b'TAXATIONThe modern framework for First Nationsregistered in the self-governing taxa- business community becomes more taxation started with the Kamloopstion process than those that have, theaware of the investment opportunities. amendment to the Indian Act in 1988,number has been growing steadily, says followed by the FNFMA in 2005. It wasJules. There are no barriers to FirstThis boost in investor funding marks one the latter that was a real game changer,Nations communities registering underof the best trickle effects of the FNFMA, giving First Nations the opportunity tothe FNFMA. The process is simple andgenerating money for building and de facto act as their own tax collectorsstraightforward. The communities simplymaintaining community infrastructure. rather than rely on the government tohave to want to do it.In the past, slow government planning perform the task and then sift throughfor infrastructure projects led to lengthy reams of red tape to access their money.INVESTOR INTEREST waits, resulting in inadequate, poorly Not only does the FNFMA allow thesemaintained structures and facilities in By Warren Heeley To date, there are 268 First Nationscommunities to raise local revenues fromFirst Nation communities. As a result, groups participating in the act, withtheir residents, businesses and industry,economic progress was stifled. Solid 125 of them choosing to independentlyit also gives them the leverage to attractinfrastructure ultimately leads to commu-collect their property taxes. (There areinvestors. Because they have well-run,nity economic growth, says Jules. The different degrees of participation andtrusted taxation processes similar todollars invested in infrastructure actu-services provided within the acts frame- provincial financing systems, the Firstally bounce four more times in the workincluding financial management,Nations Finance Authority (FNFA), whichcommunity and lead to the develop-legal and investment assistanceandacts on their behalf, has the financialment of other local services that sustain not all registered communities choose toclout to approach Bay Street and otherthe expanding local economy, such as a collect their own taxes.) The First Nationspotential investors for funding that isprofessional workforce. tax system has collected over $1 billionthen made available to the communi-in real property tax revenues and anotherties. The FNFA has secured more thanThe national cost of infrastructure work $1 billion in other local revenues since$700 million in investment funding fromon First Nations lands could be as much the FNFMA was enacted.the bond market for use by registeredas $40 billion, adds Jules, and the federal communities since 2005, when it gainedgovernment cant just write a cheque While there are still far more commu- the necessary regulatory authority. Thisfor this work. While a self-regulated nities across the country that have notfigure is expected to grow as the countrystax system is unlikely to provide all theThe Aboriginal BUSINESS REPORT21'