First Nations Fiscal Management Act (S.C. 2005, c. 9)

Marginal note:Information sharing agreements

113.91 The Institute may enter into agreements with a First Nation, entity, including an entity referred to in subsection 50.1(1), or individual or any level of government concerning the sharing of information for research, analysis and publication purposes.

Regulations

Marginal note:Regulations

113.92 The Governor in Council may, on the recommendation of the Minister made having regard to any representations by the Institute, make regulations prescribing fees that the Institute may charge for services and the manner in which the fees may be recovered.

PART 6Financial Management and Control

Marginal note:Definitions

114 The following definitions apply in this Part.

board of directors

board of directors includes

• (a) in respect of the First Nations Tax Commission, the commissioners referred to in section 17;

• (b) in respect of the First Nations Financial Management Board, the directors referred to in section 38; and

• (c) in respect of the First Nations Infrastructure Institute, the directors referred to in subsection 102(1). (conseil d’administration)

institution

institution means the First Nations Tax Commission, the First Nations Financial Management Board or the First Nations Infrastructure Institute. (institution)

Marginal note:Exclusion from federal public administration

• 115 (1) The officers and employees of an institution are not part of the federal public administration.

• Marginal note:No guarantees

  (2) No person shall give a guarantee on behalf of Her Majesty for the discharge of an obligation or liability of an institution.

Marginal note:Financial year

116 The financial year of each institution is the period from April 1 to March 31, unless otherwise prescribed by regulation.

Marginal note:Expenditure of revenues

117 Subject to any terms and conditions that the Treasury Board may direct, for the purposes of the institution, an institution may expend, during a financial year or the following year, any revenues that it receives in that financial year through the conduct of its operations.

Marginal note:Corporate plans

• 118 (1) Each institution shall, in accordance with any directions given by the Minister, establish a five-year corporate plan and a budget for each financial year and submit them to the Minister for approval.

• Marginal note:Scope and contents of corporate plan

  (2) The corporate plan of each institution shall encompass all of the businesses and activities of the institution and include a statement of

  • (a) the objects or purposes of the institution;

  • (b) the institution’s objectives for the five-year period to which the plan relates and the strategy it intends to employ to achieve those objectives; and

  • (c) the institution’s expected performance for that five-year period as compared to its objectives set out in the last corporate plan.

• Marginal note:Contents of budget

  (3) The budget of each institution must include a statement of the institution’s projected revenues and expenses for the financial year on account of capital and operations.

• Marginal note:Form of corporate plan

  (4) The corporate plan of each institution shall be prepared in a form that clearly sets out information according to the major businesses or activities of the institution.

• Marginal note:Restriction on business or activity

  (5) No institution may carry on any business or activity in any financial year in a manner that is not consistent with its corporate plan for that year.

• Marginal note:Amendment

  (6) Any amendment by an institution to its corporate plan or budget shall be submitted to the Minister for approval.

Marginal note:Books and systems

• 119 (1) Each institution shall

  • (a) keep books of account and records in relation to them; and

  • (b) maintain financial and management control and information systems.

• Marginal note:Books and systems

  (2) The books, records and systems referred to in subsection (1) shall be kept and maintained in such a manner as will provide reasonable assurance that

  • (a) the institution’s assets are safeguarded and controlled;

  • (b) its transactions are in accordance with this Act;

  • (c) its financial, human and physical resources are managed economically and efficiently; and

  • (d) its operations are carried out effectively.

• Marginal note:Internal audit

  (3) An institution may cause internal audits to be conducted to assess compliance with subsections (1) and (2).

• Marginal note:Financial statements

  (4) Each institution shall annually prepare financial statements, in accordance with generally accepted accounting principles, as supplemented by any directions given by the Minister under subsection (6).

• Marginal note:Form of financial statements

  (5) The financial statements of an institution shall be prepared in a form that clearly sets out information according to the major businesses or activities of the institution.

• Marginal note:Directions

  (6) The Minister may give directions respecting the preparation of financial statements, to supplement generally accepted accounting principles.

Marginal note:Annual auditor’s report

• 120 (1) Each institution shall cause an annual auditor’s report to be prepared in accordance with any directions of the Minister, on

  • (a) its financial statements; and

  • (b) any quantitative information required to be audited under subsection (3).

• Marginal note:Contents

  (2) A report under subsection (1) shall

  • (a) include separate statements as to whether in the auditor’s opinion

    • (i) the financial statements are presented fairly, in accordance with generally accepted accounting principles, applied on a basis consistent with that of the preceding year,

    • (ii) the quantitative information is accurate in all material respects and, if applicable, was prepared on a basis consistent with that of the preceding year, and

    • (iii) the transactions of the institution that have come to the auditor’s notice in the course of their examination for the report were carried out in accordance with this Act; and

  • (b) call attention to any other matter falling within the scope of the auditor’s examination for the report that, in their opinion, should be brought to the attention of the institution or the Minister.

• Marginal note:Audit of quantitative information

  (3) The Minister may require that any quantitative information required to be included in an institution’s annual report pursuant to paragraph (2)(a) be audited.

• Marginal note:Presentation to Minister

  (4) Each institution shall submit its audited financial statements to the Minister at least 30 days before the day of its annual meeting.

Marginal note:Special examination

• 121 (1) Each institution shall, at least once every five years and at any other time required by its board of directors or by the Minister, cause a special examination to be carried out in respect of its operations to determine if the books, records, systems and practices referred to in section 119 were, in the period under examination, maintained in a manner that met the requirements of that section.

• Marginal note:Plan

  (2) Before commencing a special examination, an examiner shall survey the systems and practices of the institution to be examined and submit a plan for the examination, including a statement of the criteria to be applied in the examination, to the audit committee of the institution.

• Marginal note:Resolution of disagreements

  (3) Any disagreement between the examiner and the audit committee or board of directors of an institution with respect to a plan referred to in subsection (2) shall be resolved by the Minister.

• Marginal note:Reliance on internal audit

  (4) An examiner shall, as far as is practica­ble, rely on any internal audit conducted pursuant to subsection 119(3) in respect of the institution being examined.

Marginal note:Report

• 122 (1) An examiner shall, on completion of a special examination in respect of an institution, submit a report on their findings, and a summary of that report, to the Minister and to the board of directors of the institution.

• Marginal note:Contents

  (2) The report of an examiner shall include

  • (a) a statement whether in the examiner’s opinion, having regard to the criteria referred to in subsection 119(2), there is a reasonable assurance that there are no significant deficiencies in the systems and practices examined; and

  • (b) a statement of the extent to which the examiner relied on internal audits.

• Marginal note:Posting of report

  (3) An institution shall, as soon as possible after receipt of an examiner’s report, post a summary of the report on an Internet website maintained by the institution.

Marginal note:Examiner

• 123 (1) Subject to subsection (2), a special examination shall be carried out by the auditor of the institution.

• Marginal note:Other auditor

  (2) If, in the opinion of the Minister, a person other than the auditor of an institution should carry out a special examination in respect of the institution, the Minister may, after consulting with the board of directors of the institution, direct that the examination be carried out by another auditor who is qualified for the purpose.

Marginal note:Consultation with Auditor General

124 The auditor or examiner of an institution may at any time consult the Auditor General of Canada on any matter relating to an audit or special examination.

Marginal note:Right to information

• 125 (1) At the request of the auditor or examiner of an institution, the present or former commissioners, directors, officers, employees or agents or mandataries of the institution shall provide any information and explanations, and give access to any records, documents, books, accounts and vouchers of the institution that are under their control, that the auditor or examiner considers necessary to prepare a report required under this Act.

• Marginal note:Obligation to inform

  (2) If a commissioner or director of an institution does not have information or an explanation requested by an auditor or examiner under subsection (1), the commissioner or director shall obtain the information or explanation and provide it to the auditor or examiner.

Marginal note:Restriction

126 Nothing in this Part or in any directions of the Minister shall be construed as authorizing the auditor or examiner of an institution to express any opinion on the merits of matters of policy, including the merits of

• (a) the objects or purposes for which the institution was established or the restrictions on the businesses or activities that it may carry on, as set out in this Act; or

• (b) any business or policy decision of the institution.

Marginal note:Qualified privilege

127 An oral or written statement or report made under this Part by an auditor or examiner has qualified privilege.

Marginal note:Audit committee

• 128 (1) Each institution shall establish an audit committee composed of not less than three commissioners or directors who are not officers of the institution and who are competent to perform the duties set out in subsection (2).

• Marginal note:Duties

  (2) An audit committee shall

  • (a) review, and advise the board of directors in respect of, the financial statements that are to be included in the annual report of the institution;

  • (b) oversee any internal audit of the institution;

  • (c) review, and advise the board of directors in respect of, the annual auditor’s report in respect of the institution;

  • (d) review, and advise the board of directors in respect of, any plan and report of a special examiner; and

  • (e) perform any other functions that are assigned to it by the board of directors of the institution.

• Marginal note:Auditor’s or examiner’s attendance

  (3) An auditor and any examiner of an institution are entitled to receive notice of every meeting of the audit committee and, at the expense of the institution, to attend and be heard at each meeting.

• Marginal note:Required attendance

  (4) The auditor or examiner of an institution shall attend any meeting of the institution’s audit committee at which he or she is requested to attend by a member of that committee.

• Marginal note:Calling meeting

  (5) The auditor or examiner of an institution or a member of the institution’s audit committee may call a meeting of that committee.

Marginal note:Disclosure of material developments

129 The chief executive officer of an institution shall, as soon as reasonably practica­ble, notify the Minister and any commissioner or director of the institution not already aware of them of any financial or other developments that, in the chief executive officer’s opinion, are likely to have a material effect on the perform­ance of the institution, relative to its objectives or requirements for funding.