The FNFA was established under the First Nations Fiscal Management Act, 2005. The Act also established two other institutions: the First Nations Tax Commission (FNTC) and the First Nations Financial Management Board (FNFMB). Among other items, the Act spells out the qualification, borrowing, oversight, safeguards, and default regimes for FNFA borrowing against property tax; the borrowing regime for other sources of revenue is set out in a separate regulation, provided for in the Act.

All First Nations that apply to become FNFA Borrowing Members must work with the FNFMB.

Those First Nations that operate a property tax regime and would like to borrow from the FNFA using these property tax revenues must work with the FNTC.

The text of the FNFMA and the regulations can be accessed here.