Indigenous Services Canada received a critical evaluation from the federal auditor general, Karen Hogan. The report, made public on Tuesday, highlighted the department’s inadequate implementation of six previous audits conducted between 2015 and 2022. This failure has resulted in enduring challenges for First Nations in accessing essential services such as health and dental care, clean drinking water, and emergency assistance.
Despite a nearly doubled expenditure on Indigenous services in the past five years, Hogan expressed concern over the lack of substantial improvements. During her testimony at the House of Commons standing committee on public accounts, she emphasized the necessity for Indigenous Services Canada to revamp its program delivery approach in collaboration with First Nations to enhance their capabilities and address ongoing issues.
The creation of Indigenous Services Canada in 2017, following the division of the Indigenous and Northern Affairs Department, aimed to better serve Indigenous communities. Ontario Regional Chief Abram Benedict, representing 133 First Nations in the province, lamented the findings of the audit, stating that persistent access and resource challenges continue to hinder many communities from receiving basic necessities and rights taken for granted by others.
The audit revealed a significant increase in spending on Indigenous programs, growing by approximately 84% from 2019-20 to 2023-24, reaching $24 billion. Despite this surge in funding, the department failed to implement over half of the auditor general’s recommendations. Hogan criticized the lack of sustained managerial attention, unclear service level expectations, failure to empower First Nations in program delivery, and a fragmented approach to community support.
Key findings from the audit included ongoing struggles in accessing healthcare, gaps in oral health program evaluation, improved data on socio-economic disparities and education, persistent issues with safe drinking water access, and critical deficiencies in emergency management readiness.
In response to the report’s shortcomings, Indigenous Services Minister Mandy Gull-Masty reframed the findings as an opportunity for innovation and collaboration with Indigenous partners. While acknowledging historical funding disparities for First Nations, she emphasized the department’s commitment to working closely with communities to set clearer and faster targets for progress.
Benedict recognized the government’s response as conventional but agreed that the report underscores the need for Canada to empower First Nations in decision-making processes, acknowledging their inherent right to self-governance and jurisdiction over their affairs.

