CRITICAL ISSUE 10:
Revenue Streams and Models
BAs can cover a wide range of issues and benefits can be accrued in monetary and non-monetary terms. However, these terms are not always legislated, and the actual terms are determined on a case-by-case basis. This brief covers both the transfer of funds and the governance of funds and expenditures at the community level. Choosing how to structure financial benefits is one of the most significant strategic choices a community will have to consider in the course of BA negotiations.
As voluntary revenue-sharing systems can be complicated and uncertain, BAs provide an opportunity for all stakeholders to be involved in the establishment of clear and transparent mechanisms for managing and regulating the allocation of funds (Sarkar et al., 2010). These mechanisms can add much needed clarity to the allocation and management of funds over the long term, improving accuracy, transparency, and the sustainability of development activities (Sarkar et al., 2010).
Success may rely on strategically planning and implementing expenditures around certain development areas to maximize community benefits. Ideally, BA budgeting and expenditure management should be linked with existing local and regional development plans and defined early in the process (Sarkar et al., 2010).
Ultimately, financial benefits provided to communities should be predictable, stable, comprehensible, and sufficiently adapted to the project and the community. Additionally, they should be founded on recognition of and respect for the community’s aspirations (Loutit, Mandlebaum and Szoke-Burke, 2016, 82). Non-financial benefit sharing encompasses a wider spectrum of benefits, including employment, training, business development, and infrastructure and/or support services.
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AEM – Agnico Eagle Mines Limited
ASDF – Ahafo Sustainable Development Forum
AWBEN – Aboriginal Women’s Business Entrepreneurship Network
BA – Benefit Agreement BC British Columbia
BCFNDGI – BC First Nations Data Governance Initiative
BMZ German Federal Ministry for Economic Cooperation and Development
BNL – Barrick Niugini Limited
BSA – Benefit Sharing Agreement
CBA – Community Benefit Agreement
CDA – Community Development Agreement
CIRNAC – Crown-Indigenous Relations and Northern Affairs Canada
DIO – Designated Inuit Organizations
EIA – Environmental Impact Assessment
EMB – Environmental Management Board
EWB-MSV – Engineers Without Borders Canada - Mining Shared Value Initiative
FNFTA – First Nations Financial Transparency Act
FNLNGA – First Nations Liquefied Natural Gas Alliance
FNNBOA – First Nations National Building Officer’s Association
FPIC – Free, Prior and Informed Consent
GIZ – German Development Agency
HIA – Health Impact Assessment
IA – Impact Assessment
IBA – Impact Benefit Agreement
ICMM – International Council on Mining and Metals
IFC – International Finance Corporation
IFI – International Financial Institution
IIBA – Innuit Impact Benefit Agreement
INAC – Indigenous and Northern Affairs Canada
IOL – Inuit-Owned Lands
ISC – Indigenous Services Canada
KitIA – Kitikmeot Inuit Association
KivIA – Kivalliq Inuit Association
KLC – Kimberley Land Council
LIA – Labrador Innuit Association
LLG – Local Level Government
LNG – Liquefied Natural Gas
M&E – Monitoring and Evaluation
NADeF – Newmont Ahafo Development Foundation
NLC – Northern Land Council
NLCA – Nunavut Land Claims Agreement
NTI – Nunavut Tunngavik Incorporated
OSR – Own-Source Revenue
PJV – Porgera Joint Venture
PSAB – Procurement Strategy for Aboriginal Business
QIA – Qikiqtani Inuit Association
SEMC – Socio-Economic Monitoring Committee
SML – Special Mining Lease
TCS – Tax Credit Scheme
UNDRIP – United Nations Declaration on the Rights of Indigenous Peoples
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