FINANCE, ADMINISTRATION

For most of the reporting year, the MKO Secretariat worked under the direction of Acting Executive Director Vice Chief Sydney Garrioch. Vice Chief Garrioch congratulates the team work of staff and management for pulling through in such difficult circumstances. We welcome the professionalism; and management experience and skills Mr. Steven Clarke of Norway House Cree Nation brings to the team since his hiring as MKO Executive Director in May, 2003.

With active team building and committed staff we have restored a healthy workplace and enhanced focus and effectiveness.

We have maintained regular reporting to Assemblies, Executive Council, Portfolio Leaders and ongoing communications to all First Nations.

MKO staff have pulled together and assumed extra responsibilities in order to deal with major pressing political issues such as the FNGA Bill and the PTO / TC Funding Policy Reviews. We continue to monitor and participate in these issues as they progress.

We are addressing the Revenue Canada reassessment of MKO employees incomes in the 1995/96 tax year. Some 30 individuals have been assessed as owing a total of ~$700,000 in taxes. MKO has filed a notice of appeal to stop garnishments and liens. We are researching relevant current litigation and archival/oral history sources to resolve this issue.

Throughout the reporting year our organization has continued to review and develop, with the leadership and Tribal Council colleagues, the concept of reconstituting MKO as a Government of sovereign First Nations in Northern Manitoba.

MKO-SERDC Economic Development Strategy

Manitoba First Nations communities came together to launch a significant economic development strategy to provide a road map for full participation in the mainstream economy in Manitoba and beyond, a common vision has evolved to put this process in place. This challenge has been put forward by the political leadership of MKO and SERDC with the support from the Minister of Indian & Northern Affairs Canada, The Hon. Robert Nault. It is clearly recognized that the mobilization of our resources and full participation in the economy leading to the generation of wealth are essential to the economic and social well being of our First Nation people. This economic development initiative calls for strong partnerships between the First Nations, Government and the Private Sector.

To move this economic development strategy forward, a detailed plan of action was developed. This plan evolved from the Economic Development Forum March 2003 at OCN to review issues, priorities and come to a common vision. The strategy consists of four phases that will seek out high value joint venture partnerships on a priority basis to generate wealth, financial independence and sustainability.

Phase 1: Getting Organized: A project Coordinator was appointed and a working committee was put in place. This group finalized the Mission Statement, organized the Forum in March and finalized a report on the unified vision, issues, goals and action plans as defined by the stakeholders.

Phase 2: Consultation - Forum: The Economic Development Forum was launched in March 2003 to consult with all stakeholders and to develop a collective vision. Over 250 participants attended this forum - not only First Nations people but other northerners, Federal and Provincial government representatives and the private sector.

Phase 3:Strategy Development & Analysis: The following two phases are still outstanding that are to be completed by December 2003. Phase 3 involved the definition and analysis of strategic issues.

Phase 4: Integrated Business Plan: The finalization of the integrated business plan leading up to implementation to include; structure/entity to be established to support the strategy, Board of Directors / Articles of incorporation, operating values, Definition of opportunities/priorities related to business opportunities, Economic Alliances / Partnerships - private and public, Access to Capital, Financial Projections and other related items.

In order to move forward and take advantage of the opportunities, we need to establish a solid corporate vehicle with a business culture that will negotiate and close contribution agreements and for potential business arrangements for joint venture projects. The Corporation will foster a much needed business to business culture and serve as a powerful resource to consummate high value business arrangements both at the local level and beyond. An interim business entity has been established to address the immediate requirements and to complete the business plans.