Bill C-45 · 44th Parliament · Justin Trudeau
An Act to amend the First Nations Fiscal Management Act, to make consequential amendments to other Acts, and to make a clarification relating to another Act
Government bill. Became law.
- IntroducedMarch 23, 2023
- Debated in principleMay 3, 2023
- Studied by a committeeDone
- Passed its first chamberMay 15, 2023
- Passed the second chamberJune 15, 2023
- Became lawJune 19, 2023
Leading supporters
Ranked by the part each played: who is responsible for the bill, who carried it, and who spoke for it most.
- Justin TrudeauPrime Minister
Who carries this bill
Arrows run from the person responsible to those who answer to them on this bill. The critic leads the Senate’s scrutiny and answers to no one on it.
What it set out to do
On 23 March 2023, the Minister of Crown-Indigenous Relations introduced Bill C-45, An Act to amend the First Nations Fiscal Management Act, to make consequential amendments to other Acts, and to make a clarification relating to another Act, and it was given first reading. Bill C-45 amends the First Nations Fiscal Management Act to expand and modernize the mandates of the First Nations Tax Commission and the First Nations Financial Management Board in order to better reflect their current and future activities. The enactment also establishes a First Nations Infrastructure Institute that will provide First Nations and other interested Indigenous groups and organizations with tools and support, including with respect to best practices, to implement and manage their infrastructure. It also provides First Nations named in the schedule to the First Nations Fiscal Management Act with the power to make laws to regulate services provided by or on behalf of the First Nations. The enactment also aims to improve the functioning of that Act, including by integrating the content of the Financing Secured by Other Revenues Regulations, by combining into a single fund the debt reserve fund for fina…
Summary by the Library of Parliament.
Where members stand
Votes and debate for this bill have not been read yet.
How it changed on the way
40% of the text as introduced was changed or removed by the time it became law (20,287 words introduced, 14,693 passed). A committee amended it.
substantial changeintent mostly kept
The core expansions to the Tax Commission, Financial Management Board and new Infrastructure Institute remained, along with service-regulation powers and pooled-borrowing simplifications. Parliament added new definitional clauses, non-application rules for the Indian Act, explicit Commission restrictions on loan approvals, and further procedural safeguards for local-revenue oversight.
- New section 15 was inserted to disapply parts of the Indian Act for borrowing under the new laws.
After: “Non-application of certain provisions 15 Paragraphs 83(1)(a) and (b) to (g) and section 84 of the Indian Act do not apply to a First Nation and any regulations made under paragraph 73(1)(m) of that Act do not apply to a First Nation in respect of the borrowing of money under a law made under paragraph 5(1)(d) or 8.1(1)(a).”
- A definition of 'taxpayer' was added to subsection 2(1).
After: “taxpayer means a person paying taxes or fees under a law made under paragraph 5(1)(a) or (a.1).”
- New restrictions were placed on Commission approval of laws for certain loans.
After: “Restrictions 32 (1) The Commission shall not approve a law made under paragraph 5(1)(d) with respect to a loan referred”
How precisely it is written
mixedChallenging the law: ModerateDisputing a charge: Moderate
The bill supplies precise definitions for key financial concepts and hard numerical limits such as loan terms of one year, yet repeatedly conditions enforcement and intervention on subjective opinions of boards or courts. This combination produces both settled rules and open-ended discretion that invites argument.
Open to argument
“if, in the opinion of the Board, there is a serious risk that the First Nation will default”
Subjective standard leaves the threshold for intervention to the Board's judgment rather than an objective test.“refraining from doing anything that, in the opinion of the court, constitutes or is directed toward the contravention”
Court's opinion becomes the operative test, creating uncertainty about what conduct is covered.“if, in the opinion of the Board, the co-management arrangement entered into under section 52 has not been effective”
Effectiveness is measured by the Board's subjective view, not by fixed criteria.
Clear-cut
“intermediate account means an account established by a First Nation in which other revenues to be used for financing under this Act are deposited”
Exact definition fixes the meaning and purpose of the account.“A borrowing member that has obtained a loan from the Authority that is secured by property tax revenues and has a term of one year or longer shall not subsequently obtain such a loan from any other person”
Clear numerical limit and prohibition create a bright-line rule.“other revenues means (a) tax revenues and fees imposed or collected by a First Nation under a law or agreement, other than (i) local revenues, and (ii) revenues from taxes administered by His Majesty in right of Canada”
Enumerated exclusions narrow the term with objective boundaries.
Discretion. Extensive discretion is granted to the First Nations Financial Management Board and the Authority to decide when a serious risk exists or when an arrangement has been ineffective, with no further statutory criteria supplied.
Challenging the law itself. The repeated use of 'in the opinion of' language could support a vagueness or overbreadth argument under section 7 of the Charter by leaving core standards undefined.
Disputing a charge under it. A person facing enforcement can readily dispute whether the Board's or court's subjective opinion was properly formed, turning the case on contested judgment rather than objective facts.
Read by a language model from the royal assent text; every quoted phrase appears in the bill. A reading of the drafting, not legal advice.
Did it work?
too early to tell
Who lobbied on it
No lobbying registration naming this bill is loaded.
Stages and dates from LEGISinfo.