first nations trust 2004-2005 annual...

First Nations Trust 2004-2005 Annual Report

FNT 1

As Chairperson of the Board, and on behalf ofmy fellow Trustees I am pleased to presentthe 2004-2005 Annual Report of the FirstNations Trust (FNT). During the second yearof operation on Asimakaniseekan Askiy(Soldiers Land) Reserve, the Trustees metquarterly and as required to ensure thatbusiness related to the Trust was dealt with ina timely manner.

One of the central duties of the Trustees is toreceive and distribute the funds that come tothe Trust from the net profits of casinosdeveloped and operated under the 2002

Framework Agreement. The Trusteesdistribute these funds to First Nations inSaskatchewan. We are pleased to report thatduring 2004-2005, there was a significantincrease in funds received, which meant ouroverall distribution to First Nations increasedby 38 per cent during our second year ofoperation.

The Annual Report reflects on workaccomplished by the Board during the pastyear. The Report also introduces the currentBoard of Trustees. In addition, the FirstNations Trust financial statements for 2004-2005 are presented.

Message from the Chair 1

The Board of Trustees 2

First Nations Trust Manager 6

Reflecting on the Year 2004-05 7

First Nation-Determined Initiatives 8

Designated Allocations 13

About the First Nations Trust 14

Establishing the First Nations Trust: A Timeline 16

FNT 2004-05 Distribution 17

Use of Funds Distributed by First Nations Trust 20

Financial Statements 23

Acknowledgement

It is also our pleasure to provide an overviewof several First Nation-determined initiativesthat are using funds distributed by FNT tomeet community needs. Within the widecriteria for use of the funds distributed by theFNT, each First Nation shapes projects to suitthe unique needs and interests of their owncommunity. Some Nations introduced newinitiatives, while others expanded existingprograms. Each First Nation has its own visionof how to make a difference for their people. Itis our honour to have a small role in improvingthe quality of life for the children in ourcommunities.

Sincerely,

Harry J. Lafond, B.A., B.Ed., M.Ed.Chairman, Board of TrusteesFirst Nations TrustAsimakaniseekan Askiy Reserve

A MESSAGE FROM THE CHAIR TABLE OF CONTENTS

Cover: Cyan & Calen, Standing BuffaloPhoto Credit: Marian Dinwoodie

The First Nations Trust (FNT) has seven Trusteeson its Board including the Chairperson. All theTrustees reside on-reserve, although the 2003Trust Indenture only requires that four of theseven reside on-reserve. The Chiefs-in-Assemblyappoint Trustees based on recommendations bythe Federation of Saskatchewan Indian Nations(FSIN) Indian Government Commission (IGC).Recommendations come to IGC from the FSINEconomic and Community DevelopmentCommission (ECDC).

In 2003, when the Board of Trustees wasestablished, four Trustees were appointed forfour-year terms, and three were appointed forthree-year terms. When the four-yearappointments are completed, future appointmentswill be for three years only.

The CHAIR OF THE BOARD OF TRUSTEES isHARRY LAFOND of Muskeg Lake Cree Nation.He was appointed in 2003 for a four-year term.Harry brings a wide range of experience,community, political and academic, to the FNT.He served his Nation as Chief (1990-2000). Hehas worked extensively in the area of educationincluding a term as principal of Kihiw wacistonSchool at Muskeg Lake, which is in the Treaty 6area; he also served as a Senate Member at theUniversity of Saskatchewan (1995-2002), and onthe federal Task Force on Education (2003).

THE BOARD OF TRUSTEES

Harry J. Lafond, B.A., B. Ed., M.Ed.Board of Trustees, Chairman

Harry has been the Director of Education for theMuskeg Lake Cree Nation since 2001 and assistsin the work of many committees and boards froma local to a national level. Over the years, manyyouth gatherings and sports events, at home, inurban areas and throughout Indian country, havehad the benefit of Harry’s dedication. Hefrequently volunteers his expertise in organizingevents and has been invaluable to the Federationof Saskatchewan Indian Nations, the SaskatoonTribal Council and the Saskatchewan IndianCultural Centre. Harry serves his community atMuskeg Lake in many capacities includingeducation, band government and church services.Harry, his wife Germaine and their family reside atthe Muskeg Lake Cree Nation.

2 FNT Asimakaniseekan Askiy Reserve

TRUSTEE EVERETTE BEAR of Muskoday First Nation agreed in 2003to serve as a Trustee for three years. He brings a wide range ofexperience to FNT from his years in agriculture, business and politics.Although Everette has retired his 52-year farm operation, he remainsinvolved in agriculture serving on the Saskatchewan Indian EquityFoundation Board, the First Nation Agriculture Council of Saskatchewan,the Business Development Subcommittee of the Saskatchewan ActionCommittee on the Rural Economy and the Rural Vitalization andDevelopment Board, Farm Policy Framework. Previously, he served as amember of the National Aboriginal Achievement Awards Committee, theSaskatchewan Liquor Commission, and the Saskatchewan Wheat Pool,Agriculture Credit Corporation of Saskatchewan. Everette also served hisTreaty 6 community as Chief from 1986 to 1991 and as a Councillor formany years.

NOLAND HENDERSON, TRUSTEE, has a four-year term of office withthe First Nations Trust. Noland was Chief of the Montreal Lake CreeNation in Treaty 6, for three terms (1988 to 1993) and served as acouncillor for many years. He is an alumnus of the University ofSaskatchewan where he obtained a Bachelor of Education. Nolandfocused on education for a number of years, serving as principal of theMontreal Lake School for six years (1982 to 1988). He has a wide rangeof experience on boards and commissions including representing thePrince Albert Grand Council on the Northern Teachers EducationProgram Board and serving on the Saskatchewan Police Commission.Currently, Noland is the Executive Director of Lands and ResourceManagement at Montreal Lake First Nation, a position he has held for thepast eight years.

Everette Bear, TrusteeMuskoday First Nation

Noland Henderson, B. Ed., TrusteeMontreal Lake First Nation

Asimakaniseekan Askiy Reserve FNT 3

TRUSTEE DRUSCILLA STANLEY accepted the role and responsibility ofbeing a Trustee in the spring of 2003 when she was appointed for a four-year term (2003-2007). She brings to the position extensive experienceworking as a Band Administrator, as a co-manager for the Band, and twoyears as the Director of Finance for the Ahtahkakoop First Nation.Druscilla gained expertise in the area of finance while working in theDepartment of Indian Affairs. She began work in the federal publicservice as a file clerk in 1970 and by 1988 had advanced to the positionof Director of Finance for the Prince Albert Student Residence. Druscillahas sustained a long time interest in financial management services andhas supplemented her work experience with University courses,workshops and programs that will enable her to obtain a designation as aCertified Aboriginal Financial Manager (CAFM). Druscilla resides inTreaty 6 territory at Ahtahkakoop First Nation.

THE BOARD OF TRUSTEES

VELMA WUTTUNEE, TRUSTEE Velma was appointed to the Board ofTrustees for three years commencing with the establishment of the FirstNations Trust in May 2003. Since 1991, Velma has held a position asFinancial Officer for the Battlefords Tribal Council. Previously, she workedfor the Red Pheasant First Nation and then later for Indian and NorthernAffairs Canada. Velma has years of experience in the role of FinancialAdvisor, and has provided financial management services to First Nationsin the Battleford area. She is a member and resident of the RedPheasant First Nation in Treaty 6. Velma’s interests include taking herfour grandchildren to pow wows, learning to sew and bead their regalia,and watching horse racing.

Druscilla Stanley, TrusteeAhtahkakoop First Nation

Velma Wuttunee, TrusteeRed Pheasant First Nation


TRUSTEE RAY GAMBLE When the First Nations Trust was establishedin 2003, Ray accepted his appointment to the role of Trustee. Ray hasexperience in the public sector as well as in the banking industry and hehas formal training in Business Administration from the University ofSaskatchewan. Currently, Ray is the Manager of Aboriginal Banking forthe Manitoba and Saskatchewan Regions for the Bank of Montreal. Hehas held this position since 1993. Previously, Ray worked in the federalcivil service (1971-1993). Following his many years of work in FirstNations’ matters, he accepted an Emergency Measures assignment withthe federal government. Home for Ray is at the Beardy’s and OkemasisFirst Nation, where he is a member.

EDITH GOODTRACK was approved for appointment to the Board ofTrustees by the Chiefs-in-Assembly in February 2005 and accepted theresponsibility of being a Trustee in March 2005. Edith has extensiveadministrative work experience, two years of formal studies inAdministration and a wide array of computer skills. For the past threeyears, she has been the administrator for the Dakota/Lakota Chiefs ofSaskatchewan; Edith also worked for many years in an administrativecapacity with the Wood Mountain First Nation where she resides. Shewas named a Director of the South Central Community FuturesEconomic Development Corporation in 1995, and has performed dutiesfor this non-profit corporation for 9 years. She also a member of theBoard of Saskatchewan Crime Stoppers. Edith was appointed to the FileHills Qu’Appelle Education Association Committee in January 2005.

Ray Gamble, TrusteeBeardy’s and Okemasis First Nation

Edith Goodtrack, TrusteeWood Mountain First Nation


IDA JOHNSON-LAROCQUE has carried out workrelated to the distribution of profits from gamingfor four years. She first worked in casino profitdistribution when it was under the Federation ofSaskatchewan Indian Nations, EconomicDevelopment portfolio. Eighteen months later,when the First Nations Trust was established, theBoard of Trustees asked Ida to join them to workin a management capacity. Ida has now beenManager for the First Nations Trust for two years.Prior experience in the FSIN Finance Departmentand as the Administrative Officer for the TreatyUnit, Treaty Governance Processes Office proveduseful to her current position. Ida completed herBachelor of Commerce degree at the Universityof Saskatchewan, while working full-time andraising three children. She intends to continue hereducation working toward designation as aCertified Management Accountant.

FIRST NATIONS TRUST, MANAGER

Ida N. Johnson-LaRocque, B. Comm.Manager, First Nations Trust


First Nations Trust highlights during 2004-2005,include:

Funds distributed by the First Nations Trust arefrom two sources - 37.5% of the net profits fromcasinos operated by the Saskatchewan IndianGaming Authority (Northern Lights Casino, GoldEagle Casino, Bear Claw Casino and PaintedHand Casino), and 25% of the net profits fromcasinos operated by the Saskatchewan GamingCorporation (Casinos Regina and Moose Jaw).

The quarterly allocations from First Nations and

Métis Relations to the First Nations Trust during2004-2005 were:

Policy change in reporting - The Board ofTrustees approved two options for 2004-05.When reporting on 2004-05 First Nations couldeither use the existing reporting procedure or thenew reporting policy. The new compliance andreporting policy was approved, published anddistributed by the Board in February 2005. Allparties will be subject to this new reporting policyin 2005-06.

The designated allocation to the First NationsTreaty Rights Protection Fund amounted to$573,708 for specified uses as set out in section5.1 of the 2003 Trust Indenture. Generallyspeaking, the First Nations Treaty RightsProtection Fund is used for defense and advisoryservices related to Treaty rights violation.

REFLECTING ON THE YEAR 2004-2005

·1st Quarter Jun. 30, 2004 $5,560,437

·2nd Quarter Sep. 30, 2004 $5,380,711

·3rd Quarter Dec. 20, 2004 $5,560,437

·4th Quarter Mar. 30, 2005 $5,231,189

·2003-04 Adjustment Dec. 22, 2005 $ 890,018


FIRST NATION-DETERMINED INITIATIVES

Horsemanship & Rodeo Program - Gordon First Nation

Some troubled youth have learned about establishingpositive relationships through working with the horses,coming to understand that they can step out of theattitude or behaviour others might expect of them andestablish their own sense of self, understanding that itisn't force that makes a good horseman or arewarding relationship. They learn there's a specialconnection between horse and rider, a bond thatdeepens as they gain confidence and respect for eachother. It's an opportunity to learn about courage, firmbut gentle, and about parallels between animal andhuman behaviour, and that each may have fears toovercome before they can work well together.

Gordon First Nation faces the same dilemma asothers receiving funds from the First Nations Trust.Determining the priority for use of the funds is notalways easy. But for Ed Bitternose whose herd ofpaints graze not far from the Administration Office, it'sclear, providing support to their youth Horsemanshipand Rodeo Program is a good decision. Two smallgirls waited patiently at Ed's barn as he explained theprogram. They were anxious to show us their "practicehorse," which turns out to be a sawhorse holding asaddle and reins. They stand quietly near but alreadydisplay that sense of confidence and calm beingaround horses seems to promote.

Successes have been both big and small in theHorsemanship and Rodeo Program. Youth rode talland proud in the grand entry at the KawacatoosePowwow. They also formed an honour guard for PrimeMinister Paul Martin when he visited Gordon. To theirdelight the Prime Minister left his car and walkedalong side the young riders. Kevin Pelletier from theprogram made it to the USA National Rodeo Finals -his picture was displayed with pride in theAdministration Office for months after the ride.

Not all the youth involved have access to horsesoutside of their lessons, but Ed is confident that thetime spent learning about horses can have positiveeffects on everything from self-discipline to teambuilding. The program is going well and more kidsfrom other reserves are interested joining.



Yellow Quill Work Experience Initiative

If you have been to the Yellow Quill DevelopmentCorporation (YQDC) office recently, Kelly Squirrellikely greeted you. He is one of 20 young urbanmembers who have participated in a program YellowQuill First Nation expanded with funds distributed bythe First Nations Trust. Kelly is clear; his position inreception is an opportunity, and a place to start. Heappreciates that the skills and experience he isgaining on-the-job will be a stepping-stone to otherprospects. It's the end of the day; his little girl and hermother are waiting to walk home with Kelly.

The Work Experience Inititiative is Yellow Quill'sresponse to an all too common issue faced by theirurban members⎯unemployment. In the face ofunemployment, resumes with neither work experiencenor particular skills guarantee jobs will be hard tocome by. YQDC saw the challenge and determinedthey could make a difference by providing short-termjobs that would provide skills, experience andworkforce preparation.

Erin Slippery has new skills and new horizons. In hersunny office, Erin displays her latest publication, theYQDC bi-weekly newsletter. She has enjoyed thechallenge the employment has presented and learnednew computer and communication skills on-the-job.Erin muses about the startling difference between thiswork and the drywall skills she learned in the SIITWomen in the Trades program⎯she definitely prefersthis type of work. Erin is thinking now about moreeducation - this short-term job has her moving in justthe direction the Chief and Council wish to see for all

their people. They are strong supporters of youthstaying in school and learning skills for success andindependence.

The YQDC Program has also provided an opportunityfor post-secondary students such as PaulineWhitehead, who has her sights set on drama andacting. YQDC has provided her employmentexperience as a coordinator. Pauline also intends tocontinue studying; she is nearing completion of herArts degree. The Program is meeting with moresuccesses than had been anticipated, the Chief andCouncil are encouraged by the results they haveseen in Yellow Quill's Work Experience Initiative.




Kahkewistahaw First Nation - Homecare & Elder Assistance Programs

Kahkewistahaw First Nation found they had a realneed for a program to help elders and assist thoseindependent elders who want to remain in their ownhomes. The Homecare Program and the ElderProgram have met some of these needs; bothprograms were made possible with the fundsdistributed by First Nations Trust. Being able toprovide utilities, "life line" devices for emergency callsand home care assistance has "improved the qualityof life for our Elders and their families. It's verystressful for our Elders and their families, when Eldersare hospitalized or receive care away from thecommunity."

For Christine McKay, it has meant not having to leaveher home; she explained, "The extra supportdecreases the stress and struggle to make ends meet.It gives us the freedom to do other things." ChristineMcKay believes such programs help ensure theirways continue because Elders are able to be involvedon a daily basis and it helps "stop the loss of cultureand language.”

Marjorie Taypotat, the great granddaughter ofKahkewistahaw appreciates the effort made by Chiefand Council to care for their Elders. She says, that bytaking care and including Elders in communityactivities… much is learned. Recently, Mrs. Taypotatwas honoured to cut the ribbon at the opening of thenew school. It was a moment of mixed emotions forher, because in her day children were taken from theirhomes to residential school; whereas hergrandchildren can live at home while they attend

school. Mrs. Taypotat remembers the old village styleliving when she looks out her window and can see hersons' homes and her grandchildren playing with theircousins. The old days also came to mind recently asshe took her morning walk and found she was sharingher path with a bear. She keeps busy doing her ownhousework and making lunches for family. The HomeCare program comes in to do some of the heavierwork for her, and for this she is grateful. MarjorieTaypotat also keeps active attending ball practices andgames; she believes paying attention to childrenencourages them to work harder.

Big River First Nation did its own makeover - andthe multi-plex appeared when the dust settled.There is plenty of space for a variety of usesincluding recreation, entertainment, meetingrooms, offices and a brand new kitchen forpreparing meals for community events. The megaproject took a lot of teamwork and residents fromBig River were part of that team, working with thedevelopers throughout the renovations. Sometenants have their offices up and running, andothers will be moving in later, including the RCMPand some space is on hold for Justice as well. Themulti-purpose building brought several servicesoffices together under one roof - the Big RiverSocial Development, Indian Child and FamilyServices are housed under one roof now. So itwas that a huge need created a small opportunityfor two full time workers - once the complex wascompleted, it was apparent a receptionist wasneeded to direct all the people through thecomplex to the boardroom for meetings and otherservices and events in the building, or redirectingpeople to the arena and band hall located nextdoor. With a roster of sports and leisure activities,Big River First Nation created a full-time positionand office for the Recreation Director in the multi-purpose building.

Multi-Plex Makeover - Big River First Nation

Funds from the First Nations Trust supported therenovations of the old band building, and over$300,000 toward the purchase of a fire truck. Firesafety and protection services are alwaysimportant, and the new truck is a significantaddition to the community's development. TheChief and Council expressed their gratitude to theFNT for the difference gaming revenue makes inmeeting needs and assisting with long termplanning for the Big River First Nation.



Recreation Improvements - Cowessess First Nation

Funds from FNT have made it possible for theCowessess First Nation to expand their recreationprograms. The old band hall was renovated. It nowhouses a two-lane bowling alley, an air hockey table, afooze-ball table, and several new billiard tablescarefully draped with plastic to keep off the dust.These are just a few of the items that Cowessess FirstNation has placed in the building that they have justrenovated and painted with some of the funds fromthe First Nations Trust. The set-up allows for morethan one use at a time, so there are lots of choicesincluding bingo.

There are also other recreation activities supportedincluding junior golf, swimming, soccer, baseball,hockey, a pool league and sponsorship of athletes.There is a playground with bright red, yellow and blueequipment and baseball diamonds built with INACfunds, but field maintenance and lighting costs areexpensive. It was decided that FNT funds would beused for such on-going expenses. The initiative waschosen because the community believes everyonecan benefit from recreation ⎯ from the Elders to theyouth who come together in committee work, to theathletes and participants. These good relationsbetween generations carry into other venues ⎯ thistoo pleases the Elders. The Chief and Council hope tostretch the support from FNT distributions as far aspossible, so members who are off-reserve as well asliving at home can benefit.



DESIGNATED ALLOCATIONS

FIRST NATIONS ADDICTIONS REHABILITATION

FOUNDATIONIn 1995, the Federation of Saskatchewan Indian Nations(FSIN), acting on the instructions of the Chiefs-in-Assembly, established the First Nations AddictionsRehabilitation Foundation (FNARF). The FNARFmandate is set out in the First Nations Gaming Act(FSIN, 1995), s. 35 and the 2002 Framework Agreementalso specifies FNARF is to "ensure effective andaccessible education, prevention, and treatmentprograms about problem gambling are available to FirstNation people." Administration of FNARF is by the FSINHealth and Social Development Commission (HSDC).The FNARF Board of Directors are Chiefs fromSaskatchewan First Nations; they are also members ofHSDC. A technical working group made up ofrepresentatives from independent First Nations andTribal Councils in Saskatchewan provide advice anddirection to the Board. Kyle Prettyshield is the FNARFProgram Manager; and Darcy Coulineur assists with dayto day matters.

Contributions by the First Nations Trust (FNT) to FNARFare for a designated amount, which is $1.5 million peryear. The monies are taken off the top of the net profitsthat come to FNT, that is, before distributions are madeto First Nations. This is in accordance with the 2002Framework Agreement. Funding provided to FNARF byFNT is then dispersed by FNARF for local level programdelivery purposes by Tribal Councils and independentFirst Nations.

THE GAMING JURISDICTION PROJECT wasestablished in 2002 in accordance with the 2002Framework Agreement. The Office of the Chief overseesthe FSIN Gaming Jurisdiction Project, which is managedby Neil Sasakamoose.

The FSIN Joint Executive Council and IndianGovernment Commission provide direction and guidanceto the Project's Technical Committee. The mandate ofthe Gaming Jurisdiction Project Technical Committee isto obtain recognition of First Nation jurisdiction overgaming in accordance with section 2.1 of the FrameworkAgreement. The Committee meets regularly with theProvince, and the parties work together to developgaming and jurisdiction options to present to theGovernment of Canada.

In accordance with ss. 4.1(b) of the FrameworkAgreement, First Nations Trust distributes $250,000 tothe Project each year to support its work on developmentand presentation of gaming jurisdiction proposals.

Within the terms of the 2002 Framework Agreement, there are mandatory allocations made by the First NationsTrust each year. The "directed" payments are the same amount every year, whereas the distributions made toFirst Nations vary in relation to the First Nation population figures and the net profits that come in to the Trustfrom the casinos.


ABOUT THE FIRST NATIONS TRUSTA TRUST is a way to hold the property of that trust. Inthe case of the First Nations Trust, that property ismoney. Often, the property of a trust is defined by awritten agreement. The property of the First NationsTrust is defined in the 2003 Trust Indenture.Establishing a trust allows trustees to manage themoney so that it benefits the beneficiaries defined bythe trust. The beneficiaries of the First Nations Trustare the First Nations in Saskatchewan.

TRUSTEES of a trust maintain legal control andownership over the trust property, but they areobligated to act in the best interests of thebeneficiaries only. For the FNT, the 2003 TrustIndenture, in conjunction with the Trustees Act,generally describe what the Trustees can and cannotdo with the property of the Trust. However, the law willimpose certain obligations on trustees even if the dutyis not specifically set out in the trust agreement.

TRUSTEE POWER AND AUTHORITY is detailed insection 8 of the 2003 Trust Indenture. The TrustIndenture provides Trustees with the followingauthority: to pay authorized expenses; to retain theservices of advisors, professionals or others to assistthe Trustees in the performance of their duties; to payreasonable remuneration to the Board for performanceof duties; follow valid direction from the Chiefs-in-Assembly (Legislative Assembly of the FSIN); andexcept as limited by the Trust Indenture, pay out theTrust property for the benefit of any one or more of thebeneficiaries, or for the benefit of First Nationspeoples.

DUTIES OF TRUSTEES - The overriding duty oftrustees is the fiduciary obligation to act with theutmost good faith in the interests of the beneficiariesof the trust. The standard of care and diligencerequired of a trustee is that of a person of ordinaryprudence in managing their own affairs. If a trusteefails to meet this obligation, the trustee may be liablein damages to the beneficiaries.

THE BENEFICIARIES of the FNT are specified by the2003 Trust Indenture. The beneficiaries are defined asa First Nation, an Indian Band, or the Federation ofSaskatchewan Indian Nations, as those terms aredefined in the Trust Indenture.

THE PURPOSE of the FNT is found in section 4.01 ofthe 2003 Trust Indenture. It provides that the purposeof the Trust is to effect the distribution of the moniesdue to First Nations from, [among other things], theprofits from Saskatchewan Indian Gaming Corporationcasinos and Saskatchewan Gaming Authority casinos.

PERMITTED USES OF THE TRUST MONIESdistributed to First Nations must be used for specifiedpurposes for First Nations and First Nations peoples.The purposes are stated in section 5.01 as follows:economic development; social programs; justiceinitiatives; education and education facilities; thedevelopment and operation of recreational facilities;senior and youth programs; cultural and spiritualdevelopment; the development and maintenance ofcommunity infrastructure; health initiatives;governance activities; Treaty protection; and any othercharitable purpose.

THE TRUST PROCESS -- the fiscal year for thetrust starts on April 1st of each year and ends onMarch 31st. During each quarter of the year,Saskatchewan pays, one-fourth of the estimatedprofits due to the First Nations Trust in accordancewith the 2002 Framework Agreement. After the actualprofit is calculated, Saskatchewan makes anadjustment to the amount that was paid to FNT basedon estimates, so that the amount reflects the actualprofits due to FNT.

The Board of Trustees must meet at least quarterly todistribute the Trust property in accordance with theTrust Indenture. When the Trustees distribute Trustproperty, they must take into account directions,properly received, from the FSIN Chiefs-in-Assembly.


At the end of each fiscal year, March 31st, the Boardof Trustees is responsible for ensuring that allrecipients of property of the Trust have properlyaccounted for how the Trust property was spent.Section 9 of the 2003 Trust Indenture sets out theaccountability provisions. In the event a recipient orbeneficiary of Trust property is not able to properlyaccount for the monies, or spent the monies in aninappropriate manner, the Trustees have a fiduciaryobligation to the other beneficiaries to take whateversteps are necessary, including withholding futurepayments, to ensure appropriate accountability of thebeneficiaries.


1994 GAMING AGREEMENT - On behalf of FirstNations in Saskatchewan, the Federation ofSaskatchewan Indian Nations (FSIN) entered into anagreement with the Government of Saskatchewan(Saskatchewan) in June 1994. Under the 1994Gaming Agreement, the First Nations inSaskatchewan were to receive twenty-five per cent ofthe net revenues from two proposed government-runcasinos. These casinos were to be located in Reginaand Saskatoon.

1994 SASKATOON REFERENDUM - Citizens of theCity of Saskatoon voted in a referendum in the fall of1994, and rejected the idea of a government runcasino in the City.

1995 GAMING AGREEMENT - When the referendumresults determined the government would operate onlyone casino, the FSIN and Saskatchewan entered anadditional gaming agreement in February 1995. The1995 Gaming Agreement recognized that theSaskatchewan government would not open a casinoin Saskatoon, as outlined in the 1994 GamingAgreement, and FSIN would be authorized to operatefour First Nation run casinos in Saskatchewan(Saskatchewan Indian Gaming Authority (SIGA)casinos.)

FIRST NATIONS FUND was established in September1995, under the Saskatchewan Gaming CorporationAct. For a period of time, prior to the establishment ofFirst Nations Trust Fund, First Nations' share of thenet proceeds from government and SIGA run casinoswere paid to and administered by the trustees of theFirst Nations Fund.

FLIP CLAUSE INVOKED -- Due to the success of theSIGA run casinos, Saskatchewan used the "flipclause" contained in the 1995 Gaming Agreement tochange the net revenues from SIGA run casinos to 25per cent. In 2002, the parties signed an AmendingAgreement that provided for both First Nations and theProvince to receive 37.5 per cent of the net proceedsof SIGA run casinos.

2002 AGREEMENT was signed by the FSIN andSaskatchewan in June 2002, and replaced the 1995Gaming Agreement.

NEW TRUST ESTABLISHED to replace the FirstNations Fund in the 2002 Gaming Agreement. Itprovided that the role of the First Nations Trust wouldbe to administer First Nations' share of net proceedsfrom casinos run by the Saskatchewan GamingCorporation and those run by SIGA.

2003 THE FIRST NATIONS TRUST (FNT) wasestablished. The FNT was formally created when the2003 Trust Indenture was signed on May 26, 2003 bythe parties, that is, the FSIN and the Trustees.

ESTABLISHING THE FIRST NATIONS TRUST - A TIMELINE

First NationTotal Distributed2004-2005

Total Distributed2003-2004

Per centIncrease

First NationPopulation 2004-2005

Ahtahkakoop First Nation 458,616.26 328,631.49 40% 2,694

Beardy’s & Okemasis First Nation 465,453.29 332,647.15 40% 2,742

Big Island Lake Cree Nation 128,672.40 86,839.80 48% 849

Big River First Nation 453,665.62 324,615.83 40% 2,668

Birch Narrows Dene Nation 10,000.00 7,500.00 33% 0

Black Lake Denesuline Nation 105,169.08 74,549.44 41% 580

Buffalo River First Nation 286,632.42 207,066.37 38% 1,649

Canoe Lake Cree Nation 211,181.15 136,974.77 54% 1,323

Carry the Kettle First Nation 296,454.14 211,690.47 40% 1,727

Chacachas First Nation 370,264.13 263,163.99 41% 2,181

Chakastaypaysin Band of the Cree Nation 10,000.00 7,500.00 33% 0

Chief Big Bear Nation 10,000.00 7,500.00 33% 0

Clearwater River Dene Nation 247,683.58 175,184.43 41% 1,450

Cote First Nation 472,554.15 336,419.45 40% 2,795

Cowessess First Nation 548,445.39 390,205.02 41% 3,255

Cumberland House Cree Nation 161,218.77 116,896.44 38% 899

Day Star First Nation 80,310.83 58,365.09 38% 418

English River First Nation 220,417.67 15,6931.40 40% 1,273

Fishing Lake First Nation 242,799.54 175,914.54 38% 1,384

Flying Dust First Nation 170,113.32 117,748.26 44% 996

Fond du Lac Denesuline 277,301.82 200,130.22 39% 1,595

Gordon First Nation 470,898.71 337,392.94 40% 2768

Hatchet Lake Denesuline Nation 224,992.11 159,000.08 42% 1,310

Island Lake (Ministikwan) First Nation 197,788.811 140,747.06 41% 1,137

James Smith Cree Nation 447,056.28 321,695.35 39% 2,614

Kahkewistahaw First Nation 252,044.01 179,686.84 40% 1,462

Kawacatoose First Nation 432,669.21 308,309.80 40% 2,552

Keeseekoose First Nation 332,895.74 237,123.01 40% 1,951

FIRST NATIONS TRUST 2004-2005 DISTRIBUTION




Per centIncrease


Key First Nation 180,945.04 129,430.19 40% 1,030

Kinistin Saulteaux Nation 142,827.93 102,537.40 39% 798

Lac la Ronge Indian Band 1,311,541.50 934,383.61 40% 7,785

Little Black Bear First Nation 89,057.65 64,692.80 38% 470

Little Pine First Nation 270,309.33 192,342.26 41% 1,575

Lucky Man Cree Nation 24,300.93 17,721.69 37% 86

Makwa Sahgaiehcan First Nation 206,614.78 147,318.15 31% 1,188

Mistawasis First Nation 360,148.67 256,714.59 40% 2,114

Montreal Lake Cree Nation 533,985.00 381,746.58 40% 3,136

Moosomin First Nation 231,433.64 164,962.74 40% 1,338

Mosquito, Grizzly Bear’s Head & LeanMan First Nation

201,980.85 144,275.98 40% 1,158

Muscowpetung First Nation 195,790.39 139,314.78 41% 1,106

Muskeg Lake Cree Nation 277,318.24 199,521.78 39% 1,600

Muskoday First Nation 249,623.44 180,416.96 38% 1,428

Muskowekwan First Nation 239,570.36 171,655.51 40% 1,380

Nekaneet First Nation 77,068.55 54,592.79 41% 410

Ocean Man First Nation 74,529.02 53,375.93 40% 390

Ochapowace First Nation 237,334.05 168,735.02 41% 1,377

Okanese First Nation 101,524.68 72,967.51 39% 550

One Arrow First Nation 232,650.49 164,354.30 42% 1,357

Onion Lake First Nation 673,350.77 476,967.72 41% 4,026

Pasqua First Nation 278,192.11 198,913.36 40% 1,615

Peepeekisis First Nation 375,683.64 272,047.12 38% 2,174

Pelican Lake First Nation 243,805.39 148,169.95 65% 1,615

Peter Ballantyne Cree Nation 1,299,284.97 926,598.07 40% 7,738

Peter Chapman First Nation 10,000.00 7,500.00 33% 0

Pheasant Rump Nakota First Nation 66,181.38 48,143.40 37% 334

Piapot First Nation 328,008.42 235,541.08 39% 1,935

Poundmaker Cree Nation 234,328.91 162,528.99 44% 1,391

Red Earth Cree Nation 205,067.70 144,275.98 42% 1,194




Per centIncrease


Red Pheasant First Nation 325,270.58 233,715.78 39% 1,889

Sakimay First Nation 231,770.05 165,206.10 40% 1,340

Saulteaux First Nation 186,918.07 133,689.22 40% 1,066

Shoal Lake Cree Nation 132,682.55 94,019.33 41% 747

Standing Buffalo Dakota Nation 183,078.83 129,795.24 41% 1,052

Star Blanket Cree Nation 97,908.35 70,533.76 39% 535

Sturgeon Lake First Nation 370,208.31 265,232.67 40% 2,164

Sweetgrass First Nation 273,043.71 195,871.19 39% 1,579

Thunderchild First Nation 368,891.44 256,836.28 44% 2,215

Wahpeton Dakota Nation 79,591.67 56,418.10 41% 425

Waterhen Lake First Nation 285,217.06 202,320.58 41% 1,670

White Bear First Nation 356,665.56 252,333.87 41% 2,108

Whitecap Dakota Sioux Nation 83,272.53 59,244.63 41% 441

Witchekan Lake First Nation 105,245.00 74,914.49 40% 578

Wood Mountain First Nation 44,146.17 32,202.42 37% 203

Yellow Quill First Nation 407,418.36 290,786.90 40% 2,396

Young Chipewyan First Nation 10,000.00 7,500.00 33% 0

FIRST NATIONS TRUST 2004-2005 DISTRIBUTION


First Nation Econom

ic D

evelo

pm

ent

Socia

l P

rogra

ms

Justice I

nitia

tives

Education &

Education

Facili

ties

Develo

pm

ent

& O

pera

tion

of

Recre

ational F

acili

ties

Senio

r &

Youth

Pro

gra

ms

Cultura

l &

Spiritual

Develo

pm

ent

Develo

pm

ent

&

Main

tenance o

f

Com

munity I

nfr

astr

uctu

re

Health I

nitia

tives

Govern

ance A

ctivitie

s

Tre

aty

Pro

tection

Any O

ther

Charita

ble

Purp

oses

Surp

lus

Tota

l fo

r 2004-0

5

Ahtahkakoop First Nation 87,160 108,153 5,717 76,078 34,501 12,350 134,657 458,616

Beardy’s & Okemasis First Nation 171,012 254,781 39,660 465,453

Big Island Lake Cree Nation 23,710 1,890 1,050 7,240 38,773 56,010 128,672

Big River First Nation 42,500 411,166 453,666

Birch Narrows Dene Nation 46,962 21,744 36,352 111 105,169

Black Lake Denesuline Nation 42,833 39,603 70,129 20,869 23,630 17,047 72,071 450 286,633

Buffalo River First Nation 62,522 89,394 59,265 211,181

Canoe Lake Cree Nation 24,259 126,735 109,470 35,990 296,454

Carry the Kettle First Nation 234,933 43,075 27,886 5,160 59,210 370,264

Chacachas First Nation 1,100 8,900 10,000

Chakastaypaysin Band of the Cree Nation 6,735 765 2,500 10,000

Chief Big Bear Nation 10,000 10,000

Clearwater River Dene Nation 84,622 9,547 35,416 60,000 58,099 247,684

Cote First Nation 31,735 263,791 177,028 472,554

Cowessess First Nation 200,000 213,540 100,000 34,906 548,446

Cumberland House Cree Nation 49,827 54,329 14,393 27,869 14,801 161,219

Day Star First Nation * Option 2

English River First Nation 27,926 49,210 63,684 18,511 44,074 17,013 220,418

Fishing Lake First Nation 26,800 216,000 242,800

Flying Dust First Nation 7,609 109,190 50,299 3,015 170,113

Fond du Lac Denesuline **

Gordon First Nation 35,310 270,145 91,533 2,840 63,308 8,511 471,647

Hatchet Lake Denesuline Nation **

Island Lake (Ministikwan) First Nation 92,168 84,882 20,739 197,789

USE OF FUNDS DISTRIBUTED BY FIRST NATIONS TRUSTThe following table provides a Nation by Nation look at how each Nation expended funds distributed by the First Nations Trust. The table breaks down theexpenditures by the purposes monies may be used for according to Trust requirements. Note: Figures in this table are rounded to the nearest dollar.

* Audited Schedule not in at time of Print** Report not in at at time of Print * Payment held in Trust20 FNT Asimakaniseekan Askiy Reserve

USE OF FUNDS DISTRIBUTED BY FIRST NATIONS TRUST

First Nation Econom

ic D

evelo

pm

ent

Socia

l P

rogra

ms

Justice I

nitia

tives

Education &

Education

Facili

ties

Develo

pm

ent

& O

pera

tion

of

Recre

ational F

acili

ties

Senio

r &

Youth

Pro

gra

ms

Cultura

l &

Spiritual

Develo

pm

ent

Develo

pm

ent

&

Main

tenance o

f

Com

munity I

nfr

astr

uctu

re

Health I

nitia

tives

Govern

ance A

ctivitie

s

Tre

aty

Pro

tection

Any O

ther

Charita

ble

Purp

oses

Surp

lus

Tota

l fo

r 2004-0

5

James Smith Cree Nation * Option 2

Kahkewistahaw First Nation 36,595 6,214 16,351 120,804 15,562 56,518 252,044

Kawacatoose First Nation * Option 2

Keeseekoose First Nation 82,284 31,303 1,563 23,740 194,006 332,896

Key First Nation **

Kinistin Saulteaux Nation 6,231 24,410 145 6,339 24,245 5,488 40,000 370 35,601 142,828

Lac la Ronge Indian Band * Option 2

Little Black Bear First Nation **

Little Pine First Nation 80,450 80,163 78,083 31,613 270,309

Lucky Man Cree Nation **

Makwa Sahgaiehcan First Nation * Option 2

Mistawasis First Nation 69,486 59,934 79,759 41,257 80,989 28,724 360,149

Montreal Lake Cree Nation 8,431 47,568 1,000 56,970 54,098 126,712 66,717 24,609 31,656 38,581 500 77,143 533,985

Moosomin First Nation 2,170 52,070 57,047 2,780 27,249 2,070 58,780 29,267 231,434

Mosquito, Grizzly Bear’s Head & Lean ManFirst Nation

126,677 3,752 8,271 63,281 201,981

Muscowpetung First Nation **

Muskeg Lake Cree Nation 5,000 7,917 40,686 174,202 49,513 277,318

Muskoday First Nation 99,911 103,501 9,583 64,323 277,318

Muskowekwan First Nation 12,500 87,320 71,777 46,308 21,666 239,570

Nekaneet First Nation * Option 2

Ocean Man First Nation

Ochapowace First Nation 22,447 97,635 73,053 26,485 17,713 237,334

Okanese First Nation * Option 2

One Arrow First Nation 54,177 178,474 232,651

Onion Lake First Nation 198,834 151,971 9,504 93,067 125,237 83,226 11,511 673,351

Pasqua First Nation 96,600 26,078 22,321 6,780 21,502 9,750 45,427 49,735 278,192


USE OF FUNDS DISTRIBUTED BY FIRST NATIONS TRUST

First Nation Econom

ic D

evelo

pm

ent

Socia

l P

rogra

ms

Justice I

nitia

tives

Education &

Education

Facili

ties

Develo

pm

ent

& O

pera

tion

of

Recre

ational F

acili

ties

Senio

r &

Youth

Pro

gra

ms

Cultura

l &

Spiritual

Develo

pm

ent

Develo

pm

ent

&

Main

tenance o

f

Com

munity I

nfr

astr

uctu

re

Health I

nitia

tives

Govern

ance A

ctivitie

s

Tre

aty

Pro

tection

Any O

ther

Charita

ble

Purp

oses

Surp

lus

Tota

l fo

r 2004-0

5

Peepeekisis First Nation 124,747 7,911 4,588 35,081 88,424 29,275 25,272 49,649 7,685 372,631

Pelican Lake First Nation 168,204 2,122 550 6,996 65,933 243,805

Peter Ballantyne Cree Nation 59,312 300,000 10,000 80,000 66,451 151,695 12,000 300,000 319,827 1,299,285

Peter Chapman First Nation 3,775 4,275 1,950 10,000

Pheasant Rump Nakota First Nation 8,944 703 6,962 1,500 35,164 880 20,463 2,254 76,870

Piapot First Nation 172,475 2,000 2,650 310 1,896 73,087 75,590 328,008

Poundmaker Cree Nation 9,387 8,993 21,269 13,993 122,550 32,343 25,792 234,329

Red Earth Cree Nation **

Red Pheasant First Nation 15,755 75,656 89,221 855 60,503 23,402 64,324 329,717

Sakimay First Nation 32,000 51,033 6,588 25,000 10,000 52,703 54,447 231,770

Saulteaux First Nation 4,840 32,392 8,255 4,700 22,475 63,050 135,712

Shoal Lake Cree Nation **

Standing Buffalo Dakota Nation 177,611 165 5,303 183,079

Star Blanket Cree Nation 97,908 97,908

Sturgeon Lake First Nation 9,062 32,407 285 21,874 74,059 36,918 195,603 370,208

Sweetgrass First Nation 5,442 120,775 40,634 20,368 86,000 273,219

Thunderchild First Nation 36,804 219,515 945 111,628 368,891

Wahpeton Dakota Nation 67,313 12,279 79,592

Waterhen Lake First Nation 88,156 60,661 123,073 13,327 285,217

White Bear First Nation 230,700 6,828 43,351 13,000 19,440 25,048 18,300 356,666

Whitecap Dakota Sioux Nation 83,273 83,273

Witchekan Lake First Nation 14,600 4,165 1,860 1,016 37,924 31,576 11,603 2,500 105,245

Wood Mountain First Nation 24,731 987 3,926 14,245 257 44,146

Yellow Quill First Nation 407,418 407,418

Young Chipewyan First Nation **

Total 3,243,694 2,464,548 210,897 302,102 2,321,516 2,071,615 979,872 1,811,107 340,434 1,409,841 109,513 534,825 197,162 15,997,128


Financial Statements of

FIRST NATIONS TRUSTPeriod ended March 31, 2005


We have audited the statement of financial position of First Nations Trust as at March 31, 2005 andthe statements of revenue and expenditures and surplus and cash flows for the year then ended.These financial statements are the responsibility of the Trust’s management. Our responsibility is toexpress an opinion on these financial statements based on our audit.

We conducted our audit in accordance with Canadian generally accepted auditing standards. Thosestandards require that we plan and perform an audit to obtain reasonable assurance whether thefinancial statements are free of material misstatement. An audit includes examining, on a test basis,evidence supporting the amounts and disclosures in the financial statements. An audit also includesassessing the accounting principles used and significant estimates made by management, as well asevaluating the overall financial statement presentation.

In our opinion, these financial statements present fairly, in all material respects, the financial positionof the Trust as at March 31, 2005 and the results of its operations and its cash flows for the year thenended in accordance with Canadian generally accepted accounting principles.

AUDITORS’ REPORT TO THE TRUST BENEFICIARIES

KPMG LLP

Chartered Accountants

600 - 128 Fourth Avenue SouthSaskatoon SK S7K 1M8

Telephone (306) 934-6200Fax (306) 934-6233

Internet www.kpmg.ca

Chartered Accountants

Saskatoon, CanadaMay 31, 2005


FIRST NATIONS TRUSTStatement of Financial Position

March 31, 2005, with comparative figures for 2004

Assets

See accompanying notes to financial statements.

Equipment, net of accumulated amortization of $8,200(2004 - $3,372)

6,284 6,744

Current assets:Cash $ 465,047 $ 253,241Accounts receivable 2,568 721

Prepaid expenses 6,865 -

$ 474,480 253,962

$ 480,764 $ 260,706

Liabilities and SurplusCurrent liabilities:

Payables to First Nations (note 3) $ 429,951 $ 231,365Other accounts payable 4,699 2,693

$ 434,650 234,058

$ 480,764 $ 260,706

Surplus:Unrestricted - -Administration 46,114 26,648

2005 2004


FIRST NATIONS TRUSTStatement of Revenue and Expenditures and Surplus

Year ended March 31, 2005, with comparative figures for the period May 26, 2003 to March 31, 2004

Unrestricted Administration2005Total

2004Total

Revenue:Gaming revenue $22,622,792 $ - $22,622,792 $16,182,796

- 5, 214 5, 214 -Interest 6,994 380 7,374 3,583

22,629,786 5,594 22,635,380 16,186,379

Expenditures:Allocations under Framework

Agreement (note 1):First Nations Addictions Rehabilitation Foundation 1,500,000 - 1,500,000 1,500,000FSIN - jurisdictional discussions 250,000 - 250,000 250,000First Nations Treaty Right Protection Fund (note 1) 573,708 - 573,708 -

Fund distributions:Distributions to First Nations 20,086,078 - 20,086,078 14,302,003FSIN - trust administration (note 4) - 9,047

Trust administration (schedule 1) - 206,128 206,128 98,681

22,409,786 206,128 22,615,914 16,159,731

Excess (deficiency) of revenue over expenditures before undernoted 220,000 (200,534) 19,466 26,648

Transfer for administration (220,000) 220,000 - -

Surplus, beginning of period - 26,648 26,648 -

Surplus, end of period $ - $ 46,114 $ 46,114 26,648



FIRST NATIONS TRUSTStatement of Cash Flows


Cash flows from (used in):

Operations:


Excess of revenue over expenditures $ 19,466 $ 26,648Item not involving cash:

Amortization 4,828 3,372Change in non-cash operating working capital:

Accounts receivable (1,847) (721)Prepaid expenses (6,865) -Payables to First Nations 198,586 234,058Other accounts payable 2,006 -

216,174 263,357

InvestingPurchase of equipment (4,368) (10,116)

Increase in cash 211,806 253,241

Cash, beginning of period 253,241 -

Cash, end of period $ 465,047 253,241

2005 2004


FIRST NATIONS TRUSTNotes to Financial Statements

Year ended March 31, 2005

1. General Information:

The First Nations Trust (the "Trust") is a trust created by the Federation of Saskatchewan Indian Nations ("FSIN") pursuant to a Trust Indenture dated May 26,2003. The Trust Indenture was created through negotiations between the FSIN and the Government of Saskatchewan.

The Trust Indenture sets out the purpose for establishing a trust and also sets out the roles and responsibilities of the Board of Trustees.

Article 4.01 of the Trust Indenture establishes the purpose of the Trust as follows:

The purpose of this Trust is to effect the distribution of the monies due to First Nations from, inter alia, the profits from SIGA (Saskatchewan Indian Gaming

Authority, Inc.) casinos and SGC (Saskatchewan Gaming Corporation) casinos.

Essentially, the sole purpose of the Trust is to distribute First Nations' share of profits due to them pursuant to the 1994 Framework Agreement and the 2002Framework Agreement (and amendments) between the FSIN and the Government of Saskatchewan. The Trustees receive First Nations' share of gamingprofits on a quarterly basis directly from the Department of First Nation and Metis Relations of the Government of Saskatchewan. The Trustees meet to reviewand approve payments from the Trust to Saskatchewan First Nations. No payment is issued from the Trust without a motion passed by a quorum of Trustees.The payment is then processed by the manager of the Trust, and only then is the cheque signed by two of three Trustees with signing authority.

The Trust is governed by the terms of the Trust Indenture, and, when necessary, reference may be made to The Trustees Act. The Trustees, at common law,are also held to the high standard of satisfying a fiduciary obligation to the beneficiaries of the Trust. This fiduciary obligation is one of the highest duties knownat law. As such, every decision regarding the Trust must be made in the best interests of the beneficiaries.


FIRST NATIONS TRUSTNotes to Financial Statements (continued)


1. General Information (continued):

The Trustees, in signing the Trust Indenture, have agreed to hold the Trust property in trust and may make payments from the Trust for the following purposesfor First Nations and First Nations people:

• economic development;• social programs;• justice initiatives;• education and education facilities;• the development and operation of recreational facilities;• senior and youth programs;• cultural and spiritual development;• the development and maintenance of community infrastructure;• health initiatives;• governance activities;• treaty protection; and• any other charitable purpose.

The Trustees are also required to administer payments made under part 4 of the 2002 Framework Agreement which provides that the annual net profits of theSIGA casinos shall be distributed as follows:

a) the sum of $1,500,000 shall be allocated to the First Nations Addiction Rehabilitation Foundation ("FNARF"), for funding of FNARF’s activities relating toproblem gambling pursuant to part 8 of the 2002 Framework Agreement. Part 8 states that the FSIN has established FNARF to ensure that effective andaccessible education, prevention and treatment programs about problem gambling are available to First Nations people.

b) the sum of $250,000 shall be allocated to the FSIN, through the First Nations Trust, for funding of the FSIN’s activities pursuant to Part 2 of the 2002Framework Agreement, for each of five years. Part 2 states that the parties agree to work together to develop and present to the Government of Canadaproposals which would allow First Nations full jurisdiction in relation to all forms of gaming on reserves, either through amendments to the Criminal Code ornew federal legislation.

On June 9, 2004, the FSIN Chiefs-in-Assembly passed a resolution directing the Trustees of the Trust to deduct "the amount of $5 per capita per annum to betaken from the First Nations Trust" for the First Nations Treaty Rights Protection Fund (FNTRPF). The Trustees take a percentage of this payment off eachquarterly distribution. In order to protect their legal and fiduciary obligations, the Trustees require that the FSIN maintain a separate bank account to hold anypayments from the Trust and to provide financial accountability reports to the Trustees each fiscal year. This is to ensure that monies are protected for the useof only the FNTRPF for one of the approved purposes outlined in the Trust Indenture.




2. Significant accounting policies:

(a) Use of estimates:

The preparation of financial statements in conformity with Canadian generally accepted accounting principles requires management to make estimatesand assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financialstatements and the reported amount of revenue and expenditures during the reporting period. Actual results could differ from these estimates.

(b) Gaming revenues:

Gaming revenues are recorded when received from the Province of Saskatchewan; General Revenue Fund. Distributions of gaming revenue are madeto the Trust in quarterly installments based on estimates by Saskatchewan Liquor and Gaming Authority of net profits at the SIGA and SGC casinos. Afinal adjustment to the Trust is made by the Province once the SIGA and SGC financial statements have been approved.

(c) Administration

Effective October 1, 2003, the Trust maintained a separate fund for administration costs. An allocation for administration is transferred annually from theTrust on the approval of the Trustees. Any monies that are not utilized remain property of the Trust and are available for distribution.

(d) Payments to First Nations:

Payments to First Nations are made based on guidelines and a formula approved by the FSIN Chiefs-in-Assembly.


Little Black Bear $ 129,776 $ 64,693

Okanese 174,492 72,968

Lucky Man 24,301 -

Red Pheasant - 74,498

Other 101,381 19,206

$ 429,950 $ 231,365



3. Payables to First Nations:

4. Related party transactions:

Related parties to the Trust include the FSIN and First Nations in the Saskatchewan region. The FSIN provided administration services for the period July 1to September 30, 2003.

Occasionally cheques are distributed to Tribal/Grand Councils on behalf of their member First Nations when First Nations have provided the Trustees withproper directions supported by a proper directions supported by a proper Band Council Resolution.

Amounts payable to First Nations are conditional upon the First Nation meeting certain requirements of the Trust.


$ 206,128 $ 98,681

Professional fees $ 77,263 $ 42,967Salaries and benefits 65,661 28,726Office and general 30,168 10,084

Travel 24,156 10,784Amortization of equipment 4,828 3,372Bank charges and other 3,000 1,528Computer support 1,052 1,220

FIRST NATIONS TRUSTSchedule of Administration Expenses


2005 2004


SPECIAL THANKS TO RICHARD POORMAN

The FNT Board of Trustees appreciate the service Richard Poorman provided to the Trust

from May 2003 - June 2004. The Board and staff of the FNT wish him well as he takes up

the position of Councillor again, serving the people of Kawacatoose First Nation.

FNT address: First Nations Trust

Asimakaniseekan Askiy Reserve

117 – 335 Packham Avenue

Saskatoon, Saskatchewan S7N 4S1

Phone (Voicemail): 306 931-4424

Fax: 306 931-4425

e-mail: [email protected]

first nations trust 2004-2005 annual...

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