Aboriginal leaders say Conservatives' budget disappointing

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Hopes raised. Hopes dashed. That's the story of the Kelowna Accord as of federal budget day May 2. Assembly of First Nations (AFN) National Chief Phil Fontaine said he was disappointed with the Conservatives' first budget presented to the House of Commons by Finance Minister Jim Flaherty. He said the $5.1 billion deal made by the Liberal government at the First Ministers Meeting last year was a reasoned plan designed to eliminate Aboriginal poverty and close the gap in quality of life for Native populations. The Conservative budget means that those commitments will not move ahead, Fontaine said.

The Kelowna Accord had unprecedented support from the premiers and territorial leaders across Canada, he said. The budget relegates First Nations to the back of the agenda.

"First Nations will remain in last place as a result of today's so-called "Building A Better Canada" federal budget," a press release from the national chief states. "This disappointing budget does not begin to address the gap in quality of life between First Nations and other Canadians and could increase the gap through inaction."

The AFN points out that of the $3.2 billion figure dedicated to Aboriginal peoples in the budget, $2.2 billion was old money set aside last November for residential school survivor compensation.

The $450 million earmarked over two years to address socio-economic and infrastructure gaps faced by First Nations is only one-third of that allocated to quality of life issues set out in the Kelowna agreement.

The assembly notes that there is a commitment from the Conservative government to deal with the fiscal imbalance with funding arrangements between the provinces, but insists that there is no greater imbalance than the under-funding of First Nations health, education, housing and infrustructure.

The AFN says First Nations are excluded from the government's wait time guarantees in health care. They don't see a corresponding six per cent escalator in health care funding that the provinces and territories are guaranteed. There is no First Nations specific componant of the government's child care plan, nor is there funding committed to battling tuberculosis and HIV/AIDS in the Aboriginal community, though $300 million was committed to send to developing countries.

Fontaine pointed to Garden River First Nation in Manitoba, where there has been 20 confirmed cases of TB in recent months.

He said the Kelowna Accord was meant to deal with such things, including over-crowding and poor housing.

"This government stated ...they will consult with provinces, territories and Aboriginal leaders 'to develop a new approach.' The approaches developed in Kelowna were developed with and supported by Aboriginal leaders provinces and territories," Fontaine said. "The Minister of Indian Affairs, Jim Prentice, has stated publicly that he was committed to 'putting the wheels on Kelowna.' Why is it now necessary to reinvent the wheel?"

Disappointment is the word being used by other Aboriginal leaders. Federation of Saskatchewan Indian Nations Chief Alphonse Bird is disappointed in what appears to be "the demise of the Kelowna Agreement."

"With an $8-billion surplus projected for 2005-06, it was entirely possible for the Conservatives to honor the hard-won Kelowna Agreement," Bird said.

The chief wonders how $450 million will accommodate the needs in housing, education, water and socio-economic conditions of First Nations across the country.

"How can $450 million stretched like a fiddle string across 10 provinces and territories ever hope to fulfill these desperate needs in on-reserve First Nations communities."

Speaking for the Confederacy of Treaty Six First Nations, Chief Ron Morin of Enoch also said the budget was a disappointment.

"It's a step backwards from the Kelowna agreement. This $450 million over two years fall seriously short of the need of First Nations and clearly demonstrates that this government is no serious about the plight of First Nations throughout Canada. Billions of dollars are required to seriously tackle substandard housing, poor water quality, under-funded education programs and many other socio-economic challenges."

It was noted that on-reserve schools in Alberta receive $3,000 less per student on average than do provincial schools to carry out programming. He said 20,000 new homes are required on-reserve in Alberta alone. Fontaine puts Canada's First Nations housing deficit at 80,000 units.

In British Columbia where Premier Gordon Campbell is seeking to develop a new and improved relationship with Native people, the budget also came as disappointment. When the Kelowna Accord was reached last year, Campbell went further by creating his own agreement-the transformative change accord- which he and former Paul Martin and Native leaders in the province signed under the glare of the national spotlight.

"I think Premier Campbell should be very disappoint in the initiatives in the budget. It flies in the face of the goodwill that's been built," said Grand Chief Ed John of the First Nations Summit to the Vancouver Sun's Miro Cernetig.

"I think the government of Canada's very short-sighted in underestimating the level of frustration in First Naitons communities across this country," said Chief Stewart Phillip, president of the Union of B.C. Indian Chiefs.

The Stephen Harper government has reneged on a historic commitment and the frustration will manifest itself, said Phillip. "This represents a black eye for Canada."

Included in the budget is $300 million to be spent over three years for provinces to improve off-reserve funding for Aboriginal peoples. There is also a housing fund set up for the north. But Jose Kusugak, president of the Inuit Tapiriit Kanatami, which represents Inuit interests, said there is no guarantee that this $300 million will go to Aboriginal peoples, just people in the north.

The government states that the 2006 budgetdelivers more tax relief than the last four budgets combined, putting more than twice as much into tax relief than new spending.

"As a result, about 655,000 low-income Canadians will be removed from the tax rolls altogether," said the budget summary document provided from the department of finance.

There will be $3.7 billion over two years for the Universal Child Care Benefit, which will provide all families with $100 per month for each child under age six. The UCCB will not affect federal income-tested benefits and will be provided as of July 1. Another $250 million will go to support the creation of new child care spaces. The goal is to create 25,000 additional spaces each year.

The goods and services tax will be reduced by one percentage point as of July 1.