The latest Liberal budget has left First Nations annoyed and concerned.
The Indian Affairs budget has been set at $5.3 billion for next year, up six per cent from last year. It will go up another three per cent the year after next Indian Affairs was the only department which wasn’t cut.
On the other hand, Indian Affairs has seen an eight-per-cent increase in its budget every year for the last decade. This is because the Native population is growing twice as fast as Canada’s. Over 42 per cent of registered Natives are under the age of 25, compared with 35 per cent of Canadians. This means the social services and education systems in First Nations communities are under a heavier burden.
Even with the budget increases, spending on Natives still falls far below what the government spends on other Canadians. According to Grand Council figures, Ottawa spends $20,000 per Canadian and only $12,000 on each Native person.
Despite the budget increase, $8.1 million is being cut in Indian Affairs grants and economic development spending. Also, funding to Native communities for salaries for employees in education and social services will be frozen for the next two years.
Much anger at Native Friendship Centres, which face a whopping 20-per-cent cutback in funding over the next three years. “It’s frustrating beyond belief,” said one centre worker in Ottawa. “People are burnt out We’re stretched to the limits.” The new cuts come on top of 10-per-cent in cuts over the last three years.
Another source of worry is the uncertain fate of the C-31 Native housing program run by the Canada Mortgage and Housing Corporation. Under the program, 600 housing units were built in Native communities every year. Now this program is in limbo.
Andrew Caddell, CMHC communications director, said the federal housing agency will no longer build the 600 units and that Indian Affairs will take over the program. Will the number of units be maintained at 600? “My understanding is that it’s supposed to be,” said Caddell.
“That’s not happening,” responded Alan Williams, Assistant Deputy Minister of Corporate Services at Indian Affairs.
Williams said his department will not be spending a penny more on housing. He said Indian Affairs is presently working on a new Native housing policy and will soon bring it to cabinet for approval.
Williams suggested more houses can be squeezed out of the same budget simply by changing how the money is spent One landmark change now being considered is to go to the private sector for funds. First Nations communities or individuals may have to start borrowing money from the bank to meet some of their housing needs.
The uncertainty is concerning First Nations, which have complained for years about poor quality housing and over-crowding. Moose Factory Chief Ernest Beck is worried because his community relies on CMHC funds. “We have yet to hear what the federal government is going to put in place of CMHC housing,” he told Paul Rickard of The Nation. “If they do away with the CMHC program, what other opportunities is the government going to put in?”
