Manitoulin municipalities caught between province and First Nations

 by Michael Erskine

MANITOULIN---The spectre of the abrogation of the 1990 Manitoulin Land Claim Agreement was raised by the United Chiefs and Councils of Manitoulin (UCCM) in an emergency meeting with the Manitoulin Municipal Association (MMA) held at the Ojibwe Cultural Foundation May 7.

Abrogation of the agreement could place a chill on economic development on the Island, threatening jobs and placing the municipalities in an even more difficult financial position than they already are, and the fallout from the issue could lead to serious confrontations over land seizures.

UCCM representative Pat Madahbee, chief of the Ojibwes of Sucker Creek, invoked the Friendship Treaty between the MMA and the UCCM in asking Island municipalities to pressure the Provincial government into fully implementing the agreement.

"We may be forced to revoke the 1990 Manitoulin Land Claim Agreement due to the province's breach of the agreement," said Chief Madahbee. "We do not want to do this!"

The issue has come to a head recently, as the municipalities have issued land seizure notices for non-payment of taxes on lands the First Nations purchased since the agreement was signed.

"This would be the second time we have lost these lands," said Chief Madahbee. "I for one, am not about to stand idly by while that happens."

The 1990 Land Claim Agreement was reached between the NDP government of Bob Rae and the Island First Nations, negotiated against the backdrop of the Oka Crisis, in which the Mohawk First Nation of Kahnawake and Canadian Forces were locked in an armed stand-off for three months. The land claim agreement covered unsold surrendered lands, held in trust by the Crown, for which the First Nations had never received proper payment.

The agreement stemmed from a 1980 claim by the First Nations that some lands had remained unsold, and in which they asked that they be sold, and the funds credited to the First Nations, or that the lands be returned as reserve land.

The 1990 Manitoulin Land Claim Agreement was hailed at the time as a first for provincial-First Nations relations, marking the first bi-lateral agreement between a First Nation and a Canadian province. The agreement passed first, second and third readings in the legislature and was passed to the Lieutenant-Governor, where in the normal course of events it would be signed and passed into law. In the interim, the Harris government was elected and that signature and proclamation never took place.

The reason the agreement was never fully implemented, according to Ontario Native Affairs Secretariat Spokesperson Rosemary Sampson, is that titles to the lands have not been finalized.

"Land claims are very complicated matters, and they take a lot of time," said Ms. Sampson. "The problem the government ran into was that the titles for these lands were not properly described, there were a lot of inaccuracies in the boundaries. Just imagine the complications which can arise when you go to buy a property and the neighbour disputes where the boundary lies. Then imagine there are seven or more groups involved in the process, it becomes very, very complicated, very fast."

Ms. Sampson pointed out that the province had transferred $7.275 million to the First Nations, even though the agreement was not yet passed into law, and had promised to transfer some lands to Canada (title to the lands must first be transferred to the federal government, before they can be annexed to a reserve) for the purpose of setting apart those lands as reserve.

The province also promised to transfer some lands to trusts established to the First Nations, in those cases where Canada would not set apart the lands as reserve (regulations are in place to prevent a 'checkerboard' reserve, one in which the reserve lands are interspersed with non-reserve lands).

In the terms of the agreement, the First Nations could purchase lands to be added to reserves in the future, if the lands met with Canadian government rules for addition to the reserve lands.

Ms. Sampson laid part of the blame for the stalling of the agreement on the First Nations themselves, saying they have refused to move on the land titles issues until the agreement is in force, which she claims cannot happen until the title issues are settled.

Now the matter is even more complicated, because the agreement would force an amendment to the 1997 Assessment Act as well.

Even more difficult, noted Ms. Sampson, is that the agreement does not specifically say anything about taxation of the land.

"This issue was a deal breaker," said Chief Madahbee. "Of course it was part of the agreement, I should know, I was there."

A copy of the 1990 agreement faxed to the Expositor by the UCCM did not include any mention of the 25-year tax exemption, but a page from a subsequent document faxed by Chief Glen Hare of the M'Chigeeng First Nation, under article 6 (v) does deal with the issue. The incomplete nature of the second document makes it difficult to ascertain if it was a part of the 1990 Manitoulin Land Claim Agreement or a concurrent agreement negotiated between the First Nations and the federal government.

Where this all comes home to roost on the Island municipal leaders, and taxpayers, lies in the fact that because the 1990 Manitoulin Land Claim Agreement did not become law, and because the titles to the lands have not been defined, and because the provincial government passed legislation changing the Assessment Act, without adding an exception for the transfer of the lands purchased by the First Nations, Island municipalities are in the position of having to collect the taxes, or seize the land. It is a very complicated and serious matter indeed, as the Chiefs made it quite clear they would not put up with any seizure of the lands in question.

Although the UCCM presented a strong argument to the MMA for the municipalities to not move forward with the land seizures, based in large part on the billions of dollars which flow from the First Nations into Island businesses and communities, and portraying the issue as one of mutual benefit, the municipalities are caught in a vicious financial Catch-22 over the issue.

"We only control about 30 per cent of the tax bill," pointed out Central Manitoulin Clerk Mark Read. "The other 70 per cent is made up of DSSAB and education tax levies, which we have no control over."

In short, not only would the municipalities have to not collect the outstanding taxes, with no remuneration or 'in-kind' payments forthcoming from the province, but they would also have to pay the 70 per cent which they have no authority to waive themselves. This cost comes at a time when provincial downloading and new responsibilities for municipalities already have them raiding their reserves in a totally un-sustainable manner.

"We, in Central Manitoulin have had to move $128,000 from reserves, simply to continue to meet operational costs," said Mr. Read. "We are carrying those costs on our taxes at 20 to 30 per cent, we just can't continue like that."

The amounts involved in the land tax issue may pale when placed against the significant contribution which First Nations make to the overall Island economy, and indeed are but a small portion of the shortfall amount which the municipalities face, but the municipalities are already strained to the breaking point by costs over which they have no control, leading to an untenable deterioration of services over which they do exercise control.

Chief Madahbee was adamant that the UCCM did not wish to place the municipalities in this difficult position, and that they had no desire to place a chill on economic development.

"We all want and need economic development," said Chief Madahbee, "this isn't something we just thought up yesterday. We need your help to pressure the government into moving on this issue."

The issue is fairly significant for the small Sheshegwaning Band, which used its money from the 1990 Manitoulin Land Claim Agreement to purchase 1,500 acres of land for economic development, a development which is endangered by the taxation issue.

"We wound up purchasing much more land than we had originally wanted, but the land was a package deal," said Sheshegwaning Chief Albert Cada. "It has great potential for economic growth, so we made plans for a resort to provide jobs for the people in the community. Now, with all of this happening, the need for an environmental assessment before the land can be moved into reserve lands and the agreement itself in question, we may have to scrap the plans. It doesn't look good."

The issue becomes even more complex for the Township of Assiginack, whose neighbour the Wikwemikong Unceded Reserve was included in the negotiations leading up to the 1990 Manitoulin Land Claim Agreement, but which never signed the final document. The province placed the funds for the South Bay First Nation (which was amalgamated into Wikwemikong) in a trust, in the event that First Nation would eventually sign the document.

The general tone of the meeting was one of mutual understanding and agreement.

"We can't speak for the MMA ourselves," said MMA Chair Hugh Moggy, Reeve of the Township of Assiginack, "but we will take this back and discuss what we can do with our members."

The timing of the issue was difficult, notices of land seizure have been issued for May 30, and the next meeting of the MMA was not supposed to take place until June 30.

"I will call around and see if I can arrange an emergency meeting before that," said Mr. Moggy.

"This is something which is not of our doing, not of your doing," said Chief Madahbee. "But we have to put a stop to the deadlines until we can get this matter resolved with the province."

According to Ms Sampson, spokesperson for the Ontario Native Affairs Secretariat, the negotiations between the First Nations are currently at a standstill, although the Ontario Native Affairs Secretariat recognizes the issue of taxation, and recognizes there are legitimate issues involved and have lawyers currently looking at ways to deal with those issues, still matters appear to be at an impasse.

"Please realize though, surveys are being conducted by both Ontario and Canada," said Ms. Sampson. "Some things are still moving forward, but these things can take a very long time."

The current situation appears to be a tense game of chicken between the First Nations and the province, with Manitoulin's economic future and its relatively harmonious and peaceful relations between Native and non-Native communities as the only leverage the UCCM feels it has. Should the municipalities not buy time for the province and the First Nations with very scarce local tax dollars, the war of nerves could quickly become very serious indeed.

 CDC consultant releases preliminary report

NORTHEASTERN MANITOULIN AND THE ISLANDS - The Town of Northeastern Manitoulin and the Islands possess an extremely high competitive advantage in the fishing and trapping industry.

This is one of the revelations of the preliminary report of Matthew Fischer, the consultant hired by the Northeastern Manitoulin and the Islands Community Development Corporation (CDC), which was unveiled before representatives of the business community at a series of round-table discussions held at the Little Current - Howland Recreation Centre on May 6. The report was compiled by Matthew Fischer & Associates Incorporated, and examines the economy of the town in contrast to the economy of Manitoulin. It examines trends utilizing the data from the 1991 and 1996 censuses.

Mr. Fischer explained his research discovered while the fishing and trapping industry only employ two percent of the population on Manitoulin, and less than one percent of the population of NEMI, the competitive advantage the industry enjoys is "off the scale." Both fishing and agriculture combined employ 8.9 percent of the workforce on Manitoulin, but while agriculture is experiencing a decline in relative importance on the Island, fishing has seen a strong increase. Between 1991 and 1996, 80 net new jobs were created on the Island in the fishing industry. Mr. Fischer pointed out because the report was put together using figures from 1996, it does not account for the aquaculture upswing which took place in the area after 1996.

The report also revealed that while the Accommodations and Food Sector industry experienced a decline between 1991 and 1996, NEMI posted an 18 percent increase. Nearly 10 percent of workers on the Island are employed by this industry.

"In NEMI, it is classified as a 'Driving' industry, with the strongest growth potential of any sector in the analysis. Across the Island, the sector's economic performance is rated much lower," the report states. "Being the gateway to Manitoulin (for both marine traffic and land routes) NEMI, especially the commercial district of Little Current, has a unique opportunity to intercept most visitors to the Island."

"Tourism is the most promising industry for NEMI and your economic development," Mr. Fischer suggested. Yet the report notes that in order for tourism to have a value to the community, visitors have to spend money.

"It's not enough to attract visitors to the area. You have to convince them to shop in local stores, stay in commercial accommodations, and eat in local restaurants," the report states.

Another highly ranked sector is the Transport and Warehousing industry, the report noted. Mr. Fischer noted one company is responsible for it being such a factor: Manitoulin Transport.

"One of the first axioms of economic development is that 90 percent of the community's growth will be as a result of the expansion of its existing businesses. Manitoulin Transport is proof of this axiom," the report states. In fact, the company is credited by both Industry Canada and the Industrial Technology Association of Canada (ITAC) for stimulating the development of 'E' commerce infrastructure which the Island has benefited from.

The report suggests the CDC should develop a relationship with the company to learn as much as possible about the industry in order to help it grow.

The Health and Social Services industry is the largest employer both in NEMI and on the Island. While it is much less of a factor in NEMI than it is elsewhere on the Island, it does account for 240 jobs in the community. However, the delivery of health and social services is controlled by provincial policy, the report notes, and is not particularly responsive to local initiatives. Even so, with the growth of an older population, particularly with retirees moving to the Island, there will be a growing demand for these services.

One area the report suggests should be looked at is the Business Services industry.

"It also appears that most businesses in NEMI and the Manitoulin district are forced to travel outside the region (likely to Espanola and Sudbury) to access Business Services such as office supplies, legal and accounting services, printing and copying, advertising and graphic design. This bears closer examination as a potential development opportunity," the report states.

The report does raise concern with the swing bridge.

"The swing bridge is a significant bottleneck to vehicular traffic. The approaches in both directions are excellent paved roads, recently upgraded and resurfaced and capable of carrying a substantial volume of traffic," the report notes. "The bridge, however, is a single lane, wooden deck, which alternately serves east and west bound traffic controlled by traffic lights. During the shipping season, the bridge opens for marine traffic 15 minutes each hour."

The report also included a breakdown of statistics as to where people work. More than a quarter (26 percent) of the Island's workforce work at home, while another 28 percent work in the communities of Little Current or Gore Bay. A total of eight percent of the Island workforce are employed off-Island, with only 60 people traveling each day to Espanola.

Central Manitoulin committee delays potential spraying of wood preservative at boardwalk

PROVIDENCE BAY - Central Manitoulin's Projects, Property and Recreation Committee has recommended council hold off on spraying wood preservative on the Providence Bay boardwalk for a year.

The recommendation, which was made at the committee's meeting of Thursday, May 9, came following a presentation from a delegation of citizens concerned with the spraying of the wood preservative. The recommendation also suggested further research be conducted on wood preservatives and pressure treated lumber. Dr. Maurianne Reade, a resident of Providence Bay, was a member of the delegation. She is a member of the Canadian Association of Physicians for the Environment. She said she is concerned about the safety of children, tourists and pets who may be exposed to the chemicals.

"In Europe, they have already banned the use of pressure treated lumber," Dr. Reade pointed out. She further noted, in many places in the United States, there has been a voluntary withdrawal from the use of pressure treated lumber, and they are examining ways to dispose of it because of the risks associated with burning the wood.

As the spraying of the boardwalk is outdoors, it only adds to the hazard of spraying the chemical because it is not being conducted in an enclosed space. Dr. Reade admitted while she did not live in the community the last time the boardwalk was sprayed, she has heard the smell persisted for two weeks.

Dr. Reade has good reason to be concerned, suggested Helke Ferrie, a medical science writer and seasonal resident of Sheguiandah, who works in the field of environmental medicine.

The wood preservative which the municipality sprays on the boardwalk goes by the product name Copper II. It is composed of a petroleum distillate, a generic term used to describe mixtures of hydrocarbons derived by distilling crude oil, and copper naphthenate, a copper compound used as a wood preservative. Copper II is classified as a pesticide.

"Copper is absolutely lethal to the aquatic life," Ms. Ferrie explained. Copper which leaches into the water table will begin to kill off the aquatic life. It accumulates in soil and concentrates in marine and fresh water organisms. Given time to recover, the aquatic life will return within three to six months, but scientists do not yet know how many times an eco-system will bounce back after this type of repeated exposure.

"Because it comes back, we do not necessarily see the cause and effect (of the chemicals)," she said.

While copper can be dangerous to aquatic life, it can also pose problems for human and animal life. While human and animals do need some copper in their systems to live, too much copper can be a bad thing.

"Copper is a neurotoxin," suggested Deborah Barrie, who has spearheaded political action on wood preservatives in Canada. "I would say copper is a problem, particularly if you spray it. Breathing in copper is dangerous for your lungs."

Ms. Ferrie noted scientists have most recently determined pesticides to be the cause of Parkinson's disease. She noted Michael J. Fox, the famous actor who has contracted the disease, has his home in the Okanagan Valley, where pesticides have been stockpiled to protect the cranberry crop.

Also of concern is the wood preservative used to preserve pressure treated lumber, which was what the boardwalk was constructed from approximately 15 years ago, Ms. Ferrie stated. The preservative used in pressure treated lumber is known as CCA, so named for its three main ingredients: chromium, copper and arsenic. Movie buffs might also note this is the same chemical composition which raised concerns in the Julia Roberts' film, 'Erin Brockovich.' Ms. Ferrie pointed out that film was based on a true story.

The reason CCA is used is because the arsenic helps to kill the insects which contribute to rot. Still, even when the chemicals are in the wood, they can have a profound effect on anything they came in contact with.

"Arsenic is probably the most dangerous neuro-toxin available," Ms. Ferrie indicated. Scientists at the University of Florida's toxicology department, one of the foremost in the world in this field, have discovered the chemical structure of CCA continues to change even once it is in the wood, becoming even more toxic.

The most common way for it to enter the body is through contact with skin. Except with the most advanced technology available, the toxin is virtually untraceable three days after initial contact, during which time it works its way into the cells of whatever person or animal it comes into contact with. Animals become more aggressive when exposed to arsenic, and it can also act as the trigger for heart attacks and other life-threatening reactions.

"All of these toxins act slowly," she indicated.

As well, with rain water, CCA also can leach its way into sand. The most vulnerable groups are pregnant women, young children and the elderly.

While a pregnant woman herself is in little immediate danger, because her liver can help to filter the toxins in her system, the fetus has no such defense. One of the major causes of Attention Deficit Hyperactive Disorder (ADHD), Ms. Ferrie explained, is exposure to arsenic during the first trimester of a pregnancy.

"This is the main problem we have discovered about (this preservative)," she said.

CCA damages the pathways which allow the body to generate essential fatty acids, she explained, and depending on a person's genetic make-up, it can cause all sorts of neurological problems, including Parkinson's and cancer. The elder and young children are particularly at risk because of their weakened or not-yet-fully-developed immune systems.

The reason pressure treated lumber is still being used is because, while many of the major lumber providers have agreed to stop selling this product, it can not easily be disposed of, Ms. Ferrie said. Burning the lumber simply releases the chemicals into the air, she noted. As a result, pressure treated lumber is being phased out, instead of being banned outright.

"The problem at the bottom of the issue is money," she stated.

"Why would Providence Bay, a beautiful tourist attraction, want to destroy what it has?" Ms. Ferrie questionned. She noted there are already alternatives available, such as polyeurathanes, which could be used to preserve the wood.

Ms. Ferrie added while Europe took action in the mid 1980s, banning pressure treated wood "cold turkey," action is only now starting to be taken in North America. She noted former US President Bill Clinton began an effort to do something about the arsenic in the American water table, and when current President George W. Bush came to power, he tried to discontinue the Clinton program. He was "clobbered" by members of his own party who felt political pressure to recognize the need for action, Ms. Ferrie suggested. In the case of the true story from which 'Erin Brockovich' had been derived, there was already precedent set for legal action.

While the situation is only now becoming apparent in Canada, Ms. Ferrie said Canadians will begin to see the issue rise to the forefront of public conscience in the coming months. Two of Canada's foremost cottage magazines will be running articles on the dangers of pressure treated lumber, the CBC has already aired a program on it, and even Chatelaine magazine will feature an interview in an upcoming issue with Ms. Barrie, who has been at the forefront of the debate over CCA in Canada. Ms. Ferrie added she would be more than willing to make a presentation to council in the future on the dangers of CCA.

Central Manitoulin Councillor Sarah Bowerman, chair of the Projects, Parks and Recreation Committee, said while she recognized the residents were concerned about the possibility of the boardwalk being sprayed this year, it was unlikely council would have done so anyway. She noted there has been a recommendation from township staff that there might not be the money to do it, and council had yet to pass its budget. The suggestion was made by the Development Improvement Commission (DIC) in Providence Bay to look at possibly spraying the boardwalk this year, and council had said it would look at the possibility, but it was not considered to be an immediate priority.

"There was no immediate pressure to do it this year," Ms. Bowerman stated. She noted when a delegation of citizens approached the committee with health-related concerns, particularly a delegation which included two of the community's doctors, the committee listened. She said they did discuss other potential ways of dealing with necessary repairs for this year, such as replacing damaged boards with cedar.

Ms. Bowerman indicated she is aware there is concerned being raised globally with the use of pressure treated lumber, but pointed out that when the boardwalk was first built 15 years ago, it was unlikely anyone on the council of the day was aware of these concerns.

"When the boardwalk was built, nobody would have had an inkling it was going to be a danger," Dr. Reade concurred. She added it was good on the part of the committee to reconsider the municipality's position in light of expanded information.

"We are pleased with the action they chose to take," Dr. Reade stated.