Overview of the Daanaa Jili (Cache) Trust
The Trust is separate and independent from the C/TFN. It was established to hold and manage the financial compensation assets of the C/TFN on behalf of the C/TFN. Section 2 of the Dáanaa Jíli (Cache) Act sets out the purpose of the Trust:
This Act authorizes the Carcross/Tagish First Nation to establish a trust and establishes rules and guidelines respecting the administration of the trust to ensure that the management of the trust is fully accountable to the Carcross/Tagish First Nation, realizes the goals of serving current and future generations and is effective and transparent.
The Dáanaa Jíli (Cache) Act directs the C/TFN to contribute the annual financial compensation payments made pursuant to “Chapter 19 – Financial Compensation” of the C/TFN Final Agreement to the Trust. This means that the financial compensation assets cannot be spent by the C/TFN and they are not managed by the C/TFN.
Those assets must be transferred to the Trust where the trustees will manage them. In accordance with the deed of settlement, the trustees have the authority to distribute or transfer portions of the trust property from the Trust to the C/TFN.
There are several benefits for the C/TFN’s financial compensation assets to be contributed to the Trust and managed by the trustees.
-The Trust provides with respect to the management and administration of the trust property. The trustees have specific legal duties to manage the trust property in a transparent and accountable manner in accordance with the Dáanaa Jíli (Cache) Act.
-As trustees, C/TFN citizens are involved in the management of the trust property and the administration of the Trust. This ensures that there is in the management of the financial compensation provided under the C/TFN Final Agreement.
-Since the Trust is separate and independent from the C/TFN, the trustees manage the trust property .
-The financial compensation assets are of the C/TFN and its economic development corporations.
-There are for the earnings and income generated by the financial compensation assets placed in the Trust.
-In the future, the C/TFN may assign certain funds, such as monies payable to the C/TFN under an impact benefit agreement, to the Trust in order to the annual funding provided to the C/TFN under its financial transfer agreement.
The Trust has checks and balances in place to ensure that the trust property is managed in accordance with the objectives of the Dáanaa Jíli (Cache) Act to: ensure long-term growth and remain within acceptable levels of risk; provide for the needs of both current and future generations; and produce stable and consistent income for the current generation. These checks and balances include:
-limitations and restrictions on the distribution and use of trust property as set out in the deed of settlement;
-due diligence undertaken by the trustees, such as the review of quarterly reports provided by the investment manager;
-guidance and direction provided by the investment policy;
-oversight provided by the Watchman;
-reporting by the trustees and Watchman to the C/TFN and C/TFN citizens;
-reporting provided by the custodian; and
-annual financial audits.
Daryn R. Leas
Barrister + Solicitor