A woman and child walk down a street in the northern Ontario First Nations reserve in Attawapiskat, Ont., on Monday, April 16, 2016. THE CANADIAN PRESS/Nathan Denette

Jordan’s Principle compensation may cost Canada $15 billion

Government must compensate First Nations children and families who had been denied service

The parliamentary budget office says it could cost the federal government up to $15 billion to compensate First Nations families and children impacted by the child welfare system, as well as denials or delays of essential services.

The figure updates the budget office’s initial estimate to include thousands more children, parents and grandparents who would qualify for the $40,000 payments under recent developments in the case.

Jordan’s Principle requires governments to cover the cost of services for First Nations children, and work out any disputes over jurisdiction afterwards.

The Canadian Human Rights Tribunal has ordered the government to compensate children and families who had been denied service, or faced delays.

RELATED: Feds’ challenge of ruling on First Nations children ‘a slap in the face’: AFN

RELATED: Indigenous children still being treated unequally by provinces: advocate

The updated report adds roughly 100,000 more First Nations children, along with their parents and grandparents, whose compensation would alone be about $10 billion.

The new estimate of about $15 billion includes the 13,000 children originally expected to be eligible for compensation, mostly related to delayed approval of claims, as well as those taken into care unnecessarily, and their families.

The tribunal ordered the government in September 2019 to pay $40,000 to every First Nations child who since 2006 was inappropriately removed from their home, and pay the same amount to their parents or caregiver.

The same amount, which is the maximum the tribunal can award, was also ordered for children who faced denials or delays of basic services like medical care.

At the time, the Assembly of First Nations estimated that 54,000 children and their parents could receive compensation, for a bill of at least $2 billion.

Budget officer Yves Giroux’s report pegs those figures far higher, but warns of estimates are uncertain because of data limitations.

In November, a tribunal ruling expanded the scope of its order to allow First Nations to decide whether a particular child is entitled to federally funded services, not just the federal government under the Indian Act.

Ottawa announced before Christmas it would seek a judicial review of the decision.

The recent developments flow back to a 2016 ruling from the tribunal that found the federal government at fault for not providing funding on-reserve for child welfare services equal to provincial payments for those living in urban and rural settings.

The government subsequently broadened its definition of Jordan’s Principle, named for Jordan River Anderson, a boy Norway House Cree Nation in Manitoba. He spent five years of life in hospital while the Manitoba and federal government argued over which level of government needed to pay for his care in a special home.

The PBO report notes that more than 594,000 claims under Jordan’s Principle were approved between July 2016 and April 2020.

Crunching the numbers, the budget office said that amounts to one claim per person for each of the approximately 375,000 First Nations children living on- and off-reserve, as well as those who became adults over that almost four-year period.

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

The University of the Fraser Valley Peace and Reconciliation Centre
UFV students hold online forum on peace and reconciliation

Two online sessions on Feb. 25 include student research

A new Fraser Valley food hub in Abbotsford will include shared kitchen space that can be accessed by small and medium-sized businesses. (Stock photo by Robyn Wright from Pixabay)
Almost $2M to support new Fraser Valley food hub in Abbotsford

Project being developed by District of Mission and Mission Community Skills Centre

The Hope Fire Department is sending a team up Hope Lookout in lieu of the traditional Climb the Wall event. The climb up the Lookout Trail is postponed until mid-March due to heavy snowfall. (Photo/Hope Fire Department)
HFD’s Climb the Wall event postponed due to heavy snow

This year’s climb now takes place on March 14 at the Hope Lookout Trail

Classroom chairs (Pixabay photo)
SD78 expecting fewer students in schools over next three years

The school district shared its projected enrolment numbers at the board meeting on Feb. 16

Nietzsche, the ginger cat who worked at The Book Man, poses for a photo on Sept. 7, 2017. He died on Monday, Feb. 22, 2021. (Jenna Hauck/ Chilliwack Progress file)
Famous Chilliwack bookstore cat, Nietzsche, dies

‘Every single thing you could want in a cat, Nietzsche embodied,’ says Amber Price

Dr. Bonnie Henry talk about the next steps in B.C.'s COVID-19 Immunization Plan during a press conference at Legislature in Victoria, B.C., on Friday, January 22, 2021. THE CANADIAN PRESS/Chad Hipolito
456 new COVID-19 cases in B.C., 2 deaths

Since January 2020, 78,278 have tested positive for the novel coronavirus in B.C.

A health-care worker prepares a dose of the Pfizer-BioNTech COVID-19 vaccine at a UHN COVID-19 vaccine clinic in Toronto on Thursday, January 7, 2021. (THE CANADIAN PRESS/Nathan Denette)
Vaccinating essential workers before seniors in B.C. could save lives: experts

A new study says the switch could also save up to $230 million in provincial health-care costs

The late Michael Gregory, 57, is accused of sexually exploiting six junior high students between 1999 and 2005. (Pixabay)
Former Alberta teacher accused of sexually assaulting students found dead in B.C.

Mounties say Michael Gregory’s death has been deemed ‘non-suspicious’

A woman boards a transit bus through rear doors, in Vancouver, on Friday, March 20, 2020. THE CANADIAN PRESS/Darryl Dyck
TransLink slow to reveal crucial details about ransomware attack, says union

Union says company took months to admit what info was stolen, including SIN and bank account details

According to a new poll, a majority of Canadians want to see illicit drugs decriminalized. (THE ASSOCIATED PRESS)
Majority of Canadians think it’s high time to decriminalize illicit drugs: poll

More than two-times the B.C. residents know someone who died from an overdose compared to rest of Canada

Photograph By @KAYLAXANDERSON
VIDEO: Lynx grabs lunch in Kamloops

A lynx surprises a group of ducks and picks one off for lunch

(Black Press Media file photo)
B.C. residents can reserve provincial camp sites starting March 8

B.C. residents get priority access to camping reservations in province

Travis Selje with Rex, the family dog he got to enjoy for the final six months of his life. (Submitted photo)
Defence says evidence ‘compelling, overwhelming’ to acquit Surrey woman in deadly crash

Epileptic seizure caused fatal crash that killed Travis Selje, lawyer argues in final submissions

Most Read