There are certain key tasks that need to get done in every First Nation. These involve managing the overall day-to-day operations of the First Nation that include specific tasks around finances and reporting.
The FAL requires that these be assigned to specific individuals to make sure that they get done.
Therefore Council must create a policy outlining the duties and roles of the First Nation’s officers which include the senior manager , the senior financial officer and the tax administrator (if the First Nation is collecting local revenues).
The FAL allows for the tasks of the senior manager to be done by more than one person, as long as each person reports directly to Council.
The FAL requires that the senior manager’s role includes the following duties and that these must be written in a policy:
- report directly to Council
- manage and delegate tasks for all officers and employees of the First Nation
- be responsible for the contracts of the First Nation
- identify, judge, track, and report on the risks and fraud risks of financial reporting
- track and report the standards for controlling the risks above, including the cost of using those controls
- perform other tasks as outlined in the First Nation’s FAL and other tasks as given by Council
Council must also create a policy outlining the duties of the senior financial officer.
The FAL allows for the tasks of the senior financial officer to be done by more than one person as long as the senior financial officer remains responsible for making sure that these duties are carried out as required.
The FAL requires that the senior financial officer’s role includes the following duties and these must be written in a policy:
- make sure all aspects of managing money and property are done to standard. This includes the financial accounting systems, policies and procedures, and internal controls
- create and keep up-to-date the chart of accounts of the First Nation
- prepare the First Nation’s plans for money and property management, including budgets, for several years (such as three-year, five-year, and ten-year plans)
- prepare the financial statements of the First Nation
- prepare parts of the reports to the Council that have to do with money and property
- prepare any information regarding the First Nation’s money and property that is needed by the Council or the Finance and Audit Committee.
- make sure that all agreements, including those involving money and property, follow the rules and standards of good financial practice.
- create and watch over the preparation and maintenance of financial records and the financial administration reporting systems.
- make sure all laws, policies , and procedures about the financial administration of the First Nation are being followed.
- review the financial administration systems of the First Nation and suggest ways to make them better.
- create and suggest steps to protect the First Nation’s money and property. This includes making sure that the proper procedures are followed.
- create and suggest ways to identify and control financial reporting risks and fraud risks. This includes making sure that the proper procedures are followed
- report directly to the senior manager or to the Council.
- perform other tasks as outlined in the FAL and those given by Council so long as they do not clash with those in the First Nation’s FAL and the First Nations Fiscal Management Act.