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The Insanity of Indian Affairs

Canada

Canadian Taxpayers Federation || December 07, 2005

One definition for insanity is doing the same thing over and over again expecting a different result. Canadians have witnessed this insanity in the delivery of Indian affairs. Regrettably, this insanity is not likely to stop anytime soon.

In late November, the First Ministers gathered in Kelowna for a two-day aboriginal summit. At the end of their discussions the prime minister unveiled a “plan for action” to eradicate poverty on Canada’s native reserves within the next 10 years. To aid this pledge, the government promised to spend an additional $5.1 billion over the next five years. It’s a laudable goal, but one that will not likely succeed.

Why the cynicism? For starter, there is virtually no change in the delivery or system of Indian affairs offered in the “plan for action”.

The plan calls for the implementation of a health care blueprint, which is worth $1.3 billion; aboriginal education is set to see $1.8 billion for new aboriginal school boards and post-secondary bursaries; $170 million for relationships and accountability including $90 million to aboriginal organizations to boost their ability to “study” and “propose public policy”; $20 million for engagement on land-claim and self-government rights; and $200 million for economic development projects.

Each of these plans adds to the bureaucracy of Indian affairs. None of these plans address the main flaw in the aboriginal affairs system – native reserves.



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Rather than begin the process of ending the reserve system, the government’s response – as indicated through their actions – has been to increase funding, levels of bureaucracy and incentives for native Canadians to remain on reserves.

What has transpired on reserves since their creation is that the poorest and most powerless bear the weight of the Indian affairs bureaucracy, Indian political organizations and the army of consultants they both employ. Simply put, problems cannot be fixed because problems are essential to sustaining the system.

The biggest problem is the one of private property rights – the ability to create pride and create wealth.

Even with the limited forms of property ownership available to native Canadians on reserves, the communal arrangement imposed by the Indian Act produces problems for business owners and individuals. Herein lies the one small glimmer of hope stemming from the Kelowna meeting.

The action plan calls for $1.6 billion to be spent on native housing. Approximately $600 million will be used to support market-based approaches to home ownership. This is one small step towards the private property rights the Canadian Taxpayers Federation has advocated for almost a decade.

Regardless of who wins the next election, the federal government must radically reform aboriginal affairs. It is only through major reform that aboriginal poverty on reserves will truly be eradicated. To do otherwise is insane.

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