacts, especially in areas like mental health and supporting families.
We want to be sure that the way we transform at ISC is going to meet the needs of community, and the role of public servants is a critical one. It is one that supported first nations in the period of time when funding was extremely hard with a decade of underfunding from the previous government in the Conservative era. In trying to transition and grow as funds increased at ISC through investments and trying to work towards goals of reconciliation, it grew. With this shift, we're now also going to see a transition in how public service is going to look in the next step of how we move forward.
Although I may not have had the opportunity to fully provide a thorough response to my colleague, as we are transitioning, we are also going to see a shift in what ISC looks like. That means the service itself, the structure of how it's offered and the status of the number of public servants we have but also, more importantly, working towards the critical goal of what self-determination and self-governance look like. That means co-development. That means collaboration with community and giving them the opportunity to define what indigenous outcomes are to ensure the investments and funds we put forward in trying to support them and meet their needs are going to really be based on an outcome they have determined. That's something I as a minister am pushing to innovate not only for me at Indigenous Services Canada but also for my colleagues so that each of them understands they also have a service to offer as part of their work as ministers. That's every single department.
Every single department has an indigenous thread that runs through it, and the openness to explore and understand what that means is something I have had really positive feedback on. It's a huge transition for the government approach. I think that is historic. I'm very proud of it. I hope that everybody in the House is going to support that process as well.
Minister, in the budget, it says that “there remains over $3 billion available for First Nations, Inuit, and Métis to advance their housing priorities.” That is obviously in reference to the crucial priority that is indigenous housing. However, your government has confirmed that it's actually $2.8 billion of $4.3 billion that had been announced in 2022. That means there is no new money in the budget for indigenous housing.
Why did you ignore such a fundamental need and not provide more funding?
I'd like to ask you a question about another oversight, a major one, in my opinion. I'm talking about an initiative by and for indigenous people that makes loans available to members of first nations to help them buy their first home. It's a turnkey solution that has taken root in a number of communities, and the commitment behind the approach is clear.
Why did you not secure funding for the Yänonhchia' initiative?
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When I got the Auditor General's report, I was reminded of how much work we still have to do. The report clearly lays out the steps we need to take to improve not just the quality of the services we provide, but also the way we work with communities.
We have put a number of initiatives in place. My colleague can give you some examples.
As far as I'm concerned, there are three key elements in the report we need to work on.
First, we need to improve our service processes in order to address applications more quickly.
Second, we need to have a clear service and program delivery model. The process needs to be transparent, not only for us, but also for our partners.
Third and finally, it is important for us, at Indigenous Services Canada, to be innovative in how we partner with communities. It's about more than providing service that meets quality standards. It's also about informing communities and working with them to determine what their needs are and how we can achieve long-term benefits.
I'm going to ask my colleague to provide some more examples.
Thank you.
Minister, when your predecessor for ISC— at the time—decided politically and without evidence to suddenly cut the hamlet food voucher program of the Inuit child first initiative, some of the language that she used to explain why you've used yourself: to say that it's because some people were taking advantage of the program.
I think what you need to realize is that the people who were taking advantage of the program are people in poverty and people who don't have many opportunities for employment. I've done an Order Paper question regarding the food voucher program and have learned what the totals for Nunavut were. It's estimated that it helped about 15,000 Inuit children. That's a lot for Nunavut.
When we calculated the overall amount, that figure came to about $18 per day per child. That's not a lot of money, I don't think, to help people in poverty. That program was so helpful to Inuit families, and when it was suddenly cut, they didn't understand why. Then, for this government to say that people were taking advantage of it.... It just tugs at my heart when you say that.
When all of a sudden Inuit families had to do a lot more paperwork with the changes, it meant, for example, that a single Inuk mother of seven children had to do tons of paperwork to try to access that program only to be denied, most likely. Even though she's a single mother of seven with no job, for some reason she was not eligible for the program.
In addition, her story is not unique. Nunavut has a poverty rate of 42%. Nunavut has an unemployment rate of 13.2%. When we're thinking of the backlog for indigenous peoples across Canada, we know, for example, that it's been reported for Jordan's principle cases that the backlog is at about 140,000 cases. That is a lot of children and that is a lot of indigenous children's families who are being left in limbo because ISC can't decide if those children's treatments deserve to be paid for.
This is why we're so passionate about making sure, for example, that there are no cuts to Indigenous Services Canada, that there are no cuts to the Inuit child first initiative and that there are no cuts to Jordan's principle.
When you're celebrating your successes because of what was reported in the Auditor General's report, please remember those stories: those families who can't feed their children, those families who can't get medical care and those children who, in the Department of Education, can't get better equipment so that they can learn better.
You need to make sure that you're a bit more careful when you're talking about what successes are.
In the 10 years before the Liberals came in and the current 10 years while the Liberals have been here, what first nations, Métis and Inuit have experienced are constant cuts every year, cuts to these programs that indigenous people rely on. I need to remind you that indigenous people, because of the way that systems have worked, are forced to rely on federal programs. We are forced to take, because there are no other employment opportunities.
Especially in Nunavut, where all the communities are fly-in communities, there's no screening available for children to get their screening in schools in the community. They have to be flown out. To see cuts being made to the non-insured health benefits program is also a concern.
We have all these major issues and we need to have you here to say you will commit to making sure there are no cuts.
Indeed, the national indigenous organizations in their pre-budget submissions were calling for more funds, and they were also ignored.
Could you respond to some of these national indigenous organizations? Why were you okay with the cuts that were made, when they were calling for more funding for programs and infrastructure?