DEREK EPP

Chief

HAYDEN GUILDERSON

Councillor

JENNIFER JANIK

Councillor

ANTHONY MALLOWAY

Councillor

LOREN MUTH

Councillor

TZEACHTEN FIRST NATION FINANCIAL SUMMARY
Fiscal Year 2024-2025 (Ending March 31, 2025)

================================================================================

DISCLAIMER: This financial summary was generated using artificial intelligence
based on publicly available audited financial statements and has been reviewed
by a human analyst. While care has been taken to ensure accuracy, users should
verify critical information against the original audited financial statements
prepared by MNP LLP.

================================================================================

EXECUTIVE SUMMARY

Tzeachten First Nation generated total revenue of $22,089,055, down 18.3% from
the prior year, primarily due to reduced Canada Mortgage and Housing Corporation
funding. The Nation achieved an annual surplus of $6,219,333, down 55.2% from
prior year, while accumulated surplus increased to $74,845,183. Net financial
assets declined to $1,485,114 from $28,230,126, reflecting major capital
investments of $34,593,602 in housing and land acquisitions. Long-term debt
increased to $16,096,143 to finance infrastructure development. Investment
income from business entities remained solid at $1,725,834. The Nation
maintains a 28.2% operating margin and continues to diversify revenue streams
beyond government transfers.

================================================================================

FINANCIAL POSITION

Total Assets: $105,852,550
- Financial Assets: $32,508,545 (includes Cash: $14,650,986)
- Tangible Capital Assets: $73,194,656
- Restricted Cash: $1,256,352

Total Liabilities: $31,023,431
- Long-term Debt: $16,096,143
- Accounts Payable: $2,794,750
- Deferred Revenue: $10,876,186

Net Financial Assets: $1,485,114 (down 94.7% from prior year)
Accumulated Surplus: $74,845,183 (up 9.0% from prior year)

================================================================================

REVENUE & OPERATIONS

Total Revenue: $22,089,055 (down 18.3% from prior year)

Major Revenue Sources:
- Property Taxation: $7,409,738 (33.5%)
- Indigenous Services Canada: $4,334,113 (19.6%)
- Property Transfer Tax: $2,765,243 (12.5%)
- Investment Income from Business Entities: $1,725,834 (7.8%)
- Tzeachten Sales Tax: $1,262,396 (5.7%)
- Interest Income: $761,722 (3.4%)
- Development Cost Charge Equivalents: $519,310 (2.4%)
- Rental Income: $516,999 (2.3%)
- Application and Registry Fees: $516,814 (2.3%)
- CMHC: $477,318 (2.2%)
- Other Sources: $1,799,568 (8.1%)

Total Expenditures: $15,869,722 (up 20.5% from prior year)

Major Program Expenditures:
- Lands Management & Taxation: $4,773,031 (30.1%)
- Governance: $3,955,225 (24.9%)
- Facilities and Programs: $2,982,967 (18.8%)
- Public Works and Housing: $2,578,631 (16.2%)
- Capital Fund: $1,579,868 (10.0%)

Annual Surplus: $6,219,333 (down 55.2% from prior year)
Operating Margin: 28.2%

================================================================================

KEY FINANCIAL METRICS

- Financial Assets to Liabilities Ratio: 1.05:1
- Debt-to-Assets Ratio: 15.2%
- Self-Generated Revenue: 80.4% of total
- Cash Reserves: 11.1 months of operating expenses
- Business Entity Profits: $1,327,087 from investments in 9 entities

================================================================================

CHIEF & COUNCIL REMUNERATION

Name Position Remuneration Expenses Total
------------------------------------------------------------------------------
Derek Epp Chief $119,018 $15,131 $134,149
Loren Muth Councillor $97,501 $5,502 $103,003
Hayden Guilderson Councillor $70,931 $12,186 $83,117
Jennifer Janik Councillor $33,865 $31,584 $65,449
Anthony Malloway Councillor $37,534 $0 $37,534

Total Governance Compensation: $423,252 (1.9% of total revenue)

================================================================================

Source: Audited consolidated financial statements, MNP LLP, July 29, 2025