Bill C-257

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First Reading

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	2nd Session, 37th Parliament, 51 Elizabeth II, 2002
	House of Commons of Canada
	BILL C-257
	An Act to establish a First Nations Ombudsman and a First Nations Auditor to assist with administrative and financial problems
	Her Majesty, by and with the advice and consent of the Senate and House of Commons of Canada, enacts as follows:
	SHORT TITLE
Short title	1. This Act may be cited as the First Nations Governance Review Act.
	INTERPRETATION
Definitions	2. The definitions in this section apply in this Act.
``Auditor'' « vérificateur »	``Auditor'' means the officer appointed pursuant to section 9.
``Department' ' « ministère »	``Department'' means the Department of Indian Affairs and Northern Development.
``Minister'' « ministre »	``Minister'' means the Minister of Indian Affairs and Northern Development.
``Ombudsman '' « ombudsman »	``Ombudsman'' means the person holding the office of First Nations Ombudsman established pursuant to section 3.
``Standing Committee'' « comité permanent »	``Standing Committee'' means the standing committee of the House of Commons appointed by the House to deal with matters related to aboriginal affairs.
	PART 1
	First Nations Ombudsman
	Office of Ombudsman
Office established	3. (1) There is hereby established the office of First Nations Ombudsman.
Functions of Ombudsman	(2) The functions of the Ombudsman are
	(a) to investigate administrative and communication problems arising
	(i) between members of First Nations communities and their representative councils,
	(ii) between First Nations communities, or
	(iii) between one or more First Nations communities and the Government of Canada;
	(b) to review the administration of a First Nation and the policies and practices that relate to such administration; and
	(c) to review the conduct of any election held by a First Nation and the policies and practices that apply to the conduct of elections held by the First Nation.
Appointement and term	4. (1) The Governor in Council shall appoint an Ombudsman recommanded by the Minister from a list of persons who have been nominated by the Standing Committee after the Committee has received representation from First Nations communities.
Removal	(2) The Ombudsman holds office during good behaviour for a term of five years, but may be
	(a) removed by the Governor in Council at any time on a resolution of the House of Commons following a report recommending removal by the Standing Committee; or
	(b) suspended by the Governor in Council on the recommendation of the Minister, made at any time when the House of Commons is adjourned for a period of four weeks or more, or is dissolved, for a period expiring thirty days after the day the House next sits.
Acting Ombudsman	(3) In the event of the absence, incapacity or suspension of the Ombudsman, the Governor in Council may, on the recommendation of the Minister, appoint another person to act as Ombudsman until the Ombudsman returns, the suspension is terminated or another Ombudsman is appointed, as the case may be.
Not more than two terms	(4) No person may serve more than two terms as Ombudsman.
Remuneration	(5) The Ombudsman shall receive such remuneration, benefits and reimbursement of expenses as is ordered by the Governor in Council.
Part of Public Service	(6) The office of the Ombudsman is a part of the public service of Canada.
Staff	(7) The Ombudsman may hire, under the Public Service Employment Act, such officers and staff as are necessary to carry out the purposes of this Act.
	Complaints and Investigations
Complaints	5. (1) Any member of a First Nations community who
	(a) has encountered administrative or communication difficulties in their dealings with a First Nation,
	(b) has reason to believe that the finances of a First Nation have not been administered properly, and
	(c) has reason to believe that an election held by a First Nation is not being, or has not been, administered in accordance with the law or that a person has committed an offence with respect to the election,
	may make a complaint to the Ombudsman, specifying the grounds for the complaint.
Investigations	(2) The Ombudsman shall investigate those complaints received pursuant to subsection (1) that show reasonable grounds to believe that
	(a) there has been unfair or unreasonable dealing or unreasonable delay in dealings between a First Nation and one or more of its members or between two or more First Nations or between one or more First Nations and the Department or any other part of the Government of Canada;
	(b) the First Nation is not being properly administered; or
	(c) an election held by a First Nation or a step in such an election has not been carried out in accordance with the law governing it.
Cooperation by First Nation	(3) Every First Nation that is the subject of an investigation under subsection (2) shall cooperate with the Ombudsman and provide such assistance and facilities as the Ombudsman requests to facilitate the investigation.
Information	(4) For the purposes of an investigation under subsection (2), the Ombudsman may request information from the First Nation that is relevant to the complaint being investigated and the First Nation shall provide the information requested.
Assistance from Chief Electoral Officer	(5) For the purposes of an investigation under paragraph (2)(c), the Ombudsman may request advice or assistance from the Chief Electoral Officer appointed pursuant to the Canada Elections Act and the Officer shall provide such advice and assistance as the Officer considers appropriate.
Report	(6) The Ombudsman may attempt to mediate a settlement of the matter between the complainant and the person complained of and if the matter is not settled to the satisfaction of the Ombudsman or the complainant, the Ombudsman shall report on the matter to the Minister, giving an opinion as to whether the complaint was justified and a recommendation on how the matter should be settled.
Action by Minister	(7) The Minister shall attempt to resolve the matter reported under subsection (6) and shall advise the Ombudsman of any settlement made.
Reports to Standing Committee	(8) The Ombudsman may make reports from time to time to the Standing Committee on matters that the Ombudsman has investigated and reported on to the Minister pursuant to subsection (6) that have not been subsequently settled in a manner the Ombudsman considers to be satisfactory.
	Unfair or Unreasonable Policies and Practices
Notice re unfair policies	6. (1) If the Ombudsman is of the opinion, based on complaints that have been investigated pursuant to section 5, that a First Nation's policies or practices may result in
	(a) unfair or unreasonable treatment of its members or of other First Nations,
	(b) improper administration of the finances of the First Nation, or
	(c) an election not being held in accordance with the law governing it,
	the Ombudsman may give notice to the First Nation of the changes that the Ombudsman considers should be made.
Changes to be made	(2) Within ninety days of receiving a notice under subsection (1), the First Nation shall advise the Ombudsman of the changes that will be made in the First Nation's policies and practices.
Changes unsatisfactory or not made	(3) If the Ombudsman is not satisfied with the changes proposed under subsection (2), or if on investigation, the Ombudsman finds that the proposed changes have not been made, the Ombudsman shall submit a report on the matter to the Minister.
Report referred to Standing Committee	(4) The Minister shall forthwith cause every report received pursuant to subsection (3) to be laid before both Houses of Parliament and it shall be deemed to have been referred to the Standing Committee for review and report to the House of Commons.
Annual report of Ombudsman	7. The Ombudsman shall submit to the Minister by April 1 of every year a report on the functions of the office of the Ombudsman during the previous year and the Minister shall forthwith cause the report to be laid before both Houses of Parliament.
	PART 2
	First Nations Auditor
	Office of Auditor
First Nations Auditor	8. (1) There is hereby established the office of First Nations Auditor.
Functions of Auditor	(2) The functions of the Auditor are
	(a) to provide advice on financial management and record keeping to any First Nations community that requests it; and
	(b) to carry out a financial audit of any First Nations community that manages its own finances, if
	(i) it becomes insolvent,
	(ii) it files for bankruptcy under the Bankruptcy and Insolvency Act,
	(iii) the Minister has reasonable grounds to believe that it is or is likely to become unable to meet its financial obligations or that has been improper use of or improper or inadequate accounting for of the funds of the community, or
	(iv) the Minister receives a petition signed by five hundred members of the community who are entitled to vote at an election for the governing body of the community or twenty-five percent of such members, whichever is the lesser numbers, alleging that there has been improper or inadequate accounting for of the funds of the community.
Part of office of Auditor General	(3) The Auditor is a part of the office of the Auditor General of Canada.
Appointment of Auditor	9. (1) The Governor in Council shall appoint a person as First Nations Auditor from a list of one or more officers on the staff of the Auditor General of Canada, who have been nominated by the Standing Committee after consultation with First Nations communities.
Removal	(2) The Auditor holds office during good behaviour for a term of five years, but may be
	(a) removed by the Governor in Council at any time on a resolution of the House of Commons following a report recommending removal by the Standing Committee; or
	(b) suspended by the Governor in Council on the recommendation of the Minister, made at any time when the House of Commons is adjourned for a period of four weeks or more, or is dissolved, for a period expiring thirty days after the day the House next sits.
Acting Auditor	(3) In the event of the absence, incapacity or suspension of the Auditor, the Governor in Council may, on the recommendation of the Minister, appoint another person to act as Auditor until the Auditor returns, the suspension is terminated or another Auditor is appointed, as the case may be.
Not more than two terms	(4) No person may serve more than two terms as Auditor.
Audit laid before House	10. The Auditor shall submit a copy of every audit carried out pursuant to subsection 8(2) to the Minister, who shall forthwith cause a copy of it to be laid before both Houses of Parliament and it shall be deemed to have been referred to the Standing Committee for review and report.
Cooperation by First Nation	11. (1) Every First Nation that is the subject of an audit under subsection (2) shall cooperate with the Auditor and provide such assistance and facilities as the Auditor requests to facilitate the audit.
Information	(2) For the purposes of an audit, the Auditor may request information from the First Nation that is relevant to the audit and the First Nation shall provide the information requested.

Bill C-257

BILL C-257