Question Period Note: Negotiations on compensation and long-term reform for First Nations child and family services

• We are pleased to have reached with First Nations partners Agreements-in-Principle on compensation and on long-term reform of the First Nations Child and Family Services program.
• These Agreements-in-Principle, totalling approximately $40 billion, are a concrete step toward meeting that commitment.
• We will continue to work with First Nations partners to conclude final settlement agreements so that we can begin to flow funds for the benefit of current and future generations.

On December 31, 2021, two Agreements-in-Principle were reached between Canada, the Assembly of First Nations, the First Nations Child and Family Caring Society, the Chiefs of Ontario, the Nishnawbe Aski Nation and counsels for the AFN-Moushoom and Trout class actions (collectively, “the Parties”). One agreement in principle is for compensation for those harmed by discriminatory underfunding of First Nations child and family services and for those who were denied, or delayed in receiving, services under Jordan’s Principle and the other pertains to the long-term reform of the First Nations Child and Family Services Program.
These Agreements-in-Principle provide a basis for final settlement agreements to be negotiated over the coming months. The Agreements-in-Principle include:
• $20 billion in compensation for First Nations children on-reserve and in the Yukon, who were removed from their homes between April 1, 1991 and March 31, 2022, and for their parents and caregivers. This also includes compensation for those impacted by the government's narrow definition of Jordan's Principle between December 12, 2007 and November 2, 2017, as well as for children who did not receive or were delayed receiving an essential public service or product between April 1, 1991 and December 11, 2007. Our shared goal is to achieve a settlement that can be delivered to families as soon as possible.

• Approximately $20 billion, over five years, for long-term reform of the First Nations Child and Family Services program to ensure that the discrimination found by the CHRT never repeats itself. This includes funding to support young First Nations adults aging out of the child welfare system and prevention services to build on the multi-generational cultural strengths to help children and families in staying together that will be implemented as early as April 2022. There is also new funding for on-reserve housing to support these prevention initiatives.

The Parties will continue to work together to reach final settlement agreements on both compensation and long-term reform of the First Nations Child and Family Services program. These agreements would support future work on reforms of Jordan's Principle and other initiatives by Indigenous Services Canada. This process will unfold over the course of 2022.

If pressed on why the compensation amount exceeds the Parliamentary Budget Officer’s compensation estimate by $5 billion
• The Parliamentary Budget Officer estimate of $15 billion did not consider the class actions and covered a period from 2006 rather than 1991.
• The parties have agreed to that amount to resolve orders by the Canadian Human Rights Tribunal as well as related class actions.
• What’s significant is that this Agreement-in-Principle will lead to a comprehensive end to litigation as well as to compensation for all children who suffered from discrimination.

If pressed on groups that are excluded from receiving compensation under the Agreement-in-Principle
• The Agreements-in-Principle address complaints before the Canadian Human Rights Tribunal launched by the Assembly of First Nations and the First Nations Child and Family Caring Society, and address class actions launched in Federal Court, pertaining to discriminatory practices in the delivery of the First Nations Child and Family Services Program and Jordan’s Principle.
• Both the Program and Jordan’s Principle are applicable only to First Nations children and families ordinarily resident on reserve and Yukon. The Agreements-in-Principle are specific to this group.

If pressed on comparisons with other First Nations childhood settlements
• No amount of money can reconnect First Nations children and youth with their cultures nor reverse the suffering experienced by First Nations children, youth, their families and communities.
• It would not be appropriate to make comparisons between settlements.