[Congressional Record Volume 145, Number 24 (Wednesday, February 10, 1999)]
[Senate]
[Pages S1422-S1425]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      By Mr. CAMPBELL (for himself and Mr. Inouye):
  S. 401. A bill to provide for business development and trade 
promotion for native Americans, and for other purposes; to the 
Committee on Indian Affairs.


 The Native American Business Development Trade Promotion and Tourism 
                                  Act

 Mr. CAMPBELL. Mr. President, I am introducing a bill to assist 
Indians and tribal businesses to foster entrepreneurship and healthy 
reservation economies. I am pleased to be joined by Senator Inouye. As 
we stand ready to enter the next century, Indian tribes and their 
members continue to face many challenges--poor health, substandard 
housing and educational facilities, substance abuse, and a host of 
other social and economic problems.
  A top priority for the Committee on Indian Affairs and me in the next 
two years will be to help tribal governments build stronger and 
healthier economies to provide jobs and hope to their members.
  The results of centuries of federal domination of Indian affairs and 
Indian economies is predictable: stagnant reservation economies and the 
absence of a private sector to create the kind of job opportunities and 
business-creating activities that Indians so desperately need.
  Despite the popular myth that ``all Indians are rich'' from gambling, 
the realities of life for the great majority of Native Americans are 
harsh and have shown little sign of improvement in recent years. In the 
Great Depression of the 1930s, the national unemployment rate was 25 
percent, and it was a national crisis.
  In 1999, Indian country has a collective unemployment rate running at 
50% and there are few comments made, little urgency heard, and very 
little being done to address the problem. We sympathize, as we should, 
with Third World countries torn by strife and lack of economic 
development. We provide loan guarantees, technical assistance, and aid 
and trade.
  For Indians, the response is usually that ``they should just get a 
job''. The fact is there are few if any job opportunities on most 
Indian lands in this nation.
  The requirement that people on federal assistance get and keep a job 
is the long-term goal of the 1996 welfare reform laws, and frankly, the 
tribes are behind the curve in preparing for the full implementation of 
the law. The goal of the legislation I introduce today and other bills 
this session will be on helping attract capital and value-added 
activities to Indian lands in such fields as manufacturing, energy, 
agriculture, livestock and fisheries, high technology and electronic 
commerce, arts and crafts and a host of service industries.
  This bill aims to make best use of existing programs to provide the 
necessary tools to tribes to attract and retain capital and employment. 
The model I am encouraging with this bill has proven highly successful 
in the self governance arena and in the Indian job training program, 
known as the ``477 program''.
  By providing for an efficient coordination of existing business 
development programs in the Commerce Department and maximizing 
resources

[[Page S1423]]

available to tribes, this bill is a first step toward better 
cooperation between and within agencies across the federal government.
  Building healthy Indian economies will require efforts by the tribal 
as well as the federal government. The tribes have a responsibility as 
well. A fundamental principle of Indian self determination requires 
that the tribes play a greater role in their own affairs. In many areas 
such as self governance, the tribes are increasingly administering 
federal services, programs, and activities in lieu of the federal 
government. This has led to more capable and accountable tribal 
governments.
  A corollary of Indian political self government is a reduction in the 
dependence on the federal bureaucracy and federal funds, through 
assuming a greater role in the tribes funding their own government 
activities. A number of tribes are achieving some success in reaching 
this stage, and it should be our policy to assist more tribes in 
achieving this transition from federal to tribal-domination of tribal 
affairs.
  Under this bill, the Native American Business Development Office 
(NABDO) will coordinate existing programs within the Department of 
Commerce, including those geared to encouraging American businesses in 
the fields of international trade and tourism.
  I want to be clear: this bill does not create any new programs but 
will achieve more efficiency in those that already exist, and within 
existing budget authority. Because the central aim of the legislation 
is to encourage non-gaming development, the bill also prohibits 
assistance under the act from being used for gaming on Indian lands.
  I urge my colleagues to join me in providing the tools necessary to 
build strong and diversified Indian economies so that tribal members 
have the same job opportunities enjoyed by other Americans.
  Mr. President, I ask unanimous consent that the text of the bill be 
printed in the Record.
  There being no objection, the bill was ordered to be printed in the 
Record, as follows:

                                 S. 401

       Be it enacted by the Senate and House of Representatives of 
     the United States of America in Congress assembled,

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``Native American Business 
     Development, Trade Promotion, and Tourism Act of 1999''.

     SEC. 2. FINDINGS; PURPOSES.

       (a) Findings.--Congress finds that--
       (1) clause 3 of section 8 of article I of the United States 
     Constitution recognizes the special relationship between the 
     United States and Indian tribes;
       (2) beginning in 1970, with the inauguration by the Nixon 
     Administration, of the Indian self-determination era of the 
     Federal Government, each President has confirmed the special 
     government-to-government relationship between Indian tribes 
     and the United States;
       (3) in 1994, President Clinton issued an Executive 
     memorandum to the heads of departments and agencies that 
     obligated all Federal departments and agencies, particularly 
     those that have an impact on economic development, to 
     evaluate the potential impacts of their actions on Indian 
     tribes;
       (4) consistent with the principles of inherent tribal 
     sovereignty and the special relationship between Indian 
     tribes and the United States, Indian tribes retain the right 
     to enter into contracts and agreements to trade freely, and 
     seek enforcement of treaty and trade rights;
       (5) Congress has carried out the responsibility of the 
     United States for the protection and preservation of Indian 
     tribes and the resources of Indian tribes through the 
     endorsement of treaties, and the enactment of other laws, 
     including laws that provide for the exercise of 
     administrative authorities;
       (6) the United States has an obligation to guard and 
     preserve the sovereignty of Indian tribes in order to foster 
     strong tribal governments, Indian self-determination, and 
     economic self-sufficiency among Indian tribes;
       (7) the capacity of Indian tribes to build strong tribal 
     governments and vigorous economies is hindered by the 
     inability of Indian tribes to engage communities that 
     surround Indian lands and outside investors in economic 
     activities on Indian lands;
       (8) despite the availability of abundant natural resources 
     on Indian lands and a rich cultural legacy that accords great 
     value to self-determination, self-reliance, and independence, 
     American Indians and Alaska Natives suffer higher rates of 
     unemployment, poverty, poor health, substandard housing, and 
     associated social ills than those of any other group in the 
     United States;
       (9) the United States has an obligation to assist Indian 
     tribes with the creation of appropriate economic and 
     political conditions with respect to Indian lands to--
       (A) encourage investment from outside sources that do not 
     originate with the tribes; and
       (B) facilitate economic ventures with outside entities that 
     are not tribal entities;
       (10) the economic success and material well-being of 
     American Indian and Alaska Native communities depends on the 
     combined efforts of the Federal Government, tribal 
     governments, the private sector, and individuals;
       (11) the lack of employment and entrepreneurial 
     opportunities in the communities referred to in paragraph (8) 
     has resulted in a multigenerational dependence on Federal 
     assistance that is--
       (A) insufficient to address the magnitude of needs; and
       (B) unreliable in availability; and
       (12) the twin goals of economic self-sufficiency and 
     political self-determination for American Indians and Alaska 
     Natives can best be served by making available to address the 
     challenges faced by those groups--
       (A) the resources of the private market;
       (B) adequate capital; and
       (C) technical expertise.
       (b) Purposes.--The purposes of this Act are as follows:
       (1) To revitalize economically and physically distressed 
     Indian reservation economies by--
       (A) encouraging the formation of new businesses by eligible 
     entities, the expansion of existing businesses; and
       (B) facilitating the movement of goods to and from Indian 
     reservations and the provision of services by Indians.
       (2) To promote private investment in the economies of 
     Indian tribes and to encourage the sustainable development of 
     resources of Indian tribes and tribal- and Indian-owned 
     businesses.
       (3) To promote the long-range sustained growth of the 
     economies of Indian tribes.
       (4) To raise incomes of Indians in order to reduce poverty 
     levels and provide the means for achieving a higher standard 
     of living on Indian reservations.
       (5) To encourage intertribal, regional, and international 
     trade and business development in order to assist in 
     increasing productivity and the standard of living of members 
     of Indian tribes and improving the economic self-sufficiency 
     of the governing bodies of Indian tribes.
       (6) To promote economic self-sufficiency and political 
     self-determination for Indian tribes and members of Indian 
     tribes.

     SEC. 3. DEFINITIONS.

       In this Act:
       (1) Board.--The term ``Board'' has the meaning given that 
     term in the first section of the Act entitled ``To provide 
     for the establishment, operation, and maintenance of foreign-
     trade zones in ports of entry in the United States, to 
     expedite and encourage foreign commerce, and for other 
     purposes'', approved June 18, 1934 (19 U.S.C. 81a).
       (2) Director.--The term ``Director'' means Director of 
     Native American Business Development appointed under section 
     4(a).
       (3) Eligible entity.--The term ``eligible entity'' means an 
     Indian tribe, tribal organization, Indian arts and crafts 
     organization, tribal enterprise, tribal marketing 
     cooperative, or Indian-owned business.
       (4) Federal agency.--The term ``Federal agency'' means an 
     agency, as that term is defined in section 551(1) of title 5, 
     United States Code.
       (5) Foundation.--The term ``Foundation'' means the Rural 
     Development Foundation.
       (6) Indian.--The term ``Indian'' has the meaning given that 
     term in section 4(d) of the Indian Self-Determination and 
     Education Assistance Act (25 U.S.C. 450b(d)).
       (7) Indian arts and crafts organization.--The term ``Indian 
     arts and crafts organization'' has the meaning given that 
     term under section 2 of the Act of August 27, 1935 (49 Stat. 
     891, chapter 748; 25 U.S.C. 305a).
       (8) Indian goods and services.--The term ``Indian goods and 
     services'' means--
       (A) Indian goods, within the meaning of section 2 of the 
     Act of August 27, 1935 (commonly known as the ``Indian Arts 
     and Crafts Act'') (49 Stat. 891, chapter 748; 25 U.S.C. 
     305a);
       (B) goods produced or originating within an eligible 
     entity; and
       (C) services provided by eligible entities.
       (9) Indian lands.--The term ``Indian lands'' has the 
     meaning given that term in section 4(4) of the Indian Gaming 
     Regulatory Act (25 U.S.C. 2703(4)).
       (10) Indian-owned business.--The term ``Indian-owned 
     business'' means an entity organized for the conduct of trade 
     or commerce with respect to which at least 50 percent of the 
     property interests of the entity are owned by Indians or 
     Indian tribes (or a combination thereof).
       (11) Indian tribe.--The term ``Indian tribe'' has the 
     meaning given that term in section 4(e) of the Indian Self-
     Determination and Education Assistance Act (25 U.S.C. 
     450b(e)).
       (12) Office.--The term ``Office'' means the Office of 
     Native American Business Development established under 
     section 4(a).
       (13) Secretary.--The term ``Secretary'' means the Secretary 
     of Commerce.
       (14) Tribal enterprise.--The term ``tribal enterprise'' 
     means a commercial activity or business managed or controlled 
     by an Indian tribe.
       (15) Tribal marketing cooperative.--The term ``tribal 
     marketing cooperative'' shall have the meaning given that 
     term by the Secretary, in consultation with the Secretary of 
     the Interior.

[[Page S1424]]

       (16) Tribal organization.--The term ``tribal organization'' 
     has the meaning given that term in section 4(l) of the Indian 
     Self-Determination and Education Assistance Act (25 U.S.C. 
     450b(l)).

     SEC. 4. OFFICE OF NATIVE AMERICAN BUSINESS DEVELOPMENT.

       (a) In General.--
       (1) Establishment.--There is established within the 
     Department of Commerce an office known as the Office of 
     Native American Business Development.
       (2) Director.--The Office shall be headed by a Director, 
     appointed by the Secretary, whose title shall be the Director 
     of Native American Business Development. The Director shall 
     be compensated at a rate not to exceed level V of the 
     Executive Schedule under section 5316 of title 5, United 
     States Code.
       (b) Duties of the Secretary.--
       (1) In general.--The Secretary, acting through the 
     Director, shall ensure the coordination of Federal programs 
     that provide assistance, including financial and technical 
     assistance, to eligible entities for increased business, the 
     expansion of trade by eligible entities, and economic 
     development on Indian lands.
       (2) Activities.--In carrying out the duties described in 
     paragraph (1), the Secretary, acting through the Director, 
     shall ensure the coordination of, or, as appropriate, carry 
     out--
       (A) Federal programs designed to provide legal, accounting, 
     or financial assistance to eligible entities;
       (B) market surveys;
       (C) the development of promotional materials;
       (D) the financing of business development seminars;
       (E) the facilitation of marketing;
       (F) the participation of appropriate Federal agencies or 
     eligible entities in trade fairs;
       (G) any activity that is not described in subparagraphs (A) 
     through (F) that is related to the development of appropriate 
     markets; and
       (H) any other activity that the Secretary, in consultation 
     with the Director, determines to be appropriate to carry out 
     this section.
       (3) Assistance.--In conjunction with the activities 
     described in paragraph (2), the Secretary, acting through the 
     Director, shall provide--
       (A) financial assistance, technical assistance, and 
     administrative services to eligible entities to assist those 
     entities with--
       (i) identifying and taking advantage of business 
     development opportunities; and
       (ii) compliance with appropriate laws and regulatory 
     practices; and
       (B) such other assistance as the Secretary, in consultation 
     with the Director, determines to be necessary for the 
     development of business opportunities for eligible entities 
     to enhance the economies of Indian tribes.
       (4) Priorities.--In carrying out the duties and activities 
     described in paragraphs (2) and (3), the Secretary, acting 
     through the Director, shall give priority to activities 
     that--
       (A) provide the greatest degree of economic benefits to 
     Indians; and
       (B) foster long-term stable economies of Indian tribes.
       (5) Prohibition.--The Secretary may not provide under this 
     section assistance for any activity related to the operation 
     of a gaming activity on Indian lands pursuant to the Indian 
     Gaming Regulatory Act (25 U.S.C. 2710 et seq.).

     SEC. 5. NATIVE AMERICAN TRADE AND EXPORT PROMOTION.

       (a) In General.--The Secretary, acting through the 
     Director, shall carry out a Native American export and trade 
     promotion program (referred to in this section as the 
     ``program'').
       (b) Coordination of Federal Programs and Services.--In 
     carrying out the program, the Secretary, acting through the 
     Director, and in cooperation with the heads of appropriate 
     Federal agencies, shall ensure the coordination of Federal 
     programs and services designed to--
       (1) develop the economies of Indian tribes; and
       (2) stimulate the demand for Indian goods and services that 
     are available to eligible entities.
       (c) Activities.--In carrying out the duties described in 
     subsection (b), the Secretary, acting through the Director, 
     shall ensure the coordination of, or, as appropriate, carry 
     out--
       (1) Federal programs designed to provide technical or 
     financial assistance to eligible entities;
       (2) the development of promotional materials;
       (3) the financing of appropriate trade missions;
       (4) the marketing of Indian goods and services;
       (5) the participation of appropriate Federal agencies or 
     eligible entities in international trade fairs; and
       (6) any other activity related to the development of 
     markets for Indian goods and services.
       (d) Technical Assistance.--In conjunction with the 
     activities described in subsection (c), the Secretary, acting 
     through the Director, shall provide technical assistance and 
     administrative services to eligible entities to assist those 
     entities with--
       (1) the identification of appropriate markets for Indian 
     goods and services;
       (2) entering the markets referred to in paragraph (1);
       (3) compliance with foreign or domestic laws and practices 
     with respect to financial institutions with respect to the 
     export and import of Indian goods and services; and
       (4) entering into financial arrangements to provide for the 
     export and import of Indian goods and services.
       (e) Priorities.--In carrying out the duties and activities 
     described in subsections (b) and (c), the Secretary, acting 
     through the Director, shall give priority to activities 
     that--
       (1) provide the greatest degree of economic benefits to 
     Indians; and
       (2) foster long-term stable international markets for 
     Indian goods and services.

     SEC. 6. INTERTRIBAL TOURISM DEMONSTRATION PROJECTS.

       (a) In General.--
       (1) Demonstration projects.--The Secretary, acting through 
     the Director, shall conduct a Native American tourism program 
     to facilitate the development and conduct of tourism 
     demonstration projects by Indian tribes, on a tribal, 
     intertribal, or regional basis.
       (2) Projects.--
       (A) In general.--Under the program established under this 
     section, in order to assist in the development and promotion 
     of tourism on and in the vicinity of Indian lands, the 
     Secretary, acting through the Director, shall, in 
     coordination with the Foundation, assist eligible entities in 
     the planning, development, and implementation of tourism 
     development demonstration projects that meet the criteria 
     described in subparagraph (B).
       (B) Projects described.--In selecting tourism development 
     demonstration projects under this section, the Secretary, 
     acting through the Director, shall select projects that have 
     the potential to increase travel and tourism revenues by 
     attracting visitors to Indian lands and in the vicinity of 
     Indian lands, including projects that provide for--
       (i) the development and distribution of educational and 
     promotional materials pertaining to attractions located on 
     and near Indian lands;
       (ii) the development of educational resources to assist in 
     private and public tourism development on and in the vicinity 
     of Indian lands; and
       (iii) the coordination of tourism-related joint ventures 
     and cooperative efforts between eligible entities and 
     appropriate State and local governments that have 
     jurisdiction over areas in the vicinity of Indian lands.
       (3) Grants.--To carry out the program under this section, 
     the Secretary, acting through the Director, may award grants 
     or enter into other appropriate arrangements with Indian 
     tribes, tribal organizations, intertribal consortia, or other 
     tribal entities that the Secretary, in consultation with the 
     Director, determines to be appropriate.
       (4) Locations.--In providing for tourism development 
     demonstration projects under the program under this section, 
     the Secretary, acting through the Director, shall provide for 
     a demonstration project to be conducted--
       (A) for Indians of the Four Corners area located in the 
     area adjacent to the border between Arizona, Utah, Colorado, 
     and New Mexico;
       (B) for Indians of the northwestern area that is commonly 
     known as the Great Northwest (as determined by the 
     Secretary);
       (C) for the Oklahoma Indians in Oklahoma; and
       (D) for the Indians of the Great Plains area (as determined 
     by the Secretary).
       (b) Studies.--The Secretary, acting through the Director, 
     shall provide financial assistance, technical assistance, and 
     administrative services to participants that the Secretary, 
     acting through the Director, selects to carry out a tourism 
     development project under this section, with respect to--
       (1) feasibility studies conducted as part of that project;
       (2) market analyses;
       (3) participation in tourism and trade missions; and
       (4) any other activity that the Secretary, in consultation 
     with the Director, determines to be appropriate to carry out 
     this section.
       (c) Infrastructure Development.--The demonstration projects 
     conducted under this section shall include provisions to 
     facilitate the development and financing of infrastructure, 
     including the development of Indian reservation roads in a 
     manner consistent with title 23, United States Code.

     SEC. 7. REPORT TO CONGRESS.

       (a) In General.--Not later than 1 year after the date of 
     enactment of this Act, and annually thereafter, the 
     Secretary, in consultation with the Director, shall prepare 
     and submit to the Committee on Indian Affairs of the Senate 
     and the Committee on Resources of the House of 
     Representatives a report on the operation of the Office.
       (b) Contents of Report.--Each report prepared under 
     subsection (a) shall include--
       (1) for the period covered by the report, a summary of the 
     activities conducted by the Secretary, acting through the 
     Director, in carrying out sections 4 through 6; and
       (2) any recommendations for legislation that the Secretary, 
     in consultation with the Director, determines to be necessary 
     to carry out sections 4 through 6.

     SEC. 8. FOREIGN-TRADE ZONE PREFERENCES.

       (a) Preference in Establishment of Foreign-Trade Zones in 
     Indian Enterprise Zones.--In processing applications for the 
     establishment of foreign-trade zones pursuant to the Act 
     entitled ``To provide for the

[[Page S1425]]

     establishment, operation, and maintenance of foreign-trade 
     zones in ports of entry of the United States, to expedite and 
     encourage foreign commerce, and for other purposes'', 
     approved June 18, 1934 (19 U.S.C. 81a et seq.), the Board 
     shall consider, on a priority basis, and expedite, to the 
     maximum extent practicable, the processing of any application 
     involving the establishment of a foreign-trade zone on Indian 
     lands, including any Indian lands designated as an 
     empowerment zone or enterprise community pursuant to section 
     1391 of the Internal Revenue Code of 1986.
       (b) Application Procedure.--In processing applications for 
     the establishment of ports of entry pursuant to the Act 
     entitled ``An Act making appropriations for sundry civil 
     expenses of the Government for the fiscal year ending June 
     thirtieth, nineteen hundred and fifteen, and for other 
     purposes'', approved August 1, 1914 (19 U.S.C. 2), the 
     Secretary of the Treasury shall, with respect to any 
     application involving the establishment of a port of entry 
     that is necessary to permit the establishment of a foreign-
     trade zone on Indian lands--
       (1) consider on a priority basis; and
       (2) expedite, to the maximum extent practicable, the 
     processing of that application.
       (c) Application Evaluation.--In evaluating applications for 
     the establishment of foreign-trade zones and ports of entry 
     in connection with Indian lands, to the maximum extent 
     practicable and consistent with applicable law, the Board and 
     Secretary of the Treasury shall approve the 
     applications.
                                 ______