Appearance before the Standing Committee on Indigenous and Northern Affairs: Barriers to Indigenous Economic Development, February 11th, 2022

The Honourable Daniel Vandal, Minister of Northern Affairs and
Paula Isaak, President, Canadian Northern Economic Development Agency (CanNor)

Table of contents

Scenario note

Logistics

Date: Friday, February 11, 2022
Time: 1 p.m. to 2 p.m.
Location: Videoconference (Zoom)
Subject: Barriers to Indigenous Economic Development

Witnesses from Indigenous Services Canada

  1. The Honourable Patty Hajdu, Minister of Indigenous Services and Minister responsible for the Federal Economic Development Agency for Northern Ontario
  2. Christiane Fox, Deputy Minister
  3. Christopher Duschenes, Director General, Economic Policy Development, Lands and Economic Development
  4. Jessica Sultan, Director General, Economic and Business Opportunities, Lands and Economic Development
  5. Manon Brassard, Interim President, Canadian Economic Development Agency for Northern Ontario

Witnesses from Crown-Indigenous Relations and Northern Affairs Canada

  1. The Honourable Daniel Vandal, Minister of Northern Affairs, Minister responsible for Prairies Economic Development Canada and Minister responsible for the Canadian Northern Economic Development Agency
  2. Paula Isaak, President of the Canadian Northern Economic Development Agency, and Associate Deputy Minister of Crown-Indigenous Relations and Northern Affairs Canada
  3. Serge Beaudoin, Assistant Deputy Minister, Northern Affairs
  4. Mohan Denetto, Director General, Executive Advisor, Prairies Economic Development Canada

Context

INAN adopted the following motion on February 1, 2022 from the Conservative Party of Canada: That the committee undertake the following studies, in the order shown below, allotting a maximum of six meetings for each study:

That, pursuant to Standing Order 108(2), the committee undertake a study on the existing barriers to Indigenous economic development and how to remove them; and, that the committee invite officials from the National Aboriginal Institutions created in the First Nations Fiscal Management Act (2005), officials from the Department of Finance, officials from the Department of Indigenous Services, the Minister of Indigenous Services, officials from the Department of Crown-Indigenous Relations and Northern Affairs, the Minister of Crown- Indigenous Relations, and the Minister of Northern Affairs; that all meetings for this study be televised; that the committee report its findings and recommendations to the House; and that, pursuant to Standing Order 109, the committee request that the government table a comprehensive response to the report.

The committee also adopted other motions to study the restitution of land to Indigenous Peoples, health care rights, and emergency preparedness.

Background on the Study

INAN has held two meetings on the study of Barriers to Indigenous Economic Development. The key issues that were raised by the Conservative members include Government reluctance to give up control to First Nations, financing for First Nations, how the Government can promote the economic freedom of First Nations, and solutions on how to reduce the infrastructure gap. The NDP inquired about the effect of the pandemic on economic development in Indigenous communities, as well as how a lack of housing and drinking water hinders economic development. The Bloc Québécois asked about impediments for Indigenous businesses in remote communities. The Liberals asked if First Nations should be provided with taxation powers that would enable them to improve their economies, how treaties assist with economic development, and how the federal government can help facilitate funding for Indigenous-owned businesses.

Here is a summary of some of the key points raised by the witnesses:

Canadian Council for Aboriginal Business

  • We would like to see as a recommendation by this committee is a comprehensive federal government-wide strategy driven by indigenous peoples to support the [Inaudible]. Indigenous entrepreneurship strategy would make indigenous prosperity a priority for every federal department, agency and regulator, and provide the necessary down payment to support economic reconciliation.
  • Indigenous entrepreneurship strategy should include the following three key pillars; access to procurement and program opportunities, access to markets and supply chain networks, and access to funding.
  • We see eliminating the barriers to federal procurement, in addition to infrastructure set-asides for Indigenous businesses and communities, as critical steps to indigenous economic development.

Métis National Council

  • Commit to the re-establishment of the Métis Economic Development Strategy through the capitalization of the Métis Capital Corporations rather than a push to borrow; the Aboriginal Entrepreneurship Program growth supports demonstrated demand; access to the Canada Small Business Financing Program and support in establishing regulated commercial sector Métis institutions.
  • Equitable access to current economic development programming. First Nations and Inuit have access to the Lands and Economic Development Services Program; Métis do not, and to Regional Development Agencies
  • Co-developed programming to address the gaps. There is no First Nations Finance Authority equivalent for Métis—that should be co-designed; co-designed programming in clean growth infrastructure; access to CMHC insurance and on procurement modernization, the funding of Métis business registries, and a commitment to develop meaningful statistics to guide our joint efforts.

British Columbia Assembly of First Nations

  • Barriers include lack of respect for first nations' rights, jurisdictions—as it relates to treaties —and our inherent rights, lack of involvement in economic development planning decisions and financing.
  • Finance is always an issue in regard to funding certain projects that are led by First Nations or are in partnership with First Nations. It's very difficult to access financing in terms of getting the necessary financing on many projects out there in terms of infrastructure and/or development of projects that are important to, not only our First Nations communities, but to the economy in general.

National Aboriginal Capital Corporations

  • Proposes the creation of a $150-million Indigenous housing fund from which aboriginal financial institutions could leverage financing for individual and community housing.
  • Additional funding for the aboriginal entrepreneurship program, announced in budget 2021, must meet the current needs and be made permanent.
  • Provide 10-year funding agreements to qualified institutions.

First Nations Finance Authority

  • We developed a proposal we call monetization … Monetization would see FNFA issue debentures into capital markets which could be used to fund infrastructure and other economic development (creating) a greater overall impact than the current federal approach. What's missing in the equation is a sufficient revenue stream to cover debt servicing and repayment.

First Nations Financial Management board

  • We need to allow the creation of critical mass of communities to achieve the economies of scale that can offer the front and back office capacities required to secure the information needed.
  • The need for modern day transfer arrangements between Canada and the provinces and First Nation governments.
  • The need to modernize our administrative capacity to respond to the economic and governance matters that communities find themselves having to deal with.

First Nations Tax Commission

  • We are proposing a new institution under the First Nations Fiscal Management Act, the First Nations infrastructure institute
  • We are proposing an increase in fiscal powers to include fuel, alcohol, cannabis and tobacco taxes.
  • We're proposing a First Nations Resource charge in our ancestral lands. Implementing our fiscal powers is the fastest way to end colonial-era dependency.

Context on the Members

Most of the members are new to the Committee with the exception of MP Jamie Schmale (CPC), MP Jaime Battiste (Lib), MP Marcus Powlowski (Lib) and MP Gary Vidal (CPC).

MP Gary Vidal (CPC), critic of Crown-Indigenous Relations, has pressed the Government recently to involve Indigenous softwood lumber producers in the discussions in developing a softwood lumber agreement. "I believe there is an obligation to have many stakeholders at the table to solve the issues facing many Canadians across the country." (Hansard, December 1, 2021)

Martin Shields (CPC), who is critic for Indigenous Services, has not been vocal on Indigenous issues, but during the Federal election, he indicated that he will seek to strengthen existing relationships with Indigenous Nations such as Siksika in Alberta. Shannon Stubbs (CPC) has expressed concerns for the disproportionate challenges Indigenous people face, and indicated that concrete action is needed. (My Lloyd Minister Now, September 3, 2021)

Lori Idlout (NDP), the critic of Crown-Indigenous Relations and Northern Affairs, will likely focus her questions on the economy in Nunavut. During the federal election, she indicated her main priorities were housing and mental health. Recently in the House of Commons, she expressed concerns with the standard of living of people in the territory. "Nunavummiut experience this crisis disproportionately. In 2016, Nunavut food costs were three times the national average. In 2018, 62% of Nunavut's households with children were food insecure. High cost of living affects Nunavummiut's access to their most basic human rights, including food, water, housing, health and mental health. We have felt these challenges for far too long, despite government programs and subsidies aimed at providing relief." (Hansard, January 31, 2022)

MP Marilène Gill (BQ) has been an active participant of INAN over the years. She has posed questions in the past about Indigenous rights, food security in the North, and the lack of progress in the Truth and Reconciliation Commission's Calls to Action. She has recently expressed the need to improve economic development and housing in Indigenous communities in northern Quebec. "The Innu and Naskapi make up 15% of the North Shore's population … We need to take action on the ground. The big issues are economic development and ending violence. The pandemic has hit First Nations harder than most. What they need is housing."

MP Pat Weiler's (Lib) key interests are tourism, labour, housing and affordability. He has indicated that he was "proud" when the United Nations Declaration on the Rights of Indigenous People received Royal Assent on June 21, 2021. (Pique News Magazine, August 27, 2021)

MP Jenica Atwin (Lib) has expressed concerns about racism against Indigenous people, and the problems they face in Indigenous communities with water, housing, and education. "It is imperative to our success and our collective well-being that we confront trauma in Canadian society. The Truth and Reconciliation Commission of Canada educates us about the intergenerational trauma that still ripples through communities today, about underfunded education and child welfare services, and about discrimination. (Hansard, November 30, 2021).

MP Michael Mcleod (Lib) will likely raise issues that pertain to communities in his riding in the Northwest Territories. He has indicated the importance of improving infrastructure. "Earlier today I met with Prime Minister Justin Trudeau to discuss some of the priorities of NWTers, including Indigenous rights and closing the infrastructure gap." (Twitter, December 15, 2021)

MP Jamie Battiste (Lib), who is also the Parliamentary Secretary to the Minister of Crown-Indigenous Relations, often speaks to first-hand experience, and issues that affect Indigenous people in his riding in Nova Scotia (Sydney-Victoria). He's also indicated his concerns with ensuring efforts are being made to advance self-determination to improve economic development. "Lands are a crucial asset for advancing self-determination, economic development and well-being. Additions to reserve play a significant role in returning land to Indigenous communities, fulfilling legal obligations, improving relationships with Indigenous communities, and fostering economic opportunities." (Hansard, January 31, 2022).

Meeting Proceedings

The meeting is scheduled to occur from 1 p.m. to 2 p.m. on February 11, 2022 via the web platform Zoom.

All witnesses will be asked to connect to the meeting at 12:30 p.m. The Zoom link will be sent directly from the House of Commons to the witnesses.

The Chair will open the meeting and provide instructions for the meeting proceedings. He will then introduce all witnesses. It is recommended to speak slowly and at an appropriate level to ensure the interpreters can hear you. All witnesses are requested to mute your microphone when you are not speaking.

While simultaneous translation will be available, witnesses are asked to respond to questions in either language but to limit switching back and forth between languages as this often creates technology/interpretation challenges. It is recommended to deliver the speech in one official language.

Following the opening remarks, there will be rounds of questions from Committee members (as listed below).

1. Committee members will pose their questions in the following order:

  • First round (6 minutes for each Party)
    • Conservative Party of Canada
    • Liberal Party of Canada
    • Bloc Québécois
    • New Democratic Party of Canada
  • Second round
    • Conservative Party of Canada (5 minutes)
    • Liberal Party of Canada (5 minutes)
    • Bloc Québécois (2.5 minutes)
    • New Democratic Party of Canada (2.5 minutes)
    • Conservative Party of Canada (5 minutes)
    • Liberal Party of Canada (5 minutes)

The meeting can be watched via Parlvu, however there is a 70-second delay.

Opening Remarks

Speech for the Honourable Daniel Vandal

Check on delivery

Kwe kwe, Ullukkut [Ood-loo-koot], Tansi, hello, bonjour!

I'm joining you from my office in Saint Boniface — Saint Vital, Treaty 1 territory, homeland of the Métis Nation.

Thank you for inviting me here today to discuss Indigenous economic development. I'm joined by Paula Isaak, President of CanNor; Serge Beaudoin, Assistant Deputy Minister of Northern Affairs; and Mohan Denetto, Executive Advisor at PrairiesCan.

As Minister of Northern Affairs and the two regional development agencies, I've had the opportunity to spend time listening to Indigenous partners and learn first hand the barriers they face when it comes to sustained economic development.

Access to skills development and educational opportunities is often constrained by infrastructure, connectivity, housing, and more.

But our government continues to make more progress in addressing many of these barriers, and I'd like to highlight some recent examples.

Access to high-quality education for young people is critical to not only individual success, but also local economies, and Canada as a whole. This is an issue personal to me, from my days on Winnipeg City Council where I led the development of Winnipeg's Aboriginal Youth Strategy, the first of its kind in Canada, and as a social worker with Winnipeg's Ma Mawi Centre.

We're making new investments in education in the North. We've provided funding to construct a new science building at Yukon University and to transform Aurora College into a polytechnic university as well as $13 million for the Dechinta Centre for Research and Learning. I also announced a Task Force on Northern Post-Secondary Education which will provide recommendations on ways to close gaps in education and skills training that exist between the North and the rest of Canada.

CanNor has been particularly important across the territories and for Indigenous businesses. Over the last three years, CanNor provided over 60% of its funding to Indigenous recipients.

In Nunavut, CanNor has invested in a small scale fisheries development project. Working in partnership with the Hunters and Trappers Associations, the project supports exploratory inshore fisheries research to develop community-owned commercial fisheries in three hamlets.

In the NWT, we have invested in the Cheetah Resources Nechalacho Rare Earth Demonstration Project which supports sustainable resource development in collaboration with the Det'on Cho Corporation, the economic development arm of the Yellowknives Dene First Nation.

And in Yukon, we're supporting a local Indigenous-owned company, Grandma Treesaw's Bannock and Catering Services, in a one-year project to export dry bannock mix to the United States.

Our government is working with partners to manage and remediate Northern contaminated sites that will promote employment, training and business opportunities for Indigenous Peoples and Northerners.

Indigenous businesses in the Prairies face unique challenges and we are delivering investment programs to foster economic growth and prosperity.

The Indigenous Business Development Services (IBDS) which provides early stage entrepreneurship support for new and existing Indigenous entrepreneurs and business organizations.

The Arctic Gateway Group in Manitoba is helping to maintain operations of the Hudson Bay Railway, which approximately 70% of their employees are Indigenous.

Recognizing there is still much to be done, we know economic diversification and innovation are key elements to economic resilience and reconciliation.

To achieve this, Indigenous partners must be at the table. This is why our government launched Canada's Arctic and Northern Policy Framework. Together, we are developing long-term opportunities that protect Canada's rich natural environment, build healthier communities, respect the rights and interests of Indigenous peoples, and support a strong, diversified, sustainable and dynamic economy in the North and Arctic.

Thank you for again for this opportunity and I would now be pleased to take your questions.

Meegwetch. Qujannamiik [Koo-ya-na-meek]. Marci. Thank you. Merci.

Mandate Letter Backgrounder

Minister Vandal's Mandate Letter

  • As the Minister for Northern Affairs, I have been entrusted with leading the Government of Canada's work in the North, by advancing initiatives that matter most to Northerners.
  • I was instructed to prioritize initiatives to improve housing, food security and closing the gap in education outcomes and devolution, while continuing to implement the Arctic and Northern Policy Framework.
  • Our Government has made progress on responding to the unique needs and challenges faced by Northerners, but we can do more and we will do more.
  • I was also instructed to build the strength and capacity of Prairies Economic Development Canada and the Canadian Northern Economic Development Agency to prioritize support for small and medium-sized businesses and create jobs.
  • In order to advance reconciliation, it is paramount that our Government continues to ensure that Indigenous Canadians can fully participate in the nation's economy.

Northern Accomplishments

If pressed on Nutrition North

  • Nutrition North Canada helps to make perishable and nutritious foods more affordable and accessible to residents of eligible isolated northern communities that lack year-round road, rail or marine access.
  • Nutrition North Canada has increased subsidy rates and expanded its list of subsidized food and essential items to include cleaning and personal hygiene products.
  • Northerners are now also benefiting from the program's new Harvesters Support Grant which is increasing access to traditional foods and supporting hunting, harvesting and food sharing activities.
  • In its first year alone, over 5,500 harvesters, over 150 hunts, and over 120 food sharing initiatives were supported by the Harvesters Support Grant.

If pressed on Nunavut Devolution

  • On August 15, 2019, the Government of Canada, the Government of Nunavut and Nunavut Tunngavik Inc signed an Agreement-in-Principle on the devolution of Crown Lands, resources, and rights in respect of waters in Nunavut. The next step is the negotiation of a Final Devolution Agreement.
  • The parties resumed negotiations on a Final Devolution Agreement targeted for completion in 2022.
    • This work is progressing well.
    • The details of negotiations will remain confidential until a Final Agreement has been reached.

If pressed on Arctic and Northern Policy Framework

  • We launched the Arctic and Northern Policy Framework with territorial, Indigenous and provincial partners in September 2019, and are now focused on co-development of governance mechanisms to achieve Framework goals and objectives.
  • The second leadership meeting occurred in December 2021 and participants discussed northern priorities.
  • The intent of the Framework is to guide federal and partner priorities and investments through to 2030 and beyond.
  • The Government of Canada has made significant investments in areas that reflect both Framework priorities and the direct advocacy of Framework partners. The Government remains committed to continuing its collaboration with all partners in support of northern economies and the social and political self-determination that underpins long-lasting regional development.

If pressed on Northern Contaminated Sites Program

  • The Government has renewed the Federal Contaminated Sites Action Plan and has made significant investments in the new Northern Abandoned Mine Reclamation Program.
  • Both programs are intended to ensure lands and waters are healthy for future generations and will help to secure significant socio-economic benefits for Northerners and Indigenous partners – through training, capacity building, contracts and jobs.
  • We will continue to collaborate with communities, Indigenous partners, the Territories and interested stakeholders to protect Canadians and the environment.

If Pressed on climate change or reducing reliance on diesel

  • The Government is making investments across northern and Indigenous communities that are helping to address climate change and reduce reliance on diesel through its clean energy, and climate change adaptation and monitoring programs.
  • These programs demonstrate that targeted, accessible programs offer successes at the community-level that support reconciliation and promote self-determination through climate action.
  • Through Budget 2021, we are further supporting northern and Indigenous communities to transition off-diesel by introducing renewable, reliable energy. Additional funding will support planning and feasibility for hydroelectricity projects that will advance a clean energy transition across the North.
  • Budget 2021 also provided $25 million to the Government of Yukon to support their climate change and clean energy priorities.

If pressed on Northern Housing and Infrastructure

  • Our government recognizes the importance of safe, adequate and affordable housing and the unprecedented challenges that Northerners are facing in responding to their housing needs.
  • Through Budget 2021, we are providing $50 million to the Governments of Nunavut and the Northwest Territories to address their critical housing needs, as well as an additional $18 million through Indigenous Community Infrastructure Fund for Indigenous communities in the Northwest Territories that have historically not received housing and infrastructure investment.
  • Furthermore, Budget 2021 provides $517.8 million for Inuit land claim organizations to support infrastructure in Inuit Nunangat, as well as $517.7 million to Indigenous Self-Government and Modern Treaty Partners' to support action plans specific to infrastructure priorities, needs and circumstances.
  • These are a significant step in addressing the critical housing needs of Canada's north. We recognize more needs to be done and we will continue to work with Northerners to address this gap.

Economic Development Accomplishments 2020-2021

  • The COVID-19 pandemic brought unique challenges to the North, particularly for small- and medium-sized businesses.
  • Through its relief funding, the Canadian Northern Economic Development Agency provided almost $32 million in direct support to businesses, maintaining nearly 1,700 jobs.
  • By working in partnership with Northerners and implementing Budget 2021 initiatives such as the Jobs and Growth Fund and the Tourism Relief Fund, the Agency will continue to build on the North's recovery path and address long-standing challenges.
  • Through its Northern Projects Management Office (NPMO), CanNor worked with industry, northern governments, communities, Indigenous groups, and other partners to promote sustainable and responsible resource development across the territories.
  • Through NPMO, CanNor coordinated the Government of Canada's participation in seven territorial environmental assessments: four in Yukon, one in the Northwest Territories, and two in Nunavut.

If pressed on Low Indigenous Labour Market Participation Rates

  • Our Government recognizes employment challenges faced by Indigenous peoples in the North.
  • We have established the Task Force on Northern Post-Secondary Education to improve post-secondary education opportunities and outcomes in Canada's North and we look forward to review the Task Force recommendations, and work with partners to implement them.
  • CanNor provides $4.5 million per year Yukon University, Aurora College, and Nunavut Arctic College to deliver culturally appropriate curriculum that responds to the needs of Indigenous and non-Indigenous Northerners, increasing the availability of skilled labour across the territories.
  • CanNor also funds multiple projects in the territories that benefit Indigenous businesses and employment such as a critical mineral project in NWT to benefit the green economy, an off-grid solar project that has allowed a Yukon community to become an independent power producer and multiple investments in Nunavut to grow its fishery sector and create jobs for Inuit.

If pressed on support for Nunavut fisheries

  • Our Government recognizes the growth potential in Nunavut's fisheries and continues to support this sector.
  • Over the past five years, the Canadian Northern Economic Development Agency has approved $16.7M for 20 projects for skills training, infrastructure development for inshore fisheries, research and offshore marketing, for the Nunavut Fisheries sector.
  • The Agency's contributions have helped develop 10 different fish stocks including arctic char, shrimp, turbot and whitefish and seal.
  • Nearly 200 jobs were supported in 13 Nunavut communities, including in Clyde River, Pond Inlet, and Qiqiktarjuak.

If pressed on support for Indigenous participation in the mining sector

  • Resource development remains a principal driver for developing a strong, diverse, dynamic and sustainable economy in the territories.
  • Our government is committed to working with Indigenous organizations, businesses and communities in NWT, and across Canada, to support sustainable mining in the territories, including Indigenous participation in remediation projects such as the Giant mine, near Yellowknife.
  • In 2020-21, CanNor supported Cheetah Resources Corporation through a $1.2M repayable contribution toward the company's Nechalacho Rare Earth Demonstration Project.
  • This project is innovative in that it is the first mine in Canada for which ground operations have been entirely contracted out to the First Nation on whose traditional territory the mine resides.

Indigenous Participation in the Territorial Economies

If pressed on CanNor contribution to Indigenous employment:

  • CanNor funds multiple projects in the territories that benefit Indigenous businesses and employment. Over 60% of funding supports Indigenous clients, such as a critical mineral project in NWT to benefit the green economy; an off-grid solar project that has allowed a Yukon community to become an independent power producer; and multiple investments in Nunavut to grow its fishery sector and create jobs for Inuit.

If pressed on CanNor Indigenous economic development/reconciliation in the Territories

  • Our Government is committed to Indigenous economic reconciliation in the territories.
  • COVID-19 relief programs delivered by the Canadian Northern Economic Development Agency have helped Indigenous small- and medium-sized enterprises weather the economic impacts of the pandemic, providing over $6.6M to over 100 Indigenous applicants to protect nearly 400 jobs.
  • For over a decade, CanNor has played a pivotal role in supporting Indigenous communities and businesses, and its programs and partnerships will be even more essential now as we begin to shift to post-pandemic economic development.

Supports to Indigenous Communities and Businesses

Key Statistics

Regular Programming
(2019-20 - 2021-22)
Indigenous Total
Number of Projects 244 371
Percentage of Projects 65% 100%
Amount of Funding $93,848,897 $143,725,258
Percentage of Funding 65% 100%
Jobs 1334* 1504
*Jobs (Indigenous column) represent the number of jobs created as a result of projects led by Indigenous organizations/businesses, not specifically Indigenous jobs created.

COVID-19 Supports and Impacts

Key Statistics

COVID relief funding
Regional Relief Recovery Fund (RRRF) Northern Business Relief Fund (NBRF)
By region
YUKON NWT NUNAVUT TOTAL
Projects Approved 282 249 49 580
Total Funding Approved $15,292,043 $11,728,402 $4,833,270 $31,853,715
Number of Jobs Maintained 654 818 216 1688
COVID relief funding
Regional Relief Recovery Fund (RRRF) Northern Business Relief Fund (NBRF)
By category
NBRF and RRRF
Totals
Women:
Business is majority owned or managed by Women
Indigenous:
Business is majority owned or managed by Indigenous Peoples
Tourism:
Arts, Entertainment and Recreation/ Tourism/ Accommodations and Food services/ Transportation
Number of
approved
projects
204 106 336
Number of
Jobs
Maintained
682 394 875
Amount of
Funding
Approved
$8,130,213 $6,618,026 $21,914,773

Barriers and Opportunities to Indigenous Economic Development

Skills development

Challenge

  • Nunavut and NWT are home to some of the lowest levels of high-school completion rates in Canada, particularly among Indigenous peoples.
  • Indigenous unemployment is high in the territories, while overall unemployment in the NWT and Yukon are below the national average. This means that some sectors must rely on workers from outside the territories because of local workforce shortages and skills gaps.
  • Access to skills development and educational opportunities for Northerners is constrained by limited transportation infrastructure, sub-par connectivity, high delivery costs and a limited number of qualified instructors, notably in small, isolated communities.

Opportunity

  • The National Indigenous Economic Development Board estimated that Indigenous peoples in the territories could earn an additional $1.1 billion annually with the same education and training as non-Indigenous peoples.
  • CanNor uses its grants and contributions programs, such as the Northern Aboriginal Economic Opportunities Program and IDEANorth to enhance skills development infrastructure in the territories on a project basis. For example, CanNor has invested in projects such as the renovation of the Fisheries and Marine Training Centre in Iqaluit - $670,000 over 2 years - and the building of a regional training centre in Pond Inlet, NU - $10 million over 4 years.
  • An initiative that is key in developing skills in Nunavut's Inuit population is actually housed within CanNor, Pilimmaksaivik is the office responsible for coordinating a government-wide approach to building a representative public service in Nunavut by designing and delivering culturally competent training while facilitating job matching and career development for Inuit.

Infrastructure investments and development

Challenge

  • The infrastructure deficit is a foundational challenge to economic growth in the territories.
  • Infrastructure gaps differ among territories, for example: all communities in Nunavut and several NWT communities rely exclusively on marine and aviation transportation.
  • There is an ongoing lack of affordable and available housing in the North. These challenges have been intensified by the pandemic due to the high cost of supplies and shortage of workers.

Opportunity

  • While childcare is a long standing barrier in the territories that prevent some Northerners from participating in the labour force, the Government of Canada has now signed agreements with each territorial government to increase capacity and provide $10 a day childcare.
  • Connectivity remains a significant infrastructure disparity in Nunavut and in parts of NWT but new initiatives are underway.
  • For example, in April 2021, the Government of Canada, the Government of the Northwest Territories and the Tłı̨chǫ Government announced $11 million of combined funding to connect 152 Whatì households to the NWT high-speed internet.
  • On large-scale infrastructure projects, CanNor de-risks projects through investments in feasibility studies such as $3 million to support a feasibility study for the Kivalliq hydro-fibre link. We also convene public and private investors in the region.
  • In 2020-21, CanNor provided $7.2 million towards 16 small-scale infrastructure projects, ranging from multipurpose infrastructure to clean energy.

Resource development

Challenge

  • Delays in regulatory approval processes and challenges with obtaining social license pose risks for future resource development projects in the territories.
  • Lower exploration spending is a cause for concern, as less exploration now leads to fewer mines later. Territorial exploration spending declined by 50% between 2019 and 2020, with forecasted 2021 spending still 36% lower than 2019.

Opportunity

  • The mining industry continues to be the largest private sector contributor to the territories' economies, accounting for approximately 23% of the GDP. New mines are set to open, but some gains will be offset as existing mines age out. Opportunities for contracting and employment for northern firms exist in the remediation sector.
  • New opportunities exist in critical minerals. Increasing demand for green technologies will lead to greater demand for critical minerals, as these new technologies require significantly more critical mineral inputs than our legacy technologies. The Canadian Minerals and Metals Plan provides a joint pathway forward.
  • Indigenous businesses and community members benefit from natural resource development projects as business partners, suppliers and from employment opportunities.
  • In 2021-22, CanNor's Northern Project Management Office coordinated the Government of Canada's participation in seven environmental assessments and facilitated over 330 interactions between federal departments, industry, regulatory boards and Indigenous groups.
  • CanNor invests in the development of partnerships between industry and indigenous businesses and promotes the potential of the critical minerals sector such as investing $1.2 million toward the Nechalacho Rare Earth Demonstration Project in the Northwest Territories, creating jobs for Indigenous peoples and Northerners.

Diversification and innovation

Challenge

  • The territorial economies are primarily composed of public administration and the extractive industries – about 50% of overall GDP.
  • Economic diversification and innovation are key elements to territorial economic resilience and reconciliation.
  • Nevertheless, foundational barriers such as infrastructure and skills development remain key barriers to advancing economic reconciliation in the territories.

Opportunity

Tourism
  • While the tourism sector in the North was hit hard by the pandemic, the fundamentals for continued growth remain in place and tourism should be viewed as a route to economic diversification in the territories.
  • Each territory has its own tourism profile and strategy, reflective of unique geographies and tourism assets. Many northern Indigenous communities have embraced tourism as a source of economic opportunities.
  • CanNor is actively supporting local Indigenous tourism initiatives through:
    • Investments in infrastructure such as camping and lodges;
    • SME support; and,
    • Tourism attraction support.
Knowledge Economy
  • Through improved connectivity and the development of research institutions, the territories have an emerging knowledge economy.
  • A developed knowledge economy in the north has the potential to benefit remote Indigenous communities across the North through greater information infrastructure, more advanced education, better environments for innovation and spur growth in new areas of employment.
  • CanNor is proud to support the growing knowledge economy in the territories and sees the sector as a key component to capacity development for Indigenous peoples in the territories. For example, CanNor provided nearly $800,000 to renovate a commercial space into a collaborative space, which will support skills development, job creation, and innovative new businesses in Yellowknife.
Food Production
  • There is increased interest in food production in the territories. Some communities and firms are experimenting with modular greenhouses, such as those built from shipping containers, to grow local produce.
  • CanNor is supporting the food sector area through our Northern Food Innovation Challenge, which will support innovative, community-led projects for local and Indigenous food production systems to help improve food security in Canada's territories.
  • CanNor also provides supports to Indigenous businesses in the sector through its other programming. For example, CanNor invested $100,000 in Grandma Treesaw's Bannock Catering Services' pilot program with the Trade Commissioner to export dry bannock mix for sale in the Pacific Northwest United States.
Blue Economy/fisheries
  • There is also interest in expanding fisheries, including offshore fisheries in Nunavut and freshwater fisheries in the Northwest Territories. This is part of a larger push to invest in blue economy sectors, which in the North also includes Arctic cruise tourism.
  • CanNor invests in growth sectors that support Indigenous organizations and entrepreneurial growth such as the Blue Economy. For example, Over the past five years, the Canadian Northern Economic Development Agency has approved $16.7M for 20 projects for skills training, infrastructure development for inshore fisheries, research and offshore marketing for the Nunavut Fisheries sector.

Cost of Living in the North

If pressed on Cost of Living in the North

  • Households in the territorial capitals have higher average annual expenses for basic household expenses, with considerable variation across the three territories.
    • Compared to the Canadian average of $10,311, food expenses are 14% higher in Whitehorse, 36% higher in Yellowknife, and 49% higher in Iqaluit;
    • Shelter expenses are 7%, 55%, and 36% higher in Whitehorse, Yellowknife, and Iqaluit, respectively, than the Canadian average of $20,200;
    • Transportation expenses are 4%, 32% and 38% higher in Whitehorse, Yellowknife, and Iqaluit, respectively, than the Canada's average of $12,737.
  • Canada continues to work with Northern partners to decrease these gaps in basic household expenses.

Northern Housing and Infrastructure

If pressed on additional infrastructure funding

  • Furthermore, Budget 2021, is also providing $517.8 million for Inuit land claim organizations to support infrastructure in Inuit Nunangat, as well as $517.7 million to Indigenous Self-Government and Modern Treaty Partners' to support action plans specific to infrastructure priorities, needs and circumstances.
  • Our Government has also established two dedicated intergovernmental task-forces to advance solutions and recommendations to respond to the critical housing and infrastructure needs in Nunavut and the Northwest Territories.

Research and Higher Education in Canadaʼs North

If pressed on Post-Secondary Education Investments in the North

  • Post-secondary education in Canada's North remains a key priority for Northerners, as identified, for example, by several partners at the December 2021 meeting of the Arctic and Northern Policy Framework Leadership Committee meeting.
  • The Post-Secondary Education in the North initiatives announced in Budget 2019 and 2021 are underway, despite COVID-19's impacts.
  • I launched the Task Force on Post-Secondary Education in the North on October 23, 2020.
  • Yukon University commenced construction of the science building in 2021.
  • Through Budget 2019, Canada invested almost $13M in the Dechinta Centre for Research and Learning.
  • Our Government is committed to working with our partners for the betterment of Northerners.

If pressed on the selection process of Task Force members

  • On October 23, 2020, we launched an independent Task Force on Post-Secondary Education in the North. Nominations were sought from our co-development partners to the Arctic and Northern Policy Framework, including provinces and territories, Indigenous organizations, as well as women and youth.
  • Since the announcement, the Task Force has completed the regional engagement phase of their work plan, submit an interim report, and have begun the research analysis and report writing phase.

If pressed regarding the resignation of Task Force members

  • Notwithstanding the progress made by the Task Force to date, it is with regret that three Task Force members representing the regions of Nunavut and Yukon have resigned.
  • While Rebecca Mearns and James Takkiruq resigned in Spring 2021 due to personal and professional obligations, Tosh Southwick resigned in Fall 2021 as a result of administrative hurdles faced by the Task Force since being launched.
  • Departmental staff provide financial and administrative assistance in planning and coordinating meetings and issuing contracts, on behalf of the Task Force.
  • The timelines and processes associated with processing financial and administrative requests made by the Task Force are being evaluated in response to the recent resignation.
  • The Government of Canada wishes to thank the members who have left the Task Force for their leadership and commitment, and for taking part in and supporting this important work.

PrairiesCan Implementation of Budget 2021 Programs

Background

  • Since the onset of the pandemic, PrairiesCan moved quickly to deliver $450 million in relief funding to over 6,800 Prairie businesses, to maintain jobs and save families' livelihoods.
  • PrairiesCan has also been flexible with how it supports businesses facing trouble. We deferred scheduled payments, extended projects' completion dates, and streamlined the claims process.
  • These investments and actions are helping thousands of businesses across the West mitigate the pandemic's impacts, and maintain jobs essential to the well-being of Canadians and their communities.

PrairiesCan Support for Indigenous Economic Growth

Background

INAN Biographies

Standing committee on Indigenous and Northern Affairs (INAN)

The Hon. Marc Garneau, Notre-Dame-de-Grâce—Westmount, QC INAN Chair

Marc Garneau

Biographical Information

Born in Quebec City, Quebec, the Honourable Marc Garneau was first elected to the House of Commons in 2008, and re-elected in 2011, 2015, 2019, and 2021.

Mr. Garneau graduated from the Royal Military College of Canada in 1970 with a Bachelor of Science in engineering physics and began his career in the Canadian Forces Maritime Command. In 1973 he received a PhD in electrical engineering from the Imperial College of Science and Technology in London, England.

From 1982 to 1983, he attended the Canadian Forces Command and Staff College in Toronto. While there, he was promoted to the rank of commander and was subsequently promoted to captain(N). Mr. Garneau retired from the Canadian Forces in 1989.

Mr. Garneau was also one of the first six Canadian Astronauts and he became the first Canadian in outer space in October 1984. In February 2001, he was appointed executive vice-president of the Canadian Space Agency and became its president in November 2001.

Mr. Garneau was Minister of Transport from 2015-2021 and Minister of Foreign Affairs January-October 2021 . Mr. Garneau is currently not in Cabinet.

Jamie Schmale, Haliburton—Kawartha Lakes—Brock, ON
Critic for Indigenous Services; Vice-Chair INAN

Jamie Schmale

Biographical Information

Born in Brampton, ON, Jamie Schmale was elected to the House of Commons for the first time in 2015, and re-elected in 2019 and 2021.

Prior to his election, Mr. Schmale served as the executive assistant and campaign manager for former Conservative MP Barry Devolin (Haliburton-Kawartha Lakes-Brock, Ontario). He graduated from the Radio Broadcasting program at Loyalist College in Ontario and started his career as a news anchor. He later became a news director for CHUM media.

Mr. Schmale was the critic for Crown-Indigenous Relations in the 43rd Parliament. In the 42nd Parliament, Mr. Schmale served as the opposition critic for Northern Economic Development, and Deputy Critic for Natural Resources. He was a member of the Standing Committee on Procedure and House Affairs (2015-2017) and the Standing Committee on Natural Resources (2017-2019).

Currently, Mr. Schmale serves as the critic for Indigenous Services.

Marilène Gill, Manicouagan, QC Critic Indigenous and Northern Affairs; Vice-Chair INAN

Marilène Gill

Biographical Information

Born in Sorel, QC, Marilène Gill was first elected to the House of Commons in 2015, and was re-elected in 2019 and 2021.

Prior to her election, Mrs. Gill was teaching at the college level and pursuing doctoral studies in literature. Her background also includes roles as a unionist, development officer, coordinator of the Table de concertation en condition feminine de la Côte-Nord. She is also involved in the Conseil des arts et des lettres du Québec (CALQ). She has also acted as literary director for Éditions Trois-Pistoles, and has published personal works there for which she has received several awards and grants. Mrs. Gill was also political attaché to Michel Guimond, former member and chief whip of the Bloc Québécois.

Mrs. Gill is deputy whip, chair of the Young Families Caucus and critic for Indigenous and Northern Affairs for the Bloc Québécois.

Jenica Atwin, Fredericton, NB

Jenica Atwin

Biographical Information

Jenica Atwin grew up in Oromocto, NB. She was first elected to the House of Commons in 2019 as a Member of the Green Party before joining the Liberal Party in June 2021.

Mrs. Atwin completed a Master's in Education at the University of New Brunswick.

Prior to being elected, she was an education consultant and researcher at a First Nations Education Centre. In 2016, she co-organized a spin-off of We Day focused on introducing First Nations youth to one another and helping those who have recently moved off of reserves.

She is a new member of INAN. She previously served on the COVID-19 Pandemic Committee.

Jaime Battiste, Sydney—Victoria, NS Parliamentary Secretary to the Minister of Crown-Indigenous Relations

Jaime Battiste

Biographical Information

Born on the Eskasoni First Nation, NS, Jaime Battiste was elected to the House of Commons in 2019 and re-elected in 2021. He is the first Mi'kmaw Member of Parliament in Canada.

Mr. Battiste graduated from Schulich School of Law at Dalhousie University in 2004. He has held positions as a Professor, Senior Advisor, Citizenship Coordinator, and as a Regional Chief for the Assembly of First Nations.

Mr. Battiste's volunteer work over the years involves athletics, youth advocacy, community events, and advocacy for the Mi'kmaq Nation. He is a member of the Aboriginal Sport Circle and a part owner of the Eskasoni Junior B Eagles.

Mr. Battiste served as a representative to the Assembly of First Nation's National Youth Council from 2001-2006. In 2005, the National Aboriginal Healing Organization named him as one of the "National Aboriginal Role Models in Canada." In 2006, as the Chair of the Assembly of First Nations Youth Council, he was one of the founding members of the Mi'kmaw Maliseet Atlantic Youth Council (MMAYC), an organization that represents and advocates for Mi'kmaw and Maliseet youth within the Atlantic region. In 2018, Mr. Battiste was recognized with the Sovereign's Medal for Volunteers, which is a Canadian decoration to honour volunteers who have made significant and continual contributions to their community.

Mr. Battiste was named Parliamentary Secretary to the Minister of Crown-Indigenous Relations in December 2021.

He has been a member of INAN since February 2020 and has previously been a member of the Standing Committee on Fisheries and Oceans.

Michael V. Mcleod, Northwest Territories, NWT

Michael V. Mcleod

Biographical Information

Born in Fort Providence, NWT, Michael Mcleod was first elected to the House of Commons in 2015 and re-elected in 2019 and 2021.

Prior to entering federal politics, Mr. McLeod served Northwest Territories residents as a member of the Legislative Assembly from 1999-2011 and advised clients in the tourism industry as Tourism Development Officer for the Government of the Northwest Territories. He also previously served as mayor of Fort Providence, president of his Métis Local, and vice-president of Deh Cho Regional Council.

Mr. McLeod earned a diploma in Management Studies from Arctic College and began his career as a self-employed contractor. He has been a member of the Northwest Territories Tourism, NWT Public Utilities, and Mackenzie Valley Environment Impact Review Boards. The latter's mission, conducting fair and timely environmental assessments, remains a key interest.

Mr. McLeod was previously a member of INAN 2016-2017 and has served as a member of the Standing Committee on Finance and as Chair of the Arctic and Northern Caucus.

Marcus Powlowski, Thunder Bay—Rainy River, ON

Marcus Powlowski

Biographical Information

Born in Fort William, ON, Marcus Powlowski was first elected to the House of Commons in 2019 and re-elected in 2021.

Prior to being elected, Mr. Powlowski served as a physician in the Emergency Room at Thunder Bay Regional Health Science Centre. In addition to being a medical doctor, he has two law degrees - LL.B, LL.M from the universities of Toronto and Georgetown, respectively. He also attended Harvard University and obtained a Masters of Public Health in Health Law and Policy.

Mr. Powlowski worked as a doctor for two years in northern First Nations communities, and for seven years practicing medicine in several developing countries in Africa and Oceania. For several years, he worked as a consultant in health legislation for the World Health Organization. He also volunteered on a medical project in Ethiopia.

Mr. Powlowski has been a member of INAN since February 2020 and has also sat on the COVID-19 Pandemic Committee and the Standing Committee on Health.

Patrick Weiler, West Vancouver—Sunshine Coast—Sea to Sky Country, BC

Patrick Weiler

Biographical Information

Born in West Vancouver, BC, Patrick Weiler was first elected to Parliament in 2019 and re-elected in 2021.

Prior to his election, Mr. Weiler was an advocate for safeguarding the environment as an environmental and natural resource management lawyer, representing First Nations, small businesses, municipalities, and non-profit organizations in Canada and internationally. Mr. Weiler has also worked in partnership with the United Nations and international development agencies, with a mission to improve the governance of natural resources and management of aquatic ecosystems.

Mr. Weiler completed a Bachelor of Arts at McGill University and received his Juris Doctor degree from the University of British Columbia's Faculty of Law.

Mr. Weiler served on the Standing Committee on Natural Resources, the Standing Committee on Government Operations and Estimates, and the bi-partisan Climate Caucus and Tourism Caucus.

Martin Shields, Bow River, AB Deputy Critic Minister for Indigenous Services

Martin Shields

Biographical Information

Born in Lethbridge, AB, Martin Shields was first elected to the House of Commons in 2015, and reelected in 2019 and 2021.

Prior to his election to the House of Commons, Mr. Shields served as a teacher and administrator for 30 years and a part-time university instructor for 20 years. He has served as Mayor and Councilor of the City of Brooks, Board member and vice chair of the Palliser Regional Health Board, Shortgrass Regional Library, Alberta Provincial Library Trustees Association, Bow River Basin Council, as well as a Director and Vice President of the Alberta Urban Municipalities Association.

He has previously served as the Director of Strathmore-Brooks Alberta Conservative Constituency Association and is a past President of the Medicine Hat Federal Conservative Constituency Association.

He has served on several committees, including the Standing Committee on Environment and Sustainable Development, Standing Committee on Canadian Heritage, and the Standing Committee on the Status of Women. He also served as vice chair of the CPC-Alberta MP Caucus.

Mr. Shields is currently the CPC deputy critic for Indigenous Services.

Shannon Stubbs, Lakeland, AB

Shannon Stubbs

Biographical Information

Born in Chipman, AB, Shannon Stubbs was first elected to Parliament in 2015, and re-elected in 2019 and 2021.

Prior to her election, she worked for several years in the Oil Sands Business Unit in the Alberta Department of Energy and in the International Offices and Trade Division of Alberta Economic Development. She was then a Senior Consultant with Hill + Knowlton Canada where she advocated for clients across the health and pharmaceutical, oil and gas, not for profit and charity, and education sectors. She also contributed to a successful initiative for the expansion of energy trades and technology education and apprenticeship training with Government and Community Relations at SAIT Polytechnic.

Mrs. Stubbs is a new member of INAN. She previously served as the Critic for Public Safety and Emergency Preparedness, and as Critic for Natural Resources. She was the Vice Chair of the Standing Committees on Public Safety and National Security, Natural Resources, and the Special Select Standing Committee for Pay Equity.

Gary Vidal, Desnethé—Missinippi—Churchill River, SK Critic for Crown-Indigenous Relations

Gary Vidal

Biographical Information

Born in Meadow Lake, SK, Gary Vidal was elected to the House of Commons for the first time in 2019 and re-elected in 2021.

Prior to his election, Mr. Vidal served as Mayor of Meadow Lake, Saskatchewan from 2011 to 2019. He studied at the University of Saskatchewan and Briercrest Bible College. He is a Chartered Professional Accountant (CPA, CGA) and is a partner in the accounting firm Pliska Vidal & Co. since 1988. He was also Vice Chair of Saskatchewan City Mayors' Caucus from 2016 to 2018. He was a member of the SaskWater Board of Directors from 2008 to 2017. In this position, he also served as Chair of the Governance and Corporate Responsibility Committee, Chair of the Audit and Finance Committee, and Chair of the Board from 2015 to 2017.

Mr. Vidal has volunteered in a variety of leadership capacities in his local church as well as on the board of Bethel Gospel Camp, an interdenominational children's bible camp. Other volunteer activities include coaching and managing minor hockey, baseball, and soccer teams. In 2012, he was awarded the Queen Elizabeth II Diamond Jubilee Medal.

Mr. Vidal previously served as the critic for Indigenous Services, and is currently the critic for Crown-Indigenous Relations. He has been a member of INAN since February 2020 and also sat on the Special Committee on the COVID-19 Pandemic during the last Parliament (2019-2021).

Lori Idlout, Nunavut, NV Critic – Northern Affairs; Critic – Indigenous Services; Critic – Crown-Indigenous Relations

Lori Idlout

Biographical Information

Born in Igloolik, NU, Lori Idlout was first elected to the House of Commons in 2021.

Prior to her election Ms. Idlout practiced law in Iqaluit with her own firm, Qusugaq Law. She represented the group protesting against the Baffinland Iron Mine's expansion, as well as serving as the technical adviser for the Ikajutit Hunters and Trappers Organization during a public hearing on the issue. Between 2004 and 2011, Ms. Idlout served as the executive director of the Nunavut Embrace Life Council, a not-for-profit organization committed to suicide prevention. She had previously worked for Nunavut's Department of Health and Nunavut Tunngavik Incorporated as a policy analyst, and was the founder of Coalition of Nunavut DEAs as a director of the Iqaluit District Education Authority in order to advocate for educational services.

Ms. Idlout received a bachelor's degree in psychology from Lakehead University in 1997, and a doctorate in law from the University of Ottawa (2018).

She is a new member of INAN and the NDP critic for Crown-Indigenous Relations and Northern Affairs, and Indigenous Services.

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