Federal government reimburses Attawapiskat full cost of imposed third-party manager fees

Attawapiskat has been reimbursed for the fees charged by the third party manager that was imposed on the First Nation in December 2011 after the community’s housing crisis made the national spotlight.
Last December, the federal government agreed to transfer $136,132 to Attawapiskat to cover the costs of the third party manager it appointed to handle the First Nation’s finances a month after it declared a state of emergency.
Attawapiskat Chief Theresa Spence opposed the appointment and refused to allow the third party manager, Jacques Marion, into the community, yet the band was still forced to pay an estimated $20,000 per month for his salary.
Spence filed a court injunction shortly after then Aboriginal Affairs and Northern Development of Canada (AANDC) Minister John Duncan told her he would not remove Marion.
In August 2012, a federal judge ruled that the appointment of a third party manager during the housing crisis was “unreasonable in all circumstances.”
Though the reimbursement was not part of the court decision, documents obtained by the Toronto Star included media talking points stressing the reimbursement, called an ex gratia payment.
“The payment is made in the public interest for a cost where the Crown has no obligation of any kind or has no legal liability,” the document states.
The documents also say the amount represents what was held back from the band support funding Attawapiskat received from AANDC to pay for services provided by the third-party manager between Dec. 5, 2011 and Apr. 19, 2012, which is when Attawapiskat returned to its earlier co-management status.