TO: Chiefs-in-Assembly
DATE: June 14-15-16, 2005
FROM: Karihwakeron Tim Thompson
RE: INAC Authority Renewals – Band Operated Formula; Post-Secondary Education; Special Education

In an internal review INAC determined a number of anomalies, items upon which they were spending without clearly defined authorities. These anomalies included K4 and K5, adult education, non-status students on the nominal roll, and second and third level services. The first two items are funded only if the provinces offer the program in their systems. The temporary renewal of authorities confirms the status quo in each INAC region for three years.

Three joint working groups consisting of central and regional representatives of INAC and the Assembly of First Nations were created with a mandate to review and make recommendations for renewed policies and resources for the Band Operated Formula, Special Education and Post-secondary Education.

Current Status/Analysis

Special Education:

The special education working group completed their review of the special education policy, and completed the development of a business case to Treasury Board for renewed and enhanced allocations in special education. The status of the business case is unclear at the time of this report, however, in the spring of 2005 the federal government announced a five year, $120 million allocation over and above the existing $35 million national allocation. The announcement represents less than a quarter of the amounts proposed in the business case.

It is unclear, at this time, how this money will be disbursed to regions.

Post-Secondary Education (PSE):

The Post-Secondary Education Working group began their work by developing extensive workplans to undertake data collection and other research. Two sub-groups have been established to separately examine the two main funding programs within the PSE program: Post-Secondary Student Support Program (PSSSP); and 2) the Indian Studies Support Program (ISSP).

This working group did not get established until late in the winter and has only recently started to implement some of the identified research projects. It is expected that the bulk of the work of this committee will be completed by the end of the current fiscal year.

Band Operated Funding Formula (BOFF):

The Band Operated Formula Funding (BOFF) Working Group was jointly established by the AFN and INAC in the summer of 2003. The Working Group have, for all intents and purposes, completed studies in three key areas: 1) Provincial Comparability Review; 2) Teachers Salary Comparative Study; 3) Regional Allocations versus Main Estimates. A final study on Unique Costs for First Nations schools will occur over the course of the summer of 2005.

The Provincial Comparability Review identified actual amounts provided to First Nations schools under the Band Operated Formula, and attempted a theoretical comparison to funding to which a First Nations school might be eligible under provincial education funding formulae. The study concluded that:

• Each region of INAC administers the BOFF differently;
• Comparisons to provincial funding formula require the use of simulated/estimated data due to incomparable line items and amounts;

The Chiefs of Ontario commissioned a review of the comparative study completed for the Ontario region. This review is available from the Chiefs of Ontario office.

The Teachers Salary Comparative Study began with regional case studies in Manitoba, British Columbia and Ontario. The Ontario case study was completed by the Chiefs of Ontario office and involved surveying First Nations schools and comparing teachers salaries at various certification levels to salary levels in neighbouring school boards. The COO study concluded that First Nations teachers are underpaid by $10,000-$15,000 per certification level. INAC then began a data collection process across all First Nations schools in Canada. Results for Ontario to date are confirming a significant gap in teachers salaries in First Nations schools in Ontario. Preliminary data is demonstrating a significant gap in benefits also. Data collection will be a regular activity now that baseline data has been collected.

The study of Regional Allocations versus Main Estimates identified the amount of funding voted by Parliament for First Nations education and compared the amount provided to INAC Regional offices to the amount Regional offices spend on First Nations education. In Ontario the Regional office spends approximately $20 million more than it receives for First Nations education.

The Unique Costs study will begin in the summer of 2005. It is designed to identify the unique aspects of First Nations schools which may or may not be funded by the existing band operated funding formula, and identify potential means of costing these items. These items include language program delivery, culture based curriculum development, teacher education, second level services, and enhanced learning programs. The First Nations Education Council based in Kitigan Zibi First Nation tabled a report identifying 21 unique cost factors for First Nations schools. This report is being used as a key reference document in the study.

The BOFF Working Group has a mandate to complete their work by March, 2006.

Next Steps:

1. Ensure the disbursement formula for the five year, $120 million special education allocation reflects the Ontario First Nations student population.

1. Continue to actively participate in the BOFF and PSE working groups.