HISTORIC Revenue Sharing Agreement announced

The BC First Nations Gaming Revenue Sharing Limited Partnership has been formed as part of an historic agreement announced as part of the February 19, 2019 BC provincial budget. The agreement redirects a portion of net provincial gaming revenues to BC First Nation communities.

The agreement was negotiated by the First Nations Gaming Commission under the authority of the First Nations Leadership Council, as mandated through resolutions passed by the BC Assembly of First Nations, the First Nations Summit, and the Union of BC Indian Chiefs.

The new limited partnership will be responsible for receiving, managing, distributing and reporting on the funds that will flow to BC First Nations as a result of the agreement. The Interim BC Revenue Sharing and Financial Agreement was signed on August 2, 2019 and provided for the transfer of the first 2 years of payments (2019/2020 and 2020/2021) to eligible BC First Nations. The Province and the First Nations Gaming Commission worked together to introduce legislative amendments to the Gaming Control Act (Bill 36) which received Royal Assent on October 31, 2019. The long-term revenue sharing agreement will provide for a further 23 years of gaming revenue sharing and was completed and signed on Sept. 16, 2020. This will see the Province share approximately $3 billion in gaming revenue over the next 23 years. This will provide BC First Nations the certainty of a long-term 25-year gaming revenue sharing arrangement.

agreement highlights

• The interim agreement had a 2 year term covering gaming revenue sharing, while the Province and First Nations finalized the work on the 25 year agreement, which was signed on September 16, 2020.

• 7% of net gaming revenues went to BC First Nation communities, estimated at $200 million over the first 2 years of the agreement and approximately $3 billion for the remaining 23 years.

• A limited partnership of BC First Nations has been created to receive, manage, distribute, and report on the funds.

• The limited partnership signed the revenue sharing agreement with British Columbia on September 16, 2020.

• Funds can be invested in one or more of the following 6 categories:

  • Health and wellness

  • Infrastructure, safety, transportation and housing

  • Economic and business development

  • Education, language, culture and training

  • Community development and environmental protection

  • Capacity-building, fiscal management, and governance

• Funds will be distributed to participating BC First Nation communities in accordance with the distribution formula:

  • 50% base funding (divided equally among partnered and eligible BC First Nations)

  • 40% based on registered population

  • 10% for geographically remote communities

• Eligible BC First Nations include:

  • Indian Bands

  • Treaty First Nations

  • Self Governing First Nations Established by Statute