SudburyBoy1
While it may be true that the chiefs do not spend the money they receive wisely, it is also true that they do not get enough money to be able to lead a modern lifestyle and therein lies the problem. To lead a modern lifestyle such as one could have in the city would be hugely expensive, far more expensive than mining could ever support in the long term. There is no conceiveable long term source of income in the areas where these reservations are that could support the lifestyle that they want. Until they admit to this reality nothing can or will be resolved.
What it comes down to is they either have to accept a primative lifestyle ( like their ancestors had for thousands of years) or move to the city like half of the members of your reservations have already done.