BC Métis Federation Financial Assessment Proves MNBC is No Longer Financially Sustainable

Attention Métis leaders and Métis people of British Columbia;

The BC Métis Federation has patiently waited for responses to several correspondences sent to the Métis Nation British Columbia (MNBC) addressed to their board in December 2011 and January 2012. Unfortunately MNBC has not provided any responses and there continues to be significant concerns about the financial sustainability of MNBC. As such the BC Métis Federation has attached a document entitled BC Métis Federation Assessment of MNBC 2012 (report) that focuses on the financial sustainability of the MNBC. The conclusions are based on facts and the conclusions are clear, that being the MNBC is no longer financially sustainable.

The BC Métis Federation report focuses on four key areas of financial evaluation to reach our findings that are based on accounting practices;

  1. Current Ratio & Working Capital
  2. Interest and Mortgage Payments
  3. Deferred Revenues
  4. Administration

The BC Métis Federation decided to complete the report to assist the Métis community leaders and all Métis people in BC to better understand the major financial risk for the MNBC in light of the upcoming Métis Nation Governing Assembly in early March. BC Métis Federation expects MNBC board members and new management to deflect, blame, and misled the leadership as has ben witnessed for the past number of years.

What I understand is that at this time MNBC provided a minimal response to the four motions that were vague, inaccurate and deflective. For example the following is a summary of MNBC statements provided by MNBC President Bruce Dumont in accordance with the four motions:We also understand MNBC has been pressured by some of the identified Métis communities to answer a variety of questions. I have attached a letter sent to MNBC from the Vancouver Island Regional Governance Council dated January 23rd, 2012 that was forward to the BC Métis Federation. The Vancouver Island Regional Governance Council letter includes four motions to request specific information from the MNBC. Please note these four motions are similar questions the BC Métis Federation has raised to the MNBC for the last number of years but MNBC has not provided answers.

  •  First MNBC President Dumont claimed that the MNBC assets were an estimated $6 million and liabilities at $5.2 million. This is absolutely false and inaccurate and we estimate the MNBC liabilities are exceed $12 million. Therefore even if the school sold, which we do not believe will happen any time soon, MNBC will still be in debt by millions.
  • Second MNBC could not provide the Deficit Recovery Report because of “significant cost cutting moves.” MNBC President Dumont stated that the Debt Recovery Reporting would be provided at the end of the year which is coincidentally after the upcoming Métis Nation Governing Assembly.
  • Third MNBC President Dumont confirmed he is still receiving a salary of $86,000.00 although in the MNBC Press Release of December 12th, 2011 it stated that:

Also, as of January 1st, 2012 MNBC Board of Directors will no longer be paid a salary. The Board’s salaries had been reduced over the last few months and the original plan called for their elimination by April 1, 2012. This latest decision moves that forward to eliminate salaries within a few weeks from now.” This MNBC public statement made December 12th, 2011 is now confirmed as misleading. Review the release on the MNBC website under the tag line “MNBC Board of Directors make difficult but responsible decisions to move the Nation forward.”

  •  Finally MNBC President Dumont denied being topped up for the position of Chief Executive Officer.

The BC Métis Federation strongly encourages Métis community leaders and people throughout BC to review the actual facts. During this recent response to the Vancouver Island Regional Governance Council it was clear MNBC President Dumont and the MNBC management is now trying to blame the former MNBC CFO Cora David for an inaccurate Debt Recovery Reporting that was made public last September plus other claims of financial mismanagement.

Overall this situation continues to defy logic or sound business practice. The reality is that MNBC is no longer sustainable because of the a number of mismanagement points;

  • Expected MNBC interest charges over $370,000 in 2012-2013 to manage the debts
  • Expected working capital to increase to a negative $6.8 million by March 31st, 2012
  • Mortgage payments over $47,000 per month by June 2012

The truth today is that this MNBC board is not transparent and has not afforded any of you an honest review about their financial sustainability. The MNBC board has denied our province the ability to have all of the information to make informed decisions and this is fundamentally wrong.
The solution is to better understand the BC Métis Federation, demand full accountability of the MNBC to confirm BC Métis Federation findings, and force MNBC into bankruptcy to enable the Nation to move forward for the future.

I sincerely hope all Métis people review the information carefully and join the BC Métis Federation to stop this MNBC’s gross financial mismanagement.

BCMF Letter to Metis People February 8th, 2012 BCMF Metis Federation Assessment of MNBC February 2012 MNBC Region 1 Letter January 23rd 2012


Thank you,

Keith Henry

cc BCMF Board of Directors
BCMF Members
Métis People of BC
MPs (British Columbia)

11 Responses to BC Métis Federation Financial Assessment Proves MNBC is No Longer Financially Sustainable

  1. Metis at Large February 8, 2012 at 8:32 am #

    You do not need to be a financial wizard to see a service delivery agency floundering under debt. The Metis provincial council is a non profit service delivery agency without any financial plan, or adequate debt recovery plan. Now that the Metis nation is borrowed to the hilt, there is no remedy to this situation by borrowing further declaring bankruptcy would be the only option at this point. Buying time is all I see until September,

    The school for sale for 6.1 million will settle only a portion of the $7,932,047 projected, remember there is utilities, this years taxes, staff wages, and school upkeep to project forward as well, as every day ticks by. The seller does not see the total 6.1 million as 7 percent up to 100,000 goes to the real estate company and a percentage on every 100,000 after the initial 100,000. If the school miraculously sells, which is only zoned as a trade school with limited options of usage, it remedies only a part of the problem.

    If they are expecting to use Oil and Gas funds meant for the community which I suspect the MNBC is doing now, citizens should be in an uproar, that is community consultation funds meant for the community. I see MNBC at enbridge’s table and to date there has been no community consultation, how do they expect to get guidance at the MNGA when the presidents have not even called for community meetings to give such guidance?

    What a mess leadership has created for our Nation, a secret purchase with no consultation has put our Nation into a bankrupt position. What is our brilliant new CEO to come up with? The up and coming BCMF Regional sessions will be a new beginning for our Metis Nation to move forward in a new direction, and away from a damaged nation ran by fools. This MNGA should be interesting seems like a lot of the communities are now asking tough questions as witnessed by the region 1 motions, although a little too late.

  2. Tim St. Denis February 8, 2012 at 2:37 pm #

    Well at least now the hard questions have made the Regional level. I hope the Board members are seeing that they are out taking hits on the streets at no wage while their esteemed leader takes a good wage and hides behind them and their former CFO. A toxic environment to be sure.

  3. Dean Lenglet February 8, 2012 at 5:01 pm #

    So, Bruce is still receiving compensation even after it was clearly stated that no one was getting anything. I guess we all now know what his word is worth. The school is zoned Industrial 2 on the for sale sign. Not exactly sure what that means. Perhaps it will sell sooner with this zoning. That would help the situation. I just hope that the current board of directors wind up personally responsible for any debts on behalf of all Metis in the province. It would serve them right since these yahoos have run our organization in to the ground. I hate to say it but these clowns define the word “stereotypical”. It is a blight on our people and heritage.

  4. Keith Henry February 9, 2012 at 10:20 am #

    Thank you Dean, Tim and all,

    Just some further insight.

    First MNBC President Dumont is definitely getting a salary but to my surprise so are some of the other MNBC board members. I have a direct email admitting that one director is still getting a wage paid directly by a program… So why did MNBC put out a press release release lst December 12th stating no more wages? This is a lie plain and simple.

    The reality is that even the sale of the school now will not do much to improve anything as MNBC has too much debt.

    Watch Coffee Talk tonight…

  5. Earlene Bitterman February 9, 2012 at 1:06 pm #

    After I read this financial analysis MNBC ship is sinking in debt with no working capital that is a reality. In the future I see many of the current people responsible for this mismanagement wishing to become involved in the BCMF. To become the organization we all dream of we cannot be excluding Metis of historical ancestry, but ensure our leaders represent our people with “good standing” The BCMF has to ensure that this will never happen again in policy and bylaws.

    In the regrowth of our Nation, eventually BCMF will have elections, and create a democratic foundation for leadership. It is most important in my opinion the BCMF continue to have some kind of oversight, wither it be the founders of the BCMF or an independent non-political ombudsman committee or body. It is quite apparent that the MNBC senate structure did not work, riddled with nepotism, and MNBC political direction it was not independent.I have lost faith in the idealism’s surrounding the senate after being dragged through the crowns court system. While MNBC spouts, “take it to the senate”, in those very words filing documents with the crown against MNBC citizens. There is also no recourse for senators that stepped out of their respectful positions protecting the integrity of the senate.

    Many First Nations communities have quasi judicial sentencing such as circle courts, they are on the road to self government though a separate process lending to lower suicide rates, and healthier aboriginal communities. It is conducive to a healthy overall community to be judged by your peers then a system that does not mirror any resemblance to our cultural or spiritual values. In that thought there a lot of healing to do in that aspect after 200 years of colonial control.

    For me the formation of a Senate was a good idea and a step towards self governance, as our legal autonomy is represented by our own community structure-again in two words “self government” . In my opinion the formation of self government needs to be done carefully and free from political interference. The BCMF is a tool, a vehicle if you wish to drive the community towards independence and growth, a conduit to protect and serve the very foundation –The Metis Family. Growth in financial enterprise, health, and environmental cohesion with our cultural values. We need to ensure that the BCMF becomes the new government with checks and balances, and representative for the Metis grassroots in consultation with government and private partners. For that we need not one single vision, but a united collective vision. Devoted individuals that care for our Nation have laid the initial foundation, our dear friend Harold Morin has given his life to promote a prideful Metis community and foundation as the BCMF policy analyst. Now it is up to us to ensure the BC Metis federation is our united voice.

    The up and coming BCMF Regional gatherings is the foundation that will build a community groundwork for self government for our new provincial organization built from the communities input, I stress how important this is and for all Metis people to attend in their respective regions.

    Participation is the key to rebuilding this Nation as our single voice counts. Thank you BCMF for allowing me to have a voice here on this forum. No ideas are bad ideas, as it adds to the whole.

  6. TimSt. Denis February 9, 2012 at 2:50 pm #

    Hi Earlene
    I agree that a Senate has to be autonomous however the funding also has to be autonomous. Perhaps a ruling that states a certain percentage of all administration funding must go to the Senate might work.

  7. Earlene Bitterman February 9, 2012 at 3:19 pm #

    Senate autonomy I agree, but everyone needs a watchdog. As well as MNBC senators are not elected. Even the Canadian government has been talking senate reform, since I can remember with a ‘Triple E’ Equal, Elected, and Effective. I watched government political appointments like Patrick Brazeau & Richard Neufeld, of course what ever government in power rewarding party faithful, not unlike MNBC patronage appointments. Yes, one would be independence from the political body including financial remuneration. Looking through the senate appeals the majority is citizenship appeals, with a few community appeals. Most community concerns, I surmise have been turned down by the gatekeeper-the senate clerk. Hopefully during the community gatherings these questions can be put forth to the communities, as our own autonomy from the court systems to deal with community issues seems to be in the forefront. What is your vision tim, to assist in development of a quasi-judicial body? I went into the court house a month or so ago, and looked at the court docket, and recognized a overwhelming majority on it where Metis names.

    On point of Metis Nation and the legal system, I remember since MPCBC’s formation community leaders taking issues to courts rather than handled in a internal fashion, you imagine how much that funding could of done in community development rather than used to fight its own citizens in court costs, and lawyers fees? You need lawyers to protect the organization and develop the legalese of legislation, but to use against its citizens, using Metis funding to silence dissension has to stop. In my view one unscrupulous lawyer found a gold mine of idiots, not mentioning any names. 🙂 Our Nation has to grow up… and start acting like a government.

    The Royal Commission on Aboriginal peoples report on Justice identified many issues, how much work did the MNBC ever do in this regard? In my view -NONE. It is so disappointing that our Nation has not moved forward in this regard. Royal Commission on Aboriginal Justice – http://www.ccja-acjp.ca/en/abori4.html

  8. Joe February 9, 2012 at 9:40 pm #

    Thanks for this clear picture Keith. Theres no bandaids for this broken structure. Perhaps some people are too frightened to admit how bad the situation is as it stares them in the face and they are paralysed partly because they fear it’ll get even more out of control… I see the only way to move forward responsibly is to move beyond broken structures and failed leadership and make way for a better future in BC through the BCMF. The silence, the inconsistencies, the denials, the bad decisionmaking is simply intolerable. Commonsense and ethics suffer. We can no longer afford to allow leaders to ignore their own peoples voice and the realities in their own communities – thats an impoverished rationale to build upon. We need to develop trust, and we need clear workable constitutional governance that actually reflects upon our indigenous values. As Keith argues, this takes particiption from all Metis! I think the community consultations can contribute in a big way to a public conversation about our future in BC and In Canada, and the type of Metis nation that we all want in Canada. This goes beyond false solutions by those who purport to represent us. Its about clearly expressing the public good of our communities. Its always been about the public good. the BCMF is led by people who are committed to put people and local interests before crass, top down politics and broken economic schemes. Its your right to move beyond an organization that is bankrupt on so many levels. The MNBC is not inevitable, despite what some want to sell you as ‘truth’.

  9. Richard Lucier-larson February 10, 2012 at 8:56 am #

    Earlene :

    Your “In the regrowth of our Nation, eventually BCMF will have elections, and create a democratic foundation for leadership. It is most important in my opinion the BCMF continue to have some kind of oversight, wither it be the founders of the BCMF or an independent non-political ombudsman committee or body. It is quite apparent that the MNBC senate structure did not work, riddled with nepotism, ”

    Yes I believe you have it about right, it really doesn’t matter whether it is here or in the Prairies, the same lack of connecting with the grassroots people is lacking, all the issues you mention about lack of independence of the judiciary/senate , the idea is sound but it seems our so called leaders can not resist taking control.
    Until we have a foolproof method in place of curbing the power from the top idea, there will be only a fraction of the Metis/half-breeds interested in joining working with a provincial body.
    Many of the Big Metis Families look at the self serving , money in their own pockets crowd and ask why should I get involved in this.

    The way ahead will not be easy, we are only starting to rebuild the Metis Nation.

    Richard Lucier-larson

  10. Tansi Keya Metis February 10, 2012 at 10:33 am #

    The issues that Keith and Earlene present are real facts in our Nation. Metis need housing! need education, need business start up. What good is the MNBC with all of its ministerial portfolios when there is no substance to the organization. We don’t attend AGM’s or MNGA’s due to the distance and have not seen one written report from the minister of housing. Why have a ministry when there is no budget? High paid people doing absolutely nothing.

  11. Sherry Daniels February 10, 2012 at 5:37 pm #

    OMG what is it going to take for Metis Citizens to wake up and smell the coffee, these LEADERS that you voted in, are taking you to a land of no return.Our forefathers lost their lifes fighting in battles, so we could have a right to be heard, and you are giving that right away.Stand up demand that you be heard on all counts.Mr. Dumont has made major decisions on your behalf, that will bring our nation down.

    We need to join together as one and make LEADERS understand they do not speak for us.I personally would like to have a LEADER that takes us into victory not despair and debt.

    It would be nice to leave behind a legacy of family, culture, unity,for our great grand children to share with their families.

    By the way Mr. Dumont is going, we will only have shame to pass on.

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