First Nations need resource revenue share of the aggregate industry
By Joey Krackle
ALDERVILLE FIRST NATION – Anishinabek Nation Southeast Regional Grand Chief Jim Bob Marsden asserted that Anishinabek citizens have inherent rights to their traditional lands. First Nations should receive an equitable share from the royalties and other proceeds from the aggregate industry.
Currently the aggregate industry in Ontario is valued at approximately two billion dollars per year and First Nations receive no money from the aggregate, in the form of sand, stone and gravel taken from their traditional lands.
The current Aggregate Resources Act was passed in 1990 and many parties have called for its review as the demand for aggregate has grown due to rapid urban growth in southern Ontario. In 2012, the Ontario legislature passed a motion to strike an all party committee to report its observations and recommendations with regard to strengthening the Act to the House. This all party committee held hearings and toured the province.
Anishinabek Nation Grand Council Chief Madahbee and Southeast Regional Grand Chief Marsden made a written submission to this Committee requesting an equitable share of resource revenue generated from aggregate extracted from their lands. Anishinabek Leadership further reminded the Ontario government of its Section 35 rights to the lakebeds under the Great Lakes. The Leadership emphasized that they did not surrender their lake beds when they signed their treaties and that they were opposed to mining under Lake Ontario as was proposed by the application to by St Mary’s cement to expand its aggregate extraction facility under the lake.
“We are determined to get an equitable share of royalties for the aggregate extracted from our traditional lands,” says Chief Marsden. “We remain committed to standing firm against any mining under our Great Lakes. The safety of Mother Earth is not for sale.”
The Legislative Committee reported in the fall of 2013 and made no mention of the Anishinabek aggregate concerns. The February 2014, the Ontario ministries of Transportation, Agriculture and Food, Rural Affairs, Municipal Affairs and Housing, Northern Development and Mines, Infrastructure and Finance responded to the Committee Report on behalf of the Ontario government.
The Government Response outlined the government’s plans to conduct phased stakeholder and public consultations to address recommendations in the report, beginning with key stakeholders and interested Aboriginal communities and organizations to develop solutions, then proposing policy changes for broader input. The topics include “approaches to establishing future fee levels and models for aggregate fees that are fair, equitable and reflect the importance of aggregate resources to society”.
In February 2014, the Minister of Natural Resources David Orazietti prefaced this report by stating “Our government is committed to moving forward in a manner that is consistent with the constitutional recognition of existing Aboriginal and treaty rights and supports increased and meaningful participation by Aboriginal communities in the benefits derived from the management and development of Crown aggregate resources in Ontario.” The 2014 Government Response to the Legislative Committee made the following recommendation on aggregate fee structures: “The Ministry of Natural Resources (MNR) (in cooperation with Finance) should increase the annual license/permit fees and royalty on Crown land related to tonnages of aggregate material for all types of regulated aggregate extraction whether on private or Crown Land……A regular review of the fee/royalty structures should be conducted by the Ministry of Natural Resources. The increased fees should be appropriately placed in special purpose or dedicated funds administered by MNR.”
The report recommendation made no reference to First Nations Section 35 rights or sharing in royalties derived from aggregate resources.
Ontario Regional Chief Isadore Day and Premier Kathleen Wynne, signed a Political Accord on August 24, 2015 which committed to working together to identify and address common priorities and issues, that will include but not be limited to the treaty, relationship, resource benefits, and revenue sharing and jurisdictional matters involving First Nations and Ontario.
On August 25, 2015, Premier Wynne wrote the Minister of Natural Resources and Forestry to “work with stakeholders and Aboriginal communities…to address the legislative Standing Committee Report and…bring forward recommended regulatory and legislative changes to improve the Aggregate Resources Act.
The Anishinabek Nation is looking forward to meaningful participation in this process to recommend amendments which recognize Anishinabek rights and provide them with royalty fees under the Aggregate Resources Act and its regulations.