Question 1

What happens if I owe money to MFN?

Accepted Answer

If a business or business owner has outstanding amounts owing to MFN and is not compliant with an approved repayment agreement, they will not receive a Tobacco Quota allocation for that distribution period or subsequent distribution period.

Question 2

What is the tobacco quota?

Accepted Answer

The tobacco quota is the amount of tobacco that eligible tobacco retailers on Mississauga First Nation are permitted to receive under MFN’s tobacco quota system.MFN uses a quota system to manage the total amount of tobacco available to participating retailers and to ensure that the available quota is distributed fairly among eligible businesses. The quota is distributed throughout the year according to the schedule established by MFN.The Tobacco Quota Allocation Policy establishes some the eligibility requirements and process for distributing the available quota among eligible retailers.

Question 3

What is the tobacco quota and why is it required?

Accepted Answer

The tobacco quota is the amount of tobacco allocated by Mississauga First Nation to eligible tobacco retailers on the First Nation.The quota system is part of the process used to manage the supply of tobacco available to MFN retailers. MFN approval of a retailer's tobacco quota is required before the retailer's allocation can be provided to the Ministry of Revenue. The Ministry of Revenue uses the quota information to track tobacco quota usage and the retailer's authorized allocation.This process allows eligible retailers to purchase and sell legitimate tobacco products through the authorized tobacco supply system. MFN therefore has a role in determining which businesses are eligible to receive an allocation, while the Ministry of Revenue has a role in administering and tracking the tobacco quota.The Tobacco Quota Allocation Policy establishes the eligibility requirements, distribution schedule and reporting process to ensure that the available quota is distributed fairly among eligible retailers.

Question 4

What is MFN's role in the tobacco quota process?

Accepted Answer

Mississauga First Nation determines which businesses are eligible to receive a tobacco quota allocation and approves the allocation through the Director of Operations.Before each distribution, MFN verifies the financial standing of eligible businesses. The Lands and Resources Department provides the list of businesses and their financial standing, while the Ministry of Revenue provides tobacco quota usage information.

Question 5

What is the Ministry of Revenue's role?

Accepted Answer

The Ministry of Revenue is responsible for providing MFN with tobacco quota usage information before each distribution. This information forms part of the quota administration process and helps MFN determine the available quota for distribution.

Question 6

Who can apply for a tobacco quota?

Accepted Answer

A Band Member may apply for a Tobacco Quota allocation.New applicants must:Complete and submit a Tobacco Quota Application Form; andBe established and open for business in accordance with the Mississauga First Nation Business Licensing Law.Applicants must also be in good financial standing with Mississauga First Nation.

Question 7

What does “good financial standing” mean?

Accepted Answer

For the purposes of the Tobacco Quota Allocation Policy, good financial standing means either:All outstanding fees, licensing fees, rent, service charges, levies, or other amounts owing to MFN have been paid in full; orThe business and/or business owner has entered into a written repayment agreement approved by MFN and is complying with the terms of that agreement.

Question 8

Do I need to be open and operating my business to apply?

Accepted Answer

Yes. New applicants must be established and open for business in accordance with the MFN Business Licensing Law.The application form also asks applicants to confirm whether their business is currently open and operating.

Question 9

How do I apply?

Accepted Answer

Applicants must complete the Tobacco Quota Application Form.The application asks for:Applicant information;Business information;Tobacco retail information; andA declaration confirming the applicant's financial standing with MFN. Completing the application does not guarantee approval. All allocations are subject to review and approval by the Director of Operations.

Question 10

Who approves tobacco quota allocations?

Accepted Answer

The Director of Operations reviews applications and makes decisions regarding Tobacco Quota allocations based on the distribution schedule established in the policy.

Question 11

When is tobacco quota distributed?

Accepted Answer

Tobacco Quota is distributed four times per year:Distribution DateAllocationApril 11stJuly 12ndOctober 13rdJanuary 14thBefore each scheduled distribution, the Director of Operations verifies the financial standing of each eligible business.

Question 12

Can I become eligible again after my quota is withheld?

Accepted Answer

Yes. Eligibility may be reinstated once:Outstanding amounts have been paid in full; orThe applicant is compliant with an approved repayment agreement.However, previously withheld quota will not automatically be allocated retroactively.

Question 13

What happens to unused quota?

Accepted Answer

The Director of Operations may allocate unused quota to other businesses where a business:Is not utilizing its quota;Is no longer open for business; orBecomes ineligible because it does not meet the financial standing requirements.Quota withheld because of financial non-compliance may also be reallocated at the discretion of the Director of Operations.

Question 14

How does MFN determine whether quota is being used?

Accepted Answer

The policy provides for tobacco quota usage reporting prior to each distribution. The Ministry of Revenue provides tobacco quota usage information, while the Lands and Resources Department provides a list of businesses and their financial standing.

Question 15

What information do I need to provide on the application?

Accepted Answer

The application asks for information including:Applicant informationNameMailing addressBand numberPhone numberEmail address Business informationBusiness nameBusiness owner(s)Business contact informationBusiness typeDate the business openedWhether the business is currently open and operatingBusiness addressTobacco retail informationWhether the business currently sells tobacco productsHow long it has sold tobacco productsEstimated monthly tobacco sales by cartonApplicants must also complete the financial standing declaration and sign the application.

Question 16

Does submitting an application guarantee that I will receive a quota?

Accepted Answer

No.Submitting an application does not guarantee approval. All allocations are subject to review and approval by the Director of Operations in accordance with the Tobacco Quota Allocation Policy.

Question 17

Where can I get the Tobacco Quota Application Form?

Question 18

Who can I contact if I have questions about my application?

Question 19

Tobacco Quota at a Glance

Accepted Answer

Who can apply?Band Members with an established and open business that meets MFN's Business Licensing requirements. What is required?A completed Tobacco Quota Application Form and good financial standing with MFN. Who approves allocations?The Director of Operations. When is quota distributed?April 1 – 40% (1st Release)July 1 – 20% (2nd Release)October 1 – 20% (3rd Release)January 1 – 20% (4th Release) What if I owe MFN money?You must either pay outstanding amounts in full or have an approved repayment agreement that you are complying with. Can unused or withheld quota be reassigned?Yes. The Director of Operations may reallocate unused or withheld quota to other eligible businesses.  How is the tobacco quota distributed?The total available tobacco quota is distributed throughout the year according to the following schedule:Distribution DatePercentage of Total Available QuotaApril 140%July 120%October 120%January 120%For each distribution period, the amount of quota available for distribution is divided equally among the eligible tobacco retailers.For example, if the total available quota for the year is 10,000 units and there are 10 eligible retailers:April 1: 40% = 4,000 units → 400 units per retailerJuly 1: 20% = 2,000 units → 200 units per retailerOctober 1: 20% = 2,000 units → 200 units per retailerJanuary 1: 20% = 2,000 units → 200 units per retailer The number of eligible retailers is determined for each distribution period based on the applicable eligibility requirements.The Director of Operations reviews and approves Tobacco Quota allocations and verifies the financial standing of eligible businesses before each scheduled distribution. Does the number of retailers affect my allocation?Yes. The quota available for each distribution period is divided among the eligible tobacco retailers. Therefore, the individual allocation will depend on the total quota available for that distribution period and the number of eligible retailers at the time of distribution.

Tobacco Allocation

Tobacco Quota Application

How the Tobacco Quota Process Works

Quota Usage and Distribution

Tobacco Compliance & Consumer Information

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