(Vancouver, BC) BC Métis Federation continues to review and address important issues that affect Métis people across the Province and Canada. Last week BC Métis Federation shared their initial review of the financial situation of the Métis Nation British Columbia (MNBC) for their past fiscal year April 1st 2013 – March 31st 2014. BC Métis Federation continues to question government and industry investments into this organization which is not sustainable given the position by governments to continue to support one Métis representative organization in British Columbia.
The MNBC presented their worst financial performance year ever since incorporating in 1997 and there are many issues that contributed to a loss of over $2.0 million. MNBC has presented financial statements that have attempted to shift millions in debt to long term liabilities plus suggesting that a saving on refinancing terms is somehow revenue for the nonprofit organization.
The following points offer a few key highlights:
- Another major year of losses of with MNBC suggesting the calculated loss is only approximately $646,000 which resulted in increasing the organizational debt to approximately $3 million.
- BC Métis Federation calculates the actual loss last year at $2,097,057:
- $229,445 deficit on the employment and training program
- Loss on sale of school land and building $998,920
- Loss on funds from MNMC to support school operating costs, etc $746,241
- Loss on administration and other programs $122,451
- An interesting refinancing calculation of an MNBC long term loan (note 6 and further defined in Schedule 38) which leaves an additional $4 million dollar loan payable to 2028. MNBC must pay $15,000/month plus a lump sum payment every three years of $260,000.
- MNBC calculated interest savings on the long term loan of $4 million dollars at 6% for the entire amount of the 15 years as an alleged revenue totalling $1,426,190.
- MNBC deducted this alleged revenue against the losses of the sale of the property ($998,920) and money loaned to the school totalling ($746,241) as of March 31st, 2014, totalling losses of $1,745,161.
- MNBC recorded a deficit of $229,445 operating the ASET – employment and training programming.
- MNBC recorded a deficit of $122,451 operating all other programs which was largely due to overspending in administration outlined in Schedule 38.
- MNBC has disallowed expenses of $300,542 and $105,456 (totalling $405,998) according to the MNBC auditors in their ASET program Schedule 3 and administration Schedule 38.
- Plus many more issues such as a reduction in overall revenues and major reduction in funds for employment and training (reduced by over $1.3 million in the last year.)
BC Métis Federation President Keith Henry stated, “The MNBC financial statements are undeniable evidence and we continue to examine and address because this affects all Métis people in BC. MNBC is not sustainable whatsoever and the loss of programs is affecting our communities and families. MNBC recorded over $400,000 in disallowable expenses. What were they? What happened with the Hallux Audit findings? These are but a few questions to consider. A close examination of the MNBC financials reveals how the board and staff have shifted a large portion of their administration and core operating costs to programs. Meanwhile there is really no governance and no community engagement with industry projects despite hundreds of thousands of dollars to do this work.”
BC Métis Federation President Henry concluded, “The evidence mounts and MNBC is going bankrupt. How will they sustain $15,000 a month? There were claims at their recent AGM that a few of their companies will support these payments such as Niche Environmental. What the delegates did not know is that Niche Environmental is no longer operating. The fact is Métis people have a legitimate choice to move forward and we encourage governments to begin rebuilding with Métis communities and the BC Métis Federation. The current one window approach continues to fail and the people most hurt are communities and families who do not even realize the impacts of this terrible financial situation MNBC has created. Since 2009 MNBC has lost over $7 million dollars and BC Métis Federation will not quit advocating for social justice until those who created this mess are held accountable.”
To review the MNBC 2013-2014 financial statements go to:
For more information about the new board members and information watch the BC Métis Federation website at www.bcmetis.com which will be fully updated with the new board this week.
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