In October 2005 the Government of Canada announced that it would begin disclosing information on Grants and Contributions (G&Cs) over $25,000. 3 The 2006 – 2007 fiscal year is the first full year to which the disclosure system applied.
Treasury Board’s Transfer Payment Policy governs the management of federal grants and contributions. A “grant” is transfer payment made to an individual or organization which is not subject to being accounted for or audited but for which eligibility and entitlement may be verified or for which the recipient may need to meet preconditions. 4 A “contribution” is a conditional transfer payment to an individual or organization for a specified purpose pursuant to a contribution agreement that is subject to being accounted for or audited.5
The provision of federal funding for Aboriginal people, programs, and services is an enormous undertaking for both Government and Aboriginal organizations. Grants and contributions are the lifeblood of Aboriginal communities and organizations, who remain substantially dependent on federal government support. For this reason, the Congress of Aboriginal Peoples undertook to review the information contained within the Proactive Disclosure system.
Our purpose was two fold. Firstly, the Congress of Aboriginal Peoples wanted to assess the effectiveness of the Proactive Disclosure system as an accountability tool. There is a great deal of controversy about Aboriginal program accountability and access to information about the significant funding that is intended to improve the lives of Aboriginal people. Is Proactive Disclosure a positive step forward, and one that will allow grassroots people to better understood the operations and activities of their governments?
Secondly, there exists within Treasury Board policy and across government generally, a requirement that government funding decisions must be transparent, efficient, objective and impartial. 6 Resources must be allocated with due diligence and regard to need, equity of access, and demonstrable results. Census data provides ample evidence that Aboriginal people do not enjoy the full benefits of Canadian citizenship. Aboriginal people have higher rates of unemployment and incarceration, and lower levels of academic achievement, income, and life expectancy.
Notwithstanding an estimated $10 billion in federal Aboriginal spending, there appears to be a continued lack of progress for key social and economic indicators. This begs the question: Are resources being targeted appropriately? And beyond this question, there is a need to assess whether those funds are being spent appropriately. Our review cannot address the second question. However, it is the Congress’ hope that once Aboriginal people are informed and more fully aware of “where” and “how much”, they will be able to engage in meaningful discussion with government officials, both elected and unelected, about whether or not program funds are being managed effectively.
